MIRA INFORM REPORT

Report Date :

26.07.2012

IDENTIFICATION DETAILS

Name :	TOKAI IMPERIAL RUBBER INDIA PRIVATE LIMITED
Registered Office :	202-203, Kushal Bazar 32-33 Nehru Place, New Delhi - 110019
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	18.11.2005
Com. Reg. No.:	55-142682
Capital Investment / Paid-up Capital :	Rs. 246.000 Millions
CIN No.: [Company Identification No.]	U2519DLC2005PTC142682
PAN No.: [Permanent Account No.]	AACCT4094J
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of automobile and IT components
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (35)

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

Maximum Credit Limit :	USD 260000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is a subsidiary of Tokai Rubber Industries Limited, Japan. It is an established company having moderate track. Accumulated losses recorded by the company appears to be increasing. 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 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 – June 30, 2012

Country Name	Previous Rating (31.03.2012)	Current Rating (30.06.2012)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

RBI DEFAILTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAILTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

LOCATIONS

Registered Office :	202-203, Kushal Bazar 32-33 Nehru Place, New Delhi-110019, India.
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	companysecretary@tir.co.in office@tir.co.in
Website :	http://www.tokai.co.jp
Corporate Office 1 :	45 Miles stone VPO Prithla Delhi-Mathura Road, District-Palwal, Faridabd- 121102, Haryana, India
Tel. No.:	91-1275-262103 / 262102 / 262105
Fax No.:	91-1275-262106
Corporate Office 2 :	Plot No. 94, Sector 25, Faridabad-121004, Haryana, India
Tel. No.:	91-129-2233281/ 2231148/ 2232993
Fax No.:	91-129-2441028
Branch Office :	Sy No. 65, No. 48-D, KIADB Industrial Area Yellapura Village, Doddaballapura, District Bangalore Rural - 561 203 Karnataka, India
Tel. No.:	91-80-2763-0025
Fax No.:	91-80-2763-0040
Overseas Office :	Locate At · North America · Europe · China · Asia Nations

DIRECTORS

As on 01.06.2011

Name :

Mr. Sham Bihari Sardana

Designation :

Director

Address :

House No D-99,Panchsheel Enclave, New Delhi, India

Date of Birth/Age :

21.03.1944

Date of Appointment :

18.11.2005

DIN No.:

00109418

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	U34300DL1997PLC084252	IMPERIAL AUTO NYLON TUBING LIMITED	Director	11/07/2000	11/07/2000	-	Active	NO
2	U74899DL1995PLC069837	IAI INDUSTRIES LIMITED	Director	01/12/2008	01/11/2002	-	Active	NO
3	U74899DL1975PLC007737	IMPERIAL AUTO INDUS-TRIES LIMITED	Managing director	01/04/2009	01/04/2005	-	Active	NO
4	U25191DL2005PTC142682	TOKAI IMPERIAL RUBBER INDIA PRIVATE LIMITED	Director	18/11/2005	18/11/2005	-	Active	NO
5	U25199DL2010PLC207562	S J RUBBER INDUSTRIES LIMITED	Director	26/08/2010	26/08/2010	-	Active	NO

Name :

Mr. Jagjit Singh Lamba

Designation :

Director

Address :

House No -9 Sector -18 A, Faridabad, Haryana, India

Date of Birth/Age :

15.09.1938

Date of Appointment :

18.11.2005

DIN No.:

00109439

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	U74899DL1995PLC069837	IAI INDUSTRIES LIMITED	Director	01/10/1995	01/10/1995	-	Active	NO
2	U34300DL1997PLC084252	IMPERIAL AUTO NYLON TUBING LIMITED	Director	06/01/1997	06/01/1997	-	Active	NO
3	U34300DL1971PLC207710	AUTO IGNITION LIMITED	Director	02/07/2002	02/07/2002	-	Active	NO
4	U74899DL1975PLC007737	IMPERIAL AUTO INDUS-TRIES LIMITED	Managing director	01/04/2009	01/04/2005	-	Active	NO
5	U25191DL2005PTC142682	TOKAI IMPERIAL RUBBER INDIA PRIVATE LIMITED	Director	18/11/2005	18/11/2005	-	Active	NO
6	U74899DL1974PLC007063	SOLAR GLASS WORKS LIMITED	Director	28/06/2006	28/06/2006	01/12/2007	Active	NO
7	U55101PB2006PTC030718	NORTHERN INDIA MOTELS AND RESORTS PRIVATE LIMITED	Director	30/11/2006	30/11/2006	28/06/2008	Strike off	NO
8	U25199DL2010PLC207562	S J RUBBER INDUSTRIES LIMITED	Director	26/08/2010	26/08/2010	-	Active	NO

