MIRA INFORM REPORT

Report Date :

19.11.2012

IDENTIFICATION DETAILS

Name :	GUPTA H. C. OVERSEAS (INDIA) PRIVATE LIMITED
Registered Office :	425, Near Tube Well Colony, Buy Pass Road, Agra – 282007, Uttar Pradesh
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	25.04.2008
Com. Reg. No.:	20-035071
Capital Investment / Paid-up Capital :	Rs. 105.008 Millions
CIN No.: [Company Identification No.]	U74900UP2008PTC035071
TAN No.: [Tax Deduction & Collection Account No.]	AGRG10907B
PAN No.: [Permanent Account No.]	AADCG1250E
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Ladies Leather Foot Wear.
No. of Employees :	600 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (32)

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

Maximum Credit Limit :	USD 820000
Status :	Moderate
Payment Behaviour :	Slow but Correct
Litigation :	Clear
Comments :	Subject is a successor of a partnership concern, Gupta Overseas. It is an established company having moderate track. The company is progressing well. Trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for small to mediocre 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 – 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/ Factory :	425, Near Tube Well Colony, Buy Pass Road, Agra – 282007, Uttar Pradesh, India
Tel. No.:	91-562-2601500/ 4017900
Fax No.:	91-562-2600300
E-Mail :	info@guptaoverseas.com companyconsultants@rediffmail.com nirbhaymittal@rediffmail.com
Location :	Owned
Factory :	C-12 and C-13, Industrial Area, UPSIDC, Agra, Uttar Pradesh, India

DIRECTORS

AS ON 30.09.2011

Name :

Mr. Gopal Gupta

Designation :

Director

Address :

O-9, Lawyers Colony, Agra- 282005, Uttar Pradesh, India

Date of Birth/Age :

04.08.1956

Qualification :

B.Sc

Experience :

34 Years

Date of Appointment :

25.04.2008

PAN No.:

ABEPG8906G

DIN No.:

01615266

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	U70200UP2006PTC032460	LIFESTYLE FARMS INDIA PRIVATE LIMITED	Director	16/10/2006	16/10/2006	Active	NO
2	U74900UP2008PTC035071	GUPTA H.C. OVERSEAS (INDIA) PRIVATE LIMITED	Director	25/04/2008	25/04/2008	Active	NO
3	U51909UP2010PTC040054	G.O. TRADE VENTURE PRIVATE LIMITED	Director	29/03/2010	29/03/2010	Active	NO

Name :

Mr. Abhay Gupta

Designation :

Director

Address :

O-9, Lawyers Colony, Bye Pass Road, Agra- 282005, Uttar Pradesh, India

Date of Birth/Age :

02.06.1964

Qualification :

B.Com

Experience :

27 Years

Date of Appointment :

25.04.2008

PAN No.:

AFPPG9756H

DIN No.:

02070564

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	U74900UP2008PTC035071	GUPTA H.C. OVERSEAS (INDIA) PRIVATE LIMITED	Director	25/04/2008	25/04/2008	Active	NO
2	U51909UP2010PTC040054	G.O. TRADE VENTURE PRIVATE LIMITED	Director	29/03/2010	29/03/2010	Active	NO

Name :

Mr. Chetan Gupta

Designation :

Director

Address :

O-9, Lawyers Colony, Dayal Bagh, Bye Pass Road, Agra- 282005, Uttar Pradesh, India

Date of Birth/Age :

07.08.1981

Qualification :

B.B.M., Diploma in footwear designing from Italy

Experience :

7 Years

Date of Appointment :

25.04.2008

PAN No.:

AFAPG1332E

DIN No.:

02070596

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	U74900UP2008PTC035071	GUPTA H.C. OVERSEAS (INDIA) PRIVATE LIMITED	Director	25/04/2008	25/04/2008	-	Active	NO
2	U51909UP2010PTC040054	G.O. TRADE VENTURE PRIVATE LIMITED	Director	29/03/2010	29/03/2010	30/03/2010	Active	NO

Name :

Mr. Ajay Gupta

Designation :

Director

Address :

O-9, Lawyers Colony, Agra- 282005, Uttar Pradesh, India

Date of Birth/Age :

07.01.1961

Qualification :

B.Com

Experience :

28 Years

Date of Appointment :

25.04.2008

PAN No.:

ABEPG8907H

DIN No.:

02098510

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	U74900UP2008PTC035071	GUPTA H.C. OVERSEAS (INDIA) PRIVATE LIMITED	Director	25/04/2008	25/04/2008	Active	NO
2	U51909UP2010PTC040054	G.O. TRADE VENTURE PRIVATE LIMITED	Director	30/03/2010	30/03/2010	Active	NO

Name :

Mr. Rishi Gupta

Designation :

Director

Address :

O-9, Lawyers Colony, PO Dayal Bagh, PS, New Agra- 282005, Uttar Pradesh, India

Date of Birth/Age :

10.09.1983

Qualification :

M.B.A

Date of Appointment :

24.11.2008

PAN No.:

AGFPG6649C

DIN No.:

02418088

KEY EXECUTIVES

Name :	Mrs. Kanika Gupta
Designation :	Secretary
Date of Appointment :	05.08.2010
PAN No.:	ATNPG1173C

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2011

Names of Shareholders	No. of Shares
Gopal Gupta	3000000
Abhay Gupta	5000000
Bina Gupta	1000000
Ajay Gupta	500000
Chetan Gupta	400000
Ritu Gupta	210000
Akshta Gupta	90000
Arpit Gupta	100
H.C Gupta (HUF)	100
Rishi Gupta	300000
H.C Gupta	100
Sushila Gupta	100
Gopal Gupta (HUF)	100
Abhay Gupta (HUF)	100
Ajay Gupta (HUF)	100
Kapil Gupta	100
Total	10500800

AS ON 30.09.2011

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

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Ladies Leather Foot Wear.

GENERAL INFORMATION

No. of Employees :

600 (Approximately)

Bankers :

Ø Bank of India, Agra SME Branch, LIC Building, Sanjay Place, Agra – 282002, Uttar Pradesh, India

Ø Bank of India, Agra Mid Corporate Branch, 49-50, Sulabh Puram, Sikandra Bodla Road, Agra – 282007, Uttar Pradesh, India

Facilities :

Secured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Rupee term loans banks secured	24.167	42.584
Working capital loans banks secured	388.648	347.953
Total	412.815	390.537
Unsecured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Loans directors unsecured	26.030	28.069
Other debt unsecured	17.429	8.417
Total	43.459	36.486

Banking Relations :	--
Auditors :
Name :	Sahib P. Satsangee and Company Chartered Accountants
Address :	63, Nehru Nagar, Agra - 282002, Uttar Pradesh, India
Tel. No.:	91-562-3293796/ 2520053
Fax No.:	91-562-2520053
Income-tax PAN of auditor or auditor's firm :	ABTPS6332H

CAPITAL STRUCTURE

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
15,000,000	Equity Shares	Rs. 10/- each	Rs. 150.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
10,500,800	Equity Shares	Rs.10/- each	Rs. 105.008 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		105.008	105.007	105.004
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		100.148	61.699	27.106
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		205.156	166.706	132.110
LOAN FUNDS
1] Secured Loans		412.815	390.537	205.343
2] Unsecured Loans		43.459	36.486	41.185
TOTAL BORROWING		456.274	427.023	246.528
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		661.430	593.729	378.638
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		378.246	334.916	339.339
Capital work-in-progress		39.965	8.572	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	246.948	96.685	34.928
	Sundry Debtors	227.587	153.102	81.736
	Cash & Bank Balances	15.456	142.923	19.819
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	78.691	80.505	57.561
Total Current Assets		568.682	473.215	194.044
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	265.453	169.597	107.781
	Other Current Liabilities	34.605	13.802	1.104
	Provisions	25.405	39.575	46.595
Total Current Liabilities		325.463	222.974	155.480
Net Current Assets		243.219	250.241	38.564
MISCELLANEOUS EXPENSES		0.000	0.000	0.735
TOTAL		661.430	593.729	378.638

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	1832.843	1418.614	1638.168
		Other Income	N.A.	133.775	142.709
		Prior Period Income	N.A.	0.000	0.043
		TOTAL (A)	N.A.	1552.389	1780.920
Less	EXPENSES
		Increase/ (Decrease) in Stock		(31.168)	39.670
		Raw Material Consumed		902.957	1010.792
		Shoes/Retail Purchase		13.497	31.836
		Manufacturing Expenses		294.345	280.785
		Payment to and for Employees		16.710	12.221
		Research and Development Expenses		15.973	20.373
		Administrative Expenses		70.569	76.789
		Selling and Distribution Expenses		129.113	156.747
		Preliminary Expenses Written off		0.735	0.184
		TOTAL (B)	N.A.	1412.731	1629.397
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)			139.658	151.523
Less	FINANCIAL EXPENSES (D)			31.100	40.659
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)			108.558	110.864
Less/ Add	DEPRECIATION/ AMORTISATION (F)			50.472	48.474
	PROFIT BEFORE TAX (E-F) (G)		48.171	58.086	62.390
Less	TAX (H)		9.722	23.493	35.285
	PROFIT AFTER TAX (G-H) (I)		38.449	34.593	27.105
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		56.698	27.105	0.000
Less	APPROPRIATIONS
		Transfer to General Reserve	5.000	5.000	0.000
	BALANCE CARRIED TO THE B/S		91.147	56.698	27.105
	EARNINGS IN FOREIGN CURRENCY
		FOB Value of Export	1631.729	1389.016	1571.097
	CIF VALUE OF IMPORTS		140.636	105.414	60.896
	Earnings Per Share (Rs.)		5.30	3.71	2.91

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	N.A.	2.23	1.52
Net Profit Margin (PBT/Sales)	(%)	2.63	4.09	3.81
Return on Total Assets (PBT/Total Assets}	(%)	5.09	7.19	11.70
Return on Investment (ROI) (PBT/Networth)		0.23	0.35	0.47
Debt Equity Ratio (Total Liability/Networth)		3.81	3.90	3.04
Current Ratio (Current Asset/Current Liability)		1.75	2.12	1.25

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	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	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	No
30]	Major Shareholders, if available	Yes
31]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN 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

FINANCIAL REVIEW

Their company has been growing with the implementation set out policies and working capital efficiencies. However, with the initial stage of introducing ourselves in the Indian domestic market, they have obtained marvellous improvement in sales during financial year 2010-11. However, the export concern of company has attained continuous growth from previous year.

