MIRA INFORM REPORT

Report Date :

10.09.2012

IDENTIFICATION DETAILS

Name :	D R D TRUCKS (INDIA) PRIVATE LIMITED
Formerly Known As :	D R D TRUCK (INDIA) PRIVATE LIMITED (w.e.f. 02.04.2009)
Registered Office :	Plot No. 89 / A (part), phase – 1, IDA, Jeedimetla, Hyderabad, Andhra Pradesh – 500 055
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	30.09.2008
Com. Reg. No.:	01-061257
Capital Investment / Paid-up Capital :	Rs. 0.500 millions
CIN No.: [Company Identification No.]	U63090AP2008PTC061257
TAN No.: [Tax Deduction & Collection Account No.]	HYDD04412C
PAN No.: [Permanent Account No.]	AACCD5244N
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and exporter of bus parts, scooters carriers, refrigerated vans, mining dumpers, cars and trucks.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (42)

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

Maximum Credit Limit :	USD 260000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. It has achieved a tremendous increase in its sales turnover during 2011. Trade relations are reported as fair. Business is active. Payments are reported as usually correct. The company can be considered 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

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 :	Plot No. 89 / A (part), phase – 1, IDA, Jeedimetla, Hyderabad, Andhra Pradesh – 500 055, India
Tel. No.:	91-40-40101185
Mobile No.:	91-9490167099 (Mr. Bala Subramanyam)
E-Mail :	mvdrgudipati@gmail.com
Corporate Office :	6 – 3 - 1090/A/3/4, 3^rd Floor KRB Tower Raj Bhavan Road, Somajiguda, Hyderabad, Andhra Pradesh – 500 082, India
Tel. No.:	91-40-40101185
Fax No.:	91-40-23311758

DIRECTORS

As on 26.09.2011

Name :

Mr. Gollu Gowrishankar

Designation :

Director

Address :

Flat No. 103, 8 / 3 / 169 / 112A / B, Siddharth Nagar, Hyderabad – 500 035, India

Date of Birth/Age :

11.02.1975

Date of Appointment :

30.09.2008

DIN No.:

01960226

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	U34101AP1999PTC031537	SRI DURGA AUTO COACH BODY BUILDERS PRIVATE LIMITED	Director	16/12/2004	19/04/1999	-	Active	NO
2	U40100UR2003PLC033442	AGLAR POWER LIMITED	Director	31/10/2003	31/10/2003	-	Active	NO
3	U34201AP2005PTC048402	DRD BODY TECHS (INDIA) PRIVATE LIMITED	Managing director	12/12/2005	12/12/2005	-	Active	NO
4	U29244AP2008PTC059407	DRD EARTH EQUIP'S (INDIA) PRIVATE LIMITED	Director	29/05/2008	29/05/2008	-	Active	NO
5	U63090AP2008PTC061257	D R D TRUCKS (INDIA) PRIVATE LIMITED	Director	30/09/2008	30/09/2008	-	Active	NO

Name :

Mr. Gollu Babu Rao

Designation :

Director

Address :

Plot No. 89 / A, Phase – 1, IDA, Jeedimetla, Quthubullahpur Mandal, Hyderabad – 500 055, India

Date of Birth/Age :

10.07.1962

Date of Appointment :

30.09.2008

DIN No.:

01917398

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	U34101AP1999PTC031537	SRI DURGA AUTO COACH BODY BUILDERS PRIVATE LIMITED	Director	19/04/1999	19/04/1999	-	Active	NO
2	U34201AP2005PTC048402	DRD BODY TECHS (INDIA) PRIVATE LIMITED	Director	12/12/2005	12/12/2005	-	Active	NO
3	U29244AP2008PTC059407	DRD EARTH EQUIP'S (INDIA) PRIVATE LIMITED	Director	29/05/2008	29/05/2008	-	Active	NO
4	U63090AP2008PTC061257	D R D TRUCKS (INDIA) PRIVATE LIMITED	Director	30/09/2008	30/09/2008	-	Active	NO

Name :

Mr. Gollu Ranga Rao

Designation :

Director

Address :

D N. 56 – 6 – 16 / A, Maruti Colony, High School Road, Patamala, Vijaywada – 500 010, India

Date of Birth/Age :

15.09.1954

Date of Appointment :

30.09.2008

DIN No.:

01988639

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	U34101AP1999PTC031537	SRI DURGA AUTO COACH BODY BUILDERS PRIVATE LIMITED	Managing director	19/04/1999	19/04/1999	-	Active	NO
2	U40100UR2003PLC033442	AGLAR POWER LIMITED	Director	10/02/2005	10/02/2005	-	Active	NO
3	U34201AP2005PTC048402	DRD BODY TECHS (INDIA) PRIVATE LIMITED	Director	12/12/2005	12/12/2005	-	Active	NO
4	U29244AP2008PTC059407	DRD EARTH EQUIP'S (INDIA) PRIVATE LIMITED	Director	29/05/2008	29/05/2008	-	Active	NO
5	U63090AP2008PTC061257	D R D TRUCKS (INDIA) PRIVATE LIMITED	Director	30/09/2008	30/09/2008	-	Active	NO

