MIRA INFORM REPORT

Report Date :

29.11.2012

IDENTIFICATION DETAILS

Name :	FORMULA CORPORATE SOLUTIONS INDIA PRIVATE LIMITED (w.e.f. 18.11.2010)
Formerly Known As :	FORMULAONE CORPORATE SOLUTIONS PRIVATE LIMITED
Registered Office :	2/6, Second Floor, West Patel Nagar, (Opposite Metro Rail Pillar No.193), New Delhi – 110008
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	20.01.2004
Com. Reg. No.:	55-124193
Capital Investment / Paid-up Capital :	Rs.18.000 Millions
CIN No.: [Company Identification No.]	U74999DL2004PTC124193
TAN No.: [Tax Deduction & Collection Account No.]	DELF02406F
PAN No.: [Permanent Account No.]	AAACF7818E
Legal Form :	Private Limited Liability Company
Line of Business :	Providing Corporate Service Solutions and Relocation Services.
No. of Employees :	Not Available

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 120000
Status :	Moderate
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Subject is an established company having moderate track. The latest financial of the company are not made available. As per previous year’s, we found that the reserve of the company is low and huge external borrowings are recorded by the company. However, trade relations are reported as fair. Business is active. Payment terms are unknown in absence of latest financials. The company can be considered for business dealings with some cautions.

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/ Corporate Office :	2/6, Second Floor, West Patel Nagar, (Opposite Metro Rail Pillar No.193), New Delhi – 110008, India
Tel. No.:	91-11-45054444
Fax No.:	91-11-45028318
E-Mail :	skb090909@yahoo.co.in accounts@formulaone-india.com accounts@formulaindia.com
Website :	http://www.formulaindia.com
Branch Office :	Located at: · Jasola · Chennai · Bangalore · Pune · Gurgaon · Mumbai · Ahmedabad
Japan Representative Office:	2F EXOS Ebisu, 1-24-14, Ebisu, Shibuya-Ku, Tokyo-150-0013 Phone No. - 81-3-5449-6061 Fax - 81-3-5449-3267 8F Nakato- Marunouchi Bldg.3-17-6, Marunouchi, Naka-Ku, Nagoya-460-0002 Phone No. - 81-52-973-3957 Fax - +81-(0)52-973-9293

DIRECTORS

(AS ON 30.09.2011)

Name :

Mr. Raman Narula

Designation :

Director

Address :

B-381, New Friends Colony, New Delhi – 110065, India

Date of Birth/Age :

22.10.1968

Date of Appointment :

28.01.2004

DIN No.:

01007865

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	U74899DL1989PTC037588	NARULA TRAVELS PVT.LTD.	Director	05/09/1989	05/09/1989	Active	NO
2	U74999DL2004PTC124193	FORMULA CORPORATE SOLUTIONS INDIA PRIVATE LIMITED	Director	28/01/2004	28/01/2004	Active	NO
3	U74140DL2010PTC202270	FRS RELOCATION SERVICES INDIA PRIVATE LIMITED	Director	04/05/2010	04/05/2010	Active	NO

Name :

Mrs. Ritu Narula

Designation :

Director

Address :

B-381, New Friends Colony, New Delhi – 110065, India

Date of Birth/Age :

19.11.1967

Date of Appointment :

28.01.2004

DIN No.:

01048870

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	U74999DL2004PTC124193	FORMULA CORPORATE SOLUTIONS INDIA PRIVATE LIMITED	Director	28/01/2004	28/01/2004	-	Active	NO
2	U74140DL2010PTC202270	FRS RELOCATION SERVICES INDIA PRIVATE LIMITED	Director	04/05/2010	04/05/2010	01/03/2011	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 30.09.2011)

Names of Shareholders	No. of Shares
Raman Narula	1783800
Ritu Narula	6000
Nikhilesh Bhowmick	5100
Shivani Aggarwal	5100
Total	1800000

(AS ON 30.09.2011)

Equity Shares Break – up

Category	Percentage
Directors or relatives of directors	99.43
Other top fifty shareholders	0.57
Total	100.00

BUSINESS DETAILS

Line of Business :

Providing Corporate Service Solutions and Relocation Services.

Products :

Products Description	Item Code No.
Service Sector – Transportation	0712
Service Sector – Travel Agent	0713
Service Sector – Others	0714

GENERAL INFORMATION

No. of Employees :	Not Available
Bankers :	· ING Vysya Bank Limited 55, Ground Floor, West Avenue Road, Punjabi Bagh, New Delhi - 110026, India · Canara Bank 74, Janpath, New Delhi - 110001, India

Banking Relations :	--
Auditors :
Name :	S. K. Bharti and Company Chartered Accountant
Address :	302, Surya Tower, 31 DDA Community Centre, Paschim Vihar, New Delhi – 110063, India
Tel No.:	91-11-25287361
PAN No.:	AACFS6942B

CAPITAL STRUCTURE

(AS ON 29.09.2012)

Authorised Capital :

No. of Shares	Type	Value	Amount
3000000	Equity Shares	Rs.10/- each	Rs.30.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
3000000	Equity Shares	Rs.10/- each	Rs.30.000 Millions

(AS ON 31.03.2011)

Authorised Capital :

