MIRA INFORM REPORT

Report Date :

12.01.2012

IDENTIFICATION DETAILS

Name :	HERALDS TRADING PRIVATE LIMITED
Registered Office :	502, Sunil Enclave, 307, Periera Hill Road, Off Andheri Kurla Road, Andheri (East), Mumbai – 400 099, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	20.06.1997
Com. Reg. No.:	11-108922
Capital Investment / Paid-up Capital :	Rs.5.000 Millions
CIN No.: [Company Identification No.]	U51900MH1997PTC108922
TAN No.: [Tax Deduction & Collection Account No.]	MUMH06922G
PAN No.: [Permanent Account No.]	AAACH3537L
Legal Form :	Private Limited Liability Company
Line of Business :	Trader and Importer of Petrochemicals Products.
No. of Employees :	10 [Approximately]

RATING & COMMENTS

MIRA’s Rating :

Ba (46)

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

Maximum Credit Limit :	USD 75000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments. The company can be considered normal for business dealings at usual trade terms and conditions.

NOTES : Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

INFORMATION PARTED BY [General Details]

Name :	Mr. Tapankar
Designation :	Finance Controller
Contact No.:	91-9821094825
Date :	12.01.2012

LOCATIONS

Registered Office :	502, Sunil Enclave, 307, Periera Hill Road, Off Andheri Kurla Road, Andheri (East), Mumbai – 400 099, Maharashtra, India
Tel. No.:	91-22-28316999 / 66976355 / 56976351 / 56976350 / 66976353
Mobile No.:	91-9821094825 (Mr. Tapankar)
Fax No.:	91-22-28316555
E-Mail :	tapankar@heraldstrading.com harirao@heraldstrading.com
Area :	1400 sq ft
Location :	Owned
Warehouse :	Located at: Bhiwandi at Purna Village
Location :	Rented

DIRECTORS

As on 21.09.2011

Name :

Mr. Anekar R. Harirao

Designation :

Chairman cum Managing Director

Address :

1201-B, Bianca, Yari Road, Versova, Andheri (West), Mumbai – 400 061, Maharashtra, India

Date of Birth/Age :

13.10.1942

Qualification :

MBA

Date of Appointment :

05.02.1999

DIN :

00064534

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	U51900MH1997PTC108922	HERALDS TRADING PRIVATE LIMITED	Managing director	5/2/1999	5/2/1999	-	Active	NO
2	U74994MH2005PTC152547	SOULQUEST LIFESTYLE PRIVATE LIMITED	Director	11/4/2005	11/4/2005	9/1/2010	Active	NO

Name :

Mr. Chandra Mohan Krishnamoorthy

Designation :

Director

Address :

82/ 6, Balmurali, Cheda Nagar, Chembur, Mumbai – 400 089, Maharashtra, India

Date of Birth/Age :

05.08.1958

Qualification :

B.Sc.

Date of Appointment :

24.09.1997

DIN :

00057328

Name :

Mr. Sathya Hari Rao

Designation :

Director

Address :

1201-B, Bianca, Yari Road, Versova, Andheri (West), Mumbai – 400 061, Maharashtra, India

Date of Birth/Age :

23.03.1975

Qualification :

MS in Computers

Date of Appointment :

20.06.1997

DIN :

00376118

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	U51900MH1997PTC108922	HERALDS TRADING PRIVATE LIMITED	Director	20/06/1997	20/06/1997	-	Active	NO
2	U74900MH2006PTC164468	ALICAN INTERNATIONAL PRIVATE LIMITED	Director	11/9/2006	11/9/2006	25/04/2009	Active	NO
3	U74999MH2007NPL173984	CEO CLUBS INDIA	Director	11/9/2007	11/9/2007	27/03/2008	Active	NO
4	U74140MH1990PTC058858	BIOREX BIOSCIENCES PRIVATE LIMITED	Director	29/09/2010	14/06/2008	-	Active	NO
5	U41000MH2010PTC205821	AQUAKRAFT PROJECTS PRIVATE LIMITED	Director	22/07/2010	22/07/2010	-	Active	NO
6	U74900MH2011PTC222826	BODY KINETIKS PRIVATE LIMITED	Director	8/10/2011	8/10/2011	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Tapankar
Designation :	Finance Controller

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 21.09.2011

Names of Shareholders	No. of Shares
Sathya Anekar Harirao	1673
Savitha Anekar Harirao	3573
Seetha Anekar Harirao	6133
Abdul Hamid Matin	4533
Chandra Mohan Krishnamoorthy	2267
Ranganachari Rajagopal	400
Tapan K. Kar	4700
Anekar Harirao	19654
Reshma A. Matin	933
R. Krishnamoorthy	467
T.V. Hariharan	3267
Sheela Chandramohan	2400
Total	50000

Equity Share Breakup (Percentage of Total Equity)

