MIRA INFORM REPORT

Report Date :

30.01.2012

IDENTIFICATION DETAILS

Name :	EEL INDIA PRIVATE LIMITED (w.e.f. 24.08.2010)
Formerly known as :	EEL INDIA LIMITED
Registered Office :	402, Udyog Vihar, Phase III, Dundahera, Gurgaon - 122016, Haryana
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	13.04.1988
Com. Reg. No.:	05-032878
Capital Investment / Paid-up Capital :	Rs.58.500 Millions
CIN No.: [Company Identification No.]	U51909HR1988PTC032878
TAN No.: [Tax Deduction & Collection Account No.]	RTKE01265F
PAN No.: [Permanent Account No.]	AAACE0094P
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturers of Bag Packing Machine, Bag Loading Machine and Conveyors.
No. of Employees :	320 (69 Office , 251 Factory) Approximately

RATING & COMMENTS

MIRA’s Rating :

A (59)

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 4660000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established and reputed company having fine track. Financials of the company appear 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.

INFORMATION DECLINED BY

Name :	Mr. Rajiv B
Designation :	Accounts Manager
Contact No.:	91-124-3012050
Date :	27.01.2012

LOCATIONS

Registered Office/ Works Unit II :	402, Udyog Vihar, Phase III, Dundahera, Gurgaon - 122016, Haryana, India
Tel. No.:	91-124-3012050-52 / 3917543
Fax No.:	91-124-2340250 / 2340633
E-Mail :	eel@eelindia.com
Website :	http://www.eelindia.com
Corporate Office :	Unit No. 710 and 711, 7th Floor-B-WIng, "Kanara Business Centre", Laxmi Nagar, Off Ghatkopar - Andheri Link Road, Ghatkopar East, Mumbai - 400 075, Maharashtra, India
Tel. No.:	91-22 – 2500 3439
Fax No.:	91-22 – 2500 0641
E-Mail :	eel@eelindia.com , eelbom@eelindia.com
Spares Division and Works Unit-I :	509-510, Udyog Vihar, Phase - III, Dundahera, Gurgaon, Haryana, India
Tel. No.:	91-124 – 3917565 / 70 - 74
Fax No.:	91-124 - 3917568
E-Mail :	spares@eelindia.com
Works Unit-III :	116-117, Sector-7, HSIIDC, G.C., Bawal,  District Rewari, Haryana, India
Tel. No.:	91 - 1284 - 264294, 264066
Fax No.:	91 - 1284 - 264294
E-Mail :	eel@eelindia.com

DIRECTORS

AS ON 29.09.2011

Name :

Mr. Vijay Krishan Louria

Designation :

Whole-time Director

Address :

E-364, Greater Kailash, Part-1, New Delhi-10048, India

Date of Birth/Age :

15.07.1942

Date of Appointment :

05.06.2004

DIN :

00894537

Name :

Mr. Simon Jensen

Designation :

Chairman

Address :

Via Principale 11, Correzzane Italy-20050

Date of Birth/Age :

18.01.1954

Date of Appointment :

28.07.2009

DIN :

02745856

Name :

Mr. Rahul Ratnakar Deshmukh

Designation :

Managing Director

Address :

703, Regency Apartment, 60/21 Sardar Patel Road, Chennai - 600113, Tamilnadu, India

Date of Birth/Age :

23.11.1969

Date of Appointment :

28.07.2009

DIN :

01192259

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	U29296TN1984PLC011377	F.L.SMIDTH LIMITED	Director	21/07/2006	21/07/2006	Amalgamated	NO
2	U51909HR1988PTC032878	EEL INDIA PRIVATE LIMITED	Director	25/09/2010	28/07/2009	Active	NO

Name :

Mr. Kristian Aarup Gregersen

Designation :

Director

Address :

Kaerlunden, 39 Broendby Strand, Denmark-2660

Date of Birth/Age :

02.04.1950

Date of Appointment :

25.09.2010

DIN :

02749630

Name :

Mr. Desiraju Venkateswara Prasad

Designation :

Director

Address :

5, Raheja Villa, 49, 1^st Main Road, Gandhinagar Adyar, Chennai-600020, Tamilnadu, India

Date of Birth/Age :

02.05.1949

Date of Appointment :

