MIRA INFORM REPORT

Report Date :

07.02.2012

Tel. No.:	91-22-28968878/ 28963686
Fax No.:	91-22-28963686

IDENTIFICATION DETAILS

Name :	SHARMI-SAN METALS AND EXTRACTANTS PRIVATE LIMITED
Registered Office :	4, Sunshine Co-operative Housing Society Limited, D N Mahtre Road, Eksar Gaon, Borivali (West), Mumbai – 400092, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	27.10.2003
Com. Reg. No.:	11-142874
Capital Investment / Paid-up Capital :	Rs.0.100 Million
CIN No.: [Company Identification No.]	U27100MH2003PTC142874
TAN No.: [Tax Deduction & Collection Account No.]	MUMS40902B/ MUMS38694F
PAN No.: [Permanent Account No.]	AAHCS9293F
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Chemicals Field Like Coating.
No. of Employees :	57 (Approximately) (Office – 7 and Factory – 50)

RATING & COMMENTS

MIRA’s Rating :

B (27)

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

Maximum Credit Limit :	USD 2000
Status :	Small Company
Payment Behaviour :	Slow but Correct
Litigation :	Clear
Comments :	Subject is a small company in its field. Its scale of activities are limited. However, trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for small 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 – September 30, 2011

Country Name	Previous Rating (30.06.2011)	Current Rating (30.09.2011)
India	A1	A1

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

INFORMATION PARTED BY

Name :	Dr. Sharmila Pokale
Designation :	Director
Contact No.:	91-22-28968878
Date :	23.01.2012

LOCATIONS

Registered Office :	4, Sunshine Co-operative Housing Society Limited, D N Mahtre Road, Eksar Gaon, Borivali (West), Mumbai – 400092, Maharashtra, India
Tel. No.:	91-22-28963686/ 28963683
Fax No.:	91-22-28968878/ 28963686
E-Mail :	admin@ssmindia.net sharmila.pokle@gmail.com
Location :	Owned
Corporate Office :	Sagar Building, Gala No.328, Prabhat Industrial Complex, Dahisar (East), Mumbai – 400068, Maharashtra, India
Tel. No.:	91-22-28968878/ 28963686
Fax No.:	91-22-28963686
Factory :	Plot No.N-7, MIDC, Additional Ambernath, District Thane – 421501, Maharashtra, India

DIRECTORS

(AS ON 30.09.2011)

Name :

Dr. Sandesh Sudhakar Pokale

Designation :

Director

Address :

4, Sunshine Sainath Nagar, D N Mahtre Road, Borivali (West), Mumbai – 400092, Maharashtra, India

Date of Birth/Age :

09.12.1967

Date of Appointment :

27.10.2003

DIN No.:

00185512

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U27100MH2003PTC142874	SHARMI-SAN METALS AND EXTRACTANTS PRIVATE LIMITED	Director	27/10/2003	27/10/2003	-	Active	NO
2	U28920MH2004PTC146896	SURFACE MODIFICATION TECHNOLOGIES PRIVATE LIMITED	Director	11/6/2004	11/6/2004	-	Active	NO
3	U99999MH1988PTC046477	PATKINS CHEMICALS PRIVATE LIMITED	Director	12/4/2007	12/4/2007	-	Active	NO
4	U23209MH2007PLC171288	BOMBAY HIGHPOLYMER CHEMICAL PRODUCTS LIMITED	Director	30/01/2008	30/01/2008	15/12/2008	Active	NO
5	U24100MH2003PTC142049	SANYUG SYNTHETICS PRIVATE LIMITED	Director	17/04/2008	17/04/2008	-	Active	NO

Name :

Dr. Sharmila Sandesh Pokale

Designation :

Director

Address :

4, Sunshine Sainath Nagar, D N Mahtre Road, Borivali (West), Mumbai – 400092, Maharashtra, India

Date of Birth/Age :

19.11.1966

Date of Appointment :

27.10.2003

DIN No.:

00185884

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U27100MH2003PTC142874	SHARMI-SAN METALS AND EXTRACTANTS PRIVATE LIMITED	Director	27/10/2003	27/10/2003	Active	NO
2	U24100MH2003PTC142049	SANYUG SYNTHETICS PRIVATE LIMITED	Director	25/10/2005	25/10/2005	Active	NO
3	U99999MH1988PTC046477	PATKINS CHEMICALS PRIVATE LIMITED	Director	12/4/2007	12/4/2007	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 30.09.2011)

