MIRA INFORM REPORT

Report Date :

10.01.2012

IDENTIFICATION DETAILS

Name :	MULTI METALS LIMITED
Registered Office :	Heavy Industries Area, Kansua Road, Kota – 324003, Rajasthan
Country :	India
Financials (as on) :	31.03.2011 (Profit and Loss A/c)
Date of Incorporation :	02.08.1962
Com. Reg. No.:	17-001519
Capital Investment / Paid-up Capital :	Rs.184.500 Millions (As on 31.03.2010)
CIN No.: [Company Identification No.]	U27101RJ1962PLC001519
PAN No.: [Permanent Account No.]	AABCM6604J
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchange.
Line of Business :	Manufacturer and Exporter of Copper and Copper Alloy Products.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (35)

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

Maximum Credit Limit :	USD 760000
Status :	Moderate
Payment Behaviour :	Slow but Correct
Litigation :	Clear
Comments :	Subject is an old and well established company having moderate track. Financial position of the company is improving. Trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealings with slight 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 – 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/ Fcatory :	Heavy Industries Area, Kansua Road, Kota – 324003, Rajasthan, India
Tel. No.:	91-744-2481047/ 2481781
Fax No.:	91-744-2481047/ 2481783
E-Mail :	jpsassociates@hotmail.com sales@multimetals.in priyanka@multimetals.in hngupta@multimetals.in
Website :	http://www.multimetals.in

DIRECTORS

(AS ON 27.08.2011)

Name :

Mr. Aashish Maheshwari

Designation :

Director

Address :

2-PA-10, Vigyan Nagar, Kota – 324005, Rajasthan, India

Date of Birth/Age :

19.10.1973

Date of Appointment :

25.06.2005

DIN No.:

00345457

Name :

Mr. Rajendra Agrawal

Designation :

Managing Director

Address :

1-TA-12, Vigyan Nagar, Kota – 324005, Rajasthan, India

Date of Birth/Age :

07.12.1963

Date of Appointment :

02.03.2006

DIN No.:

00345629

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	U51504RJ1966PTC001210	AGRASEN AGRO INDUSTRIES PRIVATE LIMITED	Managing director	17/09/1994	17/09/1994	5/1/2009	Active	NO
2	U67120RJ1995PLC009584	HADOTI PUNJI VIKAS LIMITED	Director	24/02/1995	24/02/1995	5/1/2009	Active	NO
3	U15313RJ1998PTC015218	BARAN ROLLER FLOUR MILLS PRIVATE LIMITED	Managing director	9/4/2001	9/4/2001	6/1/2009	Active	NO
4	U70101RJ2004PTC019257	TIRUPATI BALAJI ESTATES PRIVATE LIMITED	Director	6/5/2004	6/5/2004	5/1/2009	Active	NO
5	L27101RJ1962PLC001519	MULTI METALS LIMITED	Managing director	2/3/2011	2/3/2006	-	Active	NO
6	U63023RJ1995PTC010336	J V S FOODS PRIVATE LIMITED	Whole-time director	28/10/2010	1/4/2009	-	Active	NO
7	U15499GJ2003PLC041936	GUJARAT ENERGY FOOD (BAVLA) LIMITED	Managing director	2/4/2009	2/4/2009	-	Active	NO

Name :

Mr. Nitin Agarwal

Designation :

Director

Address :

18, New Mahesh Colony, Bhilwara – 311001, Rajasthan, India

Date of Birth/Age :

24.11.1980

Date of Appointment :

01.02.2006

DIN No.:

00383246

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	U15313RJ1998PTC015218	BARAN ROLLER FLOUR MILLS PRIVATE LIMITED	Director	9/4/2001	9/4/2001	26/03/2011	Active	NO
2	L27101RJ1962PLC001519	MULTI METALS LIMITED	Whole-time director	1/2/2011	1/2/2006	-	Active	NO
3	U24119JK2005PTC002553	JAMMU METTALIC OXIDES PRIVATE LIMITED	Director	13/11/2006	13/11/2006	-	Active	NO
4	U27209RJ2007PTC024913	NETTO ALLOYS PRIVATE LIMITED	Director	30/08/2007	30/08/2007	16/05/2011	Active	NO
5	U70101RJ2004PTC019257	TIRUPATI BALAJI ESTATES PRIVATE LIMITED	Director	2/2/2009	2/1/2009	-	Active	NO
6	U15499GJ2003PLC041936	GUJARAT ENERGY FOOD (BAVLA) LIMITED	Director	30/06/2009	2/4/2009	-	Active	NO
7	U14219RJ2006PTC023384	EDILA BUSINESS WORLD PRIVATE LIMITED	Director	26/09/2011	26/08/2011	-	Active	NO

