MIRA INFORM REPORT

Report Date :

08.06.2012

IDENTIFICATION DETAILS

Name :	MTR FOODS PRIVATE LIMITED (w.e.f. 04.11.2008)
Formerly Known as:	MTR FOODS LIMITED
Registered Office :	No.4, 17^th Cross, K R Road, BSK II Stage, Bangalore – 560070, Karnataka
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	21.08.1996
Com. Reg. No.:	021007
Capital Investment / Paid-up Capital :	Rs.131.830 Millions
CIN No.: [Company Identification No.]	U15136KA1996PTC021007
Legal Form :	Private Limited Liability Company
Line of Business :	Company is engaged in Instant Food Mixes and Ready to Eat Items, Spices and Masala, Vermicell and Macaroni.
No. of Employees :	Not Divulged

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

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

Maximum Credit Limit :	USD 4269428
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be 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 DECLINED BY

Name :	Mr. Prithviraj
Designation :	Commercial Manager
Name :	Mr. Nagraj Kini
Designation :	Treasury Manager
Date :	07.06.2012

LOCATIONS

Registered Office :	No.4, 17^th Cross, K R Road, BSK II Stage, Bangalore – 560070, Karnataka, India
Tel. No.:	91-80-40811200
Fax No.:	91-80-26760227
E-Mail :	mtrpsm@ber.vsnl.net.in , ac.alse@mtrfoods.com , mtrfoods@vsnl.net
Website :	http://www.mtrfoods.com
Factory :	#80, Bomasunda Industrial Area, Hebbagodi, Anekal - 560099, Bangalore, India
Corporate Office:	#4, 17th Cross, KR Road, BSK 2nd stage, Bangalore – 560 070, Karnataka, India
Tel No.:	91-80-20812100

DIRECTORS

AS ON 21.09.2011

Name :	Mr. Atle Vidar Johansen
Designation :	Director
Address :	Solveien 120B, 1170, OSLO Norway
Date of Birth/Age :	01.03.1963
Date of Appointment :	03.04.2007

Other Directorship:

Top of Form

Bottom of Form

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	U15136KA1996PTC021007	MTR FOODS Private LIMITED	Director appointed in casual vacancy	03/04/2007	03/04/2007	-	Active	NO

Name :	Mr. Jordahl Paul
Designation :	Chairman
Address :	Anggardsplatsen 2, 413 19, Gothenburg, Sweden
Date of Birth/Age :	25.10.1961
Date of Appointment :	16.12.2008

Other Directorship:

Top of Form

Bottom of Form

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	U15136KA1996PTC021007	MTR FOODS Private LIMITED	Director	24/09/2009	16/12/2008	-	Active	NO

Name :	Mr. Sanjay Sharma
Designation :	Whole Time Director
Address :	Flat No.1, Indraprastha Enero No.9, Kingston Road, Richmond Town, Bangalore – 560025, Karnataka, India
Date of Birth/Age :	28.12.1966
Date of Appointment :	01.02.2009

Other Directorship:

Top of Form

Bottom of Form

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	U15136KA1996PTC021007	MTR FOODS Private LIMITED	Director	24/09/2009	01/02/2009	-	Active	NO
2	U15400KA2007PTC062356	Rasoi Magic Foods (India) Private Limited	Director	30/09/2011	28/03/2011	-	Active	NO

Name :	Mr. Hagstrom Goran Clas
Designation :	Director
Address :	Rostockinkatu 2B FI – 20250 Turku, Finland
Date of Birth/Age :	20.02.1949
Date of Appointment :	05.05.2009

Other Directorship:

Top of Form

Bottom of Form

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	U15136KA1996PTC021007	MTR FOODS Private LIMITED	Director	24/09/2009	05/05/2009	-	Active	NO

Name :	Mr. Stoltz Niklas Darre
Designation :	Director
Address :	Maridalsvein, 284, No.0872 OSLO, Norway
Date of Birth/Age :	04.10.1970
Date of Appointment :	05.05.2009

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	U15136KA1996PTC021007	MTR FOODS Private LIMITED	Director	24/09/2009	05/05/2009	-	Active	NO

Name :	Mr. Are Nakkim
Designation :	Director
Address :	Bergers Borgveien, 10, 1519, Moss, Norway
Date of Birth/Age :	13.02.1964
Date of Appointment :	07.09.2010

Other Directorship:

Top of Form

Bottom of Form

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	U15136KA1996PTC021007	MTR FOODS Private LIMITED	Director	21/09/2011	07/09/2010	-	Active	NO
2	U15400KA2007PTC062356	Rasoi Magic Foods (India) Private Limited	Director	30/09/2011	04/04/2011	-	Active	NO

Name :	Mr. Jorn Unneberg
Designation :	Director
Address :	Gimlevn, 35 A, 1358, Jar, Norway
Date of Birth/Age :	29.12.1958
Date of Appointment :	07.09.2010

Other Directorship:

Top of Form

Bottom of Form

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	U15136KA1996PTC021007	MTR FOODS Private LIMITED	Director	21/09/2011	07/09/2010	27/10/2011	Active	NO

KEY EXECUTIVES

Name :	Mr. A. Chandrashekhara Alse
Designation :	Secretary
Address :	239/N, II B Main, II Cross, Phase I, Girinagar, Bangalore – 560085, Karnataka, India
Date of Birth/Age :	03.12.1957
Date of Appointment :	01.12.2009

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 21.09.2011

Names of Shareholders	No. of Shares
Orkla Asia Pacific Pte Limited, Singapore	13182940
Borrgaard S.E.A. Pte Limited, Singapore	60
Total	13183000

AS ON 21.09.2011

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	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Company is engaged in Instant Food Mixes and Ready to Eat Items, Spices and Masala, Vermicell and Macaroni.

PRODUCTION STATUS AS ON 31.03.2011

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Instant Food Mixes and Ready to eat items	MT	16600	16600	11033
Hard Ice Creams	Lts	2000000	2000000	905957
Spices and Masalas Vermicelli and Macaroni	MT	8300	8300	6564
Beverages**	MT	15224	15224	10606
	Lts	10950000	--	1093528

* based on the acknowledgements obtained from S I A, Dept of Industrial Policy and Promotion, Ministry of Industries, Government of India, New Delhi.

** acknowledgement obtained in current year.

GENERAL INFORMATION

No. of Employees:

Not Divulged

Bankers :

The Karnataka Bank Limited, Minerva Circle Branch, Bangalore - 560004, Karnataka, India

Facilities :

UNSECURED LOAN	Rs. In Millions 31.03.2011	Rs. In Millions 31.03.2010
Working Capital Loans Banks Unsecured	340.000	428.000
TOTAL	340.000	428.000

Banking Relations :	--
Auditors :
Name :	S R Batliboi and Associates Chartered Accountant
Address :	12th and 13th Floor, Ub City, Canberra Block, No. 24, Vittal Mallya Road, Bangalore – 560001, Karnataka, India
Names of related parties where control exists irrespective of whether transactions have occurredor not Holding Company:	Orkla Asia Pacific Pte Ltd, Singapore
Ultimate Holding Company:	Orkla ASA, Oslo, Norway
Fellow Subsidiaries :	· Orkla Shared Services AS, Norway. · Orkla Brands AS, Norway
Enterprises owned or significantly influenced by key management personnel or their relatives:	· MTR Enterprises (Up to May 06,2010) · MTR Food Products (Up to May 06,2010)

CAPITAL STRUCTURE

AS ON 21.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
25000000	Equity Shares	Rs.10/- each	Rs.250.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
13183000	Equity Shares	Rs.10/- each	Rs.131.830 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		131.830	131.830	131.830
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		935.527	894.495	795.827
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		1067.357	1026.325	927.657
LOAN FUNDS
1] Secured Loans		0.000	0.000	0.000
2] Unsecured Loans		340.000	428.000	565.000
TOTAL BORROWING		340.000	428.000	565.000
DEFERRED TAX LIABILITIES		0.000	62.200	80.650
OTHER LIABILITIES		2.394	3.080	3.541
TOTAL		1409.751	1519.605	1576.848
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		1257.128	1326.067	1402.099
Capital work-in-progress		65.673	45.463	10.144
INVESTMENT		67.696	0.000	0.000
DEFERREX TAX ASSETS		3.100	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	309.435	251.957	193.512
	Sundry Debtors	63.882	73.327	80.138
	Cash & Bank Balances	31.877	102.856	42.551
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	116.143	137.140	131.466
Total Current Assets		521.337	565.280	447.667
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	279.659	159.601	110.540
	Other Current Liabilities	170.784	220.226	141.494
	Provisions	54.740	37.378	31.028
Total Current Liabilities		505.183	417.205	283.062
Net Current Assets		16.154	148.075	164.605
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		1409.751	1519.605	1576.848

