MIRA INFORM REPORT

Report Date :

08.12.2012

IDENTIFICATION DETAILS

Name :	INTELLICON PRIVATE LIMITED
Formerly Known As :	ESSEN TELECOMMUNICATIONS PRIVATE LIMITED
Registered Office :	B – 404, Shivalik Plaza, Near IIM, Panjrapol, Ahmedabad – 380015, Gujarat
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	27.12.1984
Com. Reg. No.:	04-007533
Capital Investment / Paid-up Capital :	Rs. 18.401 Millions
CIN No.: [Company Identification No.]	U32201GJ1984PTC007533
TAN No.: [Tax Deduction & Collection Account No.]	AHMI00588A
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer, Trader and Importer of Bar Coding and Communication Equipments.
No. of Employees :	250 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

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

Maximum Credit Limit :	USD 402000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. The management of the company has not filed its latest financial i.e. 2011-2012 with government department. From the financial of 2011 it seems that the company is progressing well. 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.

INDIAN ECONOMIC OVERVIEW

India is developing into an open-market economy, yet traces of its past autarkic policies remain. Economic liberalization, including industrial deregulation, privatization of state-owned enterprises, and reduced controls on foreign trade and investment, began in the early 1990s and has served to accelerate the country's growth, which has averaged more than 7% per year since 1997. India's diverse economy encompasses traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. Slightly more than half of the work force is in agriculture, but services are the major source of economic growth, accounting for more than half of India's output, with only one-third of its labor force. India has capitalized on its large educated English-speaking population to become a major exporter of information technology services and software workers. In 2010, the Indian economy rebounded robustly from the global financial crisis - in large part because of strong domestic demand - and growth exceeded 8% year-on-year in real terms. However, India's economic growth in 2011 slowed because of persistently high inflation and interest rates and little progress on economic reforms. High international crude prices have exacerbated the government's fuel subsidy expenditures contributing to a higher fiscal deficit, and a worsening current account deficit. Little economic reform took place in 2011 largely due to corruption scandals that have slowed legislative work. India's medium-term growth outlook is positive due to a young population and corresponding low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy. India has many long-term challenges that it has not yet fully addressed, including widespread poverty, inadequate physical and social infrastructure, limited non-agricultural employment opportunities, scarce access to quality basic and higher education, and accommodating rural-to-urban migration.

Source : CIA

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 DENIED BY

Name :	Mr. Rakesh Shah
Designation :	Accounts Manager
Contact No.:	91-79-30512000
Date :	07.12.2012

LOCATIONS

Registered / Corporate Office :	B – 404, Shivalik Plaza, Near IIM, Panjrapol, Ahmedabad – 380015, Gujarat, India
Tel. No.:	91-79-30013333
Fax No.:	91-79-30013300
E-Mail :	ashwinj@intellicon.in corporate@intellicon.in intelgnr@intelliconltd.com meetat@intelicon.in
Website :	http://www.intelliconltd.com www.intellicon.in
Area :	300 sq. ft
Location :	Rented
Logistics and Support Centre / Factory :	B/20, GIDC Electronic Estate, Sector – 25, Gandhinagar – 382044, Gujarat, India
Tel. No.:	91-79-30512000
Fax No.:	91-79-30512010
E-Mail :	intelgnr@intelliconltd.com info@intelliconltd.com
Area :	4000 sq. ft
Location :	Owned
Branch Office :	Located at: Ø Mumbai Ø Ahmedabad Ø Gandhinagar Ø New Delhi Ø Ø Pune Ø Secunderabad Ø Surat Ø Bangalore Ø Baroda Ø Bhopal Ø Chennai Ø Ernakulam Ø Kolkata Ø Lucknow

DIRECTORS

AS ON 26.09.2011

Name :	Mr. Sameer Shashikant Parekh
Designation :	Managing Director
Address :	111, Rambha, 66 Nepean Sea Road, Mumbai – 400006, Maharashtra, India
Date of Birth/Age :	23.11.1963
Qualification :	M.S.
Experience :	24 Years
Date of Appointment :	28.09.1987
DIN :	00010159
Name :	Mr. Chetankumar Hasmukh Turakhia
Designation :	Director
Address :	B – 83, Tirthbhumi Apartments, Near Gajjar Hall, Law Garden, Ellisbridge, Ahmedabad – 380006, Gujarat, India
Date of Birth/Age :	31.12.1965
Qualification :	B.E.
Experience :	22 Years
Date of Appointment :	16.10.2001
DIN :	00030628
Name :	Mr. Shashikant Shamjibhai Parekh
Designation :	Director
Address :	66-C, Rambha, 66 Nepean Sea Road, Mumbai – 400006, Maharashtra, India
Date of Birth/Age :	13.12.1932
Date of Appointment :	02.05.1986
DIN :	00030682
Name :	Ms. Meeta Hetal Trivedi
Designation :	Director
Address :	Plot No.315, Sector – 8, Gandhinagar - 382007, Gujarat, India
Date of Birth/Age :	08.11.1966
Date of Appointment :	20.08.2011
DIN :	03601532
Name :	Mr. Srinivasan Rengacharri Sudarsana
Designation :	Director
Address :	Ajinkyatara Cooperative Housing Society Limited, Flat – 2, Plot – 129, RSC – 11, WBP-Part-1, Charkop, Kandivali [West], Mumbai – 400067, Maharashtra, India
Date of Birth/Age :	29.07.1965
Date of Appointment :	20.08.2011
DIN :	03602209

