MIRA INFORM REPORT

Report Date :

24.01.2012

IDENTIFICATION DETAILS

Name :	MANIPAL TECHNOLOGIES LIMITED (w.e.f. 23.05.2011)
Formerly Known As :	MANIPAL PRESS LIMITED (w.e.f. 04.04.2000) MANIPAL PRESS PRIVATE LIMITED
Registered Office :	Udayavani Building, Press Corner, Manipal – 576104, Karnataka
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	13.01.2000
Com. Reg. No.:	08-026222
Capital Investment / Paid-up Capital :	Rs.94.872 Millions
CIN No.: [Company Identification No.]	U22219KA2000PLC026222
TAN No.: [Tax Deduction & Collection Account No.]	BLRM05742C
PAN No.: [Permanent Account No.]	AABCM9516H
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Providing Printing Related Services.
No. of Employees :	1102 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

A (65)

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 5600000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established and a reputed 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 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 :	Udayavani Building, Press Corner, Manipal – 576104, Karnataka, India
Tel. No.:	91-820-2571121/ 2571151 to 55/ 2571149/59
Fax No.:	91-820-2570131/ 2571162/ 70563/ 2571380
E-Mail :	info@manipalpress.com pvmallya@manipalpress.com murali@manipalpress.com bharath_nayak@manipalmedia.com
Website :	http://www.manipalpress.com http://www.manipaltechnologies.com
Area :	50000 Sq. ft.
Location :	Owned
Head/ Corporate Office :	Manipal Press Limited, Press Corner, Manipal – 576104, Karnataka, India
Tel no :	91-820-2571151 to 2571155
Fax No :	91-820-2570131 / 2571162
E-Mail :	info@manipalpress.com
Branch Offices :	Located at : · · Bangalore · Chennai · Coimbatore · Hyderabad · Mangalore · Mumbai · New Delhi · Kochi · Ahmedabad · Chennai · Pune · Kolkata · Gurgaon
Warehousing and Distribution :	Located at: · Mumbai · Bangalore · Chennai · Delhi · Jaipur · Kochi · Kolkata · Hyderabad · Coimbatore · Ahmedabad / Surat · Alexandria · Barcelona · Birmingham · Chicago · Colombo · Felixstowe · Frankfurt · Istanbul · London · Manchester · Melbourne · Montreal · New York · Philadelphia · Rotterdam · Toronto

DIRECTORS

As on 10.09.2011

Name :

Mr. Tonse Satish Upendra Pai

Designation :

Director

Address :

No.38, Anant Nagar, Manipalv, Udupi – 576104, Karnataka, India

Date of Birth/Age :

26.11.1941

Date of Appointment :

13.01.2000

DIN No.:

00104361

Other Directorship :

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
U09214KA1941PLC001222	SRI Ramakrishna Theatre Limited	Director	18/03/1967	18/03/1967	25/01/2008	Active	NO
U22221KA1948PLC001159	Manipal Media Network Limited	Managing director	18/07/2010	11/08/1969	-	Active	NO
U85110KA1932PLC001078	Canara Land Investments Limited	Director	6/04/1973	6/04/1973	-	Active	NO
U51909KA1979PTC003517	Sharat Impex Company Private Limited	Director	25/04/1979	25/04/1979	-	Active	NO
U02212KA1980PLC004010	Manipal Prakashan Limited	Director	25/11/1980	25/11/1980	-	Active	NO
U65910KA1983PTC005626	Sharath Investments Private Limited	Director	13/10/1983	13/10/1983	-	Active	NO
U67120KA1988PTC009192	Shivally Investment Company Private Limited	Director	14/06/1988	14/06/1988	-	Active	NO
U74140KA1990PLC010763	MPL Enterprises Limited	Director	7/06/2011	20/02/1990	-	Active	NO
U22219KA1973PTC002395	Manipal Enterprises Private Limited	Director	1/09/1992	1/09/1992	10/04/2008	Active	NO
U55101TN1988PLC015585	Manipal Hotels Limited	Director	19/04/1995	19/04/1995	-	Active	NO
U22219KA2000PLC026222	Manipal Technologies Limited	Director	13/01/2000	13/01/2000	-	Active	NO
U64202KA1997PTC022991	Zeta Infotech Private Limited	Director	24/07/2000	24/07/2000	-	Active	NO
U66010KA2001PLC029877	Manipal Insurance Services Limited	Director	12/12/2001	12/12/2001	-	Active	NO
U55101KA2002PTC030183	Manipal Resorts Company Private Limited	Director	1/03/2002	1/03/2002	22/05/2009	Active	NO
U45201TN1999PLC043271	Manipal Properties Limited	Director	29/09/2003	29/09/2003	-	Active	NO
U05110KA2005PTC036616	Konkan Commodity and Derivatives Private Limited	Director	30/01/2006	30/01/2006	-	Active	NO
L65110KA1995PLC017907	ICDS Securities Limited	Director	30/01/2006	30/01/2006	-	Active	NO
U21014KA2008PTC045299	Manipal Packaging Solutions Private Limited	Director	15/02/2008	15/02/2008	-	Active	NO
U72900KA2008PTC045316	MCT Cards and Technology Private Limited	Director	19/02/2008	19/02/2008	-	Active	NO
U72200KA2009PTC050532	Manipal Business Solutions Private Limited	Director	31/07/2009	31/07/2009	-	Active	NO
U92100KA2011PLC061061	Manipal Broadcast Network Limited	Director	3/11/2011	3/11/2011	-	Active	NO

