MIRA INFORM REPORT

Report Date :

23.08.2012

IDENTIFICATION DETAILS

Name :	VODAFONE SOUTH LIMITED [w.e.f. 13.10.2011]
Formerly Known As :	VODAFONE ESSAR SOUTH LIMITED
Registered Office :	C-48, Okhla Industrial Area, Phase II, New Delhi-110020
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	07.12.1995
Com. Reg. No.:	55-074451
Capital Investment / Paid-up Capital :	Rs.7016.075 Millions
CIN No.: [Company Identification No.]	U74899DL1995PLC074451
TAN No.: [Tax Deduction & Collection Account No.]	DELH05216B
PAN No.: [Permanent Account No.]	AABCB5847L
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Providing Cellular Services.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (46)

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

Maximum Credit Limit :	USD 45100000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject belongs to the Vodafone Group Plc. It is an established company having satisfactory track. It has recorded a better increase in its sales turnover and profit during 2011. Financial strength of the company is in good condition. Trade relations are reported as decent. 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 – 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	CRISIL
Rating	AA [Term Loan]
Rating Explanation	High degree of safety and very low credit risk.
Date	29.12.2011

Rating Agency Name	CRISIL
Rating	A1 + [Short Term Loan]
Rating Explanation	Very strong degree of safety
Date	29.12.2011

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.

INFORMATION DECLINED

Unable to contact

LOCATIONS

Registered Office :	C-48, Okhla Industrial Area, Phase II, New Delhi-110020, India
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	pushkaraj.joshi@vodafone.com kapil.agarwal@vodafone.com

DIRECTORS

Name :

Mr. Sunil Sood

Designation :

Director

Address :

Flat No. 2401/2402, Petit Towers, August Kranti Marg, Kemps Corner, Mumbai-400036, Maharashtra, India

Date of Birth/Age :

09.02.1961

Date of Appointment :

09.07.2010

Din No.:

03132202

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	Company/ LLP Status	Defaulting status
1	U64202TZ1995PLC007674	VODAFONE CELLULAR LIMITED	Managing director	09/07/2010	09/07/2010	Active	NO
2	U74899DL1995PLC074451	LIMITED	Managing director	09/07/2010	09/07/2010	Active	NO
3	U92100DL2007PLC170574	INDUS TOWERS LIMITED	Director	18/07/2012	06/01/2012	Active	NO
4	U51101DL2007PLC180238	VODAFONE INFRASTRUCTURE LIMITED	Additional director	16/02/2012	16/02/2012	Active	NO
5	U64200DL2007PLC207420	VODAFONE TOWERS LIMITED	Additional director	16/02/2012	16/02/2012	Active	NO
6	U74900MH2008PLC183456	MOBILE COMMERCE SOLUTIONS LIMITED	Additional director	25/06/2012	25/06/2012	Active	NO
7	U72200DL1997PLC085764	VODAFONE SPACETEL LIMITED	Additional director	25/06/2012	25/06/2012	Active	NO

Name :

Mr. Ravinder Takkar

Designation :

Director

Address :

Villa No. 111, Laburnum Condominium Complex, Sushant Lok, Gurgaon-122001, Haryana, India

Date of Birth/Age :

05.07.1968

Date of Appointment :

10.02.2010

Date of Ceasing :

16.02.2012

Din No.:

01719511

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	U64201GJ1999PTC059542	VODAFONE INDIA SERVICES PRIVATE LIMITED	Director	22/07/2008	30/08/2007	01/02/2010	Active	NO
2	U92100DL2007PLC170574	INDUS TOWERS LIMITED	Director	19/07/2010	21/01/2008	01/01/2012	Active	NO
3	U51101DL2007PLC180238	VODAFONE INFRASTRUCTURE LIMITED	Director	17/07/2008	30/04/2008	16/02/2012	Active	NO
4	U74900MH2008PLC183456	MOBILE COMMERCE SOLUTIONS LIMITED	Director	27/09/2010	09/02/2010	16/02/2012	Active	NO
5	U32200MH1992PLC119108	VODAFONE INDIA LIMITED	Alternate director	06/07/2011	10/02/2010	29/11/2011	Active	NO
6	U64202TZ1995PLC007674	VODAFONE CELLULAR LIMITED	Director appointed in casual vacancy	10/02/2010	10/02/2010	16/02/2012	Active	NO
7	U64200DL2007PLC207420	VODAFONE TOWERS LIMITED	Director appointed in casual vacancy	10/02/2010	10/02/2010	16/02/2012	Active	NO
8	U64202DL1992PLC088087	VODAFONE MOBILE SERVICES LIMITED	Director appointed in casual vacancy	10/02/2010	10/02/2010	16/02/2012	Active	NO
9	U65999MH2008NPL182612	UNIQUE INTERMEDIARY FACILITATORS	Director appointed in casual vacancy	10/02/2010	10/02/2010	16/02/2012	Active	NO
10	U74899DL1995PLC074451	VODAFONE SOUTH LIMITED	Director appointed in casual vacancy	10/02/2010	10/02/2010	16/02/2012	Active	NO
11	U64201DL1997PLC088088	VODAFONE DIGILINK LIMITED	Director appointed in casual vacancy	10/02/2010	10/02/2010	16/02/2012	Active	NO
12	U32204WB1992PLC079998	VODAFONE EAST LIMITED	Director appointed in casual vacancy	10/02/2010	10/02/2010	16/02/2012	Active	NO
13	U72200DL1997PLC085764	VODAFONE SPACETEL LIMITED	Director appointed in casual vacancy	10/02/2010	10/02/2010	16/02/2012	Active	NO
14	U32100GJ1995PLC035282	VODAFONE WEST LIMITED	Director appointed in casual vacancy	10/02/2010	10/02/2010	16/02/2012	Active	NO
15	U74900GJ2009PLC058189	VODAFONE SHARED SERVICES LIMITED	Director	27/09/2010	10/02/2010	16/02/2012	Active	NO

Name :

Mr. Pushkaraj Vishnu Joshi

Designation :

Director

Address :

5-23, Third Floor, Goregaonkar Lane, Near Central Cinema, Girgaon, Mumbai-400004, Maharashtra, India

Date of Birth/Age :

14.05.1974

Date of Appointment :

08.02.2011

Date of Ceasing :

16.02.2012

Din No.:

03328964

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	U74900GJ2009PLC058189	VODAFONE SHARED SERVICES LIMITED	Additional director	08/02/2011	08/02/2011	16/02/2012	Active	NO
2	U65999MH2008NPL182612	UNIQUE INTERMEDIARY FACILITATORS	Director	29/09/2011	08/02/2011	-	Active	NO
3	U32100GJ1995PLC035282	VODAFONE WEST LIMITED	Director	29/09/2011	08/02/2011	16/02/2012	Active	NO
4	U64200DL2007PLC207420	VODAFONE TOWERS LIMITED	Director	29/09/2011	08/02/2011	16/02/2012	Active	NO
5	U64202DL1992PLC088087	VODAFONE MOBILE SERVICES LIMITED	Director	29/09/2011	08/02/2011	16/02/2012	Active	NO
6	U51101DL2007PLC180238	VODAFONE INFRASTRUCTURE LIMITED	Director	29/09/2011	08/02/2011	16/02/2012	Active	NO
7	U32204WB1992PLC079998	VODAFONE EAST LIMITED	Director	29/09/2011	08/02/2011	16/02/2012	Active	NO
8	U74900MH2008PLC183456	MOBILE COMMERCE SOLUTIONS LIMITED	Director	29/09/2011	08/02/2011	16/02/2012	Active	NO
9	U72200DL1997PLC085764	VODAFONE SPACETEL LIMITED	Director	29/09/2011	08/02/2011	16/02/2012	Active	NO
10	U74899DL1995PLC074451	VODAFONE SOUTH LIMITED	Director	29/09/2011	08/02/2011	16/02/2012	Active	NO
11	U64201DL1997PLC088088	VODAFONE DIGILINK LIMITED	Director	29/09/2011	08/02/2011	16/02/2012	Active	NO
12	U64202TZ1995PLC007674	VODAFONE CELLULAR LIMITED	Director	29/09/2011	08/02/2011	16/02/2012	Active	NO

