MIRA INFORM REPORT

Report Date :

11.01.2012

IDENTIFICATION DETAILS

Name :	JOHN CRANE SEALING SYSTEMS INDIA PRIVATE LIMITED
Registered Office :	No. 1, Ground Floor, Casa Blanca, No. 6 casa Major Road, Chennai – 600008, Tamilnadu
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	24.05.1995
Com. Reg. No.:	18-031516
Capital Investment / Paid-up Capital :	Rs. 75.000 Millions
CIN No.: [Company Identification No.]	U28991TN1995PTC031516
TAN No.: [Tax Deduction & Collection Account No.]	CHEJ02016A
Legal Form :	Private Limited Liability Company
Line of Business :	Subject is engaged in the Design, Manufacture, Supply and Service of Mechanical Seals, Sealant Systems, Power Transmission Couplings, Engineering and IT related services.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (50)

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

Maximum Credit Limit :	USD 1200000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a well 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 :	No. 1, Ground Floor, Casa Blanca, No. 6 casa Major Road, Chennai – 600008, Tamilnadu, India
Tel. No.:	91-44-28191271
Fax No.:	91-44-28191273
E-Mail :	jcin.finance@johncrane.co.uk ashok.vasudevan@johncrane.co.uk
Website :	http://www.johncrane.co.uk
Branches :	Located at : Kolkata Pune Bangalore Chennai Mumbai Baroda New Delhi

DIRECTORS

AS ON 30.09.2011

Name :	Mr. Ashok Koipurathu Kizhakathil Vasudevan
Designation :	Nominee Director
Address :	No. 76, Block ‘A’, Sahrada Nivas I Cross, Indira nagar II Stage, Bangalore – 360038
Date of Birth/Age :	07.03.1968
Qualification :	M. S.
Date of Appointment :	31.03.2005
DIN No.:	02072393

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	U33125TN1980PTC008168	SCIENTIFIC TOOL MANUFACTURERS PRIVATE LIMITED	Director	01-04-92	01-04-92	Active	NO
2	U28991TN1995PTC031516	JOHN CRANE SEALING SYSTEMS INDIA PRIVATE LIMITED	Nominee director	31-03-05	31-03-05	Active	NO
3	U05190KA2002PTC030994	JOHN CRANE FLEXIBOX (INDIA) PRIVATE LIMITED	Nominee director	22-02-06	22-02-06	Active	NO

Name :	Mr. Srinivasan Venkataraman
Designation :	Nominee Director
Address :	Flat No 004 Sai Charitha Nandanavanam Layout, Vidyaranyapura, Bangalore – 560097, Karnataka, India
Date of Birth/Age :	15.04.1957
Date of Appointment :	19.04.2007
DIN No.:	02072457

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	U28991TN1995PTC031516	JOHN CRANE SEALING SYSTEMS INDIA PRIVATE LIMITED	Nominee director	19-04-07	19-04-07	Active	NO
2	U05190KA2002PTC030994	JOHN CRANE FLEXIBOX (INDIA) PRIVATE LIMITED	Nominee director	19-04-07	19-04-07	Active	NO

Name :	Mr. Rajeev Atmaram Patwardhan
Designation :	Whole Time Director
Address :	B-3/12, Runwal Nagar, Near Pratap Talkies, District Thane-400601, Maharashtra, India
Date of Birth/Age :	26.11.1960
Date of Appointment :	30.09.2011
DIN No.:	03645070

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	U05190KA2002PTC030994	JOHN CRANE FLEXIBOX (INDIA) PRIVATE LIMITED	Director	30-09-11	26-09-11	Active	NO
2	U28991TN1995PTC031516	JOHN CRANE SEALING SYSTEMS INDIA PRIVATE LIMITED	Director	30-09-11	26-09-11	Active	NO

Name :	Mr. See Keh Hin
Designation :	Director
Address :	No. 21, Tuas Avenue, Singapore – 639085
Date of Birth :	28.07.1962
Date of Appointment :	31.03.2005

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2011

Names of Shareholders	No. of Shares
Smiths Group Holdings [Netherlands] BV, The Netherlands	7499960
Vasudevan Ashok and Smiths Group Holdings, Netherlands BV, Karnataka, India	40
Total	7500000

AS ON 30.09.2011

Equity Shares Break Up	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Subject is engaged in the Design, Manufacture, Supply and Service of Mechanical Seals, Sealant Systems, Power Transmission Couplings, Engineering and IT related services.

