MIRA INFORM REPORT

Report Date :

01.03.2012

IDENTIFICATION DETAILS

Name :	SATNAM AGRI PRODUCTS LIMITED
Registered Office :	Nirmal Cold Storagenakodar Road, Jalandhar, Punjab
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	14.07.2003
Com. Reg. No.:	026185
Capital Investment / Paid-up Capital :	Rs.167.300 Millions
CIN No.: [Company Identification No.]	U15138PB2003PLC026185
TAN No.: [Tax Deduction & Collection Account No.]	JLDS04949A
PAN No.: [Permanent Account No.]	AAHCS7675R
Legal Form :	A Closely held Public Limited Liability Company
Line of Business :	Manufacturer and exporter of frozen french fries, frozen vegetables(green peas, carrot, cauliflower, french beans and seasonal vegetables
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ca (23)

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track. Profitability of the company is under pressure. There appears huge accumulated losses recorded by the company. However, trade relations are reported as fair. Business is active. Payments are reported to be slow. The company can be considered for business dealings on a secured 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 :	Nirmal Cold Storage Opposite UCO Bank, Nakodar Road, Jalandhar, Punjab, India
Tel. No.:	91-181-2253473/2201690/5535690
Fax No.:	91-181-5062607/2201690
E-Mail :	Satnam_agri@rediffmail.com
Factory 1 :	Satnam Apri Products, Village Partapra, Jamsher Road, Near Lambra, Jalandhar, Punjab, India

DIRECTORS

AS ON 30.09.2011

Name :	Mr. A Mandip Singh
Designation :	Managing Director
Address :	Nirmal Cold Storage Opposite UCO Bank, Nakodar Road, Jalandhar, Punjab, India
Date of Appointment :	14.07.2003

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	U15138PB2003PLC026185	SATNAM AGRI PRODUCTS LIMITED	Managing director	14/07/2007	14/07/2003	-	Active	NO

Name :	Mr. Rajinder Kaur
Designation :	Director
Address :	Nirmal Cold Storage Opposite UCO Bank, Nakodar Road, Jalandhar, Punjab, India
Date of Appointment :	19.11.2005

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	U15138PB2003PLC026185	SATNAM AGRI PRODUCTS LIMITED	Director	19/11/2005	19/11/2005	-	Active	NO

Name :	Mr. Harjeet Singh
Designation :	Director
Address :	Nirmal Cold Storage Opposite UCO Bank, Nakodar Road, Jalandhar, Punjab, India
Date of Appointment :	27.04.2006

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	U15138PB2003PLC026185	SATNAM AGRI PRODUCTS LIMITED	Director	27/04/2006	27/04/2006	-	Active	NO

Name :	Mr. Kamal Jit Kaur
Designation :	Director
Address :	Nirmal Cold Storage Opposite UCO Bank, Nakodar Road, Jalandhar, Punjab, India
Date of Appointment :	14.07.2003

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	U15138PB2003PLC026185	SATNAM AGRI PRODUCTS LIMITED	Director	14/07/2003	14/07/2003	-	Active	NO

Name :	Mr. Rajnish Tuli
Designation :	Director
Address :	Nirmal Cold Storage Opposite UCO Bank, Nakodar Road, Jalandhar, Punjab, India
Date of Appointment :	17.02.2007

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	U24241PB1997PLC020695	PIONEER INDUSTRIES LIMITED	Nominee director	15/01/2002	15/01/2002	30/04/2008	Active	NO
2	U00000CH2005SGC028644	PUNJAB AGRO POWER CORPORATION LIMITED	Nominee director	08/07/2005	08/07/2005	-	Active	NO
3	U15200PB2004PLC026806	CHANAKYA DAIRY PRODUCTS LIMITED	Nominee director	20/11/2009	28/09/2005	-	Active	NO
4	U01122CH1996PLC019095	INTERNATIONAL FRESH FARM PRODUCTS INDIA LIMITED	Director	25/10/2005	25/10/2005	-	Active	NO
5	U15138PB2003PLC026185	SATNAM AGRI PRODUCTS LIMITED	Nominee director	17/02/2007	17/02/2007	-	Active	NO
6	U15500PB2005PTC027841	A.B. GRAIN SPIRITS PRIVATE LIMITED	Nominee director	19/11/2009	02/07/2007	-	Active	NO
7	U15205CH1999PLC022978	PAGRO FOODS LIMITED	Nominee director	07/04/2008	07/04/2008	-	Active	NO

