MIRA INFORM REPORT

Report Date :

31.10.2012

IDENTIFICATION DETAILS

Name :	FLEMING LABORATORIES LIMITED
Registered Office :	6^th Floor (B), Ashoka Janardhan Chambers, Begumpet Main Road, Hyderabad – 500016, Andhra Pradesh
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	23.07.1992
Com. Reg. No.:	01-014560
Capital Investment / Paid-up Capital :	Rs. 89.112 Millions
CIN No.: [Company Identification No.]	U24230AP1992PLC014560
TAN No.: [Tax Deduction & Collection Account No.]	HYDF00230G
PAN No.: [Permanent Account No.]	AAACF3245M
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of Chemicals and Pharmaceutical Bulk Drugs
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

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

Maximum Credit Limit :	USD 910000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments. The company can be considered normal for 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

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Term Loan: B-
Rating Explanation	Having high risk of default regarding timely servicing of financial obligation
Date	July 11, 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/Corporate Office :	6^th Floor (B), Ashoka Janardhan Chambers, Begumpet Main Road, Hyderabad – 500016, Andhra Pradesh, India
Tel. No.:	91-40-27767911
Fax No.:	91-40-27767922
E-Mail :	dir-fin@fleminglabs.com nukala2000@gmail.com info@fleminglabs.com
Website :	www.fleminglabs.com
Factory 1 :	Survey No. 270, Navapet Village, Sivampet Mandal, Medak – 502313, District Andhra Pradesh, India
Tel. No.:	91-8458-275366
Fax No.:	91-8458-274200
Factory 2 :	Plot No 152 and 160, Phase - V, IDA Jeedimetla, Hyderabad - 500055, Andhra Pradesh , India
Tel. No.:	91-40-23093655
Fax No.:	91-40-23090129

DIRECTORS

AS ON 27.08.2011

Name :

Mr. Ravishankar Balasubramaniam

Designation :

Managing director

Address :

H. No. 19, Polisetti Enclave, Vikrampuri, Kharkana, Secunderabad – 500009, Andhra Pradesh, India

Date of Birth/Age :

09.11.1960

Qualification :

B.Sc. (Agriculture)

Date of Appointment :

15.01.2007

DIN No.:

01342850

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	U29219AP1989PTC010800	PROGRESSIVE INDUSTRIETECHNICK PRIVATE LIMITED	Managing director	20/12/1989	20/12/1989	-	Active In Progress	NO
2	U24230AP1993PTC015406	JOFLO INDUSTRIES PRIVATE LIMITED	Director	17/02/1993	17/02/1993	10/11/2007	Active	NO
3	U24230AP1992PLC014560	FLEMING LABORATORIES LIMITED	Managing director	15/01/2007	18/08/1994	-	Active	NO

Name :

Mr. Pulla Rao Polsani

Designation :

Director

Address :

8-3-684/3/16/A/102P, No. 16, Sri Sai Apartment, LIC Colony, Yellareddyguda, Hyderabad – 500073, Andhra Pradesh, India

Date of Birth/Age :

01.12.1950

Qualification :

M.Sc ,Phd

Date of Appointment :

29.09.2007

DIN No.:

01895855

Name :

Mr. Balasubramaniam Mahalakshmi

Designation :

Director

Address :

H. No. 19, Polisetti Enclave, Vikrampuri, Kharkana, Secunderabad – 500009, Andhra Pradesh, India

Date of Birth/Age :

12.09.1966

Qualification :

B. Com

Date of Appointment :

29.08.2008

DIN No.:

02312787

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 27.08.2011

Names of Shareholders	No. of Shares
RaviShankar Balasubramaniam	6568400
B. Srinivas	2212600
Rama Subrahmaniam	1200
S.Suresh	1200
Vijayalakshmi Srinivas	1200
Mahalakshmi	1200
Pullarao Polsani	100400
Padmanabha	25000
Total	8911200

AS ON 20.12.2011

Names of Shareholders	No. of Shares
RaviShankar Balasubramaniam	555555
Balasubramaniam Mahalakshmi	444445
Total	1000000

AS ON 27.08.2011

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

BUSINESS DETAILS

Line of Business :

Manufacturer of Chemicals and Pharmaceutical Bulk Drugs

PRODUCTION STATUS (AS ON 31.03.2011)

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Bulk drug and intermediates	MTs	N.A.	350.00	230.37

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

State Bank of India, Commercial Branch, Ashoka My Home Chambers, S.P. Road, Secunderabad – 500003, Andhra Pradesh, India

Facilities :

Secured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Rupee term loans banks secured	28.167	59.482
Working capital loans banks secured	91.473	99.607
Loans taken for vehicles secured	1.000	0.340
Total	120.640	159.429
Unsecured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Working capital loans financial institutions unsecured	2.785	31.477
Working capital loans others unsecured	4.200	0.000
Loans directors unsecured	73.821	6.055
Total	80.806	37.532

