MIRA INFORM REPORT

Report Date :

14.09.2012

IDENTIFICATION DETAILS

Name :	P.V.K.ENGINEERS PRIVATE LIMITED
Registered Office :	8-3-293/B2/A/270/R/A/1, Plot No. 270 E/A, Jubilee Hills Hyderabad - 500033, Andhra Pradesh
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	12.06.1991
Com. Reg. No.:	01-012787
Capital Investment / Paid-up Capital :	Rs.19.133 Millions
CIN No.: [Company Identification No.]	U29219AP1991PTC012787
TAN No.: [Tax Deduction & Collection Account No.]	HYDP01390E
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Consumers Goods.
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 290000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. Trade relations are reported to be fair. Business is active. Payments are reported to be usually correct and as per commitments. 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 :	8-3-293/B2/A/270/R/A/1, Plot No. 270 E/A, Jubilee Hills Hyderabad - 500033, Andhra Pradesh, India
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	pvkengineers@yahoo.com
Website :	www.pvknprk.com www.pvkandprk.com
Factory :	Plot No.23, Phase-IV, I.D.A. Jeedimetla, Hyderabad – 500 055, Andhra Pradesh, India
Tel. No.:	91-40-23095436
Fax No.:	91-40-23096561
E-Mail :	info@pvknprk.com pvk@pvknprk.com

DIRECTORS

As on 02.09.2011

Name :	Mr. Venkata Krishna Reddy Panati
Designation :	Managing Director
Address :	Plot No.270, E/A, Road No.10, Jublee Hills, Hyderabad – 500033, Andhra Pradesh, India
Date of Birth/Age :	05.05.1949
Date of Appointment :	12.06.1991
DIN No.:	00308975

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	U29219AP1991PTC012787	P.V.K.ENGINEERS PRIVATE LIMITED	Managing director	12/06/1991	12/06/1991	Active	NO
2	U72200AP2008PTC057948	ZIPCODE TECHNOLOGIES INDIA PRIVATE LIMITED	Director	04/03/2008	04/03/2008	Strike off	NO
3	U40106AP2010PTC069820	EMPOWER SOLAR ENERGY PRIVATE LIMITED	Director	04/08/2010	04/08/2010	Active	NO
4	U29219AP2010PTC071011	PVK AND PRK TECHNOLOGIES PRIVATE LIMITED	Managing director	29/10/2010	29/10/2010	Active	NO
5	U40108AP2011PTC072446	VISION RENERGIES AND PROJECTS PRIVATE LIMITED	Director	01/02/2011	01/02/2011	Active	NO
6	U40100AP2011PTC074907	NANDIAN P.V.K ENERGY PRIVATE LIMITED	Director	09/06/2011	09/06/2011	Active	NO
7	U29299AP2011PTC075437	P.V.K AND P.R.K ENGINEERS PRIVATE LIMITED	Managing director	08/07/2011	08/07/2011	Active	NO
8	U40101AP2007PTC056231	BHUVANESWARI POWER PROJECTS PRIVATE LIMITED	Additional director	02/03/2012	02/03/2012	Active	NO
9	U40105AP2007PTC056447	ANANTHA POWER PROJECTS PRIVATE LIMITED	Additional director	02/04/2012	02/04/2012	Active	NO
10	L05005AP1993PLC016389	SEA GOLD AQUA FARMS LIMITED	Additional director	10/07/2012	10/07/2012	Active	NO

Name :	Ms. Radha Krishna Reedy Panati
Designation :	Director
Address :	Plot No.270, E/A, Road No.10, Jublee Hills, Hyderabad – 500033, Andhra Pradesh, India
Date of Birth/Age :	05.05.1949
Date of Appointment :	12.06.1991
DIN No.:	00309081

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	U29219AP1991PTC012787	P.V.K.ENGINEERS PRIVATE LIMITED	Director	12/06/1991	12/06/1991	Active	NO
2	U31401TN2007PTC064979	BRACH POWER PRIVATE LIMITED	Director	05/10/2007	05/10/2007	Active	NO
3	U72200AP2008PTC057948	ZIPCODE TECHNOLOGIES INDIA PRIVATE LIMITED	Director	04/03/2008	04/03/2008	Strike off	NO
4	U40106AP2010PTC069820	EMPOWER SOLAR ENERGY PRIVATE LIMITED	Director	04/08/2010	04/08/2010	Active	NO
5	U29219AP2010PTC071011	PVK AND PRK TECHNOLOGIES PRIVATE LIMITED	Director	29/10/2010	29/10/2010	Active	NO
6	U40100AP2011PTC074907	NANDIAN P.V.K ENERGY PRIVATE LIMITED	Director	09/06/2011	09/06/2011	Active	NO
7	U29299AP2011PTC075437	P.V.K AND P.R.K ENGINEERS PRIVATE LIMITED	Director	08/07/2011	08/07/2011	Active	NO

