MIRA INFORM REPORT

Report Date :

14.12.2012

IDENTIFICATION DETAILS

Name :	MILTON PLASTICS LIMITED

Registered Office :	Asian Building, 4^th Floor, R. Kamani Marg, Ballard Estate, Mumbai – 400 001, Maharashtra

Country :	India

Financials (as on) :	31.03.2012

Date of Incorporation :	01.05.1992

Com. Reg. No.:	11-066635

Capital Investment / Paid-up Capital :	Rs.125.000 millions

CIN No.: [Company Identification No.]	U25209MH1992PLC066635

TAN No.: [Tax Deduction & Collection Account No.]	PNEM07248D

Legal Form :	Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.

Line of Business :	Manufacturer of Thermo-ware Products.

No. of Employees :	Information declined by the management

RATING & COMMENTS

MIRA’s Rating :

Ca (18)

RATING

STATUS

PROPOSED CREDIT LINE

11-25

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

Limited with full security

Status :	Moderate

Payment Behaviour :	Slow

Litigation :	Clear

Comments :	Subject is an established company having moderate track. There appear huge accumulated losses recorded by the company. However, from past two years company performance has been improved and slowly wiping out its losses. Trade relations are reported to be fair. Business is active. Payments are reported to be slow. The company can be considered for business dealings on a safe and secured trade terms and condition.

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 DECLINED BY

Name :	Mr. Prakash Taraval
Designation :	Accounts Manager
Contact No.:	91-22-61817474
Date :	13.12.2012

LOCATIONS

Registered Office :	Asian Building, 4^th Floor, R. Kamani Marg, Ballard Estate, Mumbai – 400 001, Maharashtra, India
Tel. No.:	91-22-22623333
Fax No.:	91-22-22620967
E-Mail :	pankaj@milton.co.in ajayr@milton.co.in
Website :	http://www.milton.co.in

Factory 1 :	28/29, Nagar Road, Village Shikrapur, District Pune – 412 208, Maharashtra, India

Factory 2 :	Plot No.72, Danudyog Sahakari Sangh Limited, Village Piparia, Silvassa, Dadra and Nagar Haveli, India

DIRECTORS

As on 31.03.2012

Name :	Mr. Bansilal I. Vaghani
Designation :	Chairman

Name :	Mr. Chiranjiv I. Vaghani
Designation :	Non Executive Director

Name :	Mr. Madhup B. Vaghani
Designation :	Non Executive Director

Name :	Mr. Devendra Negi
Designation :	Independent Non Executive Director

Name :	Mr. Viren Bhimani
Designation :	Independent Non Executive Director

KEY EXECUTIVES

Name :	Mr. Prakash Taraval
Designation :	Accounts Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2012

Category of Shareholders	No. of Shares	Percentage of Holding
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Individuals / Hindu Undivided Family	1881860	15.06
Bodies Corporate	98007	0.78
Any Others (Specify)	2172460	17.38
Persons Acting in Concert	2172460	17.38
Sub Total	4152327	33.22
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	4152327	33.22
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	394600	3.16
Insurance Companies	275	0.00
Sub Total	394875	3.16
(2) Non-Institutions
Bodies Corporate	3548192	28.39
Individuals
Individual shareholders holding nominal share capital up to Rs.0.100 million	2334585	18.68
Individual shareholders holding nominal share capital in excess of Rs.0.100 million	374899	3.00
Any Others (Specify)	1693672	13.55
Clearing Members	36533	0.29
Non Resident Indians	154939	1.24
Foreign Corporate Bodies	2200	0.02
Trusts	1500000	12.00
Sub Total	7951348	63.62
Total Public shareholding (B)	8346223	66.78
Total (A)+(B)	12498550	100.00
(C) Shares held by Custodians and against which Depository Receipts have been issued	0	0.00
(1) Promoter and Promoter Group	0	0.00
(2) Public	0	0.00
Sub Total	0	0.00
Total (A)+(B)+(C)	12498550	0.00

Shareholding of securities (including shares, warrants, convertible securities) of persons belonging to the category Promoter and Promoter Group

