MIRA INFORM REPORT

Report Date :

25.06.2012

IDENTIFICATION DETAILS

Name :	INDROX GLOBAL PRIVATE LIMITED
Registered Office :	79, Qutab View Apartments, J.S Marg, New Delhi - 110016
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	03.01.2000
Com. Reg. No.:	55-103056
Capital Investment / Paid-up Capital :	Rs. 72.500 Millions
CIN No.: [Company Identification No.]	U32109DL2000PTC103056
TAN No.: [Tax Deduction & Collection Account No.]	DELI03196E
PAN No.: [Permanent Account No.]	AAACI6760L
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Iron Oxide
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (30)

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

Maximum Credit Limit :	USD 340000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. Their appear some dip in the turnover and profitability of the company. However, trade relations are reported to be fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealing with some cautious.

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 DENIED BY

Name :	Mr. Bhaskar
Designation :	Deputy General Manager
Date :	22.06.2012

LOCATIONS

Registered Office :	79, Qutab View Apartments, J.S Marg, New Delhi - 110016, India
Tel. No.:	91-11-29237845 / 29237846
Fax No.:	91-11-29237849
E-Mail :	wadhawan@indraxglobal.com bhatin@bhatin.com
Website :	www.indroxglobal.com
Present Office Address:	A-19, Ground Floor, Kailash Colony, New Delhi – 110048, India
Tel. No.:	91-11- 29237845 / 29237846
Fax No.:	91-11-29237849
Factory :	B-11, MIDC Tarapur Industrial Area, near t.M.R.C.T. Hospital, Boisar (West), District Thane – 401506, Maharashtra, India
Tel. No.:	91-2525-260614 / 271612
Fax No.:	91-2525-261627
E-Mail :	Indrox_tarapur@hotmail.com
Overseas Office :	INTERNATIONAL STEEL SERVICES INC. Foster Plaza No 7, 661 Anderson Drive, Pittsburgh, Pennsylvania-15220, U.S.A.
Tel. No.:	91-412-922-9100
Fax No.:	91-412-922-9765

DIRECTORS

As on 30.09.2011

Name :	Mr. Subhash Chander Wadhawan
Designation :	Director
Address :	79, Qutab View Apartments, J.S Marg, New Delhi - 110016, India
Date of Birth/Age :	01.04.1940
Date of Appointment :	03.01.2000
DIN No.:	00718984
Name :	Mr. Satish Chander Wadhawan
Designation :	Director
Address :	142, Philips Place Pittsburgh – 015214, USA
Date of Birth/Age :	06.05.1943
Date of Appointment :	03.01.2000
DIN No.:	01481414

KEY EXECUTIVES

Name :	Mr. Bhaskar
Designation :	Deputy General Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2011

Names of Shareholders	No. of Shares
International Steel Services ING, USA	6198173
Satish Chander Wadhawan	1051727
Subhash Chander Wadhawan	100
Total	7250000

As on 30.09.2011

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	85.00
Directors or relatives of Directors	15.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Iron Oxide

Products :

Description of product or services	ITC Code
Iron Oxide	282590

PRODUCTION STATUS

Particulars	Unit	31.03.2011
Installed Capacity	Ltrs	28 Millions
Actual Production	Ltrs	19.76 Millions

GENERAL INFORMATION

Customers :

· Magnitogorsk Russia

· Jindal of India Limited Calcutta, India

· Inco of Australia New Caledonia, Australia

· Techint Technologies Milan, Italy

· Aceria Comp  De Biskaya Bilbao,  Spain

· Eregli Iron and Steel Works Erdemir, Turkey

· Indrox Global Private Limited

· Dongbu Steel Inchon, South Korea

· Sahaviriya Steel Industries Public Company Limited, Thailand 

· D C W, Limited, India

· Siam Integrated Cold Rolled Steel Public CompanyLimited, Thailand

· Jenn An Steel Kaohsiung, Taiwan

· National Mineral Development Corporation Limited, India

· National Steel Owned And Operated By Amrox

· Dongbu Steel Company Limited, Seoul Korea

· Steel Corporation of The Philippines, Philippines

No. of Employees :

Not Available

Bankers :

Kotak Mahindra Bank Limited, 36-38A, Nariman Bhavan, 227, D, Nariman Point, Mumbai – 400021, Maharashtra, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2011	As on 31.03.2010
Rupee term loans banks secured	10.984	36.697
Rupee term loans others secured	0.280	1.882
Working capital loans banks secured	9.657	0.000
Total	20.921	38.579
Unsecured Loan	As on 31.03.2011	As on 31.03.2010
Rupee term loans others unsecured	10.000	10.000
Total	10.000	10.000

Banking Relations :	--
Auditors :
Name :	Vishwanath Bhat and Shastry Chartered Accountants
Address :	D-3, Kakateeya Apartments, 86, IP Extension Delhi -110092, India
PAN.:	ABBPS1622C

