MIRA INFORM REPORT

Report Date :

19.07.2012

IDENTIFICATION DETAILS

Name :	G. K. WINDING WIRES LIMITED (w.e.f.28.10.1985)
Formerly Known As :	G. K. WINDING WIRES PRIVATE LIMITED
Registered Office :	23 Radhe Purikrishna Nagar, Delhi – 110051
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	28.10.1985
Com. Reg. No.:	55-022363
Capital Investment / Paid-up Capital :	Rs.47.500 Millions
CIN No.: [Company Identification No.]	U74899DL1985PLC022363
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer, Exporter and Importer of Copper Winding Wire, Enamelled Copper Wire, Aluminium Winding Wire and Enamelled Aluminium Wire
No. of Employees :	Not Available

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 730000
Status :	Moderate
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Subject is an established company having moderate track. The latest financials of the company are not made available. However, as per previous years records, the company is found to be performing well. Trade relations are reported as fair. Business is active. Payments terms are unknown. The company can be considered for business dealings with some caution.

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 :	23 Radhe Purikrishna Nagar, Delhi – 110051, India
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	finance@gkwinding.com avafirm@gmail.com
Website :	www.gkwinding.com
Factory :	B-20, Site ‘C’, UPSIDC Industrial Area, Surajpur, Greater Noida – 201306, Uttar Pradesh, India
Tel. No.:	91-120-2560214/468/2560201
Fax No.:	91-120-2560223
E-Mail :	marketing@gkwinding.com

DIRECTORS

As on 23.09.2011

Name :

Ms. Neelam Agarwal

Designation :

Director

Address :

E-86, Sector 41, Noida, Gautam Budh Nagar, Uttar Pradesh, India

Date of Birth/Age :

12.01.1952

Date of Appointment :

23.11.2002

DIN No. :

00116987

Name :

Mr. Sudhir Kumar Agarwal

Designation :

Whole Time Director

Address :

F-27, Sector 41, Noida – 201303, Uttar Pradesh, India

Date of Birth/Age :

01.12.1947

Date of Appointment :

29.03.2011

DIN No. :

00117005

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	U74899DL1985PLC022363	G.K. WINDING WIRES LIMITED	Whole-time director	01/04/2011	28/10/1985	-	Active	NO
2	U19201DL1997PTC090331	UNISOL INDIA PRIVATE LIMITED	Director	21/10/1997	21/10/1997	-	Active	NO
3	U31300MH1973GAP016998	WINDING WIRES MANUFACTURERS ASSOCIATION OF INDIA	Director	29/09/2004	29/09/2004	-	Active	NO
4	U27104WB1988PTC045426	VERSATILE METAL CONCEPTS PRIVATE LIMITED	Director	01/11/2004	01/11/2004	22/03/2010	Active	NO
5	U74899DL1986PTC023900	SHREE ADINATH ENGINEERING WORKS PRIVATE LIMITED	Director	25/08/2005	25/08/2005	20/06/2009	Active	NO
6	U74899DL1991PTC045971	GK ENTERPRISES PRIVATE LIMITED	Director	01/04/2007	01/04/2007	22/10/2009	Active	NO
7	L31300WB1993PLC060690	VERSATILE WIRES LTD	Director	02/04/2007	02/04/2007	08/05/2007	Active	NO
8	U45400DL2009PTC188928	CLASSIC CONSTRUCTION MATERIAL AND EQUIPMENTS PRIVATE LIMITED	Director	27/03/2009	27/03/2009	-	Active	NO
9	U45400DL2009PTC188925	SYSTEMATIC INFRADEVELOPERS PRIVATE LIMITED	Director	27/03/2009	27/03/2009	-	Active	NO
10	U74899DL1990PTC042309	MAHARANI PRODUCTS PRIVATE LIMITED	Director	16/04/2010	16/04/2010	-	Active	NO

Name :

Mr. Sameer Agarwal

Designation :

Managing Director

Address :

F-27, Sector 41, Noida – 201303, Uttar Pradesh, India

Date of Birth/Age :

22.08.1979

Date of Appointment :

29.03.2011

DIN No. :

00117027

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	U74899DL1985PLC022363	G.K. WINDING WIRES LIMITED	Managing director	01/04/2011	24/08/2006	-	Active	NO
2	U74899DL1990PTC042309	MAHARANI PRODUCTS PRIVATE LIMITED	Director	16/04/2010	16/04/2010	-	Active	NO

