MIRA INFORM REPORT

Report Date :

09.05.2012

IDENTIFICATION DETAILS

Name :	PODAR EDUCATION NETWORK PRIVATE LIMITED
Registered Office :	Podar Center, 85, Chanarbaug Post Office Lane, Dr. Ambedkar Road, Parel, Mumbai-400012, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	18.09.2000
Com. Reg. No.:	11-128751
Capital Investment / Paid-up Capital :	Rs.0.100 Million
CIN No.: [Company Identification No.]	U80200MH2000PTC128751
TAN No.: [Tax Deduction & Collection Account No.]	MUMP21995B
PAN No.: [Permanent Account No.]	AACCP2130K
Legal Form :	Private Limited Liability Company
Line of Business :	Educational Institutions
No. of Employees :	Information denied by management

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

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

Maximum Credit Limit :	USD 190000
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.

INFORMATION DENIED BY

Name :	Mr. Samria Adhar
Designation :	Finances Manager
Contact No.:	91-9819823427
Date :	08.05.2012

LOCATIONS

Registered Office / Head Office :	Podar Center, 85, Chanarbaug Post Office Lane, Dr. Ambedkar Road, Parel, Mumbai-400012, Maharashtra, India
Tel. No.:	91-22-24706652 / 43330000 / 24709392
Fax No.:	91-22-24714822 / 24709392
E-Mail :	roc@podar.net
Website :	http://www.podar.org
Head Office :	Anandilal and Ganesh Podar Society, Podar Education Complex, Saraswati Road, Santacruz (West), Mumbai – 400054, Maharashtra, India
Tel. No.:	91-22-67111111

DIRECTORS

As on 30.09.2011

Name :

Mr. Pavan Ganesh Podar

Designation :

Director

Address :

Silver Arch, 66, Ljagmohavdas, Marg, Mumbai – 400006, Maharashtra, India

Date of Birth/Age :

17.01.1958

Date of Appointment :

18.09.2000

DIN No.:

00442251

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	U67120MH1978PTC020635	K AND M INDUSTRIAL FINANCE AND TRADING COMPANY PRIVATE LIMITED	Director	2/2/1979	2/2/1979	-	Active	NO
2	U26940MH1964PTC014633	PODAR CEMENTS PRIVATE LIMITED	Director	23/04/1979	23/04/1979	-	Active	NO
3	U25209MH1975PTC005398	PODAR INVESTMENTS PRIVATE LIMITED	Director	10/11/1979	10/11/1979	-	Active	NO
4	U99999MH1970PTC014901	PODAR SHAKTI SYNTHETICS PRIVATE LIMITED	Director	10/1/1984	10/1/1984	-	Active	NO
5	U67120MH1986PTC040488	SPLENDOUR INVESTMENTS PRIVATE LIMITED	Director	1/9/1986	1/9/1986	-	Active	NO
6	U32109MH1987PTC042496	PENTAPLAST ELECTRONICS PRIVATE LIMITED	Director	9/2/1987	9/2/1987	-	Active	NO
7	U31100MH1988PTC046972	WELEX ELECTRONICS PRIVATE LIMITED	Director	11/4/1988	11/4/1988	-	Active	NO
8	U32100MH1988PTC047708	HUNTER ELECTRONICS PRIVATE LIMITED	Director	28/02/1989	28/02/1989	-	Active	NO
9	U70101MH1989PTC051086	SIERRA PROPERTIES PRIVATE LIMITED	Director	15/09/1989	15/09/1989	-	Active	NO
10	U65990MH1992PTC070010	DAHISAR INVESTMENTS AND FINANCE PRIVATE LIMITED	Director	30/01/1993	30/01/1993	-	Active	NO
11	U25200MH1996PTC104707	GLORIA MOULDERS PRIVATE LIMITED	Director	24/12/1996	24/12/1996	-	Active	NO
12	U18100MH1997PTC109586	PODAR APPARELS PRIVATE LIMITED	Director	24/07/1997	24/07/1997	-	Active	NO
13	U72200MH2000PTC123466	PODAR SOFTWARE PRIVATE LIMITED	Additional director	1/10/2011	5/1/2000	-	Active	NO
14	U80200MH2000PTC128751	PODAR EDUCATION NETWORK PRIVATE LIMITED	Director	18/09/2000	18/09/2000	-	Active	NO
15	U18100MH1994PTC076375	INNOVATIONS GARMENT PRIVATE LIMITED	Director	3/2/2004	3/2/2004	-	Active	NO
16	U91990MH2005NPL151754	PODAR EDUCATIONAL INSTITUTE	Director	3/3/2005	3/3/2005	-	Active	NO
17	U50102MH2007PTC167645	ANANT AUTOTOOLS PRIVATE LIMITED	Director	7/2/2007	7/2/2007	-	Active	NO
18	U51909MH2007PTC167810	OFFSHORE TRADE INDIA PRIVATE LIMITED	Director	13/02/2007	13/02/2007	-	Active	NO
19	U52300MH2007PTC170268	GOODWAYS TRADING PRIVATE LIMITED	Director	24/04/2007	24/04/2007	-	Active	NO
20	U34300MH2007PTC170310	PAREL AUTOTOOLS PRIVATE LIMITED	Director	25/04/2007	25/04/2007	-	Active	NO
21	U65994MH1969PTC014332	PODAR FINANCE PRIVATE LIMITED	Director	3/9/2007	3/9/2007	-	Active	NO
22	U74140MH2008PTC184823	GOODWAYS BUSINESS SOLUTIONS PRIVATE LIMITED	Director	21/07/2008	21/07/2008	-	Active	NO
23	U74140MH2008PTC184980	LOYAL BUSINESS SOLUTIONS PRIVATE LIMITED	Director	23/07/2008	23/07/2008	-	Active	NO
24	U65921MH1994PTC082914	SAIKRISHNA REALTORS PRIVATE LIMITED	Director	30/09/2009	3/10/2008	-	Active	NO
25	U22210MH2009PTC189504	PODAR MEDIA MAGAZINE AND GRAPHIC PRINTS PRIVATE LIMITED	Director	12/1/2009	12/1/2009	-	Active	NO