Products :

Production Description	ITC Code No.
Mechanical Seals and Couplings	8484 and 8483

PRODUCTION STATUS (AS ON 31.03.2011)

Particulars	Unit	Installed Capacity	Actual Production
Seal	Nos.	40260	416065
Couplings	Nos.	53750	364387
Surge Suppressors	Nos.	72000	58594
Connectors	Nos.	7500	57

Notes:

(i) The installed Capacity has been certified by the Company's management and relied upon by the auditors, this being a technical matter.

(ii) Production includes production from third party processors 2011: 375,805 Nos (2010: 2,727 Nos) of Mechanical Seals and 2011: 310,637 Nos (2010: 56,852Nos) of Couplings.

(iii) Above is includes production of spares and parts for Mechanical and Couplings: 321,043 Nos (251,768 Nos.).

(iv) Figures in brackets relate to previous year.

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· Hongkong and Shanghai Banking Corporation Limited

Facilities :

Unsecured Loan	Rs. In Millions 31.03.2011	Rs. In Millions 31.03.2010
Rupee term loans unsecured
Rupee term loans others unsecured	5.000	5.000
Foreign currency loans unsecured
Foreign currency loans others unsecured	226.050	228.550
Working capital loans unsecured
Working capital loans others unsecured	0.000	0.193
Loans taken for fixed assets unsecured
Finance lease obligation long-term unsecured	1.247	1.494
Interest accrued due unsecured loans
Interest accrued due other debt unsecured	3.612	7.772
Total	235.909	243.009

Banking Relations :

--

Auditors :

Name :

Price Waterhouse and Company

Chartered Accountants

Address :

5^th Floor, Tower D, The Millenia, 1 and 2, Murphy Road, Ulsoor, Bangalore – 560008, Karnataka, India

Pan No.:

AADFP359C

Holding Company :

Ø Smith Group Holdings (Netherlands) BV

Fellow Subsidiaries :

Ø Flexibox Japan KK

Ø Florida Rf Labs

Ø Hypertac France Sa

Ø Hypertac Germany

Ø Hypertac Italy

Ø Hypertac UK

Ø Indufil Bv

Ø John Crane (Egypt)

Ø John Crane (Pty) Limited

Ø John Crane (Thailand) Limited

Ø John Crane Argentina S.A

Ø John Crane Australia Pty Limited

Ø John Crane Bearing Technology Gmbh

Ø John Crane Canada Inc

Ø John Crane Caribe Limited

Ø John Crane China Company Limited

Ø John Crane Cz (Ops)

Ø John Crane Endust Sizdirmazlik

Ø John Crane Flexibox India Private Limited

Ø John Crane France SAS

Ø John Crane Gmbh Germany

Ø John Crane Holland

Ø John Crane Iberica

Ø John Crane Inc

Ø John Crane Indonesia

Ø John Crane Ireland

Ø John Crane Italy Spa

Ø John Crane Japan Inc

Ø John Crane Korea Company Limited

Ø John Crane Lemco

Ø John Crane Mexico

Ø John Crane Middle East F.Z.E

Ø John Crane Safematic Oy

Ø John Crane Saudi Arabia

Ø John Crane Sigma A.S

Ø John Crane Singapore Pte Limited

Ø John Crane Sverige Ab (Sweden)

Ø John Crane Taiwan

Ø John Crane Technology Tianjin Company

Ø John Crane Uk Limited

Ø Smith Detection India

Ø Smith Interconnect , China

Ø Smiths Brasil Limited

Ø Smiths Finance Luxembourg Sarl

Ø Smiths Medical India Private Limited

Ø Smiths Medical International

Ø STS Titeflex India Private Limited

Ø Transtector Systems

CAPITAL STRUCTURE

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
7500000	Equity Share	Rs.10/- each	Rs. 75.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
7500000	Equity Share	Rs.10/- each	Rs. 75.000 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		75.000	75.000	75.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		244.080	172.921	119.745
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		319.080	247.921	194.745
LOAN FUNDS
1] Secured Loans		0.000	0.000	0.000
2] Unsecured Loans		235.909	243.009	292.517
TOTAL BORROWING		235.909	243.009	292.517
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		554.989	490.930	487.262
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		261.727	274.118	290.044
Capital work-in-progress		8.830	0.150	3.535
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		18.150	28.710	29.049
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	128.261	99.221	79.610
	Sundry Debtors	215.751	179.855	182.338
	Cash & Bank Balances	88.705	40.403	26.053
	Other Current Assets	0.000	0.000	3.139
	Loans & Advances	158.859	176.277	59.678
Total Current Assets		591.576	495.756	350.818
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	116.909	103.983	114.523
	Other Current Liabilities	169.838	170.009	33.821
	Provisions	38.547	33.812	37.840
Total Current Liabilities		325.294	307.804	186.184
Net Current Assets		266.282	187.952	164.634
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		554.989	490.930	487.262