Name :

Mr. Sant Kumar Agarwal

Designation :

Director

Address :

D 141, Sector 55, Nodia, Gautam Budh, Uttar Pradesh, India

Date of Birth/Age :

15.07.1955

Date of Appointment :

01.04.1994

DIN No. :

00117043

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 23.09.2011

Names of Shareholders	No. of Shares
Sudhir Kumar Agarwal	4010300
Neelam Agarwal	80130
Sameer Agarwal	356070
Nidhi Agarwal	7000
Sudhir Kumar Agarwal HUF	46500
H P Agarwal	249000
Priti Agarwal	1000
Total	4750000

Equity Share Break up (Percentage of Total Equity)

As on 23.09.2011

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer, Exporter and Importer of Copper Winding Wire, Enamelled Copper Wire, Aluminum Winding Wire and Enamelled Aluminum Wire

PRODUCTION STATUS (AS ON 31.03.2010)

Particulars	Unit	Installed Capacity	Actual Production
Copper winding wire	MT	4500	2981841
Aluminium winding wire	MT	150	15905
Bare copper wire	MT	NA	123494

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· Industrial Development Bank of India, IRCS Building, 1, Red Cross Raod, New Delhi – 110001, India

· Chinatrust Commercial Bank – A1/16, Wenger House, Rajiv Chowk, New Delhi – 110001, Delhi, India

Facilities :

(Rs. in Millions)

Secured Loan	As on 31.03.2011	As on 31.03.2010
Rupee term loans other secured	0.149	0.350
Foreign currency loans other secured	54.744	50.563
Total	54.893	50.913
Unsecured Loan	As on 31.03.2011	As on 31.03.2010
Rupee term loans other unsecured	78.307	24.076
Foreign currency loans other unsecured	0.000	3.650
Total	78.307	27.726

Banking Relations :	--
Auditors :
Name :	Ravi and Associates Chartered Accountant
Address :	L-42, Lajpat Nagar – II, New Delhi – 110024, Delhi, India
PAN.:	AAAFR9032R

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
6000000	Equity Shares	Rs. 10/- each	Rs. 60.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
4750000	Equity Shares	Rs. 10/- each	Rs. 47.500 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		47.500	47.500	47.500
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		135.773	73.988	24.855
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		183.273	121.488	72.355
LOAN FUNDS
1] Secured Loans		54.893	50.913	12.221
2] Unsecured Loans		78.307	27.726	7.730
TOTAL BORROWING		133.200	78.639	19.951
DEFERRED TAX LIABILITIES		4.745	3.866	0.119
TOTAL		321.218	203.993	92.425
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		89.443	60.724	31.553
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.026	0.026	0.026
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	60.821	40.276	17.262
	Sundry Debtors	149.132	87.038	55.612
	Cash & Bank Balances	84.728	65.056	0.851
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	75.686	26.149	18.502
Total Current Assets		370.367	218.519	92.227
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	79.121	32.478	9.965
	Other Current Liabilities	14.098	27.009	10.960
	Provisions	45.399	15.789	10.456
Total Current Liabilities		138.618	75.276	31.381
Net Current Assets		231.749	143.243	60.846
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		321.218	203.993	92.425

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	1601.262	1041.529	685.567
		Other Income	6.509	1.952	0.202
		TOTAL (A)	1607.771	1043.481	685.769
Less	EXPENSES		1410.935	896.669
		Consumption materials changes inventories	49.869	43.129
		Manufacturing service costs	1.782	2.661
		Employee related expenses	17.655	14.412
		Administrative selling other expenses	14.598	13.222
		TOTAL (B)	1494.839	970.093	653.889
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		112.932	73.388	31.880
Less	FINANCIAL EXPENSES (D)		12.509	4.556	2.761
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		100.423	68.832	29.119
Less/ Add	DEPRECIATION/ AMORTISATION (F)		8.149	3.263	1.704
	PROFIT BEFORE TAX (E-F) (G)		92.274	65.569	27.415
Less	TAX (I)		30.489	16.436	8.042
	PROFIT AFTER TAX (G-I) (J)		61.785	49.132	19.373
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		68.769	19.637	0.264
	BALANCE CARRIED TO THE B/S		130.554	68.769	19.637
	IMPORTS
		Raw Materials	NA	191.006	0.504
		Consumable Stores Spares Parts	NA	2.476	1.758
		Capital Goods	NA	10.078	0.000
	TOTAL IMPORTS		NA	203.560	2.262
	Earnings Per Share (Rs.)		13.01	10.34	4.08