25.09.2010

DIN :

01084049

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	U29296TN1984PLC011377	F.L.SMIDTH LIMITED	Director	21/07/2006	21/07/2006	Amalgamated	NO
2	U51909HR1988PTC032878	EEL INDIA PRIVATE LIMITED	Director	25/09/2010	28/07/2009	Active	NO

Name :

Mr. Francesco Ferrandico

Designation :

Director

Address :

Del Foppone, 25 Bovisio Masciago, Italy-20030

Date of Birth/Age :

15.12.1967

Date of Appointment :

25.09.2010

DIN :

03298796

KEY EXECUTIVES

Name :	Devi.Dayal Pruthi
Designation :	Secretary
Address :	61 – D, Navyug Adarsh Apartment, F – Block, Vikaspuri, New Delhi – 110018, India
Date of Birth/Age :	01.01.1942
Date of Appointment :	01.10.2006
PAN :	AAOPP4007E
Name :	Mr. Rajiv B
Designation :	Accounts Manager
Email :	Rajiv.barman@flsmidth.com

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 29.09.2011

Names of Shareholders	No. of Shares
FLSmidth Private Limited, Tamilnadu, India	5849998
Rahul Ratnakar Deshmukh	1
V Vijayagopal	1
Total	5850000

AS ON 29.09.2011

Equity Share Breakup		Percentage of Holding
Category
Bodies corporate		100.00
	Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturers of Bag Packing Machine, Bag Loading Machine and Conveyors.

Products :

Ø Rotopacker

Ø Netweigher

Ø Air Packer

Ø Impeller Packer

Ø Big Bag Machine

Ø Bag Loading

Ø Bucket Elevator

Ø Screen

Ø Loading Spout

Ø Cement Process Machine

Ø Silo

Ø Stainless Steel Fabrication

ITC Code	Product Description
842240.00	Bag Packing Machine
843139.09	Bag Loading Machine
842820.01	Conveyors

PRODUCTION STATUS [AS ON 31.03.2010]

Particulars	Unit	Actual Production
Baq Packing Machines	Nos	59
Bag Loadinq Machines	Nos	76
Bulk Loadinq Machines	Nos	11
Bucket Elevators	Nos	1
Baq Divertors	Nos	164
Baq Cleaninq Device	Nos	36
Conveyors	Nos	89
Feeders	Nos	1
Screens	Nos	46
Air Pollution Control Equipments	Nos	3
Other Equipments		68
Total		554
Scrap	Tons	238

GENERAL INFORMATION

No. of Employees :

320 (69 Office , 251 Factory) Approximately

Bankers :

• Corporation Bank, M - 3 and 4, Greater Kailash II, New Delhi 110048, India

Facilities :

SECURED LOAN	31.03.2011 Rs. In Millions	31.03.2010 Rs. In Millions
Loans From Bank
On Cash Credit	0.000	24.631
Tem Loan	0.000	0.000
Vehicle Loan	0.000	0.060
Total	0.000	24.691

Banking Relations :	--
Auditors :
Name :	Deloitte Haskins and Sells
Address :	7^th Floor Building 10, Tower B, DLF Cyber City Compled, Dlf City Phase II, Gurgaon-122002, Haryana, India
PAN :	AABFD2095B
Holding Company :	FLSmidth A/S, Denmark FLSmidth Private Limited – India CIN : U26941TN2000PTC044765
Fellow Subsidiaries :	FLSmidth Middle East FLSmidth Inc. FLSmidth Ventomatic SpA, Italy
Other Related Parties :	Espl Systems Private Limited CIN : U74899DL1988PTC034081 Bestco Computers Private Limited CIN : U74899DL1985PTC020889

CAPITAL STRUCTURE

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
6,000,000	Equity Shares	Rs.10/- each	Rs.60.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
5,850,000	Equity Shares	Rs.10/- each	Rs.58.500 millions

Of the above,

(A) 5,482,208, (Previous year - 5,482,208) equity shares of Rs.10/- each were allotted as fully paid- up bonus shares by capitalisation of general reserve and capital redemption reserves.

(B) 5,849,994 (Previous year -5,849,922) equity shares of Rs.10/- each fully paid up are held by FLSmidth Private Limited, the Holding Company. The Ultimate Holding Company is FLSmidth and Company A/S, Denmark.