Banking Relations :	--
Financial Institution :	SBI Global Factors Limited, 6^th Floor, Metropolitan Building, Bandra-Kurla Complex, Bandra (East), Mumbai – 400051, Maharashtra, India
Auditors :
Name :	KJD Srinivas and Company Chartered Accountants
Address :	49-24-52 Upstairs Sankarmatt Road R K Nagar Visakhapatnam - 530016 India
Income-tax PAN of auditor or auditor's firm :	AAEFK0620Q

CAPITAL STRUCTURE

AFTER 27.08.2011

Authorised Capital : Rs. 100.000 Millions

Issued, Subscribed & Paid-up Capital : Rs. 90.112 Millions

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
10,000,000	Equity Shares	Rs. 10/- each	Rs. 100.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
8,911,200	Equity Shares	Rs.10/- each	Rs. 89.112 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		89.112	89.112	89.112
2] Share Application Money		45.000	0.000	0.000
3] Reserves & Surplus		94.686	53.480	30.447
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		228.798	142.592	119.559
LOAN FUNDS
1] Secured Loans		120.640	159.429	158.338
2] Unsecured Loans		80.806	37.532	22.403
TOTAL BORROWING		201.446	196.961	180.741
DEFERRED TAX LIABILITIES		8.819	9.313	24.395
TOTAL		439.063	348.866	324.695
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		256.992	219.858	187.393
Capital work-in-progress		0.000	0.000	31.453
INVESTMENT		0.200	0.200	0.200
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	86.096	51.802	70.929
	Sundry Debtors	108.022	131.233	93.168
	Cash & Bank Balances	0.681	3.480	2.157
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	84.572	63.845	74.935
Total Current Assets		279.371	250.360	241.189
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	84.042	125.027	136.264
	Other Current Liabilities	22.742	6.841	0.000
	Provisions	0.000	0.000	8.405
Total Current Liabilities		106.784	131.868	144.669
Net Current Assets		172.587	118.492	96.520
MISCELLANEOUS EXPENSES		9.284	10.316	9.129
TOTAL		439.063	348.866	324.695

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	452.445	433.619	412.870
		Other Income	(0.404)	0.203	13.653
		TOTAL (A)	452.041	433.822	426.523
Less	EXPENSES
		Consumption materials changes inventories	208.000	201.907
		Manufacturing service costs	51.851	46.086
		Employee related expenses	70.015	63.737
		Administrative selling other expenses	33.710	46.306
		Research development expenditure	1.654	2.271
		TOTAL (B)	365.230	360.307	367.510
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		86.811	73.515	59.013
Less	FINANCIAL EXPENSES (D)		35.139	35.719	36.105
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		51.672	37.796	26.474
Less/ Add	DEPRECIATION/ AMORTISATION (F)		11.778	11.356	10.875
	EXPENSES RELATED DISCONTINUING OPERATIONS		0.000	1.908	0.000
	PROFIT BEFORE TAX (E-F) (G)		39.894	24.532	15.598
Less	TAX (H)		8.001	1.499	7.232
	PROFIT AFTER TAX (G-H) (I)		31.893	23.033	8.366
	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		62.792	30.446	8.891
	ADDITION OF NET DEFERRED TAX CREDIT		0.000	9.313	0.000
	APPROPRIATIONS
		Bonus issue	0.000	0.000	6.683
	BALANCE CARRIED TO THE B/S		94.685	62.792	30.446
	EARNINGS IN FOREIGN CURRENCY
		FOB Value of Export	316.712	0.000	317.711
	IMPORTS
		Raw Materials	33.938	0.000	75.650
		Capital Goods	0.000	0.000	0.000
	TOTAL IMPORTS		33.938	Nil	75.650
	Earnings Per Share (Rs.)		3.58	2.58	0.94

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	7.06	5.31	1.96
Net Profit Margin (PBT/Sales)	(%)	8.82	5.66	3.78
Return on Total Assets (PBT/Total Assets}	(%)	7.44	5.22	3.64
Return on Investment (ROI) (PBT/Networth)		0.17	0.17	0.13
Debt Equity Ratio (Total Liability/Networth)		1.35	2.31	2.72
Current Ratio (Current Asset/Current Liability)		2.62	1.90	1.67

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	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	Yes

Note: The registered address of the company has been shifted from Plot No. 18, Road No. 6, Trimurthy Housing Society, Mahendra Hills, Secunderabad - 500026, Andhra Pradesh, India to the present w.e.f. 25.04.2007

OPERATIONS:

During the year the operating margins have improved substantially. This was primarily possible due to the various R & D efforts put in by the technical department wherein even the old processes were ‘TWEAKED’ to improve yields and reduce costs.