KEY EXECUTIVES

Name :	Mr. Rakesh Shah
Designation :	Accounts Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 26.09.2011

Names of Shareholders [Equity Shares]	No. of Shares
Sameer Shashikant Parekh	94560
Shashikant Shamjibhai Parekh [HUF]	18000
Arusha Stock Holdings Private Limited, India	427500
Total	540060

AS ON 26.09.2011

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	80.00
Directors or relatives of directors	20.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer, Trader and Importer of Bar Coding and Communication Equipments.

Products:

Enterprise Communications Ø IP Communication Server Ø ISDN/ IP Based Digital EPABX Ø Digital ISDN Key Telephone System Ø Analog Key Telephone Systems Video Conferencing and AV Integration Solutions Ø High Definition VC Products & Solutions Ø VC Infrastructure Products and Desktop solutions Ø Integrated Control & Automation Systems Ø LFD/LED Displays & Video Wall Solutions Information Technology Ø Mobile Computers Ø Barcode Scanners/ Mobile Computers Ø Barcode / RFID Printers Ø Mobile Printers Ø High Speed Industrial Laser-Raster/ Image Scanners Ø RFID Equipments Ø Wireless Network Components Software Products Ø IntelliASSET: Asset Tracking Software Ø IntelliCAS: Call Accounting Software Ø IntelliCONSOLL PC Based Consol Ø IntelliCONTACT: Call Centre Solution Ø IntelliCONTACT-VL: Voice Loggers Ø IntelliERS: Emergency Reporting System Ø IntelliIVRSL Integrated Voice Response System Ø IntelliMEET: Meet Me Conference Solution Ø IntelliVMS: Voice Mail Solution Ø IntelliWMS: Warehouse Management Software

GENERAL INFORMATION

No. of Employees :

250 (Approximately)

Bankers :

Ø Bank of India, Sector 16, Gandhinagar, Gujarat, India

Ø CITI Bank N. V., 3^rd Floor, Rembrandt, C G Road, Near Panchvati Circle, Ahmedabad – 380006, Gujarat, India

Ø HDFC Bank, Gandhinagar, Gujarat, India (Cash Credit Rs. 100.000 Millions)

Ø Citi Bank N. A., 3^rd Floor, Rembrandt, C G Road, Near Panchavati Circle, Ahmedabad – 380006, Gujarat, India

Ø HDFC Bank, Branch Senapati Bapat Marg, Lower Parel (West), Mumbai – 400013, Maharashtra, India

Ø Bank of Baroda , Ahmedebad Branch, Gujarat, India

Ø ICICI Bank Limited

Ø Union Bank of India

Ø Canara Bank

Ø State Bank of Travancore

Facilities :

Secured Loans	31.03.2011 (Rs. In Millions)	31.03.2010 (Rs. In Millions)
HDFC Bank – (cash credit account)	46.955	59.079
HDFC Bank – (WCTL)	16.257	25.644
HDFC Bank – ( Buyer Credit)	53.030	21.787
Citi Bank – (Current a/c – OD)	0.000	0.344
ICICI Bank Limited [Car Loan]	4.913	0.943
Total	121.155	107.797

Unsecured Loans	31.03.2011 (Rs. In Millions)	31.03.2010 (Rs. In Millions)
Short term loans
From shareholders and relatives of directors	54.198	50.411
Total	54.198	50.411

Note:

1. Working capital loan from HDFC Bank Limited Gandhinagar Branch is secured by way of first charge on pari passu basis on all movables and immovable property, both present and future, by the way of equitable mortgage of factory land, by way of hypothecation of stock.
2. other loan from ICICI Bank Limited are secured by way of hypothecation of assets under hire purchase

