MIRA INFORM REPORT

Report Date :

06.11.2012

1. Summary Information

		Country	India
Company Name	ARUN MANUFACTURING SERVICES PRIVATE LIMITED	Principal Name 1	Mr. Harjiwan Prasad Agarwal
Status	Moderate	Principal Name 2	Mr. Arun Agarwal
		Registration #	55-056469
Street Address	B-53, FF Complex, Rani Jhansi Road, New Delhi-110085
Established Date	15.12.1993	SIC Code	--
Telephone#	91-11-23551699	Business Style 1	Manufacturer
Fax #	91-11-23638587	Business Style 2	--
Homepage	--	Product Name 1	PE Films
# of employees	Not Available	Product Name 2	Polyethylene Films
Paid up capital	Rs.7,500,000/-	Product Name 3	LDPE Films
Shareholders	Bodies corporate 4.00%, Directors or relatives of directors 96.00%	Banking	The Bombay Mercantile Bank Limited
Public Limited Corp.	No	Business Period	19 Years
IPO	No	International Ins.	-
Public Enterprise	No	Rating	B (30)
Related Company
Relation	Country	Company Name	CEO
--	--	--	--
Note	-

2. Summary Financial Statement

Balance Sheet as of	31.03.2012		(Unit: Indian Rs.)
Assets		Liabilities
Current Assets	31,536,000	Current Liabilities	37,821,000
Inventories	26,549,000	Long-term Liabilities	12,800,000
Fixed Assets	10,923,000	Other Liabilities	1,745,000
Deferred Assets	000	Total Liabilities	52,366,000
Invest& other Assets	6,151,000	Retained Earnings	15,293,000
		Net Worth	22,793,000
Total Assets	75,159,000	Total Liab. & Equity	75,159,000
Total Assets (Previous Year)	72,999,000
P/L Statement as of	31.03.2012		(Unit: Indian Rs.)
Sales	202,936,000	Net Profit	737,000
Sales(Previous yr)	245,307,000	Net Profit(Prev.yr)	2,043,000

IDENTIFICATION DETAILS

Name :	ARUN MANUFACTURING SERVICES PRIVATE LIMITED
Registered Office :	B-53, FF Complex, Rani Jhansi Road, New Delhi-110085
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	15.12.1993
Com. Reg. No.:	55-056469
Capital Investment / Paid-up Capital :	Rs.7.500 Millions
CIN No.: [Company Identification No.]	U74899DL1993PTC056469
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturing and Marketing of PE Films, Polyethylene Films, LDPE Films, HDPE Geomembrane, HDPE Sheet, PE Tarpaulin and Poly Tarpaulin.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (30)

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

Maximum Credit Limit :	USD 91000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. Profitability of the company appears to be low. However, trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealings with some caution.

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 – June 30, 2012

Country Name	Previous Rating (31.03.2012)	Current Rating (30.06.2012)
India	A1	A1

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

INDIAN ECONOMIC OVERVIEW

India is developing into an open-market economy, yet traces of its past autarkic policies remain. Economic liberalization, including industrial deregulation, privatization of state-owned enterprises, and reduced controls on foreign trade and investment, began in the early 1990s and has served to accelerate the country's growth, which has averaged more than 7% per year since 1997. India's diverse economy encompasses traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. Slightly more than half of the work force is in agriculture, but services are the major source of economic growth, accounting for more than half of India's output, with only one-third of its labor force. India has capitalized on its large educated English-speaking population to become a major exporter of information technology services and software workers. In 2010, the Indian economy rebounded robustly from the global financial crisis - in large part because of strong domestic demand - and growth exceeded 8% year-on-year in real terms. However, India's economic growth in 2011 slowed because of persistently high inflation and interest rates and little progress on economic reforms. High international crude prices have exacerbated the government's fuel subsidy expenditures contributing to a higher fiscal deficit, and a worsening current account deficit. Little economic reform took place in 2011 largely due to corruption scandals that have slowed legislative work. India's medium-term growth outlook is positive due to a young population and corresponding low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy. India has many long-term challenges that it has not yet fully addressed, including widespread poverty, inadequate physical and social infrastructure, limited non-agricultural employment opportunities, scarce access to quality basic and higher education, and accommodating rural-to-urban migration.

