MIRA INFORM REPORT

Report Date :

07.01.2012

IDENTIFICATION DETAILS

Name :	CS AEROTHERM PRIVATE LIMITED
Registered Office :	Plot No. 143 H, Bomasandra Industrial Area, Anekal Taluka, Bangalore-560099, Karnataka
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	07.07.1987
Com. Reg. No.:	08-008470
Capital Investment / Paid-up Capital :	Rs.4.388 Millions
CIN No.: [Company Identification No.]	U31909KA1987PTC008470
IEC No.:	0791001725
TAN No.: [Tax Deduction & Collection Account No.]	BLRC05306A
PAN No.: [Permanent Account No.]	AACCC2059A
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer, Exporter and Importer of Bakery Ovens.
No. of Employees :	200 [Approximately]

RATING & COMMENTS

MIRA’s Rating :

Ba (49)

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

Maximum Credit Limit :	USD 180000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is 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 normal 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 :	Mr. Anant Deshpande
Designation :	Manager
Contact No.:	91-9611195407
Date :	31.12.2011

LOCATIONS

Registered Office/ Factory :	Plot No. 143 H, Bomasandra Industrial Area, Anekal Taluka, Bangalore-560099, Karnataka, India
Tel. No.:	91-80-40895000 / 40895006
Mobile No. :	91-9611195407 (Mr. Anant Deshpande)
Fax No.:	91-80-40895003 / 41658006 / 7 / 8
E-Mail :	marketing@csaerotherm.in csaerotherm@touchtelindia.net csaplfact@airtelbroiadband.in sales@csaerotherm.in info@csaerotherm.in service@csaerotherm.in
Website :	www.csaerotherm.in
Area :	2.5 acres
Location :	Owned
Corporate / Service Office :	103, Srehstha Bhoom, 87, K R Road, Bangalore-560004, Karnataka, India
Tel. No.:	91-80-26506066 / 26626665 / 26670058 / 65634631
Fax No.:	91-80-26626655
Location :	Owned

DIRECTORS

As on 23.09.2011

Name :	Mr. Raghuram Ramaswamy Hiremagalur
Designation :	Managing Director
Address :	No. 26, 13^th Main , 17^th Cross, Malleshwaram, Bangalore-560055, Karnataka, India
Date of Birth/Age :	06.06.1949
Qualification :	Bachelor of Engineering
Date of Appointment :	08.07.1990
Din No.:	00405666
Name :	Mr. Jairam Ramaswamy Hiremagalur
Designation :	Director
Address :	No. 109, 18^th Cross, Malleshwaram, Bangalore-560055, Karnataka, India
Date of Birth/Age :	09.08.1948
Qualification :	Bachelor of Engineering
Date of Appointment :	17.01.2005
Din No.:	00405819

KEY EXECUTIVES

Name :	Mr. Anant Deshpande
Designation :	Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 23.09.2011

Names of Shareholders	No. of Shares
H R Raghuram	132600
Jyothi Raghuram	19000
Jairam Ramaswamy Hiremagalur	65200
Veena Venkataramu	128550
R S Govindaraj	14000
Rekha Jairam	21500
Prashanth Jairam	21500
Pranav Jairam	21500
Lakshmi Ramaswamy	14950
Total	438800

As on 23.09.2011

Equity Share Breakup	Percentage of Holding
Category
Directors or relatives of directors	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer, Exporter and Importer of Bakery Ovens.

Products :

Product Description	ITC Code
Rackoven – Nonelectric	84172000
Deckoven Nonelectric	84172000
Bread Plant	84381000

• Roatory Rack Ovens
• Spiral Mixer
• Bread Plant Machines
• Deck Ovens
• Final Prover

Exports :

Products :

Bakery Ovens

Countries :

· Dubai

· Bangladesh

· Srilanka

· USA

· Africa

· Qatar

Imports :

Products :

Raw Material

Countries :

· Germany

· Taiwan

· Italy

· Denmark

Terms :

Selling :

Cash and Credit

Purchasing :

Cash and Credit

GENERAL INFORMATION

Customers :

Others [Direct Customer]

· Britannia India Limited

· Steel Authority of India

No. of Employees :

200 [Approximately]

Bankers :

• Indian Overseas Bank, Branch Gandhi Nagar, Bangalore – 560009, Karnataka, India
• State Bank of India, Electronic City, Bangalore
• ICICI Bank Limited
• Canara Bank

Facilities :