Name :

Mr. Tonse Guatham Pai

Designation :

Managing director

Address :

38, Ananthnagar, Manipal, Udupi – 576104, Karnataka, India

Date of Birth/Age :

26.09.1974

Date of Appointment :

29.07.2003

DIN No.:

00120314

Other Directorship :

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
U22221KA1948PLC001159	Manipal Media Network Limited	Director	31/03/2009	24/06/1997	-	Active	NO
U64202KA1997PTC022991	Zeta Infotech Private Limited	Director	1/09/1998	1/09/1998	-	Active	NO
U65910KA1983PTC005626	Sharath Investments Private Limited	Director	20/03/1999	20/03/1999	-	Active	NO
U22219KA2000PLC026222	Manipal Technologies Limited	Managing director	1/11/2006	29/07/2003	-	Active	NO
U24242KA2004PLC034633	Primacy Industries Limited	Managing director	1/04/2009	3/09/2004	-	Active	NO
U28992KA2007PTC041395	Genesis Packaging Private Limited	Director	5/01/2007	5/01/2007	-	Active	NO
U22300KA2007PTC041394	Manipal Digital Systems Private Limited	Director	5/01/2007	5/01/2007	-	Active	NO
U72200MH2007PTC195863	Manipal Informatics Private Limited	Additional director	23/08/2007	23/08/2007	19/07/2008	Amalgamated	NO
U22219KA1973PTC002395	Manipal Enterprises Private Limited	Additional director	10/12/2007	10/12/2007	10/04/2008	Active	NO
U21014KA2008PTC045299	Manipal Packaging Solutions Private Limited	Director	15/02/2008	15/02/2008	-	Active	NO
U72900KA2008PTC045316	MCT Cards and Technology Private Limited	Director	19/02/2008	19/02/2008	-	Active	NO
U74140KA2008PTC046520	Manipal Ace Event Management Company Private Limited	Director	22/05/2008	22/05/2008	-	Active	NO
L22213TN1995PLC031845	Universal Print Systems Limited	Director appointed in casual vacancy	13/06/2008	13/06/2008	-	Active	NO
U72200KA2009PTC050532	Manipal Business Solutions Private Limited	Director	31/07/2009	31/07/2009	-	Active	NO
U92200DL1959NPL003169	United News of India	Director	24/11/2011	20/08/2009	15/12/2011	Active	NO
U74900KA2010PTC053146	Manipal Logistics Private Limited	Director	7/04/2010	7/04/2010	-	Active	NO
U92190KA2010PTC053930	Manipal Studios Private Limited	Director	3/06/2010	3/06/2010	-	Active	NO
U72200KA2000PLC027929	Manipal Entertainment Network Limited	Director	24/09/2010	17/07/2010	-	Active	NO
U51900KA2010PTC055404	Primacy Global Enterprises Private Limited	Director	5/10/2010	5/10/2010	-	Active	NO
U40108KA2011PLC056610	Manipal Energy and Infratech Limited	Director	12/01/2011	12/01/2011	-	Active	NO
U73100KA2011PTC057905	Manipal Printronics Private Limited	Director	29/03/2011	29/03/2011	-	Active	NO
U72200KA2011PTC058810	Manipal Digital Solutions Private Limited	Director	25/05/2011	25/05/2011	-	Active	NO
U74900KA2011PTC059510	Manipal Archival Solutions Private Limited	Director	7/07/2011	7/07/2011	-	Active	NO
U92100KA2011PLC061061	Manipal Broadcast Network Limited	Director	3/11/2011	3/11/2011	-	Active	NO