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		58.500	58.500	58.500
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		1106.802	862.584	663.117
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		1165.302	921.084	721.617
LOAN FUNDS
1] Secured Loans		0.000	24.691	84.588
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		0.000	24.691	84.588
DEFERRED TAX LIABILITIES		32.049	29.405	30.270
TOTAL		1197.351	975.180	836.475
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		511.769	489.476	491.094
Capital work-in-progress		133.340	1.542	0.000
INVESTMENT		40.648	221.960	169.617
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	313.659	223.654	167.995
	Sundry Debtors	531.466	239.109	246.211
	Cash & Bank Balances	51.410	43.711	180.487
	Other Current Assets	9.274	6.540	4.086
	Loans & Advances	47.719	34.257	23.156
Total Current Assets		953.528	547.271	621.935
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	429.183	263.023	243.824
	Other Current Liabilities	0.000	0.000	117.000
	Provisions	12.751	22.046	85.347
Total Current Liabilities		441.934	285.069	446.171
Net Current Assets		511.594	262.202	175.764
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		1197.351	975.180	836.475

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income			2021.486
		Other Income			21.529
		TOTAL (A)	1805.746	1206.497	2043.015
Less	EXPENSES
		Manufacturing Expenses			1303.186
		Employees Remuneration			89.883
		Increase/(Decrease) in Finished Goods			(9.936)
		Impairment (Current Investments)			6.270
		Transfer From Revaluation Reserve			(1.127)
		Administrative Expenses			122.323
		TOTAL (B)	1416.354 [Including Finance Expenses]	887.956 [Including Finance Expenses]	1510.599
	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)				532.416
Less	FINANCIAL EXPENSES (D)				5.833
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		389.392	318.541	526.583
Less/ Add	DEPRECIATION/ AMORTISATION (F)		22.893	13.777	15.150
	PROFIT BEFORE TAX (E-F) (G)		366.499	304.764	511.433
Less	TAX (H)		119.088	101.901	172.685
	PROFIT AFTER TAX (G-H) (I)		247.411	202.863	338.748
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		231.897	29.034	113.977
	Deferred Tax Liability For Earlier Years Written Back		-	-	0.000
	Income Tax Of Earlier Years		-	-	(1.250)
	Prior Year Adjustment (Net)		-	-	(0.172)
Less	APPROPRIATIONS
		Transfer to General Reserve	-	-	148.500
		Interim Dividend	-	-	175.500
		Dividend	-	-	58.500
		Tax on Dividend	-	-	39.769
	BALANCE CARRIED TO THE B/S		479.308	231.897	29.034
	EARNINGS IN FOREIGN CURRENCY
		FOB Value of Exports	NA	91.154	107.561
		Services Rendered	NA	7.276	6.727
	TOTAL EARNINGS		NA	98.430	114.288
	IMPORTS
		Raw Materials	NA	93.004	168.329
		Capital Goods	NA	0.000	0.017
	TOTAL IMPORTS		NA	93.004	168.346
	Earnings Per Share (Rs.)		42.29	34.68	57.66

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	13.70	16.81	16.58
Net Profit Margin (PBT/Sales)	(%)	NA	NA	25.30
Return on Total Assets (PBT/Total Assets}	(%)	25.01	29.39	45.95
Return on Investment (ROI) (PBT/Networth)		0.31	0.33	0.71
Debt Equity Ratio (Total Liability/Networth)		0.38	0.34	0.73
Current Ratio (Current Asset/Current Liability)		2.16	1.92	1.39

LOCAL AGENCY FURTHER INFORMATION

Sundry Creditors Details :

(Rs. in Millions)

Particulars	31.03.2011	31.03.2010	31.03.2009
Sundry Creditors
-Due to Micro and Small Enterprises	-	-	-
-Due to Other	429.183	263.023	243.824
Total	429.183	263.023	243.824

Performance Review :

During the year 2010-11 the performance of the company had considerably improved over previous year.

In the year, the company has achieved turnover of Rs.1805.700 Millions which as compared previous year's Rs.1206.400 Millions, indicating an increase of almost 50% over the previous year.

