MIRA INFORM REPORT

Report Date :

10.01.2012

IDENTIFICATION DETAILS

Name :	ANSHUL STEELS LIMITED
Registered Office :	505A, Dempo Trade Centre, Patto Plaza, Panaji – 403 001, Goa
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	21.12.2004
Com. Reg. No.:	24-3747
Capital Investment / Paid-up Capital :	Rs.75.000 millions
CIN No.: [Company Identification No.]	U27101GA2004PLC003747
TAN No.: [Tax Deduction & Collection Account No.]	BLRA06364B
PAN No.: [Permanent Account No.]	AAFCA0039B
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Importer of Sponge Iron and M. S. Ingot.
No. of Employees :	165 (Approximately) (In Office 90 and Contact Basis 75)

RATING & COMMENTS

MIRA’s Rating :

Ba (44)

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

Maximum Credit Limit :	USD 640000
Status :	Satisfactory
Payment Behaviour :	Slow but 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 slow but correct. 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.

INFORMATION PARTED BY

Name :	Mr. Amol
Designation :	Accountant
Contact No.:	91-231-6611446
Date :	10.10.2012

LOCATIONS

Registered Office :	505A, Dempo Trade Centre, Patto Plaza, Panaji – 403 001, Goa, India
Tel. No.:	91-832-2438192-94 / 3953655
Fax No.:	Not Available
E-Mail :	anshulsteels@rediffmail.com pjoshi30@rediffmail.com abheygroup@sancharnet.in
Website :	http://anshulsteels.com
Location :	Owned
Factory :	B-135, Five Star, MIDC, Kagal, Kolhapur - 416 236, Maharashtra, India
Tel. No.:	91-231-6611446 / 6611459
Fax No.:	91-231-6611459
Location :	Owned

DIRECTORS

As on 30.09.2010

Name :	Mr. Rajiv Kumar Ramesh Chander Jain
Designation :	Whole Time Director
Address :	C-102, Ayodhya Park, Kawala Naka, Kolhapur – 416 003, Maharashtra, India
Date of Birth/Age :	22.10.1969
Date of Appointment :	01.04.2008
DIN No.:	02526159
Name :	Mr. Anand Mangal
Designation :	Additional Director
Address :	Kamat Kinara, Miramar, Panaji – 403 002, Goa, India
Date of Birth/Age :	11.04.1979
Qualification :	B.Com
Date of Appointment :	03.08.2011
DIN No.:	01271619

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	U27101GA1997PTC002435	Mangal Iron Private Limited	Director	07-09-02	07-09-02	-	Active	NO
2	U27106PN2005PTC021019	Nilanjan Iron Private Limited	Director	20-07-05	20-07-05	07-12-07	Active	NO
3	U27101GA2004PLC003747	Anshul Steels Limited	Additional director	03-08-11	12-03-07	-	Active	NO
4	U28910GA2006PLC004326	Arya Steels Rolling (India) Limited	Director	12-03-07	12-03-07	03-01-08	Active	NO
5	U13100GA2005PLC004083	Kagal Iron and Steel Limited	Director	22-03-07	22-03-07	-	Active	NO

Name :	Mr. Kaushal Surendra Mangal
Designation :	Additional Director
Address :	Building No. 4-E, Flat No. T1/T2, Models Millenium Vistas, Caranzalem, Panaji – 403 001, Goa, India
Date of Birth/Age :	26.09.1981
Qualification :	MBA
Date of Appointment :	03.08.2011
DIN No.:	02108335

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	U27106PN2005PTC021019	Nilanjan Iron Private Limited	Director	20-07-05	20-07-05	07-12-07	Active	NO
2	U27101GA1997PTC002435	Mangal Iron Private Limited	Director	12-03-07	12-03-07	-	Active	NO
3	U27320GA2009PLC006001	Jai Ambey Iron And Steels Limited	Director	27-01-09	27-01-09	29-06-11	Active	NO
4	U27101GA2004PLC003747	Anshul Steels Limited	Additional director	03-08-11	03-08-11	-	Active	NO

Name :	Mr. Rakesh Hanumanprasad Garg
Designation :	Additional Director
Address :	A-301, Punit Park, Sector 17, Nerul, Navi Mumbai - 400 706, Maharashtra, India
Date of Birth/Age :	13.10.1980
Date of Appointment :	03.08.2011
DIN No.:	01511217

