MIRA INFORM REPORT

Report Date :

08.11.2012

IDENTIFICATION DETAILS

Name :	PAYMATE INDIA PRIVATE LIMITED
Registered Office :	No. 111, 1^st Floor, A Wing, Sundervilla, S.V. Road, Santacruz (West), Mumbai – 400054, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	12.05.2006
Com. Reg. No.:	18-205023
Capital Investment / Paid-up Capital :	Rs.429.328 Millions
CIN No.: [Company Identification No.]	U72200MH2006PTC205023
TAN No.: [Tax Deduction & Collection Account No.]	MUMP22632B
Legal Form :	Private Limited Liability Company
Line of Business :	Providing Wireless Transaction Platform.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (26)

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

Maximum Credit Limit :	USD 350000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is a company having moderate track. There appears huge accumulated losses recorded by the company. However, trade relations are fair. Business is active. Payments are reported to be slow. 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 / Head Office :	No. 111, 1^st Floor, A Wing, Sundervilla, S.V. Road, Santacruz (West), Mumbai – 400054, Maharashtra, India
Tel. No.:	91-22-26616170/80 (For Asia Pacific and Middle East) +1-4087861077 (For America, Europe and Africa)
Fax No.:	91-22-26616190
E-Mail :	accounts@paymate.co.in
Website :	www.paymate.co.in

DIRECTORS

AS ON 30.09.2011

Name :

Mr. Ajay Adiseshan

Designation :

Director

Address :

No. 56, Luz Church Road, Mylapore, Chennai – 600004, Tamilnadu, India

Date of Birth/Age :

31.08.1970

Date of Appointment :

12.05.2006

Din No.:

00099023

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	U05001TN1993PTC026313	M R OCEAN FARMS PRIVATE LIMITED	Director	03-12-93	03-12-93	-	Active	NO
2	U72300TN1999PTC043703	WEB RESOURCE PRIVATE LIMITED	Managing director	09-12-99	09-12-99	14-08-08	Active	NO
3	U72200MH2003PTC193963	CORUSCANT TEC PRIVATE LIMITED	Director	18-02-03	18-02-03	28-07-09	Active	NO
4	U72200MH2006PTC205023	PAYMATE INDIA PRIVATE LIMITED	Managing director	21-06-08	12-05-06	-	Active	NO
5	U67190MH2011PTC215411	BLOOM VENTURES PRIVATE LIMITED	Director	28-03-11	28-03-11	-	Active	NO

Name :

Mr. Probir Mihir Roy

Designation :

Director

Address :

No. F9, Venus Apartments, 3^rd Face, Worli Sea Face, Worli, Mumbai – 400018, Maharashtra, India

Date of Birth/Age :

12.11.1958

Date of Appointment :

12.05.2006

Din No.:

00111961

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	U72300TN1999PTC043703	WEB RESOURCE PRIVATE LIMITED	Director	05-05-04	05-05-04	14-04-08	Active	NO
2	U72200MH2003PTC193963	CORUSCANT TEC PRIVATE LIMITED	Director	05-08-04	05-08-04	28-07-09	Active	NO
3	U72200MH2006PTC205023	PAYMATE INDIA PRIVATE LIMITED	Whole-time director	12-05-06	12-05-06	-	Active	NO
4	U72200KA2006PTC041254	AMPELION NETWORKS PRIVATE LIMITED	Director	18-11-07	18-11-07	10-09-10	Active	NO

Name :

Mr. Aniruddha Arvind Nazre

Designation :

Nominee Director

Address :

640, Ashton Avenue, Palo Alto, USA – 94306

Date of Birth/Age :

15.09.1964

Date of Appointment :

16.11.2006

Din No.:

00303970

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	U63040MH2005PTC153232	CLEARTRIP TRAVEL SERVICES PRIVATE LIMITED	Director	09-12-05	09-12-05	10-12-08	Active	NO
2	U72200MH2006PTC205023	PAYMATE INDIA PRIVATE LIMITED	Nominee director	16-11-06	16-11-06	-	Active	NO
3	U74899DL1995PTC065551	C.E. INFO SYSTEMS PRIVATE LIMITED	Director	31-08-07	31-03-07	01-08-11	Active	NO
4	U72200KA2006PTC040763	INMOBI TECHNOLOGIES PRIVATE LIMITED	Director	01-07-08	01-07-08	-	Active	NO
5	U40100MH1997PTC110591	KOTAKURJA PRIVATE LIMITED	Director	30-09-09	01-10-08	-	Active	NO
6	U63030DL2008PTC180429	REVERSE LOGISTICS COMPANY PRIVATE LIMITED	Director	30-09-10	17-05-10	-	Active	NO

Name :

Mr. Sandeep Murthy

Designation :

Nominee Director

Address :

232, Urvashi, Napean Sea Road, Mumbai – 400006, Maharashtra, India

Date of Birth/Age :

22.11.1976

Date of Appointment :

16.11.2006

Din No.:

00591165

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	L74899DL1995PLC068021	INFO EDGE (INDIA) LIMITED	Nominee director	27-07-07	14-07-06	30-04-10	Active	NO
2	U72200MH2006PTC205023	PAYMATE INDIA PRIVATE LIMITED	Nominee director	16-11-06	16-11-06	-	Active	NO
3	U74899DL1995PTC065551	C.E. INFO SYSTEMS PRIVATE LIMITED	Director	31-08-07	31-03-07	-	Active	NO
4	U74999DL2007FTC162833	SHERPALO INDIA ADVISORS PRIVATE LIMITED	Director	01-05-07	01-05-07	-	Active	NO
5	U52399MH2007PLC171178	FUTURE E-COMMERCE INFRASTRUCTURE LIMITED	Director	22-11-08	24-10-07	-	Active	NO
6	U72900KA2006PTC041118	ZOOMIN ONLINE (INDIA) PRIVATE LIMITED	Director	30-09-08	15-11-07	-	Active	NO
7	U63040MH2005PTC153232	CLEARTRIP TRAVEL SERVICES PRIVATE LIMITED	Director	20-09-08	26-02-08	-	Active	NO
8	U72200KA2006PTC040763	INMOBI TECHNOLOGIES PRIVATE LIMITED	Director	01-07-08	01-07-08	-	Active	NO
9	U40100MH1997PTC110591	KOTAKURJA PRIVATE LIMITED	Director	30-09-09	01-10-08	-	Active	NO
10	U63030DL2008PTC180429	REVERSE LOGISTICS COMPANY PRIVATE LIMITED	Director	30-09-10	17-05-10	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2011

EQUITY SHARES

Names of Shareholders	No. of Shares
Ajay Adiseshan	21999
Probir Mihir Roy	4314
Alexander Kuruvilla	2159
Manjula Rajaram	100
Sherpalo Maurutius LLC, Mauritius	4
Murugan Capital, Mauritius	4
Mayfield FVCI Limited, Mauritius	4
TOTAL	28584

NON CUMULATIVE PARTICIPATING OPTIONALLY CONVERTIBLE PREFERENCES SHARES

Names of Shareholders	No. of Shares
Sherpalo Maurutius LLC, Mauritius	3862
Murugan Capital, Mauritius	3862

FULLY CONVERTIBLE PREFERENCES SHARES

Names of Shareholders	No. of Shares
Sherpalo Maurutius LLC, Mauritius	1820
Murugan Capital, Mauritius	1820
Sherpalo Maurutius LLC, Mauritius	2042
Murugan Capital, Mauritius	2042

NON CUMULATIVE PARTICIPATING COMPULSORILY CONVERTIBLE PREFERENCES SHARES

Names of Shareholders	No. of Shares
Sherpalo Maurutius LLC, Mauritius	1513
Murugan Capital, Mauritius	1938
Mayfield FVCI Limited, Mauritius	2544

AS ON 30.09.2011

Equity Share Breakup	Percentage of Holding
Category
Venture Capital	0.04
Directors or relatives of directors	92.06
Other top fifty shareholders	7.90
TOTAL	100.00

BUSINESS DETAILS

Line of Business :

Providing Wireless Transaction Platform.