Name :

Mr. Gaurav Pavan Podar

Designation :

Director

Address :

Silver Arch, 66, Ljagmohavdas, Marg, Mumbai – 400006, Maharashtra, India

Date of Birth/Age :

21.01.1984

Date of Appointment :

18.11.2009

DIN No.:

02835139

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	U80200MH2000PTC128751	PODAR EDUCATION NETWORK PRIVATE LIMITED	Director	30/09/2010	18/11/2009	-	Active	NO
2	U26940MH1964PTC014633	PODAR CEMENTS PRIVATE LIMITED	Director	30/09/2010	18/06/2010	-	Active	NO
3	U72200MH2000PTC123466	PODAR SOFTWARE PRIVATE LIMITED	Additional director	18/06/2010	18/06/2010	21/06/2010	Active	NO
4	U22210MH2009PTC189504	PODAR MEDIA MAGAZINE AND GRAPHIC PRINTS PRIVATE LIMITED	Director	23/09/2011	9/12/2010	-	Active	NO
5	U80301MH2011PTC220699	SMART START EDUCATIONS PRIVATE LIMITED	Director	9/8/2011	9/8/2011	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Samria Adhar
Designation :	Finances Manager
Name :	Mr. Mahendra
Designation :	Accountant
Name :	Mr. Dhuri
Designation :	Accountant

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2011

Names of Shareholders	No. of Shares
Mamta Pavan Podar	5000
Gaurav Pavan Podar	2500
Haresh Pavan Podar	2500
Total	10000

As on 30.09.2011

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Educational Institutions

GENERAL INFORMATION

No. of Employees :

Information denied by management

Bankers :

IDBI Bank Limited, IDBI Towerwtc Complex, Cuffe Parade, Mumbai - 400005, Maharashtra, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2011	As on 31.03.2010
Car Loan form BMW Financial Services	2.913	0.000
Total	2.913	0.000
Unsecured Loan	As on 31.03.2011	As on 31.03.2010
Inter Corporate Loans	6.320	0.000
Total	6.320	0.000

Banking Relations :	--
Auditors :
Name :	Suba and Company Chartered Accountants
Address :	201, Datani Center, Chandavarkar Road, Borivali (West), Mumbai – 400092, Maharashtra, India
Tel. No.:	91-22-28907812
Qualification :	B.Com, LLB and FCA
PAN.:	AACPS9533Q

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
10000	Equity Shares	Rs.10/- each	Rs.0.100 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
10000	Equity Shares	Rs.10/- each	Rs.0.100 Million