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	U27100MH2004PTC143976	Surya Ferrous Alloys Private Limited	Director	13-01-04	13-01-04	-	Active	NO
2	U27109MH2006PTC165063	Sushma Ispat Private Limited	Director	18-03-08	04-10-06	06-10-10	Active	NO
3	U27103MH2004PTC147910	Surya Ingots Rolling Private Limited	Director	08-08-07	08-08-07	-	Active	NO
4	U27105MH2009PTC193959	Moksh Steels Private Limited	Additional director	09-11-11	14-07-09	-	Active	NO
5	U27109MH2009PTC195660	Manya Steels Private Limited	Managing director	10-09-09	10-09-09	-	Active	NO
6	U27100MH2004PTC147273	Redflames Alloyz Private Limited	Additional director	18-03-10	18-03-10	-	Active	NO
7	U51420MH2008PTC177814	Shree-Sushma Ferrous Alloys Private Limited	Director	22-09-10	22-09-10	-	Active	NO
8	U27101GA2004PLC003747	Anshul Steels Limited	Additional director	03-08-11	03-08-11	-	Active	NO
9	U27310MH2011PTC221630	Moksh Alloy Private Limited	Managing director	07-09-11	07-09-11	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Amol
Designation :	Accountant

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2010

Names of Shareholders	No. of Shares
Pawan Mahaveer Lila	100001
Surendra Shiv Narayan Mangal	1000
Rajendra Jagmandar Dass Singhal	40500
Kushal Surendra Mangal	70000
Kamal Shyamsunder Gupta	19688
Sahil Shyamsunder Gupta	19687
Mahesh Shankarlal Lila	10418
Anil Shankarlal Lila (HUF)	20915
Anil Shankarlal Lila	21578
Krishna Mahesh Lila	18415
Pawankumar Lila	5816
Ravikumar Jagdishprasad Lila	850
Madhu Rajendra Singhal	6875
Pooja Surendra Mangal	10000
Archana Surendra Mangal	10000
Kamlesh Surendra Mangal	47000
Anand Surendra Mangal	49500
Reena Lila	40000
Sulochana Lila	40000
Yogenderpal Veerbhan Gupta	39375
Vikas Yogenderpal Gupta	7500
Koshalyadevi Gupta	7500
Sona Devi Lila	20674
P. K. Lila (HUF)	850
R. K. Lila (HUF)	11817

As on 30.09.2010

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	6.19
Directors or relatives of directors	93.81
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Importer of Sponge Iron and M. S. Ingot.
Imports :
Products :	Raw Materials
Countries :	· South Africa · Indonesia · UAE · Germany
Terms :
Selling :	Cheque
Purchasing :	L/C, Cheque

PRODUCTION STATUS AS ON 31.03.2010

Particulars	Licensed Capacity (Metric Tons)	Installed Capacity (Metric Tons)	Actual Production (QTY (MTs))
Sponge Iron	60000	60000	26455.00
M. S. Ingots	36000	36000	19853.22

GENERAL INFORMATION

Suppliers :

· Maheshwari Brothers

· M.T.C. Business

Customers :

Manufacturer

· Shree Mahalaxmi Private Limited

· Bansal Steel Industries

No. of Employees :

165 (Approximately) (In Office 90 and Contact Basis 75)

Bankers :

· State Bank of India

Commercial Branch, Patto Panaji, Panaji – 403 001, Goa, India

· Oriental Bank of Commerce

· IndusInd Bank

· ICICI Bank

· HDFC Bank

Facilities :

TL - Rs.300.000 millions (State Bank of India)

LC – Rs.80.000 millions (State Bank of India)

Cash Credit - Rs.50.000 millions (State Bank of India)

Secured Loans	As on 31.03.2010 Rs. in millions	As on 31.03.2009 Rs. in millions
State Bank of India Term Loan – 30004159463 (Secured by way of Equitable Mortgage on Land, Building Plant and Machineries and Floating Charge on the other assets of the Company both present and future along with personal guarantee of Directors)	22.250	43.348
State Bank of India Term Loan – 300042865893 (Secured by way of Equitable Mortgage on Land, Building Plant and Machineries and Floating Charge on the other assets of the Company both present and future along with personal guarantee of Directors)	6.081	11.877
State Bank of India Term Loan – 30679151658 (Secured by way of Equitable Mortgage on Land, Building Plant and Machineries and Floating Charge on the other assets of the Company both present and future along with personal guarantee of Directors)	78.998	37.154
State Bank of India Cash Credit (Secured by way of Raw Material, Finished Goods stock and book debts)	189.179	88.923
Oriental Bank of Commerce - Accent Car (Secured against hypothecation of Accent Car)	0.203	0.323
IndusInd Bank – JCB Loader – I (Secured against hypothecation of J C B Loader)	1.200	0.000
IndusInd Bank – JCB Loader – II (Secured against hypothecation of J C B Loader)	1.322	0.000
ICICI Bank – Truck (Secured against hypothecation of Truck)	0.120	0.481
Oriental Bank of Commerce – Innova Car (Secured against hypothecation of Innova)	0.588	0.793
ICICI Bank – Ford Fiesta (Secured against hypothecation of Ford Fiesta	0.150	0.355
Total	300.091	183.254

