MIRA INFORM REPORT

Report Date :

29.06.2012

IDENTIFICATION DETAILS

Name :	SHARP INDUSTRIES LIMITED
Registered Office :	Plot No.6, Survey No.70, Village Waliv, Vasai (East), Thane – 401 208, Maharashtra
Country :	India
Financials (as on) :	30.09.2011
Date of Incorporation :	09.03.1988
Com. Reg. No.:	11-046467
Capital Investment / Paid-up Capital :	Rs.199.528 millions
CIN No.: [Company Identification No.]	L99999MH1988PLC046467
TAN No.: [Tax Deduction & Collection Account No.]	PNES15524F
PAN No.: [Permanent Account No.]	AAFFS9104E
Legal Form :	Public Limited Liability Company. The Company’s shares are listed on the Stock Exchanges.
Line of Business :	Manufacturing of Flexible Packaging Materials.
No. of Employees :	Information declined by the management

RATING & COMMENTS

MIRA’s Rating :

Ba (48)

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

Maximum Credit Limit :	USD 3440000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a well established company having satisfactory track. The company has recorded a better increase in its sales turnover and profitability during the year 2011. 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. Shagar Shah
Designation :	Finance Department
Contact No.:	91-250-6585472
Date :	25.06.2012

LOCATIONS

Registered Office/ Factory 1 :	Plot No.6, Survey No.70, Village Waliv, Vasai (East), Thane – 401 208, Maharashtra, India
Tel. No.:	91-250-6585472/ 2455650/ 2455651
Fax No.:	91-250-2481980
E-Mail :	info@sharpindustriesltd.com rajesh@sharpindustriesltd.com
Website :	www.sharpindustriesltd.com
Factory 2 :	B-10/3, M.I.D.C. Industrial Estate, Waluj, Aurangabad, Maharashtra, India

DIRECTORS

As on 30.12.2011

Name :

Mr. Ritesh Kailash Khetan

Designation :

Director

Address :

227/5981, 1^st Floor, Anand Darshan Pant Nagar, Ghatkopar (East), Mumbai – 400 075, Maharashtra, India

Date of Birth/Age :

13.10.1980

Qualification :

Graduate

Date of Appointment :

09.10.2007

DIN No.:

01857208

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	L99999MH1988PLC046467	Sharp Industries Limited	Director	28-12-07	09-10-07	-	Active	NO
2	U24100MH2005PTC153751	Ridhi Petrochem Private Limited	Director	30-09-11	22-10-10	23-12-11	Active	NO

Name :

Mr. Rajeshkumar Tarachand Sheth

Designation :

Director

Address :

6, Nutan Laxmi Society, Lalita Kunj, Road No.10, JVPD Scheme, Vileparle (West), Mumbai – 400 049, Maharashtra, India

Date of Birth/Age :

24.07.1959

Qualification :

Graduate

Date of Appointment :

30.12.2011

DIN No.:

02330202

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	L99999MH1988PLC046467	Sharp Industries Limited	Director	30-12-11	06-12-10	Active	NO

Name :

Mr. Ashwinkumar Tarachand Sheth

Designation :

Managing Director

Address :

Lalita Kunj, Plot 6, Nutan Laxmi Society, 10^th Road, JVPD Scheme, Mumbai – 400 049, Maharashtra, India

Date of Birth/Age :

01.05.1960

Qualification :

Graduate

Date of Appointment :

01.08.2010

DIN No.:

02330220

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	L99999MH1988PLC046467	Sharp Industries Limited	Director	30-12-10	01-08-10	07-03-11	Active	NO
2	L99999MH1988PLC046467	Sharp Industries Limited	Managing director	01-08-10	01-08-10	-	Active	NO
3	U45200GJ2010PTC062439	Aswaraj Infra Private Limited	Additional director	22-12-11	22-12-11	-	Active	NO

Name :

Mr. Prajesh Manojbhai Shah

Designation :

Director

Address :

A/203, Aakansha Sai Nagar, Opposite Abhilasha Apartment, Vasai Road (West), Thane - 401 202, Maharashtra, India

Date of Birth/Age :

19.01.1979

Qualification :

Graduate

Date of Appointment :

25.03.2010

DIN No.:

03044875

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	L99999MH1988PLC046467	Sharp Industries Limited	Director	25-03-10	25-03-10	Active	NO
2	U70100MH1998PTC114382	Valukko Industries Private Limited	Director	30-09-10	28-05-10	Active	NO

Name :

Mr. Rajesh Jayantilal Merchant

Designation :

Director

Address :

6/601, Gajlaxmi Apartments, L.T. Road, Babainaka, Borivali (West), Mumbai – 400 092, Maharashtra, India

Date of Birth/Age :

30.05.1969

Qualification :

Graduate

Date of Appointment :

25.03.2010

DIN No.:

03044909

KEY EXECUTIVES

Name :	Mr. Shagar Shah
Designation :	Finance Department

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 31.03.2012

Category of Shareholders	No. of Shares	Percentage of Holding
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Individuals / Hindu Undivided Family	5,799,889	29.07
Bodies Corporate	923,078	4.63
Sub Total	6,722,967	33.69
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	6,722,967	33.69
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	310,625	1.56
Financial Institutions / Banks	2,000,020	10.02
Insurance Companies	90,000	0.45
Foreign Institutional Investors	70,236	0.35
Sub Total	2,470,881	12.38
(2) Non-Institutions
Bodies Corporate	5,713,331	28.63
Individuals
Individual shareholders holding nominal share capital up to Rs.0.100 million	974,235	4.88
Individual shareholders holding nominal share capital in excess of Rs.0.100 million	3,943,834	19.77
Any Others (Specify)	127,571	0.64
Non Resident Indians	127,571	0.64
Sub Total	10,758,971	53.92
Total Public shareholding (B)	13,229,852	66.31
Total (A)+(B)	19,952,819	100.00
(C) Shares held by Custodians and against which Depository Receipts have been issued	-	-
(1) Promoter and Promoter Group	-	-
(2) Public	-	-
Sub Total	-	-
Total (A)+(B)+(C)	19,952,819	-

BUSINESS DETAILS

Line of Business :

Manufacturing of Flexible Packaging Materials.

Products :

Item Code No. (ITC Code)	76 07 60
Product Description	Printed Polyester/ Aluminium Foil/ Polythene Laminates
Item Code No. (ITC Code)	39 20 39
Product Description	Printed Polyester/ Polythene Laminates
Item Code No. (ITC Code)	39 20 39
Product Description	Printed Polyester/ Paper Laminates

PRODUCTION STATUS (AS ON 30.09.2011)

Particulars	Unit	30.09.2011 Qty
a) Licensed Capacity		N.A.
b) Installed Capacity (per annum) (As assessed by Management) (Note: Installed capacity in FY10-11 was increased in September, 2011)	M.T.	14000.000
c) Production Flexible Packaging Materials-Laminates	M.T.	7625.580

GENERAL INFORMATION

No. of Employees :

Information declined by the management

Bankers :

The Cosmos Co-operative Bank Limited, Fort Branch, 229/230, Perin Nariman Street, Fort, Mumbai – 400 001, Maharashtra, India

Facilities :

Secured Loans	30.09.2011 (Rs. in millions)	30.09.2010 (Rs. in millions)
Rupee term loans banks secured	(A)252.218	0.844
Rupee term loans financial institutions secured	0.000	53.600
Total	252.218	54.444

Notes:

(A) Secured Loans from Banks are secured by first pari-passu charge by way of hypothecation of all the current assets of the Company including inventory, receivables and other current assets. They are collaterally secured by first pari-passu charge on the fixed assets of the company.

Unsecured Loans	30.09.2011 (Rs. in millions)	30.09.2010 (Rs. in millions)
Rupee term loans others unsecured	242.661	266.200
Deferred sales tax loan unsecured	16.058	16.058
Total	(A)258.719	(B)282.258

(A) Repayable within one year - Rs.106.661millions

(B) Repayable within one year - Rs.130.200 millions

Banking Relations :	--
Financial Institution :	IFCI Limited, IFCI Tower, 61, Nehru Place, New Delhi – 110 019, India
Auditors :
Name :	R.R. Mandali and Company Chartered Accountants
Address :	3D Trade Centre, Stadium Circle, Navrangapura, Ahmedabad - 380 009, Gujarat, India
Income-tax PAN of auditor or auditor's firm :	AAPPM5028D

CAPITAL STRUCTURE

As on 30.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
20000000	Equity Shares	Rs.10/- each	Rs.200.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
19952819	Equity Shares	Rs.10/- each	Rs.199.528 millions

Notes:

1) 540819 Equity Shares of Rs.10/- each (Arising out of 10816382 of Rs.10/- each reduced by 95% as per the Scheme).