GENERAL INFORMATION

Bankers :

Corporation Bank, Sadhana Education Society, L.S. Raheja College of Arts and Commerce, Juhu Relief Road, Santacruz (West), Mumbai-400054, Maharashtra, India

Facilities :

Unsecured Loan	As on 31.03.2011 [Rs. in Millions]	As on 31.03.2010 [Rs. in Millions]
Directors Loan	4.113	0.000
Fixed Deposits	4.500	0.000
Total	8.613	0.000

Banking Relations :	--
Auditors :
Name :	Chandran and Raman Chartered Accountant
Address :	83, Gandhi Bazar, Basavanagudi, Bangalore – 560004, Karnataka, India
Tel. No.:	91-80-22425667 / 22423285
Fax No.:	91-80-26604557
E-Mail :	blr1@chandranandraman.com
Website:	www.chandranandraman.com
Pan No.:	AAAFC3239R
Associates/Subsidiaries :	PayMate Inc.

CAPITAL STRUCTURE

AFTER 30.09.2011

Authorised Capital : Rs. 650.000 Millions

Issued, Subscribed & Paid-up Capital : Rs.562.844 Millions

AS ON 30.09.2011

Authorised Capital : Rs.650.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
28584	Equity Shares	Rs.10/- each	Rs.0.286 Millions
3862	Non Cumulative Participating Optionally Convertible Preferences Shares	Rs.14781.84/- each	Rs.57.087 Millions
3862	Non Cumulative Participating Optionally Convertible Preferences Shares	Rs.14694.45/- each	Rs.56.750 Millions
1820	Fully Convertible Preference Shares	Rs.12681.34/- each	Rs.23.080 Millions
1820	Fully Convertible Preference Shares	Rs.12642.48/- each	Rs.23.009 Millions
2042	Fully Convertible Preference Shares	Rs.12726.16/- each	Rs.25.987 Millions
2042	Fully Convertible Preference Shares	Rs.12669.53/- each	Rs.25.871 Millions
1513	Non Cumulative Participating Compulsorily Convertible Preferences Shares	Rs.46905.42/- each	Rs.70.968 Millions
1938	Non Cumulative Participating Compulsorily Convertible Preferences Shares	Rs.46905.46/- each	Rs.90.902 Millions
2544	Non Cumulative Participating Compulsorily Convertible Preferences Shares	Rs.46883.44/- each	Rs.119.271 Millions
	Total		Rs.493.211 Millions

AS ON 31.03.2011

Authorised Capital : Rs.650.000 Millions

Issued, Subscribed & Paid-up Capital : Rs.429.328 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		429.328	407.991	339.807
2] Share Application Money		66.293	0.000	0.000
3] Share Premium		9.789	8.204	0.000
4] Reserves & Surplus		0.000	0.000	0.000
5] (Accumulated Losses)		(415.655)	(321.741)	(235.733)
NETWORTH		89.755	94.454	104.074
LOAN FUNDS
1] Secured Loans		0.000	0.000	0.000
2] Unsecured Loans		8.613	0.000	0.000
TOTAL BORROWING		8.613	0.000	0.000
DEFERRED TAX LIABILITIES		0.000	0.000	7.958
TOTAL		98.368	94.454	112.032
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		33.554	38.829	35.326
Capital work-in-progress		0.000	0.000	5.638
INVESTMENT		0.040	0.040	0.040
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.000	0.000	0.000
	Sundry Debtors	11.310	7.524	9.042
	Cash & Bank Balances	36.827	14.834	33.693
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	52.348	51.440	34.843
Total Current Assets		100.485	73.798	77.578
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	14.529	8.466	5.880
	Other Current Liabilities	21.952	10.781	3.349
	Provisions	1.067	1.065	1.215
Total Current Liabilities		37.548	20.312	10.444
Net Current Assets		62.937	53.486	67.134
MISCELLANEOUS EXPENSES		1.837	2.099	3.894
TOTAL		98.368	94.454	112.032

