MIRA INFORM REPORT

Report Date :

14.06.2012

IDENTIFICATION DETAILS

Name :	K K NAG LIMITED
Registered Office :	15 Sangam Project, Phase II, Sangam Bridge, 46 Dr. Ambedkar Road, Pune-411001, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	13.07.1965
Com. Reg. No.:	11-013267
Capital Investment / Paid-up Capital :	Rs.8.470 Millions
CIN No.: [Company Identification No.]	U25209MH1965PLC013267
TAN No.: [Tax Deduction & Collection Account No.]	PNEK00493D
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer, Exporter and Importer of Packaging Materials, Plastic Goods and Chemical Equipments.
No. of Employees :	300 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (46)

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

Maximum Credit Limit :	USD 290000
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

LOCATIONS

Registered Office / Corporate Office / Pune Sales Office:	15 Sangam Project, Phase II, Sangam Bridge, 46 Dr Ambedkar Road, Pune-411001, Maharashtra, India
Tel. No.:	91-20-30269650
Fax No.:	91-20-30269651
E-Mail :	cof@kknag.com pso@kknag.com
Website :	http://www.kknag.com
Pune Manufacturing - Talegaon:	Gat No. 393, At Post Urse, Taluka Maval, Pune-410506, Maharashtra, India
Tel. No.:	91-2114-237081/ 82/ 83
Fax No.:	91-2114-237084
E-Mail :	mur@kknag.com
Pune Manufacturing - Ranjangaon:	Plot No. E - 86, Ranjangaon Industrial Area, Village Karegaon , Taluka Shirur, District Pune-412208, Maharashtra, India
Tel. No.:	91-2138-288276
Fax No.:	91-2138-237084
E-Mail :	mrn@kknag.com
Bengaluru Sales Office / Bengaluru Manufacturing:	Survey No. 182/1, Anekal To Attibelel Road, Bidragere Grama, Kasaba Hobli, Bestamanahalli Post, Anekal, Bangalore-562106, Karnataka, India
Tel. No.:	91-80-27841638
Fax No.:	91-80-27841639
Puducherry Sales Office and Manufacturing :	84/1, Molapakkam Road, Kariamanichkkam, Netapakkam Commune, Pondicherry – 605106, India
Tel. No.:	91-413-2699970/ 2699971
Fax No.:	91-413-2699785
E-Mail :	mkm@kknag.com
Chennai Sales Office / Chennai Manufacturing - Thiruvallur :	Survey No. 490/2A and 2B, Vengathur Village, Kilnallathur-Vengathur Thandupattai Road, Thiruvallur-602002, India
Tel. No.:	91-44-27640554
Fax No.:	91-44-27640554
E-Mail :	mtv@kknag.com cso@kknag.com
Engineering Support Division/ Rotomoulding Division :	Shembekar Industrial Compound, Chinchwad, Pune-411019, Maharashtra, India
Tel. No.:	91-20-65104554/ 27461440
Fax No.:	91-2114-237084
E-Mail :	esd@kknag.com rmd@kknag.com

DIRECTORS

As on 24.12.2011

Name :

Mr. Milon K. Nag

Designation :

Chairman and Managing Director

Address :

“Barodi”, 3, Boat Club Road, Pune-411001, Maharashtra, India

Date of Birth/Age :

06.07.1962

Date of Appointment :

01.11.1986

DIN No.:

00267622

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	U25209MH1965PLC013267	K K NAG LIMITED	Managing director	1/11/1986	1/11/1986	-	Active	NO
2	U99999MH1991PTC063433	MAGNAPLAST TECHNOLOGIES (INDIA) PRIVATE LIMITED	Director	16/11/1999	16/11/1999	-	Dormant	NO
3	U72200PN1991PTC014364	MAGNAPLAST TECHNOLOGEIS (INDIA) PRIVATE LIMITED	Director	16/11/1999	16/11/1999	9/1/2009	Active	NO

Name :

Mr. Ulhas D. Damle

Designation :

Director

Address :

A -501, Eves Garden, Opposite Baner Telephone Exchange, Baner Road, Pune – 411 045, Maharashtra, India

Date of Birth/Age :

08.04.1954

Date of Appointment :

01.07.2001

DIN No.:

00267735

Name :

Mr. Promeet K. Nag

Designation :

Director

Address :

Segeberger Chaussee, 249 B, 22851, Norderstedt, Germany

Date of Birth/Age :

17.03.1965

Date of Appointment :

28.03.1989

DIN No.:

00335636

Name :

Mr. Ramanathan V. Ayyapankar

Designation :

Director

Address :

A-3/22, Agrasen Co-Operative Housing Society, 8, Koregaon Road, Pune – 411 001, Maharashtra, India

Date of Birth/Age :