As on 21.09.2011

Category	Percentage of Holding
Directors or relatives of directors	62.00
Other top fifty shareholders	38.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Trader and Importer of Petrochemicals Products.
Imports :
Products:	Petrochemical Products
Countries :	China UK Europe Korea Netherland
Terms :
Selling :	Cash and Credit (30-60-90 Days)
Purchasing :	Cash and Credit (30-60-90 Days)

GENERAL INFORMATION

Customers :	End Users and OEM’s Goodluck Nerolac Asian Paints
No. of Employees :	10 [Approximately]
Bankers :	Bank of India, Vile Parle (West) Branch, Smit Kiran, 377, S V Road, Vile Parle (West), Mumbai-400056, Maharashtra, India Bank of India, Vile Parle (West) Branch, Bhavana Apartment, 185, S.V. Road, Mumbai – 400 056, Maharashtra, India
Facilities :	Cash Credit – Rs.10.000 millions [From Bank of Baroda] Over Draft – Rs.1.200 millions [From Bank of Baroda]

Banking Relations :	--
Auditors :
Name :	Akkad Mehta and Company Chartered Accountants
Address :	2, Vaitka, 14, Baptista Road, Vile Parle (West), Mumbai – 400 056, Maharashtra, India
PAN :	AAAFA2792F

CAPITAL STRUCTURE

As on 21.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
75,000	Equity Shares	Rs.100/- each	Rs.7.500 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
50,000	Equity Shares	Rs.100/- each	Rs.5.000 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		5.000	5.000	5.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		13.909	12.157	11.872
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		18.909	17.157	16.872
LOAN FUNDS
1] Secured Loans		3.327	2.677	1.186
2] Unsecured Loans		1.800	1.425	1.075
TOTAL BORROWING		5.127	4.102	2.261
DEFERRED TAX LIABILITIES		[0.408]	[0.190]	[0.143]
TOTAL		23.628	21.069	18.990
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		6.251	5.643	6.364
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.250	0.250	0.250
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	13.770	7.424	8.520
	Sundry Debtors	9.913	10.969	9.611
	Cash & Bank Balances	1.934	1.581	3.758
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	0.759	0.883	0.497
Total Current Assets		26.376	20.857	22.386
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors
	Other Current Liabilities	6.145	5.039	8.986
	Provisions	3.104	0.642	1.035
Total Current Liabilities		9.249	5.681	10.021
Net Current Assets		17.127	15.176	12.365
MISCELLANEOUS EXPENSES		0.000	0.000	0.011
TOTAL		23.628	21.069	18.990

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	52.252	57.540	48.927
		Other Income
		TOTAL	52.252	57.540	48.927
Less	EXPENSES
		Office Expenses
		Administrative Expenses	46.476	56.258	45.366
		Advertising Expenses
		TOTAL	46.476	56.258	45.366
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		5.776	1.282	3.561
Less/ Add	DEPRECIATION/ AMORTISATION		0.656	0.768	0.853
	PROFIT BEFORE TAX		5.120	0.514	2.708
Less	TAX		1.482	0.158	1.003
	PROFIT AFTER TAX		3.638	0.356	1.705
Less	Excess/ Short Provision of tax for prior period		[0.409]	0.246	0.000
	Prior Period Expenses		[0.024]	[0.026]	[0.008]
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		4.538	4.304	3.442
Less	APPROPRIATIONS
		Transfer to General Reserve	0.400	0.050	0.250
		Proposed Dividend	1.250	0.250	0.500
		Dividend Distribution Tax	0.203	0.042	0.085
	BALANCE CARRIED TO THE B/S		5.890	4.538	4.304
	Earnings Per Share (Rs.)		72.76	-	-

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	6.96	0.62	3.48
Return on Total Assets (PBT/Total Assets}	(%)	15.69	1.94	9.42
Return on Investment (ROI) (PBT/Networth)		0.27	0.03	0.16
Debt Equity Ratio (Total Liability/Networth)		0.76	0.57	0.73
Current Ratio (Current Asset/Current Liability)		2.85	3.67	2.23

LOCAL AGENCY FURTHER INFORMATION

DETAILS OF SUNDRY CREDITORS ARE NOT AVAILABLE

Check List by Info Agents	Available in Report [Yes/No]
Year of Establishment	Yes
Locality of the Firm	Yes
Construction of the firm	Yes
Premises details	Yes
Type of Business	Yes
Line of Business	Yes
Promoters background	-
No. of Employees	Yes
Name of Person Contacted	Yes
Designation of contact person	Yes
Turnover of firm for last three years	No
Profitability for last three years	No
Reasons for variation <> 20%	-
Estimation for coming financial year	No
Capital the business	No
Details of sister concerns	-
Major Suppliers	No
Major Customers	Yes
Payment Terms	Yes
Export / Import Details [If Applicable]	Yes
Market Information	-
Litigations that the firm / promoter involved in	-
Banking Details	Yes
Banking Facility Details	Yes
Conduct of the banking account	-
Buyer visit details	-
Financials, if provided	No
Incorporation details, if applicable	-
Last accounts filed at ROC	-
Major Shareholders, if applicable	-

OPERATIONS

The Company's Sales, Commission and Other Income has marginally declined to Rs.52.131 millions as against Rs.57.540 millions for the previous year. However the profit before tax has significantly increased to Rs.5.020 millions as compared to Rs.0.515 millions of last year due to more lucrative opportunities in Indenting business and change in business pattern. After tax provision of Rs.1.600 millions, the Profit after Tax stood at 3.638 millions.