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		TOTAL	2898.300	2421.900	2173.100
	EXPENSES
		TOTAL	NA	NA	NA
	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		383.700	342.500	225.900
	FINANCIAL EXPENSES		25.800	42.200	77.100
	PROVISIONS AND WRITE – OFFS		22.000	1.500	5.000
	DEPRECIATION		132.000	113.700	112.600
	IMPAIRMENT LOSSES		99.100	0.000	0.000
	AMORTISATION OF INTANGIBLES		41.100	34.900	34.800
	PROFIT BEFORE TAX		63.700	150.200	(3.600)
Less	TAX		22.700	51.500	(34.700)
	PROFIT AFTER TAX		41.000	98.700	31.100
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		219.000	120.300	89.200
	BALANCE CARRIED TO THE B/S		260.00	219.000	120.300
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	NA	187.436	191.198
	TOTAL EARNINGS		NA	187.436	191.198
	IMPORTS
		Raw Materials	NA	11.848	42.624
		Stores & Spares	NA	8.541	1.705
		Capital Goods	NA	7.288	78.734
	TOTAL IMPORTS		NA	27.677	123.063

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	1.41	4.08	1.43
Net Profit Margin (PBT/Sales)	(%)	NA	NA	NA
Return on Total Assets (PBT/Total Assets}	(%)	3.58	7.94	(0.19)
Return on Investment (ROI) (PBT/Networth)		0.06	0.15	0.00
Debt Equity Ratio (Total Liability/Networth)		0.79	0.82	0.91
Current Ratio (Current Asset/Current Liability)		1.03	1.35	1.58

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	Yes
17) Major suppliers	No
18) Major customers	No
19) Payments terms	No
20) Export / Import details (if applicable)	--
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

BUSINESS PERFORMANCE

In the backdrop of the world economy continuing to face challenges to stage a sustained recovery cycle, India's GDP growth rate during 2010-11 has recovered considerably to 8.6% overall. Although the GDP growth in Oct-Dec 2010 period had dipped to 8.2% compared to the earlier quarters at 8.9%, it seems to have partially recovered lost ground during January-March 2011at 8.5% . There has been a deceleration in industrial growth in the second half of the financial year, however robust growth in services at 9.6% and good growths in agriculture (5.4%) has boosted overall GDP growth. Even exports which had declined by almost 5% last fiscal has bounced back strongly to register a 28% growth during 2010-11.

Inflation continued to be in a range of 8-10% during the year, while food inflation which was at a high 20%during April-June 2010, eased considerably to around 10% towards the end of the financial year. The FMCG markets in India grew at around 12% during 2010-11, with a mix of volume and price growths.

In the context of the above macro-economic environment, the Net Sales of the Company grew by 19.7%over the previous year with domestic markets responding very well with a growth of 20.5% and exports growing at a modest 10%.

During the year, several marketing initiatives were implemented to accelerate both volume and revenue growth - the most important being the ambitious re-design project for Brand "MTR",' Based on intensive research studies conducted through brand architecture firms, leading market research consultancies and brand re-design firms, Brand "MTR" was re-launched nationally. In a short period of 6 months almost all 250 SKUs were migrated to the new designs which position each product to sharply focused product segments. This was followed by media bursts mainly in Breakfast and Sweet Mixes and Masalas with new advertisement campaigns running on national channels with product specific regional bursts as well. Both these initiatives were also supplemented by in-shop promotion material which worked in unison to accelerate revenue growth. Total spend on marketing almost doubled to Rs 208.100 Millions (7.2% of sales) compared to Rs 114.600 Millions (4.8% of sales) last year.

Overall, commodity prices continued to firm up during the year, although several buying synergies and initiatives undertaken during the year, reduced the impact to some extent. However to sustain profitability, the Company responded to this cost challenge with several rounds of price increases and pack size reconfigurations. Consequently, gross margins improved by a net 1%. Due to higher marketing spends during the year, EBIDTA for the year was Rs 383.700 Millions (13.3% of sales) compared to Rs 342.500 Millions (14.2% of sales) last year.

Interest cost at Rs 25.800 Millions came down by almost 40%, compared to Rs 42.200 Millions, due to repayment of loans throughout the year as well as lower interest rates.

