MIRA INFORM REPORT

Report Date :

04.07.2012

IDENTIFICATION DETAILS

Name :	NEC PACKAGING LIMITED
Registered Office :	E-3, Phase III, Industrial Area, Mohali-160055, Punjab
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	30.05.1995
Com. Reg. No.:	16-016532
Capital Investment/ Paid-up Capital:	Rs.2.240 Millions
CIN No.: [Company Identification No.]	U21029PB1995PLC016532
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer and Exporter of Premium Quality Packaging Items
No. of Employees:	100 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (44)

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

Maximum Credit Limit :	USD 56000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a well established company having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct. The Company can be considered 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

INFORMATION PARTED BY (GENERAL DETAILS)

Name :	Mr. Devndra
Designation :	Accountant
Contact No.:	91-9877013181
Date :	25.06.2012

LOCATIONS

Registered Office/Factory :	E-3, Phase III, Industrial Area, Mohali-160055, Punjab, India
Tel. No.:	91-172-5095453 / 5094529
Mobile No.:	91-9876314444 (Mrs. Promila Kumar)
Fax No.:	91-172-5090358
E-Mail :	md@necpackaging.com necpack@connectzone.in
Website :	www.necpackaging.com
Location :	Owned

DIRECTORS

As on 30.09.2011

Name :

Mr. Vivek Gupta

Designation :

Managing Director

Address :

H 20, Sector 4, Chandigarh – 160004, India

Date of Birth/Age :

20.02.1957

Date of Appointment :

30.05.1995

Din No.:

01373025

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U21029PB1995PLC016532	NEC PACKAGING LIMITED	Managing director	1/1/2011	30/05/1995	-	Active	NO

Name :

Mrs. Promila Gupta

Designation :

Director

Address :

H 20, Sector 4, Chandigarh – 160004, India

Date of Birth/Age :

11.03.1960

Date of Appointment :

01.04.2005

Din No.:

01675170

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U21029PB1995PLC016532	NEC PACKAGING LIMITED	Whole-time director	1/1/2011	1/4/2005	-	Active	NO

Name :

Mrs. Mehak Krishan Gupta

Designation :

Director

Address :

H 20, Sector 4, Chandigarh – 160004, India

Date of Birth/Age :

02.05.1983

Date of Appointment :

01.04.2005

Din No.:

01921753

Name :

Mr. Varun Kumar

Designation :

Director

Address :

20 Sector 4, Chandigarh – 160001, India

Date of Birth/Age :

14.08.1986

Date of Appointment :

12.01.2009

Din No.:

02497699

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U21029PB1995PLC016532	NEC PACKAGING LIMITED	Director	30/09/2009	12/1/2009	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Devndra
Designation :	Accountant

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2011

Names of Shareholders	No. of Shares
Vivek Kumar	94770
Promila Kumar	85850
Varun Kumar	1000
Mehak Krishan	100
Vibha Gupta	100
Sanjeev Jain	100
Rajesh Jain	100
Super Agro Farms Private Limited, India	22000
Dr. Megha Kansal	20000
Total	224020

As 28.03.2012

Names of Allottees	No. of Shares
Vivek Kumar	29250
Varun Kumar	3500
Total	32750

As on 30.09.2011

Category	Percentage
Bodies corporate	9.82
Directors or relatives of directors	81.25
Other top fifty shareholders	8.93
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Exporter of Premium Quality Packaging Items
Products :	Printed Corrugated Cartons / Rolls / Sleeves / Sheets Printed Die Cut Cartons Laminated Pouches and Bags Printed / Unprinted Laminated Films Printed Laminated Wrappers Blister Foils and Bulk Drug Bags Printed PVC Shrink Labels Triple Laminated Bags Aluminium Foil Bags
Exports :
Products :	Premium Quality Packaging Items
Countries :	· Oman · Galf
Imports :
Products :	Raw Material
Countries :	· Korea · China
Terms :
Selling :	Advance
Purchasing :	L/C

GENERAL INFORMATION

Suppliers :

· Aarushi Agencies Private Limited

· Adhesives India

· Aggarwal Enterprises

· Anaessthetic Gases (P) Limited

· A.P Enterprises Private Limited

· Balaji Traders

· Bal Machine Tools

· Chadha Agencies

· Ess Des Aluminum Limited

· Ganesh Inks and Aids

· Garg Duplex (P) Limited

· Jai Shnakar Enterprises

· Longia Electricals

Customers :

· Khanna Paper Mills

· Tata Teleservices Limited

· Mrs. Bectors Food Specialities Limited

· Terapia SA Romania.

· Godrej and Boyce Manufacturing Company Limited

· Gates India Limited

· Sandoz Private Limited

· DSM Anti-Infectives India Limited

· Unimark Remedies Limited

· Surya Pharmaceuticals Limited

· Daurala Organics Limited

· Cremica Group

· Maharaja White Line Limited

· Ranbaxy Laboratories Limited

No. of Employees :

100 (Approximately)

Bankers :

· State Bank of Patiala, SME Branch, S.C.O., 34-35, Phase VII, Industrial Area, Mohali-160055, Punjab, India

· HDFC Bank Limited

· ICICI Bank

Facilities :

Secured Loan	Rs. In Millions 31.03.2011	Rs. In Millions 31.03.2010
State Bank of Patiala
- Cash Credit Limit	10.366	11.403
(Secured against hypothecation of stock i.e. Raw Material, Stock in Process, Finished Goods, and Receivables and personal guarantee of Directors)
- MTL Loan A/C SBOP	0.906	1.322
(Secured against hypothecation of Machinery and personal guarantee of Directors)
Car Loan (secured against Car)	1.009
HDFC Bank Limited
Car Loan (Secured Against Car)	0.000	0.202
ICICI Bank Loan A/C
Car Loan (Secured Against Car)	0.214	0.364
Total	12.795	13.291