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	3.84	4.71	2.83
Net Profit Margin (PBT/Sales)	(%)	5.76	6.30	4.00
Return on Total Assets (PBT/Total Assets}	(%)	24.91	30.01	22.15
Return on Investment (ROI) (PBT/Networth)		0.50	0.54	0.38
Debt Equity Ratio (Total Liability/Networth)		1.48	1.27	0.71
Current Ratio (Current Asset/Current Liability)		2.67	2.90	2.94

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

PERFORMANCE REVIEW

During the year the production was 3731 MT compared to previous year production of 2998 MT. thus having a growth of 24.45%.

The Gross profit before Interest, Depreciation and Tax stood as Rs.112.932 Millions compared to previous year Rs 73.387 Millions, which is more by 53.89%.

FUTURE OUTLOOK

The enameled wire industry is growing @ 10% plus per annum since last 3 years. Looking to the past growth trend and lower per capita consumption ( 0.3 Kg against international norms of 3 Kg) in our country and on going expansion in power sector, Directors estimate similar growth during the next financial year ending on March 2012.

Accordingly the capital investment has been done during the current Financial Year.

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U74899DL1985PLC022363
Name of the company	G.K. WINDING WIRES LIMITED
Address of the registered office or of the principal place of business in India of the company	23 Radhe Purikrishna Nagar, Delhi – 110051, India Email: finance@gkwinding.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10175550
Type of charge	Immovable property Book debts Movable property (not being pledge) Floating charge
Particular of charge holder	Chinatrust Commercial Bank, A1/16, Wenger House, Rajiv Chowk, New Delhi – 110001, Delhi, India Email: ca_rcg@yahoo.co.in
Nature of instrument creating charge	Deed of hypothecation of Fixed Assets dated 12.07.2011, Deed of Hypothecation of Current Assets dated 12.07.2011, and Memorandum of Entry dated 12.07.2011 and Letter of Sanction dated 12.07.2011.
Date of instrument Creating the charge	12.07.2011
Amount secured by the charge	Rs.140.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest As per CTCB/RBI guidelines in force. Terms of Repayment Payable on demand. Margin Sight/Usance LC Issuance Limit - 10%, Sales Bill Discounting limits - 5%, Bank Guarantee limit - 10% and Overdraft limit - 25%. Extent and Operation of the charge 100% Others To secure all amounts payable under enhanced LC (Sight/Usance) Issuance limit of Rs. 100.000 Millions, Sales Bill Discounting limit of Rs. 20.000 Millions and Bank Guarantee limit of Rs. 20.000 Millions as sub-limits and Overdraft limit of Rs. 30.000 Millions, Domestic Bill Purchase limit of Rs. 10.000 Millions aggregating to Rs. 140.000 Millions granted to/enjoyed by the Company together with all interests, costs, charges, expenses, commission etc.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Primary i) Exclusive charge on the entire present and future Current Assets of the Company. ii)Exclusive charge on the entire present and future Fixed Assets of the Company Collateral: Exclusive charge by way of equitable mortgage of immovable properties of the Company situated at B-20, Surajpur industries. Area, Site-C Pargana/Tehsil Dadri, Distt. Ghaziabad (Now Gautam Budh Nagar), UP together with all the buildings and structures constructed or to be constructed thereon, fixtures and fittings erected/installed or to be erected/installed thereon and every part thereof.
Date of instrument modifying the charge	14.08.2010
Particulars of the present modification	The exclusive charge on entire current and fixed assets of the Company - both present & future and equitable mortgage of immovable properties of the Company situated at B-20, Surajpur Industries. Area, Site-C Pargana/Tehsil Dadri, Distt. Ghaziabad (Now Gautam Budh Nagar), UP stands enhanced from Rs. 119.000 Millions to Rs. 140.000 Millions

Fixed Assets:

• Land and site development
• Good will
• Factory building
• Plant and machinery
• Office equipment
• Computers
• Furniture and fixtures
• Vehicles
• CWIP-DG Set

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.55.33
UK Pound	1	Rs.86.55
Euro	1	Rs.67.95

INFORMATION DETAILS

Report Prepared by :

KVT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	4
--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	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.