EXPANSION AND DIVERSIFICATION:-

MANUFATURING SEGMENT:-

They are locating their valued customer’s choice by attending international shoe/ shoe components/ machinery fairs. Their company is well equipped with modernised plant and machineries and also updating ourselves time to time. The production division have been strengthened with the new lasts with latest design and shapes in the existing set- up. These installations have converted the production targets into opportunity by optimizing operations, value addition in footwear products and initiating measures to reduce production cost. Further, production through efficient process route of continuous checking at every stage of process was maximised, product-quality was enriched by well managed team of designers/ supervisors and safety parameters from rejections improved further to achieve all time best production performance during the year.

To facilitate and to make well-timed dispatch of export consignments, significant improvement has been made in planning and execution of logistics efficiencies as well.

RETAIL SEGMENT:-

During the financial year 2010-11, Company has achieved retail sale of Rs. 141.568 Millions and they have the potential to boost up the domestic market in the upcoming years. They have crossed out their first year in the domestic market.

They expect to strengthen their brand position at every level, for the said purpose the Retail Division is planned to be separated into a new company. They are also under negotiations with new collaboration of different technical product.

FUTURE PROSPECTUS:-

They are known to be manufacturer and exporter of high fashion and reliable footwear. Company has entered with an upstream portfolio. They are growing higher than other previous year and this will boost their confidence in the prospects for further growth in the upcoming year. Directors have clear vision to confine the position and to build a brand image of the Company on international level. In the line of the said perspective, they have a planned and definite strategy to enter into new established markets of developed countries as Germany, France, U.S. etc.

In the upcoming year, they are also planning to avail PCFC Loans from the bankers to reduce financial burdens.

Further they have to make their team more strong for inspection of leather and other components before taking in the process.

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U74900UP2008PTC035071
Name of the company	GUPTA H.C. OVERSEAS (INDIA) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	425, Near Tube Well Colony, Buy Pass Road, Agra – 282007, Uttar Pradesh, India Email: companyconsultants@rediffmail.com
This form is for	Creation of charge
Type of charge	Book Debts Movable Property
Particular of charge holder	Bank of India, Agra Mid Corporate Branch, 49-50, Sulabh Puram, Sikandra Bodla Road, Agra – 282007, Uttar Pradesh, India Email: nirbhaymittal@rediffmail.com
Nature of description of the instrument creating or modifying the charge	Charge and Hypothecation of Book Debts (CC 531).
Date of instrument Creating the charge	02.08.2011
Amount secured by the charge	Rs. 300.000 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest As applicable from time to time in terms of Bank guidelines on FCBD limits. As applicable from time to time in terms of Bank guidelines on PCFC limits. Terms of Repayment Repayable on demand. Margin PCFC- 25% FDBD- Nil Extent and Operation of the charge The co's properties are hypothecated to secure sub limit of Export Packing Credit/ FBP Limit of Rs. 300.000 Millions granted by bank to the borrower.
Short particulars of the property charged	Hypothecation of all tangible and movable assets in particular stocks, shoes, raw materials, libs, leather, uppers, heals, inner lining, etc, lying at factory and/ or in transit. Charge and Hypothecation of all the book debts, outstandings, moneys, receivables, claims and bills which are now due and owing or which may at any time hereafter during the continuance of the security become due and owing to the borrower in the course of its business by any person, company or by the government or any local or public body or authority.

CONTINGENT LIABILITIES

Income tax demand for Assessment completed under section 143 (3) of the income tax Act, 1961 for assessment year 2008-09 Rs. 4.337 Millions. (Last year Bank guarantee issued for provisional release of export consignment amounting to Rs. 2.800 Millions, matter settled in favor of the company during the year.)

FIXED ASSETS:

Ø Land

Ø Building

Ø Furniture and Fixture

Ø Electric Fan and Fitting

Ø Vehicles – Car

Ø Computers

Ø Shoe Lasts

Ø Plant and Machinery

Ø Air Conditioner

Ø Camera

Ø Fax Machine

Ø Generator

Ø Machinery

Ø Mobile Phone

Ø Scooter

Ø Television

Ø Typewriter

Ø Water Cooler

Ø Xerox Machine

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. 54.99
UK Pound	1	Rs. 87.21
Euro	1	Rs. 70.22

INFORMATION DETAILS

Report Prepared by :

BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--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		32

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
-	NB	New Business	-

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.