MIRA INFORM REPORT

Report Date :

18.05.2012

IDENTIFICATION DETAILS

Name :	A K SYSTEM ENGINEERS PRIVATE LIMITED
Registered Office :	322, NEB Sarai, New Delhi – 110 068
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	29.01.1985
Com. Reg. No.:	55-019955
Capital Investment / Paid-up Capital :	Rs.3.000 millions
CIN No.: [Company Identification No.]	U74899DL1985PTC019955
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Trader of Water, Tea and Coffee Vending Machines and Related Services.
No. of Employees :	50 (Approximately)

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 27000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. Profitability of the company appears to be low. However, trade relations are fair. Business is active. Payments are reported to be slow but correct. The company can be considered 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 PARTED BY

Name :	Mr. Anand
Designation :	Accounts Manager
Contact No.:	91-120-3914915
Date :	02.05.2012

LOCATIONS

Registered Office :	322, NEB Sarai, New Delhi-110068, India
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	sahul@gmail.com
Website :	www.altantisplus.com
Area :	1000 sq ft
Location :	Owned
Factory :	B-32, Sector-5, Noida-201301, Uttar Pradesh, India
Tel. No.:	91-120-3221819/ 3221820/ 3914910-16
Fax No.:	91-120-2423661
Location :	Owned

DIRECTORS

Name :

Mr. (Col.) Krishan Swarup Khurana

Designation :

Director

Address :

325, Sector – 15A, Gautam Budh Nagar, Noida – 201 301, Uttar Pradesh, India

Date of Birth/Age :

08.11.1934

Date of Appointment :

29.01.1985

Din No.:

01040497

Name :

Mrs. Shobha Khurana

Designation :

Director

Address :

325, Sector – 15A, Gautam Budh Nagar, Noida – 201 301, Uttar Pradesh, India

Date of Birth/Age :

01.08.1941

Date of Appointment :

29.01.1985

Din No.:

01972488

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	U74899DL1985PTC019955	A K SYSTEM ENGINEERS PRIVATE LIMITED	Director	29-01-85	29-01-85	Active	NO
2	U28252DL1996PTC081866	VENDING UPDATES (INDIA) PRIVATE LIMITED	Director	18-11-05	18-11-05	Active	NO

Name :

Mr. Sahul Khurana

Designation :

Whole Time Director

Address :

325, Sector – 15A, Gautam Budh Nagar, Noida – 201 301, Uttar Pradesh, India

Date of Birth/Age :

05.02.1965

Date of Appointment :

16.07.1992

Din No.:

01040417

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	U74899DL1985PTC019955	A K SYSTEM ENGINEERS PRIVATE LIMITED	Director	16-07-92	16-07-92	Active	NO
2	U28252DL1996PTC081866	VENDING UPDATES (INDIA) PRIVATE LIMITED	Director	01-04-05	01-04-05	Active	NO

Name :

Mr. Rahul Khurana

Designation :

Director

Address :

325, Sector – 15A, Gautam Budh Nagar, Noida – 201 301, Uttar Pradesh, India

Date of Birth/Age :

22.07.1963

Date of Appointment :

16.07.1992

Din No.:

01236604

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	U74899DL1985PTC019955	A K SYSTEM ENGINEERS PRIVATE LIMITED	Director	16-07-92	16-07-92	Active	NO
2	U21022DL2001PTC113264	MATA VAISHNO PACKING PRIVATE LIMITED	Director	30-09-08	03-06-08	Active	NO

KEY EXECUTIVES

Name :	Mr. Anand
Designation :	Accounts Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

Names of Shareholders	No. of Shares
Krishan Swarup Khurana	203600
Shobha Khurana	20800
Sahul Khurana	72000
Rahul Khurana	3600
Total	300000

Equity Share Breakup	Percentage of Holding
Category
Directors or relatives of directors	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Trader of Water, Tea and Coffee Vending Machines and Related Services.
Products :	Water Dispensers v Frosty v Fire and Ice v Mega v Classic v Basic v Icy Hot Beverage Dispensers v Cafe Mini v Cafe Plus v Vendor
Imports :
Products :	Raw Material
Countries :	China
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

