MIRA INFORM REPORT

Report Date :

17.11.2012

IDENTIFICATION DETAILS

Name :	AARTI STEELS LIMITED
Registered Office :	Miller Ganj G T Road, Ludhiana – 141 003, Punjab
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	06.06.1979
Com. Reg. No.:	16-3991
Capital Investment/ Paid-up Capital:	Rs.104.290 Millions
CIN No.: [Company Identification No.]	U17115PB1979PLC003991
TAN No.: [Tax Deduction & Collection Account No.]	JLDM01231G
PAN No.: [Permanent Account No.]	AABCA4455D
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of Round Bars, steel Wire and Steel Billets
No. of Employees:	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (50)

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

Maximum Credit Limit :	USD 12300000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established company having good track record. Financially company appears good. But in the year 2010-11 there is slight dip in the profitability. However, company performance has been appreciable. Trade relation are reported to be fair. Business is active. Payment are reported to be regular and as per commitment. The company can be considered for normal business dealing at usual trade terms and condition.

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

EXTERNAL AGENCY RATING

Rating Agency Name	ICRA
Rating	BBB+ (Term Loan)
Rating Explanation	Having moderate degree of safety regarding timely servicing of financial obligations it carry moderate credit risk.
Date	January 2012

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 :	Miller Ganj G T Road, Ludhiana – 141 003, Punjab, India
Tel. No.:	91-161-3006100
Fax No.:	91-161-3006150
E-Mail :	aslldh@satyam.net.in info@aartisteelsltd.com
Website :	www.aartisteelsltd.com
Works (Ludhiana) :	(Arc Furnace Division) Focal point, Ludhiana – 141 010, Punjab, India
Tel. No.:	91-161-3006200
Fax No.:	91-161-3600250
Email:	aarti@jla.vsnl.net.in
Web Site:	www.aartisteelsltd.com
Works (Orissa) :	Ghantikhal P O Mahakalbasta, Via Athgarh, district Cuttack -754029, Orissa
Tel. No.:	91-671-3061000 / 2871282
Fax No.:	91-671-3061150 / 2871281
Works:	Steel and Power Division Plot No 11/1B/41 Sector 11 CDA Bindansi, Cuttack - 753014, Orissa, India

DIRECTORS

As on 29.09.2011

Name :

Mr. Shiv Prasad

Designation :

Managing Director

Address :

154/1 Rani Jhansi Road, civil Lines, Ludhiana – 141 001

Date of Birth/Age :

07.08.1936

Date of Appointment :

01.04.2010

Din No.:

01091474

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	Date of cessation	Company/ LLP Status	Defaulting status
1	L51909DL1981PLC023796	CREATIVE INTRA LIMITED	Director	19/06/1984	19/06/1984	-	Active	NO
2	U27109PB1993PLC014037	AARTI INTERNATIONAL LIMITED	Managing director	20/02/2009	20/02/2004	-	Active	NO
3	U00000PB2004NPL026873	NIMBUA GREENFIELD (PUNJAB) LIMITED	Director	01/03/2004	01/03/2004	-	Active	NO
4	U70100PB2005PTC027897	H.L.REAL ESTATES (P) LTD.	Director	27/01/2005	27/01/2005	-	Active	NO
5	U17115PB1979PLC003991	AARTI STEELS LIMITED	Managing director	01/04/2010	30/09/2006	-	Active	NO
6	U27109PB1974PLC003486	LUDHIANA STEELS LTD	Director	29/09/2011	05/07/2011	06/02/2012	Active	NO

Name :

Mr. Rattan Singhania

Designation :

Director

Address :

B4/227Safdar Ganj Enclave, New Delhi – 110 029, India

Date of Birth/Age :

01.07.1949

Date of Appointment :

30.09.2006

Din No.:

00147685

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	Date of cessation	Company/ LLP Status	Defaulting status
1	L67120DL1983PLC016575	CAPITAL FINVEST LIMITED	Whole-time director	01/04/2008	20/09/1983	-	Active	NO
2	U74140PB1988PTC008504	PATH FINDERS PVT LTD	Director	24/06/1988	24/06/1988	-	Active	NO
3	U74899DL1983PTC015042	GODAWARI TRADING COMPANY PRIVATE LIMITED	Director	29/07/1988	29/07/1988	18/08/2008	Active	NO
4	U67120DL1993PLC052022	CAPITAL SECURITIES LIMITED	Director	01/04/1998	01/04/1998	05/09/2008	Active	NO
5	U17115PB1979PLC003991	AARTI STEELS LIMITED	Director	30/09/2006	30/09/2006	-	Active	NO
6	U74899DL1990PTC039615	DISHA COMMERCIALS PRIVATE LIMITED	Director	29/11/2006	29/11/2006	04/01/2008	Active	NO

Name :

Mr. Rajeev Kumar Mittal

Designation :

Whole Time Director

Address :

154/1 Rani Jhansi Road, civil Lines, Ludhiana – 141 001

Date of Birth/Age :

13.04.1962

Date of Appointment :

30.09.2006

Din No.:

00765697

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	Date of cessation	Company/ LLP Status	Defaulting status
1	U17115PB1979PLC003991	AARTI STEELS LIMITED	Whole-time director	01/04/2010	30/09/2005	-	Active	NO
2	U27109PB1993PLC014037	AARTI INTERNATIONAL LIMITED	Director	30/09/2006	30/09/2006	-	Active	NO
3	U27109PB1974PLC003486	LUDHIANA STEELS LTD	Director	29/09/2011	05/07/2011	06/02/2012	Active	NO

Name :

Mr. Mahesh Kumar Mittal

Designation :

Whole Time Director

Address :

154/1 Rani Jhansi Road, civil Lines, Ludhiana – 141 001

Date of Birth/Age :

08.12.1959

Date of Appointment :

01.04.2010

Din No.:

00765808

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	Date of cessation	Company/ LLP Status	Defaulting status
1	U27109PB1993PLC014037	AARTI INTERNATIONAL LIMITED	Director	30/09/2005	30/09/2005	-	Active	NO
2	U17115PB1979PLC003991	AARTI STEELS LIMITED	Whole-time director	01/04/2010	30/09/2005	-	Active	NO
3	U27109PB1974PLC003486	LUDHIANA STEELS LTD	Director	29/09/2011	05/07/2011	06/02/2012	Active	NO

Name :

Mr. Omprakash Bhatia

Designation :

Director

Address :

802, Himadri Apartment, 22 Ballygunge Park Road, Kolkata – 700019, West Bengal, India

Date of Birth/Age :

15.07.1935

Date of Appointment :

30.09.2005

Din No.:

01251010

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	Date of cessation	Company/ LLP Status	Defaulting status
1	L51909DL1981PLC023796	CREATIVE INTRA LIMITED	Managing director	01/08/2007	18/12/1981	14/03/2011	Active	NO
2	U17115PB1979PLC003991	AARTI STEELS LIMITED	Director	30/09/2005	30/09/2005	-	Active	NO

Name :

Mr. Vinayak Mittal

Designation :

Whole Time Director

Address :

154/1 Rani Jhansi Road, civil Lines, Ludhiana – 141 001 Punjab, India

Date of Birth/Age :

05.06.1986

Date of Appointment :

01.05.2008

Din No.:

01942598

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	Date of cessation	Company/ LLP Status	Defaulting status
1	U27109PB1993PLC014037	AARTI INTERNATIONAL LIMITED	Director	29/09/2008	01/05/2008	-	Active	NO
2	U17115PB1979PLC003991	AARTI STEELS LIMITED	Whole-time director	01/05/2008	01/05/2008	-	Active	NO
3	U27109PB1974PLC003486	LUDHIANA STEELS LTD	Director	29/09/2011	05/07/2011	06/02/2012	Active	NO

KEY EXECUTIVES

Name :	Mr. Dinesh Kumar Behal
Designation :	Secretary
Address :	3235 Phase –II, Urban Estate, Dugri, Ludhiana – 141 013, Punjab, India
Date of Birth/Age :	19.02.1958
Date of Appointment :	25.04.2011
Pan No.:	ABUPB2010Q