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		0.100	0.100	0.100
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		48.785	23.191	8.730
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		48.885	23.291	8.830
LOAN FUNDS
1] Secured Loans		2.913	0.000	0.000
2] Unsecured Loans		6.320	0.000	0.000
TOTAL BORROWING		9.233	0.000	0.000
DEFERRED TAX LIABILITIES		0.008	0.010	1.492
TOTAL		58.126	23.301	10.322
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		28.792	7.026	6.563
Capital work-in-progress		4.899	4.772	0.000
INVESTMENT		17.747	1.115	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.000	0.000	0.000
	Sundry Debtors	0.000	0.000	0.000
	Cash & Bank Balances	34.203	9.184	15.191
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	26.341	34.009	7.373
Total Current Assets		60.544	43.193	22.564
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	7.807	0.039	3.265
	Other Current Liabilities	0.000	0.000	0.000
	Provisions	46.049	32.766	15.540
Total Current Liabilities		53.856	32.805	18.805
Net Current Assets		6.688	10.388	3.759
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		58.126	23.301	10.322

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	72.900	59.496	43.660
		Other Income	2.496	0.762	1.299
		TOTAL (A)	75.396	60.258	44.959
Less	EXPENSES
		Personnel Expenses		10.286	16.554
		Administrative and Other Expenses		27.882	19.238
		TOTAL (B)		38.168	35.792
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)			22.090	9.167
			(36.793 Including Financial and Depreciation Expenses)
Less	FINANCIAL EXPENSES (D)			0.006	0.035
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)			22.084	9.132
Less/ Add	DEPRECIATION/ AMORTISATION (F)			0.087	0.042
	PROFIT BEFORE TAX (E-F) (G)		38.603	21.997	9.090
Less	TAX (H)		13.009	7.536	4.065
	PROFIT AFTER TAX (G-H) (I)		25.594	14.461	5.025
	BALANCE CARRIED TO THE B/S		25.594	14.461	5.025
	Earnings Per Share (Rs.)		2559.40	NA	NA

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	33.95	24.00	11.18
Net Profit Margin (PBT/Sales)	(%)	52.95	74.58	20.82
Return on Total Assets (PBT/Total Assets}	(%)	43.21	43.80	31.21
Return on Investment (ROI) (PBT/Networth)		0.79	0.94	1.03
Debt Equity Ratio (Total Liability/Networth)		1.29	1.41	2.13
Current Ratio (Current Asset/Current Liability)		1.12	1.32	1.20

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	--
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

Details of Sundry Creditors

Rs. In Millions

Particular	31.03.2011	31.03.2010	31.03.2009
Franchise Centers and M.F.	6.360	0.000	0.000
Franchise Creditors	1.447	0.000	0.000
K.K. Shah	0.000	0.029	0.000
Raju Zerox	0.000	0.010	0.000
Alfa Travel Corporation	0.000	0.000	0.002
Challenge Jumbo	0.000	0.000	0.021
Sanjay Salve	0.000	0.000	0.031
Podar Education Trust	0.000	0.000	1.943
Chandani Creation	0.000	0.000	0.006
Direct Admission payable	0.000	0.000	0.014
Eminent Prints	0.000	0.000	0.008
First Choice	0.000	0.000	0.240
Karan Communication	0.000	0.000	0.016
Maruti Print	0.000	0.000	0.001
Mata Print House	0.000	0.000	0.036
N.S. Stationery	0.000	0.000	0.009
Origin Beanstalk	0.000	0.000	0.273
P9 Integrated	0.000	0.000	0.225
Papercos	0.000	0.000	0.041
P.P. Advertisement	0.000	0.000	0.019
Sunil Shankar	0.000	0.000	0.049
Wow Factor Communication	0.000	0.000	0.331
Total	7.807	0.039	3.265

Financial Results:

This Year there was an income of Rs.72.900 Millions (previous year Rs.59.400 Millions) and net profit of Rs.25.500 Millions (previous year Rs.14.400 Millions) was transferred to the balance sheet.

