MIRA INFORM REPORT

Report Date :

26.09.2012

IDENTIFICATION DETAILS

Name :	EBCO PRIVATE LIMITED
Formerly Known As :	EARL BIHARI PRIVATE LIMITED
Registered Office :	148 F Fair Lawns Street, Cyril Road, Bandra , Mumbai – 400 050, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	29.09.1973
Com. Reg. No.:	11-16890
Capital Investment / Paid-up Capital :	Rs.9.500 Millions
CIN No.: [Company Identification No.]	U29299MH1973PTC016890
TAN No.: [Tax Deduction & Collection Account No.]	MUME04633G
PAN No.: [Permanent Account No.]	AAACE1625N
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Furniture Fittings and Defence Products like Cartridge Links
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (50)

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

Maximum Credit Limit :	USD 990700
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	BBB (Long Term)
Rating Explanation	Moderate Degree of Safety. It Carry Moderate Credit Risk.
Date	July, 2012

RBI DEFAILTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAILTERS’ 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 :	148 F Fair Lawns Street, Cyril Road, Bandra , Mumbai – 400 050, Maharashtra , India
Tel. No.:	91-22-26404877/ 28575889/67837777
Mobile No.:	91-9819529119 (Mr. Jeevan Lewis)
Fax No.:	91-22-26401543/66920700
E-Mail :	ebco@vsnl.com jeevan.lewis@ebcofittings.com ebco@mtnl.net.in info@ebcofittings.com
Website :	www.ebcofittings.com
Factory 1:	Saki Vihar Road, Near to Kelick Nixon, Andheri (East), Mumbai – 400072, Maharashtra, India
Tel. No.:	91-22-28573888/ 28575889/ 66925211
Fax No.:	91-22-66920700
E-Mail :	info@ebcofittings.com
Websites:	www.ebcofittings.com
Factory 2:	Plot No 27, Phase 2, Genisis Industiral Complex, Kolgaon, Palghar, Thane, Maharashtra
Factory 3:	Plot No 12, Phase 2, Genisis Industiral Complex, Kolgaon, Palghar, Thane, Maharashtra
Overseas Offices:	United Arab Emirates, Dubai, M/s. Little Angel Building Materials LLC, P. O. Box No. 51267, BUR , Dubai UAE
Tel. No.:	9714-3557830
Fax No.:	9714-5473681
E-Mail :	jkagrana@yahoo.com
Corporate Office :	Chandivali Hyde Park, Andheri (East), Mumbai, Maharashtra, India

DIRECTORS

AS ON 14.07.2012

Name :	Mr. Geoggrey Biharti Nagpal
Designation :	Director
Address :	148 Fair Lawns, St Cyril Road, Bandra West, Mumbai – 400 050, Maharashtra, India
Date of Birth/Age :	08.01.1955
Qualification :	BE
Date of Appointment :	10.06.1986
DIN No :	00532081

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	U29299MH1973PTC016890	EBCO PRIVATE LIMITED	Managing director	10/06/1986	10/06/1986	-	Active	NO
2	U01210MH1994PTC076947	RAINBOW QUEST EQUINES PRIVATE LIMITED	Managing director	07/03/1994	07/03/1994	-	Active	NO
3	U74210MH1994PTC076950	EFFIPRESS ENGINEERING PRIVATE LIMITED	Managing director	07/03/1994	07/03/1994	-	Active	NO
4	U74999MH1931GAP001784	THE WESTERN INDIA RACE HORSE OWNERS ASSOCIATION LTD	Director	17/01/1997	17/01/1997	-	Active	NO
5	U91990MH1925PLC001182	ROYAL WESTERN INDIA TURF CLUB LIMITED	Director	18/12/2010	18/12/2010	-	Active	NO

Name :	Mr. Ashley Bihari Nagpal
Designation :	Director
Address :	148 Fair Lawns, St Cyril Road, Bandra West, Mumbai – 400 050, Maharashtra, India
Date of Birth/Age :	16.02.1964
Qualification :	Graduate
Date of Appointment :	31.03.1984
DIN No :	01962630

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	U29299MH1973PTC016890	EBCO PRIVATE LIMITED	Whole-time director	01/04/2012	31/03/1984	-	Active	NO
2	U74210MH1994PTC076950	EFFIPRESS ENGINEERING PRIVATE LIMITED	Director	07/03/1994	07/03/1994	-	Active	NO
3	U01210MH1994PTC076947	RAINBOW QUEST EQUINES PRIVATE LIMITED	Director	07/03/1994	07/03/1994	-	Active	NO