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	952.654	749.171	953.748
		Other Income	NA	NA	20.132
		TOTAL (A)	NA	NA	973.880
Less	EXPENSES
		Cost of Material	NA	NA	862.948
		Operating and Other Expenses
		TOTAL (B)			862.948
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)				110.932
			NA	NA
Less	FINANCIAL EXPENSES (D)				13.297
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)				97.635
Less/ Add	DEPRECIATION/ AMORTISATION (F)		NA	NA	47.871
	PROFIT BEFORE TAX (E-F) (G)		121.718	90.900	49.764
Less	TAX (H)		50.558	28.980	9.153
	PROFIT AFTER TAX (G-H) (I)		71.160	61.920	40.611
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	340.914	236.279	424.981
		Commission Earnings	2.158	14.814	5.110
		Service Income	133.791	129.779	141.799
	TOTAL EARNINGS		476.863	380.872	571.890
	IMPORTS
		Raw Materials and Components	116.166	103.775	126.538
		Capital Goods	2.990	5.075	46.009
	TOTAL IMPORTS		119.156	108.850	172.547
	Earnings Per Share (Rs.)		9.49	8.26	5.41

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	NA	NA	4.17
Net Profit Margin (PBT/Sales)	(%)	12.78	12.13	5.22
Return on Total Assets (PBT/Total Assets}	(%)	13.97	11.38	7.77
Return on Investment (ROI) (PBT/Networth)		0.38	0.37	0.26
Debt Equity Ratio (Total Liability/Networth)		1.76	2.22	2.46
Current Ratio (Current Asset/Current Liability)		1.82	1.61	1.88

LOCAL AGENCY FURTHER INFORMATION

OPERATIONS, TURNOVER AND PROFITABILITY

The Company achieved turnover of Rs. 952.654 Million during the year period from April 2010 to March 2011 as against the turnover of Rs. 749.171 Million in the previous year. This includes the other income like the Service Charges collected from their customer for the on-site services rendered and also for the services rendered to JC UK through their International Support Services.

EXPORT

The Company continues to focus on Export and this will be a key thrust area. The Company continues to gain importance as a manufacturing source for John Crane Companies in Europe, Middle East, Asia, Africa and North America.

CONTINGENT LIABILITIES:

(Rs. In Millions)

PARTICULARS	31.03.2011	31.03.2010
Bank Guarantees	1.873	0.325
Sales Tax matters under dispute	10.252	10.252

FORM 8

Name of the company	JOHN CRANE SEALING SYSTEMS INDIA PRIVATE LIMITED
Presented By	R. Srinivasa Raghauan, Senior Finance Executive
1) Date and description of instrument creating the change	Agreement for overdraft / cash credit / loan dated 16.04.1996 Agreement for overdraft / cash credit / loan against hypothecation of revolving stocks and other movable assets and also present and future debts, dated 16.04.1996
2) Amount secured by the charge/amount owing on the securities of charge	Rs. 33.000 Millions
3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given	Stock of raw material, work-in-progress of finished goods and present and future book debts Plant and machinery
4) Gist of the terms and conditions and extent and operation of the charge.	As per agreement with the bank
5) Name and Address and description of the person entitled to the charge.	Hongkong and Shanghai Banking Corporation Limited No.30, Rajaji Salai, Chennai – 600001
6) Date and brief description of instrument modifying the charge	Agreement for overdraft / cash credit / loan against hypothecation of revolving stocks and other movable assets dated 24.06.1997 Agreement for overdraft / Cash Credit / Loan against hypothecation of revolving Stock and other movable assets and also present and future book debts dated 24.06.1997
7) Particulars of modifications specifying the terms and conditions or the extent of operations of the charge in which modification is made and the details of the modification.	The amount secured by the charge is increased from Rs. 33.000 Millions to Rs. 41.000 Millions

FIXED ASSETS

Tangible Assets

• Land
• Building
• Leasehold Improvements
• Plant and Machinery
• Office Equipments
• Furniture and Fixture
• Computers
• Vehicles

Intangible Assets

• Computer Software

AS PER WEBSITE DETAILS

HISTORY OF JOHN CRANE

For years, Subject, a world leader of engineered sealing systems and now a member of Smiths Group PLC, has sought to take sealing technology to new heights. They constantly strive to push the envelope, exceeding customer expectations and surpassing the industry standards.