Name :

Mr. Nobuyuki Sato

Designation :

Director

Address :

16-22-801,4 -Cho Me, Chiyode Nakaku Nagaya City,Arch Perfecture - 460-0012,Jpan

Date of Birth/Age :

08.03.1947

Date of Appointment :

18.11.2005

DIN No.:

02274107

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	U25191DL2005PTC142682	TOKAI IMPERIAL RUBBER INDIA PRIVATE LIMITED	Director	18/11/2005	18/11/2005	-	Active	NO
2	U25190DL2011FTC224857	TOKAI RUBBER INDUSTRIAL HOSE INDIA PRIVATE LIMITED	Director	09/09/2011	09/09/2011	-	Active	NO

Name :

Mr. Kodama Tsutomu

Designation :

Director

Address :

67-6-2, Chome, Hi Karigaoka, Koamaki City, Aichi, Prefecture, Japan

Date of Birth/Age :

17.09.1951

Date of Appointment :

31.07.2006

DIN No.:

02274124

Name :

Mr. Junichi Yamada

Designation :

Managing Director

Address :

RM 204, 1-36-4, Gonaka, Komaki City, Aichi Prefecture-4850033, Japan

Date of Birth/Age :

27.11.1962

Date of Appointment :

04.02.2010

DIN No.:

02947784

Name :

Mr. Manav Mittal

Designation :

Director

Address :

House No.1910, Sector-16, Faridabad, Haryana, India

Date of Birth/Age :

29.07.1975

Date of Appointment :

16.07.2009

DIN No.:

03075095

Name :

Mr. Katsunori Kanaoka

Designation :

Director

Address :

7-14-22, Degawa, Kasugai City, Aichi Prefecture, Japan

Date of Birth/Age :

31.01.1958

Date of Appointment :

01.06.2011

DIN No.:

03535231

KEY EXECUTIVES

Name :	Mr. Riti Arora
Designation :	Secretary
Address :	H No. # 1746, NIT, Faridabad-121005, Haryana, India
Date of Birth/Age :	29.11.1986
Date of Appointment :	22.03.2010
Pan No.:	ARLPA6936H

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 01.06.2011

Names of Shareholders	No. of Shares
Tokai Rubber Industries Limited, Japan	147600
Imperial Auto Industries Limited, India	98400
Total	246000

As on 01.06.2011

Equity Share Break up (Percentage of Total Equity)

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	60.00
Bodies corporate	40.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of automobile and IT components

Products :

ITC Code No.	Product Description
40092200	Automotive Hoses

PRODUCTION STATUS (AS ON 31.03.2011)

Particulars	Unit	Installed Capacity	Actual Production
Automotive Hoses (Manufactured)	Meters	4680000	15435257
Automotive Hoses (Repackaged/ relabeled) #	Meters	--	177150

Note

1. Installed capacity is as certified by management and have not been verified by the auditors, being a technical matter.

2. Installed capacity is in running length, while actual output is in numbers of pieces of automotive hoses produced based upon specific lengths as ordered by customers.

3. The actual production does not include free issues of finished goods during the year.

# These represent automotive hoses imported and sold after repackaging, inspection, lubrication, checking of fitment and relabelling. Hence, in respect of such goods there is no corresponding installed capacity.

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

Not Available

Facilities :

(Rs. In Millions)

Unsecured Loan	As on 31.03.2011	As on 31.03.2010
Other Debt Unsecured	109.000	261.694
Total	109.000	261.694

Banking Relations :	--
Auditors :
Name :	Deloitte Haskins and Sells Chartered Accountants
Address :	7^th Floor, Building 10, Tower B, DLF Cyber City Complex, DLF City Phase -II,Gurgaon-122002, Haryana, India
PAN.:	AABFD2095B
Holding Company / Ultimate Holding Company:	Tokai Rubber Industries Limited, Japan
Fellow Subsidiaries :	Inoac Tokai(Thailand) Company Limited
Entity holding substantial interest in the Company :	Imperial Auto Industries Limited, India
Entity over which the Company has significant influence :	S.J. Rubber Industries Limited ( Partnership firm till December 31,2010)

