MIRA INFORM REPORT

Report Date :

07.06.2012

IDENTIFICATION DETAILS

Name :	SURYA FOOD AND AGRO LIMITED
Registered Office :	D- 1, Sector – 2, Gautam Budh Nagar, Noida – 201301, Uttar Pradesh
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	24.11.1992
Com. Reg. No.:	20-014919
Capital Investment / Paid-up Capital :	Rs. 179.850 Millions
CIN No.: [Company Identification No.]	U15201UP1992PLC014919
TAN No.: [Tax Deduction & Collection Account No.]	DELS09444B
PAN No.: [Permanent Account No.]	AAACS3026P
Legal Form :	A Closely held Public Limited Liability Company.
Line of Business :	Manufacturer of Biscuits, Juice, Chocolate, Cakes, Fruit Cake.
No. of Employees :	2000 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

A (63)

RATING		STATUS	PROPOSED CREDIT LINE
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

Maximum Credit Limit :	USD 3600000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established and reputed company having satisfactory track. Financial position appears to be sound. Trade relations are reported as fair. Business is active. Payments are usually correct and as per commitments. The company 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. Abhay
Designation :	Admin Manager
Contact No.:	91-120-2522939
Date :	04.06.2012

LOCATIONS

Registered Office :	D- 1, Sector – 2, Gautam Budh Nagar, Noida – 201301, Uttar Pradesh, India
Tel. No.:	91-120-2552989/2522939
Fax No.:	91-120-2558154
E-Mail :	abhay0008@gmail.com johnson.masih@gmail.com mail@priyagold.com
Website :	http://www.priyagold.com
Location :	Owned
Plant I :	Plot No.1 A, Udyog Vihar, Greater Noida, Uttar Pradesh, India
Plant II :	C – 4, Sarojini Nagar, Industrial Area, Lucknow, Uttar Pradesh, India
Plant III :	Plot No. 4311, GIDC, Sachin, Surat, Gujarat, India

DIRECTORS

As on 30.09.2011

Name :	Mr. Ballabh Prasad Agarwal
Designation :	Whole Time Director
Address :	B-14, Sector – 14, Gautam Budh Nagar, Noida – 201301, Uttar Pradesh, India
Date of Birth/Age :	14.03.1950
Date of Appointment :	05.10.2006
DIN No.:	00220080

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	U55100MH1995PTC143181	GREEN HILL RESORTS PRIVATE LIMITED	Director	30-09-02	30-09-02	24-04-09	Active	NO
2	U15400UP2000PTC037313	DEVIKA FOOD PRODUCTS PRIVATE LIMITED	Director	16-06-03	16-06-03	-	Amalgamated	NO
3	U15134DL2004PLC129491	SURYA FRESH FOODS LIMITED	Director	03-08-09	28-09-04	-	Active	NO
4	U15201UP1992PLC014919	SURYA FOOD AND AGRO LIMITED	Managing director	01-09-10	05-10-06	-	Active	NO
5	U45200DL2006PTC155803	SURYA SHOPPING ARCADE PRIVATE LIMITED	Director	22-11-06	22-11-06	-	Active	NO
6	U15139DL2006PTC151222	SURYA PROCESSED FOOD PRIVATE LIMITED	Director	29-09-08	28-03-08	03-11-08	Active	NO

Name :	Mr. Navin Kumar Agarwal
Designation :	Whole time Director
Address :	B-14, Sector – 14, Gautam Budh Nagar, Noida – 201301, Uttar Pradesh, India
Date of Birth/Age :	12.04.1972
Qualifications :	Graduate
Date of Appointment :	20.12.1999
DIN No.:	00220115

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	U15400UP2000PTC037313	DEVIKA FOOD PRODUCTS PRIVATE LIMITED	Director	16-06-03	16-06-03	-	Amalgamated	NO
2	U15139DL2006PTC151222	SURYA PROCESSED FOOD PRIVATE LIMITED	Director	03-08-09	25-07-06	-	Active	NO
3	U01403DL2006PLC151452	SURYA AGROTECH INFRASTRUCTURE LIMITED	Director	31-07-06	31-07-06	-	Active	NO
4	U15201UP1992PLC014919	SURYA FOOD AND AGRO LIMITED	Whole-time director	08-10-10	27-07-07	-	Active	NO

Name :	Mr. Shekhar Agarwal
Designation :	Whole time Director
Address :	B-14, Sector – 14, Gautam Budh Nagar, Noida – 201301, Uttar Pradesh, India
Date of Birth/Age :	25.04.1976
Qualifications :	Graduate
Date of Appointment :	01.05.2003
DIN No.:	00220274

