MIRA INFORM REPORT

Report Date :

24.02.2012

IDENTIFICATION DETAILS

Name :	AXIS ELECTRICAL COMPONENTS (INDIA) PRIVATE LIMITED
Registered Office :	Axis House Plot No. 104C, Government Industrial Estate, Kandivali (West), Mumbai – 400067, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	21.05.1997
Com. Reg. No.:	11-108174
Capital Investment / Paid-up Capital :	Rs.15.000 Millions
CIN No.: [Company Identification No.]	U31200MH1997PTC108174
TAN No.: [Tax Deduction & Collection Account No.]	MUMA18966D
PAN No.: [Permanent Account No.]	AAACA9691C
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Electrical Components.
No. of Employees :	300 (Approximately) [In Office : 30; In Factory : 270]

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

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

Maximum Credit Limit :	USD 650000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. 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.

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

LOCATIONS

Registered Office / Warehouse :	Axis House Plot No. 104/C, Government Industrial Estate, Kandivali West, Mumbai – 400067, Maharashtra, India
Tel. No.:	91-22-28696636 / 28686405
Mobile No.:	91-22-28678491 / 28683561
E-Mail :	In1957@rediffmail.com axisindia@vsnl.com info@axis-india.com marketing@axis-india.com (Marketing) purchase@axis-india.com (Purchase) logistics@axis-india.com (Logistics) accounts@axis-india.com (Accounts)
Website :	www.axis-india.com

DIRECTORS

As on 20.09.2011

Name :

Mr. Kanderp Sevantilal Khandwala

Designation :

Director

Address :

401, Megh Apartment, 4^th Floor Military Road, Juhu, Mumbai – 400049, Maharashtra, India

Date of Birth/Age :

27.09.1958

Date of Appointment :

21.05.1997

DIN No.:

00514555

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	U51900MH1977PTC004407	Paramount Commercial Corporation Private Limited	Director	26/05/1980	26/05/1980	-	Active	NO
2	U31200MH1997PTC108174	Axis Electrical Components (India) Private Limited	Director	21/05/1997	21/05/1997	-	Active	NO
3	U74999MH1994GAP081104	Bombay Industries Association	Director	29/04/2006	29/04/2006	4/09/2009	Active	NO

Name :

Mr. Nimish Premsingh Taterh

Designation :

Director

Address :

1902 Great Eastern Height CTS Limited, Marve Road, Malad (West), Mumbai – 400064, Maharashtra, India

Date of Birth/Age :

15.10.1967

Date of Appointment :

21.05.1997

DIN No.:

00517983

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 20.09.2011

Names of Shareholders	No. of Shares
Kanderp S. Khandwala	75000
Nimish Premsingh Taterh	75000
Total	150000

Equity Share Break up (Percentage of Total Equity)

As on 20.09.2011

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Electrical Components.

GENERAL INFORMATION

No. of Employees :

300 (Approximately) [In Office : 30; In Factory : 270]

Bankers :

Central Bank of India, Mumbai Main Office, Documentation Cell, 2^nd Floor, Central Bank Building, Fort, Mumbai – 400001, Maharashtra, India

Facilities :

Secured Loan	31.03.2011	31.03.2010
From Bank
Central Bank of India – Packing credit	94.029	15.011
Central Bank of India – Bill Discounting (Secured by hypothecation of inventories, book debts, fixed deposits and mortgage of “movable properties guaranteed by directors)		4.315
Total	94.029	19.326
Unsecured Loan	31.03.2011	31.03.2010
From Directors (Max outstanding Rs. 8.468 millions, Previous year Rs. 15.600 millions)		0.267
Total	0.090	0.267

Banking Relations :	--
Auditors :
Name :	N P Patwa and Company Chartered Accountant
Address :	102, Sudaive, Plot No. 97, Hindu Colony Road No. 3, Dadar (CR), Mumbai – 400014, Maharashtra, India
Tel. No.:	91-22-24118146 / 24115870 / 24114590
E-Mail :	nppatwa@gmail.com
PAN.:	AAGFN2813E

CAPITAL STRUCTURE

After 20.09.2011

Authorised Capital : Rs.20.000 Millions

Issued, Subscribed & Paid-up Capital : Rs.20.000 Millions

As on 20.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
200000	Equity Shares	Rs.100/- each	Rs.20.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
150000	Equity Shares	Rs.100/- each	Rs.15.000 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		15.000	10.000	10.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		147.475	106.097	96.396
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		162.475	116.097	106.396
LOAN FUNDS
1] Secured Loans		94.029	19.326	16.552
2] Unsecured Loans		0.090	0.267	4.468
TOTAL BORROWING		94.119	19.593	21.020
DEFERRED TAX LIABILITIES		0.055	0.000	0.000
TOTAL		256.649	135.690	127.416
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		19.464	18.550	16.859
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		37.748	34.156	16.865
DEFERREX TAX ASSETS		0.000	0.070	0.066
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	77.771	67.571	40.798
	Sundry Debtors	147.607	15.925	33.790
	Cash & Bank Balances	4.446	3.311	17.784
	Other Current Assets	11.425	7.742	0.000
	Loans & Advances	38.927	13.217	23.136
Total Current Assets		280.176	107.766	115.508
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	66.921	24.884	18.286
	Other Current Liabilities	0.000	0.000	0.000
	Provisions	13.834	0.000	3.644
Total Current Liabilities		80.755	24.884	21.930
Net Current Assets		199.421	82.882	93.578
MISCELLANEOUS EXPENSES		0.016	0.032	0.048
TOTAL		256.649	135.690	127.416