2) Allotment of 19412000 of Rs.10/- each pursuant to the scheme of arrangement.

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		30.09.2011	30.09.2010	30.09.2009
SHAREHOLDERS FUNDS
1] Share Capital		199.528	199.528	199.528
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		660.367	266.497	765.985
4] (Accumulated Losses)		0.000	0.000	(730.047)
NETWORTH		859.895	466.025	235.466
LOAN FUNDS
1] Secured Loans		252.218	54.444	222.400
2] Unsecured Loans		258.719	282.258	152.058
TOTAL BORROWING		510.937	336.702	374.458
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		1370.832	802.727	609.924
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		451.643	337.477	147.590
Capital work-in-progress & Advances for Capital Goods		0.000	0.000	7.078
INVESTMENT		2.813	2.014	2.014
DEFERRED TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	444.929	236.119	233.896
	Sundry Debtors	564.715	332.763	263.080
	Cash & Bank Balances	5.467	2.786	4.127
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	32.883	64.224	118.618
Total Current Assets		1047.994	635.892	619.721
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	118.075	146.652	149.828
	Other Current Liabilities	13.543	26.004	16.651
	Provisions	0.000	0.000	0.000
Total Current Liabilities		131.618	172.656	166.479
Net Current Assets		916.376	463.236	453.242
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		1370.832	802.727	609.924

PROFIT & LOSS ACCOUNT

	PARTICULARS		30.09.2011	30.09.2010	30.09.2009
	SALES
		Operating revenue, net	1960.081	1133.233	697.683
		Other Income	16.876	1.591	2.012
		TOTAL (A)	1976.957	1134.824	699.695
Less	EXPENSES
		Consumption materials changes inventories	1477.185	848.461	523.385
		Manufacturing service costs	44.910	23.001	21.221
		Employee related expenses	31.519	33.540	34.339
		Administrative selling other expenses	14.221	7.114	12.465
		TOTAL (B)	1567.835	912.116	591.410
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		409.122	222.708	109.285
Less	INTEREST FINANCIAL CHARGES (D)		25.181	1.060	0.579
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		383.941	221.648	108.706
Less/ Add	DEPRECIATION/ AMORTISATION (F)		47.870	35.025	22.115
	PROFIT BEFORE TAX (E-F) (G)		336.071	186.623	86.591
Less	TAX (H)		0.000	0.000	0.135
	PROFIT AFTER TAX (G-H) (I)		336.071	186.623	86.456
Add/ Less	Prior Period Adjustments		(8.314)	(0.364)	(0.596)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(543.788)	(730.047)	(815.907)
	BALANCE CARRIED TO THE B/S		NA	(543.788)	(730.047)
	Earnings Per Share (Rs.)		16.84	9.35	4.30

QUARTERLY RESULTS

PARTICULARS	31.12.2011	31.03.2012
Type	1^st Quarter	2^nd Quarter
Net Sales	533.520	560.190
Total Expenditure	437.620	498.040
PBIDT (Excl OI)	95.900	62.150
Other Income	0.000	0.000
Operating Profit	95.900	62.150
Interest	13.890	14.410
Exceptional Items	0.000	0.000
PBDT	82.010	47.740
Depreciation	15.530	14.650
Profit Before Tax	66.480	33.090
Tax	0.000	0.000
Provisions and contingencies	0.000	0.000
Profit After Tax	66.480	33.090
Extraordinary Items	0.000	0.000
Prior Period Expenses	0.000	0.000
Other Adjustments	0.000	0.000
Net Profit	66.480	33.090

KEY RATIOS

PARTICULARS		30.09.2011	30.09.2010	30.09.2009
PAT / Total Income	(%)	17.00	16.45	12.36
Net Profit Margin (PBT/Sales)	(%)	17.15	16.47	12.41
Return on Total Assets (PBT/Total Assets}	(%)	22.41	19.17	11.28
Return on Investment (ROI) (PBT/Networth)		0.39	0.40	0.37
Debt Equity Ratio (Total Liability/Networth)		0.75	1.09	2.30
Current Ratio (Current Asset/Current Liability)		7.96	3.68	3.72