Unsecured Loans	As on 31.03.2010 Rs. in millions	As on 31.03.2009 Rs. in millions
Loans from Directors, Shareholders and Associated Companies	35.750	26.739
Total	35.750	26.739

Banking Relations :	--
Auditors :
Name :	Shrinivas Nayak and Company Chartered Accountants
Address :	201B, Mathias Plaza, 18^th June Road, Panaji – 403 001, Goa, India
Tel. No.:	91-832-2420139
Fax No.:	91-832-2420163
E-Mail :	shrinivas_ca@rediffmail.com
PAN No.:	ABNPN1439Q
Sister Concerns :	· Mangal Iron Private Limited · Shree Ambey Forgings Private Limited

CAPITAL STRUCTURE

As on 30.09.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
750000	Equity Shares	Rs.100/- each	Rs.75.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
750000	Equity Shares	Rs.100/- each	Rs.75.000 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		75.000	75.000	50.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		83.903	57.623	32.412
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		158.903	132.623	82.412
LOAN FUNDS
1] Secured Loans		300.091	183.254	157.350
2] Unsecured Loans		35.750	26.739	34.231
TOTAL BORROWING		335.841	209.993	191.581
DEFERRED TAX LIABILITIES		22.415	16.053	12.667
TOTAL		517.159	358.669	286.660
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		285.184	183.433	189.119
Capital work-in-progress		0.000	55.329	3.282
INVESTMENT		0.500	0.500	0.500
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	260.696	145.891	99.261
	Sundry Debtors	110.321	46.871	70.313
	Cash & Bank Balances	1.595	3.373	8.638
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	35.401	23.632	32.747
Total Current Assets		408.013	219.767	210.959
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	144.273	82.137	105.793
	Other Current Liabilities	32.265	18.308	11.578
	Provisions
Total Current Liabilities		176.538	100.445	117.371
Net Current Assets		231.475	119.322	93.588
MISCELLANEOUS EXPENSES		0.000	0.085	0.171
TOTAL		517.159	358.669	286.660

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Sales (Net of Returns)	741.149	750.270	703.853
		Trading Sales	12.394	0.000	0.000
		Other Income	0.892	1.794	1.171
		TOTAL (A)	754.435	752.064	705.024
Less	EXPENSES
		Cost of Goods Consumed	490.324	537.029	480.268
		Trading Purchases	12.299	0.000	0.000
		Manufacturing Expenses	126.977	132.651	134.057
		Personnel Expenditure	6.490	4.834	2.936
		Administrative Expenses	13.698	10.255	7.176
		Increase / Decrease in Stock	6.726	(11.789)	(0.498)
		TOTAL (B)	656.514	672.980	623.939
Less	PROFIT/(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		97.921	79.084	81.085
Less	INTEREST AND FINANCE CHARGES (D)		42.325	28.170	31.284
	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		55.596	50.914	49.801
Less/ Add	DEPRECIATION/ AMORTISATION (F)		14.593	11.071	10.819
	PROFIT/(LOSS) BEFORE TAX (E-F) (G)		41.003	39.843	38.982
Less	TAX (H)		14.723	14.631	12.902
	PROFIT/(LOSS) AFTER TAX (G-H) (I)		26.280	25.212	26.080
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		57.623	32.411	6.331
	BALANCE CARRIED TO THE B/S		83.903	57.623	32.411
	Earnings Per Share (Rs.)		35.04	33.62	52.16

Particulars	31.03.2011
Sales Turnover (Approximately)	668.900

Expected Sales (2011-2012) : Rs.800.000 millions

The above information has been parted by Mr. Amol

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	3.48	3.35	3.70
Net Profit Margin (PBT/Sales)	(%)	5.53	5.31	5.54
Return on Total Assets (PBT/Total Assets}	(%)	5.92	9.88	9.74
Return on Investment (ROI) (PBT/Networth)		0.26	0.30	0.47
Debt Equity Ratio (Total Liability/Networth)		3.22	2.34	3.75
Current Ratio (Current Asset/Current Liability)		2.31	2.19	1.80

