MIRA INFORM REPORT

Report Date :

20.08.2012

IDENTIFICATION DETAILS

Name :	T.C. TERRYTEX LIMITED
Registered Office :	Village Sarsini, Ambala-Chandigarh Highway, Near Lalru, Tehsil Derabassi,, Lalru, Mohali - 140501, Punjab
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	30.08.2005
Com. Reg. No.:	16-028877
Capital Investment / Paid-up Capital :	Rs.650.040 Millions
CIN No.: [Company Identification No.]	U17220PB2005PLC028877
PAN No.: [Permanent Account No.]	AACCT3244L
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of Terry Towels
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (28)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 2000000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is a company having moderate track. It has recorded an increase in its sales turnover and profits during 2011. Accumulated losses recorded by the company appears to be decreasing. However, trade relations are reported as fair. Business is active. Payments are reported to be slow. The company can be considered for business dealings with some caution.

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 – June 30, 2012

Country Name	Previous Rating (31.03.2012)	Current Rating (30.06.2012)
India	A1	A1

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

EXTERNAL AGENCY RATING

Rating Agency Name	ICRA
Rating	Short term bank facilities = A4
Rating Explanation	Minimal degree of safety and very high credit risk
Date	07.10.2011

Rating Agency Name	ICRA
Rating	Long term bank facilities = B+
Rating Explanation	High risk of default
Date	07.10.2011

RBI DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

LOCATIONS

Registered Office / Head Office / Factory :	Village Sarsini, Ambala-Chandigarh Highway, Near Lalru, Tehsil Derabassi,, Lalru, Mohali - 140501, Punjab, India
Tel. No.:	91-1762-506606 / 506607 / 506608
Fax No.:	91-1762-506555
E-Mail :	nfo@tctl.in accounts@tctl.in psharmaandco@gmail.com
Website :	http://www.tctl.in
Branch Office 1 :	S.C.O. 90-92, Sector 8-C, Madhya Marg, Chandigarh-160018, Panjabi, India
Tel. No.:	91-172-4618377 / 2780023
Fax No.:	91-172-4648606
Branch Office 2 :	502, Naurang House, 21 KG Marg, Connaught Place, New Delhi -110001, India
Tel. No.:	91 11 4354 2842
Fax No.:	91 11 4354 2843

DIRECTORS

As on 30.09.2011

Name :

Mr. Anil Satia

Designation :

Director

Address :

Satia Niwas Railway Road, Muktsar – 152026, Punjab, India

Date of Birth/Age :

12.08.1956

Date of Appointment :

30.08.2005

DIN No.:

00527205

Other Directorship

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U65910CH1991PTC010959	T C LEASING AND INVESTMENT PRIVATE LIMITED	Director	3/1/1991	3/1/1991	-	Active	NO
2	U17111PB1992PLC012747	SATIA SYNTHETICS LIMITED	Managing director	28/09/1996	28/09/1996	-	Active	NO
3	U65921PB1997PTC019344	HOLICITY INVESTMENT AND LEASING PRIVATE LIMITED	Director	21/01/1997	21/01/1997	1/9/2011	Active	NO
4	U23101PB1987PTC007484	MUKTI ENERGY PRIVATE LIMITED	Director	15/11/2000	15/11/2000	1/9/2011	Active	NO
5	U67120PB1997PTC019362	HOLI FINANCIAL SERVICES PRIVATE LIMITED	Director	15/11/2000	15/11/2000	1/9/2011	Active	NO
6	U17220PB2005PLC028877	T.C. TERRYTEX LIMITED	Director	30/08/2005	30/08/2005	30/03/2012	Active	NO
7	U17121PB2006PTC030623	T.C. SPINNERS PRIVATE LIMITED	Director	22/09/2006	22/09/2006	-	Active	NO
8	U17290PB2008PLC031599	T.C. FABRICS AND PAPERS LIMITED	Director	18/01/2008	18/01/2008	-	Strike off	NO
9	U55101CH2002PTC025117	DRIVE IN TOURIST RESORTS PRIVATE LIMITED	Director	30/09/2010	5/8/2010	14/02/2011	Active	NO
10	U70109PB2010PTC034271	ANKIT BUILDERS AND REALTORS PRIVATE LIMITED	Director	15/09/2010	15/09/2010	-	Strike off	NO
11	U70109PB2010PTC034268	BALRAJ INVESTMENTS PRIVATE LIMITED	Director	15/09/2010	15/09/2010	-	Active	NO
12	U70109PB2010PTC034280	BALRAJ PROPERTIES PRIVATE LIMITED	Director	17/09/2010	17/09/2010	-	Strike off	NO
13	U70109PB2010PTC034278	SHREE SHYAM PROPERTIES PRIVATE LIMITED	Director	17/09/2010	17/09/2010	-	Active	NO
14	U70109PB2010PTC034366	SHREE KRISHNA NESTPROVIDERS PRIVATE LIMITED	Director	18/10/2010	18/10/2010	-	Strike off	NO

