MIRA INFORM REPORT

Report Date :

31.01.2012

IDENTIFICATION DETAILS

Name :	PARKER HANNIFIN INDIA PRIVATE LIMITED
Registered Office :	EL 26, MIDC Electronic Zone, TTC Industrial Area, Mahade, Navi Mumbai – 400701, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	17.01.1989
Com. Reg. No.:	11-050377
Capital Investment / Paid-up Capital :	Rs.487.887 Millions
CIN No.: [Company Identification No.]	U29119MH1989PTC050377
TAN No.: [Tax Deduction & Collection Account No.]	MUMP10093G
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Engineering Products.
No. of Employees :	135 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

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

Maximum Credit Limit :	USD 3770000
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.

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/ Division Headquarters 1/ Factory 1/ Sales Office 1 :	EL 26, MIDC Electronic Zone, TTC Industrial Area, Mahade, Navi Mumbai – 400701, Maharashtra, India
Tel. No.:	91-22-65137081
Fax No.:	91-22-27686841
E-Mail :	vpai@parker.com
Website :	www.parker.com
Area :	40000 sq.fts.
Location :	Leased (MIDC)
Division Headquarters 2/ Factory 2 / Sales Office 2 :	SSD DRIVES DIVISION 151 and 157 Developed Plots, Perungudi, Chennai – 600096, Tamilnadu, India
Tel. No.:	91-44-43910799
Fax No.:	91-44-43910700
Division Headquarters 3/ Factory 3 / Sales Office 3:	FLUID CONNECTORS INDIA, MFG BU Plot 26-29, 16A and 18-19, Phase IV, IDA Patancheru, Hyderabad - 502319, Andhra Pradesh, India
Tel. No.:	91-84-55248700
Fax No.:	91-84-55248789
Factory 4 :	Annapurna Kenmore, 19B IDA Balangar, Hyderabad – 500037, Andhra Pradesh, India
Tel. No.:	91-40-40073330
Fax No.:	91-40-3700827
Factory 5 :	Chomerics Division No.1465/2B1, Sriperumbudur Village, Sriperumbudur Taluk, Chennai - 602105, Tamilnadu, India
Sales Offices :	Also Located at : · Andhra Pradesh · Bandlaguda

DIRECTORS

As on 31.12.2010

Name :

Mr. Ashok Chhaganlal Pratap

Designation :

Director

Address :

Ruby Mansion, 3^rd Floor, Darabsha Lane, Napean Sea Road, Mumbai – 400036, Maharashtra, India

Date of Birth/Age :

02.10.1940

Date of Appointment :

17.01.1989

DIN No.:

00107906

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
U72211KA1986PTC008043	Waters (India) Private Limited	Director	17/12/1986	17/12/1986	23/02/2010	Active	NO
U74140MH1988PTC048592	Sanata Consultants Private Limited	Director	22/08/1988	22/08/1988	-	Active	NO
U29119MH1989PTC050377	Parker Hannifin India Private Limited	Director	17/01/1989	17/01/1989	-	Active	NO
U33110MH1993PTC204814	India Medtronic Private Limited	Director	10/10/1993	10/10/1993	-	Active	NO
U74140MH1988PTC046035	Apco Consultants Private Limited	Director	28/01/1998	28/01/1998	-	Active	NO
U29100MH1998PTC117293	Dresser-Rand India Private Limited	Director	7/06/1999	7/06/1999	27/07/2009	Active	NO
U33119MH2005PTC157177	Beckman Coulter India Private Limited	Director	2/11/2005	2/11/2005	-	Active	NO
U74899KA1994PTC048023	Unisys India Private Limited	Director	6/09/2006	6/09/2006	27/07/2010	Active	NO
U33100MH1986PTC221693	Millipore (India) Private Limited	Director	13/03/2007	13/03/2007	9/09/2008	Active	NO
U29111KA2007FTC044296	Entegris Materials Integrity India Private Limited	Alternate director	21/11/2007	5/11/2007	11/12/2009	Active	NO
U74990MH2008FTC189056	S3C-Nagano Sensors Private Limited	Director	19/12/2008	19/12/2008	2/04/2009	Active	NO
U74120MH2011FTC216709	X-Rite India Private Limited	Director	26/04/2011	26/04/2011	19/05/2011	Active	NO