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Transaction Fees and License Fees	10.340	7.297	7.274
		Other Income	0.251	1.281	5.088
		TOTAL (A)	10.591	8.578	12.362
Less	EXPENSES
		Office Expenses
		Administrative Expenses	95.188	94.983	116.167
		Advertising Expenses
		TOTAL (B)	95.188	94.983	116.167
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		(84.597)	(86.405)	(103.805)
Less	FINANCIAL EXPENSES (D)		0.768	0.000	0.000
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		(85.365)	(86.405)	(103.805)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		8.548	7.561	5.955
	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		(93.913)	(93.966)	(109.760)
Less	TAX (H)		0.000	(7.958)	5.504
	PROFIT / (LOSS) AFTER TAX (G-H) (I)		(93.913)	(86.008)	(115.264)
	EARNINGS IN FOREIGN CURRENCY		5.489	NA	NA
	Earnings / (Loss) Per Share (Rs.)		(3848)	(4151)	--

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	(886.72)	(1002.66)	(932.41)
Net Profit Margin (PBT/Sales)	(%)	(908.25)	(1287.73)	(1508.94)
Return on Total Assets (PBT/Total Assets}	(%)	(70.06)	(83.43)	(97.22)
Return on Investment (ROI) (PBT/Networth)		(1.05)	(0.99)	(1.05)
Debt Equity Ratio (Total Liability/Networth)		0.51	0.22	0.65
Current Ratio (Current Asset/Current Liability)		2.68	3.63	7.43

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	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
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

NOTE:

The registered office of the company has been shifted from 56, Luzchurch Road, Mylapore, Chennai-600004, Tamilnadu, India to the present address w.e.f. 30.04.2010.

PERFORMANCE:

The company being in fifth year of business operations has realized Rs.10.300 Millions from Transaction and Other Fes and Income from Others sources amounting Rs.0.251 Million, loss for the year after tax was Rs.93.900 Millions. The directors are confident that company will show excellent results during the forthcoming years.

BANKERS CHARGES REPORT AS PER REGISTRY

This form is for	Creation of charge
Corporate identity number of the company	U72200MH2006PTC205023
Name of the company	PAYMATE INDIA PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	No. 111, 1^st Floor, A Wing, Sundervilla, S.V. Road, Santacruz (West), Mumbai – 400054, Maharashtra, India
Type of charge	Others
Particular of charge holder	Corporation Bank, Sadhana Education Society, L.S. Raheja College of Arts and Commerce, Juhu Relief Road, Santacruz (West), Mumbai-400054, Maharashtra, India
Email	cb0826@corpbank.co.in
Nature of description of the instrument creating or modifying the charge	Agreement
Date of instrument Creating the charge	13.06.2011
Amount secured by the charge	Rs.4.107 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Extent and Operation of the charge Charge extends and operates on the escrow account operated with Corporation Bank for the purpose of holders of prepaid instruments and merchant establishments.
Short particulars of the property charged	Amount lying in the Corporation Bank escrow account is charged unto the holders of prepaid instruments, merchant establishments, to pay the dues arising out of usage of prepaid instruments or otherwise

FIXED ASSETS:

• Air Conditioner
• Computers and Software
• Furniture and Fixtures
• Office Equipments
• Leasehold Premises

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 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.54.25
UK Pound	1	Rs.87.00
Euro	1	Rs.69.83

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	3
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	2
--CREDIT LINES	1~10	3
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		26

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.