Name :

Karen Witts

Designation :

Director

Address :

14, Kersley ST, SW114PT, London, United Kingdom

Date of Birth/Age :

28.05.1963

Date of Appointment :

08.04.2011

Date of Ceasing :

30.06.2012

Din No.:

03410673

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	U32200MH1992PLC119108	VODAFONE INDIA LIMITED	Director	29/09/2011	08/04/2011	-	Active	NO
2	U32100GJ1995PLC035282	VODAFONE WEST LIMITED	Director	29/09/2011	08/04/2011	30/06/2012	Active	NO
3	U74900GJ2009PLC058189	VODAFONE SHARED SERVICES LIMITED	Director	29/09/2011	08/04/2011	30/06/2012	Active	NO
4	U65999MH2008NPL182612	UNIQUE INTERMEDIARY FACILITATORS	Director	29/09/2011	08/04/2011	30/06/2012	Active	NO
5	U64200DL2007PLC207420	VODAFONE TOWERS LIMITED	Director	29/09/2011	08/04/2011	30/06/2012	Active	NO
6	U64202DL1992PLC088087	VODAFONE MOBILE SERVICES LIMITED	Director	29/09/2011	08/04/2011	30/06/2012	Active	NO
7	U51101DL2007PLC180238	VODAFONE INFRASTRUCTURE LIMITED	Director	29/09/2011	08/04/2011	30/06/2012	Active	NO
8	U32204WB1992PLC079998	VODAFONE EAST LIMITED	Director	29/09/2011	08/04/2011	30/06/2012	Active	NO
9	U74900MH2008PLC183456	MOBILE COMMERCE SOLUTIONS LIMITED	Director	29/09/2011	08/04/2011	30/06/2012	Active	NO
10	U72200DL1997PLC085764	VODAFONE SPACETEL LIMITED	Director	29/09/2011	08/04/2011	30/06/2012	Active	NO
11	U74899DL1995PLC074451	VODAFONE SOUTH LIMITED	Director	29/09/2011	08/04/2011	30/06/2012	Active	NO
12	U64201DL1997PLC088088	VODAFONE DIGILINK LIMITED	Director	29/09/2011	08/04/2011	30/06/2012	Active	NO
13	U64202TZ1995PLC007674	VODAFONE CELLULAR LIMITED	Director	29/09/2011	08/04/2011	30/06/2012	Active	NO

Name :

Saswata Dhar

Designation :

Director

Address :

46, Columbia, St. Dominic Road, Opposite St. Andrew’s College, Bandra (West), Mumbai-400050, Maharashtra, India

Date of Birth/Age :

13.02.1966

Date of Appointment :

01.07.2011

Date of Ceasing :

16.02.2012

Din No.:

02276603

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	U15200MH2004PTC149035	DAVERASHOLA ESTATES PRIVATE LIMITED	Director	22/06/2009	01/08/2008	21/02/2011	Active	NO
2	U74999MH1946PLC005403	LEVERS ASSOCIATED TRUST LIMITED	Director	20/07/2010	18/03/2010	25/02/2011	Active	NO
3	U74900GJ2009PLC058189	VODAFONE SHARED SERVICES LIMITED	Additional director	01/07/2011	01/07/2011	16/02/2012	Active	NO
4	U64200DL2007PLC207420	VODAFONE TOWERS LIMITED	Director	29/09/2011	01/07/2011	16/02/2012	Active	NO
5	U65999MH2008NPL182612	UNIQUE INTERMEDIARY FACILITATORS	Director	29/09/2011	01/07/2011	16/02/2012	Active	NO
6	U32100GJ1995PLC035282	VODAFONE WEST LIMITED	Director	29/09/2011	01/07/2011	16/02/2012	Active	NO
7	U64202DL1992PLC088087	VODAFONE MOBILE SERVICES LIMITED	Director	29/09/2011	01/07/2011	16/02/2012	Active	NO
8	U51101DL2007PLC180238	VODAFONE INFRASTRUCTURE LIMITED	Director	29/09/2011	01/07/2011	16/02/2012	Active	NO
9	U32204WB1992PLC079998	VODAFONE EAST LIMITED	Director	29/09/2011	01/07/2011	16/02/2012	Active	NO
10	U74900MH2008PLC183456	MOBILE COMMERCE SOLUTIONS LIMITED	Director	29/09/2011	01/07/2011	16/02/2012	Active	NO
11	U72200DL1997PLC085764	VODAFONE SPACETEL LIMITED	Director	29/09/2011	01/07/2011	16/02/2012	Active	NO
12	U74899DL1995PLC074451	VODAFONE SOUTH LIMITED	Director	29/09/2011	01/07/2011	16/02/2012	Active	NO
13	U64201DL1997PLC088088	VODAFONE DIGILINK LIMITED	Director	29/09/2011	01/07/2011	16/02/2012	Active	NO
14	U64202TZ1995PLC007674	VODAFONE CELLULAR LIMITED	Director	29/09/2011	01/07/2011	16/02/2012	Active	NO

KEY EXECUTIVES

Name :	Mr. Pradeep Goel
Designation :	Director
Address :	No. D-408, Olive Block, Raheja Residency, 3^rd Block, Koramangala, Bangalore-560034, Karnataka, India
Date of Birth/Age :	18.06.1970
Date of Appointment :	09.02.2010
Pan No.:	AAEPG2140H

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

Names of Shareholders	No. of Preferences Shares	No. of Equity Shares
Central Depository Services (India) Limited-Beneficiary Vodafone India Limited, India		264407500
Vodafone Mobile Services Limited, India		274199992
Vodafone Mobile Services Limited, India		999998
Vodafone Mobile Services Limited, India		4
Vodafone Spacetel Limited Jointly With Vodafone Mobile Services Limited, India		2
Vodafone Essar Cellular Limited Jointly With Vodafone Mobile Services Limited, India		1
Vodafone Essar East Limited Jointly With Vodafone Mobile Services Limited, India		1
Vodafone Digilink Limited Jointly With Vodafone Mobile Services Limited, India		1
Vodafone West Limited Jointly With Vodafone Mobile Services Limited, India		1
Vodafone Mobile Services Limited, India	200000	--
Vodafone West Limited, India	1600	--
Total	201600	539607500

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	100.00

BUSINESS DETAILS

Line of Business :

Providing Cellular Services.

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

Not Available

Facilities :

Secured Loan	As on 31.03.2011 [Rs. in Millions]	As on 31.03.2010 [Rs. in Millions]
Working capital loans banks	34469.000	39003.600
Finance lease obligation long-term	100.300	100.400
Total	34569.300	39104.000
Unsecured Loan
Working capital loans banks	9737.500	2567.800
Working capital loans others	16624.200	17475.200
Total	26361.700	20043.000