Founded in 1917 as Crane Packing Company, the company established several facilities throughout the United States, Canada and England. Prior to World War II, Crane Packing sold its England-based operations to a company known as Tube Investments, the company that eventually became known as TI Group PLC .

In 1951, Crane Packing Company moved from its Chicago, IL, location to its current site in Morton Grove, IL. The complex is located on 26 acres of land and includes five buildings. In 1987, the company was purchased by TI Group PLC. Through a series of acquisitions and divestitures, the company in the United States and the company in the United Kingdom were once again united, this time under the name John Crane.

Since the reunification in 1987, John Crane has established itself as a truly global organization. In their united commitment to provide superior service to customers and to be the technological leader in the sealing industry, John Crane continues to invest for growth. In 1998, John Crane acquired three additional sealing companies, Sealol, Safematic and Flexibox. These companies expanded John Crane's product lines and its global presence to include high quality welded metal bellows seals, focused sealing and lubrication products to serve the pulp and paper market and high temperature and high pressure cartridge seals for pipeline and refinery services.

Crane Packing Company initially manufactured packing and gasketing, which continue to be a John Crane offering today. Subject mechanical packing is sold under the name Rite-Pack¨ and may be purchased in pre-cut rings or by the pound. The Mechanical Packing Division also produces flat gaskets and live-load packing for valves. Today, John Crane produces 238,900 miles of braided packing each year - enough to reach to the moon.

The company also invented the first automotive mechanical seal in 1939. They currently produce millions of seals for American automotive companies and for the automotive aftermarket. In the early 1940s, John Crane developed and introduced patented end face shaft seals, called John Crane Type 1. An elastomer bellows seal, this product revolutionized sealing technology and is still one of the most widely used seals in the industry. Other patented mechanical seals for rotating equipment followed, creating an ongoing John Crane customer service philosophy: the right seal for the right application. In the 1980s, John Crane introduced yet another breakthrough in sealing technology: the Type 28 non-contacting, gas-lubricated gas seal. This is a seal designed for centrifugal compressors. Its creation revolutionized pipeline compressor stations from the mountains of Western Canada to the deserts of the Middle East and the jungles of the Far East.

In the 1990s, John Crane applied its non-contacting technology to pumps handling liquids that are hazardous to the environment. By applying this technology to a standard American National Standards Institute (ANSI) or American Petroleum Institute (API) pump, a user can easily meet and exceed the Environmental Protection Agency's (EPA) stringent regulations for hazardous emissions. This technology was successfully applied to those applications where the seal is operating near the boiling point of the fluid being sealed. Materials such as liquid nitrogen, argon and oxygen found on the mobile tank trucks are being sealed with non-contacting seals. These seals, operating at cryogenic temperatures, have a major impact in reducing the cost of operating equipment. Other applications, such as vaporizing hydrocarbons, are also being sealed with this technology. Their new low speed design handles conditions found on mixers and agitators. This area of application is significant in that liquid lubrication is eliminated and the highest purity of product in the vessel is maintained. The Sealol acquisition strengthened the John Crane line of welded bellows seals. These seals provide service to very low and very high temperature operations, allowing John Crane to offer the most extensive line of mechanical seals in the industry.

John Crane is now a subsidiary of Smiths Group PLC, the new company formed following the merger of Smiths Industries and TI Group. With a global sales force organized around market sectors and service centers geographically convenient to their customers, John Crane continues to be committed to outstanding service and finding just the right solution for all sealing system requirements.

LOCAL PROFILE

Subject is a 100 percent owned subsidiary of JOHN CRANE, the world's largest designer, manufacturer and supplier of engineered sealing solutions and associated technologies with presence in over 50 countries.

The Indian headquarters is based in Bangalore, and spread over a Four-acre sprawling green landscape facility which is truly of international standards. The facility in Bangalore serves as a Centre of Excellence to the global organisation, providing both knowledge based support services as well as manufacturing support through its state of the art operations facility. The knowledge based services support is provided through an International Support Centre with an employee strength of 90 plus and supporting the global organisation in the areas of Engineering Design, International Projects, Applications Engineering, E-Business and Strategic Marketing. 