New and stricter manufacturing controls were implemented including ‘consumption co-efficient’, monitoring which enables manufacturing cost and input costs to be monitored on a real-time basis. This also helps to ensure that the manufacturing cost of a given product is in tune with laid-down norms.

This can be evidenced by the 2.70% increase in gross margins from 8.72% to 11.42% and significant reduction in manufacturing and other Administrative costs, there was no derivatives loss during the year, profit is increased. In the context of global economic scenario, the results are quite satisfactory.

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U24230AP1992PLC014560
Name of the company	FLEMING LABORATORIES LIMITED
Address of the registered office or of the principal place of business in India of the company	6^th Floor (B), Ashoka Janardhan Chambers, Begumpet Main Road, Hyderabad – 500016, Andhra Pradesh, India Email: dir-fin@fleminglabs.com
This form is for	Modification of charge
Charge identification number of the modified	90139963
Type of charge	Immovable Property Book Debts Movable Property
Particular of charge holder	State Bank of India, Commercial Branch, Ashoka My Home Chambers, S.P. Road, Secunderabad – 500003, Andhra Pradesh, India Email: sbi.04031@sbi.co.in
Nature of description of the instrument creating or modifying the charge	1. SME 7- Memorandum for recording extension of mortgage by deposit of title deeds 2. Form C5- Letter regarding the grant of individual limits within the overall limit 3. Form C1-A- Supplemental agreement of loan for increase in the overall limit 4. Supplemental agreement of hypothecation of goods and assets for increase in the overall limit 5.Sanction letter
Date of instrument Creating the charge	16.03.2012
Amount secured by the charge	Rs. 399.300 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest CC-6.75% above BR (ER:16.75%) EPC-2.25% above BR (ER:12.25%) TL-7.25% above BR (ER:17.25%) Corporate Loan-7.25% above BR (ER:17.25%) TL proposed-7.25% above BR (ER:17.25%) Terms of Repayment WC- Repayable on demand TL- Repayable in 15 Quarterly installments (4 years and 11 months including moratorium period of 6 months) commencing from Q1 of 13-14 considering COD as September 2012. 2013-14 4 installments @ 10.000 Millions each 2014-15 4 installments @ 15.000 Millions each 2015-16 4 installments @ 15.000 Millions each 2016-17 3 installments @ 20.000 Millions each Margin CC- RM domestic & imported - 25% SIP- 25% FG-25% Receivables (cover-120 days)- 40% LC-20% BG-10% TL-38.10% Extent and Operation of the charge The charge operates as security for the total fund based and non fund based credit facilities sanctioned by the bank.
Short particulars of the property charged	Primary: First charge (Hypothecation) on stocks, receivables and other current assets of the company. 1. 1st charge on FA of the co. including EM of land at Sy. No. 364/1, 364/E1 and 363AA (3 contiguous plots of Ac9.3 guntas) situated at Gummadidala, Medak Dt. 2. Lease hold rights on land of 2.94 Ac in Sy. 1294 part and plot no. 152 &160 located at Jeedimetla industrial area, Hyderabad. 3. EM of Land and building 350 Sq. Yds at Plot No. 18, Sy. No. 74/B, Cross Road No. 6, Trimurthy colony, Mahendra hills, east Marredpally, Secunderabad belonging to Mr. B. Ravi Shankar. 4. Pledge of 30% of company's shares standing in the name of Mr. B. Ravi Shankar. 5. 1st charge on Fixed assets created out of the term loan including EM of land to be acquired out of the proposed project.
Date of latest modification prior to the present modification	23.09.2009
Particulars of the present modification	CC 90.000 90.000 100.000 EPC (90.000) (90.000) (100.000) (sublimit of CC) CC-SLC 10.000 0.00 0.00 TL-1 70.000 0.00 0.00 Corp. L 20.000 8.600 20.000 LC 35.000 35.000 45.000 BG 5.000 5.000 5.000 FC 0.00 0.00 9.300 TL-2 0.00 0.00 220.000 Total 230.000 138.600 399.300 Facility Existing O/s as on New Rs. in Millions sanction

CONTINGENT LIABILITIES NOT PROVIDED FOR

(Rs. In Millions)

	31.03.2011	31.03.2010
Claims against the company not acknowledged as debts relate to following
a) Income Tax		Nil
b) Service tax		Nil
In respect of
-Guarantees given by bank	Nil	Nil
-Letters of credits opened with bank	34.967	35.000
-Bills discounted with M/s SBIGF Ltd	37.464	31.477

FIXED ASSETS:

Ø Land

Ø Building

Ø Plant and machinery

Ø Furniture and fixtures

Ø Lab equipment

Ø Electrical installation

Ø Pollution control equipment

Ø Office equipment

Ø Vehicle

Ø Safety 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. 54.17
UK Pound	1	Rs. 86.83
Euro	1	Rs. 69.85

INFORMATION DETAILS

Report Prepared by :

BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--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		45

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.