Name :

Mrs. Vinita Mehta

Designation :

Director

Address :

9-A, Krishna Enclave, Gavdi, civil Lines, Kota – 324001, Rajasthan, India

Date of Birth/Age :

11.07.1971

Date of Appointment :

23.09.2006

DIN No.:

00383296

Name :

Mr. Vijay Kumar Jain

Designation :

Director

Address :

702, Shastri Nagar, Dadabari, Kota – 324009, Rajasthan, India

Date of Birth/Age :

15.06.1964

Date of Appointment :

25.06.2005

DIN No.:

00383337

Name :

Mr. Vasudev Agrawal

Designation :

Director

Address :

Bunglow No.3, Jay Kay Colony, Kota – 324003, Rajasthan, India

Date of Birth/Age :

15.01.1953

Date of Appointment :

19.03.2005

DIN No.:

01217145

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	U15313RJ1998PTC015218	BARAN ROLLER FLOUR MILLS PRIVATE LIMITED	Director	9/4/2001	9/4/2001	Active	NO
2	U70101RJ2004PTC019257	TIRUPATI BALAJI ESTATES PRIVATE LIMITED	Director	6/5/2004	6/5/2004	Active	NO
3	U51504RJ1966PTC001210	AGRASEN AGRO INDUSTRIES PRIVATE LIMITED	Director	19/03/2005	19/03/2005	Active	NO
4	L27101RJ1962PLC001519	MULTI METALS LIMITED	Director	19/03/2005	19/03/2005	Active	NO
5	U24119JK2005PTC002553	JAMMU METTALIC OXIDES PRIVATE LIMITED	Director	13/11/2006	13/11/2006	Active	NO

Name :

Mrs. Priyanka Agrawal

Designation :

Executive Director

Address :

18, New Mahesh Colony, Bhilwara – 311001, Rajasthan, India

Date of Birth/Age :

17.04.1981

Date of Appointment :

01.02.2006

DIN No.:

01489930

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	U67120RJ1995PLC009584	HADOTI PUNJI VIKAS LIMITED	Director	16/10/2004	16/10/2004	Active	NO
2	L27101RJ1962PLC001519	MULTI METALS LIMITED	Whole-time director	1/2/2011	1/2/2006	Active	NO
3	U51504RJ1966PTC001210	AGRASEN AGRO INDUSTRIES PRIVATE LIMITED	Director	2/1/2009	2/1/2009	Active	NO

KEY EXECUTIVES

Name :	Mr. H. N. Gupta
Designation :	Commercial Manager
Name :	Mr. Bajrang singh tanwar
Designation :	Secretary
Address :	A-462, Vaishali Nagar, Jaipur – 302021, Rajasthan, India
Date of Birth/Age :	16.02.1941
Date of Appointment :	20.10.2005
PAN No.:	ABVPT5122E

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 27.08.2011)

Names of Shareholders	No. of Shares
Vinod Prakash Sharma	88200
Glok Parashap	90000
Paras Chatter	29340
Pramila Marayan Raut	29000
Shatalia Dina Pravin	20000
Narayan Ramchandra Raut	16000
Ampi Chatter	10853
Madhubala Paresh Trivedi	10063
B S Kothari	7876
Nalini Chatter	5750
Premratan Devkishan Daga	5000
Custodian A/c N K Aggarwala	4600
Ravi Varrier	4000
Subhas B Agarwal	4000
Ashok P. Singh	3500
Ajay Kumar Kayak	3500

(AS ON 30.09.2011)

Equity Shares Break – Up

Category	Percentage
Nationalised or other banks	0.38
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]	0.07
Bodies corporate	60.78
Directors or relatives of directors	34.20
Other top fifty shareholders	4.57
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Copper and Copper Alloy Products.

