1. Summary Information

		Country	India
Company Name	Vikas Filaments Private Limited	Principal Name 1	Mr. Bajranglal Ramgopal Agarwal
Status	Moderate	Principal Name 2	Mr. Banshi Dhar Singhal
		Registration #	04-020757
Street Address	403, Trividh Chambers, Man Darwaja, Ring Road, Surat – 395002, Gujarat, India
Established Date	02.12.1993	SIC Code	--
Telephone#	91-261-2335868/ 2338719/ 2302203	Business Style 1	Manufacturer
Fax #	91-261-2335868	Business Style 2	Exporter
Homepage	--	Product Name 1	Yarn
# of employees	40 (Approximately)	Product Name 2	Textile
Paid up capital	Rs.12,060,000/-	Product Name 3	Knitted Fabrics
Shareholders	Directors or relatives of directors -76.00%, Other top fifty shareholders- 24.00%	Banking	Bank of Baroda
Public Limited Corp.	No	Business Period	19 years
IPO	No	International Ins.	--
Public Enterprise	No	Rating	B (29)
Related Company
Relation	Country	Company Name	CEO
Associates	--	Vishal Polyfilms Private Limited	--
Note	--

2. Summary Financial Statement

Balance Sheet as of	31.03.2011		(Unit: Indian Rs.)
Assets		Liabilities
Current Assets	6,804,000	Current Liabilities	223,000
Inventories	2,091,000	Long-term Liabilities	3,742,000
Fixed Assets	3,737,000	Other Liabilities	160,000
Deferred Assets	0,000	Total Liabilities	4,125,000
Invest& other Assets	6,053,000	Retained Earnings	2,500,000
		Net Worth	14,560,000
Total Assets	18,685,000	Total Liab. & Equity	18,685,000
Total Assets (Previous Year)	18,065,000
P/L Statement as of	31.03.2011		(Unit: Indian Rs.)
Sales	25,383,000	Net Profit	189,000
Sales(Previous yr)	6,215,000	Net Profit(Prev.yr)	146,000

MIRA INFORM REPORT

Report Date :

01.10.2012

IDENTIFICATION DETAILS

Name :	VIKAS FILAMENTS PRIVATE LIMITED
Registered Office :	403, Trividh Chambers, Man Darwaja, Ring Road, Surat – 395002, Gujarat
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	02.12.1993
Com. Reg. No.:	04-020757
Capital Investment / Paid-up Capital :	Rs.12.060 Millions
CIN No.: [Company Identification No.]	U17119GJ1993PTC020757
TAN No.: [Tax Deduction & Collection Account No.]	SRTV00703D
PAN No.: [Permanent Account No.]	AAACV8078J
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer, Exporter and Importer of Yarn, Textile and Knitted Fabrics.
No. of Employees :	40 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (29)

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

Maximum Credit Limit :	USD 58000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. There appears accumulated losses recorded by the company. However, trade relations are reported to be fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealing 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.

INFORMATION PARTED BY

Name :	Mr. Vikas Singhal
Designation :	Owner
Contact No.:	91-9825800502
Date :	28.09.2012

LOCATIONS

Registered Office :	403, Trividh Chambers, Man Darwaja, Ring Road, Surat – 395002, Gujarat, India
Tel. No.:	91-261-2335868/ 2338719/ 2302203
Mobile No.:	91-9825800502 (Mr. Vikas Singhal)
Fax No.:	91-261-2335868
E-Mail :	singhalbd2008@gmail.com vikasfilaments@drdcs.net
Location :	Owned
Factory :	224-C, Mandvi Road, Near Harival Village, Kim-Surat, Gujarat, India
Location :	Owned

DIRECTORS

(AS ON 30.07.2011)

Name :

Mr. Bajranglal Ramgopal Agarwal

Designation :

Director

Address :

502, Nidhivan Apartment, Brijwasi Estate, B/H, Gokul Row House, Surat – 395007, Gujarat, India

Date of Birth/Age :

10.03.1966

Date of Appointment :

02.12.1993

DIN No.:

00035188

Other Directorships :

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	U17119GJ1990PTC014102	VIKAS FIBRES PVT LTD	Director	30/07/1990	30/07/1990	Active	NO
2	U17119GJ1993PTC020757	VIKAS FILAMENTS PVT LTD	Director	02/12/1993	02/12/1993	Active	NO
3	U17297GJ2003PTC042514	VISHAL POLYFILMS PRIVATE LIMITED	Director	17/06/2003	17/06/2003	Active	NO