Banking Relations :	--
Financial Institution :	IL and FS Trust Company Limited, IL and FS Financial Centre, Plot No. C-22, G Block Bandra Kurla Complex, Bandra (East), Mumbai-400051, Maharashtra, India
Auditors :
Name :	Deloitte Haskins and Sells Chartered Accountants
Address :	12, Annie Besant Road, Opposite Shiv Sagar Estate, Worli, Mumbai-400018, Maharashtra, India
Pan No.:	AACFD4815A
Holding Company :	· Vodafone Essar Mobile Services Limited [U32200MH1992PLC119108] · Vodafone India Limited [U32200MH1992PLC119108]
Ultimate Holding Company :	· Vodafone Mobile Services Limited [U64202DL1992PLC088087] · Vodafone Group Plc. # [# under section 4 (6) of the companies act, 1956]
Intermediate Holding Company :	· Vodafone International Holdings B.V. # [# under section 4 (6) of the companies act, 1956] · Vodafone Essar Limited
Fellow Subsidiaries :	· Vodafone Essar Limited · Vodafone Essar Digilink Limited [U64201DL1997PLC088088] · Vodafone Essar East Limited · Vodafone West Limited [U32100GJ1995PLC035282] · Vodafone Essar Mobile Services Limited · Vodafone Essar Gujarat Limited · Vodafone Essar Cellular Limited · Vodafone Cellular Limited [U64202TZ1995PLC007674] · Vodafone Essar Spacetel Limited · Vodafone Essar Infrastructure Limited · Vodafone Essar Shared Services Limited · Vodafone India Services Private Limited · Vodafone Ireland Marketing Limited · Vodafone Ireland Sales Limited · Vodafone Overseas Finance Limited

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
540000000	Equity Shares	Rs.10/- each	Rs.5400.000 Millions
200000	Preferences Shares	Rs.100/- each	Rs.20.000 Millions
5000	Preferences Shares	Rs.1000000//- each	Rs.5000.000 Millions
	Total		10420.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
539607500	Equity Shares	Rs.10/- each	Rs.5396.075 Millions
200000	Preferences Shares	Rs.100/- each	Rs.20.000 Millions
1600	Preferences Shares	Rs.1000000/- each	Rs.1600.000 Millions
	Total		Rs.7016.075 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		7016.100	7016.100	7016.075
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		4259.200	59.700	21.340
4] (Accumulated Losses)		0.000	(581.200)	(3549.747)
NETWORTH		11275.300	6494.600	3487.668
LOAN FUNDS
1] Secured Loans		34569.300	39104.000	33780.959
2] Unsecured Loans		26361.700	20043.000	25277.795
TOTAL BORROWING		60931.000	59147.000	59058.754
DEFERRED TAX LIABILITIES		0.000	14.700	281.506
TOTAL		72206.300	65656.300	62827.928
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		64248.900	65599.300	62970.947
Capital work-in-progress		7530.000	6350.800	8773.978
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		110.700	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.000	0.000	0.000
	Sundry Debtors	10005.300	12775.100	6698.751
	Cash & Bank Balances	2724.700	1677.000	3146.756
	Other Current Assets	0.400	0.000	0.696
	Loans & Advances	12725.100	7822.300	7932.735
Total Current Assets		25455.500	22274.400	17778.938
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	32091.900	21713.600	19552.700
	Other Current Liabilities	6513.900	5655.100	6058.418
	Provisions	373.600	1199.500	1084.817
Total Current Liabilities		38979.400	28568.200	26695.935
Net Current Assets		(13523.900)	(6293.800)	(8916.997)
MISCELLANEOUS EXPENSES		13840.600	0.000	0.000
TOTAL		72206.300	65656.300	62827.928

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	96319.700	80515.700	69639.600
		Other Income	772.600	2760.500	1156.500
		TOTAL (A)	97092.300	83276.200	70796.100
Less	EXPENSES
		Manufacturing Service Costs	54420.000	45820.600	50719.100
		Employee Related Expenses	2288.200	2145.200
		Administrative Selling and Others Expenses	16419.700	11476.500
		TOTAL (B)	73127.900	59442.300	50719.100
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		23964.400	23833.900	20077.000
Less	FINANCIAL EXPENSES (D)		6466.700	6432.200	4523.100
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		17497.700	17401.700	15553.900
Less/ Add	DEPRECIATION/ AMORTISATION (F)		9834.300	12197.800	10190.800
	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		7663.400	5203.900	5363.100
Less	TAX (H)		3378.900	2235.200	8003.300
	PROFIT / (LOSS) AFTER TAX (G-H) (I)		4715.700	2968.700	(2640.200)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(581.200)	(3549.900)	(909.700)
	BALANCE CARRIED TO THE B/S		4134.500	(581.200)	(3549.900)
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	3868.700	NA	NA
	Earnings / (Loss) Per Share (Rs.)		8.70	5.50	(4.90)

