MIRA INFORM REPORT

Report Date :

20.07.2012

IDENTIFICATION DETAILS

Name :	CURE CHEM INDIA
Registered Office :	A-85, 1^st Floor, Masoodpur Main Road, Vasant Kunj, New Delhi-110070
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	28.04.2000
Capital Investment / Paid-up Capital :	Rs.12.990 millions
Legal Form :	Partnership Concern with an Unlimited Liability of the Partners
Line of Business :	Trader, Exporter and Importer of Various types of chemicals.
No. of Employees :	10 [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 51000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established partnership concern having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitment. The concern 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

INFORMATION PARTED BY

Name :	Mr. P.N. Kutty
Designation :	General Manager
Contact No:	91-9811213932
Date :	18.07.2012

LOCATIONS

Registered Office :	A-85, 1^st Floor, Masoodpur Main Road, Vasant Kunj, New Delhi-110070, Delhi, India.
Tel. No.:	91-11-26898689
Mobile No.:	91-9811213932 (Mr. P.N. Kutty)
Fax No.:	91-11-26123135
E-Mail :	curechem@vsnl.net kutty@curechem.com surechem@vsnl.net
Website :	http://www.curechem.com
Area :	900 sq. ft.
Location:	Owned

PARTNERS

Name :	Mr. Anup Chand
Designation :	Partner
Date of Birth/Age :	60 Years
Qualification :	Civil Engineering
Name :	Mr. Chaman Lal Gupta
Designation :	Partner
Date of Birth/Age :	66 Years
Qualification :	Engineer

KEY EXECUTIVES

Name :	Mr. P.N. Kutty
Designation :	General Manager
Contact No:	91-9811213932

BUSINESS DETAILS

Line of Business :

Trader, Exporter and Importer of Various types of chemicals.

Products :

Products Description	ITC Code No.
Merchandising Trade	0204

• Activated Bleaching Earth
• Activated Carbon Black
• Calcium Hypochilorate
• Citric Acid Anhydrous BP₉₃
• Dodecyl Benzene Sulphonic Acid
• Glacial Acetic Acid
• Labsa
• Oxalic Acid
• Peppermint Oil
• Potassium Cyanide
• Sodium Bicarbonate
• Sodium Hydrosulphite
• Sodium Sulphate Anhydrous
• Sodium Trypolyphosphate
• Thymol
• Activated Carbon
• Aluminium Sulphate
• Caustic Soda
• Citric Acid Monohydrate
• Formic Acid
• Hydrogen Peroxide
• Menthol
• Paraffin Wax
• Phosphoric Acid
• Sodium Benzoate
• Sodium Cyanide
• Sodium Sulphide Flake
• Sorbitol Solution
• Stearic Acid Triple
• Titanium Dioxide CR8₂8 Rutile Grade

Exports :

Products :

Chemicals

Countries :

· South Africa

· Zimbabwe

· Mali

· Mauritius

· Kenya

· Tanzania

· Ghana

· Uganda

· UAE

· Yemen

· Philippians

Imports :

Products :

Chemicals

Countries :

· China

· Korea

· Indonesia

· Taiwan

Terms :

Selling :

Credit (60 days)

Purchasing :

Credit (60 days)

GENERAL INFORMATION

Customers :	Retailers
No. of Employees :	10 [Approximately]
Bankers :	State Bank of India, A-5 N.D.S.E. Part-I, New Delhi-110049, India
Facilities :	LC – Rs. 30.000 millions from State Bank of India

Banking Relations :	--
Auditors :
Name :	Sushil Vipan and Company Chartered Accountant
Address :	D-98, Street No.5, 2^nd Floor, Laxmi Nagar, Delhi – 110 092
Tel. No.:	91-11-30902750
Fax No.:	91-11-22442897
E-Mail :	vipagarwal@eth.net

CAPITAL STRUCTURE

As on 31.03.2012

Capital Investment :
Owned :	Rs.12.990 millions
Borrowed :	--
Total :	Rs.12.990 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2012	31.03.2011	31.03.2010
SHAREHOLDERS FUNDS
1] Partner Capital		12.990	12.164	12.295
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		0.000	0.000	0.000
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		12.990	12.164	12.295
LOAN FUNDS
1] Secured Loans		0.000	0.000	0.000
2] Unsecured Loans		9.766	7.825	3.800
TOTAL BORROWING		9.766	7.825	3.800
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		22.756	19.989	16.095
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		0.698	0.701	0.392
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	0.000	0.000	0.000
	Sundry Debtors	37.669	36.988	35.640
	Cash & Bank Balances	18.215	12.291	6.277
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	9.647	2.105	1.558
Total Current Assets		65.531	51.384	43.475
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	33.619	29.676	24.667
	Current Liabilities	9.854	2.420	3.105
	Provisions	0.000	0.000	0.000
Total Current Liabilities		43.473	32.096	27.772
Net Current Assets		22.058	19.288	15.703
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		22.756	19.989	16.095

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income from Merchandising Trade	11.248	16.107	6.540
		Interest Received	0.454	0.270	0.197
		Forex Gain/Loss	2.150	0.000	1.412
		Other Income	0.000	0.009	0.012
		Interest Subsidy (SBI)	0.000	0.000	0.010
		TOTAL	13.852	16.386	7.974
Less	EXPENSES
		Bank Charges	1.796	1.798	1.311
		Commission	0.000	0.154	0.387
		Salary and Other Benefit	3.459	2.769	2.025
		Conveyance Expenses	0.000	0.069	0.083
		Telephone Expenses	0.140	0.170	0.192
		Other Expenses	6.007	9.608	2.970
		TOTAL	11.402	14.568	6.258
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		2.450	1.818	1.716
Less	FINANCIAL EXPENSES		0.644	0.080	0.463
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		1.806	1.738	1.253
Less/ Add	DEPRECIATION/ AMORTISATION		0.159	0.125	0.048
	PROFIT BEFORE TAX (E-F)		1.647	1.613	1.205
Less	TAX		0.224	0.217	0.210
	PROFIT AFTER TAX (G-I)		1.423	1.396	0.995

The above information has been parted by Mr. P.N. Kutty [General Manager].

Note : Sole Proprietary and Partnership concerns are exempted from filing their financials with the Government Authorities or Registry Records.

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	10.27	8.51	12.47
Net Profit Margin (PBT/Sales)	(%)	14.64	10.01	15.11
Return on Total Assets (PBT/Total Assets}	(%)	2.49	3.10	2.75
Return on Investment (ROI) (PBT/Networth)		0.11	0.13	0.10
Debt Equity Ratio (Total Liability/Networth)		4.10	3.28	2.57
Current Ratio (Current Asset/Current Liability)		1.51	1.60	1.56

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	Yes
8) No. of employees	Yes
9) Name of person contacted	Yes
10) Designation of contact person	Yes
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	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	Yes
25) Conduct of the banking account	--
26) Buyer visit details	--
27) Financials, if provided	Yes
28) Incorporation details, if applicable	No
29) Last accounts filed at ROC	No
30) Major Shareholders, if available	No

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.55.38
UK Pound	1	Rs.86.75
Euro	1	Rs.67.06

INFORMATION DETAILS

Information Gathered by :	SBA
Report Prepared by :	DPK

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	YES
--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.