Name :

Mr. Banshi Dhar Singhal

Designation :

Director

Address :

502, Nidhivan Apartment, Brijwasi Estate, B/H, Gokul Row House, Surat – 395007, Gujarat, India

Date of Birth/Age :

15.05.1955

Date of Appointment :

02.12.1993

DIN No.:

00035241

Other Directorships :

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	U17119GJ1990PTC014102	VIKAS FIBRES PVT LTD	Director	30/07/1990	30/07/1990	Active	NO
2	U17119GJ1993PTC020757	VIKAS FILAMENTS PVT LTD	Director	02/12/1993	02/12/1993	Active	NO
3	U17297GJ2003PTC042514	VISHAL POLYFILMS PRIVATE LIMITED	Director	17/06/2003	17/06/2003	Active	NO

KEY EXECUTIVES

Name :	Mr. Vikas Singhal
Designation :	Owner

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 30.07.2011)

Names of Shareholders	.	No. of Shares
Banshi Dhar Singhal		16000
Bimla Singhal		74000
Vikas Singhal		10000
Vishal Singhal		6000
Shankarlal Agarwal		33000
Shankarlal Agarwal – HUF		30000
Gindoridevi Agarwal		30000
Mahesh Agarwal		20000
Pinky Agarwal		20000
Hemlata Agarwal		17500
Sangeeta Agarwal		39600
Ram Gopal Agarwal		25000
Ram Niws Agarwal		91500
Ram Niwas Agarwal and Sons – HUF		103300
Munnidevi Agarwal		40000
Savita Agarwal		15100
Santosh Agarwal		5700
Veena Agarwal		38500
Babulal Agarwal		50000
B. L. Agarwal and Sons – HUF		30000
Bimla Devi Agarwal		38500
Sushma Agarwal		26000
Manoj Kumar B. Agarwal		24000
Pradeep Agarwal		24000
Bajranglal Ramgopal Agarwal		34800
Sanjay Goyal		30000
Mukesh Agarwal		39500
Bajranglal Agarwal and Sons – HUF		27000
B D Singhal and Sons – HUF		43000
Ramkumar Agarwal – HUF		29000
Ram Kumar Agarwal		51500
Sanjay Kumar Agarwal		36000
Nareshkumar Agarwal		29500
Manoj Kumar S. Agarwal		37800
Shushiladevi Agarwal		40000
Vikas Fibers Private Limited, India		100
Visahl Polyfilm Private Limited, India		100
Total		1206000

(AS ON 15.05.2012)

Names of Allotees	.	No. of Shares Allottee
B. L. Agarwal and Sons - HUF		18500
Bajranglal Ramgopal Agarwal		25000
Bajranglal Agarwal and Sons - HUF		32000
Banshi Dhar Singhal		100000
Bimla Devi Agarwal		22500
Gindoridevi Agarwal		30000
Mahesh Agarwal		52000
Manoj Kumar S. Agarwal		9200
Mukesh Agarwal		14500
Nareshkumar Agarwal		40500
Pinky Agarwal		18000
Pradeep Agarwal		27000
Ram Niwas Agarwal and Sons - HUF		200
Sanjay Goyal		45000
Sanjay Kumar Agarwal		14000
Sushma Agarwal		40000
Veena Agarwal		17500
Vikas Singhal		11000
Visahl Polyfilm Private Limited, India		99900
Vishal Singhal		104500
Total		721300

(AS ON 30.09.2011)

Equity Shares Break – up

Category	Percentage
Directors or relatives of directors	76.00
Other top fifty shareholders	24.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer, Exporter and Importer of Yarn, Textile and Knitted Fabrics.

