MIRA INFORM REPORT

Report Date :

23.01.2012

IDENTIFICATION DETAILS

Name :	DST WORLDWIDE SERVICES INDIA PRIVATE LIMITED (w.e.f. 30.03.2000)
Formerly Known As :	ISPACE SOFTWARE TECHNOLOGIES LIMITED (w.e.f. 15.01.2009) DST GLOBAL SOLUTIONS INDIA PRIVATE LIMITED
Registered Office :	Q City, 5^th Floor, Block B, Survey No.109, 110 and 111/ 2 Gachibowli, Nanakramguda Village, Serilingampally, Hyderabad – 500032, Andhra Pradesh
Country :	India
Financials (as on) :	31.12.2010
Date of Incorporation :	30.03.2000
Com. Reg. No.:	01-034128
Capital Investment / Paid-up Capital :	Rs.6.658 Millions
CIN No.: [Company Identification No.]	U72200AP2000PTC034128
TAN No.: [Tax Deduction & Collection Account No.]	HYDI00545G
PAN No.: [Permanent Account No.]	AAACI7097L
Legal Form :	Private Limited Liability Company
Line of Business :	The company is engaged in providing services viz, business process outstanding, customer interaction services and IT solutions.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

A (68)

RATING		STATUS	PROPOSED CREDIT LINE
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

Maximum Credit Limit :	USD 2300000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is an established company having fine track. Financial position of the company appears to be sound/ Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitments. The company can be considered good for normal business dealings at usual trade terms and conditions.

NOTES:

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

ECGC Country Risk Classification List – September 30, 2011

Country Name	Previous Rating (30.06.2011)	Current Rating (30.09.2011)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

LOCATIONS

Registered Office :	Q City, 5^th Floor, Block B, Survey No.109, 110 and 111/ 2 Gachibowli, Nanakramguda Village, Serilingampally, Hyderabad – 500032, Andhra Pradesh, India
Tel. No.:	91-40-66125555
Fax No.:	91-40-66125599
E-Mail :	agangadhar@dstworldwideservices.com
Website :	http://www.dstworldwideservices.com

DIRECTORS

(AS ON 16.06.2011)

Name :

Mr. Givens Gregg William

Designation :

Director

Address :

5903 N Mattox, Kansas City, MO USA 54151

Date of Birth/Age :

11.10.1960

Date of Appointment :

23.05.2007

DIN No.:

01996801

Name :

Mr. Krishnan Venkateswaran

Designation :

Director

Address :

241, Greenleaf Ave Wilemtte IL USA 60091

Date of Birth/Age :

03.06.1963

Date of Appointment :

12.02.2009

DIN No.:

02628397

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	U72200AP2000PTC034128	DST WORLDWIDE SERVICES INDIA PRIVATE LIMITED	Director	30/06/2009	12/2/2009	Active	NO

Name :

Mr. Hooley Stephen Clifford

Designation :

Director

Address :

3216 W 68 Street, Mission Hills KS USA 66208

Date of Birth/Age :

19.03.1963

Date of Appointment :

30.04.2010

DIN No.:

03087805

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	U72200AP2000PTC034128	DST WORLDWIDE SERVICES INDIA PRIVATE LIMITED	Director	30/06/2010	30/04/2010	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 16.06.2011)

Names of Shareholders	No. of Shares
DST Health Care Holdings INC Address: 2400 Thea Drive, Harrisburg PA USA 17110	442060
Pacific Ventures Address: IFS Court Twenty Eight Cybercity Ebene, Mauritius	223697
Total	665757

(AS ON 30.06.2011)

Equity Shares Break – up

Category	Percentage
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

The company is engaged in providing services viz, business process outstanding, customer interaction services and IT solutions.

GENERAL INFORMATION

No. of Employees :	Not Available
Bankers :	Not Available

Banking Relations :	--
Auditors :
Name :	Price Watehouse Chartered Accountant
Address :	6-3-550, II Floor, I.B. Bhavan, Somajiguda, Hyderabad – 500082, Andhra Pradesh, India
PAN No.:	AABCP9181H
Holding Company :	· DST HealthCare Holdings Inc. formerly known as DST Health Solutions Holding Inc. Address: 2400 Thea Drive, Harrisburg PA USA 17110
Ultimate Holding Company :	· DST Systems Inc.,
Fellow Subsidiaries :	· Pacific Ventures · DST Health Solutions LLC · DST Worldwide Services LLC · iSPACE Software Technologies Inc., USA · DST Global Solutions Limited, UK

CAPITAL STRUCTURE

(AS ON 31.12.2010)

Authorised Capital:

No. of Shares	Type	Value	Amount
1000000	Equity Share	Rs.10/- each	Rs.10.000 Millions

Issued, Subscribed & Paid-up Capital:

No. of Shares	Type	Value	Amount
665757	Equity Share	Rs.10/- each	Rs.6.658 Millions

NOTE:

(Out of 665757 Shares, 442060 shares are held by DST Health Care Holdings Inc. (Holding company) and balance 223,697 shares are held by Pacific ventures, both of which are subsidiaries of DST Systems Inc, the Ultimate Holding Company)

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.12.2010	31.12.2009	31.12.2008
SHAREHOLDERS FUNDS
1] Share Capital		6.658	6.658	7.612
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		567.538	408.445	376.440
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		574.196	415.103	384.052
LOAN FUNDS
1] Secured Loans		0.000	0.000	1.628
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		0.000	0.000	1.628
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		574.196	415.103	385.680
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		78.801	44.173	94.378
Capital work-in-progress		0.546	10.732	3.443
INVESTMENT		301.668	184.782	0.006
DEFERREX TAX ASSETS		30.888	18.401	0.535
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.000	0.000	0.000
	Sundry Debtors	73.860	101.592	43.925
	Cash & Bank Balances	69.203	41.281	247.737
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	121.777	87.696	72.337
Total Current Assets		264.840	230.569	363.999
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	44.493	44.981	53.654
	Other Current Liabilities	15.783	8.517	4.563
	Provisions	42.271	20.056	18.464
Total Current Liabilities		102.547	73.554	76.681
Net Current Assets		162.293	157.015	287.318
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		574.196	415.103	385.680

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.12.2010	31.12.2009	31.12.2008
	SALES
		Income	776.085	644.807	493.487
		Other Income		12.443	1.309
		TOTAL (A)	776.085	657.250	494.796
Less	EXPENSES
		Personnel Expenses	586.899	356.089	347.602
		Operating and Administrative Expenses		133.594	46.294
		TOTAL (B)	586.899	489.683	393.896
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		189.186	167.567	100.900
Less	FINANCIAL EXPENSES (D)		0.000	0.410	0.991
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		189.186	167.157	99.909
Less/ Add	DEPRECIATION/ AMORTISATION (F)		41.164	70.565	16.792
	PROFIT BEFORE TAX (E-F) (G)		148.022	96.592	83.117
Less	TAX (H)		(11.070)	(14.250)	3.330
	PROFIT AFTER TAX (G-H) (I)		159.092	110.842	79.787
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		NA	376.440	296.653
Less	APPROPRIATIONS
		Transfer to Capital Redemption Reserve	NA	(0.954)	--
		Adjusted for Premium paid on buy back of equity shares	NA	(78.836)	--
	BALANCE CARRIED TO THE B/S		NA	407.492	376.440
	EARNINGS IN FOREIGN CURRENCY
		Business Process Outsourcing	198.076	189.896	186.605
		Software Development	564.785	454.911	306.882
	TOTAL EARNINGS		762.861	644.807	493.487
	IMPORTS
		Capital Goods	26.228	14.527	35.336
	TOTAL IMPORTS		26.228	14.527	35.336
	Earnings Per Share (Rs.)		238.96	161.48	104.82

KEY RATIOS

PARTICULARS		31.12.2010	31.12.2009	31.12.2008
PAT / Total Income	(%)	20.50	16.86	16.13
Net Profit Margin (PBT/Sales)	(%)	--	14.98	16.84
Return on Total Assets (PBT/Total Assets}	(%)	43.07	35.16	18.13
Return on Investment (ROI) (PBT/Networth)		0.26	0.23	0.22
Debt Equity Ratio (Total Liability/Networth)		0.18	0.18	0.20
Current Ratio (Current Asset/Current Liability)		2.58	3.13	4.75

LOCAL AGENCY FURTHER INFORMATION

NOTE:

The Registered Office of the company has been shifted from 6-3-879/B, 2^nd and 3^rd Floors, G Pulla Reddy Building, Greenlands, Begumpet, Hyderabad – 500016, Andhra Pradesh, India, to the present address w.e.f. 16.08.2010.

BACKGROUND

Subject was incorporated on March 30, 2000 as per the provisions of companies Act 1956 at Hyderabad. The company is engaged in providing services viz, business process outstanding, customer interaction services and It Solutions.

CONTINGENT LIABILITIES

Estimated amount of contracts remaining to be executed on capital account (Net of advances) Not provided for is Rs.61.581 Millions.

FIXED ASSETS:

· Leasehold Improvement

· Plant and Machinery

· Computers

· Furniture and Fixtures

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.50.33
UK Pound	1	Rs.77.97
Euro	1	Rs.65.31

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	7
PAID-UP CAPITAL	1~10	7
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	7
--PROFITABILIRY	1~10	8
--LIQUIDITY	1~10	8
--LEVERAGE	1~10	8
--RESERVES	1~10	8
--CREDIT LINES	1~10	8
--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	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		68

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.