No.	Name of the Shareholder	No. of Shares held	As a % of
1	Dinesh Ishwarlal Vaghani	4,20,000	3.36
2	Chiranjiv Ishwarlal Vaghani	5,80,000	4.64
3	Yogesh V. Vaghani	1,05,000	0.84
4	Yogesh I. Vaghani	1,35,240	1.08
5	Yogesh I. Vaghani	25,000	0.20
6	Vaghani Madhup Bansilal	7,56,985	6.06
7	Priti Nilesh Vaghani	58,900	0.47
8	Nilesh Ishwarlal Vaghani	5,39,465	4.32
9	D.J. Holdings Private Limited	50,464	0.40
10	Jai Prakash I Vaghani	1,100	0.01
11	Stead Fast Holding Private Limited	47,543	0.38
12	Ajay D. Vaghani	3,12,680	2.50
13	Yogini Chiranjiv Vaghani	8,250	0.07
14	Chiranjiv I. Vaghani	4,85,685	3.89
15	Jyoti D. Vaghani	90,240	0.72
16	Dineshkumar I Vaghani	4,44,425	3.56
17	Bansilal I. Vaghani	59,190	0.47
18	Indrajit Bansilal Vaghani	32,160	0.26
	Total	41,52,327	33.22

Shareholding of securities (including shares, warrants, convertible securities) of persons belonging to the category Public and holding more than 1% of the total number of shares

Sl. No.	Name of the Shareholder	No. of Shares held	Shares as % of Total No. of Shares
Sl. No.	Name of the Shareholder	No. of Shares held	Shares as % of Total No. of Shares
1	CRB Trustee Limited	392800	3.14
2	Sweet Solutions Limited	3250000	26.00
3	Daksha Vaghani	125000	1.00
4	Stressed Assets Stabilization Fund	1500000	12.00
	Total	5267800	42.15

Shareholding of securities (including shares, warrants, convertible securities) of persons (together with PAC) belonging to the category “Public” and holding more than 5% of the total number of shares of the company

Sl. No.	Name(s) of the shareholder(s) and the Persons Acting in Concert (PAC) with them	No. of Shares	Shares as % of Total No. of Shares
Sl. No.		No. of Shares	Shares as % of Total No. of Shares
1	Sweet Solutions Limited	3250000	26.00
2	Stressed Assets Stabilization Fund	1500000	12.00
	Total	4750000	38.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Thermo-ware Products.

Products :

Item Code No. (ITC Code)	3925
Product Description	Tableware, Kichenware, other household articles of Plastics
Item Code No. (ITC Code)	9617
Product Description	Vacuum Flasks
Item Code No. (ITC Code)	8708
Product Description	Automobile Parts of Plastics

PRODUCTION STATUS (AS ON 31.03.2011)

Particulars

Unit

Installed Capacity *

Actual Production

Plastics Moulded Articles

(In terms of Polymers Consumption)

2,265

1,536**

Note: * as certified by the Management

** includes production by contract manufacturers

GENERAL INFORMATION

No. of Employees :

Information declined by the management

Bankers :

v Dena Bank

v Central Bank of India

v Standard Chartered Bank

Facilities :

Secured Loans	31.03.2011 (Rs. in Millions)	31.03.2010 (Rs. in Millions)
Corporate Loans From Financial Institution (Due within one year Rs.435.321 millions)	435.321	792.260
Acceptances	580.826	484.841
From Banks for Working Capital	1390.721	1312.797
From Banks for Working Capital Term Loan	25.032	30.432
Total	2431.900	2620.330

Notes :

1. Corporate Loan from IFCI is secured by a first charge by way of hypothecation of all the fixed assets of the Company, and personal guarantee of some of the Directors of the Company.

2. Cash Credits and Overdrafts availed from Banks are secured by hypothecation of stocks of raw material, semi-finished goods, finished goods, book debts and personal guarantee of some of the Directors and also the second charge over the Fixed assets of the Company.

3. Cash Credit and Overdraft facility availed from Standard Chartered Bank, a member of the consortium of bankers, was restructured in the year 2002 by converting the limits in to Overdraft, Working Capital Term Loan and Funded Interest Term Loan. These restructured limits are secured by hypothecation of stocks of raw materials, semi-finished goods, finished goods, book debts, the second charge over the Fixed Assets of the Company and pledge of the shareholding of the promoters.

Unsecured Loans	31.03.2011 (Rs. in Millions)	31.03.2010 (Rs. in Millions)
200000 - 17% Unsecured Redeemable Non Convertible Debentures of Rs.100/- each fully paid-up (The Federal Bank Limited)	20.000	20.000
Interest Accrued and due on above	181.390	147.272
From Directors	0.071	0.071
From Others	210.991	179.508
Total	412.452	346.851


Banking Relations :	--

Auditors :
Name :	Mehta Chokshi and Shah Chartered Accountants
Address :	Mumbai, Maharashtra, India

Solicitors :
Name :	Law Charter Advocates, Solicitors and Notary
Address :	Mumbai, Maharashtra, India