Secured Loan	As on 31.03.2011 [Rs. in Millions]	As on 31.03.2010 [Rs. in Millions]
ICICI Bank Limited (Secured by hypothecation of vehicles)	0.000	0.100
ICICI Bank Limited – Loan 2 (Secured by hypothecation of vehicles)	0.000	0.462
Indian Overseas Bank (Secured by Hypothecation of Vehicles)	0.000	0.227
Indian Overseas Bank (Secured by Hypothecation of Fixed Deposits)	0.000	2.000
Total	0.000	2.789
Unsecured Loan
Sales tax deferment	0.000	0.659
F.N. Aerotherm a/s and Gostol Gopan d.o.o. [Technical know-how]	0.468	0.468
Total	0.468	1.127

Banking Relations :	--
Auditors :
Name :	T Sriram and Company Chartered Accountant
Address :	2974, 17^th Cross, K R Road, Bangalore-560070, Karnataka, India
Tel. No.:	91-80-26760733/ 26769481
Fax No.:	91-80-26760733/ 26769481
E-Mail :	sriramt@vsnl.com
Pan No.:	BFMPS3149L

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
500000	Equity Shares	Rs.10/- each	Rs.5.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
438800	Equity Shares	Rs.10/- each	Rs.4.388 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		4.388	4.388	4.388
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		41.394	33.974	26.225
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		45.782	38.362	30.613
LOAN FUNDS
1] Secured Loans		0.000	2.789	1.359
2] Unsecured Loans		0.468	1.127	3.776
TOTAL BORROWING		0.468	3.916	5.135
DEFERRED TAX LIABILITIES		0.088	0.330	0.437
TOTAL		46.338	42.608	36.185
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		25.282	22.757	20.266
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		3.500	0.001	0.001
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	17.125	12.976	6.015
	Sundry Debtors	18.010	16.630	17.867
	Cash & Bank Balances	48.691	46.675	20.523
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	19.553	18.254	14.333
Total Current Assets		103.379	94.535	58.738
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	51.741	37.119	23.557
	Other Current Liabilities	21.642	23.912	7.249
	Provisions	12.440	13.654	12.014
Total Current Liabilities		85.823	74.685	42.820
Net Current Assets		17.556	19.850	15.918
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		46.338	42.608	36.185

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	GROSS REVENUE		239.397	166.252	158.707
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		14.849	14.529	14.305
Less	FINANCIAL EXPENSES		0.384	0.396	0.376
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		14.465	14.133	13.929
Less/ Add	DEPRECIATION/ AMORTISATION		3.283	2.612	2.987
	PROFIT BEFORE TAX		11.182	11.521	10.942
Less	TAX		3.763	3.772	4.099
	PROFIT AFTER TAX		7.419	7.749	6.843
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	6.141	12.229	7.526
	Earnings Per Share (Rs.)		16.90	18.00	16.00

Expected Sales (2011-12) : More than Rs.300.000 Millions

The above information has been parted by Mr. Anant Deshpande.

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
Return on Total Assets (PBT/Total Assets}	(%)	8.69	9.82	13.85
Return on Investment (ROI) (PBT/Networth)		0.24	0.30	0.36
Debt Equity Ratio (Total Liability/Networth)		1.88	2.05	1.57
Current Ratio (Current Asset/Current Liability)		1.20	1.27	1.37

LOCAL AGENCY FURTHER INFORMATION

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	--
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	No
13) Reasons for variation <> 20%	--
14) Estimation for coming financial year	Yes
15) Capital in the business	Yes
16) Details of sister concerns	Yes
17) Major suppliers	Yes
18) Major customers	Yes
19) Payments terms	Yes
20) Export / Import details (if applicable)	Yes
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	No
28) Incorporation details, if applicable	--
29) Last accounts filed at ROC	--
30) Major Shareholders, if available	--

PERFORMANCE OF THE COMPANY:

The Turnover for the year was Rs. 239.397 Millions as against Rs.166.252 Millions of previous year, registering a healthy improvement of 43.82%. The profit for the year went up from Rs. 7.749 Millions to Rs. 7.419 Millions.

FIXED ASSETS:

· Leasehold Land

· Building

· Goodwill

· Technical Know-how

· Plant and Machinery

· Motor Car

· Computer

· Dies and Punchers

· Furniture and Fixtures

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.52.78
UK Pound	1	Rs.81.79
Euro	1	Rs.67.46

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	6
--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	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		49

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.