Name :	Mr. Veera Anjaneyulu Kota
Designation :	Director
Address :	H No. SRT 610, Opposite, Vinayaka Ground, Sanathnagar, Hyderabad – 500018, Andhra Pradesh, India
Date of Birth/Age :	14.06.1964
Date of Appointment :	13.09.2010
DIN No.:	03154990

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 02.09.2011

Names of Shareholders	No. of Shares
Venkata Krishna Reddy Panati	302465
Radha Krishna Reedy Panati	64464
Oshin Investment and Finance Limited, India	5000
Sidh Housing Development Company Limited, India	19400
Total	391329

As on 02.09.2011

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Bodies corporate	06.24
Directors or relatives of Directors	93.76
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Consumers Goods.

GENERAL INFORMATION

Customers :

· Bharat Heavy Electricals Limited

· Hindustan Petrolium Co Limited (HPCL)

· Larsen and Turbo

· Bharat Petrolium Co Limited (BPCL)

· ABB Limited

· Indian Oil Corporation Limited (IOCL)

· Reliance Industries

· Oil and Natural Gas Commission (ONGC)

· Thermax Cogen

· Gas Authority of India Limited (GAIL)

· Krupp Industries Limited

· Reliance Industries Limited (RIL)

· Dlf Industries Limited

· National Thermal Power Corporation (NTPC)

· Voith India Private Limited

· Gujarat State Electrical Company Limited (GSECL)

· Walchandnagar Industries

· Petrolieum Development Organization of Oman (PDO Oman)

No. of Employees :

Not Available

Bankers :

· State Bank of Hyderabad, Shapur Nagar Branch, Shapur Nagar, Hyderabad - 500055, Andhra Pradesh, India

· HDFC Bank Limited

· Kotak Mahindra Bank Limited

Facilities :

Secured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
Working Capital Loan
- State Bank of Hyderabad, Shapurnagar Branch	163.800	43.152
Hire Purchase Finance from
- Reliance Capital Limited	0.512	0.120
Total	164.312	43.272
Unsecured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
From Banks / Financial Institutions
- Bajaj Finance	0.433	0.543
- HDFC Bank Limited	0.000	0.549
- Kotak Mahindra Bank Limited	0.532	0.817
- Magma Fincorp Limited	0.000	0.528
- Reliance Capital Limited	0.000	0.772
- Reliance Finvest Limited	0.000	0.713
- Tata Capital Limited	0.656	0.890
Total	1.621	4.812

Banking Relations :	--
Auditors :
Name :	Ramana Reddy and Associates Chartered Accountants
Address :	2^nd Floor, My Home Plaza, Masab Tank, Hyderabad – 500028, Andhra Pradesh, India
Tel. No.:	91-40-23316426 / 23316912
PAN No.:	AADFA6113F

CAPITAL STRUCTURE

As on 02.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
500000	Equity Shares	Rs.100/- each	Rs.50.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
391329	Equity Shares	Rs.100/- each	Rs.39.133 Million

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
500000	Equity Shares	Rs.100/- each	Rs.50.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
191329	Equity Shares	Rs.100/- each	Rs.19.133 Million

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		19.133	19.133	12.893
2] Share Application Money		20.006	0.006	0.006
3] Reserves & Surplus		32.206	26.068	12.608
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		71.345	45.207	25.507
LOAN FUNDS
1] Secured Loans		164.312	43.272	44.615
2] Unsecured Loans		1.621	4.812	1.700
TOTAL BORROWING		165.933	48.084	46.315
DEFERRED TAX LIABILITIES		0.658	0.704	0.897
TOTAL		237.936	93.995	72.719
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		10.625	10.348	8.443
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.500	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	20.490	63.873	52.478
	Sundry Debtors	242.355	64.366	18.152
	Cash & Bank Balances	2.267	1.197	0.734
	Other Current Assets	10.539	8.940	17.309
	Loans & Advances	25.394	20.304	24.156
Total Current Assets		301.045	158.680	112.829
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	64.339	65.141	38.439
	Other Current Liabilities	9.000	9.000	9.037
	Provisions	0.895	0.897	1.129
Total Current Liabilities		74.234	75.038	48.605
Net Current Assets		226.811	83.642	64.224
MISCELLANEOUS EXPENSES		0.000	0.005	0.052
TOTAL		237.936	93.995	72.719