15.03.1939

Date of Appointment :

02.10.1978

DIN No.:

01489659

Other Directorship

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U25209MH1965PLC013267	K K NAG LIMITED	Director	2/10/1978	2/10/1978	Active	NO
2	U32102MH1962PTC012271	MADHAV CAPACITORS PRIVATE LIMITED	Director	14/04/1994	14/04/1994	Active	NO
3	U74140MH1995PTC089011	ARCHER MANAGEMENT SERVICES PRIVATE LIMITED	Director	8/6/1997	8/6/1997	Active	YES

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 24.12.2011

Names of Shareholders	No. of Shares
Nag K Milon Jointly with Nag Milon Mitali	26925
Nag K Milon Jointly with Nag Milon Shona	26925
Nag K Milon Jointly with Nag Milon Crishna	26925
Nag Milon Mitali Jointly with Nag K Milon	1
Sabnberwal Joya Jointly with Nag K Milon	8
Damle D Ulhas	3920
Total	84704

As on 24.12.2011

Equity Share Breakup	Percentage of Holding
Category
Directors or relatives of directors	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer, Exporter and Importer of Packaging Materials, Plastic Goods and Chemical Equipments.

Products :

· Expanded Polystyrene Products

· Chemical Equipments

ITC CODE	PRODUCT DESCRIPTION
39239090	Expanded Polystyrene Products

PRODUCTION STATUS (As on 31.03.2011)

Particulars	Unit	Licensed Capacity (See Notes 2 and 3 Below) (Quantity)	Actual Production (See Note 1 Below)
Shape Mouldings	Nos.	--	66,168,74
Rotational Moulding	Nos.	--	38,888
Trading Air Coolers (See Note 4 Below)	Nos.	--	3,140
Moulds	Nos.	--	74

NOTE:

1. The quantitative information has been given in numbers and sets in respect of those dealt with in numbers and sets.

2. The Company has been exempted from the Industries (Development and Regulation) Act, 1951 being Small Scale Ancillary industrial Unit and as such the Central Government has not prescribed Licensed capacity for the products.

3. The installed capacity depends on product mix and in view of the varied nature of the products, it is not possible to give an indication.

4. Information given under the column “Production” represents “Purchases”

GENERAL INFORMATION

No. of Employees :

300 (Approximately)

Bankers :

State Bank of India, Industrial Finance Branch, Pimpri Mumbai Highway, Near Kalasagar Hotel, Kasarwadi, Pimpri, Pune - 411034, Maharashtra, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2011	As on 31.03.2010
From Banks: Cash Credit (Secured by hypothecation of Inventories and book debts and collaterally secured by hypothecation of Specific Plant and Machinery and Equitable Mortgage of immovable properties and personal guarantee of one directors) Cash Credit Limited Rs.65.000 Millions ( 2009-10 RS. 65.000 Millions )	66.892	47.552
Term Loan (Secured by hypothecation of unencumbered Plant and Machinery and Land and Buildings) (Amount repayable within 1 year Rs.11.236 Millions (2009-10 Rs.16.290 Millions)	20.866	22.581
Hire Purchase Loans (Secured against exclusive charge on the vehicles acquired on Hire-purchase) (Amount repayable within 1 year Rs.0.217 (2009-10 Rs.Nil)	1.022	0.000
Total	88.780	70.133
Unsecured Loan
a) From Directors (Including Rs.Nil repayable within one year (2009-10 Rs.6.488 Millions) and Interest accrued and Due Rs. Nil (2009-10 Rs. Nil)	8.100	6.488
b) From Others (Including Rs.0.585 Million Repayable within one year (2009-10 Rs.1.374 Millions) and Interest Accrued and Due Rs. Nil (2009-10 Rs. Nil)	1.841	1.809
ii) Sales Tax Deferral Loan (Including Rs.3.584 Millions Repayable within one year (2009-10 Rs.3.584 Millions)	11.123	14.707
iii) Tata Capital Factoring A/C	7.495	13.925
Total	28.559	36.929

Banking Relations :	--
Auditors :
Name :	Deloitte Haskins and Sells Chartered Accountants
Address :	706, B Wing, 7^th Floor, ICC Trade Towers, Senapati Bapat Road, Pune – 411 016, Maharashtra, India
Tel. No.:	91-20-66244600
Fax No.:	91-20-66244605
PAN.:	AAAFS7376P

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
100000	Equity Shares	Rs.100/- each	Rs.10.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
84704	Equity Shares	Rs.100/- each	Rs.8.470 Millions

NOTE: Includes 70,000 (2009-10 70,000) Equity shares of Rs.100/-each allotted as fully paid up bonus shares by capitalization of General Reserve.

