MIRA INFORM REPORT

Report Date :

26.05.2012

IDENTIFICATION DETAILS

Name :	LOHA ISPAAT LIMITED

Registered Office :	9^th Floor, Naman Centre, C 31, Bandra Kurla Complex, Bandra (East), Mumbai 400051, Maharashtra

Country :	India

Financials (as on) :	31.03.2011

Date of Incorporation :	20.12.1988

Com. Reg. No.:	11-50107

Capital Investment / Paid-up Capital :	Rs. 686.649 Millions

CIN No.: [Company Identification No.]	U27200MH1988PLC050107

TAN No.: [Tax Deduction & Collection Account No.]	MUML05501G

PAN No.: [Permanent Account No.]	AAACL1583C

Legal Form :	A Closely Held Public Limited Liability Company

Line of Business :	Manufacturers of Hot Rolled Coils and Cold Rolled Coils and Sheets

No. of Employees :	400 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (51)

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

Maximum Credit Limit :	USD 13356460

Status :	Good

Payment Behaviour :	Regular

Litigation :	Clear

Comments :	Subject is an established company having fine track. Financial position of the company is good. Trade relations are reported as fair. Business is active. Payments are reported to be regular as per commitment. The company can be considered good for normal 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 – April 1, 2010

Country Name

Previous Rating

(31.12.2009)

Current Rating

(01.04.2010)

India

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

LOCATIONS

Registered Office :	9^th Floor, Naman Centre, C 31, Bandra Kurla Complex, Bandra (East), Mumbai 400051, Maharashtra, India
Tel. No.:	91-22-26102771 / 26127174
Mobile No.:	91-9320470079 (Mr. Rishi Vyas)
Fax No.:	91-22-26102771 / 26122396
Email :	lohaispat@vsnl.net info@lohaispaat.com shobhna_sinkar@rediffmail.com rishi.vyas@lohaispaat.com shobhana.sinkar@lochaispaat.com
Website :	www.lohaispaat.com
Area :	4000 sq.fts.
Location :	Rented

Corporate Office :	201 A, Kailash Apartment, Juhu Church Road, Juhu Market, near Juhu Bus Depo. Andheri (W), Mumbai – 400049, Maharashtra, India
Tel. No.:	9I-22-65224087 / 89

Factory 1 :	E-19, MIDC, Taloja, Raigad-410206, Maharashtra, India
Tel. No.:	91-22-27410838/ 27402647
Fax No.:	91-22-27412347 / 27410938
E-Mail :	lohaispaatimited@yahoo.com
Area :	10000 sq.fts.
Location :	Owned

Factory 2 :	Village – Ransai, Khopoli Pen Road, Taluka – Khalapur, District Raigad – 410203, Maharashtra, India

Branches:	Located At: · Gujarat · Rajasthan · Uttar Pradesh · Madhya Pradesh · Andhra Pradesh · Tamil Nadu

International Offices :	Dubai Hong Kong

DIRECTORS

AS ON 19.07.2011

Name :

Mr. Rajesh G. Poddar

Designation :

Managing Director

Address :

42, Gautam Apartment, 31, Juhu Road, Santacruz (W), Mumbai – 400054, Maharashtra, India

Date of Birth :

18.12.1965

Qualification :

Graduate

Date of Appointment :

20.12.1988

Din No.:

01384067

Other Directorship :

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
U27200MH1988PLC050107	LOHA ISPAAT LIMITED	Managing director	01-01-10	20-12-88	-	Active	NO
U51420MH2000PTC124938	DHANIDEVI PROCESSORS PRIVATE LIMITED	Managing director	15-03-00	15-03-00	-	Active	NO
U67120MH2008PTC189199	LOHA INVESTMENTS PRIVATE LIMITED	Director	29-12-08	29-12-08	-	Active	NO
U51909DL2010PLC209452	LOHA COMMODITIES TRADING LIMITED	Director	18-10-10	18-10-10	-	Active	NO

Name :

Mr. Manish Garg

Designation :

Whole Time Directors

Address :

301, Nalanda Building, Ajanta Nalanda Apartment, Sector – 15, Vashi, Navi Mumbai – 400703, Mahrashtra, India

Date of Birth :

27.02.1975

Qualification :