Banking Relations :	-
Auditors :
Name :	Shreekant S Shah and Company Chartered Accountants
Address :	11, Krishna Apartment, 2^nd Floor, Opposite Russian Flats, Navrangpura, Ahmedabad – 380009, Gujarat, India
Tel No.:	91-79-26425541/ 26441102
Fax No.:	91-79-26430843
Email :	shreekant@cashreekantshah.com shreekant.shah@gmail.com
Pan No.:	ACVPS6968C
Other Related Parties :	Ø Quest Telecom Private Limited Ø IDE Infotech Private Limited
Holding Company :	Ø Arusha Stock Holdings Private Limited CIN: U65910GJ1988PTC010378

CAPITAL STRUCTURE

AFTER 26.09.2011

Authorised Capital : Rs. 21.500 Millions

Issued, Subscribed & Paid-up Capital : Rs. 5.401 Millions

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
100,000	Equity Shares A	Re.1/- each	Rs. 0.100 Million
6,900	Equity Shares B	Rs.1000/- each	Rs. 6.900 Millions
			Rs. 7.000 Millions
130,000	1% Redeemable Non Cumulative Preference Shares	Rs.100/- each	Rs. 13.000 Millions
	Total		Rs. 20.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
42,600	Equity Shares A	Re.1/- each	Rs. 0.043 Million
5,358	Equity Shares B	Rs.1000/- each	Rs. 5.358 Millions
			Rs. 5.401 Millions
130,000	1% Redeemable Non Cumulative Preference Shares	Rs.100/- each	Rs. 13.000 Millions
	Total		Rs. 18.401 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		18.401	18.401	18.401
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		82.004	40.670	35.350
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		100.405	59.071	53.751
LOAN FUNDS
1] Secured Loans		121.155	107.797	120.229
2] Unsecured Loans		54.198	50.411	49.098
TOTAL BORROWING		175.353	158.208	169.327
DEFERRED TAX LIABILITIES		4.655	4.923	5.228
TOTAL		280.413	222.202	228.306
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		47.882	46.482	52.399
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		1.090	1.090	1.090
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	95.854	74.629	79.266
	Sundry Debtors	397.717	227.535	227.879
	Cash & Bank Balances	7.616	7.573	5.100
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	37.459	32.577	25.612
Total Current Assets		538.646	342.314	337.857
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	212.813	126.846	124.607
	Current Liabilities	61.812	26.963	31.034
	Provisions	32.709	14.131	7.917
Total Current Liabilities		307.334	167.940	163.558
Net Current Assets		231.312	174.374	174.299
MISCELLANEOUS EXPENSES		0.129	0.256	0.518
TOTAL		280.413	222.202	228.306

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income
		Other Income
		TOTAL (A)	798.733	517.030	542.155
Less	EXPENSES
		Office Expenses
		Administrative Expenses	712.082	481.305	507.290
		Advertising Expenses
		TOTAL (B)	712.082	481.305	507.290
	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		86.651	35.725	34.865
Less	FINANCIAL EXPENSES (D)		12.987	18.042	18.324
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		73.664	17.683	16.541
Less/ Add	DEPRECIATION/ AMORTISATION (F)		6.316	6.144	5.922
	PROFIT BEFORE TAX (E-F) (G)		67.349	11.539	10.619
Less	TAX (H)		24.599	4.804	5.307
	PROFIT AFTER TAX (G-H) (I)		42.750	6.735	5.312
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		37.159	32.725	29.364
Less	APPROPRIATIONS
		General Reserve	4.274	0.885	0.535
		Dividend
		-On Equity Shares	1.080	1.080	1.080
		-On Preference Share	0.130	0.130	0.130
		Tax on Dividend	0.206	0.206	0.206
	BALANCE CARRIED TO THE B/S		74.219	37.159	32.725
	EARNINGS IN FOREIGN CURRENCY
		Commission received	0.068	0.185	0.267
	Earnings Per Share (Rs.)		7.92	1.25	0.98

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	5.35	1.30	0.98
Return on Total Assets (PBT/Total Assets}	(%)	11.48	2.97	2.72
Return on Investment (ROI) (PBT/Networth)		0.67	0.20	0.20
Debt Equity Ratio (Total Liability/Networth)		4.81	5.52	6.19
Current Ratio (Current Asset/Current Liability)		1.75	2.04	2.07

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITORS DETAILS:

Particulars	31.03.2011	31.03.2010	31.03.2009
	(Rs. In Millions)
Sundry Creditors for Goods	198.730	118.474	116.982
Sundry Creditors for Expenses	14.083	8.372	7.625
Total	212.813	126.846	124.607

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	Yes
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	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	No
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	No

Note: The Registered Office of the company has been shifted from 48-49 White House, Near Panchavati Circle, Ellis Bridge, Ahmebabad – 380006, Gujarat, India to the present address w.e.f 15.09.2006.