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.2011

Names of Shareholders	No. of Shares
Shiv Prasad (Karta)	1821
Mahesh Kumar (Karta)	10221
Raj Rani	39976
Rajeev Kumar (Karta)	9970
Aarti	1000
Shiv Prasad	142207
Uma Mittal	15551
Yash Paul Sharma	2
Shiv Desh Bandhu	2
Creative Intra Limited	483323
Rajeev Mittal	52870
Mahesh Mittal	56428
Sushen Mittal	7294
Pankhuri Mittal	7293
Gayatri Mittal	7294
Vinayak Mittal	12578
Alka Mittal	27166
Isabelle Traders Limited	142351
Shiv Prasad Agarwal and Sons	518
Dinesh Kumar	3
Mohit Gupta	12515
Rohit Gupta	12516
Total	1042899

Equity Share Break up (Percentage of Total Equity)

As on 29.09.2011

Category	Percentage
Bodies corporate	60.00
Directors or relatives of directors	40.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Round Bars, steel Wire and Steel Billets

Products :

Item Code No. (ITC Code)	Product Description
72119000	Round and Bars
72179000	Steel Wire
72079000	Steel Billets

PRODUCTION STATUS 31.03.2011

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Ludhiana
Round and Bars	MT	NA	200000	135665.935
Alloy Steel Casting and Steel Ingots	MT	NA	30000	12747.560
Steel Billets	MT	NA	90000	78550.650
Steel/Bead Wire*	MT	NA	42000	35752.872
Power Generation (Captive)	KWH	NA	43632000	764908
Cuttaack		NA
Sponge Iron	MT	NA	160000	91440.000
Steel Billets	MT	NA	180000	58697.000
Ferro Alloys	MT	NA	25000	10125.000
Power Generation	KWH	NA	691200000	493465460

Note : The Capacities have been taken as certified by the Management and not verified by the Auditors being a technical matter.

* Production of Steel/Bead Wire includes quantity manufactured for others Nil (Previous Year 12.903 MT )Note :During the year 17566.295 MT (Round and Bars) was processed by the outsiders on job work basis (Previous Year :9192.280 MT)

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· State Bank of Patiala Commercial Branch, Aarti Complex, G. T. Road, Miller Ganj, Ludhiana - 141003, Punjab, India

· Indian Overseas Bank, Civil Lines, Fountain Chowk, Ludhiana -141001, Punjab, India

· State Bank of Patiala, Miller Ganj, Ludhiana, Punjab, India

Facilities :

Secured Loans	As on 31.03.2011 Rs. in millions	As on 31.03.2010 Rs. in millions
Rupee term loans banks secured	2480.660	2222.269
Working capital loans banks secured	2064.339	1697.195
Total	4544.999	3919.464

Unsecured Loans	As on 31.03.2011 Rs. in millions	As on 31.03.2010 Rs. in millions
Loans directors unsecured	208.563	219.252
Other debt unsecured	377.661	13.120
Total	586.224	232.372

Banking Relations :	--
Auditors :
Name :	N K Bector and Company Chartered Accountants
Address :	3297/5 Gurdev Nagar Ludhiana, Punjab, India
Pan No.:	AAWPB1817G
Subsidiaries	Ludhiana Steels Limited
Related Party	· Aarti International Limited. Enterprises over which KMP is able to exercise significant influence · Creative Intra Limited · Aarti and Company

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
1500000	Equity Shares	Rs.100/- each	Rs.150.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1042899	Equity Shares	Rs.100/- each	Rs.104.290 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		104.290	108.060	111.584
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		2971.623	2639.183	2295.179
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		3075.913	2747.243	2406.763
LOAN FUNDS
1] Secured Loans		4544.999	3919.464	2467.277
2] Unsecured Loans		586.224	232.372	433.692
TOTAL BORROWING		5131.223	4151.836	2900.969
DEFERRED TAX LIABILITIES		686.879	595.851	394.919
TOTAL		8894.015	7494.930	5702.651
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		4398.966	4463.649	3154.976
Capital work-in-progress		790.432	522.884	711.836
INVESTMENT		63.689	23.010	23.042
DEFERREX TAX ASSETS		0.000	0.0000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	1559.049	1318.391	891.192
	Sundry Debtors	2074.866	1308.351	875.501
	Cash & Bank Balances	196.068	51.284	66.904
	Other Current Assets	0.000	0.000	0.051
	Loans & Advances	519.390	479.278	382.012
Total Current Assets		4349.373	3157.304	2215.660
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	448.245	419.203
	Other Current Liabilities	219.793	241.761	364.855
	Provisions	40.432	11.003	38.008
Total Current Liabilities		708.47	671.967	402.863
Net Current Assets		3640.903	2485.337	1812.797
MISCELLANEOUS EXPENSES		0.025	0.050	0.000
TOTAL		8894.015	7494.930	5702.651