Graduate

E mail :

maneeshgarg@live.com

manishgarg75@gmail.com

Date of Appointment :

24.05.2002

Din No.:

00096154

Other Directorship :

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
U27200MH1988PLC050107	LOHA ISPAAT LIMITED	Director	24-05-02	24-05-02	-	Active	NO
U67120MH2008PTC189199	LOHA INVESTMENTS PRIVATE LIMITED	Director	22-09-10	01-07-10	-	Active	NO
U51420MH2000PTC124938	DHANIDEVI PROCESSORS PRIVATE LIMITED	Director	01-07-10	01-07-10	-	Active	NO
U51909DL2010PLC209452	LOHA COMMODITIES TRADING LIMITED	Director	18-10-10	18-10-10	-	Active	NO

Name :

Mrs. Anju Poddar

Designation :

Director

Address :

52, Gautam Apt, 31, Juhu Road, Santacruz (West), Mumbai – 400054, Maharashtra, India

Date of Birth :

14.12.1968

Qualification :

Graduate

Date of Appointment :

03.05.1991

Din No.:

00065068

Other Directorship :

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
U27200MH1988PLC050107	LOHA ISPAAT LIMITED	Director	05-03-91	05-03-91	-	Active	NO
U51420MH2000PTC124938	DHANIDEVI PROCESSORS PRIVATE LIMITED	Director	15-03-00	15-03-00	01-07-10	Active	NO
U67120MH2008PTC189199	LOHA INVESTMENTS PRIVATE LIMITED	Director	29-12-08	29-12-08	01-07-10	Active	NO

Name :

Mr. Sanjay Bansal

Designation :

Director

Address :

J-206, Haware Apartments, Sector – 9, Khanda Colony, New Panvel – 410206, Maharashtra, India

Date of Birth :

18.12.1965

Qualification :

Graduate

Date of Appointment :

15.03.2004

E Mail :

bansalsanjay@live.com

Din No.:

00064532

Other Directorship :

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
U27200MH1988PLC050107	LOHA ISPAAT LIMITED	Whole-time director	01-08-09	15-03-04	-	Active	NO
U51909DL2010PLC209452	LOHA COMMODITIES TRADING LIMITED	Director	18-10-10	18-10-10	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Adhikrao Bhosale
E mail :	ab.lohaispaat@gmail.com

Name :	Mr. Pratik Singh
E mail :	pratiksingh@live.com

Name :	Mr. Diren Singh
Designation :	Accounts Manager

Name :	Mr. Hardik Shah
Designation :	Export

Name :	Mr. Rishi Vyas
Designation :	Vice President in Finance

Name :	Ms. Shobhana Vasant Sinkar
Designation :	Company Secretary
Address :	208, Tara Apatment, Bhoir Pada, Jivadani Road, Behind Om Smruti CHS., Virar (East), Thane – 401303, Maharashtra, India
Date of Birth :	14.05.1970
Date of Appointment :	03.08.2009

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 19.07.2011

Name of Shareholders (Equity Shares )	Number of Shares
Rajesh Poddar	49583587
Ayush Poddar	24524
Anushka Poddar	1017551
Manish Garg	67007
Dhanidevi Processors Private Limited, Mumbai, India	10896354
Rajesh Poddar HUF	5035833
Gaurishankar Poddar	134
Loha Investments Private Limited, Mumbai, India	39940
Total	66664930

AS ON 19.07.2011

Name of Shareholders (Preference Shares)	No. of Shares
Rajesh Poddar	1881000
Anushka Poddar	119000
Total	2000000

LIST OF ALLOTTEE

AS ON 31.01.2012

Name of Shareholders (Equity Shares)	No. of Shares
Poddar Advantage Advisors Private Limited, India	171875
Poddar Finin Consultancy Private Limited, India	171875
Total	343750

LIST OF ALLOTTEE

AS ON 31.03.2012

Name of Shareholders (Equity Shares)	No. of Shares
Poddar Advantage Advisors Private Limited, India	2187500
Poddar Finin Consultancy Private Limited, India	1562500
Total	3750000

EQUITY SHARE BREAKUP

AS ON 19.07.2011

Category	Percentage
Bodies Corporate	16.40
Directors or relatives of directors	83.60
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturers of Hot Rolled Coils and Cold Rolled Coils and Sheets

Products :

· H. R. Coils and C. R. Coils

· Hot rolled black coil/ sheets.