Name :

Ms. Ramadevi Gollu

Designation :

Director

Address :

Plot No. 91 / B, Phase – 1, IDA, Jeedimetla, Hyderabad – 500 055, India

Date of Birth/Age :

01.07.1959

Date of Appointment :

30.12.2008

DIN No.:

03351234

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	U34101AP1999PTC031537	SRI DURGA AUTO COACH BODY BUILDERS PRIVATE LIMITED	Director	16/12/2004	16/12/2004	-	Active	NO
2	U34201AP2005PTC048402	DRD BODY TECHS (INDIA) PRIVATE LIMITED	Director	12/12/2005	12/12/2005	-	Active	NO
3	U63090AP2008PTC061257	D R D TRUCKS (INDIA) PRIVATE LIMITED	Director	30/12/2008	30/12/2008	-	Active	NO
4	U29244AP2008PTC059407	DRD EARTH EQUIP'S (INDIA) PRIVATE LIMITED	Director	30/12/2008	30/12/2008	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 26.09.2011

Names of Shareholders	No. of Shares
Gollu Ranga Rao	7500
Ramadevi Gollu	30000
Gollu Gowrishankar	7500
Gollu Babu Rao	5000
TOTAL	50000

As on 26.03.2012

Names of Allottees	No. of Shares
Mr. G Ranga Rao	670000
Mr. G Gowrishankar	3270600
Mr. Gollu Babu Rao	23400
Mrs. Ramadevi Gollu	1562725
TOTAL	5526725

As on 31.07.2012

Names of Allottees	No. of Shares
Mr. G Ranga Rao	94000
Mr. G Gowrishankar	838500
Mr. Gollu Babu Rao	50000
Mrs. Ramadevi Gollu	146000
TOTAL	1128500

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and exporter of bus parts, scooters carriers, refrigerated vans, mining dumpers, cars and trucks.
Products :	· Cnc Tool Trolley · Trailer Chain · Hand Trolleys · Trailer Winch · Stainless Steel Trolley · Geared Trolley

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

Bank of India, Ameerpet Branch, Nagasuri Plaza, Ground, Hyderabad – 500 038, Andhra Pradesh, India

Facilities :

Secured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
From Bank of India	19.582	21.012
From Kotak Mahindra Bank Limited	23.262	0.000
Working Capital Loan (Secured by mortgage of Land and Building and hypothecation of stock of Raw Materials, Packaging Materials and Finished Goods, Book Debts and Plant and Machinery and further guaranteed by personal guarantee of all the Directors of the Company)	0.732	2.468
HP Loan from HDFC Bank Limited	0.998	0.000
Total	44.574	23.480
Unsecured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
Bajaj Auto Finance Limited	0.941	0.000
G. Haritha Devi	0.000	0.300
Sri Venkateshwar Power Lines	0.000	3.000
Others	0.000	0.250
Total	0.941	3.550

Banking Relations :	--
Financial Institute :	Tata Capital Financial Services Limited, One Forbes, Dr. V. B. Gandhi Marg, Fort, Mumbai – 400 001, Maharashtra, India
Auditors :
Name :	Rao and Siva Associates Chartered Accountants
Address :	Plot No. 121 / 7, 19^th Road, Vivekanandanagar Colony, Kukatpally, Hyderabad, Andhra Pradesh – 500 072, India
PAN No.:	AFGPM9736E

CAPITAL STRUCTURE

As on 31.03.2011

Authorized Capital:

No. of Shares	Type	Value	Amount
300000	Equity Shares	Rs. 10/- each	Rs. 3.000 millions

Issued, Subscribed & Paid-up Capital:

No. of Shares	Type	Value	Amount
50000	Equity Shares	Rs. 10/- each	Rs. 0.500 million

As on 26.09.2011

Authorized Capital:

No. of Shares	Type	Value	Amount
7000000	Equity Shares	Rs. 10/- each	Rs. 70.000 millions

Issued, Subscribed & Paid-up Capital:

No. of Shares	Type	Value	Amount
6705225	Equity Shares	Rs. 10/- each	Rs. 67.052 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		0.500	0.500	0.500
2] Share Application Money		48.353	8.230	6.730
3] Reserves & Surplus		18.264	9.813	6.483
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		67.117	18.543	13.713
LOAN FUNDS
1] Secured Loans		44.574	23.480	5.906
2] Unsecured Loans		0.941	3.550	0.700
TOTAL BORROWING		45.515	27.030	6.606
DEFERRED TAX LIABILITIES		1.303	1.007	0.647
TOTAL		113.935	46.580	20.966
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		18.675	16.684	12.802
Capital work-in-progress		9.165	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	58.526	17.125	8.816
	Sundry Debtors	84.274	13.522	21.782
	Cash & Bank Balances	25.250	0.021	0.030
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	50.443	13.889	7.332
Total Current Assets		218.493	44.557	37.960
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	126.645	5.866	25.952
	Other Current Liabilities	0.271	2.792	0.074
	Provisions	5.497	6.021	3.792
Total Current Liabilities		132.413	14.679	29.818
Net Current Assets		86.080	29.878	8.142
MISCELLANEOUS EXPENSES		0.015	0.018	0.022
TOTAL		113.935	46.580	20.966

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	649.339	50.083	53.305
		Other Income	19.061	14.363	14.979
		TOTAL (A)	668.400	64.446	68.284
Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses
		TOTAL (B)	652.187	55.126	62.520
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		16.213	9.320	5.764
Less	FINANCIAL EXPENSES (D)		3.599	3.362	0.364
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		12.614	5.958	5.400
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1.351	1.051	0.575
	PROFIT BEFORE TAX (E-F) (G)		11.263	4.907	4.825
Less	TAX (I)		2.812	1.577	1.732
	PROFIT AFTER TAX (G-I) (J)		8.451	3.330	3.093
	Earnings Per Share (Rs.)		1.74	3.81	4.27

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	1.26	5.16	4.52
Net Profit Margin (PBT/Sales)	(%)	1.73	9.79	9.05
Return on Total Assets (PBT/Total Assets}	(%)	4.74	8.01	9.50
Return on Investment (ROI) (PBT/Networth)		0.16	0.26	0.35
Debt Equity Ratio (Total Liability/Networth)		2.65	2.24	2.65
Current Ratio (Current Asset/Current Liability)		1.65	3.03	1.27

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	Yes
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	No

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U63090AP2008PTC061257
Name of the company	D R D TRUCKS (INDIA) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Plot No.89/A (Part), Phase - 1, IDA, Jeedimetla, Hyderabad – 500055, Andhra Pradesh, India e-mail: mvdrgudipati@gmail.com
This form is for	Creation of charge
Type of charge	Stocks
Particular of charge holder	Non-banking financial company Tata Capital Financial Services Limited, One Forbes, Dr. V. B. Gandhi Marg, Fort, Mumbai – 400 001, Maharashtra, India e-mail: avan.doomasia@tatacapital.com
Nature of description of the instrument creating or modifying the charge	Deed Of Hypothecation Dated 31.05.2012
Date of instrument Creating the charge	31.05.2012
Amount secured by the charge	Rs. 75.000 millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest Short Term Lending Rate (STLR) @16.50% p.a Rate of Interest @ STLR minus 2.50% i.e 14.00% p.a floating interest rate. Terms of Repayment Principal & Interest amount to be repaid in 12 months Extent and Operation of the charge The charge extends to the due repayment of the loan of Rupees Seven Crores Fifty Lacs Only including the interest, additional interest, costs, charges, expenses and all other monies payable under Working Capital Demand Loan dated 31.05.2012 In the event of default in payment of interest or repayment of principal amount of the Loan the Borrower shall pay to the Lender, further interest @ 6% p.a. as penal interest.
Short particulars of the property charged	First paripassu charge on entire stock (present and future) of M/s DRD Trucks (India) Private Limited with working capital bankers.

OPERATIONS:

The Company could achieved a record turnover of Rs.668.400 millions as against Rs. 64.446 millions In the previous year and profit after tax has jumped to Rs. 11.263 millions as against Rs.4.907 millions in the previous year.

The Company continued to receive good number of orders from various government departments and orders on hand at various stages at the end of the financial year and The directors are hopeful and quite satisfactory and the company Is marching ahead and is poised for big growth in the years to come.

Company has achieved a profit of Rs. 11.263 Millions on an increased turnover of Rs. 668.400 millions, In spite of increase in total sales of Vehicles and spare pans, there is decrease in the commission received on the sale of commercial vehicles. Company is hoping to improve the situation by employing more resources for the marketing and also by strengthening the service net work.

The Company has achieved satisfactory turnover of Rs. 668.400 millions during the year and company is trying to increase the sales further during the years to follow.

FIXED ASSETS:

· Land at Jaggalahpet

· Buildings

· Service Stations

· Compressor

· Computer and Accessories

· Electrical Fittings

· Furniture and Fittings

· Generator

· Motor Cars

· Tools and Equipments

· Air Conditioners

· Office Equipment

· Vehicles

· Software

CMT REPORT (Corruption, Money Laundering & Terrorism]

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

1] INFORMATION ON DESIGNATED PARTY

No 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.55.52
UK Pound	1	Rs.88.49
Euro	1	Rs.70.20

INFORMATION DETAILS

Report Prepared by :

NID

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	4
--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		42

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.