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
7250000	Equity Shares	Rs.10/- each	Rs.72.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
7250000	Equity Shares	Rs.10/- each	Rs.72.500 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		72.500	72.500	72.500
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		14.099	9.485	0.000
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		86.599	81.985	72.500
LOAN FUNDS
1] Secured Loans		20.921	38.579	64.092
2] Unsecured Loans		10.000	10.000	10.000
TOTAL BORROWING		30.921	48.579	74.092
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		117.520	130.564	146.592
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		48.187	57.698	66.639
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		1.000	1.000	1.000
DEFERREX TAX ASSETS		7.439	7.738	7.050
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	2.373	4.093	3.555
	Sundry Debtors	21.844	20.373	44.490
	Cash & Bank Balances	33.744	38.842	3.155
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	11.951	17.035	20.418
Total Current Assets		69.912	80.343	71.618
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	3.708	2.405	8.124
	Other Current Liabilities	3.177	1.313	2.619
	Provisions	2.133	12.679	2.100
Total Current Liabilities		9.018	16.215	12.843
Net Current Assets		60.894	64.128	58.775
MISCELLANEOUS EXPENSES		0.000	0.000	13.128
TOTAL		117.520	130.564	146.592

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	159.671	212.418	181.596
		Other Income		0.976	0.459
		TOTAL (A)	159.671	213.394	182.055
Less	EXPENSES
		Increase / (Decrease) In Stock		(0.504)	(0.600)
		Manufacturing Expenses		122.804	111.206
		Manpower Expenses		16.392	10.645
		Administrative Expenses		8.287	6.236
		Selling Expenses		11.944	8.807
		Preliminary Exp W/o		0.000	0.009
		TOTAL (B)	152.859	158.923	136.303
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		Including Financial and Depreciation Expenses	54.471	45.752
Less	FINANCIAL EXPENSES (D)			6.807	11.600
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)			47.664	34.152
Less/ Add	DEPRECIATION/ AMORTISATION (F)			13.225	17.366
	PROFIT BEFORE TAX (E-F) (G)		6.812	34.439	16.786
Less	TAX (H)		2.197	12.515	2.251
	PROFIT AFTER TAX (G-H) (I)		4.615	21.924	14.535
	Provision for Defferred Tax Liability/Asset		NA	0.668	1.801
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		NA	(13.129)	(29.465)
	BALANCE CARRIED TO THE B/S		NA	9.483	(13.129)
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	10.697	16.732	15.102
	TOTAL EARNINGS		10.697	16.732	15.102
	Earnings Per Share (Rs.)		0.64	NA	NA

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	2.89	0.10	7.98
Net Profit Margin (PBT/Sales)	(%)	NA	16.21	9.24
Return on Total Assets (PBT/Total Assets}	(%)	5.77	24.95	12.14
Return on Investment (ROI) (PBT/Networth)		0.08	0.42	0.23
Debt Equity Ratio (Total Liability/Networth)		0.46	0.79	1.20
Current Ratio (Current Asset/Current Liability)		7.75	4.95	5.58

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	Yes
10) Designation of contact person	Yes
11) Turnover of firm for last three years	Yes
12) Profitability for last three years	Yes
13) Reasons for variation <> 20%	--
14) Estimation for coming financial year	No
15) Capital in the business	Yes
16) Details of sister concerns	No
17) Major suppliers	No
18) Major customers	Yes
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

Bankers Charges Report as per Registry

Corporate identity number of the company	U32109DL2000PTC103056
Name of the company	INDROX GLOBAL PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	79 Qutab View Apartments, J.S Marg, New Delhi -110016, India bhatin@bhatin.com
This form is for	Creation of charge
Type of charge	Movable property (not being pledge)
Particular of charge holder	Kotak Mahindra Bank Limited, 36-38a, Nariman Bhavan, 227, D, Nariman Point, Mumbai – 400021, Maharashtra, India john.fernandes@kotak.com
Nature of instrument creating charge	Deed of Hypothecation.
Date of instrument Creating the charge	09/01/2010
Amount secured by the charge	Rs.2.127 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest 16.23% p.a. Terms of Repayment Equated Monthly Installment of Rs.0.140 Million Tenure of 17 months. Extent and Operation of the charge First and exclusive charge by way of Hypothecation in favour of Kotak Mahindra Bank on the assets financed.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Kirloskar 62.5 KVA Model HA694TC.

Fixed Assets

· Factory Land

· Building

· Plant and Machinery

· Office Equipments

· Computer and Peripherals

· Car

· Mobile

· Furniture and Fixtures

· Cycle

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.56.99
UK Pound	1	Rs.88.97
Euro	1	Rs.71.57

INFORMATION DETAILS

Information Gathered by :	SVA
Report Prepared by :	NTH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		30

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.