· Hot rolled pickled – oiled coil/ sheets

· Hot rolled skin pass coil and sheets.

· Cold rolled closed annealed coils/sheets.

· Galvanised plain coils and sheets / galvanised corrugated sheets

· Tin plate coils/sheets.

· Cold rolled grain oriented and non grain oriented coil / sheets.

· Hot rolled structural, chequered, high tensile, boiler and pressure vessel quality plates.

· Structural (angles, channels, beams/joists etc.)

· bars, rods, rebars and wire rods

PRODUCTION STATUS AS ON 31.03.2011

Particulars	Unit	Installed Capacity
Hot Rolled Coils / Cold Rolled Coils	MT	900000

GENERAL INFORMATION

No. of Employees :

400 (Approximately)

Financial Institution:

State Bank of India Factors and Commercial Services Private Limited, Sahakar Bazar Building, 2^nd Floor, Bandra (West), Mumbai-400050, Maharashtra, India
SBICAP Trustee Company Limited, 202 Maker Tower, E Cuffe Parade, Colaba, Mumbai 400005, Maharashtra, India

Bankers :

State Bank of India, Commercial Branch, Dadar, Mumbai-400014, Maharashtra, India
Kotak Mahindra Bank Limited, 36-38A, Nariman Bhavan, 227 – D, Nariman Point, Mumbai – 400021, Maharashtra, India
HDFC Bank Limited
Federal Bank, Fort Branch, Mumbai, Maharashtra, India
Bank of India, Fort Branch, Mumbai, Maharashtra, India
Punjab National Bank, Fort Branch, Mumbai, Maharashtra, India
Karur Vysya Bank, Central Loan Processing Cell, Kamanwala Chambers, Sir P M Road, Fort, Mumbai 400001, Maharashtra, India
Andhra Bank, Fort Branch, Mumbai, Maharashtra, India
Bank of Maharashtra
State Bank of Travancore, Mumbai Main Branch, N M Wadia Building, 125, M G Road, Mumbai 400023, Maharashtra, India

Facilities :

SECURED LOANS	31.03.2011 RS. IN MILLIONS	31.03.2010 RS. IN MILLIONS
Working Capital Loans from Banks	3223.008	2478.807
Loans taken for Vehicles	20.283	31.480
Other Debts Secured	61.013	98.803
Total	3304.304	2609.090

UNSECURED LOANS	31.03.2011 RS. IN MILLIONS	31.03.2010 RS. IN MILLIONS
Other Debts Unsecured	136.805	0.000
Total	136.805	0.000

Banking Relations :

Auditors :

Name :

A John Moris and Company

Chartered Accountants

Address :

9, Sahana Uttam Co Oprative HSG Society, St. Anthony Road, Chambur, Mumbai-400071, Maharashtra, India

Subsidiary :

· Loha Ispaat Middle East FZCO

· Loha Ispaat Hong Kong Limited

CAPITAL STRUCTURE

AS ON 19.07.2011

No. of Shares	Type	Value	Amount
73000000	Equity Shares	Rs. 10/- each	Rs. 730.000 millions
2000000	8% Redeemable Preferences Shares	Rs. 10 /- each	Rs. 20.000 Millions
	Total		Rs. 750.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
66664930	Equity Shares	Rs. 10/- each	Rs. 666.649 millions
2000000	8% Redeemable Preferences Shares	Rs. 10 /- each	Rs. 20.000 Millions
	Total		Rs. 686.649 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		686.649	653.311	637.587
2] Share Application Money		0.000	150.000	174.810
3] Reserves & Surplus		2652.466	1711.806	483.433
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		3339.115	2515.117	1295.830
LOAN FUNDS
1] Secured Loans		3304.304	2609.090	1504.584
2] Unsecured Loans		136.805	0.000	221.444
TOTAL BORROWING		3441.109	2609.090	1726.028
DEFERRED TAX LIABILITIES		207.319	131.938	39.873

TOTAL		6987.543	5256.145	3061.731

APPLICATION OF FUNDS

FIXED ASSETS [Net Block]		1243.308	1213.057	516.545
Capital work-in-progress		57.619	10.106	28.454

INVESTMENT		13.456	11.396	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000