Related Party (As on 31.03.2011) :	Vaghani Holdings

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
25000000	Equity Shares	Rs.10/- each	Rs.250.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
12497100	Equity Shares	Rs.10/- each	Rs.124.971 millions
	Add: Forfeited Shares		Rs.0.014 million
	Total		Rs.124.985 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2012	31.03.2011	31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		125.000	124.985	124.985
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		0.000	283.634	283.634
4] (Accumulated Losses)		(2356.600)	(2692.300)	(2759.122)
NETWORTH		(2231.600)	(2283.681)	(2350.503)
LOAN FUNDS
1] Secured Loans		2018.700	2431.900	2620.330
2] Unsecured Loans		0.000	412.452	346.851
TOTAL BORROWING		2018.700	2844.352	2967.181
DEFERRED TAX LIABILITIES		0.000	0.000	0.000

TOTAL		(212.900)	560.671	616.678

APPLICATION OF FUNDS

FIXED ASSETS [Net Block]		44.000	68.584	72.043
Capital work-in-progress		0.000	0.000	0.000

INVESTMENT		14.500	40.647	40.697
DEFERRED TAX ASSETS		0.000	0.000	0.000

CURRENT ASSETS, LOANS & ADVANCES
	Inventories	73.000	69.176	57.791
	Sundry Debtors	66.600	107.955	145.842
	Cash & Bank Balances	3.100	10.304	11.634
	Other Current Assets	0.000	303.325	302.873
	Loans & Advances	483.600	188.021	207.347
Total Current Assets		626.300	678.781	725.487
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	875.700	60.692	55.476
	Other Current Liabilities		165.424	164.845
	Provisions	22.000	1.225	1.228
Total Current Liabilities		897.700	227.341	221.549
Net Current Assets		(271.400)	451.440	503.938

MISCELLANEOUS EXPENSES		0.000	0.000	0.000

TOTAL		(212.900)	560.671	616.678

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	387.400	455.573	390.023
		Other Income	198.500	3.535	0.641
		TOTAL	585.900	459.108	390.664

Less	EXPENSES
		Increase/(Decrease) in stocks of Finished Goods and Semi Finished Goods	(5.300)	2.811	(1.281)
		Materials Consumed	319.000	298.228	258.362
		Manufacturing Expenses	41.800	130.447	104.154
		Payments to and Provision for employees	16.000	13.345	22.133
		Office and Administrative Expenses	48.800	26.708	33.546
		Selling and Distribution Expenses		6.593	8.304
		Income From Extraordinary Item	0.000	(332.482)	0.000
		TOTAL	420.300	145.650	425.218

Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		165.600	313.458	(34.554)

Less	FINANCIAL EXPENSES		109.800	253.086	257.133

	PROFIT/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		55.800	60.372	(291.687)

Less/ Add	DEPRECIATION/ AMORTISATION		3.900	5.007	7.145

	PROFIT/ (LOSS) BEFORE TAX		51.900	55.365	(298.832)

	TAX		0.000	0.000	0.000

	PROFIT/ (LOSS) AFTER TAX		52.100	55.365	(298.832)

Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(2692.300)	(2759.122)	(2460.290)

	Waiver of Principal on OTS		NA	11.457	--

	BALANCE CARRIED TO THE B/S		NA	(2692.300)	(2759.122)

	Earnings/ (Loss) Per Share (Rs.)		4.17	4.43	(23.91)

QUARTERLY RESULTS

PARTICULARS	30.06.2012 (1^st Quarter)	30.09.2012 (2^nd Quarter)
Net Sales	88.000	90.100
Total Expenditure	91.600	93.100
PBIDT (Excl OI)	(3.600)	(3.000)
Other Income	0.100	0.000
Operating Profit	(3.500)	(3.000)
Interest	1.500	0.700
Exceptional Items	0.000	0.000
PBDT	(5.000)	(3.700)
Depreciation	1.000	0.900
Profit Before Tax	(6.000)	(4.600)
Tax	0.000	0.000
Provisions and contingencies	0.000	0.000
Profit After Tax	(6.000)	(4.600)
Extraordinary Items	0.000	0.000
Prior Period Expenses	0.000	0.000
Other Adjustments	0.000	0.000
Net Profit	(6.000)	(4.600)

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	8.89	12.06	(76.49)

Net Profit Margin (PBT/Sales)	(%)	13.40	12.15	(76.62)

Return on Total Assets (PBT/Total Assets}	(%)	7.74	7.41	(37.47)

Return on Investment (ROI) (PBT/Networth)		(0.02)	(0.02)	0.13

Debt Equity Ratio (Total Liability/Networth)		(1.31)	(1.35)	(1.36)