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U80200MH2000PTC128751
Name of the company	PODAR EDUCATION NETWORK PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Podar Center, 85, Chanarbaug Post Office Lane, Dr. Ambedkar Road, Parel, Mumbai-400012, Maharashtra rco@podar.net
This form is for	Modification of Charge
Charge identification (ID) number of the charge to be modified	10283714
Type of charge	Immovable property
Particular of charge holder	IDBI Bank Limited, IDBI Towerwtc Complex, Cuffe Parade, Mumbai - 400005, Maharashtra, India kv.parmar@idbi.co.in
Nature of instrument creating charge	Declaration and Undertaking in the matter of joint mortgage by deposit of title deeds - borrower - M/s Podar Education and Sports Trust dated 12.04.2012.
Date of instrument Creating the charge	12.04.2012
Amount secured by the charge	Rs.24.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate o f Interest Term Loan - As per the agreement between the Bank and borrower M/s Podar Education and Sports Trust. OD facility - BBR+2.5% p. a. At present 13.25% p.a. Terms of Repayment Term Loan - As per the agreement between the Bank and borrower Podar Education and Sports Trust. OD Facility - On demand Margin Term Loan - As per the agreement between the Bank and borrower M/s Podar Education and Sports Trust. OD Facility – NA Extent and Operation of the charge First charge on the Company's Immovable properties, details given in point no. 15 of this form, to secure the borrowing of 2,40,000,00/- by Podar Education and Sports Trust. Joint mortgage by way of deposit of title deeds. The security will be shared to secure the credit facilities sanctioned to Podar Education Network Private Limited and borrowings by Podar Education and Sports Trust.
	Open space reserved for Play ground bearing S. No. 198/1+2, having area of 3625.50 Sq. Mtrs. situated at Kupwad Tal Miraj, District Sangli Land admeasuring to 3643.30 Sq mts and Buildings thereon (A Class School building, ground plus 3 floors area admeasuring to 1448.10 Sq mts.) at No. 198, Hissa 3, Kupwad, Tal Miraj, District. Sangli.
Date of instrument modifying the charge	29.04.2011
Particulars of the present modification	Earlier the borrowing was 2,40,00,000/- as a term loan. By this modification the breakup of the amount got changed Rs. 15.000 Millions is term loan and rest of Rs.90.00 Millions is now OD Facility. Total borrowings and other terms remaines unchanged.

Fixed Assets

• Land
• Building
• Furniture and Fixtures
• Computer
• Office Equipments
• Vehicles

WEBSITE DETAILS

PROFILE

In 1927 Sheth Anandilal Podar, an eminent Mumbai-based businessman, with interests in cotton mills, founded the Podar Group of Schools. Interestingly, Mahatma Gandhi, the Father of Nation, was the first President of the Anandilal Podar Trust (View the minutes of the first Trust meeting) what began as a single institution is today a multi-school, multi-city, multi-brand entity, ambitiously executing a growth strategy with an emphasis on global standards. 

Headquartered in Mumbai with 7 schools in Santacruz (West), there are now Podar Schools all across India.

Podar is a growing network which has a wide spectrum of brands including Pre-Primary options, Primary and Secondary schools, a Junior College, Part-Time courses and Teacher Training courses. 

There are also a wide choice of educational streams that are offered at Podar including CBSE, ICSE, Secondary School Certificate (State Board), IGCSE (Cambridge) and International Baccalaureate (IB).

Podar has managed to achieve the success it has had due to its excellently recruited teaching team as well as its focus on technology. Extensive training is given to all the teachers and it is ensured that they teach students in the best possible manner. There is a great dedication and commitment found in Podar's Principals and Teachers, many of whom have been honoured by both the Central and State Governments. The use of technology in teaching is also strongly emphasized in all Podar schools, with state-of-the-art computer labs and interactive boards installed in classrooms. Due to its effective use of technology in education, the Podar group of schools was awarded the "best ICT enabled school" in all of India. 

Podar School has established a "Curriculum Research and Development Centre" (CRDC) that ensures that the quality of education in its schools is of the highest standard, no matter where the school is located. After much research, the CRDC sets lesson plans and curriculums which is followed by all the Podar International Schools across India. Members of the CRDC also travel from school to school training the teachers on the latest developments in education initiated by Podar. 

At Podar, the goal is for the students to excel both in and outside of the classroom. Therefore, extensive emphasis is given to sports and extra-curricular activities. Specialized and experienced coaches are deployed in a wide spectrum of sporting disciplines. The schools participate and excel in various inter school sports tournaments. An inter Podar sports tournament is also organized in which students from the different Podar schools compete against each other in sports such as Basketball, Football, Cricket, etc. 

All these academic and non academic efforts have paid enormous dividends. Podar Schools are considered among the 'Best Quality' Schools wherever they operate. The ICSE and CBSE Board results of Podar Schools are consistently among the best in the city the school is located. Click here to see the outstanding ICSE and CBSE Board Examination Results at Podar in the 2011 Board Exams. 

Podar's commitment to society is unwavering. Ever since its inception 84 years ago it does not accept donations or deposits. The commitment to education continues to be focused and firm. 

Podar also continues to tap into social change with an integrated policy of social responsibility. It operates a school for the deaf and dumb in Jaipur. It also supports a city hospital in the heart of Mumbai. A few years back, at the suggestion of the Chief Minister of Maharashtra, the school adopted 1000 tribal girls and gave them free education. The Podars are also custodians of a Hindu temple in Santacruz, Mumbai.

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.52.86
UK Pound	1	Rs.85.44
Euro	1	Rs.68.81

INFORMATION DETAILS

Information Gathered by :	SVA
Report Prepared by :	NTH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
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	NO
--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		45

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.