OUTLOOK FOR CURRENT YEAR AND FUTURE PLANS

The year showed good improvement compared to the last year due to increase in commission income on account of better supplies and competitive pricing, in line with proper planning envisaged at the start of the year.

The percentage profit on stock sales was well maintained and bank credit was a constraint though it was possible to improve Bank credit only towards the end of the financial year after follow up with their bankers.

During the year 11-12, the Company expects improved trading and also increase in commission earnings. The Directors are hopeful of getting orders and earnings from the Diaon lighting stream in the last quarter of the year apart from Chemgen product range. Demand for power cables is increasing and this would result in improved earnings from Lantor.

Apart from this the Directors are hopeful that new projects in the pipeline related to the Company's activities would generate a steady stream of other income for the Company.

Bankers Charges Report as per Registry

Corporate identity number of the company	U51900MH1997PTC108922
Name of the company	HERALDS TRADING PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	502, Sunil Enclave, 307, Periera, Hill Road, Off Andheri Kurla Road, Andheri (East), Mumbai – 400099, Maharashtra, India
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	80061646
Type of charge	Movable Property Immovable Property
Particular of charge holder	Bank of India, Vile Parle (West) Branch, Smit Kiran, 377, S. V. Road, Vile Parle (West), Mumbai-400056, Maharashtra, India Email : vileparlew.mumbainorth@bankofindia.co.in
Nature of instrument creating charge	(1) BOI's Letter (2) Supplemental deed of Hypothecation (3) Memorandum of Entry all dated 11/11/2010 constituting modification to the single charge.
Date of instrument Creating the charge	11.11.2010
Amount secured by the charge	Rs.10.000 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest - CC Stocks : 3.75% over Base Rate presently 11.75% p.a. , LC , EPC,FBP/FBN As per extant guidelines or as specified by the Bank from time to time. Terms of Repayment - On Demand Margin - CC Stocks, LC 25% , EPC ,FBP/FBN 15% or as specified by the Bank from time to time. Extent and Operation of the charge - Security by way of first charge for due repayment to Bank at any time on demand where the accommodation is by way of CC of balance of the CC account, with interest in either case at the rate herein after and all costs, charges and expenses incurred by Bank for preservation, protection, defense and perfection of this security or for attempted or actual realisation thereof and also for due repayment of all present and future indebtedness and liabilities of Contd. in (e) Others Others - Borrower to Bank of any kind in any manner whether solely or jointly, primary or collateral , accrued or accruing with all relative interest, charge, costs, and expenses . Revised Facilities and Limits: (1) CC (Stocks) Rs.5.000 Millions (2) LC (F-DP/DA 90 days) Rs.5.000 Millions (3) EPC Rs.1.500 Millions (4) FBP/FBN Rs.1.000 Million (5) Max (3)+ (4) Rs.1.500 Millions . Max. (1) + (2) + (5) Rs.10.000 Millions.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	(1) Hypothecation of stocks such as IONOL,CP, Bisomer HEMA,HEA,HPMA including therein the stocks thereof and any and every tangible moveable property both present and future situated at Mumbai or anywhere else. (2) Equitable Mortgage of immovable property comprising land and buildings and other structures, machinery and plant and other fixtures and fittings erected or installed thereon both present and future situate at Unit No. 502, 307 Sunil Enclave Periera Hill Road , off Andheri Kurla Road , Andheri (East) Mumbai Area 1250 Sq. ft. (Built Up)
Date of instrument modifying the charge	22.12.2001
Particulars of the present modification	The Bank has withdrawn Import LC facility of Rs.1.500 Millions and additional limit of Rs.3.000 Millions in CC (Stock) Limit and granted New LC(F- DP/DA 90 days) Limit of Rs.5.000 Millions, existing aggregate limit for EPC and FBP/FBN is retained at Rs.1.500 Millions .The aggregate limit for all these facilities is revised to Rs.10.000 Millions. Revised Facilities and Limits:(1) CC (Stocks) Rs.5.000 Millions (2) LC (F-DP/DA 90 days) Rs.5.000 Millions (3) EPC Rs.1.500 Millions (4) FBP/FBN Rs.1.000 Million (5) Max (3)+ (4) Rs.1.500 Millions . Max. (1) + (2) + (5) Rs.10.000 Millions.

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.51.74
UK Pound	1	Rs.80.00
Euro	1	Rs.65.99

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	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		46

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.