MIRA INFORM REPORT

Report Date :

11.04.2012

IDENTIFICATION DETAILS

Name :	DEEPAK FASTENERS LIMITED

Registered Office :	4^th Floor, First Mall, Mall Road, Ludhiana-141001, Punjab

Country :	India

Financials (as on) :	31.03.2011

Date of Incorporation :	12.11.1990

Com. Reg. No.:	16-010832

Capital Investment / Paid-up Capital :	Rs.10.289 Millions

CIN No.: [Company Identification No.]	U28991PB1990PLC010832

IEC No.:	3092004621

TAN No.: [Tax Deduction & Collection Account No.]	JLDD00515E JLDD00615G

PAN No.: [Permanent Account No.]	AAACD6282G

Legal Form :	A Closely Held Public Limited Liability Company

Line of Business :	Manufacturers and Exporters of Fasteners, Farm Parts, Hex Bolts and Nuts.

No. of Employees :	(1800 Group) (Approximately) (180-Office and 1600-Factory)

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 3860000

Status :	Satisfactory

Payment Behaviour :	Usually Correct

Litigation :	Clear

Comments :	Subject is an established company having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments. The company can be considered normal for business dealings at usual trade terms and conditions.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – September 30, 2011

Country Name

Previous Rating

(30.06.2011)

Current Rating

(30.09.2011)

India

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

LOCATIONS

Registered/ Corporate Office :	4^th Floor, First Mall, The Mall, Ludhiana – 141 002, Punjab, India
Tel. No.:	91-161-3911111 (30 Lines)
Fax No.:	91-161-2449050/ 2774400
E-Mail :	ca_rakeshgoel@sify.com internalaudit@deepakfasteners.com sales@deepakfasteners.com unbrako@deepakfasteners.com
Website :	http://www.deepakfasteners.com

Factory 1:	Village Jaspalon, G T Road, Doraha – 141421, India
Tel. No.:	91-161-3911111
Fax No.:	91-1628-245300
Area :	431964 sq. ft.
Location :	Owned

Factory 2 :	Near 33 KV sub Station, Industrial Area, Phase – IV, Tahiwal, UNA, Himachal Pradesh, India
Tel. No.:	91-1975-257300-301
Fax No.:	91-1975-257302
Area :	253779 sq. ft.
Location :	Owned

Branch Offices :	Located at : · Chennai · Mumbai

Overseas Offices :	Located at: · Australia · Canada · Ireland · United Kingdom · USA

DIRECTORS

As on 30.09.2011

Name :

Mr. Sanjeev Kalra

Designation :

Managing director

Address :

600/13A, Sagar Street, Civil Lines, Ludhiana – 141 003, Punjab, India

Date of Birth/Age :

13.03.1964

Qualification :

MBA (Finance)

Date of Appointment :

12.11.1990

DIN No.:

00633619

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U28991PB1990PLC010832	DEEPAK FASTENERS LIMITED	Managing director	15/12/2011	12/11/1990	-	Active	NO
2	U45202PB1997PLC019742	SHREE GANESH JEWELLERS LIMITED	Director	8/04/1997	8/04/1997	-	Active	NO
3	U18101PB1997PLC019743	DEEPAK FIBRES LIMITED	Director	30/03/2000	30/03/2000	-	Active	NO
4	U00000PB2002PLC024934	DFL INTERNATIONAL LIMITED	Director	5/02/2002	5/02/2002	-	Amalgamated	NO
5	U72200PB2000PLC023610	DEEPAK AVIATION LIMITED	Director	1/12/2006	1/12/2006	-	Active	NO
6	U28991PB1995PLC016024	KAILASH IMPEX LIMITED	Director	30/09/2010	1/01/2010	-	Active	NO
7	U55101PB2010PTC034151	DEEPAK HOSPITALITY PRIVATE LIMITED	Director	4/08/2010	4/08/2010	-	Active	NO

Name :

Mr. Deepak Kalra

Designation :

Director

Address :