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		8.470	8.470	8.470
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		64.499	50.899	41.914
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		72.969	59.369	50.384
LOAN FUNDS
1] Secured Loans		88.780	70.133	97.159
2] Unsecured Loans		28.559	36.929	37.203
TOTAL BORROWING		117.339	107.062	134.362
DEFERRED TAX LIABILITIES		10.786	9.831	9.222
TOTAL		201.094	176.262	193.968
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		151.137	131.299	130.143
Capital work-in-progress		13.241	15.161	4.717
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	72.819	53.239	56.090
	Sundry Debtors	126.573	132.053	113.914
	Cash & Bank Balances	8.720	7.671	3.778
	Other Current Assets	0.586	0.273	0.203
	Loans & Advances	38.242	30.193	33.747
Total Current Assets		246.940	223.429	207.732
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	196.689	169.503	123.429
	Other Current Liabilities	9.019	11.978	7.928
	Provisions	4.516	12.140	17.267
Total Current Liabilities		210.224	193.627	148.624
Net Current Assets		36.716	29.802	59.108
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		201.094	176.262	193.968

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	772.272	668.606	557.609
		Other Income	14.270	10.523	10.867
		TOTAL (A)	786.542	679.129	568.476
Less	EXPENSES
		Consumption of Raw Materials	366.369	306.482	264.456
		Finished Goods for Re-sales	24.616	20.099	23.573
		Increase/ Decrease in Stock of Finished Goods and Work in process	(12.384)	5.748	(1.133)
		Other Cost	339.546	292.194	235.325
		TOTAL (B)	718.147	624.523	522.221
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		68.395	54.606	46.255
Less	FINANCIAL EXPENSES (D)		22.385	18.806	17.575
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		46.010	35.800	28.680
Less/ Add	DEPRECIATION/ AMORTISATION (F)		22.628	19.654	18.102
	PROFIT BEFORE TAX (E-F) (G)		23.382	16.146	10.578
Less	TAX (H)		7.800	5.179	3.646
	PROFIT AFTER TAX (G-H) (I)		15.582	10.967	6.932
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		32.258	24.773	19.832
Less	APPROPRIATIONS
		Transfer to General Reserve	1.560	1.500	1.000
		Dividend	1.694	1.694	0.847
		Tax on Dividend	0.288	0.288	0.144
	BALANCE CARRIED TO THE B/S		44.298	32.258	24.773
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	28.562	30.659	22.894
	TOTAL EARNINGS		28.562	30.659	22.894
	IMPORTS
		Raw Materials	33.329	30.765	36.456
		Stores & Spares	4.552	2.220	0.964
		Capital Goods	5.113	5.900	8.400
		Others	27.067	9.421	21.016
	TOTAL IMPORTS		70.061	48.306	66.836
	Earnings Per Share (Rs.)		183.96	129.47	81.84

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	1.98	1.61	1.22
Net Profit Margin (PBT/Sales)	(%)	3.03	2.41	1.90
Return on Total Assets (PBT/Total Assets}	(%)	5.87	4.55	5.59
Return on Investment (ROI) (PBT/Networth)		0.32	0.27	0.21
Debt Equity Ratio (Total Liability/Networth)		4.49	5.06	5.62
Current Ratio (Current Asset/Current Liability)		1.17	1.15	1.40

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	Yes
9) Name of person contacted	No
10) Designation of contact person	No
11) Turnover of firm for last two years	Yes
12) Profitability for last three years	Yes
13) Reasons for variation <> 20%	--
14) Estimation for coming financial year	No
15) Capital in the business	Yes
16) Details of sister concerns	No
17) Major suppliers	No
18) Major customers	No
19) Payments terms	No
20) Export / Import details (if applicable)	No
21) Market information	--
22) Litigations that the firm / promoter	--
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

NOTE:

The registered office of the company has been shifted from Gat No. 393, At Post Urse, Taluka Maval, Pune – 410 506, Maharashtra, India to present address w.e.f. 28.05.2011

CORPORATE RESULTS

On account of the increase in sales and other income by 16% and the profit before tax by 45%, the company net profit on increased sales of 11% over the pervious year .

OPERATIONS

On account of the increase in Sales and Other Income by 16% and the Profit Before Tax by 45%, the Company's net profit margin improved by 59 basis points to 2.97% compared to 2.38% of last year.

MANUFACTURING DIVISION: URSE

With concerted efforts to pass on cost increases to customers, this Division was able to register a marginal profit on increased sales of 11 % over the previous year.

MANUFACTURING DIVISION: RANJANGAON

This Division continued its good performance registering a top line growth of 5%. However, on account of cost pressures, the profitability of this Division declined marginally during the year.

MANUFACTURING DIVISION: BANGALORE

Sales increased by 13% which resulted in a substantial reduction in its loss compared to the previous year, in spite of the fire on 12 March, 2010, which affected the operational performance during the first half of the year.