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	U15201UP1992PLC014919	SURYA FOOD AND AGRO LIMITED	Whole-time director	01-09-10	20-12-99	-	Active	NO
2	U15400UP2000PTC037313	DEVIKA FOOD PRODUCTS PRIVATE LIMITED	Director	16-06-03	16-06-03	-	Amalgamated	NO
3	U01403DL2006PLC151452	SURYA AGROTECH INFRASTRUCTURE LIMITED	Director	31-07-06	31-07-06	-	Active	NO
4	U15139DL2006PTC151222	SURYA PROCESSED FOOD PRIVATE LIMITED	Additional director	10-08-07	10-08-07	03-11-08	Active	NO
5	U15134DL2004PLC129491	SURYA FRESH FOODS LIMITED	Director	29-09-08	28-03-08	-	Active	NO

Name :	Mr. Manoj Kumar Agarwal
Designation :	Whole time Director
Address :	B-14, Sector – 14, Gautam Budh Nagar, Noida – 201301, Uttar Pradesh, India
Date of Birth/Age :	16.07.1969
Qualifications :	Graduate
Date of Appointment :	06.10.2010
DIN No.:	00220098

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	U15201UP1992PLC014919	SURYA FOOD AND AGRO LIMITED	Whole-time director	01-09-10	01-05-03	-	Active	NO
2	U15400UP2000PTC037313	DEVIKA FOOD PRODUCTS PRIVATE LIMITED	Director	16-06-03	16-06-03	-	Amalgamated	NO
3	U01403DL2006PLC151452	SURYA AGROTECH INFRASTRUCTURE LIMITED	Director	31-07-06	31-07-06	-	Active	NO
4	U45200DL2006PTC155803	SURYA SHOPPING ARCADE PRIVATE LIMITED	Additional director	06-05-09	06-05-09	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2011

Names of Shareholders	No. of Shares
Ballabh Prasad Agarwal	3316820
Manoj Kumar Agarwal	4328896
Navin Kumar Agarwal	2422784
Shekhar Agarwal	2711514
Ushadevi Agarwal	855894
Beena Agarwal	651300
Chhavi Agarwal	1820000
Niddhi Agarwal	1877772
Total	17984980

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 Biscuits, Juice, Chocolate, Cakes, Fruit Cake.

Products :

ITC Code No.	Product Description
1903-300	Biscuits

Brand Names :

Priyagold

Terms :

Selling :

Cash and Credit

Purchasing :

Cash and Credit

PRODUCTION STATUS (As on 31.03.2011)

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Biscuits	MT	NA	105000	91901.22

Note:

Installed capacity is as per certificate issued by the management and is not verified by the Auditors being a technical matter.

GENERAL INFORMATION

No. of Employees :

2000 (Approximately)

Bankers :

Kotak Mahindra Bank Limited, 15-16, UGF Ambadeep Building, 14, K G Marg, Connaught Place, New Delhi - 110001, India

Facilities :

Secured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
Loan taken for vehicles	11.203	3.784
From Others	454.906	507.212
Term Loan	0.000	0.036
Total	466.109	511.032

Banking Relations :	Satisfactory
Financial Institute :	Uttar Oradesh Financial Corporation (UPFC), 14/ 88, Civil Lines, Kanpur – 208 001, Uttar Pradesh, India
Auditors :
Name :	Aggarwal and Rampal Chartered Accountant
Address :	E-67, (LGF) Greater Kailash-3 Rd, (Masjid Moth), New Delhi-110048, India
PAN.:	AAPFA8244F
Associates/Subsidiaries :	Surya Fresh Foods Limited U15134DL2004PLC129491 Surya Processed Food Private Limited U15139DL2006PTC151222 Surya Shopping Arcade Private Limited U45200DL2006PTC155803 Surya Agrotech Infrastructure Limited U01403DL2006PLC151452

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
30000000	Equity Shares	Rs.10/- each	Rs. 300.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
17984980	Equity Shares	Rs.10/- each	Rs. 179.850 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		179.850	179.850	179.850
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		728.538	682.922	638.760
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		908.388	862.772	818.610
LOAN FUNDS
1] Secured Loans		466.109	511.032	415.160
2] Unsecured Loans		0.000	0.000	0.144
TOTAL BORROWING		466.109	511.032	415.304
DEFERRED TAX LIABILITIES		0.000	0.000	67.919
TOTAL		1374.497	1373.804	1301.833
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		841.920	1006.491	985.505
Capital work-in-progress		0.329	8.061	2.315
INVESTMENT		431.764	155.359	134.300
DEFERREX TAX ASSETS		(63.558)	(66.496)	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	111.954	123.769	84.347
	Sundry Debtors	79.396	71.129	56.483
	Cash & Bank Balances	11.570	8.176	7.269
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	502.603	374.848	388.467
Total Current Assets		705.523	577.922	536.566
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	27.850	25.841	89.886
	Other Current Liabilities	466.111	241.431	229.234
	Provisions	47.520	40.261	37.733
Total Current Liabilities		541.481	307.533	356.853
Net Current Assets		164.042	270.389	179.713
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		1374.497	1373.804	1301.833