Current Ratio (Current Asset/Current Liability)		0.70	2.99	3.27

LOCAL AGENCY FURTHER INFORMATION

Details of Sundry Creditors:

Particulars

31.03.2012

(Rs. in millions)

31.03.2011

(Rs. in millions)

31.03.2010

(Rs. in millions)

Sundry Creditors

60.692

55.476

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	No
8) No. of employees	No
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	Yes
30) Major Shareholders, if available	Yes
31) Date of Birth of Proprietor/Partner/Director, if available	No
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

CONTINGENT LIABILITY IN RESPECT OF:

Particulars	31.03.2011 (Rs. in millions)
(a) Guarantee issued by Banks in favour of various Central and State Government Department and Local Bodies.	2.406
(b) Demands under Excise Act, disputed in appeal.	63.589
(c) Demands under Income Tax Act, disputed in appeal.	8.996

The demands at (b) to (c) above are payable with interest and penalty wherever applicable.

UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED 30^TH JUNE, 2012

(Rs. in millions)

Particulars	Quarter ended
Particulars	30.06.2012 (Unaudited)
1. Income from Operations
a) Net Sales/Income from Operations (Net of Excise Duty)	88.000
b. Other Operating Income	--
Total Income from Operations (Net)	88.000
2. Expenses
a) Cost of Materials Consumed	74.400
b) Purchases of Stock-in-trade	--
c) Increase/ Decrease in inventories of Finished Goods and Work-in-progress	(6.500)
d) Employee benefit expenses	3.900
e) Depreciation and amortisation expenses	1.000
f) Provision for Diminution in investments	--
g) Other Expenditure	19.800
Total expenses	92.600
3. Profit/ (Loss) from Operations before Other Income, finance cost and Exceptional Items (1-2)	(4.600)
4. Other Income	0.100
5. Profit/ (Loss) from Ordinary activities before finance cost and Exceptional Items (3+4)	(4.500)
6. Finance cost	1.500
7. Profit/ (Loss) from Ordinary activities after finance cost but before Exceptional Items (5-6)	(6.000)
8. Exceptional Items	--
9. Profit/ (Loss) from Ordinary Activities before Tax (7-8)	(6.000)
10. Provision for Taxation	--
11. Net Profit/ (Loss) from Ordinary Activities after tax (9-10)	(6.000)
12. Extraordinary Items (net of tax expenses)	--
13. Net Profit/ (Loss) for the period (11-12)	(6.000)
14. Paid up Equity Share Capital Face Value Rs.2/- per share	125.000
15. Reserves excluding Revaluation Reserve (as per Balance Sheet of previous accounting year)	--
16. Basic and Diluted Earning/ (Loss) Per Share	(0.48)

PART-II
A PARTICULARS OF SHAREHOLDING
1. Public Shareholding
Number of Shares	8339549
Percentage of Shareholding	66.72
2. Promoters and Promoter Group Shareholding
a) Pledged / Encumbered	Nil
b) Non-Encumbered
Number of Shares	4159001
Percentage of Shares (as a % of the total shareholding of Promoter and Promoter Group)	100.00
Percentage of Shares (as a % of the total share capital of the Company)	33.28

B INVESTORS COMPLAINTS	Quarter ended 30.06.2012
Pending at the beginning of the quarter	Nil
Received during the quarter	1
Disposed of during the quarter	1
Remaining unresolved at the end of the quarter	Nil

Notes:

1. The above results were adopted by the Board at their meeting held on 10^th August, 2012

2. Previous year’s figures have been regrouped and reclassified, wherever necessary.

3. As the Company operates in a single segment, segment-wise reporting is not applicable.

4. The Statutory Auditors have carried out limited review of the results for the period ended 30^th June, 2012.

FIXED ASSETS:

v Land

v Factory Building

v Dies and Moulds

v Machineries

v Furniture and Fixtures

v Electrical Installation

v Vehicles

v Office / Factory Equipments

v Computer

v Material Handling Equipments

v Air Conditioners

v Plant and Machinery (Leased)

v Godown

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 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 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.54.23
UK Pound	1	Rs.87.53
Euro	1	Rs.70.94

INFORMATION DETAILS

Information Gathered by :	SVA

Report Prepared by :	SMN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	2
PAID-UP CAPITAL	1~10	2
OPERATING SCALE	1~10	2
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	2
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	2
--LEVERAGE	1~10	2
--RESERVES	1~10	2
--CREDIT LINES	1~10	2
--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	YES
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		18

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

73.000

66.600

3.100

0.000

483.600

626.300

875.700

22.000

897.700

(271.400)

8.89

13.40

7.74

(0.02)

(1.31)

0.70

Unit