MANUFACTURING DIVISION: KARIAMANICKKAM

The Sales of this Division declined by 7% and therefore the profitability of the Division could not be sustained partly also on account of higher costs.

MANUFACTURING DIVISION: THIRUVALLUR

As mentioned in there report last year, the Company commenced operation at its new plant in Chennai in June, 2010. However, on account of the start-up problems, it ended its first year of operations in a loss.

ROTOMOULDING DIVISION

Though the turnover of this Division went up marginally by 5%, its profitability was adversely affected by inflationary pressures on input costs and expenses.

ENGINEERING SUPPORT DIVISION

This Division continued Its relentless efforts to provide design and development inputs to there customers resulting in a win-win situation and was the support back-bone in providing quality tools to all the manufacturing Divisions.

BREEZAIR BUSINESS GROUP

In spite of the performance of this Division being below expectations, was able to maintain its profitability compared to the previous year.

MODERNISATION, IMPROVEMENT AND SOCIAL ACTIVITY

The Company continued to strengthen its focus on Total Quality Management and Continuous Improvement by conducting Gemba Kaizen Workshops with the help of a reputed consultant

During the year , the Company decided to undergo an independent credit rating by CRISIL and was given a rating of 88-/ Stable.

As part of its Corporate Social Responsibility, the Company has adopted the Padmavati Vidya Mandir Secondary School in village Urse, providing both financial and infrastructure support to its students in the field of Science.

The Company is also involved with the Confederation of Indian Industry in its efforts to establish and promote a Code of Conduct for Affirmative Action.

CURRENT YEAR

Though the current year's operation started on a sound footing, in view of the slowdown in the global economy and more specifically in India from the second quarter of the current financial year, it is likely that the operations and profitability of the current year could be adversely affected.

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U25209MH1965PLC013267
Name of the company	K.K NAG LIMITED
Address of the registered office or of the principal place of business in India of the company	Gat No. 393, At And Post Urse, Taluka Maval, Pune – 410 506, Maharashtra, India cof@kknag.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10018036
Type of charge	Immovable Property
Particular of charge holder	State Bank of India, Industrial Finance Branch, Pimpri Mumbai Highway, Near Kalasagar Hotel, Kasarwadi, Pimpri, Pune - 411034, Maharashtra, India sbi.04523@sbi.co.in
Nature of instrument creating charge	Memorandum for recording extension of mortgage by deposit of title deeds covering enhanced limits and / or create of Equitable Mortgage on Additional properties for Existing Limited and Enhanced Limited and additional security
Date of instrument Creating the charge	25.05.2011
Amount secured by the charge	Rs.165.300 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest As per Agreement with the Bank Terms of Repayment As per Agreement with the Bank Margin As per Agreement with the Bank Extent and Operation of the charge Exclusive Charge of State Bank of India. The charge on hypothecated and mortgaged assets continues till full repayment of Loan. Hypothecation Charge amounts to Rs.180.900 Millions However Mortgage Charge is Rs.165.300 Millions Others Other Terms and Conditions as per Agreement with the Bank
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Hypothecation of present and future current assets, stocks, book debts and assets. Mortgage of Immovable property of the Company – 1) All that piece and parcel of property bearing Gat No.393/11 old S.No.87/89) adm.84R, Plot Kharaba,29R totally adm.113R being and lying at Village Urse, Taluka and Sub-Registration Dist. Pune and within the limits of Grampanchayat Urse, Taluka Panchayat Samiti Maval Zilla Parishad Pune. 2) All that piece and parcel of property bearing Plot No.86, adm.10850 Sq.Mtrs.in Ranjangaon Indl. Area, being and lying at Village Karegaon, Taluka and Sub-Registration Dist. Shirur, District Registration District Pune and within the limits of Zilla Parishad Pune Taluka Panchayat Samiti Shirur Grampanchayat of Village Karegaon.
Particulars of the present modification	Charge on immovable properties of Co. i.e. All that piece and parcel of property bearing Gat No.393/11(old S.No.87/89)adm.84R, Plot Kharaba, 29R totally adm.113R being and lying at Village Urse and property bearing Plot No.86, adm.10850 Sq.Mtrs.in Ranjangaon Indl. Area, being and lying at Village Karegaon, Taluka and Sub-Registration Dist. Shirur was extended to secure the facilities availed by the Company.

FIXED ASSETS:

v Freehold Land

v Leasehold Land

v Factory Building

v Plant and Machinery

v Moulds

v Furniture and Fixtures

v Office Equipments

v Software

v 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.55.85
UK Pound	1	Rs.86.88
Euro	1	Rs.69.87

INFORMATION DETAILS

Report Prepared by :

TPT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
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	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		46

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.