The bottom line of the company has improved slightly and could register a profit of Rs.366.500 Millions as compared to last year's Rs.304.800 Millions. Contribution Margin has reduced from 25.25% to 20.29% because of high input costs.

Some of the highlights of the year are as follows:

a)Purchase of 128860 sq.mtr. of land from HSIIDC in Phase-III, G.C. Bawal, for setting up state of art manufacturing facility to cater to FLSmidth Ventomatic, FLSmidth international, besides EEL own products.

b)Appointment of BVe Consulting Engineers, Chennai for Engineering Consultancy Services for Unit V.

c)Inviting tenders for the civil works of Unit V.

d)Supply and installation of 5 x 1 Caricamet (Auto Truck Loader) at J.P. Panipat. It is a measure to inform the members that the Caricamet is running successfully to the satisfaction of Jaypee Group. This being first of its kind in Indian Cement Industry and has generated a lot of interest in the Indian Cement Industry for fully automatic plants.

e)Successfully fabricating and assembly of Ventosort, Ventocem 8 as per drawing and design of FLSmidth Ventomatic.

As on 01.09.2011 the order book of the company stands at Rs.1424.800 Millions consisting of 39 Sets of various Models of Packing Machines with their Accessories and 194 Nos. Loading Machines.

Value of the order booked in 2010-11 is Rs.1929.200 Millions which was higher by 19.08% as compared to order booked in 2009-10 of Rs.1620.000 Millions. This also shows shall upward trend in augmenting the manufacturing capacity of cement by the cement industry. As on 05.09.2011 the company had enquiries worth Rs.2000 Millions, which are yet to be converted into orders.

INDUSTRY REVIEW :

India is the second largest cement producing country after China with 137 large and 365 mini cement plants. Current cement consumption is almost 80% of installed capacity and housing sector consumes almost 65% of total production. The Indian cement market is growing at 8 to 10% every year, second to China's growth of 13-14%, the growth in cement consumption in Europe and the US has been below 4 per cent.

For the Indian Cement Industry installed capacity target of 290 Million Tones for the year ended 31.03.2011 has already been achieved and by the end current financial year cement production in the country is expected to increase to 315-320 Million Tones, Cement Manufacturers Association (CMA) is targeting to achieve 550 Million Tones capacity by 2020.

Presently Indian Cement Industry is passing through a declining trend in capacity utilization which is the lowest in the past 20 years. The reason being slow execution of ongoing projects, sluggish demand from infrastructure and housing sectors because of rising cost and inflation.

From the above this may please be noted that the future of cement industry, which is one of the largest industry group of the company, is challenging and accordingly the future of the company.

DIVERSIFICATION:

i) 1.5 MW wind Turbine which was commissioned on 31.03.2007 in State of Gujarat has been operating successfully during the year. During the year 2424505 KWH of energy has been produced and the company has earned revenue of Rs.8170581.85 Now the company has already got approved as a carbon credit supplier because of generation of 11772259 KWH of energy by Non Conventional sources during 2007-08, 2008-09, 2009-10 and 2010-11.

ii)Based on the drawings forwarded by FLSmidth Ventomatic S.p.A manufacturing of BSA3, Ventocem 16 has been taken so that in future those can be regularly produced here.

FUTURE PLAN:

1. The civil construction of the new Bawal manufacturing facility is in full force and it is expected that the first phase of the same will be completed by March 2012 and thereafter manufacturing will start. Initially the products which are being manufactured in other units of EEL will be gradually shifted for their final fitting and assembly and also final fitting and assembly of the machines as per FLSmidth Ventomatic design and drawings. Thereafter in Phase-2 machinery as per the requirement of FLSmidth will be taken up in plant building 3 and 4. It is expected that

plant building 3 and 4 will be completed by March 2013.

2. Development of high capacity and height bucket Elevator is in progress and manufacturing of the same will be taken up in plant building 3 of new Bawal Unit.

3. The Process Manager Software which was installed has been very successful and it has brought complete transparency to the working of various departments.