LOCAL AGENCY FURTHER INFORMATION

DETAILS OF SUNDRY CREDITORS

Particulars	As on 31.03.2010 Rs. in millions	As on 31.03.2009 Rs. in millions	As on 31.03.2008 Rs. in millions
For Capital Goods	0.145	0.000	0.104
For Expenses, Stores, Transporter	15.330	19.043	19.042
For Letter of Credit	40.292	17.687	55.148
For Materials	85.963	45.264	31.040
Advance received from customers	2.543	0.143	0.459
Total	144.273	82.137	105.793

Sr. No.	Check List by Info Agents
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 variations <> 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.	Payment terms	YES
20.	Export / Import details (is applicable)	YES
21.	Market information	--
22.	Litigation 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, is available	--

PERFORMANCE

During the year the Company achieved a total income / revenue of Rs.747.709 millions as compared to Rs.763.854 millions of the previous year. Profit before tax increased from Rs.39.843 millions to Rs.41.002 millions showing an increase of 2.92% than previous fiscal.

The directors are confident that the Company will continue to achieve the better results in near future.

CONTINGENT LIABILITIES NOT PROVIDED FOR

Particulars	As on 31.03.2010 Rs. in millions
Bills / Cheque discounted / Purchased	NIL
Claims against the Company not acknowledged as debts – Excise Duty	0.077
Corporate Guarantee given by the Company to the bankers of the associate concerns	380.000
Counter guarantees given in the favour of Company’s bankers for Guarantees given by them	NIL
Outstanding Letter of Credit	40.292
Outstanding Bank Guarantee	7.250

FORM 8

Corporate identity number of the company	U27101GA2004PLC003747
Name of the company	ANSHUL STEELS LIMITED
Address of the registered office or of the principal place of business in India of the company	505A, Dempo Trade Centre, Patto Plaza, Panaji – 403 001, Goa, India
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	90077693
Type of charge	· Book debts · Movable property (not being pledge) · Others o Goods and other assets
Particular of charge holder	State Bank of India Commercial Branch, Patto Panaji, Panaji – 403 001, Goa, India E-Mail : sbi.04212@sbi.co.in
Nature of instrument creating charge	1. Supplemental agreement of loan for increase in the overall limit 2. Supplemental agreement of hypothecation of goods and assets for incarese in overall limit 3.Supplemental Agreement of Pledge Og Goods and Assets For Incarese In The Overall Limit 4. Letter regarding the grant of individual limits within the overall limit
Date of instrument Creating the charge	03.11.2008
Amount secured by the charge	Rs.384.200 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest As laid down by bank Terms of Repayment 1. Fresh term loan of Rs.80.000 millions will be repayable in first 53 installments of Rs.1.300 millions each and next 3 installments of Rs.3.700 millions commencing from nine months after first disbursement and in case not later than 31th July 2009. interest will bepayable at monthly intervals. 2. Existing term loans will be repaid as per current arrangement. 3. Other loans will be repayable on demand. Margin Raw Material Inland -------------------------------- 25.00% Stock in Process ------------------------------------- 40.00% Finished Goods ---------------------------------------- 33.33% Raw material imported -------------------------- 15.00% Book Debts / Receivables ----------------------- 40.00% Letter of credit and Bank Guarantee ------ 20.00% Term Loan -------------------------------------- 27.27% Extent and Operation of the charge To the extent of Rs.384.200 millions
Short particulars of the property or asset(s) charged (including complete address and location of the property)	1. Company's entire present and future stocks of raw material, finished goods, stock in process, consumable stores and spares, whereever stored or in transit, other current assets and book bebts. 2. Equitable mortgage of leasehold plot of land and building and other immovable assets at Plot No. B-135 and B-7, Five Star MIDC, Kagal, District Kolhapur, Maharashtra.
Particulars of the present modification	The limit was increased from Rs.260.000 millions to Rs.265.000 millions dated 01/06/2007 ( which reamins pending for registration). now the limit is increased from Rs.265.000 millions to Rs.384.200 millions.

TRADE REFERENCES

· Shree Mahalaxmi Private Limited

· Bansal Steel Industries

· Maheshwari Brothers

· M.T.C. Business

FIXED ASSETS

· Land and Land Development

· Building

· Plant and Machinery

· Laboratory Equipments

· Office Equipments

· Furniture and Fixtures

· Earth Moving Machinery

· Bus, Lorries and Tractor

· Vehicles

· Computer

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.52.73
UK Pound	1	Rs.81.34
Euro	1	Rs.67.00

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	4
--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	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		44

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.