600/13A, Sagar Street, Civil Lines, Ludhiana – 141 003, Punjab, India

Date of Birth/Age :

09.05.1966

Qualification :

B. Tech (Mech)

Date of Appointment :

12.11.1990

DIN No.:

00633576

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U28991PB1990PLC010832	DEEPAK FASTENERS LIMITED	Managing director	15/12/2011	12/11/1990	-	Active	NO
2	U28991PB1995PLC016024	KAILASH IMPEX LIMITED	Director	13/03/1995	13/03/1995	-	Active	NO
3	U18101PB1997PLC019743	DEEPAK FIBRES LIMITED	Director	8/04/1997	8/04/1997	-	Active	NO
4	U45202PB1997PLC019742	SHREE GANESH JEWELLERS LIMITED	Director	8/04/1997	8/04/1997	-	Active	NO
5	U00000PB2002PLC024934	DFL INTERNATIONAL LIMITED	Managing director	20/12/2006	5/02/2002	-	Amalgamated	NO
6	U72200PB2000PLC023610	DEEPAK AVIATION LIMITED	Director	1/12/2006	1/12/2006	-	Active	NO
7	U55101PB2010PTC034151	DEEPAK HOSPITALITY PRIVATE LIMITED	Director	4/08/2010	4/08/2010	-	Active	NO

Name :

Mr. Kailash Chander Kalra

Designation :

Director

Address :

600/13A, Sagar Street, Civil Lines, Ludhiana – 141 003, Punjab, India

Date of Birth/Age :

14.03.1938

Qualification :

B. Tech (Civil)

Date of Appointment :

12.11.1990

DIN No.:

00633487

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U28991PB1990PLC010832	DEEPAK FASTENERS LIMITED	Director	12/11/1990	12/11/1990	-	Active	NO
2	U28991PB1995PLC016024	KAILASH IMPEX LIMITED	Director	13/03/1995	13/03/1995	-	Active	NO
3	U45202PB1997PLC019742	SHREE GANESH JEWELLERS LIMITED	Managing director	1/05/2011	8/04/1997	-	Active	NO
4	U18101PB1997PLC019743	DEEPAK FIBRES LIMITED	Whole-time director	15/12/2011	8/04/1997	-	Active	NO
5	U72200PB2000PLC023610	DEEPAK AVIATION LIMITED	Director	17/04/2000	17/04/2000	-	Active	NO
6	U00000PB2002PLC024934	DFL INTERNATIONAL LIMITED	Director	5/02/2002	5/02/2002	-	Amalgamated	NO

Name :

Mr. Sanjiv Singhal

Designation :

Director

Address :

1A, Firpos, 47-A, Bhlabhai Desai Road, Breach Candy, Mumbai, Maharashtra, India

Date of Birth/Age :

23.03.1967

Date of Appointment :

11.06.2010

DIN No.:

02408616

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U25209MH1999PLC119427	AXIOM CORDAGES LIMITED	Nominee director	3/12/2008	3/12/2008	-	Active	NO
2	U30000MH1995PLC091944	TRIMAX IT INFRASTRUCTURE AND SERVICES LIMITED	Nominee director	4/04/2009	4/04/2009	-	Active	NO
3	L28112MP1993PLC008029	GEI INDUSTRIAL SYSTEMS LIMITED	Nominee director	30/10/2009	30/10/2009	-	Active	NO
4	U28991PB1990PLC010832	DEEPAK FASTENERS LIMITED	Director	30/09/2010	11/06/2010	-	Active	NO
5	U74140HR1988PLC030225	DEE DEVELOPMENT ENGINEERS LIMITED	Nominee director	30/09/2011	25/02/2011	-	Active	NO
6	U45201MP2006PLC018689	DILIP BUILDCON LIMITED	Nominee director	14/02/2012	14/02/2012	31/03/2012	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2011