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	4736.811	4368.888	3809.514
		Other Income	2.005	1.192	3.214
		TOTAL (A)	4738.816	4370.080	3812.728
Less	EXPENSES
		Consumption Materials Changes Inventories	3459.900	3319.242
		Manufacturing Service Costs	397.777	427.138	3657.239
		Employee Related Expenses	45.394	45.808
		Administrative Selling Other Expenses	670.858	429.787
		TOTAL (B)	4573.929	4221.975	3657.239
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		164.887	148.105	155.489
Less	FINANCIAL EXPENSES (D)		3.323	6.104	30.510
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		161.564	142.001	124.979
Less/ Add	DEPRECIATION/ AMORTISATION (F)		86.662	79.854	72.499
	Prior period items before tax		(1.321)	0.000	(1.800)
	PROFIT BEFORE TAX (E-F) (G)		73.581	62.147	50.680
Less	TAX (I)		27.965	23.637	25.042
	PROFIT AFTER TAX (G-I) (J)		45.616	38.510	25.638
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		294.168	255.658	227.084
Add	Excess Provision of Gratuity W/B		0.000	0.000	2.936
	BALANCE CARRIED TO THE B/S		339.784	294.168	255.658
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	0.459	4.389	4.493
	TOTAL EARNINGS		0.459	4.389	4.493
	IMPORTS
		Raw Materials	0.000	0.000	0.572
		Plant and Machinery	4.910	4.958	0.000
		Furniture and Fixtures	0.000	0.000	1.250
	TOTAL IMPORTS		4.910	4.958	1.822
	Earnings Per Share (Rs.)		2.54	2.14	1.44

Particulars	31.03.2012
Sales Turnover (Approximately)	5000.000

Expected Sales (2012-2013) : Rs. 5200.000 Millions

The above information has been parted by Mr. Abhay.

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	0.96	0.88	0.67
Net Profit Margin (PBT/Sales)	(%)	1.55	1.42	1.33
Return on Total Assets (PBT/Total Assets}	(%)	5.02	4.09	3.33
Return on Investment (ROI) (PBT/Networth)		0.08	0.07	0.06
Debt Equity Ratio (Total Liability/Networth)		1.11	0.95	0.94
Current Ratio (Current Asset/Current Liability)		1.30	1.88	1.50

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
Promoter’s 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	Yes
Capital in the business	Yes
Details of sister concerns	Yes
Major Suppliers	No
Major Customers	No
Payments Terms	Yes
Export/ Imports Details (If applicable)	No
Market Information	------------
Litigations that the firm/ Promoters Involved in	------------
Banking details	Yes
Banking Facility Details	Yes
Conduct of the Banking Account	-------------
Buyer visit details	------------
Financials, if provided	Yes
Incorporation details is applicable	Yes
Last Accounts filed at ROC	Yes
Major Shareholders, if available	Yes

FINANCIAL RESULTS

During the year the Company has been able to achieve 8.42% growth in sale of its main product i.e. Biscuits despite challenging market conditions. The Directors are trying their best to increase the turnover of the Company in spite of challenging marketing condition and economic slowdown. The directors are hopeful to present you a brighter progress report of the Company in years to come.

FORM 8

Corporation identity number (CIN) or foreign company registrations number of the company	U15201UP1992PLC014919
Name of the company	SURYA FOODS AND AGRO LIMITED
Address	D-1, Sector-2, Gautam Budh Nagar, Noida - 201 301, Uttar Pradesh, India
This form is for	Modification of charge
Charge identification number of the modified	10219713
Type of Charges	Book debts Movable property (not being pledge) Other
Particular of the charge holder	Kotak Mahindra Bank Limited, 15-16, UGF Ambadeep Building, 14, K G Marg, Connaught Place, New Delhi - 110001, India E-mail ID : rohan.kapoor@kotak.com
Nature or description of the instrument creating or modifying the charge	Supplemental Deed of Hypothecation dated 16.02.2012
Date of the instrument creating charge	16.02.2012
Amount Secure by the charge	Rs. 200.000 Millions
Brief particulars of the principal terms and conditions and extent and operation of the charge	Rate of Interest As per sanction letter /such other rate as may be prescribed by the bank from time to time. Terms of repayment As per Sanction terms of the facilities sanctioned. Margin: The Company shall maintain such margin as may be specified by the bank from time to time. Extent and operation of the charge First Charge on Current Assets and Second Charge on Moveable Fixed Assets both Present and Future to secure the following credit facilities: 1 Cash Credit Rs 50.000 Millions 2 Working Capital Demand Loan (sub limit of Cash Credit) Rs 50.000 Millions 3 LC (sub limit of Cash Credit) Rs 50.000 Millions 4 BG Rs 150.000 Millions Overall facilities Rs. 200.000 Millions
Short particulars of the Property charged	First charge on the current assets both present and future of the Company. Second charge on moveable fixed assets (other than specifically charged to other lenders) both present and future of the Company.
Date of latest modification prior to the present modification	18.02.2011
Particulars of the present modification	First Charge on Current Assets and Second Charge on Moveable Fixed Assets both Present and Future to secure the following credit facilities: 1 Cash Credit Rs 50.000 Millions 2 Working Capital Demand Loan (sub limit of Cash Credit) Rs 50.000 Millions 3 LC (sub limit of Cash Credit) Rs 50.000 Millions 4 BG Rs 150.000 Millions Overall facilities Rs. 200.000 Millions