Name :	Mr. Girish Chandra Pande
Designation :	Director
Address :	92, LB E-6, Area Colony, Bhopal, Madhya Pradesh
Date of Appointment :	11.06.2007

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	U15138PB2003PLC026185	SATNAM AGRI PRODUCTS LIMITED	Nominee director	11/06/2007	11/06/2007	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2011

Name of Shareholders	No of shares
Sh.Mandip Singh	7567290
Smt.Joginder Kaur	15000
Smt.Kamal Jit Kaur	1385000
Mr. Kishan Singh	41250
Mr. Harjit Singh	64250
Mr. Davinder Nath	1250
Smt.Jaswant Kaur	1250
S.Sandeep Khara	112500
Smt. Baljinder Kaur Khara	112500
S.Ajit Singh Khara	150000
Amolak Rattan	335000
Kamaljit Singh	13500
Sandeep Angrish	2900
Manohar Sharma	4500
Harpal Singh	3700
Rajinder Kaur	223600
Jeet Sharma	4500
Rakesh	4400
Bhupinder Singh	725660
Simrat pal Singh	151000
Ravinder Pal Singh	10000
Assue	5000
Surinder Pal Singh	32000
Prabhbir	23000
Charanjeev Singh	10000
Sukhvinder Singh	10000
Mandip Farm in A/C of Mandip Singh	2420250
Ramanjeet Singh	100000
Jaideep Singh	75000
Navdeep Singh	75000
Samardeep singh	100000
Yoginder Paul Mohan	172900
Harjinder Singh	30000
Harvinder S. Bains	17800
Punjab Agro Industries Corporation, India	2730000
TOTAL	16730000

AS ON 30.09.2011

Category	Percentage
Government Companies	16.31
Directors or relatives of Directors	79.03
Other top fifty shareholders	4.66
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and exporter of frozen french fries, frozen vegetables(green peas, carrot, cauliflower, french beans and seasonal vegetables

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· Union Bank of India, Civil Lines, Jalandhar City - 144001, Punjab, India

· State Bank of India and Indian Overseas Bank, State Bank Of India Civil Lines, Indian Overseas Bank G.T.Road,, Jalandhar - 144001, Punjab, India

Facilities :

SECURED LOAN	Rs. In Millions 31.03.2010	Rs. In Millions 31.03.2009
Ubi Loan A/c (Skoda Car)	1.362	0.000
State Bank of India Term Loan 10993133479	73.514	72.667
State Bank of India Term Loan 30425665552	9.989	9.889
State Bank of India Term Loan 30425577437	3.566	3.526
Indian Overseas Bank,Term Loan 380660001	60.000	67.656
Indian Overseas Bank,Term Loan 38080002	2.900	3.241
Indian Overseas Bank,Term Loan 38080003	8.250	9.221
NABARD Term Loan	91.216	64.665
Indian Overseas Bank - Cash Credit A/c	24.000	27.362
State Bank of India-Line Credit Loan (Peas Farmer Receivable A/c 30115562208)	11.853	12.614
Slate Bank of India - Book Debt Loan A/c	0.000	0.000
State Bank of India - Cash Credit A/c	37.000	41.486
ICICl Bank-Car Loan	0.000	0.114
TATA Finance Private Limited	0.324	0.466
TOTAL	323.974	312.907
" Term Loans From the Financial Institutions and banks are secured by way of equitable mortgage of all the present and future property of the Company
UNSECURED LOAN	Rs. In Millions 31.03.2010	Rs. In Millions 31.03.2009
Unsecured Loan from Directors and relatives ( Under Bank Stipulations )	14.905	13.292
TOTAL	14.905	13.292