Source : CIA

RBI DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

LOCATIONS

Registered Office :	B-53, FF Complex, Rani Jhansi Road, New Delhi-110085, India
Tel. No.:	91-11-23551699 / 23544555
Fax No.:	91-11-23638587
E-Mail :	amspoly@vsnl.com

DIRECTORS

AS ON 30.09.2012

Name :

Mr. Harjiwan Prasad Agarwal

Designation :

Director

Address :

A-3/103, Printer Apartment, Plot 18, Sector -13, Rohini, Delhi-110085, India

Date of Birth/Age :

15.10.1948

Date of Appointment :

15.12.1993

Din No.:

00202780

Other Directorship:

S. No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	U74899DL1993PTC056469	ARUN MANUFACTURING SERVICES PRIVATE LIMITED	Director	15/12/1993	15/12/1993	Active	NO
2	U74899DL1989PTC038054	ARAVALI POLY PRODUCTS PRIVATE LIMITED	Director	15/04/2000	15/04/2000	Active	NO

Name :

Mr. Arun Agarwal

Designation :

Director

Address :

A-3/103, Printer Apartment, Plot 18, Sector -13, Rohini, Delhi-110085, India

Date of Birth/Age :

14.07.1973

Date of Appointment :

15.12.1993

Din No.:

00367521

Other Directorship:

S. No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	U74899DL1993PTC056469	ARUN MANUFACTURING SERVICES PRIVATE LIMITED	Director	15/12/1993	15/12/1993	Active	NO
2	U74899DL1989PTC038054	ARAVALI POLY PRODUCTS PRIVATE LIMITED	Director	15/04/2000	15/04/2000	Active	NO

Name :

Mr. Arvind Agarwal

Designation :

Director

Address :

117, Sunehri Bagh Apartment, Plot 15, Sector 13, Rohini, Delhi-110085, India

Date of Birth/Age :

23.06.1977

Date of Appointment :

01.12.1997

Din No.:

00367584

Other Directorship:

S. No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	U74899DL1993PTC056469	ARUN MANUFACTURING SERVICES PRIVATE LIMITED	Director	01/12/1997	01/12/1997	Active	NO
2	U74899DL1989PTC038054	ARAVALI POLY PRODUCTS PRIVATE LIMITED	Director	15/04/2000	15/04/2000	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2012

Names of Shareholders	No. of Shares
Harjiwan Prasad Agarwal	269160
Arun Agarwal	133160
Rene Gupta	15500
Praveen Agarwal	26500
Arvind Agarwal	71680
Sangeeta Agarwal	8500
Pramod Gupta	18200
Neha Agarwal	40300
Sunita Agarwal	40500
H.P. Agarwal HUF	67500
Arun Agarwal HUF	14500
Arvind Agarwal HUF	14500
Aravali Poly Products Private Limited, India	30000
TOTAL	750000

AS ON 30.09.2012

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	4.00
Directors or relatives of directors	96.00
TOTAL	100.00

BUSINESS DETAILS

Line of Business :

Manufacturing and Marketing of PE Films, Polyethylene Films, LDPE Films, HDPE Geomembrane, HDPE Sheet, PE Tarpaulin and Poly Tarpaulin.

Products :

PRODUCT DESCRIPTION	ITEM CODE
Plastic Sheet	303208007
Micro Cellular Sheet	302702008

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

The Bombay Mercantile Bank Limited, 78, Mohamedali Road, Delhi Branch, 36, Netaji Subash Marg, Daryaganj Delhi, Mumbai-400003, Maharashtra, India

Facilities :

Unsecured Loan	As on 31.03.2012 [Rs. in Millions]	As on 31.03.2011 [Rs. in Millions]
Term Loans
From Friends, Relatives and Their Firms	12.800	7.400
TOTAL	12.800	7.400

Banking Relations :	--
Auditors :
Name :	Agrawal S Lal and Company Chartered Accountants
Address :	A-110, Ganpati Plaza, Bhiwadi-301019, Rajasthan, India
PAN No:	AAHFA2578E