Products :

Products Description	Item Code No.
Copper Tubes	741110

GENERAL INFORMATION

Customers :

· ABB

· BHEL

· Blue Star

· Godrej

· Haier

· Indian Oil

· LG

· Siemens

· Tata Power

· Thermax Limited

· Whirlpool

· Videocon

No. of Employees :

Not Available

Bankers :

· Bank of India

Industrial Area, Kota – 324007, Rajasthan, India

Facilities :

Secured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
From a Scheduled Bank
Working Capital Limit	NA	168.120
(Secured by Equitable Mortgaged of the Land and building at Plot No.6 and 7 Kota. Hypothecation of Plant and Machinery and Charge of current Assets of the company)
Total	NA	168.120
Unsecured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Short Terms Loans and Advances - From Companies	NA	296.546
Total	NA	296.546

Banking Relations :	--
Auditors :
Name :	Sudhir Sharma Chartered Accountant
Address :	146, Nayapura, Kota – 324001, Rajasthan, India
PAN No.:	AFRPS6930F

CAPITAL STRUCTURE

(AS ON 27.08.2011)

Authorised Capital :

No. of Shares	Type	Value	Amount
12500000	Equity Share	Rs.10/- each	Rs.125.000 Millions
6500000	Preference Shares	Rs.10/- each	Rs.65.000 Millions
	Total		Rs.190.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
11950000	Equity Share	Rs.10/- each	Rs.119.500 Millions
6500000	Preference Shares	Rs.10/- each	Rs.65.000 Millions
	Total		Rs.184.500 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		184.500	184.500
2] Share Application Money		0.000	0.000
3] Reserves & Surplus		6.019	0.058
4] (Accumulated Losses)		0.000	(27.474)
NETWORTH		190.519	157.084
LOAN FUNDS
1] Secured Loans		168.120	231.076
2] Unsecured Loans		296.546	184.187
TOTAL BORROWING		464.666	415.263
DEFERRED TAX LIABILITIES		3.437	6.593
TOTAL		658.622	578.940
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		68.395	72.755
Capital work-in-progress		0.000	0.000
INVESTMENT		0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	407.227	364.372
	Sundry Debtors	263.320	71.808
	Cash & Bank Balances	29.690	32.129
	Other Current Assets	0.000	0.000
	Loans & Advances	169.553	146.887
Total Current Assets		869.790	615.196
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	208.624	28.804
	Other Current Liabilities	27.359	38.139
	Provisions	43.945	42.524
Total Current Liabilities		279.928	109.467
Net Current Assets		589.862	505.729
MISCELLANEOUS EXPENSES		0.365	0.456
TOTAL		658.622	578.940

NOTE: 2011 Balance Sheet Details are not available.

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	1470.293	1227.344	1029.593
		Other Income	16.452	20.382	17.292
		TOTAL (A)	1486.745	1247.726	1046.885
Less	EXPENSES
		Consumption Materials Changed Inventories	1209.934	1033.177
		Manufacturing Services Costs	85.380	68.999	927.957
		Employee Related Expenses	24.616	18.656
		Administrative Selling and Other Expenses	18.578	12.509
		TOTAL (B)	1338.508	1133.341	927.957
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		148.237	114.385	118.928
Less	FINANCIAL EXPENSES (D)		59.427	37.472	50.712
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		88.810	76.913	68.216
Less/ Add	DEPRECIATION/ AMORTISATION (F)		17.438	13.349	14.604
	PROFIT BEFORE TAX (E-F) (G)		71.372	63.564	53.612
Less	TAX (H)		24.147	19.128	14.965
	PROFIT AFTER TAX (G-H) (I)		47.225	44.436	38.647
Less	APPROPRIATIONS		8.728	11.002	11.038
	BALANCE CARRIED TO THE B/S		38.496	33.434	27.609
	IMPORTS
		Raw Materials	NA	5.746	50.756
		Stores & Spares	NA	5.615	7.944
		Capital Goods	NA	4.567	0.614
	TOTAL IMPORTS		NA	15.928	59.314
	Earnings Per Share (Rs.)		NA	6.48	5.42

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	3.18	3.56	3.69
Net Profit Margin (PBT/Sales)	(%)	4.85	5.18	5.21
Return on Total Assets (PBT/Total Assets}	(%)	NA	6.78	7.79
Return on Investment (ROI) (PBT/Networth)		NA	0.33	0.34
Debt Equity Ratio (Total Liability/Networth)		NA	3.91	3.34
Current Ratio (Current Asset/Current Liability)		NA	3.11	5.62

LOCAL AGENCY FURTHER INFORMATION

MANAGEMENT DISCUSSION AND ANALYSIS REPORT

ECONOMIC SCENARIO

As far as the economic scenario is concerned India is surely on a roll. The last twenty years have really proved extremely beneficial for India. The country now stands only after Brazil as far as GDP ranking is concerned. India has replaced Russia and grabbed the second position in the global forefront mostly due to the strategic planning and huge amount of expenditures on education in India. The country has successfully overcome the effect of the global economic slowdown and growth of Gross Domestic Product (GDP) at factor cost at constant prices was 8.6 per cent in 2010-11 representing an increase from the revised growth of 8.0 per cent during 2009- 10.