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	4.85	3.56	(3.73)
Net Profit Margin (PBT/Sales)	(%)	7.95	6.46	7.70
Return on Total Assets (PBT/Total Assets}	(%)	8.54	5.92	6.64
Return on Investment (ROI) (PBT/Networth)		0.67	0.80	1.54
Debt Equity Ratio (Total Liability/Networth)		8.86	13.51	24.59
Current Ratio (Current Asset/Current Liability)		0.65	0.77	0.67

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]	PAN of Proprietor/Partner/Director, if available	No
32]	Date of Birth of Proprietor/Partner/Director, if available	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

FINANCIAL PERFORMANCE:

The earnings per Share for the year has substantially increased to Rs. 8.7 per share from Rs. 5.5 per share in the previous year as a result of increase in revenue from operations by 19.6% and reduced cost of depreciation and amortization.

OPERATIONS:

The year ended March 2011 has been a good year for the Company. The favourable revenue performance was primarily due to both higher Outbound and Inbound Voice and greater Messaging and Data usage. During the year, the Company has widened its subscriber base by launch of various segmented products.

The company’s customer base grew to a landmark 38.81 million subscribers with a growth rate of 31.08% on a year on year basis. The Company continues to be the leading operator, having a Revenue market share of 16.71% (Includes fixed line revenue of all operators) as at 31 March 2011 in a very competitive multi-player market.

During the year 2010-11, the Company has further expanded its network to increase its coverage and networks continue to perform better against acceptable thresholds for the major performance parameters. The Company has added 2662 more cell sites to enhance its network coverage, closing with a total of 33,453 cell sites as at 31 March 2011. Mobile Number Portability has resulted in net addition of 94,478 customers as of March 2011.

DEMERGER OF LONG DISTANCE BUSINESS:

During the year, the Company and the Transferee Company, Vodafone Essar Spacetel Limited has received Order of the Hon’ble Delhi High Court under Sections 391 to 394 of the Companies Act, 1956 for demerger of the National Long Distance (“NLD”) and International Long Distance (“ILD”), (together the Long Distance Business) from the company into Vodafone Essar Spacetel Limited. Subsequently, the Company and the Transferee Company have filed the necessary forms with the Registrar of Companies, N. C. T. of Delhi and Haryana. In accordance with the Scheme, the demerger would be effective upon receipt of approval of the Department of Telecommunications.

DEMERGER OF PASSIVE INFRASTRUCTURE ASSETS:

During the year, the Company and the transferee company, Vodafone Essar Infrastructure Limited received Order of the Delhi High Court approving the Scheme of Arrangement for demerger of passive infrastructure assets. Subsequent to filing of the requisite forms by the Company and also by the transferee company with the Registrar of Companies, N. C. T. of Delhi & Haryana, the Demerger has become effective and t he appointed date of the demerger in terms of the Scheme of Arrangement is 1 April 2009.

OUTLOOK FOR 2011-12:

Intense competition is expected to continue in FY-2011-12 both in the voice and data (2G and 3G) space. Though pricing action that was undertaken by new operators in FY2009-10 and 2010-11 to penetrate the market continued to impact revenues, the Company had the benefit of the first mover advantage in the 3G and data space. It is expected that subscribers will bond with the Company in view of the benefits of customer service, relevant pre-positions and a reliable network as is understood by them.

FIXED ASSETS:

· Licence Fees

· Computer Software

· Leasehold Land

· Plant and Machinery

· Computer Hardware

· Furniture and Fixtures

· Leasehold Improvements

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.55.51
UK Pound	1	Rs.87.60
Euro	1	Rs.69.15

INFORMATION DETAILS

Report Prepared by :

TPT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	7
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	3
--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	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		46

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.