MIRA INFORM REPORT

Report Date :

10.03.2012

Tel. No.:

0431 – 2500480 , 2501183 , 2501056

IDENTIFICATION DETAILS

Name :	TOOL FAB ENGINEERING INDUSTRIES PRIVATE LIMITED
Registered Office :	E3-10, Developed Plots Estate, Thuvakudi, Trichy – 620015, Tamilnadu
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	10.12.2004
Com. Reg. No.:	18-054889
Capital Investment / Paid-up Capital :	Rs.43.200 Millions
CIN No.: [Company Identification No.]	U28113TN2004PTC054889
TAN No.: [Tax Deduction & Collection Account No.]	CHET11437G
PAN No.: [Permanent Account No.]	AACCT2209F
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Supplier of Heavy Engineering Components, Wind Mill Tubular Towers and Thermal Power Plant Spares Parts.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (32)

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

Maximum Credit Limit :	USD 320000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. The company’s performance has been improved in the year 2010-11. Trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for small 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 :	E3-10, Developed Plots Estate, Thuvakudi, Trichy – 620015, Tamilnadu, India
Tel. No.:	91-431-2500480/ 2501183/ 2501056
Fax No.:	91-431-2500290
E-Mail :	info@toolfabengg.in toolfab@eth.net moneyhari@gmail.com
Website :	http://www.toolfabengg.in

DIRECTORS

(AS ON 22.09.2010)

Name :

Mr. Madan Mohan Vasudeva Rao Chava

Designation :

Managing Director

Address :

Tool Fab, E-7-10 Developed Plot, Thuvakudi (Post), Trichy – 620015, Tamilnadu, India

Date of Birth/Age :

27.06.1970

Date of Appointment :

01.04.2010

DIN No.:

01919569

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		U28113TN2004PTC054889	TOOL FAB ENGINEERING INDUSTRIES PRIVATE LIMITED	Managing director	01-04-10	10-12-04	-	Active	NO
2		U28110GJ2008PTC055185	PWS TOWERS PRIVATE LIMITED	Director	07-10-08	07-10-08	06-11-08	Active	NO
3		U13100AP2011PTC076619	VARAM RESOURCES PRIVATE LIMITED	Director	20-09-11	20-09-11	-	Active	NO
4		U31908AP2010PTC070659	EMPIRE PHOTOVOLTAIC SYSTEMS PRIVATE LIMITED	Director	01-10-11	01-10-11	-	Active	NO

Name :

Mr. Vasudeva Rao Chava

Designation :

Director

Address :

Old No.103-C, New No.40-C, Bell Nagar, Thuvakudi (Post), Trichy – 620015, Tamilnadu, India

Date of Birth/Age :

12.02.1947

Date of Appointment :

01.04.2010

DIN No.:

02912090

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	U28113TN2004PTC054889	TOOL FAB ENGINEERING INDUSTRIES PRIVATE LIMITED	Director	01-04-10	01-07-05	Active	NO

Name :

Mr. Harshavardhan Chava

Designation :

Whole Time Director

Address :

C-103, Bell Nagar, Thuvakudi (Post), Trichy – 620015, Tamilnadu, India

Date of Birth/Age :

22.02.1974

Date of Appointment :

10.12.2004

DIN No.:

02912076

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	U28113TN2004PTC054889	TOOL FAB ENGINEERING INDUSTRIES PRIVATE LIMITED	Whole-time director	01-04-10	10-12-04	Active	NO

Name :

Mr. Ratnakumari Chava

Designation :

Director

Address :

C-103, Bell Nagar, Thuvakudi (Post), Trichy – 620015, Tamilnadu, India

Date of Birth/Age :

09.02.1949

Date of Appointment :

01.07.2005

DIN No.:

02912108

Name :

Mrs. Madhavi Chava

Designation :

Director

Address :

C-103, Bell Nagar, Thuvakudi (Post), Trichy – 620015, Tamilnadu, India

Date of Birth/Age :

05.04.1979

Date of Appointment :

01.07.2005

DIN No.:

02913760

Name :

Mr. Srilakshmi Chava

Designation :

Director

Address :

C-103, Bell Nagar, Thuvakudi (Post), Trichy – 620015, Tamilnadu, India

Date of Birth/Age :

12.11.1979

Date of Appointment :

01.07.2005

DIN No.:

02913759

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 22.09.2010)

Names of Shareholders	No. of Shares
Vasudeva Rao Chava	820800
Madan Mohan Vasudeva Rao Chava	1123200
Harshavardhan Chava	1080000
Ratnakumari Chava	432000
Madhavi Chava	432000
Srilakshmi Chava	432000
Total	4320000

(AS ON 06.01.2012)