Banking Relations :	--
Auditors :
Name :	Kansal Singla and Associates Chartered Accountants
Address :	S.C.O., 80-81, 4^th Floor, Sector 17 C, Chandigarh – 160017, India
Tel. No.:	91-172-5078401-02
Fax No.:	91-172-5072903
Web Site :	www.cakansalsingla.com
Pan No.:	AAAFK9144R

CAPITAL STRUCTURE

After 30.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
350000	Equity Shares	Rs.10/- each	Rs.3.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
256770	Equity Shares	Rs.10/- each	Rs.2.568 Millions

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
250000	Equity Shares	Rs.10/- each	Rs.2.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
224020	Equity Shares	Rs.10/- each	Rs.2.240 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		2.240	1.995	1.727
2] Share Application Money		0.000	0.000	2.000
3] Reserves & Surplus		11.925	9.693	6.041
4] (Accumulated Losses)		(0.096)	0.000	0.000
NETWORTH		14.069	11.688	9.768
LOAN FUNDS
1] Secured Loans		0.000	13.291	16.029
2] Unsecured Loans		12.495	0.000	0.000
TOTAL BORROWING		12.495	13.291	16.029
DEFERRED TAX LIABILITIES		0.871	0.733	0.646
TOTAL		27.435	25.712	26.443
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		10.770	8.338	8.220
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	13.842	16.140	13.104
	Sundry Debtors	10.833	10.044	11.532
	Cash & Bank Balances	0.120	0.566	0.126
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	2.089	0.795	0.698
Total Current Assets		26.884	27.545	25.460
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	8.815	8.957	6.271
	Other Current Liabilities	1.089	0.841	0.772
	Provisions	0.324	0.385	0.208
Total Current Liabilities		10.228	10.183	7.251
Net Current Assets		16.656	17.362	18.209
MISCELLANEOUS EXPENSES		0.009	0.012	0.014
TOTAL		27.435	25.712	26.443

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	73.029	52.166	43.193
		Interest and Other Income	0.048	1.153	0.000
		Closing Stock	1.128	1.952	1.465
		TOTAL (A)	74.205	55.271	44.658
Less	EXPENSES
		Opening Stock	1.952	1.465	1.595
		Raw Material Consumed	56.263	40.962	31.516
		Manufacturing Expenses	5.592	4.917	3.872
		Staff Employment	2.785	0.906	1.352
		Administrative Expenses	1.967	1.977	1.912
		Selling Expenses	1.576	0.963	0.687
		Loss on Sale of Car	0.209	0.000	0.037
		Preliminary Expenses W/o	0.002	0.002	0.002
		TOTAL (B)	70.346	51.192	40.973
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		3.859	4.079	3.685
Less	FINANCIAL EXPENSES (D)		1.669	1.856	2.023
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		2.190	2.223	1.662
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.628	0.526	0.496
	PROFIT BEFORE TAX (E-F) (G)		1.562	1.697	1.166
Less	TAX (H)		0.462	0.472	0.400
Less	PRIOR PERIOD EXPENSES (INCOME) W/OFF		0.000	0.027	0.000
Add	MAT Credit Taken		0.060	0.000	0.000
Less	FBT Written off		0.005	0.000	0.000
Add	Excess Income tax provision written back		0.000	0.047	0.000
	PROFIT AFTER TAX		1.115	1.245	0.766
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		2.443	1.198	0.432
	BALANCE CARRIED TO THE B/S		3.598	2.443	1.198
	Earnings Per Share (Rs.)		5.16	6.24	4.43

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	1.50	2.25	1.72
Net Profit Margin (PBT/Sales)	(%)	2.14	3.25	2.70
Return on Total Assets (PBT/Total Assets}	(%)	4.15	4.73	3.46
Return on Investment (ROI) (PBT/Networth)		0.08	0.15	0.12
Debt Equity Ratio (Total Liability/Networth)		1.62	2.01	2.38
Current Ratio (Current Asset/Current Liability)		2.63	2.70	3.51

LOCAL AGENCY FURTHER INFORMATION

Check List by Info Agents	Available in Report [Yes/No]
Year of Establishment	Yes
Locality of the Firm	Yes
Constitution of the firm	Yes
Premises details	No
Type of Business	Yes
Line of Business	Yes
Promoters background	Yes
No. of Employees	Yes
Name of Person Contacted	Yes
Designation of contact person	Yes
Turnover of firm for last three years	Yes
Profitability for last three years	Yes
Reasons for variation <> 20%	-
Estimation for coming financial year	No
Capital the business	Yes
Details of sister concerns	No
Major Suppliers	Yes
Major Customers	Yes
Payment Terms	Yes
Export / Import Details [If Applicable]	Yes
Market Information	-
Litigations that the firm / promoter involved in	-
Banking Details	Yes
Banking Facility Details	Yes
Conduct of the banking account	-
Buyer visit details	-
Financials, if provided	Yes
Incorporation details, if applicable	Yes
Last accounts filed at ROC	Yes
Major Shareholders, if applicable	Yes

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.54.82
UK Pound	1	Rs.86.04
Euro	1	Rs.69.06

INFORMATION DETAILS

Information Gathered by :	SBA
Report Prepared by :	BYI

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	4
--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	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		44

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.