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	No
19) Payments terms	No
20) Export / Import details (if applicable)	No
21) Market information	--
22) Litigations that the firm / promoter involved in	--
23) Banking Details	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	No

OPERATIONAL PERFORMANCE:

The Company continues to record improved performances year after year. For the year ended 30^th September, 2011 it recorded further improvement in terms of sales and profitability. The Sales and Income from operation for the year increased to Rs.1960.081 millions as against Rs.1133.233 millions in the previous year, a rise of 72.96%. Similarly, Profit After Tax for the year was up to Rs.336.071 millions from Rs.186.623 millions in the previous year, a rise of 80.08%. Expansion in volume, improvement in operational efficiency, savings in costs and addition of value added products contributed in all around improvement.

Also, the Company continued to expand its capacity of its Multi-colour Laminated and Printed Flexible Packaging materials (Laminates). As reported last year, its capacity was increased to 10,000 MT from 5,500 MT and during the year, it was further expanded to 14,000 MT. The expanded capacity became operational during the last month of the year and its full benefit will be available from the current year onward.

FINANCE:

The cost of expansion in capacity from 10,000 MT to 14,000 MT was Rs.161.978 millions and the same was fully financed from the internal accruals of the Company. The Company repaid all its institutional / bank term loans during the year. Fresh working capital fund based limits of Rs.450.000 millions were arranged from the banks during the year.

FURTHER EXPANSION:

The flexible packaging industry in India has registered annual growth rate of 17% and is expected to grow further at higher rate of 25%. Coupled with this, there are inherent strength of the Company in terms of technology and satisfactory relationship with its clients; the Directors feel that there are good opportunities for the Company to expand its business. Therefore, a plan had been chalked out for further expanding its operations in these businesses. This project was kept in abeyance in view of expansion in capacity from 10,000 MT to 14,000 MT during the year as discussed herein before. However, the same is being revived due to promising growth of the Flexible Packaging industry.

Bankers Charges Report as per Registry

Corporate identity number of the company	L99999MH1988PLC046467
Name of the company	SHARP INDUSTRIES LIMITED
Address of the registered office or of the principal place of business in India of the company	Plot No.6, Survey No.70, Village Waliv, Vasai (East), Thane – 401 208, Maharashtra, India E-Mail: info@sharpindustriesltd.com
This form is for	Modification of charge
Charge identification number of the modified	10311575
Type of charge	Immovable Property
Particular of charge holder	The Cosmos Co-operative Bank Limited, Fort Branch, 229/230, Perin Nariman Street, Fort, Mumbai – 400 001, Maharashtra, India E-Mail: njbhatia@rediffmai.com
Nature of description of the instrument creating or modifying the charge	Deed of Additional Charge
Date of instrument Creating the charge	28.03.2012
Amount secured by the charge	Rs.300.000 millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest: Nil Terms of Repayment: 90 days Margin: 15% in bank's favour Extent and Operation of the charge: Cash credit : Rs.250.000 millions (existing) Adhoc LC : Rs.50.000 millions (new)
Short particulars of the property charged	Mortgage of all that piece and parcel of Plot No.6/1, Plot No.6/2 and Plot No.6/3 lying being and situate at Village Valiv Taluka District Thane of S.No.70 H No.1 plus 5 more Mortgage of all that piece and parcel of Plot No.B10/3 in the Walunj Industrial Area within the village limits of Waladgaon and Manalpur outside limits of Aurangabad Municipal Corporation in rural area Taluka and registration district of Aurangabad, Sun district of Aurangabad and Gangapur.
Date of latest modification prior to the present modification	06.03.2012
Particulars of the present modification	New Adhoc LC facility of Rs.50.000 millions granted. Overall limit secured is enhanced to Rs.300.000 millions (Cash credit: Rs.2.500 millions, Adhoc LC Rs.50.000 millions)

FIXED ASSETS:

v Freehold Land

v Leasehold Land

v Residential Building

v Office Building

v Factory Building

v Other Building

v Plant Machinery

v Office Equipments

v Furniture Fixtures

v Motor Vehicles

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.56.92
UK Pound	1	Rs.88.90
Euro	1	Rs.71.25

INFORMATION DETAILS

Information Gathered by :	SVA
Report Prepared by :	SMN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	6
--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	YES
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		48

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.