Names of Allottees	No. of Shares Allotted
	Bonus Issue	Cash Allotment
Vasudeva Rao Chava	513800	63200
Madan Mohan Vasudevarao Chava	698483	86000
Harshavardhan Chava	658058	81000
Ratnakumari Chava	276150	33900
Madhavi Chava	260692	32000
Srilakshmi Chava	260750	32167
Total	2667933	328267

(AS ON 31.03.2011)

Names of Allottees	No. of Shares Allotted
Vasudeva Rao Chava	720600
Madan Mohan Vasudevarao Chava	972250
Harshavardhan Chava	894175
Ratnakumari Chava	396450
Madhavi Chava	350075
Srilakshmi Chava	350250
Total	3683800

(AS ON 28.02.2011)

Names of Allottees	No. of Shares Allotted
Vasudeva Rao Chava	60000
Madan Mohan Vasudevarao Chava	74200
Harshavardhan Chava	48100
Ratnakumari Chava	41400
Madhavi Chava	14900
Srilakshmi Chava	15000
Total	253600

(AS ON 30.09.2010)

Equity Shares Break – up

Category	Percentage
Directors or relatives of directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Supplier of Heavy Engineering Components, Wind Mill Tubular Towers and Thermal Power Plant Spares Parts.

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· State Bank of India

Siruthozhil Branch, Thuvakudi Industrial Estate, Tiruchirapalli – 620015, Tamilnadu, India

· State Bank of India

SME Branch, Tanjore Road, Thuvakudi, Trichy – 620015, Tamilnadu, India

· Centurian Bank of Punjab

· ICICI Bank

· IDBI Bank

Facilities :

Secured Loans	31.03.2010	31.03.2009
	(Rs. In Millions)
State Bank of India
- Cash Credit	7.891	65.729
- Letter of Credit	--	7.000
- MTL - 01	9.412	13.521
- MTL - 02	36.423	40.404
- MTL - 03	70.442	77.573
Standby Line Credit	--	9.016
(Hypothecation of Land and Building)	--	--
Centurian Bank of Punjab (Crane 5)	--	0.364
ICICI Bank Limited (Corolla)	--	0.065
ICICI Bank Limited (Scorpio)	--	0.094
IDBI Bank Limited	--	0.691
Kotak Mahindra Prime Limited (Fortune) (Hypothecation of Car)	1.260	--
Kotak Mahindra Prime Limited (Indica)	--	0.130
Kotak Mahindra Prime Limited (New Innova) (Hypothecation of Car)	0.765	--
Sundaram Finance limited (Crane 6) (Hypothecation of the Crane)	0.329	0.652
Sundaram Finance limited (Crane 7) (Hypothecation of the Crane)	0.418	0.791
Sundaram Finance limited (Trailor) (Hypothecation of the Trailor)	0.507	1.060
TIIC Term Loan (Tanjore) (Hypothecation of Land at Pudukottai, Machinery and Deposits with TIIC)	7.600	--
Total	135.047	217.090
Unsecured Loans	31.03.2010	31.03.2009
	(Rs. In Millions)
Loans From Bank	1.134	2.376
Loans from Directors	0.955	1.478
Total	2.089	3.854

Banking Relations :	--
Auditors :
Name :	S. Hariharan and Associates Chartered Accountant
Address :	10 North Madavilagam, Papanasam – 614205, Tamilnadu, India
PAN No.:	AAAPH9889C

CAPITAL STRUCTURE

(AS ON 22.09.2010)

Authorised Capital :

No. of Shares	Type	Value	Amount
11000000	Equity Share	Rs.10/- each	Rs.110.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
11000000	Equity Share	Rs.10/- each	Rs.110.000 Millions

(AS ON 31.03.2010)

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Share	Rs.10/- each	Rs.100.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
4320000	Equity Share	Rs.10/- each	Rs.43.200 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		43.200	30.000	10.000
2] Share Application Money		0.000	4.063	6.184
3] Reserves & Surplus		36.244	7.087	17.782
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		79.444	41.150	33.966
LOAN FUNDS
1] Secured Loans		135.047	217.090	146.126
2] Unsecured Loans		2.089	3.854	5.483
TOTAL BORROWING		137.136	220.944	151.609
DEFERRED TAX LIABILITIES		3.538	1.973	1.719
TOTAL		220.118	264.067	187.294
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		191.146	163.520	155.377
Capital work-in-progress		0.000	19.610	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	8.969	23.302	8.977
	Sundry Debtors	89.073	67.200	45.555
	Cash & Bank Balances	3.256	1.217	10.654
	Other Current Assets	0.000	0.000	3.000
	Loans & Advances	23.736	18.048	13.399
Total Current Assets		125.034	109.767	81.585
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	78.752	27.126	46.236
	Other Current Liabilities	0.000	0.000	1.065
	Provisions	17.364	1.985	2.875
Total Current Liabilities		96.116	29.111	50.176
Net Current Assets		28.918	80.656	31.409
MISCELLANEOUS EXPENSES		0.054	0.281	0.508
TOTAL		220.118	264.067	187.294

