MIRA INFORM REPORT

Report Date :

01.02.2012

IDENTIFICATION DETAILS

Name :	KOMATSU INDIA PRIVATE LIMITED
Registered Office :	Plot No.A-1, SIPCOT Industrial Park, Growth Centre, Orgadam, Sriperumbudur Taluk, Chennai – 602105, Tamilnadu
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	19.12.2005
Com. Reg. No.:	18-58357
Capital Investment / Paid-up Capital :	Rs.4645.000 Millions
CIN No.: [Company Identification No.]	U29244TN2005PTC058357
TAN No.: [Tax Deduction & Collection Account No.]	CHEK07797G
PAN No.: [Permanent Account No.]	AACCK7292H
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacture and Sale of Dump Trucks and Spare Parts.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (26)

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

Maximum Credit Limit :	USD 10017760
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track. There appears huge accumulated losses recorded by the company. 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 – April 1, 2010

Country Name	Previous Rating (31.12.2009)	Current Rating (01.04.2010)
India	A1	A1

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

LOCATIONS

Registered Office / Plant:	Plot No.A-1, SIPCOT Industrial Park, Growth Centre, Orgadam, Thenneri Post and VIA, Sriperumbudur Kamchipuram District – 602105, Tamilnadu, India
Tel. No.:	91-44-27155000/ 27155065
Fax No.:	91-44-27155085
E-Mail :	tln@komatsu.co.in
Website :	http://www.komatsu.com
Branch Office :	Pride Quadra 1^st Floor, No. 30, Bellary Road, Hebbal, Bangalore 560024, Karnataka, India
Tel. No.:	91-80-23556021
Fax No.:	91-80-23556020

DIRECTORS

AS ON 24.08.2011

Name :	Mr. Koji Yamada
Designation :	Managing Director
Address :	Flat No 203, 1^st Floor, Embassy Orchid, Sadashiva Nagar, Bangalore – 560080, Karnataka, India
Date of Birth/Age :	21.06.1954
Date of Appointment :	01.04.2009
Name :	Mr. Nobuaki Kawanishi
Designation :	Director
Address :	Apartment No.5, Bougainvillea, 11 and 12 Bishop Walters Avenue East, CIT Colony Mylapore, Chennai – 600004, Tamilnadu, India
Date of Birth/Age :	21.05.1959
Date of Appointment :	01.04.2009
Name :	Mr. Shuichiro Ozawa
Designation :	Director
Address :	1401, Tower 4, The Plams, South City, Sector 29,, Gurgaon – 122001, Haryana, India
Date of Birth/Age :	27.03.1959
Date of Appointment :	01.12.2008
Name :	Mr. Korekiyo Yanagisawa
Designation :	Director
Address :	202 Winchester Apartment, No.3, Rest House Crescent Road, Bangalore - 560 001, Karnataka, India
Date of Birth/Age :	08.02.1963
Date of Appointment :	16.08.2009
Name :	Mr. Noboru Sato
Designation :	Director
Address :	5-26-40 Kamiasou Asou Ku, Kawasaki Shi, Kanagawa, Japan – 2150021
Date of Birth/Age :	09.06.1954
Date of Appointment :	25.11.2009
Name :	Mr. Masaaki Kanayama
Designation :	Director
Address :	2-24-16, Midorigaoka, Yachiyo City – 2760049, Japan
Date of Birth/Age :	15.12.1964
Date of Appointment :	10.11.2008
Name :	Mr. Tetsuji Ohashi
Designation :	Director
Address :	2-9-5, Akazutsurni,Setagaya – Ku Tokyo, Japan -156044
Date of Birth/Age :	23.03.1954
Date of Appointment :	01.04.2010
Name :	Mr. Takasumi Minami
Designation :	Director
Address :	Apartment No.4,Bougainvillea, 11 and 12 Bishop, Wallters Avenue East, CIT Colony Mylapore, Chennai – 600004, Tamilnadu, India
Date of Birth/Age :	21.09.1961
Date of Appointment :	12.07.2010
Name :	Mr. Masahide Sunata
Designation :	Director
Address :	622, Sukhumvit Road, Klonton Kloygtoey, Bangkok
Date of Birth/Age :	17.05.1960
Date of Appointment :	29.04.2010
Name :	Mr. Kazuhiko Shiozawa
Designation :	Director
Date of Birth/Age :	06.09.1961
Date of Appointment :	01.12.2008
Name :	Mr. Tsuyoshi Nakatani
Designation :	Director
Date of Birth/Age :	19.10.1951
Date of Appointment :	23.12.2005
Name :	Mr. Taizo Kayata
Designation :	Director
Date of Birth/Age :	02.05.1949
Date of Appointment :	23.12.2005
Name :	Mr. Masahiro Uegaki
Designation :	Director
Date of Birth/Age :	28.10.1956
Date of Appointment :	01.04.2008
Name :	Mr. Kimya Nakao
Designation :	Director
Date of Birth/Age :	23.06.1951
Date of Appointment :	01.12.2008
Name :	Mr. Kenchi Tanaka
Designation :	Director
Date of Birth/Age :	03.08.1960
Date of Appointment :	19.12.2005
Name :	Mr. Susumu Ueno
Designation :	Director
Date of Birth/Age :	20.10.1958
Date of Appointment :	19.12.2005
Name :	Mr. Kouichi Segawa
Designation :	Director
Date of Birth/Age :	29.05.1956
Date of Appointment :	19.12.2005
Name :	Mr. Masaji Kitamura
Designation :	Director
Date of Birth/Age :	19.08.1947
Date of Appointment :	23.12.2005