Names of Shareholders		No. of Shares
Deepak Kalra		201485
Sanjeev Kalra		187829
Kailash Kalra		193121
Prem Kalra		21088
Mona Kalra		7785
Monika Kalra		8285
Ajay Sharma		101
Deepak Fibers Limited, India		34000
Shree Ganesh Jewellers Limited, India		309538
Deepak Infosys Lmited, India		40000
Kailash Impex Limited, India		20000
Sanjeev Kalra and Sons (Karta Sanjeev Kalra)		2750
Deepak Kalra and Sons (Karta Deepak Kalra)		2750
Banyantree Growth Capital LLC		125
DFG-Deutsche Investitions and Entwicklungsgessellsehaft mbH		125
Total		1028982

Equity Share Break up (Percentage of Total Equity)

As on 30.09.2011

Category	Percentage
Bodies corporate	39.24
Directors or relatives of Directors	60.76
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturers and Exporters of Fasteners, Farm Parts, Hex Bolts and Nuts.

Products :

Item Code No. (ITC Code)	Product Description
U28991	Sale of Fasteners

GENERAL INFORMATION

No. of Employees :

(1800 Group) (Approximately) (180-Office and 1600-Factory)

Bankers :

ICICI Bank Limited, Landmark Race Course Circle, Alkapuri, Baroda – 390015, Gujarat, India

Facilities :

Secured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
Rupee term loans banks secured	170.469	148.834
Working capital loans banks secured	493.954	588.386
Loans taken for vehicles secured	11.594	9.441
Total	676.017	746.661

Unsecured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
Fully convertible debentures unsecured	699.800	0.000
Rupee term loans others unsecured	0.000	13.629
Total	699.800	13.629


Banking Relations :	--

Auditors :
Name :	Rakesh Goel and Associates Chartered Accountants
Address :	B – 15/503, ST No.1, Nirankari Mohalla, Overlock Road, Ludhiana, India
Tel. No.:	91-161-2532574/ 2533174
Fax No.:	91-161-2532574
E-Mail :	ca_rakeshgoel@sify.com
PAN.:	AALFR0310D

Subsidiaries :	· Deepak Fastners (UK) Limited · Deepak Fastners Export (Shanghai) Company Limited · Deepak Fasteners (Australia) Pty Limited · Deepak Fastners (Shannon) Limited

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
10100000	Equity Shares	Rs.10/- each	Rs.101.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1028982	Equity Shares	Rs.10/- each	Rs.10.290 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		10.290	10.287	10.287
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		954.643	625.387	456.739
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		964.933	635.674	467.026
LOAN FUNDS
1] Secured Loans		676.017	746.661	599.051
2] Unsecured Loans		699.800	13.629	23.290
TOTAL BORROWING		1375.817	760.290	622.341
DEFERRED TAX LIABILITIES		17.199	16.503	14.113

TOTAL		2357.949	1412.467	1103.480

APPLICATION OF FUNDS

FIXED ASSETS [Net Block]		367.018	338.991	293.072
Capital work-in-progress		213.902	9.898	39.172

INVESTMENT		493.091	398.829	302.726
DEFERREX TAX ASSETS		0.000	0.000	0.000

CURRENT ASSETS, LOANS & ADVANCES
	Inventories	1074.145	594.009	414.944
	Sundry Debtors	434.587	339.707	242.592
	Cash & Bank Balances	103.204	107.184	50.027
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	184.335	60.174	60.083
Total Current Assets		1796.271	1101.074	767.646
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	318.540	253.095	193.567
	Other Current Liabilities	104.930	118.829	34.951
	Provisions	88.863	64.401	70.744
Total Current Liabilities		512.333	436.325	299.262
Net Current Assets		1283.938	664.749	468.384

MISCELLANEOUS EXPENSES		0.000	0.000	0.126

TOTAL		2357.949	1412.467	1103.480

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	2181.040	1465.387	1723.441
		Other Income	53.900	38.796	43.244
		TOTAL (A)	2234.940	1504.183	1766.685

Less	EXPENSES
		Consumption materials changes inventories	1167.965	815.019	1444.606
		Manufacturing service costs	149.127	91.867
		Employee related expenses	136.041	85.906
		Administrative selling other expenses	203.838	130.292
		Prior Period Items	0.000	0.639
		TOTAL (B)	1656.971	1123.723	1444.606

Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		577.969	380.460	322.079

Less	FINANCIAL EXPENSES (D)		82.176	79.745	84.721

	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		495.793	300.715	237.358

Less/ Add	DEPRECIATION/ AMORTISATION (F)		48.386	46.854	40.868

	PROFIT BEFORE TAX (E-F) (G)		447.407	253.861	196.490

Less	TAX (H)		118.348	85.213	71.698

	PROFIT AFTER TAX (G-H) (I)		329.059	168.648	124.792

Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		572.531	403.883	NA

	BALANCE CARRIED TO THE B/S		901.590	572.531	NA

	Earnings Per Share (Rs.)		319.79	163.94	191.00

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	14.72	11.21	7.06

Net Profit Margin (PBT/Sales)	(%)	20.51	17.32	11.40

Return on Total Assets (PBT/Total Assets}	(%)	20.68	17.63	18.52

Return on Investment (ROI) (PBT/Networth)		0.46	0.40	0.42

Debt Equity Ratio (Total Liability/Networth)		1.96	1.91	1.97

Current Ratio (Current Asset/Current Liability)		3.51	2.52	2.57

LOCAL AGENCY FURTHER INFORMATION

Check List by Info Agents	Available in Report (Yes / No)
1) Year of Establishment	Yes
2) Locality of the firm	Yes
3) Constitutions of the firm	Yes
4) Premises details	No
5) Type of Business	Yes
6) Line of Business	Yes
7) Promoter’s background	Yes
8) No. of employees	Yes
9) Name of person contacted	Yes
10) Designation of contact person	Yes
11) Turnover of firm for last three years	Yes
12) Profitability for last three years	Yes
13) Reasons for variation <> 20%	--
14) Estimation for coming financial year	No
15) Capital in the business	Yes
16) Details of sister concerns	No
17) Major suppliers	No
18) Major customers	No
19) Payments terms	No
20) Export / Import details (if applicable)	No
21) Market information	--
22) Litigations that the firm / promoter	--
23) Banking Details	Yes
24) Banking facility details	No
25) Conduct of the banking account	--
26) Buyer visit details	--
27) Financials, if provided	Yes
28) Incorporation details, if applicable	Yes
29) Last accounts filed at ROC	Yes
30) Major Shareholders, if available	Yes

Note : Registered Office of the company has been shifted from E – 536, Phase VI, Focal Point, Ludhiana – 141 010, Punjab, India to the present address w.e.f. 30.12.2010

OPERATION

Despite slow market in major part of the financial year 2010-11 the company recorded total Net Sales and other income of Rs. 2234.900 Millions for the year ended March, 2011 as against Rs.1504.200 Millions achieved during the previous year. Whereas the profit before tax (pbt) increased from Rs.2.54 in 2009-10 to Rs. 44.700 Millions in 2010-11, a increase of 75.98 per cent. However, the Profit After Tax (PAT) increased by 94.67 per cent from Rs. 16.900 Millions in 2009-10 to Rs. 32.900 Millions in 2010-11.

Supply of Fasteners to replacement and original equipment segments wherein your company holds a key position, continue to be the area of focus of the company. In order to meet the increase demand, the company has sufficient installed capacity. The company continue to follow its philosophy to provide the high quality products at the lower costs, coupled with excellent customer services. The market is witnessing fierce competition. All efforts were made under total quality management, Total Productivity Management and six sigma Umbrella to continuously improve the cost, quality, delivery and competitiveness. The Company products are well accepted in the market. In brief, all customers of the company are on growth path and company is confident to meet their increased demand.