Banking Relations :	--
Auditors :
Name :	K K. Kapoor and Associates Chartered Accountant
Address :	394, Mota Singh Nagar, Jalandhar – 144001, Punjab, India
Associates:	Mandip Farms

CAPITAL STRUCTURE

AS ON 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
16750000	Equity Shares	Rs.10/- each	Rs.167.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
14269750	Equity Shares	Rs.10/- each	Rs.142.697 Millions
2460250	Equity Shares (for Consideration Other than Cash)	Rs.10/- each	Rs.24.602 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		167.300	167.300	167.300
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		0.000	0.000	0.000
4] (Accumulated Losses)		(100.446)	(77.007)	0.000
NETWORTH		66.854	90.293	167.300
LOAN FUNDS
1] Secured Loans		323.974	312.907	280.798
2] Unsecured Loans		14.905	13.292	54.672
TOTAL BORROWING		338.879	326.199	335.470
DEFERRED TAX LIABILITIES		0.000	5.265	0.000
TOTAL		405.733	421.757	502.770
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		305.747	350.507	6.401
Capital work-in-progress		0.000	0.000	348.956
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		45.496	0.000	0.000
Preoperative Expenses Pending for allocation		0.000	0.000	64.017
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	30.500	49.270	111.614
	Sundry Debtors	27.350	5.314	3.481
	Cash & Bank Balances	7.606	7.664	2.373
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	5.778	19.612	15.578
Total Current Assets		71.234	81.860	133.046
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	2.440	6.163	49.296
	Other Current Liabilities	14.462	4.659	0.618
	Provisions	0.000	0.000	0.000
Total Current Liabilities		16.902	10.822	49.914
Net Current Assets		54.332	71.038	83.132
MISCELLANEOUS EXPENSES		0.158	0.212	0.264
TOTAL		405.733	421.757	502.506

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009
	SALES
		Income	24.446	45.082
		Other Income	18.384	0.534
		TOTAL (A)	42.830	45.616
Less	EXPENSES
		Raw Material Consumed	20.785	26.282
		Consumables	1.867	5.463
		Manufacturing Expenses	6.879	8.497
		Personal Expenses	0.343	0.328
		Office and Administrative Expenses	0.595	0.595
		Selling and Distribution Expenses	0.043	0.069
		Preliminary Expenses Written Off	0.053	0.053
		Increased / (Decreased) In Stock	3.400	15.060
		TOTAL (B)	33.965	56.347
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		8.865	(10.731)
Less	FINANCIAL EXPENSES (D)		35.755	23.954
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		(26.890)	(34.685)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		47.133	37.056
	PROFIT BEFORE TAX (E-F) (G)		(74.023)	(71.741)
Less	TAX (I)		(50.584)	(5.266)
	PROFIT AFTER TAX (G-I) (J)		(23.439)	(77.007)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(77.007)	--
	BALANCE CARRIED TO THE B/S		(100.445)	(77.007)

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	(54.72)	(168.81)	NA
Net Profit Margin (PBT/Sales)	(%)	(302.80)	(159.13)	NA
Return on Total Assets (PBT/Total Assets}	(%)	(19.63)	(16.59)	NA
Return on Investment (ROI) (PBT/Networth)		(1.11)	(0.79)	NA
Debt Equity Ratio (Total Liability/Networth)		5.32	3.73	2.30
Current Ratio (Current Asset/Current Liability)		4.21	7.56	2.66

LOCAL AGENCY FURTHER INFORMATION

NIL

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.48.94
UK Pound	1	Rs.77.95
Euro	1	Rs.65.93

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	--
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	--
--CREDIT LINES	1~10	2
--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		23

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.