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	474.392	298.759	329.724
		Other Income		18.366	23.170
		TOTAL (A)	474.392	317.125	352.894
Less	EXPENSES
		Increase in Stock	(10.315)	(9.258)
		Material Consumption	140.439	96.326
		Cost of Goods Sold	148.083	116.587
		Manufacturing Expenses	40.270	30.608
		Administrative Expenses	43.151	30.349
		Selling and Distribution Expenses	28.620	18.186
		Prior Period Expenses	0.353	0.000
		TOTAL (B)	390.601	282.798
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		83.791	34.327	306.985
Less	FINANCIAL EXPENSES (D)		7.968	3.012
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		75.823	31.315
Less/ Add	DEPRECIATION/ AMORTISATION (F)		2.817	2.797
	PROFIT BEFORE TAX (E-F) (G)		73.006	28.518	45.909
Less	TAX (H)		21.628	12.968	15.640
	PROFIT AFTER TAX (G-H) (I)		51.378	15.550	30.269
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		104.196	96.396	NA
Less	APPROPRIATIONS
		Dividend	0.000	5.000
		Tax on Dividend Distribution	0.000	0.850	NA
		Transfer to General Reserve	0.000	1.900
		Capitalisation of Reserve for issue of fully paid up Bonus shares	10.000	0.000
	BALANCE CARRIED TO THE B/S		145.574	104.196	NA
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings (FOB)	337.284	225.307	272.624
	TOTAL EARNINGS		337.284	225.307	272.624
	IMPORTS
		CIF value of Imports	15.642	9.831	6.310
	TOTAL IMPORTS		15.642	9.831	6.310
	Earnings Per Share (Rs.)		342.52	19.00	302.69

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	10.83	4.90	8.58
Net Profit Margin (PBT/Sales)	(%)	NA	9.55	13.92
Return on Total Assets (PBT/Total Assets}	(%)	24.36	22.58	34.68
Return on Investment (ROI) (PBT/Networth)		0.45	0.25	0.43
Debt Equity Ratio (Total Liability/Networth)		1.08	0.38	0.40
Current Ratio (Current Asset/Current Liability)		3.47	4.33	5.27

LOCAL AGENCY FURTHER INFORMATION

OPERATION AND OUTLOOK

During the year the company earned total income of Rs.474.392 Millions as against Rs.317.125 Millions achieved during the corresponding period of previous year. After offsetting the expenses the company made a profit (before tax) of Rs.73.006 Millions as against profit of Rs.28.518 Millions achieved during the corresponding period of the previous year.

Bankers Charges Report as per Registry

Corporate identity number of the company	U31200MH1997PTC108174
Name of the company	AXIS ELECTRICAL COMPONENTS (INDIA) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Axis House, Plot No 104c, Government Industrial Estate, Kandivali (West), Mumbai – 400067, Maharashtra, India Email : ln1957@rediffmail.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	90149148
Type of charge	Immovable property
Particular of charge holder	Central Bank of India, Mumbai Main Office, Documentation Cell, 2nd Floor, Central Bank Bldg., Fort, Mumbai – 400001, Maharashtra, India Email : agrawal_yatendra@rediffmail.com
Nature of instrument creating charge	Memorandum of Entry
Date of instrument Creating the charge	17.02.2011
Amount secured by the charge	Rs.115.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest As notified by the Bank from time to time Terms of repayment On Demand Margin As stipulated by Bank from time to time Extent and operation of the charge Security by way of first charge in favour of bank to secure advance facilities aggregating Rs. 115.000 Millions All other indebtedness and liabilities, whatsoever of the company to the bank together with interest, compound interest and/or additional interest in case of default, penal interest, liquidated damages, commitment charges, premia on prepayment or on redemption, charges, expenses, commission, cost etc. remaining outstanding at any time and/or for any advance facilities due to the bank by the company Others As per the terms of the agreement
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Land bearing Plot No. 104-C situated lying and bearing at the Government Industrial Estate, Charkop, Kandivali (West), Taluka Borivali, Mumbai-400062 ad measurement 323.58 sq.mtrs and bearing C.S.T.546 (4)
Date of instrument modifying the charge	12.07.2007
Particulars of the present modification	The bank enhanced the credit limit from Rs. 87.500 Millions to Rs. 115.000 Millions and the company has created additional charge on its property for the enhanced the limits. The company has created the mortgage by way of deposit of title deeds of its property located at Plot No. 104-C situated lying and bearing at the Government Industrial Estate, Charkop, Kandivali (West), Taluka Borivali, Mumbai-400062 for creation of the additional charge

FIXED ASSETS

• Air conditioners
• Computers
• Dies and Tools
• Electrical Fittings
• Mobile Phones
• Office Equipments
• Plant and Machinery
• Vehicles
• Furniture and Fixtures
• Building

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.49.25
UK Pound	1	Rs.77.19
Euro	1	Rs.65.29

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
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	5
--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	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		45

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.