Name :

Ms. Parul Satish Nanabhai

Designation :

Director

Address :

Indus, Pheroz Shah Mehta Road, Santacruz (West), Mumbai – 400054, Maharashtra, India

Date of Birth/Age :

04.12.1957

Date of Appointment :

17.01.1989

DIN No.:

00320158

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
U29119MH1989PTC050377	Parker Hannifin India Private Limited	Director	17/01/1989	17/01/1989	-	Active	NO
U74140MH1988PTC048592	Sanata Consultants Private Limited	Director	10/06/1996	10/06/1996	-	Active	NO
U74140MH1988PTC046035	Apco Consultants Private Limited	Director	10/06/1996	10/06/1996	-	Active	NO
U33119MH2005PTC157177	Beckman Coulter India Private Limited	Director	2/11/2005	2/11/2005	-	Active	NO
U29111KA2007FTC044296	Entegris Materials Integrity India Private Limited	Alternate director	21/11/2007	5/11/2007	11/03/2010	Active	NO
U01132TZ1988PLC017516	Vishnu Ganesun Industries Limited	Director	26/09/2008	26/09/2008	7/11/2008	Active	NO
U74990MH2008FTC189056	S3C-Nagano Sensors Private Limited	Director	19/12/2008	19/12/2008	2/04/2009	Active	NO
U29268TN2009FTC071257	Ruhrpumpen India Private Limited	Director	8/04/2009	8/04/2009	20/04/2009	Active	NO
U74120MH2011FTC216709	X-Rite India Private Limited	Director	26/04/2011	26/04/2011	19/05/2011	Active	NO

Name :

Mr. Sivapalan Bhalasingam

Designation :

Director

Address :

Flat No.401, Gamma Jaya Behri, Silicon Country, Madhapur, Hyderabad – 500034, Andhra Pradesh, India

Date of Birth/Age :

19.11.1959

Date of Appointment :

14.06.2007

DIN No.:

01790430

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
U35990MH2004PTC146500	SSD Drives (India) Private Limited	Director	28/09/2007	10/01/2007	-	Amalgamated	NO
U29119MH1989PTC050377	Parker Hannifin India Private Limited	Director	28/09/2007	14/06/2007	-	Active	NO
U28113AP1989PTC010424	Annapurna Kenmore Tube Products Private Limited	Director	20/09/2008	30/10/2007	-	Active	NO
U67120MH2000PTC223109	Legris Holding India Private Limited	Director	30/10/2010	1/03/2010	-	Active	NO
U74899DL2001PTC109737	Legris India Private Limited	Director	27/06/2010	27/06/2010	-	Active	NO

Name :

Arijit Diptimoy Sen

Designation :

Managing director

Address :

1C, Farah Fort Manor, 20, 1^st Main Road, Jayamahal Extension, Bangalore – 560046, Karnataka, India

Date of Birth/Age :

17.11.1957

Date of Appointment :

07/01/2008

DIN No.:

02097059

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
U29119MH1989PTC050377	Parker Hannifin India Private Limited	Managing director	7/01/2008	7/01/2008	-	Active	NO
U67120MH2000PTC223109	Legris Holding India Private Limited	Director	30/10/2010	1/03/2010	-	Active	NO
U74899DL2001PTC109737	Legris India Private Limited	Director	27/06/2010	27/06/2010	-	Active	NO
U31101DL1998PTC091533	Domnick Hunter India Private Limited	Additional director	10/10/2011	10/10/2011	-	Active	NO

Name :

Mr. Thomas Anthony Piraino JR

Designation :

Director

Address :

2357, Delamere Road, Cleveland, Ohio – 44106, United States of America

Date of Birth/Age :

12.07.1949

Date of Appointment :

27.08.1998

DIN No.:

02593802

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 31.12.2010

Names of Shareholders	No. of Shares
Parker Hannifin Corporation, USA	24
Parker Hannifin Singapore Pte Limited, Singapore	48788676
Total	48788700

Equity Share Break up (Percentage of Total Equity)

As on 31.12.2010

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	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Engineering Products.