Name :

Mr. Sachin Tonse Pai

Designation :

Director

Address :

14, Ananthnagar, Manipal, Udupi – 576104, Karnataka, India

Date of Birth/Age :

10.03.1976

Date of Appointment :

16.04.2004

DIN No.:

00795780

Other Directorship :

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
U22219KA2000PLC026222	Manipal Technologies Limited	Director	16/04/2004	16/04/2004	-	Active	NO
U18100MH2005PTC154899	Best Sellers Apparels Private Limited Part IX	Director	19/07/2005	19/07/2005	-	Active	NO
U28992KA2007PTC041395	Genesis Packaging Private Limited	Director	5/01/2007	5/01/2007	-	Active	NO

Name :

Mr. Perdoor Vaman Mallya

Designation :

Director

Address :

D63C, Ananth Nagar, II Stage, Manipal, Udupi – 576104, Karnataka, India

Date of Birth/Age :

31.08.1948

Date of Appointment :

25.01.2000

DIN No.:

00120272

Other Directorship :

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
U65910KA1983PTC005626	Sharath Investments Private Limited	Director	30/01/1999	30/01/1999	-	Active	NO
U22219KA2000PLC026222	Manipal Technologies Limited	Director	25/01/2000	25/01/2000	-	Active	NO
U22219KA1973PTC002395	Manipal Enterprises Private Limited	Director	26/09/2008	24/04/2008	-	Active	NO
U72200KA1998PTC023347	Zeta Cyber Solutions Private Limited	Director	11/07/2008	11/07/2008	25/03/2011	Active	NO
U72900KA2008PTC045316	MCT Cards and Technology Private Limited	Additional director	7/10/2011	7/10/2011	-	Active	NO
U22221KA1948PLC001159	Manipal Media Network Limited	Additional director	12/10/2011	12/10/2011	-	Active	NO
U92100KA2011PLC061061	Manipal Broadcast Network Limited	Director	3/11/2011	3/11/2011	-	Active	NO

Name :

Mr. Prabhakara Dayananda Kamath

Designation :

Director

Address :

Shivaprabha, Katapady, Katapady, Udupi – 576105, Karnataka, India

Date of Birth/Age :

21.04.1966

Date of Appointment :

25.01.2000

DIN No.:

00935434

Name :

Mr. Giulio Olivotto

Designation :

Nominee director

Address :

VIA GM Brunori, 45, Monteviale VI, Monteviale VI, Italy 36050

Date of Birth/Age :

24.11.1945

Date of Appointment :

28.07.2007

DIN No.:

01595753

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 10.09.2011

Names of Shareholders	No. of Shares
T. Mohandas Pai	40500
T. Satish U. Pai	170904
Ramdas Madhav Pai	190128
T. Narayana Pai	81000
T. Ashok Pai	186474
T. Gautham Pai	163314
Manipal Prakashana Limited	1215000
T. Sachin Pai	6000
Sandhya S. Pai	14064
T. Gayathri Pai	23436
K. Kamalaksha Pai	5450
Ranjan Ramdas Pai	7026
Vasanthi Ramdas Pai	14064
Sharath Investments Private Limited	47808
Shivalli Investment Company Private Limited	88128
T. Sunil Pai	7032
T. Sanjay Pai	9375
T. Narayana Pai & Vijayalaxmi N. Pai	3516
Savoy Agencies Pvt. Ltd.	4686
T. Satish U. Pai (HUF)	3750
Manipal Media Network Limited	4359409
Legoprint SPA, Italy	2246170
Simest SPA	600000
Total	9487234

Equity Share Break up (Percentage of Total Equity)

As on 10.09.2011

Category	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	30.00
Bodies corporate	60.24
Directors or relatives of Directors	9.76
Total	100.00

BUSINESS DETAILS

Line of Business :

Providing Printing Related Services.