KEY EXECUTIVES

Name :	Mr. T. Lakshminarayana
Designation :	Company Secretary
Address :	35, Bajanai Koli Street, Choolaimedu, Chennai – 600094, Tamilnadu, India
Date of Birth/Age :	31.07.1967
Date of Appointment :	02.01.2009

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 24.08.2011

Names of Shareholders	No. of Shares
Komatsu Asia and Pacific Pte. Limited, Singapore	464499999
Komatsu Parts Asia Company Limited, Thailand	1
Total	464500000

AS ON 24.08.2011

Category	Percentage
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacture and Sale of Dump Trucks and Spare Parts.

GENERAL INFORMATION

Bankers :

Not Available

Facilities :

Rs. In Millions

UNSECURED LOAN	31.03.2011	31.03.2010
Other Debt Unsecured	2082.725	481.042
Total	2082.725	481.042

Banking Relations :	--
Auditors :
Name :	BSR and Company Chartered Accountant
Address :	10, Mahatma Gandhi Road, Nungambakkam, Chennai – 600034, Tamilnadu, India
Ultimate Holding Company:	Komatsu Limited, Japan (KL)
Holding Company:	Komatsu Asia and Pacific Pte Limited, Singapore (KAP)
Fellow Subsidiaries :	· PT Komatsu Indonesia (PT.KI) · Komatsu Logistics Corporation, Japan (KLC) · Komatsu Shantui Construction Machinery Company Limited (KSC) · Komatsu (Changzhou) Construction Company (KCC) · Komatsu America Corp (KAC) · Komatsu Industries Corp (KIC) · PT Komatsu Under Carriage (PT.KUC) · Komatsu (Shanghai) Limited (KSL) · Komatsu Castex Limited (KCL) · Komatsu Engineering Corp (KEC) · Komatsu Europe International NV ( KEI) · Komatsu General Services Limited (KGSL) · Komatsu Mining Germany GmbH (KMG) · Komatsu Southern Africa (Pty) Limited (KSA) · Komatsu Utility Company Limited ( KUCL) · PT Komatsu Marketing and Support ID (PT.KMS) · Bangkok Komatsu Company Limited (BKCL) · Hensley Industries Inc. (HII)

CAPITAL STRUCTURE

AS ON 24.08.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
464500000	Equity Share	Rs.10/- each	Rs.4645.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
464500000	Equity Share	Rs.10/- each	Rs.4645.000 Millions

NOTE:

Of the equity shares, 464,499,999 (31 March 2010: 464,999,999) equity shares are held by Komatsu Asia and Pacific Pte Limited ("KAPPL"), Singapore, the holding company and 1 equity share is held by Komatsu Parts Asia Company Limited, the nominee of KAPPL. The ultimate holding company is Komatsu Limited, Japan.