REVIEW OF OPERATIONS:

ln the year the company showed a robust growth of over 50% on a year on year basis riding on the back of some large deals and banking on the economic turnaround. The restructuring exercise the company undertook during the year also was a base for the turnaround with more focus on verticals from each team.

The current year saw the Company make important breakthrough in the Audio visual integration areas with large deals from ITI and Mudra bolstering this new business activity. The legacy businesses and new developments of the previous year still continued their repeat businesses emphasizing the strong customer relationships we share with the customers and their continued support to the company. The Defense forces and corporate customers such as pepsi, LG, Maruti. Nokia reaffirmed their business to them.

NEW INITIATIVES:

Banking on the success of the foray into the Sales Force Automat-ton market the previous year the company focused on this activity and was able to capitalize on the same with multiple new wins. The defense teams worked on new developments in tandem with their Telecom partner, Karel, which will help position the company in rugged zed EPABX requirements of the army. The company partnered with M/s Rolta to bid for this deal

FUTURE OUTLOOK:

The company has planned for an ambitious growth of 30% in the coming year riding on the back of a 50% growth on last year. The year started well with a carryover order book which would account for 20% of the sales targeted for the year. Additionally the HR teams have been strengthened with the appointment of a VP (HR) to address the needs of the company as it has over 300 employees now. The Enterprise team has been merged from two divisions to one in the current year again to give more focus of convergence between the departments. Service teams have been enhanced with the larger customer base with targets for a higher growth too. The company also is looking to enhance the board of Directors and is looking to inducting the same from within the teams.

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U32201GJ1984PTC007533
Name of the company	INTELLICON PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	B – 404, Shivalik Plaza, Near IIM, Panjrapol, Ahmedabad – 380015, Gujarat, India Email: meetat@intellicon.in
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10173087
Type of charge	Book Debts Movable Property Floating Charge
Particular of charge holder	HDFC Bank, Branch Senapati Bapat Marg, Lower Parel (West), Mumbai – 400013, Maharashtra, India Email : RBBform8@hdfcbank.com CIN No.: L65920MH1994PLC080618
Nature of description of the instrument creating or modifying the charge	Supplementary Letter of Hypothecation.
Date of instrument Creating the charge	29.09.2011
Amount secured by the charge	Rs. 280.000 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest Interest at the rate as may be communicated by the Bank from time to time. Terms of Repayment On demand Margin As may be stipulated by bank from time to time Extent and Operation of the charge Hypothecation by way of First Charge on Company's Stocks and Book Debts etc, as a continuing security to secure below for the repayment of Rs.280.000 millions together with interest, costs, charges, expenses and other moneys due and payable by the Company to the Bank.
Short particulars of the property charged	Stock in Trade, consisting of raw materials, goods in process of manufacturing finished goods, and other merchandise whatsoever being movable properties. All the debts, that is, all the book debts, outstandings, monies receivables, claims, bills, invoice documents, contracts, guarantees, and rights
Date of latest modification prior to the present modification	26.03.2011
Particulars of the present modification	The Charge shall now stand reduced from to Rs.192.500 Millions to Rs.280.000 Millions against the security of Stocks, Book Debts of the Company.

CONTINGENT LIABILITY NOT PROVIDED FOR

Particulars	31.03.2011 (Rs. In Millions)	31.03.2010 (Rs. In Millions)
a)Guarantee given by bank
Citi bank N.A.	1.372	1.372
HDFC Bank Limited – Gandhinagar	16.580	9.273
Bank of India Gandhinagar	0.792	1.243
b) Excise duty demand [matter under appeal]	3.929	3.929
c) Letter of Credit
HDFC Bank Limited – Gandhinagar	9.530	23.606
Union bank of India – Mumbai	14.355	16.568
d) Company has paid and provided liability of VAT, CST and service tax on the basis of returns filed. No additional provision has been made as same cannot be ascertained on pending final assessment.

FIXED ASSETS:

Ø Land - Leasehold

Ø Building

Ø Plant and machineries

Ø Computers

Ø Office Equipments

Ø Furniture and fittings

Ø Misc Tools

Ø Testing HGS

Ø Vehicles

Ø Block equipment on lease (MTNL)

Ø Electric Installation

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

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. 54.02
UK Pound	1	Rs. 87.00
Euro	1	Rs. 70.22

INFORMATION DETAILS

Information Gathered by :	SVA
Report Prepared by :	BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
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	6
--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		47

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.