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
246000	Equity Shares	Rs.1000/- each	Rs.246.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
246000	Equity Shares	Rs.1000/- each	Rs.246.000 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		246.000	246.000	246.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		0.000	0.000	0.000
4] (Accumulated Losses)		(180.459)	(255.389)	(373.500)
NETWORTH		65.541	(9.389)	(127.500)
LOAN FUNDS
1] Secured Loans		0.000	0.000	0.000
2] Unsecured Loans		109.000	261.694	279.000
TOTAL BORROWING		109.000	261.694	279.000
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		174.541	252.305	151.500
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		332.291	390.847	416.113
Capital work-in-progress		3.490	0.149	3.594
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	145.007	104.378	99.604
	Sundry Debtors	112.623	44.398	26.730
	Cash & Bank Balances	8.968	8.859	9.644
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	70.067	98.253	92.664
Total Current Assets		336.665	255.888	228.642
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	463.409	365.905	486.935
	Other Current Liabilities	13.743	22.518	7.720
	Provisions	20.753	6.156	2.194
Total Current Liabilities		497.905	394.579	496.849
Net Current Assets		(161.240)	(138.691)	(268.207)
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		174.541	252.305	151.500

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	745.945	468.962	222.627
		Other Income	9.349	58.434	0.579
		TOTAL (A)	755.294	527.396	223.206
Less	EXPENSES
		Raw material and components consumed		270.062	158.490
		Increase/ decrease in Stock		(8.728)	1.827
		Personnel Costs		34.366	23.194
		Manufacturing Expenses		79.440	188.027
		Other Expenses		1.697	0.970
		TOTAL (B)	588.507	376.837	372.508
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		Including Financial Expenses	150.559	(149.302)
Less	FINANCIAL EXPENSES (D)			24.021	27.396
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		166.787	126.538	(176.698)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		71.654	60.041	51.163
	PROFIT BEFORE TAX (E-F) (G)		95.133	66.497	(227.861)
Less	TAX (H)		20.203	(51.615)	0.715
	PROFIT AFTER TAX (G-H) (I)		74.930	118.112	(228.576)
	BALANCE CARRIED TO THE B/S		NA	NA	(228.576)
	IMPORTS
		Raw Materials	350.089	244.817	189.007
		Stores & Spares	24.295	18.750	25.960
		Capital Goods	4.047	26.807	74.118
	TOTAL IMPORTS		378.431	290.374	289.085
	Earnings Per Share (Rs.)		304.59	480.13	(929.17)

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	9.92	22.40	(102.41)
Net Profit Margin (PBT/Sales)	(%)	12.75	14.18	(102.35)
Return on Total Assets (PBT/Total Assets}	(%)	14.22	10.28	(35.34)
Return on Investment (ROI) (PBT/Networth)		1.45	(7.08)	0.93
Debt Equity Ratio (Total Liability/Networth)		9.26	(69.90)	3.15
Current Ratio (Current Asset/Current Liability)		0.68	0.65	0.46

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	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	(Yes)
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	(No)
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)
31]	PAN of Proprietor/Partner/Director, if available	(No)
32]	Passport No of Proprietor/Partner/Director, if available	(No)
33]	Voter ID No of Proprietor/Partner/Director, if available	(No)

BACKGROUND

Subject was incorporated under the Companies Act, 1956 on November 18, 2005 for carrying out the business of manufacturing, rubber hoses for Vehicles.

Results of Operations:

The year was a transformational year for the Company. During the year, the Company has scaled new heights and set several new benchmarks in terms of sales. The volume growth coupled and enabled the Company to achieve significant improvement of the Company’s Performance. The total income of the Company was up by 43% at Rs.755.294 Millions compared to Rs.527.396 Millions during the previous year. The Income from Operations grew by 59% at Rs.745.945 Millions, compared to Rs.468.962 Millions during the previous year. The profit before taxation was also up by 43% at Rs.95.133 Millions compared to Rs.66.497 Millions in the previous year. The Company’s net profit for the year was Rs.74.929 Millions, compared to Rs.118.112 Millions in the previous year a decline in net profits was caused due to decrease in Foreign exchange fluctuation and absence of remission of liability by Tokai Rubber Industries Limited, Japan, which were present in the previous year.

FIXED ASSETS

• Land freehold
• Buildings
• Plant and Machinery
• Tools and dies
• Furniture and fixture
• Office Equipment
• Computers
• Motor vehicles

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.56.38
UK Pound	1	Rs.87.44
Euro	1	Rs.68.05

INFORMATION DETAILS

Report Prepared by :

NTH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	--
--CREDIT LINES	1~10	4
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--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		35

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.