Subsequently an increase of 5.4 per cent in allied activities and growth of 8.1 per cent in industry as compared to a growth of 0.4 per cent and 8.0 per cent respectively during 2009-10. Real GDP grew by 8.2 per cent in the 3rd quarter of 2010- 11 following identical growth of 8.9 per cent in the first two.

PRODUCT AND INDUSTRIAL SCENARIO

With copper prices at new record highs, and the prospect of new level of prices to come, those market participants planning for the longer-term face many questions. Developing countries now account for a larger share of demand than before the global downturn, while project delays and ongoing financing difficulties are contributing to the tight market environment and record prices. Growth in the industrial sector was buoyant during the first two quarters of the financial year. The manufacturing sector, in particular, showed a remarkable growing at rates of 12.6 % and 9.9 % respectively, during these two quarters. Thereafter industrial output growth has begun to moderate.

MARKET

The market of Copper Tubes can be categorised in two broad areas, viz., Domestic Market and Export Market.

DOMESTIC MARKET:

Metals demand in India is expected to double in five years and remain robust for a decade, fueled by rising car sales and higher spending on infrastructure projects as per analysts. Some Industry experts from India also believe that investment in aluminum would confine physical stock in the market and thereby raise the price. The size of Indian Copper Industry (consumption of refined copper per annum) is around five lakh tones, which as percentage of world copper market is only three percent. Demand for the Company’s products from Automobile and General Engineering Industry is expected to be sluggish. Company’s reputation as a manufacturer of high quality products and reliable supplier backed up by excellent after sales service, will enable the Company to sustain itself in this difficult situation.

EXPORT MARKET:

During the first 11 months of 2010, world refined production increased by 4.2% (700,000 tonnes) compared with production in the same period of 2009, with 71`% of the growth attributed to increased secondary production (from scrap). Primary refined production (from ore) increased by only 1.4%, while secondary production increased by 20%. World refined production growth has been mainly driven by China (12.4%), Japan (8.7%) and the EU (5.6%) that combined represent almost one half of world refined copper production. Production in two other major world refiners, Chile and the US, which account for about one quarter of world production, decreased by a combined 2.6%. The refined production capacity utilization rate in the first 11 months of 2010 increased to 79.3% from 77.4% in the same period of 2009 and reflects increased scrap availability and restoration of temporary cuts made in early 2009. World refined production of Copper Metal (Cathode) during November’10 is 1,609,000 tonnes and cumulative production during Jan-Nov’10 is 17,373,000 tonnes.

FINANCIAL PERFORMANCE REVIEW

The production achieved by the Company during the financial year 2010-11 was 3225 Mt, as against the last financial year which was 2855 MT, depicting an increase of 370 Mt. The company reported the gross turnover of Rs.1615.023 Millions which is significantly more than the last years gross turnover i.e. 1329.256 Millions, which is appreciable. The company posted a Net Profit (After tax) of Rs. 47.344 Millions as compared to Rs.44.436 Millions achieved during the last year, which is also quite satisfactory

FUTURE OUTLOOK

The Indian economy is growing at a fast pace. It is officially the world's second fastest growing economy. The Indian economy is likely to change a lot in the developing country. In coming years India is expected to go through some more drastic changes economy wise. The Indian economy is poised to grow by double digits in the next two-three years, having successfully weathered the impact of the global downturn. The coming financial year will bring significant growth challenges for the wider economy, and of course individual businesses as well. Timely and appropriate policy actions will be the key towards managing growth at the macro level, while a keen sense of attention to detail in terms of cost management, process control and revenue focus will determine survival of individual businesses. It is inevitable that the fortunes of the Indian economy will be impacted by the growth prospects of the world economy as export demand continues to fall, and external financing becomes progressively constrained.