GENERAL INFORMATION

Customers :

Wholesaler and Retailers

· Belltech

· Bisleri

No. of Employees :

50 (Approximately)

Bankers :

· HDFC Bank Limited, HDFC Bank House, Senapati Bapat Marg, Lower Parel (West), Mumbai – 400 013, Maharashtra, India

· Bank of India, Greater Kailash – II, New Delhi, India

· ICICI Bank Limited

· Citi Bank

Facilities :

Secured Loan	As on 31.03.2011 [Rs. in Millions]	As on 31.03.2010 [Rs. in Millions]
Overdraft from HDFC Bank Limited [Against hypothecation of stock and mortgage of land and building of the company]	20.175	14.993
ICICI Bank Limited [Against hypothecation of car]	0.000	0.158
HDFC Loan	2.868	3.775
Total	23.043	18.926
Unsecured Loan
From Directors Friends and Relatives	5.500	5.500
From K S Khurana	0.220	0.871
Form Citi Bank	0.000	0.132
Bank of India TOD	0.586	0.000
From Sahul Khurana	5.987	5.745
Total	12.293	12.248

Banking Relations :	--
Auditors :
Name :	Sunil Vijay and Associates Chartered Accountants
Address :	R-700, New Rajinder Nagar, New Delhi – 110 060, India
Tel. No.:	91-11-28743579
Fax No.:	91-11-28743577
E-Mail :	sunilvijay22@rediffmail.com
Pan No.:	AAIFS6442A
Associates/Subsidiaries :	The Vending Company

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
500000	Equity Shares	Rs.10/- each	Rs.5.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
300000	Equity Shares	Rs.10/- each	Rs.3.000 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		3.000	3.000	3.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		3.899	2.774	1.953
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		6.899	5.774	4.953
LOAN FUNDS
1] Secured Loans		23.043	18.926	19.658
2] Unsecured Loans		12.293	12.248	8.325
TOTAL BORROWING		35.336	31.174	27.983
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		42.235	36.948	32.936
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		11.114	11.923	13.122
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	16.648	14.072	8.572
	Sundry Debtors	14.725	15.003	17.881
	Cash & Bank Balances	0.054	0.040	0.042
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	6.537	4.459	4.787
Total Current Assets		37.964	33.574	31.282
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	3.577	6.466	8.982
	Other Current Liabilities	2.814	1.656	2.206
	Provisions	0.452	0.327	0.280
Total Current Liabilities		6.843	8.549	11.468
Net Current Assets		31.121	25.025	19.814
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		42.235	36.948	32.936

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Sales	89.313	55.689	51.529
		Service Income	1.240	1.184	1.066
		Rental Income	0.480	0.320	0.000
		Foreign exchange fluctuation income	0.359	0.054	0.000
		Other Income	0.010	0.081	0.026
		TOTAL	91.402	57.328	52.621
Less	EXPENSES
		Cost of goods traded and material consumed	72.938	44.027	39.099
		Salary and Wages	4.344	3.256	3.223
		Contribution to ESI and PF	0.500	0.420	0.404
		Advertisement	0.915	0.314	0.511
		Telephone	0.392	0.292	0.271
		Power and Fuel	0.280	0.290	0.284
		Conveyance	1.207	0.146	0.154
		Security Charges	0.200	0.271	0.316
		Rate Difference/ Discount	0.013	0.965	0.644
		Other Expenses	7.908	4.977	6.013
		TOTAL	88.697	54.958	50.919
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		2.705	2.370	1.702
Less/ Add	DEPRECIATION/ AMORTISATION		1.127	1.222	0.972
	PROFIT / (LOSS) BEFORE TAX		1.578	1.148	0.730
Less	TAX		0.452	0.327	0.280
	PROFIT / (LOSS) AFTER TAX		1.126	0.821	0.450
	Earnings / (Loss) Per Share (Rs.)		3.75	2.73	--

Particulars	31.03.2012
Sales Turnover [Approximately]	130.000 [Advertisement and Market Capture]

Expected Sales (2012-13) : Rs.130.000 Millions

The above information has been parted by Mr. Anand.