Products :

Products Description	Item Code No.
Texturing of Yarn	540233

Exports :

Products :

Knitted Fabrics

Countries :

China

Imports :

Products :

Textile Yarn

Countries :

Taiwan

Terms :

Selling :

Cash and Credit (30 days)

Purchasing :

Cash and Credit (30 days)

GENERAL INFORMATION

Suppliers :

· Reliance

· Model

Customers :

End Users

· Farmsa Textile

No. of Employees :

40 (Approximately)

Bankers :

· Bank of Baroda

Rajhans Complex, 1st Floor, Opposite J K Tower, Ring Road, Surat – 395002, Gujarat, India

Facilities :

Secured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
LIC of India (Against Policies)	1.299	1.299
Total	1.299	1.299
NOTE: Term Loan from Bank of Baroda are secured by creating charges on the whole of the immovable assets such as Land, Building and Movable Assets such as Plant and Machinery, Machinery Spares, Tools, Accessories, Furniture, Fitting and Fixture, Electric Installations, Vehicle etc. of the company Working Capital facilities from Bank of Baroda, Surat are secured by Hypothecation of Raw Machinery, Finished Goods, Stock in Process and Packing Material and Book Debts.
Unsecured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Short Term Deposit From Directors, Shareholder and Their Relatives	2.443	1.953
Total	2.443	1.953

Banking Relations :	--
Auditors :
Name :	Sunil Choudhary and Company Chartered Accountants
Address :	6013, World Trade Centre, Ring Road, Surat – 395002, Gujarat, India
Tel. No.:	91-261-2336712/ 2367438
PAN No.:	AAVPC8621N
Associates :	· Vikas Fibers Private Limited 403, Trividh Chambers, Man Darwaja, Ring Road, Surat – 395002, Gujarat, India · Vishal Polyfilms Private Limited

CAPITAL STRUCTURE

(AS ON 30.07.2011)

Authorised Capital :

No. of Shares	Type	Value	Amount
3050000	Equity Shares	Rs.10/- each	Rs.30.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
3006000	Equity Shares	Rs.10/- each	Rs.30.060 Millions

(AS ON 31.03.2011)

Authorised Capital :

No. of Shares	Type	Value	Amount
1250000	Equity Shares	Rs.10/- each	Rs.12.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1206000	Equity Shares	Rs.10/- each	Rs.12.060 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		12.060	12.060	12.060
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		2.500	2.500	2.500
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		14.560	14.560	14.560
LOAN FUNDS
1] Secured Loans		1.299	1.299	1.299
2] Unsecured Loans		2.443	1.953	0.723
TOTAL BORROWING		3.742	3.252	2.022
DEFERRED TAX LIABILITIES		0.000	0.000	0.374
TOTAL		18.302	17.812	16.956
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		3.737	7.434	8.130
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		1.002	1.002	0.002
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	2.091	0.532	0.000
	Sundry Debtors	5.466	2.438	0.191
	Cash & Bank Balances	0.133	0.179	0.188
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	1.205	1.240	3.114
Total Current Assets		8.895	4.389	3.493
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	0.223	0.249	0.051
	Other Current Liabilities	0.000	0.000	0.000
	Provisions	0.160	0.004	0.005
Total Current Liabilities		0.383	0.253	0.056
Net Current Assets		8.512	4.136	3.437
MISCELLANEOUS EXPENSES		5.051	5.240	5.387
TOTAL		18.302	17.812	16.956

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Sales and Services	25.383	6.215	5.199
		Other Income	1.227	0.944	0.571
		Profit on Sale of Machinery	0.157	0.000	0.000
		TOTAL (A)	26.767	7.159	5.770
Less	EXPENSES
		Cost of Goods Sold	24.899	6.096	5.864
		Manufacturing and Other Expenses	0.000	0.000	0.002
		Employees Emoluments	0.000	0.000	0.133
		Administrative, Selling and Dist. Expenses	0.855	0.490	0.457
		Loss on Sales of Vehicle	0.000	0.006	0.095
		TOTAL (B)	25.754	6.592	6.551
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		1.013	0.567	(0.781)
Less	FINANCIAL EXPENSES (D)		0.122	0.118	0.102
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		0.891	0.449	(0.883)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.654	0.677	1.370
	PROFIT BEFORE TAX (E-F) (G)		0.237	(0.228)	(2.253)
Less	TAX (H)		0.048	(0.374)	0.144
	PROFIT AFTER TAX (G-H) (I)		0.189	0.146	(2.397)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(5.240)	(5.386)	(2.989)
	BALANCE CARRIED TO THE B/S		(5.051)	(5.240)	(5.386)
	Earnings Per Share (Rs.)		0.16	--	--

Particulars	31.03.2012
Sales Turnover (Approximately)	500.000

Expected Sales (2012-13): Rs.600.000 Millions

The above information has been parted by Mr. Vikas Singhal.