FORM 8:

This form is for	Modification of charge
Charge identification number of the modified	80012454
Corporate identity number of the company	L27101RJ1962PLC001519
Name of the company	MULTI METALS LIMITED
Address of the registered office or of the principal place of business in India of the company	Heavy Industries Area, Kansuaroad, Kotah – 324003, Rajasthan, India
Type of charge	Immovable property Book Debts Movable Property Floating Charge
Particular of charge holder	Bank of India Industrial Area, Kota – 324007, Rajasthan, India boi_iakota@rediffmail.com
Nature of description of the instrument creating or modifying the charge	1. Agreement for Hypothecation of Stock; 2. Agreement for Hypothecation of Book Debts; 3. Agreement for Hypothecation of Plant and Machinery; 4. Agreement for Packing Credit; 5. Agreement for L/C- DP/DA (Foreign/ Inland); 6. Agreement for Bank Guarantee; 7. Oral assents for extending EQM; 8. Form No. L-516 for declaration.
Date of instrument Creating the charge	01.02.2008
Amount secured by the charge	Rs.750.000 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest 1. Packing Credit: @7.50 % p.a. upto 180 days and @ 11.25% p.a. beyond 180 days and upto 270 days. At commercial rate beyond 270 days. 2. Inland/ Foreign L/C (DP/DA) 90 days: 50% of Bank's Normal Charges. 3. Others: Concessional rate of interest of 1.25% below BPLR minimum 12.00 % p.a. with monthly rests. Terms of Repayment Fund Based Limits : Repayable on Demand Non-Fund Based Limits : As per Terms Margin 1. CC (stocks)- 25% 2. Packing Credit- 15% 3. CC (book debts)- 30% 4. Bill discounting, I/F LC & Bank Guarantee- 10% Extent and Operation of the charge First charge Others As per the documents executed
Short particulars of the property charged	Primary Security: a) Ist exclusive charge on stock and book-debts. b) Ist charge (Floating) on other current assets excl. security deposits and margin on NFBL c) Pledge of Margin TDRs of NFBL Collateral Security: a) EQM of Factory Land and Building situated at Heavy Industries Area, Kansua Road, Kota b) Hypothecation of Plant and Machinery and other movable Fixed Assets excluding vehicles of the Company c) EQM of land situated at Station Rd, Nayapura, Kota owned by Horizon Projects and Infrastructures Private Limited
Particulars of the present modification	1. Fund Based Limit enhanced to Rs.300.000 Millions and Non-Fund Based Limit enhanced to Rs.450.000 Millions. Total credit facilities enhanced to Rs. 750.000 Millions 2. The aggregate credit facilities are collaterally secured by M/s Horizon Projects and Infrastructure Private Limited by way of corporate guarantee and EQM of company's land situated at Station Road, Nayapura, Kota whereas industrial land of Hadoti Punji Vikas Limited situated at Plot No. A-11, IPIA, Kota earlier mortgaged to the Bank has been released.

FIXED ASSETS:

· Leasehold Land and Development Expenses

· Building on Leasehold Land

· Plant and Machinery

· Furniture, Fixture and Fittings

· Vehicles

WEBSITE DETAILS:

INTRODUCTION

Subject was founded in 1962 as a joint venture with Revere Copper and Brass Inc., USA. Today, we are premier manufacturers of seamless extruded copper, copper alloy products including 90/10, 95/5, and 70/30 Cupro Nickel, Cunifer, Aluminium Brass, Admiralty Brass, 70/30 Brass, 63/37 Brass, Naval Brass confirming to various international standards. With their wide product range they cater to numerous industries like Air-conditioning, Refrigeration, Heat exchangers, Nuclear and Thermal Power Plants, Ship Building and Repairs, Petroleum refineries, Sugar Plants, Defense establishments i.e. Naval Warships etc.

They have a technical collaboration with M/s Hitachi Cable Limited, Japan, one of the world leaders in Air Conditioning and Refrigeration Copper tube technology. 

The distinguishing factor about us is the quality of our products owing to which we have won 13 Export Excellence awards since 1993-94. Multimetals is an ISO 9001:2008 certified company with its works approved from Lloyds Register. We possess PED Certification and self-certification AD 2000 Merkblatt W6/2 from TUV Nord.

Apart from the Standard products, we have also started manufacturing other copper based alloy semis in the form of hollows, sections, profiles and rods as per customers’ requirements, custom made as per the chemical, mechanical, metallurgical and physical properties provided by the customer. They also offer PVC Coated Tubes and high performance copper alloy wires, adding to their product range.

Fortified by their dedication for excellence and renewed commitment to quality and growth, company has every reason to be optimistic about its future in the Non Ferrous business in India and Abroad as well.

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.67.01

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	4
--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	YES
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		35

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.