MIRA INFORM REPORT

Report Date :

31.01.2012

IDENTIFICATION DETAILS

Name :	PRAYAG FOODS PRIVATE LIMITED
Registered Office :	Plot No. F/55, MIDC, Murbad Industrial Area, Murbad – 421401, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	18.05.1998
Com. Reg. No.:	11-114968
Capital Investment / Paid-up Capital :	Rs.13.401 Millions
CIN No.: [Company Identification No.]	U15110MH1998PTC114968
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Macaroni, Elbow Macaroni etc.
No. of Employees :	50 (Approximately) (In Factory + In Office)

RATING & COMMENTS

MIRA’s Rating :

B (31)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 65000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. Profitability of the company appears to be low. However, trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealings with some cautions.

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

INFORMATION PARTED BY

Name :	Mr. Veeresh Gupta
Designation :	Director
Contact No.:	91-9867792222
Date :	21.01.2012

LOCATIONS

Registered Office / Factory :	Plot No. F/55, MIDC, Murbad Industrial Area, Murbad – 421401, Maharashtra, India
Tel. No.:	91-2524-222083 / 84
Mobile No.:	91-9867792222 (Mr. Veeresh Gupta)
Fax No.:	Not Available
E-Mail :	guptaveerash@yahoo.com prayag_foods@yahoo.co.in
Website :	www.prayagfoods.com
Location :	Owned
Administrative Office / Head Office :	923, Bapurao Jagtap Marg, Opposite Khatau Mill, Byculla (West), Mumbai – 400027, Maharashtra, India
Tel. No.:	91-22-23077388 / 23089781
Fax No.:	91-22-23089781

DIRECTORS

As on 30.09.2011

Name :

Mr. Ramkrishna Ramnath Gupta

Designation :

Director

Address :

C-1103, Sunglow Building, Shrjee Villa, Panch Pakhadi, Thane (West), Thane – 400602, Maharashtra, India

Date of Birth/Age :

12.11.1938

Date of Appointment :

18.05.1998

DIN No.:

00652863

Other Directorship

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U15110MH1998PTC114968	Prayag Foods Private Limited	Director	18-05-98	18-05-98	-	Active	NO
2	U15400MH2008PTC180558	Sano Foods Private Limited	Director	28-03-08	28-03-08	-	Active	NO

Name :

Mr. Veeresh Ramkrishna Gupta

Designation :

Director

Address :

C-1103, Sunglow Building, Shrjee Villa, Panch Pakhadi, Thane (West), Thane – 400602, Maharashtra, India

Date of Birth/Age :

22.03.1972

Date of Appointment :

18.05.1998

DIN No.:

00652810

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U15110MH1998PTC114968	Prayag Foods Private Limited	Director	18-05-98	18-05-98	-	Active	NO
2	U22222MH2008PTC180563	Maverick Communications Private Limited	Director	28-03-08	28-03-08	-	Active	NO
3	U15400MH2008PTC180558	Sano Foods Private Limited	Director	28-03-08	28-03-08	-	Active	NO

Name :

Mrs. Taradevi Ramkrishna Gupta

Designation :

Director

Address :

C-1103, Sunglow Building, Shrjee Villa, Panch Pakhadi, Thane (West), Thane – 400602, Maharashtra, India

Date of Birth/Age :

10.12.1941

Date of Appointment :

18.05.1998

DIN No.:

00895946

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2011

Names of Shareholders	No. of Shares
Gupta Ramkrishna	320690
Gupta Taradevi	419400
Gupta Veeresh	427500
Gupta Mona	77500
Ramkrishna R. Gupta (HUF)	55000
Veeresh R. Gupta (HUF)	40000
Total	1340090