CURRENT ASSETS, LOANS & ADVANCES
	Inventories	5067.767	3161.589	1737.214
	Sundry Debtors	3812.233	2095.072	1926.879
	Cash & Bank Balances	214.917	163.629	270.605
	Other Current Assets	504.186	120.686	76.167
	Loans & Advances	10.789	348.687	191.322
Total Current Assets		9609.892	5889.663	4202.187
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	3558.695	1595.049	1531.986
	Other Current Liabilities	0.000	0.000	0.000
	Provisions	378.661	273.092	153.469
Total Current Liabilities		3937.356	1868.141	1685.455
Net Current Assets		5672.536	4021.522	2516.732

MISCELLANEOUS EXPENSES		0.624	0.064	0.000

TOTAL		6987.543	5256.145	3061.731

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income for Operations	20835.788	15220.782	9439.101
		Other Income	21.035	16.790	5.728
		TOTAL (A)	20856.823	15237.572	9444.829

Less	EXPENSES
		Material Consumed	19084.324	14015.163	8767.086
		Manufacturing Service Cost	246.514	67.115	39.788
		Employees Costs	54.660	32.321	20.920
		Administrative and Others Expenses	145.007	59.002	34.817
		TOTAL (B)	19530.505	14173.601	8862.611

Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		1326.318	1063.971	582.218

Less	FINANCIAL EXPENSES (D)		520.083	354.959	227.187

	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		806.235	709.012	355.031

Less/ Add	DEPRECIATION/ AMORTISATION (F)		59.541	38.389	10.417

	PROFIT BEFORE TAX (E-F) (G)		746.694	670.623	344.614

Less	TAX (I)		224.209	210.864	115.257

	PROFIT AFTER TAX (G-I) (J)		522.485	459.759	229.357

Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		NA	231.170	155.685

Less	APPROPRIATIONS
		Transfer to General Reserve	NA	2.000	2.000
		Proposed Dividend on Preference Shares	NA	1.872	1.872
		Issue of Bonus Shares	NA	0.000	150.000
	BALANCE CARRIED TO THE B/S		NA	687.057	231.170

	EARNINGS IN FOREIGN CURRENCY		113.600	NA	NA

	Earnings Per Share (Rs.)		7.83	7.26	3.71

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	2.50	3.02	2.43

Net Profit Margin (PBT/Sales)	(%)	3.58	4.41	3.65

Return on Total Assets (PBT/Total Assets}	(%)	6.87	9.44	7.30

Return on Investment (ROI) (PBT/Networth)		0.22	0.27	0.28

Debt Equity Ratio (Total Liability/Networth)		2.27	1.78	2.74

Current Ratio (Current Asset/Current Liability)		2.44	3.15	2.49

LOCAL AGENCY FURTHER INFORMATION

NOTE:

The Registered Address of the company has been shifted from 2, Ganesh Kunj, 1^st Floor, JVPD Scheme, V.M.Road, Next To Juhu Police Station, Juhu, Mumbai – 400049, Maharashtra. to the present address w.e.f. 02.05.2012

FINANCIAL RESULTS:

The Company continued the same activity as in past of processing of HR/CR/GP coils/strips/ plates and during the year Company has achieved turnover of Rs.20835.800 millions as compared to Rs.15220.800 millions in previous year by making 36.89% growth.

form 8:-

Corporate identity number of the company

U27200MH1988PLC050107

Name of the company

LOHA ISPAAT LIMITED

Address of the registered office or of the principal place of business in India of the company

9^th Floor, Naman Centre, C 31, Bandra Kurla Complex, Bandra (East), Mumbai 400051, Maharashtra, India

This form is for

Modification of charge

Type of charge

Immovable property

Book debts

Movable property (not being pledge)

Others

Particular of charge holder

SBICAP Trustee Company Limited, 202 Maker Tower, E Cuffe Parade, Colaba, Mumbai 400005, Maharashtra, India

Email: corporate@sbicaptrustee.com

Nature of instrument creating charge

Indenture of Mortgage for Extending the Charge on Account of increase in Aggregate Limits of the Facilities from Rs. 510 crores to Rs. 860 crores, executed by the Company on 2nd March 2012 to create charge over its immovable properties, Flats at Santacruz and Andheri, Other movable assets,etc (more particularly described in the attached Indenture) to secure repayment of financial assistance granted by various lenders.