Name :

Mr. Munish Tyagi

Designation :

Director

Address :

A-1/312, Safdarjunj Enclave, New Delhi – 110029, India

Date of Birth/Age :

04.01.1952

Date of Appointment :

09.07.2009

DIN No.:

00549929

Other Directorship

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U17297DL1993PTC053680	ARVIND CONTINENTAL PRIVATE LIMITED	Director	3/2/1995	3/2/1995	25/03/2008	Active	NO
2	L24230DL1995PLC170660	SAARC NET LIMITED	Additional director	15/06/2007	15/06/2007	30/06/2010	Active	NO
3	U17291DL2007PTC158891	FIRSTCORP TEXTILE PRIVATE LIMITED	Additional director	1/9/2007	1/9/2007	1/10/2010	Active	NO
4	U17220PB2005PLC028877	T.C. TERRYTEX LIMITED	Director	9/7/2009	9/7/2009	-	Active	NO
5	U17200PB2010PTC034153	T.C YARNS PRIVATE LIMITED	Director	4/8/2010	4/8/2010	-	Active	NO

Name :

Mr. Akhil Satia

Designation :

Director

Address :

Satia Niwas Railway Road, Muktsar – 152026, Punjab, India

Date of Birth/Age :

10.02.1983

Date of Appointment :

30.08.2005

DIN No.:

01138038

Other Directorship

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U45201DL2004PTC125076	BASE DEVELOPERS PRIVATE LIMITED	Director	10/3/2004	10/3/2004	1/12/2009	Active	NO
2	U17220PB2005PLC028877	T.C. TERRYTEX LIMITED	Director	30/08/2005	30/08/2005	-	Active	NO
3	U17115PB1991PTC011007	S D S COTTON PRIVATE LIMITED	Director	25/05/2006	25/05/2006	9/3/2007	Active	NO
4	U17121PB2006PTC030623	T.C. SPINNERS PRIVATE LIMITED	Director	22/09/2006	22/09/2006	10/6/2010	Active	NO
5	U17111PB1992PLC012747	SATIA SYNTHETICS LIMITED	Additional director	18/07/2007	18/07/2007	26/02/2009	Active	NO
6	U17290PB2008PLC031599	T.C. FABRICS AND PAPERS LIMITED	Director	18/01/2008	18/01/2008	-	Strike off	NO
7	U55101CH2002PTC025117	DRIVE IN TOURIST RESORTS PRIVATE LIMITED	Director	30/09/2010	5/8/2010	14/02/2011	Active	NO

Name :

Mr. Sameer Vaid

Designation :

Additional director

Address :

32, Gujarat Vihar, Delhi – 110092, India

Date of Birth/Age :

19.09.1983

Date of Appointment :

02.09.2011

DIN No.:

03627370

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2011

Names of Shareholders (Equity Shares)	No. of Shares
Anil Satia	48670400
Saloni Satia	4160100
Akhil Satia	7824100
Ankit Satia	100
Krishna Satia	100
Shakti Singh	100
Rakesh Doomra	100
Ajay Satia	1908750
T.C. Leasing and Investment Private Limited, India	440250
Total	63004000

Names of Shareholders (Preference Shares)	No. of Shares
Anil Satia	2000000
Total	2000000

As on 25.04.2012

Names of Allottees (Equity Shares)	No. of Shares Allotted
Akhil Satia	2590000
Total	2590000

As on 30.09.2011

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Terry Towels
Products :	· Zero Twist · Beach Towels · Kitchen Towel · Egyptian Towel · Bamboo Towel · Combed -Ply Towel · Fringes Towels · Fine Zero Twist Towels · Textured Towels · Jacquard Towels  · Cabana Stripe Towels · Jacquard Terry Towels · Jacquard Velour Towels · Piece Dyed Jacquard Velour Towels

PRODUCTION STATUS (As on 31.03.2011)

Particulars	Installed Capacity	Actual Production
Terry Towel	48 Looms	4022399 Kg
Dyed Yarn	3600 MT/Annum	2312383 Kg

Note: Installed capacity is as certified by the Management but not verified by the Auditors being a technical matter.

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· State Bank of India, Specialised Commercial Branch, Pahwa Complex Miller Ganj, Ludhiana - 141003, Punjab, India

· State Bank of Patiala

· Indian Overseas Bank

· State Bank of Hyderabad

· Punjab National Bank

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2011	As on 31.03.2010
Rupee term loans banks secured	602.884	671.275
Working capital loans banks secured	328.968	277.815
Loans taken for vehicles secured	0.463	0.000
Total	932.315	949.090
Unsecured Loan	As on 31.03.2011	As on 31.03.2010
Other debt unsecured	47.500	33.243
Total	47.500	33.243

Banking Relations :	--
Auditors :
Name :	Rakesh Bansal and Company Chartered Accountants
Address :	Karnail Theater Muktsar - 152026, Punjab, India
PAN.:	ABJPB2567P
Associates Company :	· Satia Synthetics Limited, Lubanianwali · T.C. Spinners Private Limited, Lalru

CAPITAL STRUCTURE

After 30.09.2011

Authorised Capital : Rs.965.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
65594000	Equity Shares	Rs.10/- each	Rs.655.940 Millions
2000000	Preference Shares	Rs.10/- each	Rs.20.000 Millions
	Total		Rs.675.940 Millions

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
63004000	Equity Shares	Rs.10/- each	Rs.630.040 Millions
2000000	Preference Shares	Rs.10/- each	Rs.20.000 Millions
	Total		Rs.650.040 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
63004000	Equity Shares	Rs.10/- each	Rs.630.040 Millions
2000000	Preference Shares	Rs.10/- each	Rs.20.000 Millions
	Total		Rs.650.040 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		650.040	514.540	350.500
2] Share Application Money		33.243	76.000	164.040
3] Reserves & Surplus		0.000	0.000	0.000
4] (Accumulated Losses)		(163.781)	(204.620)	(207.403)
NETWORTH		519.502	385.920	307.137
LOAN FUNDS
1] Secured Loans		932.315	949.090	954.436
2] Unsecured Loans		47.500	33.243	0.000
TOTAL BORROWING		979.815	982.333	954.436
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		1499.317	1368.253	1261.573
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		879.682	943.767	985.845
Capital work-in-progress		72.266	179.670	177.272
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	485.869	323.948	145.156
	Sundry Debtors	224.843	157.873	194.390
	Cash & Bank Balances	19.586	26.155	31.546
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	109.864	106.915	74.044
Total Current Assets		840.162	614.891	445.136
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	266.612	327.679	316.195
	Other Current Liabilities	28.683	44.220	0.000
	Provisions	0.000	0.000	31.489
Total Current Liabilities		295.295	371.899	347.684
Net Current Assets		544.867	242.992	97.452
MISCELLANEOUS EXPENSES		2.502	1.824	1.004
TOTAL		1499.317	1368.253	1261.573