Products :

PRODUCT DESCRIPTION	ITEM CODE NO.
Printing	21012

GENERAL INFORMATION

No. of Employees :

1102 (Approximately)

Bankers :

· South Indian Bank Udupi Branch, Udupi – 576102, Karnataka, India

· Corporation Bank Manipal Branch, Manipal-576104, Karnataka, India

· Syndicate Bank Manipal Branch, Manipal-576104, Karnataka, India

· Vijaya Bank Founders Branch, Vijaya Towers, LHH Road, Bangalore-575003, Karnataka, India

· Manipal Co-operative Bank Limited

· State Bank of India, Maiithri Complex, Udupi

· Canara Bank

· Bank of India

· State Bank of India,

· Bangalore Corporate Bnaking Branch, No.25/1, Skip House, Museum Road, Bangalore – 560 025, Karnataka, India

Facilities :

Secured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
Rupee term bank loans	1556.192	2498.080
Foreign currency loans	1773.330	656.428
Total	3329.522	3154.508
Unsecured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
Loans subsidiaries	27.063	61.500
Other debts	7.294	11.683
Total	34.357	73.183

Banking Relations :	--
Auditors :
Name :	Sriramulu Naidu and Company Chartered Accountants
Address :	2^nd Floor, Rambhavan Complex, Kodialbail, Mangalore - Manipal, Karnataka, India
PAN No.:	AAVFS3877R
Name :	Pai Nayak and Associates Chartered Accountants
Address :	III Floor, Raaj Towers, Near City Bus Stand, Udupi – 571001, Karnataka, India
PAN No.:	AAEFP5516E
Subsidiaries :	· Manipal Business Solutions Private Limited CIN No.: U72200KA2009PTC050532 · MCT Cards and Technology Private Limited CIN No.: U72900KA2008PTC045316 · Universal Print Systems Private Limited CIN No.: U22213TN1995PLC031845 · Manipal Energy and Infratech Limited · Manipal International Printing Press Limited, Kenya
Associates :	· Manipal Media Network Limited · Manipal Prakashana Limited · Shivalli Investment Company Private Limited · Sharath Investments Private Limited · Manipal Thomas Greg Press Private Limited · Manipal Logistics Private Limited · Manipal Digital Systems Private Limited · Genesis Packaging Private Limited CIN No.: U28992KA2007PTC041395

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
20000000	Equity Shares	Rs.10/- each	Rs.200.000 Millions
5000000	8% Redeemable Preference Shares	Rs.10/- each	Rs.50.000 Millions
	Total		Rs. 250.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
9487234	Equity Shares	Rs.10/- each	Rs.94.872 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		94.872	94.872	94.872
2] Share Application Money		0.00	0.000	0.000
3] Reserves & Surplus		1311.186	1259.293	1223.110
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		1406.058	1354.165	1317.982
LOAN FUNDS
1] Secured Loans		3329.522	3154.508	2959.717
2] Unsecured Loans		34.357	75.183	293.011
TOTAL BORROWING		3363.879	3229.691	3252.728
DEFERRED TAX LIABILITIES		186.082	168.250	150.130
TOTAL		4956.019	4752.106	4720.840
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		2984.538	2924.854	2944.387
Capital work-in-progress		158.359	229.520	133.233
INVESTMENT		237.133	263.369	156.695
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	501.308	412.878	343.294
	Sundry Debtors	862.572	884.966	710.663
	Cash & Bank Balances	100.777	85.270	450.568
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	468.787	329.526	233.235
Total Current Assets		1933.444	1712.640	1737.760
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	320.601	338.152	104.087
	Current Liabilities	34.681	37.953	133.908
	Provisions	2.173	2.172	13.240
Total Current Liabilities		357.455	378.277	251.235
Net Current Assets		1575.989	1334.363	1486.525
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		4956.019	4752.106	4720.840