During the year, based on the Impairment exercise conducted by the Company as per the Indian Accounting Standard guidelines, Asset impairment losses amounting to Rs 99.100 Millions was provided for two product lines for which profitability improvements are underway. The Company also decided to accelerate depreciation provisions for certain assets which had the effect of increasing depreciation provisions during the year by Rs 30.300 Millions. Taking into account the Asset impairment losses and the additional depreciation provision as above, Profit Before Taxes for the year was at Rs 63.700 Millions (Rs 193.100 Millions without these additional provisions),compared to Rs 150.200 Millions last year.

The Company is now subject to normal tax as carried forward losses and unabsorbed depreciation (in tax books) of earlier years have been fully set off. Consequently, Corporate tax provisions of Rs 88.000 Millions have been made during this year, compared to Rs 70.000 Millions last year, Deferred tax computation for the year recognises a full write-back of the opening balance of Deferred tax liability for the year at Rs 65.300 Millions (as carry over benefits of previous years' loss and depreciation in tax books are fully set-off), compared to Rs 18.500 Millions written back last year.

STRATEGIC INITIATIVES

As per the Strategic Review conducted for long term growth, opportunities to strengthen the product portfolio are continuously being scanned for exploitation either through growing organically or through acquisitions. One such opportunity which had been identified in January 2011was the Ready-to-Cook portfolio of Rasoi Magic Foods Private Limited, a Pune based company. Negotiations to acquire this company was put on fast track during February 2011 and was consummate dearly April 2011. Although the revenues for this company is relatively small at Rs.100.000 Millions, it is a preferred brand of Western Indian consumers and enjoys high market shares and brand recall. This brand will be leveraged to not only expand into new product segments and geographies, but will also contribute to broad basing the Company's brand portfolio giving it more flexibility.

In line with the Strategic Vision formulated for the future growth of the Company, the new state-of-the-art Spices and Masalas manufacturing facility was commissioned in February 2011. The new plant doubles capacity of spices and Masala products to 13000 TPA and can manufacture products of global specifications, as it is a segregated allergen facility and also integrates several initiatives in automation to sustain quality and adherence to product specifications.

The Company has also commissioned a new Steam Generation facility which uses Organic Briquettes as fuel source, thereby shifting from HSD as a fuel source. Once this new facility stabilises, further steps will be taken up to improve water recycling initiatives by steam condensate recovery etc enabling the company to contribute in its own small way to water conservation.

The Company has outsourced its Central Warehousing operations covering sales to all Karnataka based stockists in the first phase which will further be expanded in due course to cover all stock transfers as well. The Company has also finalised an Outsourcing arrangement for pickles during the year and has achieved full migration of all SKUs by April 2011. Similar arrangements have also been finalised for all Papad SKUs which has ensured release of some valuable floor space for expansion of other core categories such as Instant Mixes. The outsourcing arrangement commenced last year for vermicelli and pasta was discontinued in April 2011due to sale of the unit, by the owner. Other opportunities are being scanned to revive this arrangement with other interested parties.

FORM 8:

Corporate identity number of the company	U15136KA1996PTC021007
Name of the company	MTR FOODS Private LIMITED
Address of the registered office or of the principal place of business in India of the company	NO.4, 17th Cross, k R Road, BSK II Stage, Bangalore -560070, Karnataka, India
This form is for	Modification of charge
Type of charge	Book Debts Immovable Property Movable Property
Particular of charge holder	THE KARNATAKA BANK LIMITED
Nature of instrument creating charge	Hypothecation Agreement Pronote Letter of Authority
Date of instrument Creating the charge	10/12/2009
Amount secured by the charge	Rs.95.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest Interest @ 13.75% p.a. (OD-Rs.40.000 Millions / Preshipment Credit-Rs.30.000 Millions / BG-Rs.25.000 Millions) Terms of Repayment Repayable on Demand Margin Margin 25% on Stocks/Book Debts for OD and Preshipment Credit For BG 10% Cash Margin Extent and Operation of the charge 100% Till the Closure of the Loan
Short particulars of the property charged	Hypothecation of all the present and future Plant and Machineries, Furnitures, fixtures Movables etc., Raw Materials, Semi and Finished Goods and other Stocks are stored at No.80,81,80A 86 and and 88 at Bommasandra Indl. area, Anekal Tq, Bangalore and also at No.4, 17th Cross, K R Road, Bangalore-70 and Book debts and Equitable Mortgage of Industrial Plot No.80,80A,81,86 and 88 Bommasandra Industrial Area, Bangalore belonging to the company.
Particulars of the present modification	OD Limit Reduced from Rs.50.000 Millions to Rs.40.000 Millions. Total Limit Reduced from Rs.145.000 Millions to Rs.95.000 Millions.(OD-Rs.40.000 Millions / Preshipment Credit-Rs.30.000 Millions / BG-Rs.25.000 Millions).Equitable Mortgage of Industrial Plot No.80, 80A, 81, 86 and 88 Bommasandra Industrial Area, Bangalore given. All other Terms, Conditions and Securities Continues for the Reduced Limit of Rs.95.000 Millions.