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	1653.853	1290.528	614.430
		Other Income	103.045	77.221	25.153
		TOTAL (A)	1756.898	1367.749	639.583
Less	EXPENSES
		Consumption materials changes inventories	(137.211)	(162.600)
		Manufacturing service costs	1446.012	1197.875	695.100
		Employee related expenses	124.407	78.204
		Administrative selling other expenses	101.779	78.143
		TOTAL (B)	1534.987	1191.622	695.100
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		221.911	176.127	(55.517)
Less	FINANCIAL EXPENSES (D)		97.023	90.687	80.174
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		124.888	85.440	(135.691)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		84.049	82.658	71.382
	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		40.839	2.782	(207.073)
Less	TAX (H)		0.000	0.000	0.393
	PROFIT (LOSS) AFTER TAX (G-H) (I)		40.839	2.782	(207.466)
	EARNINGS IN FOREIGN CURRENCY		786.194	547.831	NA
	TOTAL IMPORTS		4.713	NA	NA
	Earnings Per Share (Rs.)		0.63	NA	NA

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	2.32	0.20	(32.44)
Net Profit Margin (PBT/Sales)	(%)	2.47	0.22	(33.70)
Return on Total Assets (PBT/Total Assets}	(%)	2.37	0.18	(14.47)
Return on Investment (ROI) (PBT/Networth)		0.08	0.01	(0.68)
Debt Equity Ratio (Total Liability/Networth)		2.45	3.51	4.24
Current Ratio (Current Asset/Current Liability)		2.85	1.65	1.28

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	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	(No)
9]	Name of person contacted	(No)
10]	Designation of contact person	(No)
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	(Yes)
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 involved in	----------------------
23]	Banking Details	(Yes)
24]	Banking facility details	(Yes)
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)
31]	Date of Birth of Proprietor/Partner/Director, if available	(Yes)
32]	PAN of Proprietor/Partner/Director, if available	(No)
33]	Voter ID No of Proprietor/Partner/Director, if available	(No)
34]	External Agency Rating, if available	(Yes)

Note:

The registered office of the company has been shifted from Railway Road, Muktsar - 152026, Punjab, India to present address w.e.f. 01.11.2008

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U17220PB2005PLC028877
Name of the company	T.C. TERRYTEX LIMITED
Address of the registered office or of the principal place of business in India of the company	Village Sarsini, Ambala-Chandigarh Highway, Near Lalru, Tehsil Derabassi,, Lalru, Mohali - 140501, Punjab, India psharmaandco@gmail.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10023638
Type of charge	· Immovable property · Movable property (not being pledge)
Particular of charge holder	State Bank of India, Specialised Commercial Branch, Pahwa Complex Miller Ganj, Ludhiana - 141003, Punjab, India psharmaandco@gmail.com
Nature of instrument creating charge	C-2A: Supplemental Agreement of Hypothecation of Goods and Assets for Increase in the overall limit. C-1A: Supplemental Agreement of Loan or Increase in the overall limit. C-5: Letter Regarding the grant of Individual Limit under the overall limit.
Date of instrument Creating the charge	15.03.2012
Amount secured by the charge	Rs.234.600 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest TL 1 of Rs.185.600 Millions @ 5.5% above base rate present effective rate 15.5% P.A. TL 2 of Rs.49.000 Millions @ 5.25% above base rate present effective rate 15.25% P.A Terms of Repayment TL 1 of Rs.185.600 Millions as earlier. TL 2 of Rs. Rs.49.000 Millions 1 to 36th installments of Principle Rs. 0.300 Million Each payable on 1st October 2012 to 1st Sept. 2015. 37 to 71st installments of Principle Rs. 1.061 Millions Each payable on 1st October 2015 to 1st August 2018 and 72^nd of Rs. 1.065 Millions payable on 1st September 2018. Margin As earlier Extent and Operation of the charge As earlier Others The Term loan of Rs.185.600 Millions was left to be repaid from the original Rs.250.000 Millions then some rearrangements were made on 15.03.2012 and a new facility of Rs.49.000 Millions by way of term loan was granted so the overall limit went up to Rs.234.600 Millions but the whole original term loan reduced from Rs.250.000 Millions to Rs.234.600 Millions and the Working capital limit of Rs.215.000 Millions which is included in this charge id, there has been a separate charge created for the CC limit.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	As per the earlier agreement and agreement executed this time.
Date of instrument modifying the charge	03.08.2008
Particulars of the present modification	The charge is reduced from Rs. 250.000 Millions to Rs.234.600 Millions (consisting of Rs.185.600 Millions from earlier and Rs.49.000 Millions current.) due to Rearrangement in Term Loan.