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	1.23	1.43	0.86
Net Profit Margin (PBT/Sales)	(%)	1.77	2.06	1.42
Return on Total Assets (PBT/Total Assets}	(%)	3.22	2.52	1.64
Return on Investment (ROI) (PBT/Networth)		0.23	0.20	0.15
Debt Equity Ratio (Total Liability/Networth)		6.11	6.88	7.97
Current Ratio (Current Asset/Current Liability)		5.55	3.93	2.73

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	Yes
5) Type of Business	Yes
6) Line of Business	Yes
7) Promoter’s background	Yes
8) No. of employees	Yes
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	Yes
15) Capital in the business	Yes
16) Details of sister concerns	Yes
17) Major suppliers	No
18) Major customers	Yes
19) Payments terms	Yes
20) Export / Import details (if applicable)	Yes
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	Yes

NOTE:

The registered office of the company has been shifted from Y 36, Okhla Industrial Area, Phase II, New Delhi-110020, India to the present address w.e.f. 20.02.2011.

BANKERS CHARGES REPORT AS PER REGISTRY

This form is for	Modification of charge
Charge identification number of the modified	10096104
Corporate identity number of the company	U74899DL1985PTC019955
Name of the company	A K SYSTEM ENGINEERS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	322, NEB Sarai, New Delhi-110068, India
Type of charge	Book Debts Movable Property [not being pledge] Floating Charge Immovable Property
Particular of charge holder	HDFC Bank Limited, HDFC Bank House, Senapati Bapat Marg, Lower Parel (West), Mumbai – 400 013, Maharashtra, India Email: rbbform8@hdfcbank.com
Nature of description of the instrument creating or modifying the charge	a] Supplementary Letter of Hypothecation. b] Memorandum Recording Past Transaction of Creation of Mortgage by Delivery of Title Deeds. [Collectively constitute a single charge for Rs.29.800 Millions].
Date of instrument Creating the charge	06.01.2012
Amount secured by the charge	Rs.29.800 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest Interest at the rate as may be communicated by the Bank from time to time. Terms of Repayment Working capital facility shall be payable on demand. Term loan facility shall be repayable in suitable installments. Margin As may be stipulated by the Bank from time to time. Extent and Operation of the charge [a] Hypothecation by way of First Charge on Company's Stock and Book Debts etc., to secure as a continuing security as stated, [b] The Company accorded and gave oral consent to Bank to continue to hold and retain the title deeds [by way of Constructive delivery] in respect of its immovable properties as stated under Item No.15 below, as security for repayment of Rs.29.800 Millions together with principal, interest, liquidated damages, costs, charges and expenses.
Short particulars of the property charged	Stock-in-trade, consisting of raw materials, goods in process of manufacturing finished goods, and other merchandise whatsoever being movable properties, now All the Debts, that is, all the book debts, outstanding, monies receivables, claims, bills, invoice documents, contracts, guarantees, and rights which are now Industrial Plot No - 23, Block - B, Sector - 88, Phase - II, Noida.
Date of latest modification prior to the present modification	09.07.2010
Particulars of the present modification	The charge shall now stand increased from Rs.24.800 Millions to Rs.29.800 Millions in favour of the Bank against the security of stocks, book debts and immovable properties being lying and situate at Industrial Plot No - 23, Block - B, Sector - 88, Phase - II, Noida.

FIXED ASSETS:

v Land

v Building

v Furniture and Fixture

v Computer

v Machinery

v Fans

v Vehicles

v Typewriter

v Cycle

v Generator

v Office Equipments

v Refrigeration

v Pager

v Air Conditioner

v Water Cooler

v Mobile Phone

v Tempo

v Water Purifier

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.54.38
UK Pound	1	Rs.86.55
Euro	1	Rs.68.37

INFORMATION DETAILS

Information Gathered by :	PJA
Report Prepared by :	TPT

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	4
--PROFITABILIRY	1~10	3
--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	YES
--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.