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		4645.000	4645.000	2245.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		0.000	0.000	0.000
4] (Accumulated Losses)		(2140.560)	(1688.528)	(1401.284)
NETWORTH		2504.440	2956.472	843.716
LOAN FUNDS
1] Secured Loans		0.000	0.000	0.000
2] Unsecured Loans		2082.725	481.042	1420.829
TOTAL BORROWING		2082.725	481.042	1420.829
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		4587.165	3437.514	2264.545
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		755.342	557.422	556.040
Capital work-in-progress		13.775	143.753	9.865
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	2187.232	1394.014	1608.031
	Sundry Debtors	1152.235	1473.145	933.668
	Cash & Bank Balances	188.355	675.622	548.273
	Other Current Assets	30.719	0.000	0.000
	Loans & Advances	1115.070	802.807	784.012
Total Current Assets		4673.611	4345.588	3873.984
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	750.150	142.683
	Other Current Liabilities	46.017	1391.998	2127.766
	Provisions	59.396	74.568	47.578
Total Current Liabilities		855.563	1609.249	2175.344
Net Current Assets		3818.048	2736.339	1698.640
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		4587.165	3437.514	2264.545

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	4225.160	4534.624	3438.890
		Other Income	411.750	356.913	357.195
		TOTAL (A)	4636.910	4891.537	3796.085
Less	EXPENSES
		Materials and Components Consumed		3248.567	3943.583
		Purchases of Traded Goods		884.469	301.378
		Decrease / (Increase) in Inventories	4949.950	92.141	(639.494)
		Services Expenditure		50.378	0.000
		Employees Cost		287.903	241.959
		Administrative and Other Expenses		449.941	810.196
		TOTAL (B)	4949.950	5013.399	4657.622
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		(313.040)	(121.862)	(861.537)
Less	FINANCIAL EXPENSES (D)		75.100	112.792	93.570
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		(388.140)	(234.654)	(955.107)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		63.890	52.590	48.488
	PROFIT BEFORE TAX (E-F) (G)		(452.030)	(287.244)	(1003.595)
Less	TAX (H)		0.000	0.000	3.645
	PROFIT AFTER TAX (G-H) (I)		(452.030)	(287.244)	(1007.240)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(1688.528)	(1401.284)	(394.044)
	BALANCE CARRIED TO THE B/S		(2140.560)	(1688.528)	(1401.284)
	Earnings Per Share (Rs.)		--	(1.16)	(8.39)

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	(9.74)	(5.87)	(26.53)
Net Profit Margin (PBT/Sales)	(%)	(10.69)	(6.33)	(29.18)
Return on Total Assets (PBT/Total Assets}	(%)	(8.32)	(5.86)	(22.65)
Return on Investment (ROI) (PBT/Networth)		(0.18)	(0.10)	(1.19)
Debt Equity Ratio (Total Liability/Networth)		1.17	0.71	4.26
Current Ratio (Current Asset/Current Liability)		5.46	2.70	1.78

LOCAL AGENCY FURTHER INFORMATION

PROFILE:

The Company was incorporated on 19 December 2005 as a wholly owned subsidiary of Komatsu Asia and Pacific

Private Limited, a company registered in Singapore. The Company forms part of Komatsu Limited group, Japan. The Company is engaged in the business of manufacture and sale of dump trucks and spare parts.

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.49.68
UK Pound	1	Rs.78.17
Euro	1	Rs.65.52

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	2
--CREDIT LINES	1~10	2
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		26

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.