No. of Shares	Type	Value	Amount
2000000	Equity Shares	Rs.10/- each	Rs.20.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1800000	Equity Shares	Rs.10/- each	Rs.18.000 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		18.000	9.000	6.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		12.082	10.648	5.010
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		30.082	19.648	11.010
LOAN FUNDS
1] Secured Loans		57.895	41.459	27.167
2] Unsecured Loans		0.000	0.000	1.816
TOTAL BORROWING		57.895	41.459	28.983
DEFERRED TAX LIABILITIES		6.230	4.462	2.679
TOTAL		94.207	65.569	42.672
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		77.350	54.541	34.613
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.000	0.000	0.000
	Sundry Debtors	17.782	9.926	5.346
	Cash & Bank Balances	3.755	1.621	1.686
	Other Current Assets	22.694	14.016	3.203
	Loans & Advances	2.334	4.593	8.555
Total Current Assets		46.565	30.156	18.790
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	11.047	6.137	9.111
	Other Current Liabilities	15.661	10.706
	Provisions	3.000	2.285	1.620
Total Current Liabilities		29.708	19.128	10.731
Net Current Assets		16.857	11.028	8.059
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		94.207	65.569	42.672

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		TOTAL	115.939	79.684	53.926
Less	EXPENSES
		TOTAL	100.570	58.792	40.544
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		27.962	20.892	13.382
Less/ Add	DEPRECIATION/ AMORTISATION		12.593	8.372	6.176
	PROFIT BEFORE TAX		15.369	12.520	7.206
Less	TAX		4.769	3.883	1.419
	PROFIT AFTER TAX		10.600	8.637	5.787
	Earnings Per Share (Rs.)		11.77	9.93	--

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	9.14	10.84	10.73
Return on Total Assets (PBT/Total Assets}	(%)	12.40	14.78	13.49
Return on Investment (ROI) (PBT/Networth)		0.51	0.64	0.65
Debt Equity Ratio (Total Liability/Networth)		2.91	3.08	3.61
Current Ratio (Current Asset/Current Liability)		1.57	1.58	1.75

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	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	No
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 711, 7^th Floor, Padma Tower – I, Rajendra Palace, New Delhi – 110008, India, to the present address w.e.f. 11.01.2010.

CONTINGENT LIABILITY:

The contingent Liability as on 31.03.2011 was Rs.5.950 Millions (Rs.0.100 Million to Sales Tax and Rs.5.850 Millions Bank Guarantee given to IITA) (Previous Year- Rs.0.100 Million to Sales Tax and Rs.2.700 Millions Bank Guarantee given to IITA)

FORM 8

This form is for	Modification of charge
Charge identification number of the modified	10271102
Corporate identity number of the company	U74999DL2004PTC124193
Name of the company	FORMULA CORPORATE SOLUTIONS INDIA PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	2/6, Second Floor, West Patel Nagar, New Delhi – 110008, India skb090909@yahoo.co.in
Type of charge	Book Debts Floating Charge Other: Hypothecation of stocks.
Particular of charge holder	ING Vysya Bank Limited 55, Ground Floor, West Avenue Road, Punjabi Bagh, New Delhi – 110026, India CIN No.: L85110KA1930PLC000124 Email: cms@companiesinn.com
Nature of description of the instrument creating or modifying the charge	Supplemental Facility Cum Hypothecation Agreement.
Date of instrument Creating the charge	13/03/2012
Amount secured by the charge	Rs.30.350 Millions
Brief particulars of the principal terms and conditions and extent and operation of the charge	Rate of Interest SOD : IVBR+3.00% BG: Commission1% p.a. Terms of Repayment SOD : On Demand BG : On Demand Margin SOD : Nil BG : 20% Extent and Operation of the charge First and exclusive charge of present and future current assets inclusive of all stocks and book debts. Others Nil
Short particulars of the property charged	Present and future current assets inclusive of all stocks and book debts.
Particulars of the present modification	The total limit has been modified to Rs.30.350 Millions as follows: SOD : Rs.14.000 Millions BG : Rs.16.350 Millions The hypothecation on the assets of the company extended to the modified limit.

FIXED ASSETS:

· Vehicles

· Plant and Machinery

· Furniture and Fixture

· Computers

WEBSITE DETAILS

About Formula Group

Formula Group was incorporated in January 2004. As a provider of corporate service solutions and Relocation services, providing very fast and reliable customer solutions, Formula Group quickly won a lot of big international companies as customers. More and additional service components had been developed, enabling the supply of even more customer oriented solutions.

Today Formula Group has a staff strength of 450 employees. Locations in Delhi, Gurgaon, Bangalore, Chennai, Ahmedabad and Pune. A 24 Hours helpline guarantee strong customer proximity and fast solutions. Through the supply of an array of crucial Relocation and Corporate services, Formula Group provides its customers Single Window Solutions according to their specific needs.

India, a country that is inherently rich in culture, diverse in language is today, a potential player in the global economy. The unprecedented growth of multinational companies in India has opened doors to expatriates and foreign investors. The wide range of Support Services and solutions have ensured many of them a smooth transition. They can rely on their owned and managed network of diverse resource for an experience that is absolutely hassle-free.

The Group

Formula Group is a subsidiary of the renowned Narula Group - a name that has been a part of the service industry for the past two decades. The group conducts its operations through its many established ventures. Narula Travels manages both inbound and outbound travel plans of some of the most discerning corporate. Narula International represents some of the most reputed universities of Europe, USA and Australia and Directs overseas education aspirants towards their goals. Holiday Representation is an outbound tour organization. Formula Corporate Solutions is a part of this burgeoning empire and is the Relocation and Corporate Management Services arm of the Group.

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.55.70
UK Pound	1	Rs.89.34
Euro	1	Rs.72.35

INFORMATION DETAILS

Report Prepared by :

NIT

SCORE & RATING EXPLANATIONS

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