CAPITAL STRUCTURE

AS ON 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
750000	Equity Shares	Rs.10/- each	Rs.7.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
750000	Equity Shares	Rs.10/- each	Rs.7.500 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2012	31.03.2011	31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		7.500	7.500	7.500
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		15.293	14.585	12.480
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		22.793	22.085	19.980
LOAN FUNDS
1] Secured Loans		0.000	0.000	23.381
2] Unsecured Loans		12.800	7.400	2.500
TOTAL BORROWING		12.800	7.400	25.881
DEFERRED TAX LIABILITIES		0.038	0.009	0.070
TOTAL		35.631	29.494	45.931
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		10.923	10.018	10.528
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		6.151	6.151	0.837
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	26.549	22.999	8.864
	Sundry Debtors	8.961	9.247	23.251
	Cash & Bank Balances	0.865	0.511	14.104
	Other Current Assets	1.885	1.386	0.000
	Loans & Advances	19.825	22.687	18.438
Total Current Assets		58.085	56.830	64.657
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	13.749	17.140	22.017
	Other Current Liabilities	24.072	24.248	4.721
	Provisions	1.707	2.117	3.353
Total Current Liabilities		39.528	43.505	30.091
Net Current Assets		18.557	13.325	34.566
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		35.631	29.494	45.931

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	202.936	245.307
		Other Income	1.490	0.015
		TOTAL	204.426	245.322	251.728
Less	EXPENSES
		TOTAL	201.413	240.649	240.443
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		3.013	4.673	11.285
Less/ Add	DEPRECIATION/ AMORTISATION		1.780	1.614	1.447
	PROFIT / (LOSS) BEFORE TAX		1.233	3.059	9.838
Less	TAX		0.496	1.016	2.909
	PROFIT / (LOSS) AFTER TAX		0.737	2.043	6.929
	Earnings / (Loss) Per Share (Rs.)		0.98	2.72	--

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	0.36	0.83	2.75
Net Profit Margin (PBT/Sales)	(%)	0.61	1.25	NA
Return on Total Assets (PBT/Total Assets}	(%)	1.79	4.57	13.09
Return on Investment (ROI) (PBT/Networth)		0.05	0.14	0.49
Debt Equity Ratio (Total Liability/Networth)		2.30	2.30	2.80
Current Ratio (Current Asset/Current Liability)		1.47	1.31	2.15

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	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	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	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 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
31]	PAN of Proprietor/Partner/Director, if available	No
32]	Date of Birth of Proprietor/Partner/Director, if available	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

BANKERS CHARGES REPORT AS PER REGISTRY

This form is for	Modification of charge
Charge identification number of the modified	10160219
Corporate identity number of the company	U74899DL1993PTC056469
Name of the company	ARUN MANUFACTURING SERVICES PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	B-53, FF Complex, Rani Jhansi Road, New Delhi-110085, India
Type of charge	Others
Particular of charge holder	The Bombay Mercantile Bank Limited, 78, Mohamedali Road, Delhi Branch, 36, Netaji Subash Marg, Daryaganj Delhi, Mumbai-400003, Maharashtra, India
Email	bmcdelhi@yahoo.com
Nature of description of the instrument creating or modifying the charge	Agreement of Tangible Movable Property
Date of instrument Creating the charge	27.10.2010
Amount secured by the charge	Rs.10.000 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Terms of Repayment Renewal with Reduction in L/C Limit (DA Basis) from Rs. 15.000 Millions to Rs. 10.000 Millions with 50% Margin in the form of Term Deposits. Margin L/C Limit (DA Basis) of Rs. 10.000 Millions with 50% Margin in the form of Term Deposits. Extent and Operation of the charge L/C Limit (DA Basis) of Rs. 10.000 Millions with 50% Margin in the form of Term Deposits.
Short particulars of the property charged	L/C Limit (DA Basis) of Rs. 10.000 Millions with 50% Margin in the form of Term Deposits.
Date of latest modification prior to the present modification	16.05.2009
Particulars of the present modification	L/C Limit (DA Basis) of Rs. 10.000 Millions with 50% Margin in the form of Term Deposits.

FIXED ASSETS:

· Land

· Building

· Plant and Machinery

· Vehicles

· Furniture and Office Equipments

· Electric Installation

· Computers

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 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 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.54.07
UK Pound	1	Rs.86.69
Euro	1	Rs.69.37

INFORMATION DETAILS

Report Prepared by :

TPT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		30

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.