Products :

Item Code No. (ITC Code)	Product Description
84131199	Hydraulic Pumps
84212190	Hydraulic Filters
73072900	Hydraulic Hose Pipes

PRODUCTION STATUS (As on 31.03.2009)

Particulars	Unit	Licensed Capacity #	Installed Capacity **
Hydraulics Pumps	PCS	11000	11000
Hydraulics Products	PCS	50000	150000
Hydraulic system	PCS	125	NIL
Pneumatic	FT	27000	60000

Notes:-

Accessories # #

· # Based on acknowledgement fated 25.06.2004.

· # # Represents combined capacity of Pneumatics and CIC products and systems

· *represents combined capacity of hydraulics, fluid connector, filtration, Seals and Instrumentation products and systems

· * * based on double shift basis for 250 days in years

Particulars	Unit	Actual Production
CIC	Pcs	158762
Fluid Connectors	Pcs	18107
Filtration	Pcs	471
Hydraulics	Pcs/Ft	35783
Instrumentation	Pcs	2067
Pneumatics	Pcs	19864
Seals	Pcs	147

GENERAL INFORMATION

No. of Employees :

135 (Approximately)

Bankers :

Citi Bank, Fort Branch

Facilities :

Secured Loans	As on 31.03.2010 (Rs. In Millions)	As on 31.03.2009 (Rs. In Millions)
Hire Purchases Loan	0.000	0.994
Less : Unmatured Finance charges (Principal amount payable within year Rs. 0.336 million)	0.000	0.129
Total	0.000	0.865

Unsecured Loans	As on 31.03.2010 (Rs. In Millions)	As on 31.03.2009 (Rs. In Millions)
Short Term Loan from bank	0.000	152.643
Short Term Loan from others	0.000	100.000
Compulsory Convertible Debenture	236.977	0.000
5.00% Compulsory Convertible Debenture	69.531	0.000
Total	306.508	252.643