As on 30.09.2011

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Macaroni, Elbow Macaroni etc.
Products :	Macaroni · Ring Macaroni · Elbow Macaroni · Shell Macaroni · Alphabet Macaroni Vermicelli · Shortcut Vermicelli · Long Cut Vermicelli · Plain Vermicelli · Roasted Vermicelli Pasta · Jalapeno Pasta · Tomato Cheese Pasta
Exports :
Products :	Elbow Macaroni
Countries :	· South Africa · London · UK
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

GENERAL INFORMATION

Suppliers :

· R K Patel Foods Private Limited

Customers :

Wholesalers and Retailers

· Jalaram Enterprise

No. of Employees :

50 (Approximately) (In Factory + In Office)

Bankers :

· Apana Sahakari Bank Limited, Everest Samruddhi, Bhaskar Colony, Mahatma Gandhi Road, Opposite Times of India, Naupada, Thane - 400601, Maharashtra, India

· Kokan Mercantile Co-operative Bank

· HDFC Bank

· ICICI Bank

· CITI Bank

· Kotak Mahindra Bank

· Bank of Maharashtra, Jacon Circle Branch, Mumbai – 400011, Maharashtra, India

Facilities :

Secured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
HDFC Car Loan	0.616	0.077
ICICI Bank – Ca- 054	0.000	0.001
Kokan Mercantile Bank Loan A/c No.1519	2.070	0.000
Kokan Mercantile Bank Loan A/c No.957	4.537	0.000
Kokan Mercantile Co-Operative Bank O/D	20.096	14.293
Kokan Mercantile Co-Operative Bank	0.000	5.891
Sundaram Finance Loan	0.401	0.000
Total	27.720	20.262

Note:

Secured on Machinery and Land and Building

Unsecured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
Unsecured Loans – From Banks	0.714	1.471
Unsecured Loans – From Others	3.707	2.776
Unsecured Loans – From Directors / Managers	2.873	4.107
Total	7.294	8.354

Banking Relations :	--
Auditors :
Name :	Dlip S. Khakhar Chartered Accountant
Address :	456, Seth Ramdas Building, 4^th Floor, Kalbadevi Road, Mumbai- 400002, Maharashtra, India
PAN.:	AACPK1129L
Memberships :	Agriculture and Processed Food Products Export Authority (APEDA)

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
1500000	Equity Shares	Rs.10/- each	Rs.15.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1340090	Equity Shares	Rs.10/- each	Rs.13.401 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		13.401	13.401	13.401
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		2.898	2.074	1.456
4] (Accumulated Losses)		0.000	0.000	(0.045)
NETWORTH		16.299	15.475	14.812
LOAN FUNDS
1] Secured Loans		27.720	20.262	19.525
2] Unsecured Loans		7.294	8.354	8.820
TOTAL BORROWING		35.014	28.616	28.345
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		51.313	44.091	43.157
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		25.880	24.277	26.670
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.157	0.157	0.295
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	31.799	19.927	22.139
	Sundry Debtors	7.535	10.555	8.013
	Cash & Bank Balances	1.550	1.574	0.787
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	8.151	6.622	6.115
Total Current Assets		49.035	38.678	37.054
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	17.246	12.576	14.722
	Other Current Liabilities	0.207	0.000	0.000
	Provisions	6.306	6.445	6.140
Total Current Liabilities		23.759	19.021	20.862
Net Current Assets		25.276	19.657	16.192
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		51.313	44.091	43.157

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	82.884	67.761	59.643
		Other Income	0.115	0.046	0.042
		TOTAL (A)	82.999	67.807	59.685
Less	EXPENSES
		Cost of Materials	61.991	53.305	46.778
		Administrative and Other Expenses	13.174	8.169	6.524
		TOTAL (B)	75.165	61.474	53.302
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		7.834	6.333	6.383
Less	FINANCIAL EXPENSES (D)		4.623	3.704	4.385
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		3.211	2.629	1.998
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1.952	1.660	1.876
	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		1.259	0.969	0.122
Less	TAX (H)		0.436	0.305	0.162
	PROFIT / (LOSS) AFTER TAX (G-H) (I)		0.823	0.664	(0.045)
	Earnings Per Share (Rs.)		0.62	0.50	(0.03)

Expected Sales (2011-2012) : Rs.120.000 Millions

The above information has been parted by Mr. Veeresh Gupta.