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	9029.468	6734.488	7825.212
		Other Income	21.386	11.313	55.738
		TOTAL (A)	9050.854	6745.801	7880.950
Less	EXPENSES
		Consumption materials changes inventories	5704.064	3805.440
		Manufacturing service costs	916.343	884.202
		Employee related expenses	444.862	353.855
		Administrative selling other expenses	378.368	311.128
		Research development expenditure	2.184	1.735
		TOTAL (B)	7445.821	5356.360	6751.239
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		1605.033	1389.441	1129.711
Less	FINANCIAL EXPENSES (D)		475.688	292.273	361.741
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		1129.345	1097.168	769.970
Less/ Add	DEPRECIATION/ AMORTISATION (F)		536.350	379.257	332.890
	PROFIT BEFORE TAX (E-F) (G)		592.995	717.911	435.080
Less	TAX (H)		211.545	328.082	172.963
	PROFIT AFTER TAX (G-H) (I)		381.450	389.829	262.117
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		0.321	0.492	0.875
Less	APPROPRIATIONS		380.000	390.000	262.500
	BALANCE CARRIED TO THE B/S		1.771	0.321	0.492
	EARNINGS IN FOREIGN CURRENCY		133.331	375.873	1171.337
	IMPORTS
		Raw Materials	309.697	233.512	359.799
		Stores & Spares	140.627	81.584	40.935
		Capital Goods	0.000	0.000	13.095
	TOTAL IMPORTS		450.324	315.096	413.829
	Earnings Per Share (Rs.)		363.96	360.75	234.90

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	4.21	5.77	5.52
Net Profit Margin (PBT/Sales)	(%)	6.57	10.66	5.56
Return on Total Assets (PBT/Total Assets}	(%)	6.78	9.42	8.10
Return on Investment (ROI) (PBT/Networth)		0.19	0.26	0.18
Debt Equity Ratio (Total Liability/Networth)		1.90	1.76	1.37
Current Ratio (Current Asset/Current Liability)		6.14	4.70	5.50

LOCAL AGENCY FURTHER INFORMATION

Check List by Info Agents	Available in Report [Yes/No]
Year of Establishment	Yes
Locality of the Firm	Yes
Constitution of the firm	Yes
Premises details	No
Type of Business	Yes
Line of Business	Yes
Promoters background	Yes
No. of Employees	No
Name of Person Contacted	No
Designation of contact person	No
Turnover of firm for last three years	Yes
Profitability for last three years	Yes
Reasons for variation <> 20%	-
Estimation for coming financial year	No
Capital the business	Yes
Details of sister concerns	Yes
Major Suppliers	No
Major Customers	No
Payment Terms	No
Export / Import Details [If Applicable]	No
Market Information	-
Litigations that the firm / promoter involved in	-
Banking Details	Yes
Banking Facility Details	Yes
Conduct of the banking account	-
Buyer visit details	-
Financials, if provided	Yes
Incorporation details, if applicable	Yes
Last accounts filed at ROC	No
Major Shareholders, if applicable	Yes
Date of Birth of Proprietor/Partner/Director, if available	Yes
PAN of Proprietor/Partner/Director, if available	No
Voter ID No of Proprietor/Partner/Director, if available	No
Yes	No

PRODUCTION:

During the period under reference the production of finished products at Ludhiana Plant of Rolling Mill Division was 135666 MT as compared to the previous year’s production of 119999 MT. The production of Furnace Divisions was 12748 MT as compared to the previous year’s production of 18237 MT. The production of Steel Wire Division was 35753 MT as compared to the previous year’s production of 32715 MT. The production of Steel Billets was 78551 MT as compared to the previous year’s production of 62718 MT and Power Generation was 764908 KWH as compared to the previous year’s 24393897 KWH.