The Manufacturing Centre comprises of a 25000sq ft shop floor, which acts as a hub for mechanical seals and associated technologies for domestic market. It provides fully assembled power transmission couplings for both Indian and Asia- Pacific regions, standard coupling parts to US and Czech, High Performance Coupling parts to France, Mechanical seals to Australia, Middle East and China and metal parts of mechanical seals to Asia-Pacific, EMEA. With a strength of around 120 employees, the facility includes set of turning centres, milling centres and VMC's with state of the art technologies like Renisha Probes for tool settings and Mazatrol controls for Programming, ensuring precision requirements for metal parts of mechanical seals.

Subject marks its presence in cities like Chennai, Mumbai, Delhi, Pune, Kolkata, Baroda and Jamnagar through its sales offices. Its major clients in India include Reliance Petrochemicals, Essar Group, BPCL, IOC, HPCL, ONGC, GAIL and original pump and equipment makers like Sulzer, KSB, KEPL, BHEL, Man Turbo, Sulzer, Flowserve, ITT and WEIR.

Subject has implemented an Integrated Management System (IMS) encompassing Quality Management System (ISO 9001:2008), Environmental Management System (ISO 14001:2004) and Occupational Health and Safety Management System (OHSAS 18001:2007).

Subject strives to achieve and sustain its global mission through "Total Employee Involvement and Commitment" towards continual improvement in all aspects of their business.

NEWS

DART 1 WIRELESS MONITORING SYSTEM

NEW JOHN CRANE PRODUCT TAKES EFFECTIVE MACHINERY MONITORING TO A HIGHER LEVEL

John Crane UK Limited has introduced an advanced new method of wirelessly monitoring the condition of rotating equipment and associated machinery in difficult or hazardous environments. Building on John Crane's experience in remote monitoring technologies, the new DART 1 wireless monitoring system provides operators with the accurate and reliable information they require to make informed decisions about plant and machinery conditions.

The ATEX Zone 1 certified DART 1 system can be used in numerous hazardous area applications. Machinery located inside platform legs can be monitored round–the-clock without the need for personnel to enter the area themselves; while critical equipment mounted inside enclosures can be assessed without the need for access or for safety systems to be overridden. Even normally inaccessible equipment such as fin fans, pedestal cranes or unmanned installations can be monitored easily and reliably.

The DART 1 system combines a series of battery-powered sensor nodes and a gateway facility with proprietary John Crane software. Each sensor node is a wireless data acquisition and processing system which can be configured to take detailed measurements, at user-defined intervals, on the performance of the equipment being monitored.

The sensors then carry out significant onboard signal processing which reduces the amount of data that needs to be sent back to the gateway unit over the wireless link.  This enables each DART 1 sensor node to operate for up to 8 years between battery changes. The wireless method of operation reduces both the cost and time required for installation and multiple sensor nodes can transmit data back to one gateway unit. They can also act as wireless routers which allow data to be 'multi-hop' transmitted, wirelessly, over larger distances than would otherwise be possible.

The DART 1 system can be accessed remotely and securely via the internet, allowing the condition of machinery to be monitored from any location in the world using just a standard computer. The system is virtually maintenance-free, can be configured to provide data for third-party systems and set to turn off automatically and ensure radio silence when required.  

"The strength of DART 1 is the combination of flexibility, reliability and safety that it provides," comments Colin Ure, General Manager, John Crane UK.  "It is ideal for routine monitoring and for short-term data capture or performance testing exercises on critical machines. It can also be used in root cause analysis projects, or situations where round-the-clock surveillance is required after routine logging has failed to pinpoint an intermittent fault."

The new DART 1 wireless system provides operators with the accurate and reliable information required to make informed decisions about plant and machinery conditions.

John Crane www.johncrane.com is a world-leading provider of engineered products and services for the major process industries, including oil and gas, power, chemical, pharmaceutical, and other general industries. It is part of Smiths Group www.smiths.com, a global leader in applying advanced technologies for markets in threat and contraband detection, energy, medical devices, communications and engineered components.  Smiths Group employs around 22,000 people in more than 50 countries.

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. 52.22
UK Pound	1	Rs. 80.83
Euro	1	Rs.66.79

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	6
--RESERVES	1~10	6
--CREDIT LINES	1~10	5
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		50

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.