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Sales	3139.259	2893.563	2320.728
		Other Income	88.741	103.584	60.924
		TOTAL (A)	3228.000	2997.147	2381.652
Less	EXPENSES
		Consumption materials changes inventories	1575.673	1499.644	1974.829
		Manufacturing service costs	456.017	423.534
		Employee related expenses	267.106	224.218
		Administrative selling other expenses	351.480	369.864
		Prior period Items	35.414	11.033
		TOTAL (B)	2685.690	2528.293	1974.829
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		542.310	468.854	406.823
Less	FINANCIAL EXPENSES (D)		301.267	262.950	152.851
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		241.043	205.904	253.972
Less/ Add	DEPRECIATION/ AMORTISATION (F)		171.676	151.603	75.302
	PROFIT BEFORE TAX (E-F) (G)		69.367	54.301	178.670
Less	TAX (H)		17.473	18.120	63.345
	PROFIT AFTER TAX (G-H) (I)		51.894	36.181	115.325
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		430.830	394.649	301.423
Less	APPROPRIATIONS
		Transfer to General Reserve	0.000	0.000	11.000
		Dividend	0.000	0.000	9.487
		Tax on Dividend	0.000	0.000	1.612
	BALANCE CARRIED TO B/S		482.724	430.830	394.649
	EARNINGS IN FOREIGN CURRENCY
		Export of goods calculated on F.O.B. basic	58.982	185.880	115.172
	TOTAL EARNINGS		58.982	185.880	115.172
	IMPORTS
		Raw Materials	149.517	125.690	233.214
		Stores & Spares	14.538	17.952	6.186
		Capital Goods	15.126	204.237	828.528
	TOTAL IMPORTS		179.181	347.879	1067.928
	Earnings Per Share (Rs.)		11.41	8.79	12.15

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	1.61	1.20	4.84
Net Profit Margin (PBT/Sales)	(%)	2.21	1.81	7.70
Return on Total Assets (PBT/Total Assets}	(%)	1.41	1.17	3.82
Return on Investment (ROI) (PBT/Networth)		0.05	0.04	0.14
Debt Equity Ratio (Total Liability/Networth)		2.65	2.66	2.66
Current Ratio (Current Asset/Current Liability)		5.41	4.53	6.92

LOCAL AGENCY FURTHER INFORMATION

OVERVIEW

The Company’s Gross Revenue increased from Rs.2976.400 Millions to Rs.3257.800 Millions, during the year posting a growth of 9.45%. The Operating profit for the year increased to Rs.577.700 Millions from Rs.479.900 Millions in the previous year, an increase of 20.37%. The Interest charge was at Rs.301.300 Millions as against Rs.262.900 Millions in the previous year and the depreciation charge went up to Rs.171.600 Millions from Rs.151.600 Millions. The higher charge of Interest and Depreciation is on account of the expansion plan carried out by the Company in the last 2 years. The Profit before tax stood at Rs.104.800 Millions as against Rs.65.300 Millions in the previous year.

The Company has explored European market for its Exports and due to melt down in European markets some of the Clients defaulted in payment.

As a matter of prudence, the Company decided to make provisions against these receivables. The Company is pursuing legal recourse against these clients. This has been provided under Exceptional items as the Company feels that this will not be a routine thing in the future.

The Profit after Tax after adjusting for exceptional items stood at Rs.51.900 Millions as against Rs.36.200 Millions in the previous year.

Contingent Liabilities not provided for (As on 31.03.2011):

a) Letter of Credit 32.097 Millions

b) Bank Guarantees 44.090 Millions

c) In respect of Guarantees given for loans taken by the following companies from Banks:-

(i) Manipal International Printing Press Limited, Kenya 108.986 Millions (Guarantee given in US$ 24,23,000 P Y US$ 21,13,000)

(ii) MCT Cards and Technology Private Limited, Manipal 398.150 Millions

(iii) Universal Print Systems Limited, Chennai 261.884 Millions

(iv) Genesis Packaging Private Limited, Manipal 40.470 Millions

FIXED ASSETS

· Freehold Land

· Leasehold Land

· Buildings – Freehold

· Buildings – Leasehold

· Electrical Fittings

· Furniture and Fittings

· Office Equipments

· Plant and Machinery

· Car, Van and Other Vehicles

· Computers and Pheripherals

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.50.24
UK Pound	1	Rs.78.13
Euro	1	Rs.64.79

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	8
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	8
--PROFITABILIRY	1~10	8
--LIQUIDITY	1~10	8
--LEVERAGE	1~10	7
--RESERVES	1~10	8
--CREDIT LINES	1~10	7
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		65

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.