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	648.537	238.615	78.599
		Other Income	42.171 (Including Increase / (Decrease) in stocks	0.136	0.387
		TOTAL	606.366	238.751	78.986
Less	EXPENSES
		Manufacturing Expenses	578.533	190.091	97.392
		Administrative and Selling Expenses		44.433	12.285
		Preliminary Expenses written off		0.000	0.001
		(Increase) / Decrease in stocks		(11.394)	(39.016)
		TOTAL	578.533	223.130	70.662
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		27.833	15.621	8.324
Less	FINANCIAL EXPENSES		17.412	9.108	4.421
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		10.421	6.513	3.903
Less/ Add	DEPRECIATION/ AMORTISATION		1.433	1.209	1.185
	PROFIT BEFORE TAX		8.988	5.304	2.718
Less	TAX		2.850	1.604	1.021
	PROFIT AFTER TAX		6.138	3.700	1.697
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		16.308	12.608	10.911
	BALANCE CARRIED TO THE B/S		22.446	16.308	12.608
	Earnings Per Share (Rs.)		32.08	19.34	NA

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	1.01	1.55	2.15
Net Profit Margin (PBT/Sales)	(%)	1.39	2.22	3.46
Return on Total Assets (PBT/Total Assets}	(%)	2.88	3.14	2.24
Return on Investment (ROI) (PBT/Networth)		0.13	0.12	0.11
Debt Equity Ratio (Total Liability/Networth)		3.37	2.72	3.72
Current Ratio (Current Asset/Current Liability)		4.06	2.11	2.32

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	Yes
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

OPERATIONS OF THE COMPANY:

During the year the company has recorded a turnover of Rs.648.537 Millions as against Rs.238.615 Millions in the previous year and earned a net profit of Rs.8.988 Millions as against Rs.5.304 Millions in the previous year after providing depreciation of Rs.1.433 Millions and financial charges of Rs.17.412 Millions as against depreciation of Rs.1.209 Millions and financial charges of Rs.9.108 Millions in the previous year.

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U29219AP1991PTC012787
Name of the company	P.V.K.ENGINEERS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	8-3-293/B2/A/270/R/A/1, Plot No. 270 E/A, Jubilee Hills Hyderabad - 500033, Andhra Pradesh, India E-mail Id : pvkengineers@yahoo.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	90135927
Type of charge	Immovable property Movable property (not being pledge)
Particular of charge holder	State Bank of Hyderabad, Shapur Nagar Branch, Shapur Nagar, Hyderabad - 500055, Andhra Pradesh, India E-mail Id : shapurnagar@sbhyd.co.in
Nature of instrument creating charge	1. Agreement of hypothecation of goods and assets. 2. Link letter. 3. Agreement of loan for overall limit.
Date of instrument Creating the charge	29.09.2011
Amount secured by the charge	Rs.270.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest Cash credit- 5.50% above the base rate present 15.50%.( floating) Term loan - 6.00% above the base rate present 16.00%.( floating) Terms of Repayment Working capital repayable on demand. Term loan - 16 quarterly installments of Rs.1.250 Million each starting from December, 2011. Margin 1. Raw material-25%. 2. Stock-in-process-25%. 3. Finished goods-25% 4. LC/ Bg-25%. 5. Book debts/receivables (90 days) - 50%. Extent and Operation of the charge The charge, interalia, operates as a security for the due repayment of the loans sanctioned to the company.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Cash credit- first charge on stocks of raw materials, stocks in process, finished goods, receivables and other current assets of the company (both present & future). Term loan - first charge on entire fixed assets ( present & future) of the company including EM of factory land and building at Plot No. 23, Phase IV, IDA, Jeedimetla, Hyderabad. First charge on entire fixed assets (present & future) of m/s. Dynamic engineering works including EM of land and building at Plot No. 27a, Phase IV, IDA, Jeedimetla, Hyderabad.
Date of instrument modifying the charge	24.06.2010
Particulars of the present modification	The existing limits of Rs.250.000 Millions have been enhanced to rs.270.000 Millions with the fresh term loan sanction of Rs.20.000 Millions

FIXED ASSETS:

· Land

· Building

· Plant and Machinery

· Office Equipments

· Computers

· Furniture

· Car

WEBSITE DETAILS:

OVERVIEW

PVK and PRK ENGINEERS is a wholly owned subsidiary of subject.

P-V-K Engineers, a multi technology and innovative Engineering outfit was established in the year 1983 by Two Technocrats with a shared vision committed to deliver reliable Engineering Products and Services.

P-V-K's consistent growth over the last 25 years has been symbolized by diligent and committed contributions toward the Power, Cement, Petrochemical and Process and Allied Industries.

A new entity, by name PVK and PRK ENGINEERS, is registered to take care of wider area of engineering including the present activities of existing subject also.

The group has also established a well entrenched infrastructural base by participating in the formation of associate companies which serve to compliment its principal facilities, thereby rendering a key advantage in controlling project logistics and costs.

Subject Engineers is dedicated to world class Engineering Products (Design and Manufacturing). Subject is known for incorporating the high engineering standards in all products. This attentiveness to all particulars of each design phase enables the company to ensure enduring value to their customers.

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.55.44
UK Pound	1	Rs.89.31
Euro	1	Rs.71.62

INFORMATION DETAILS

Report Prepared by :

BSN

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	YES
--AFFILIATION	YES/NO	YES
--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.