Names of Shareholders	No. of Shares
Dr. Sandesh Sudhakar Pokale	500
Dr. Sharmila Sandesh Pokale	500
Total	1000

(AS ON 29.12.2011)

Equity Shares Break – up

Category	Percentage
Directors or relatives of directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Chemicals Field Like Coating.
Terms :
Selling :	Cash and Credit (30 days)
Purchasing :	Cash and Credit (30 days)

GENERAL INFORMATION

Customers :

Wholesalers, Retailers and End Users

No. of Employees :

57 (Approximately) (Office – 7 and Factory – 50)

Bankers :

· Bank of India

Dahisar (East) Branch, Mumbai, Maharashtra, India

· Bank of India

Kandivali Branch, Sanghavi Chambers, 88 Dr. Dalvi Cross Road Kandivali (West), Mumbai - 400067, Maharashtra, India

Facilities :

Secured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Term Loans from a Banks	0.000	0.501
Cash Credit From a Bank	4.750	4.634
Total	4.750	5.135

Banking Relations :	--
Auditors :
Name :	Shreenivas Mulay and Company Chartered Accountant
Address :	8, Parvati Niwas, Dattapad Cross Road No.1, Borivali (East), Mumbai – 400066, Maharashtra, India
Tel No.:	91-22-65057606
Mobile No.:	91-9322226515
PAN No.:	AAAPM9694G

CAPITAL STRUCTURE

(AS ON 29.12.2011)

Authorised Capital :

No. of Shares	Type	Value	Amount
10000	Equity Shares	Rs.100/- each	Rs.1.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1000	Equity Shares	Rs.100/- each	Rs.0.100 Million

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		0.100	0.100	0.100
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		0.301	0.077	0.000
4] (Accumulated Losses)		0.000	0.000	(0.441)
NETWORTH		0.401	0.177	(0.341)
LOAN FUNDS
1] Secured Loans		4.750	5.135	5.571
2] Unsecured Loans		16.095	14.881	15.049
TOTAL BORROWING		20.845	20.016	20.620
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		21.246	20.193	20.279
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		5.989	6.390	6.809
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	22.927	20.286	19.783
	Sundry Debtors	2.536	0.080	4.538
	Cash & Bank Balances	0.140	0.134	0.090
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	1.053	2.114	1.949
Total Current Assets		26.656	22.614	26.360
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	8.170	7.595	10.583
	Other Current Liabilities	3.229	1.216	1.789
	Provisions	0.000	0.000	0.518
Total Current Liabilities		11.399	8.811	12.890
Net Current Assets		15.257	13.803	13.470
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		21.246	20.193	20.279

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	9.485	7.477	9.595
		Other Income	NA	0.000	0.229
		TOTAL (A)	NA	7.477	9.824
Less	EXPENSES
		Increase/ Decreases in Stock	NA	(14.957)	0.155
		Manufacturing and Other Expenses	NA	20.810	9.027
		TOTAL (B)	NA	5.853	9.182
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		NA	1.624	0.642
Less	FINANCIAL EXPENSES (D)		NA	0.699	0.865
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		0.624	0.925	(0.223)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.401	0.419	0.419
	PROFIT BEFORE TAX (E-F) (G)		0.223	0.506	(0.642)
Less	TAX (H)		NA	(0.012)	0.009
	PROFIT AFTER TAX (G-H) (I)		NA	0.518	(0.651)
Add	OPENING BALANCE		NA	(0.441)	0.210
	BALANCE TAKEN TO THE B/S		NA	0.077	(0.441)
	Earnings Per Share (Rs.)		NA	518.00	(651.24)

Expected Sales (2011-12): Rs.11.000 Millions

The above information has been parted by Dr. Sharmila Pokale.