Banking Relations :	--
Auditors :
Name :	Lovelock and Lewes Chartered Accountants
Address :	252, Veer Savarkar Marg, Shivaji Park, Mumbai – 400028, Maharashtra, India
PAN.:	AABFL5878L
Holding Company :	Parke Hannifin Corporation USA
Fellow Subsidiaries (As on 31.03.2009) :	· Parker Seals A/S, Espergaerde, Denmark · Parker Hannifin Plc, West Midlands, UK · Parker Hannifin Gmbh, Chemnitz, Germany · Parker Hannifin S.P.A, Gessate(Mi), Italy · Parker Korea Limited., Hwaseong-City, Korea · Parker Hannifin Corporation, Geneva, Switzerland · Parker Hannifin (Australia) Pte. Melbourne, Australia · Parker Hannifin S.P.A, Corsico, Italy · Parker Hannifin S.P.A , Seprio, Italy · Parker Hannifin Gmbh, Koln, Germany · Parker Hannifin Plc, Herts, UK · Parker Hannifin Gmbh, Beilefeld, German · Parker Filtration B.V., Stieltjesweg, Netherlans · Parker Hannifin Plc, Dews Bury, UK · Parker Hannifin OY, Urjala, Finland · Ph Fluid Power Systems and Components, Shanghai · China Parker Hannifin Plc, UNCS, UK · Parker Hannifin (Australia) Pte, Victoria, Australia · Parker Hannifin Plc, Devon, UK · Parker Hannifin Gmbh, Kaarst, Germany · Parker Hannifin A B, Boras Sweden · Parker Hannifin B.V., Postbus, Netherlands · Parker Korea Limited, Kyunggi. Korea · Parker Hannifin AB, Ulricehamn, Sweden · Parker Hannifin Gmbh and Company KG, Lampertheim, Germany · Parker Pradifa Gmbh, Bietigheim - Bissingen, Germany · Parker Hannifin RAK, S.A., Ville-La-Grand, France · Parker Hannifin Singapore Pte, Singapore · Parker Hannifin AB, Trollhattan , Sweden · Parker ITR S.R.U Veniano, Italy · UCC International Limited, Norfolk, UK · Parker Hannifin Plc, Warwick, UK · Parker Hannifin Connectors Limited, Kyoungnam Korea · Taiyo Limited, Tokyo, Japan · Denison Hydraulics France Sa, Vierzon Espergaerde, France · Denison Calzoni, Bologna., Italy · Parker Gas Seperation, Ag Etten-Leur, Netherlands · Shanghai Denison Hydraulics Company, Shanghai, China · Parker Markwel Industries Private, Hydrabad, India · Parker Hannifin S'pore Pte Limited, Sungai Penaga Indl Park, Malasiya · Ph, Hellaby - UK, South York, UK · Kuroda Pneumatics Limited, Kanagawa, Japan · Parker Hanifin Motion and Control, Shanghai, China · PH Sterling Hydraulics Division, Somerset, UK · Parker Hannifin Taiwan Co., Lt, Taipei Country, Taiwan 248 · Parker Hannifin Dc Mexico, S.A. Paroue Industrial Toluca. Mexico · PH Orilla Canada Div150n. Orilla Ontrario, Canada · Parker Hannifin (Australia) Pte, Castle Hill, Australia · Parker Hannifin Corporation Automation, Tokyo, Japan · Parker Hann Fluid Power Sys, Jinoiao Export Processing Zone, China · Parker Hann Electrical Material (Shenzen), Longgang Dist, China · Parker Hannifin Limited -Chomerics, Globe Park, China · Parker Hannifin Hong Kong Limited, Kowloon.Kong Kong · Parker Hannifin Chomerics Division, Beijing, China · Parker Kv Division, Milton K, UK · Ph-Cyunoer Divn Geringswalde, Geringswalde, Germany · Parker Hannifin B.V.. AH Oldenzaal. Netherlands · Parker Mobile Control Division, Gyeonggi, Korea · Wuxi Kenmore Refrigeration Com, Jiangsu Provice, Japan · Parker Hannfin Limited, New Courtwick Lane,West Sussex. UK · Parker Hannifin Gmbh and Company KG, Robert-Bosch-STR, Germany · Parker Hannifin S.P.A. Cinisello Balsamo (MI), Brazil · Ssd Parvex Sas, Sauerve Dulac, France · Parker House, Hem El, UK · Ph Pneumatics. Cannock, UK

CAPITAL STRUCTURE

As on 31.12.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
56000000	Equity Shares	Rs.10/- each	Rs.560.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
48788700	Equity Shares	Rs.10/- each	Rs.487.887 Millions

As on 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
15000000	Equity Shares	Rs.10/- each	Rs.150.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
13562820	Equity Shares	Rs.10/- each	Rs.135.628 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		135.628	135.628	118.828
2] Share Suspense Account		352.259	0.000	0.000
3] Reserves & Surplus		455.596	95.645	175.261
4] (Accumulated Losses)		0.000	0.000	0.000
5] Debenture Application Money		0.000	236.977	16.800
NETWORTH		943.483	468.250	310.889
LOAN FUNDS
1] Secured Loans		0.000	0.865	1.217
2] Unsecured Loans		306.508	252.643	274.572
TOTAL BORROWING		306.508	253.508	275.789
DEFERRED TAX LIABILITIES		2.979	0.000	0.000
TOTAL		1252.970	721.758	586.678
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		547.190	293.149	135.811
Capital work-in-progress		53.276	8.502	3.931
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	14.575	3.024
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	500.644	385.791	358.951
	Sundry Debtors	563.063	261.781	382.021
	Cash & Bank Balances	76.023	39.023	20.193
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	155.038	119.677	84.300
Total Current Assets		1294.768	806.272	845.465
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors
	Current Liabilities	606.012	376.135	392.554
	Provisions	36.252	24.605	8.999
Total Current Liabilities		642.264	400.740	401.553
Net Current Assets		652.504	405.532	443.912
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		1252.970	721.758	586.678