Fixed Assets

· Land

· Building, Roads and Developments

· Plant and Machinery

· Computer

· Electrical Equipments

· Furniture and Fixture

· Office Equipments

AS PER WEBSITE

PROFILE

Subject is a Unit of SATIA GROUP which is being established with the objective of offering to its customers a one stop solution to meet al their home textiles needs by manufacturing customized home textile products like Towels, Bath Mats, and Bath Gown. The Terry Towel division will be the first one to go into commercial production in February 2008. The factory is situated on the National Highway-21 at near Lalru, which is a 3 hours drive, by Car or Train from New Delhi. It is also well connected with the Air Services.

R and D studies in towels are based on experience for unfurnished results, but the real R and D starts at the basic level i.e. in their Cotton Yarn Factory. Quality control starts from the point where the fiber is obtained. They purchase their yearly cotton requirement from the same region, in order to get consistent standard products, by using the best quality fiber for production on machineries. Which is in step with the latest innovations and employing highly skilled and trained workers they will be able to bring about the best provided there you adequate capital.

Subject has a manufacturing set-up which is one of the most sophisticated in South Asia, Spread across 143,400 Sq Meters. It is equipped with the worlds latest SMIT Rapier Looms and Airjet TSudocama Looms running at 550 RPM with variopick facility, Wide width shuttle less looms with no width limitation (Jumbo Flexible Jacquards). The looms are backed by the latest equipment including Jacquardsfrom Bonas and Warp Tyeing machines from KNOTEX (GERMANY), the latest pressure dyeing vessels from Fongs, and Fabric dyeing from Brazolli (Italy), and the RF dryer from STALAM. It also incorporates the latest technology warping machines from WESTPOINT (U.S.A.), Shearing machines from Mario Crosta fully automated cutting and stitching machines from Schmale (Germany). Along with Genkinger material handling trolly’s for looms and preparatory. This complete set up is further supported by latest CAD system and simulation systems from NerdGraphics (Netherlands).

Subject also boasts a completely equipped and automated laboratory with a Spectrophoto meter) and an automatic color dispensing and dyeing unit from DATA COLOUR from the U.S.A. and a Light Box from Macbeth (Switzerland). To further enhance the strength of the above, they have the country’s best technicians who ensure quality, efficiency and consistency to provide you with quality terry towels.

Their production capacity will be approximately 5000 tons with turnover of 150 crores ($40 million U.S.dollars) per annum. Will be with a wide range of designs in Bath towels, Embroidered Towels, Beach Towels, Kitchen Towels, Christmas Towels, Blankets and Bath Robes etc. Their design range encompasses a wide range in both Yarn Dyed and Piece Dyed qualities both in Dobbies and Jacquards. Also their designers in U.K., U.S.A. and Australia provide then with a continuous feedback on latest innovations and developments in designs and colors to give then an edge in their enterprise to provide you with new and radically forward products and designs.

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.55.70
UK Pound	1	Rs.87.55
Euro	1	Rs.68.85

INFORMATION DETAILS

Report Prepared by :

NTH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	2
--CREDIT LINES	1~10	3
--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		28

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.