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	NA	6.93	(6.63)
Net Profit Margin (PBT/Sales)	(%)	2.35	6.77	(6.69)
Return on Total Assets (PBT/Total Assets}	(%)	0.68	1.74	(1.94)
Return on Investment (ROI) (PBT/Networth)		0.56	2.86	1.88
Debt Equity Ratio (Total Liability/Networth)		80.41	162.86	(98.27)
Current Ratio (Current Asset/Current Liability)		2.34	2.57	2.04

LOCAL AGENCY FURTHER INFORMATION

Check list by info Agents	Available in Report (Yes/ No)
Year of Establishment	Yes
Locality of the Firm	Yes
Constitution of the Firm	Yes
Premises details	Yes
Type of Business	Yes
Line of Business	Yes
Promoter’s Background	-----
No. of Employees	Yes
Name of Person Contacted	Yes
Designation of Contact person	Yes
Turnover of Firm for last two years	Yes
Profitability for last three years	No
Reasons for variation <> 20%	-----
Estimation for coming financial year	Yes
Capital in the business	No
Details of sister concerns	-----
Major Suppliers	No
Major Customers	No
Payments Terms	Yes
Export/ Imports Details (If applicable)	-----
Market Information	-----
Litigations that the firm/ Promoters Involved in	-----
Banking details	Yes
Banking Facility Details	-----
Conduct of the Banking Account	-----
Buyer visit details	-----
Financials, if provided	No
Incorporation details is applicable	-----
Last Accounts filed at ROC	-----
Major Shareholders, if available	-----

OPERATIONS

The Company has achieved a Turnover of Rs.9.485 Millions as against Rs.7.477 Millions last year. However due to strain on margins, the Profit Before Tax has declined to Rs.0.223 Million from Rs.0.506 Million Last Year. Directors are striving hard to improve the performance next year.

FORM 8:

This form is for	Modification of charge
Charge identification number of the modified	80049789
Corporate identity number of the company	U27100MH2003PTC142874
Name of the company	Sharmi-San Metals And Extractants Private Limited
Address of the registered office or of the principal place of business in India of the company	4, Sunshine Co-operative Housing Society Limited, D N Mahtre Road Eksar Gaon, Borivali (West), Mumbai – 400092, Maharashtra, India
Type of charge	Immovable property
Particular of charge holder	Bank of India Kandivali Branch, Sanghavi Chambers, 88 Dr. Dalvi Cross Road Kandivali (West), Mumbai – 400067, Maharashtra, India kandivli.mumbainorth@bankofindia.co.in
Nature of description of the instrument creating or modifying the charge	Extension of Equitable Mortgage
Date of instrument Creating the charge	18/10/2008
Amount secured by the charge	Rs.6.895 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest 1% over BPLR (10.75%) or as specified by bank from time to time. Terms of Repayment CC :On Demand , TLs: by agreed installments. Margin As notified by bank from time to time. Extent and Operation of the charge Security in favour of Bank for due repayment by company to Bank at Kandivli ,Mumbai of the said aggregate facilities of Rs.6.895 Millions with interest at agreed rates of interest , security shall remain and continue for any advance of any nature now due or pending or that may be made or become due hereafter from time to time either in said loan or Cash Credit account or in any other account/s and whether singly or jointly with another or others and whether at Kandivali. Others Branch or any other branch or office of the Bank and /or for any indebtedness or liability whatsoever and for all costs, charges, and expenses whatsoever paid or incurred by the Bank. Revised Facilities and Limits: (1) Working Capital CC (Hypothecation of Stock and Book Debts) Rs.4.500 Millions (2) TL I Rs.1.875 Millions (3) TL II Rs.0.520 Millions Total Rs.6.895 Millions
Short particulars of the property charged	EM by deposit of title deeds relating to Plot No 7, MIDC, Additional Ambernath, Ambernath, District Thane and comprising other structures, fixed machinery and plant , fixtures and fittings erected or installed/ to be erected or installed thereon.
Particulars of the present modification	1st Modification. The principal amount of charge on the mortgaged property is increased from Rs.4.700 Millions to Rs.6.895 Millions.

FIXED ASSETS:

· Land – Leasehold

· Factory Building

· Plant and Machinery

· Furniture and Fixture

· Computers and Software

· Vehicles – Delivery Van

· Office Equipment - Mobile Handsets

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 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.48.68
UK Pound	1	Rs.76.75
Euro	1	Rs.63.57

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		27

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.