The production at Orissa Plant of Sponge Iron was 91440 MT as compared to the previous year’s production of 97570 MT. The production of Steel Billets was 58697 MT as compared to the previous year’s production of 59678 MT. The Power Generation was 493465460 KWH as compared to the previous year’s 292899804 KWH and production of Ferro Alloys was 10125 MT as compared to the previous year’s production of 10527 MT. However the directors are also hopeful of improvement of production during the next year.

SALES:

The company achieved a turnover of Rs. 9812.600 Millions during the period under reference as compared to previous year’s turnover of Rs.7218.100 Millions. In addition to this, it is also earned other income amounting to Rs.21.385 Millions as compared to Rs. 11.313 Millions during the previous year.

EXPANSION PLAN:

The Directors are pleased to inform that the second DRI Plant having Capacity of 500 TPD is under installation and is expected to commence its operation during the year 2011-12.

FORM 8

Corporate identity number of the company	U17115PB1979PLC003991
Name of the company	AARTI STEELS LIMITED
Address of the registered office or of the principal place of business in India of the company	Miller Ganj G T Road, Ludhiana – 141 003, Punjab, India Email: aslldh@satyam.net.in
This form is for	Creation of charge
Type of charge	Immovable property Movable property (not being pledge)
Particular of charge holder	State Bank of Patiala Commercial Branch, Aarti Complex, G. T. Road, Miller Ganj, Ludhiana - 141003, Punjab, India Email: sbop50463@gmail.com
Nature of instrument creating charge	Agreement of Hypothecation of Goods & Assets Dated 10.04.2012, Letter regarding the Grant of individual Limits within the Overall Limit Dated 10.04.2012.
Date of instrument Creating the charge	10.04.2012
Amount secured by the charge	Rs. 1850.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest Cash Credit: 2.75% above Base Rate i.e presently 13.25% p.a (Folating) ay monthly rests. Term of Payment: Repayable on Demand Margin Raw Materials - 25%, Stocks in Process - 25%, Finished Goods - 25%, Book Debts/Receivables (Upto 180 Days)- 30%. Extent and operation of the charge 100%
Short particulars of the property charged (Including location of the property)	Primary: First Charge on Current Assets of The Company on Pari-Passu Basis With Other Banks And Bills Accompanied By Bills Of Lading, Air Waybills/Rrs/Mtrs (of Approved Carriers) Covering Consignment of Raw Materials, Stores And Spares, Counter Guarantee Of The Company. Collateral: 2nd Charge On The Fixed Assets (Present And Future) on Pari-Passu basis with the other Consortium Members Including Equitable Mortgage of (I) Factory Land Measuring 111724 Sq. Yards (And Building Constructed Thereon) Situated At Village Sherpur, Focal Point, Ludhiana. (II) Factory Land Measuring 786.39 Acres (And Building Constructed Thereon) Situated At Village Ghantikhal, Nidhipur & Athagarh, District Cuttack, Orissa.

CONTINGENT LIABILITY NOT PROVIDED FOR IN RESPECT OF:

(Rs. In Millions )

	31.03.2011	31.03.2010
Letter of Guarantees given by the State Bank of Patiala.	124.523	36.340
Letter of Credit opened and outstanding with Banks	276.726	159.151
Excise matters in disputes pending in appeals.	3.514	1.631
Income Tax matters in disputes pending in appeals.	9.996	0.000
Estimated amount of contracts remaining to be executed on capital account not provided for (Net of Advances)	188.300	309.100

fixed assets:-

v Land

v Building

v Plant and Machinery

v Vehicles

v Furniture and Fixtures

v Software

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.54.96
UK Pound	1	Rs.87.10
Euro	1	Rs.70.03

INFORMATION DETAILS

Report Prepared by :

BYI

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--CREDIT LINES	1~10	6
--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		50

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.