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	0.99	0.98	(0.08)
Net Profit Margin (PBT/Sales)	(%)	1.52	1.43	0.20
Return on Total Assets (PBT/Total Assets}	(%)	1.68	1.54	0.19
Return on Investment (ROI) (PBT/Networth)		0.08	0.06	0.01
Debt Equity Ratio (Total Liability/Networth)		3.61	3.08	3.32
Current Ratio (Current Asset/Current Liability)		2.06	2.03	1.78

LOCAL AGENCY FURTHER INFORMATION

Check List by Info Agents	Available in Report (Yes / No)
1) Year of Establishment	Yes
2) Locality of the firm	Yes
3) Constitutions of the firm	Yes
4) Premises details	Yes
5) Type of Business	Yes
6) Line of Business•	Yes
7) Promoter’s background	--
8) No. of employees	Yes
9) Name of person contacted	Yes
10) Designation of contact person	Yes
11) Turnover of firm for last two years	Yes
12) Profitability for last three years	No
13) Reasons for variation <> 20%	No
14) Estimation for coming financial year	Yes
15) Capital in the business	Yes
16) Details of sister concerns	No
17) Major suppliers	Yes
18) Major customers	Yes
19) Payments terms	Yes
20) Export / Import details (if applicable)	Yes
21) Market information	--
22) Litigations that the firm / promoter	--
23) Banking Details	Yes
24) Banking facility details	No
25) Conduct of the banking account	--
26) Buyer visit details	--
27) Financials, if provided	No
28) Incorporation details, if applicable	--
29) Last accounts filed at ROC	--
30) Major Shareholders, if available	--

Form 8:

Corporate identity number of the company	U15110MH1998PTC114968
Name of the company	PRAYAG FOODS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Plot No. F/55, MIDC, Murbad Industrial Area, Murbad – 421401, Maharashtra, India E-Mail : guptaveeresh@yahoo.com
This form is for	Creation of charge
Type of charge	Immovable property Any interest in immovable property
Particular of charge holder	Apana Sahakari Bank Limited, Everest Samruddhi, Bhaskar Colony, Mahatma Gandhi Road, Opposite Times of India, Naupada, Thane - 400601, Maharashtra, India E-mail : loan@apnabank.co.in
Nature of instrument creating charge	Recording Letter Evidencing Deposit of Title Deeds
Date of instrument Creating the charge	18.11.2011
Amount secured by the charge	Rs.12.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest Interest @ 13% p.a. Terms of repayment Repayment = 72 Monthly Installments of Rs.0.243 Million each. Margin As stipulated or may be stipulated from time to time by the bank. Extent and operation of the charge Security to cover principle amount together with interest , cost, charges and expenses etc. Others Term Loan - Rs. 12.000 Millions
Short particulars of the property or asset(s) charged (including complete address and location of the property)	All that piece of plot known as plot No.F-55 in the Murbad Industrial Area situated at the village limits of Murbad within the Registration Sub-District Murbad and District Thane containing by admeasuring about 2999 Sq. Mtrs . Unit No.101, Navyug Industrial Estate, T.J.Road, Sewree, Mumbai -400 015. All the piece & parcel of land, jointly occupied by other acquires of the Units of the said building admeasuring about Mumbai - 400 015.

Trade References:

· R K Patel Foods Private Limited

· Jalaram Enterprise

Fixed Assets:

· Furniture and Fixtures

· Air Conditioner

· Plant and Machinery

· Computer

· Motor Cycle

· Delivery Van

· Fax Machine

· Factory Land

· Factory Premises

· Electrical Fittings

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.77.34
Euro	1	Rs.65.19

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--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	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		31

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.