Fixed Assets

• Land
• Building
• Plant and Machinery
• Motor Vehicles
• Office Equipments
• Furniture and Fixture
• Electrical Equipments
• Computer
• Computer Software
• Dies and Tools
• Cycle
• Air Conditioner
• Fire Safety Equipments
• Motor Cycle
• Fire Safety Equipments
• Lab Equipments

CONTINGENT LIABILITIES:-

1. Particulars	(Rs. in Millions) 31.03.2011	(Rs. in Millions) 31.03.2010
Bills discounted, Letters of Credit and bank guarantees	97.110	4.335

2. Land Value Rs. 130.700 Millions acquired by the company from the New Okhla Industrial Authority (Noida) measuring 4026.21 sq mtr, at plot No. 92A/1, Block F, Sector-44 duly registered in the name of the Company. However company had applied for subdivision of the plot and out of that sub division and retained a plot measuring 905.90 vSq mtr from the New Okhla Industrial Authority vide allotment No Noida/Commercial/2010/997 dt 30/09/2010. Rests of the part has been surrendered by the Company to Noida Authority.

AS PER WEBSITE DETAILS

PROFILE

Subject was incorporated in November 1992 and commenced its commercial operations of manufacturing and selling of biscuits under brand “Priyagold” in October 1993. Over a period, they have established strong manufacturing capabilities and have invested substantially in developing consumer preference for their products. Their trademarks / brands “Haq Se Maango” and “Priyagold” have emerged as one of the most powerful brands in the FMCG sector.  They are committed to invest in brands, manufacturing capabilities, deliverables and distribution strength.

They have three plants located in Greater Noida, Lucknow and Surat.  They also outsource some of their requirements to another plant located in Hyderabad.   Their capacities have reached 1,50,000 MT p.a., which along with strong brand building and distribution capabilities have enabled us to command a sizable market share in the biscuit market despite competition from well-established players in the industry.

After establishing their foothold in biscuit industry, they continued to adopt strategy to identify and commercialize profitable growth opportunities by leveraging established brand and distribution network.  Following this strategy, they diversified into manufacturing of “fruit juices” through their wholly owned subsidiary “Surya Fresh Foods Limited.” in January 2006. The manufacturing facility is located at Greater Noida, U.P.  They have consciously invested in creating markets for fruit juices and have established brands such as “Fresh Gold” and “Treat”.

Both the brands are also well established and have penetrated into the fruit juice market aggressively by commanding considerable market share. They have also forayed into the aerated fruit drink segment with the launch of “Fresh Fizzy.”

They are also aggressively marketing their products in institutional category. Presently their products viz. biscuits and fruit juices are supplied to Airlines, Hotels, Railways, Canteens Stores Department (CSD) and organized retail outlets.

They are also diversifying into manufacturing of “chocolate and toffee and candy” through their wholly owned subsidiary “Surya Processed Food Private Limited.” at Haridwar, Uttarakhand, where various fiscal benefits are available.

Their strategy of strengthening the brands especially the umbrella brand “Priyagold” has resulted in creating immense brand recall value.  They are continuing with their effort of strengthening the brand with a scientific approach, which will result in growth of customer base, price premium, consumer loyalty which is expected to result in increased earning and ultimately enhancing enterprise value of their company.

Thus the company’s manifesto is to build on the present strength created over the years and diversify into products and geographic portfolio. They aim at achieving profitable growth by penetrating into the consumption market to enhance market share by constantly innovating on product profile, investing in infrastructure thereby accelerating the top line growth to enhance the market share.

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. 55.49
UK Pound	1	Rs. 85.57
Euro	1	Rs. 69.30

INFORMATION DETAILS

Information Gathered by :	PJA
Report Prepared by :	ACH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	7
PAID-UP CAPITAL	1~10	7
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	7
--PROFITABILIRY	1~10	7
--LIQUIDITY	1~10	7
--LEVERAGE	1~10	7
--RESERVES	1~10	7
--CREDIT LINES	1~10	7
--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		63

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.