Contingent Liabilities :

Contingent liability not provided for

(Rs. in Millions)

Particulars	31.03.2011	31.03.2010
A vendor has filed a civil suit for the recovery of dues against the company before the court at Gurgaon which is not acknowledged as debt by the Company.	0.000	0.076
The demand raised by the ESIC department against which Company has filed an appeal before ESI Court, Gurgaon.	1.628	1.628
Less: Deposited against stay of demand	0.418	0.418
Balance un-provided disputed demand	1.210	1.286

Form 8:

Name of the company	EEL INDIA LIMITED
Presented By	Corporation Bank, Greater Kailash – 2, New Delhi
1) Date and description of instrument creating the change	Charge Create on 24.03.2001 and Registered on 17.04.2001 Previously modified on 5.04.2004 for amount of charge on immovable properties stands enhanced from Rs.74.500 millions to Rs.92.000 millions and modification registered on 23.04.2004
2) Amount secured by the charge/amount owing on the securities of charge	Rs.74.500 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	Equitable mortgage by way of deposit of title deeds in respect of company’s immovable properties situated at plot No. 509 and 510, Udyog Vihar, Phase – 3, Dundajera, Gurgaon, Haryana admeasuring 2000sq.mtrs with work shop sheds and building and other super structures threat belonging to the company
4) Gist of the terms and conditions and extent and operation of the charge.	The above is mortgaged to collaterally secure the credit facilities granted to the company to the extent of Rs.74.500 millions
5) Name and Address and description of the person entitled to the charge.	Corporation Bank, Greater Kailash – 2, New Delhi
6) Date and brief description of instrument modifying the charge	08.07.2005
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 extent of operation of charge on equitable mortgage of company’s immovable property situated at plot No. 509 and 510, Udyog Vihar, Phase – 3, Dundajera, Gurgaon, Haryana, admeasuring 2000sq.mtrs with work shop sheds and buildings other and other super structures threat belonging to the company stands enhanced fromRs.92.000 millions to Rs.106.500 millions shall also collaterally secure following credit facilities granted to the company. Cash credit (hypothecation) limited 7.500 millions Bill discounting / cheque limit 2.000 million Packing credit (hypothecation) limit 13.500 millions FDBN Limit 13.500 millions Bank Guarantee Limit 70.000 millions Sub Limit for foreign BG (25.000) millions Sub limit for import / inland LC (DP/DA) (15.000 ) millions

Corporate identity number of the company	U51909HR1988PTC032878
Name of the company	EEL INDIA PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	402, Udyog Vihar, Phase III, Dundahera, Gurgaon 122016, Haryana, India
This form is for	Modification of charge
Type of charge	Immovable property
Particular of charge holder	Corporation Bank, M 3 and 4, Greater Kailash II, New Delhi 110048, India Email: gselvam.ganesan@gmail.com
Nature of instrument creating charge	Common Deed of Hypothecation of Movables/Assets/Debts
Date of instrument Creating the charge	21.05.2009
Amount secured by the charge	Rs. 733.100 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest As Per Sanctioned Terms / Agreement Terms of repayment As Per Sanctioned Terms / Agreement Margin As Per Sanctioned Terms / Agreement Extent and operation of the charge Exclusive first charge on present and future inventories, book debts, plant and machinery and other current assets and movable fixed assets excluding vehicles is to secure the following credit facilities: Cash Credit Rs.50.000 millions PCL Rs.20.000 millions ,FDBN Rs. 20.000 millions BG cum LC Rs.600 millions and Term Loan Rs.43.100 millions aggregating to Rs.733.100 millions sanctioned to the company.
Short particulars of the property charged (Including location of the property)	Exclusive first charge on present and future inventories, book debts, plant and machinery and other current assets and movable fixed assets excluding vehicles.
Date of instrument modifying the charge	17.04.2008
Particulars of the present modification	The amount secured is increased from Rs.654.600 millions to Rs. 733.100 millions to secure the credit limits security: Exclusive first charge on present and future inventories, book debts, P and M and other current assets and movable fixed assets excluding vehicles.

Fixed Assets:

• Land – Free Hold
• Building
• Office Equipment
• Plant and Machinery
• Vehicles
• Tube Well
• 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.49.64
UK Pound	1	Rs.77.79
Euro	1	Rs.65.04

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	7
--PROFITABILIRY	1~10	7
--LIQUIDITY	1~10	7
--LEVERAGE	1~10	6
--RESERVES	1~10	7
--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		59

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	-

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.