Bankers Charges Report as per Registry

Corporate identity number of the company	U28991PB1990PLC010832
Name of the company	DEEPAK FASTENERS LIMITED
Address of the registered office or of the principal place of business in India of the company	4th Floor, First Mall, Mall Road, Ludhiana-141001, Punjab, India Email: internalaudit@deepakfasteners.com
This form is for	Creation of charge
Type of charge	Immovable property Book Debts Movable Property Current Assets of the Company
Particular of charge holder	ICICI Bank Limited, Landmark Race Course Circle, Alkapuri, Baroda – 390015, Gujarat, India Email : sunilsethi@pnb.co.in
Nature of instrument creating charge	Agreement for Loan (WCDL)/Short Term Loan of Rs.50.000 Millions
Date of instrument Creating the charge	14.02.2012
Amount secured by the charge	Rs.50.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest Bank rate + 3 i.e.13.75% p.a. Terms of Repayment On demand Margin 25% Extent and Operation of the charge 100% Others Adhoc working capital limit of Rs.50.000 Millions
Short particulars of the property or asset(s) charged (including complete address and location of the property)	All other movable fixed assets and current assets i.e. stock of raw material, semi finished goods & finished goods, store and spares, books debts, Plant & Machinery etc. EM of leasehold rights of properties measuring 1050 sq yds,1167 sq yds,1167 sq yds,1167 sq yds & 1167 sq yds, respectively situated at E-555,E-535,E-537,E538,E-536. EM of shops no. 7 & 8, Municipality no. B-XIX-85/5E-I & 85/5E, Upper Ground Floor,First Mall, Mall Rd, Ludhiana, total measuring 1066 sq ft (Only UGF) EM of property measuring 4 bighas and 16 biswas situated at village Barmalipur,GR Road,Doraha, Ludhiana EM of properties at village Tahliwal,Tehsil Haroli,District Una (H.P.) EM of Properties of the borrower at village Khokhri ,Tehsil and District Sehore (M.P.)

Contingent Liabilities not provided for (As on 31.03.2011):-

a) Export bills discounted with banks of Rs.65.013 Millions

b) The Company has contested the additional demand in respect of Income Tax amounting to Rs.14.312 Millions pending appeal with appellate authorities against which Rs.4.577 Millions has been deposited. No provision has been made in the books of accounts for the balance demand of Rs.9.735 Millions as the company is hopeful to get the desired relief in appeal.

c) Corporate guarantee given on behalf of Deepak Fasteners (Shannon) Limited of 45.00 Lac USD and 22.50 Lac EURO to State Bank of India Birmingham and of 100.00 Lac USD (Previous Year 100.00 Lac USD) to Punjab National Bank (International) Limited, London.

d) Corporate guarantee given on behalf of Deepak Fasteners (Australia) PTY Limited of 20.00 Lac USD to Punjab National Bank, Hongkong.

e) Corporate guarantee given on behalf of Deepak Fasteners (UK) Limited of 18.90 Lac GBP to State Bank of India Birmingham.

f) Corporate guarantee given on behalf of Shree Ganesh Jwellers Limited of 290.000 Millions to Punjab National Bank IBB Branch Ludhiana

g) Corporate guarantee given on behalf of Deepak Fibres Limited of 6.000 Millions to State Bank of India Ludhiana.

h) Corporate guarantee given on behalf of Deepak Hospitality Private Limited of 129.000 Millions to Allahabad Bank Ludhiana.

FIXED ASSETS

· A.C. and Cooler

· Building

· Car

· Computers

· Cycle

· Electric Installation

· Fan

· Furniture and Fixture

· Generator

· Land

· Machinery

· Office Equipment

· Scooter

· Transformer

· Truck

· Tube Well

· Waste Water Treatment

· Plant

· Weighing Machine

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.51.20
UK Pound	1	Rs.81.50
Euro	1	Rs.67.15

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		45

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
-	NB	New Business	-

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.

MIRA INFORM REPORT

1074.145

594.009

434.587

339.707

103.204

107.184

0.000

0.000

184.335

60.174

1796.271

1101.074

318.540

253.095

104.930

118.829

88.863

64.401

512.333

436.325

1283.938

664.749

14.72

11.21

20.51

17.32

20.68

17.63

0.46

0.40

1.96

1.91

3.51

2.52

Unit