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	2401.697	1540.491	1609.848
		Other Income	62.766	2.110	30.216
		TOTAL (A)	2464.463	1542.601	1640.064
Less	EXPENSES
		Cost of Goods Sold	1548.571	1072.769	1119.146
		Personnel Expenses	268.460	179.544	145.026
		Other Expenditure	389.013	317.934	271.988
		TOTAL (B)	2206.044	1570.247	1536.160
Less	PROFIT/(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		258.419	(27.646)	103.904
Less	FINANCIAL EXPENSES (D)		31.974	39.298	14.724
	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		226.445	(66.944)	89.180
Less/ Add	DEPRECIATION/ AMORTISATION (F)		75.258	20.020	17.444
	PROFIT/(LOSS) BEFORE TAX (E-F) (G)		151.187	(86.964)	71.734
Less	TAX (H)		57.597	(7.348)	45.156
	PROFIT/(LOSS) AFTER TAX (G-H) (I)		93.590	(79.616)	26.578
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		95.646	175.262	148.690
	BALANCE CARRIED TO THE B/S		189.236	95.646	175.268
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	185.595	13.220	7.573
		Commission Earnings	44.967	0.143	4.858
		Other Earnings	0.212	0.005	0.000
	TOTAL EARNINGS		230.774	13.368	12.431
	IMPORTS
		Finished Goods	307.152	323.455	291.592
		Raw Materials	NA	467.520	475.265
		Capital Goods	NA	0.000	1.446
		Others	NA	0.013	0.000
	TOTAL IMPORTS		NA	790.988	768.303
	Earnings/(Loss) Per Share (Rs.)		1.59	(6.06)	2.24

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	3.79	(5.16)	1.62
Net Profit Margin (PBT/Sales)	(%)	6.30	(5.64)	4.46
Return on Total Assets (PBT/Total Assets}	(%)	8.21	(7.91)	7.26
Return on Investment (ROI) (PBT/Networth)		0.16	(0.18)	0.23
Debt Equity Ratio (Total Liability/Networth)		1.01	1.40	2.18
Current Ratio (Current Asset/Current Liability)		2.02	2.01	2.11

LOCAL AGENCY FURTHER INFORMATION

AMALGAMATION OF PARKER MARKWEL INDUSTRIES PRIVATE LIMITED WITH THE COMPANY

Amalgamation of Parker Markwel Industries Private Limited (PMIPL) with the Company, has been sanctioned by the Hon’ble Court of Judicature at Bombay, pursuant to order dated 9^th September, 2010. Accordingly the Financial Accounts PMIPL of the company for the year ended 31.03.2010 would be consolidated Accounts alongwith from the Appointed Date i.e. 01.04.2009, in terms of Clause no. 13 of the Scheme of Amalgamation of the Company as approved by the Hon’ble Court at Bombay.

OPERATING RESULTS

The performance of the Company has been improved comparatively last year as it recovered loss and made profit. It has taken various steps to achieve higher volumes and to grow its income whilst controlling costs.

Fixed Assets

· Leasehold Land

· Buildings

· Plants and Machinery

· Air Conditioners

· Motor Vehicles

· Furniture and Fixtures

· Electrical Installation

· Office Equipment

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.49.50
UK Pound	1	Rs.77.74
Euro	1	Rs.65.19

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		45

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.