PRESS RELEASE:

Publication : Deccan Herald

Date : Thursday, October 13, 2011

Edition : Bangalore

MTR Foods' new range of snacks

MTR foods has launched 10 new range of South In dian snacks like chakli, butter chakli, spinach chakli, nip-patu, kodubale, kharabondi, cornflakes mixture, avalakki mixture and ompudi.

The product format of chaklis, nipattu and kodubale are prone to breakage, hence are packed in tray packs. Cornflakes mixture, avalakki mixture, kharaboondi, ompu-di and thick sev are packed in special stay fresh pouches available both in big pack sizes as well as single use packs of Rs.0.010 Million.

MTR FOODS STORMS INTO SNACKS MARKET WITH A RANGE OF CHAKLIS, NIPPATTU, SEV

Wednesday, October 12, 2011

Nandlta VI jay, Bangalore

MTR Foods, a leading name in processed food, has now stormed into the snacks market with a range of 10 varieties of anytime eats.

The range covers chakli, spinach chakli, nippattu, kodubale, kharaboondi, cornflakes mixture, avalakki mature, thick sev and ompudi. The company has invested around Rs 30.000 Millions to build a new plant to produce the range at its existing manufacturing unit location at Bommasandara Industrial Area, Bangalore. A. range of imported machinery from Germany allows the snacks to have a shelf life of six months.

"Snacks Is an Important category In India. However, the south Indian snacks market has not been explored to Its fullest potential. Hence we decided to foray into this domain," said Sanjay Sharrna, CBD and MD, MTR Foods Pvt. Ltd, at a press conclave here.

The company completed a comprehensive survey to comprehend the snacking needs, the consumer perceptions also revealed that they insisted on a reliable quality brand. This is because they are unsure of the unbranded options due to hygiene standards, quality of oil and other Ingredients.

"Hence, we took on the onus to develop and introduce a range of authentic south Indian snacks which will be made from high quality Ingredients following traditional recipes which replicate similar products made at home," he added.

The company has also ensured that the range is packed keeping in mind the Innovation and aesthetic appeal. For Instance, product formats like chakli, butler chakli, spinach chakli, nippattu and kodubale are prone to breakage and are made available in tray packs. Attractive graphics make the pack stand apart on the shelves of food retail and grocery outlets to allure consumers.

Special slay fresh pouches which are nitrogen-flushed help retain freshness and crispness are used for cornflakes mixture, avalakki mixture, kharaboondi, ompudi and thick sev which are available In big packs and single-use small packs at Rs0.010 Million.

Delving Into the future efforts of the company, Sharrna staled thai as part of its Inorganic growth efforts, II Is toying with plans to enter the jams and ketchups space via promising acquisitions. In April 2011, II acquired the Pune-based Rasoi Mixes for its technology and the brand for its meal range.

The Indian snacks market Including wafers, bridge and extruded products is valued at Rs 62400.000 Millions and registering 40 per cent growth, of which the traditional snacks market Is estimated at Rs 25000.000 Millions with 36 per cent growth with few organised players. MTR fits into the traditional snacks market, which Is currently dominated by Haldirarn's holding a 70 per cent Markel share. The southern market for traditional snacks Is growing al 25 per cent annually and In Karnataka, the segment Is clocking 30 per cent growth, slated Vlkram Sabherwal, vice-president, marketing, MTR Foods.

Another new entrant from Karnalaka into the snacks market Is Maya's Beverages and Foods Private Limited engaged in the production of traditional savories and sweets lo offer 50 products and 65 stock-keeping units. "Current/ snacking is not limited to just tea time but is customary accompaniment during meals and an indispensable option during festivities. This opens the opportunity for the existing players in the space to grow. We are also looking lo reverse the consumers from the unorganized snacking space to the high quality and fresh snack segment where MTR could offer a platter " concludes Sahherwai

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.55.14
UK Pound	1	Rs.85.22
Euro	1	Rs.69.24

INFORMATION DETAILS

Information Gathered by :	SVA
Report Prepared by :	SDA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--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		47

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.