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	0.71	2.04	(41.54)
Net Profit Margin (PBT/Sales)	(%)	0.93	(3.67)	(43.34)
Return on Total Assets (PBT/Total Assets}	(%)	1.88	(1.93)	(19.38)
Return on Investment (ROI) (PBT/Networth)		0.02	(0.02)	(0.15)
Debt Equity Ratio (Total Liability/Networth)		0.28	0.24	0.14
Current Ratio (Current Asset/Current Liability)		23.22	17.35	62.38

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	Yes
10]	Designation of contact person	Yes
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	Yes
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	Yes
18]	Major customers	Yes
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	Yes
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]	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

TRADE REFERENCE:

· Farmsa Textile

· Reliance

· Model

FORM 8:

This form is for	Creation of charge
Corporate identity number of the company	U17119GJ1993PTC020757
Name of the company	Vikas Filaments Private limited
Address of the registered office or of the principal place of business in India of the company	403, Trividh Chambers, Man Darwaj, Ring Road, Surat, Gujarat, India vikasfilaments@drdcs.net
Type of charge	Immovable Property
Particular of charge holder	· Bank of Baroda Rajhans Complex, 1st Floor, Opposite J K Tower, Ring Road, Surat – 395002, Gujarat, India khatod@bankofbaroda.com
Nature of description of the instrument creating or modifying the charge	Instrument of extension relating to deposit of title deeds together with instrument relating to deposit of title deeds.
Date of instrument Creating the charge	13.06.2012
Amount secured by the charge	Rs.136.700 Millions
Brief particulars of the principal terms and conditions and extent and operation of the charge	Rate of Interest CC and TL (I to IV): 4.75% over Base rate i.e.15.50% p.a. at present with monthly rests. Terms of Repayment CC : On Demand TL - I: Repayable in 83 equal monthly installments each of Rs.0.387 Million and last installment of Rs. 0.379 Million. TL - II: Repayable in 83 monthly installments of Rs.0.048 Million each and last installment of Rs.0.016 Million TL - III (fresh): Repayable in 71 monthly installments of Rs.0.506 Million each and last installment of Rs.0.474 Million. TL - IV (fresh MMS): Repayable in 71 monthly installments of Rs.0.053 Million each and last installment of Rs.0.037 Million. Margin CC: 25% for RM, SIP, FG, Stores and Spares and Packing Materials 30% for BD up to 90 days. TL-I & III: 15% on the machineries eligible under TUFs 25% on others TL-II & IV: Nil Inland/Foreign Bank Guarantees: 100% in the form of FDR. One time FLC (DP) (Sub limit of TL- I & II): 15 % in the form of FDR. Extent and Operation of the charge Equitable mortgage created to secure financial assistance granted by the Bank to the company as stated below : Knitting Division: Sizing Division (Fresh): BG: Rs.1.500 Million TL-I : Rs.32.500 Million TL-III: Rs.36.400 Million TL-II: Rs.4.000 Million TL-IV: Rs.3.800 Million CC: Rs.13.500 Million CC: Rs.45.000 Million Total: Rs.136.700 Million
Short particulars of the property charged	Lease hold rights of the property bearing Vibhag - B (Plot No.11/B) adm. 2410.59 sq. mtrs. of Plot No.11 adm. 7606.58 sq. mtrs. situated on the land bearing R. S. No. 146/1 and 147 Block No.224 of Vill: Karanj, Tal: Mandvi, District Surat. Lease hold rights of the property bearing Vibhag - C (Plot No.11/C) adm. 1984.32 sq. mtrs. of Plot No.11 adm. 7606.58 sq. mtrs. situated on the land bearing R. S. No. 146/1 and 147, Block No.224 of Vill: Karanj, Tal: Mandvi, Dist: Surat.

FIXED ASSETS:

· Land

· Building

· Plant and Machinery

· Air Conditioner

· Vehicles

· Furniture and Fixture

· Computer

· Office Equipment

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.52.70
UK Pound	1	Rs.85.71
Euro	1	Rs.68.15

INFORMATION DETAILS

Information Gathered by :	SLP
Report Prepared by :	NIT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--CREDIT LINES	1~10	3
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		29

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	-

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