Name of Lenders	Amount of Working
	Capital Facilities availed (Rs. In Millions)
State Bank of India	2600.000
The Federal Bank Limited	900.000
Bank of India	1000.000
Bank of Maharashtra	100.000
Punjab National Bank	300.000
The Karur Vysya Bank Limited	500.000
Andhra Bank	500.000
ICICI Bank Limited	990.000
State Bank of Travancore	500.000
Indian Overseas Bank	500.000
Canara Bank	500.000
The City Union Bank Limited	210.000
Total	8600.000

Date of instrument Creating the charge

02.03.2012

Amount secured by the charge

Rs. 8600.000 millions

Brief of the principal terms an conditions and extent and operation of the charge

Rate of interest

As per the first supplementary working capital consortium agreement

Terms of repayment

As agreed between the lenders and borrowers

Margin

As per respective lenders terms

Extent and operation of the charge

The charge extends to the immovable properties, flats and other movable assets which are expressly permitted under the Finance Documents and Security Documents and as are disclosed to the Lenders and the Security Trustee.

Short particulars of the property charged (Including location of the property)

First Pari Passu charge on entire stocks, book debts/receivables and all current assets of the Borrower, both present and future.

First Pari Passu mortgage/charge on a) Land and building at E -19, MIDC Taloja, Dist.- Raigad, Maharashtra admeasuring about 2400 sq mtrs, b) Land and Building at A - 69, MIDC, Taloja, Dist Raigad

Maharashtra admeasuring about 880 sq mtrs, c) Land and Building at A - 79, MIDC, Taloja, Dist Raigad, Maharashtra admeasuring about 1000 sq mtrs., d) Land at Plot E-6/1, MIDC Taloja, Dist.- Raigad

Maharashtra admeasuring about 990 sq mtrs. , e) Land and building at Ransai, Taluka Khalapur, Dist Raigad, Maharashtra admeasuring about 76039.37 sq mtrs.

f) Mortgage of residential flat at E-202, Versova Sameer Co-operative Housing Society, 7 Bungalow, Off J P Road, Behind Avinath Bldg. Versova, Andheri (W), Mumbai -58 belonging to Mrs. Anju Poddar

g) Mortgage of residential flat No.3, Ground Floor, Santacruz Premsagar Co-operative Housing Society,Plot No.21, 17th Rd., Santacruz (West), Mumbai - 400 054 belonging to Mr.Manish Garg.

h) Charge on all P&M and other moveable fixed assets, both present and future,wherever situated(except vehicles) subject to prior charge in favour of Term Lenders on Project Assets to secure TL Fac.

i) Charge/right of Lien-set-off vis-a-vis FDs (2 Nos.) in the name of the Company (original Value Rs.3.000 millions and Rs.5.000 millions respectively)

j) second pari-passu charge on all future project assets including but not limited to PLM, machinery spares, tools, accessories and other assets to be financed out of the proposed TL.

Date of instrument modifying the charge

06.04.2011

Particulars of the present modification

The earlier charge created on properties at MIDC, Taloja, movable properties, flats, etc for securing Rs. 5100 millions from the lenders, is further extended to additional financial assistance of Rs. 3500 millions from the lenders thereby increasing the charge upto Rs. 8600 millions by executing Indenture of Mortgage on 2nd March 2012 by the Company in favour of SBICAP Trustee Company Limited

Fixed Assets

Furniture and Fixture
Plant and Machinery
Building
Land Leasehold
Land Freehold
Vehicles

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	No
10) Designation of contact person	No
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	Yes
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	Yes

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. 55.73
UK Pound	1	Rs. 87.26
Euro	1	Rs. 69.84

INFORMATION DETAILS

Report Prepared by :

PRL

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	7
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		51

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.

MIRA INFORM REPORT

5067.767

3161.589

1737.214

3812.233

2095.072

1926.879

214.917

163.629

270.605

504.186

120.686

76.167

10.789

348.687

191.322

9609.892

5889.663

4202.187

3558.695

1595.049

1531.986

0.000

0.000

0.000

378.661

273.092

153.469

3937.356

1868.141

1685.455

5672.536

4021.522

2516.732

Unit