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009
	SALES
		Income	379.062	198.464
		Other Income	1.630	0.470
		TOTAL (A)	380.692	198.934
Less	EXPENSES
		Raw Materials Consumed	73.518	79.814
		Salaries, wages and Bonus	16.340	9.843
		Directors Remunerations	4.140	1.200
		Audit Fees	0.067	0.035
		Insurance	0.149	0.305
		Power and Fuel	5.361	3.927
		Other Manufacturing Expenses	158.778	32.890
		Rates and Taxes	0.576	1.358
		Other Costs	26.242	13.549
		TOTAL (B)	285.171	142.921
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		95.521	56.013
Less	FINANCIAL EXPENSES (D)		26.262	27.454
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		69.259	28.559
Less/ Add	DEPRECIATION/ AMORTISATION (F)		23.158	22.144
	PROFIT BEFORE TAX (E-F) (G)		46.101	6.415
Less	TAX (H)		45.944	6.415
	PROFIT AFTER TAX (G-H) (I)		0.157	0.000
	EARNINGS IN FOREIGN CURRENCY		--	30.796
	Earnings Per Share (Rs.)		10.24	--

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	0.04	0.00	NA
Net Profit Margin (PBT/Sales)	(%)	12.16	3.23	NA
Return on Total Assets (PBT/Total Assets}	(%)	14.58	2.35	NA
Return on Investment (ROI) (PBT/Networth)		0.58	0.16	NA
Debt Equity Ratio (Total Liability/Networth)		2.94	6.08	5.94
Current Ratio (Current Asset/Current Liability)		1.30	3.77	1.63

LOCAL AGENCY FURTHER INFORMATION

OPERATIONAL RESULTS:

The company could augment its sales portfolio, by touching a figure of Rs.380.692 Millions against Rs.198.934 Millions during the last year thus registering a growth rate of 91.31%.

The directors are confident of increasing the turnover in the coming year. This is possible due to the state of the art facilities available and the company being the leading fabricator of windmill towers.

FORM 8:

Corporate identity number of the company	U28113TN2004PTC054889
Name of the company	TOOL FAB ENGINEERING INDUSTRIES PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	E3-10, Developed Plots Estate, Thuvakudi, Trichy – 620015, Tamilnadu, India info@toolfabengg.in
This form is for	Modification of charge
Charge identification number of the modified	10025485
Type of charge	Immovable property Book Debts
Particular of charge holder	State Bank of India SME Branch, Tanjore Road, Thuvakudi, Trichy – 620015, Tamilnadu, India kkv_trichy@yahoo.co.in
Nature of description of the instrument creating or modifying the charge	1. Letter of Arrangement dated 23.01.2012 2. Supplemental Agreement of Loan-cum-Hypothecation dated 23.01.2012
Date of instrument Creating the charge	23.01.2012
Amount secured by the charge	Rs.259.800 Millions
Brief particulars of the principal terms and conditions and extent and operation of the charge	Rate of Interest As per Letter of Arrangement dated 23.01.2012 Terms of Repayment On Demand. Margin As per Letter of Arrangement dated 23.01.2012 Extent and Operation of the charge On the entire fixed assets of the Company on First charge.
Short particulars of the property charged	Hypothecation of stocks, receivables and other current assets. Charge over plant and machineries created out of Bank Finance. Land admeasuring 25.45 acre at SF No.229, 230 (P), 231 (P), 232 (P), 233 (P), 233/2, 234 (P), 267 (P) and 268 (P) located at Sanoorapatti Village, Thanjavur District, belonging to the Company. Land admeasuring 2.4 acre with building constructed thereon at SF No.394 and 398 located at E7-E10, Developed Plots Estate, Thuvakudi, Trichy 620015, belonging to the Company.
Date of latest modification prior to the present modification	26.03.2011
Particulars of the present modification	Increase in Cash Credit Limit from Rs.65.000 Millions to Rs.120.000 Millions. The total limit increased from Rs.225.500 Millions to Rs.259.800 Millions.

FIXED ASSETS:

· Land

· Building

· Office and Factory Building

· Plant and Machinery

· Office Equipment

· Electrical Fittings

· Furniture and Fittings

· A/C Machine

· Computer

· Camera

· Xerox Machine

· 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.50.02
UK Pound	1	Rs.79.01
Euro	1	Rs.66.18

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--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	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		32

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.