Name :	Mr. Rajesh Mohanan Nair
Designation :	Executive Director
Address :	A-102, Atlas, Lodha Paradise, Majiwada, Thane – 400601, Maharashtra, India
Date of Birth/Age :	15.05.1974
Date of Appointment :	01.08.2008
DIN No :	02325559

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	U29299MH1973PTC016890	EBCO PRIVATE LIMITED	Director	01/08/2008	01/08/2008	31/03/2012	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 14.07.2012

Names of Shareholders	No. of Shares
Geoffery Bihari Nagpal	77996
Ashley Bhaghwandas Nagpal	91950
Bianca Ashley Nagpal	2280
Nisdhant Geoffrey Nagpal	17004
Karan Ashley Nagpal	770
Total	190000

LIST OF ALLOTTES AS ON 14.03.2012

Names of Shareholders	No. of Shares
Geoffery Bihari Nagpal	39003
Ashley Bhaghwandas Nagpal	45975
Bianca Ashley Nagpal	1140
Nisdhant Geoffrey Nagpal	8502
Karan Ashley Nagpal	380
Total	95000

Equity Share Breakup (AS ON 14.07.2012)

Category	Percentage
Directors or relative of directors	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Furniture Fittings and Defence Products like Cartridge Links

Products :

· Drawer Slides of Various Types and sizes

· Friction Stay

· Hings of various and sizes

Product Description	Item Code (ITC Code No.)
Drawer Slides of Various Types and sizes	83024200
Computer Key Board Tray	94032010
Friction Stay	83024110

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· Kotak Mahindra Bank Limited, 36-38a, Nariman Bhavan, 227,D, Nariman Point, Mumbai - 400021, Maharashtra, India

· State Bank of India, Industrial Finance Branch Sakinaka, 1^st Floor, Saki Vihar Road, Sakinaka, Andheri (East), Mumbai - 400072, Maharashtra, India

Facilities :

SECURED LOAN	Rs. In Millions 31.03.2011	Rs. In Millions 31.03.2010
Cash Credit from Kotak Mahindra Bank	157.291	135.103
ICICI Bank Car Loan	2.998	0.255
Kotak Mahindra Prime Limited 5968150 Car Loan	0.237	1.061
Kotak Mahindra Prime Limited Car Loan	6.017	0.000
Kotak Mahindra Prime Limited 4860235 Car Loan	0.176	0.582
State bank of Patiala Car Loan	0.000	0.219
Term Loan DFL 9092	35.000	0.000
Term Loan DFL 9207	11.140	20.000
Term Loan DFL 9210	11.074	15.468
Term Loan DFL 9235	91.480	100.000
Term Loan DFL 9248	28.107	30.357
TOTAL	343.520	303.045
UNSECURED LOAN	Rs. In Millions 31.03.2011	Rs. In Millions 31.03.2010
From Shareholders and Directors	2.295	1.246
From Banks and Financial Institutions	18.105	15.969
Sales Tax Loan	0.258	0.494
TOTAL	20.658	17.709

Banking Relations :

--

Auditors :

Name :

Atul R Shah and Associates

Chartered Accountants

Address :

75/4, Nityanand Nagar Chs No.4,Behind Better Homes, Sahar Road, Opp. Railway Station, Andheri (E), Mumbai – 400 069, Maharashtra, India

Associates/Subsidiaries :

NA

CAPITAL STRUCTURE

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
200000	Equity shares	Rs.100/- each	Rs.20.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
95000	Equity shares	Rs.100/- each	Rs.9.500 millions

 AS ON 14.07.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
200000	Equity shares	Rs.100/- each	Rs.20.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
190000	Equity shares	Rs.100/- each	Rs.19.000 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		9.500	9.500	9.500
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		238.175	196.861	165.584
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		247.675	206.361	175.084
LOAN FUNDS
1] Secured Loans		343.520	304.045	225.174
2] Unsecured Loans		20.658	17.709	26.472
TOTAL BORROWING		364.178	321.754	251.646
DEFERRED TAX LIABILITIES		22.707	17.931	12.819
TOTAL		634.560	546.046	439.549
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		382.522	367.836	217.010
Capital work-in-progress		0.000	0.000	29.923
INVESTMENT		0.271	0.671	0.670
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	212.258	160.294	169.849
	Sundry Debtors	140.245	111.529	93.732
	Cash & Bank Balances	1.268	0.448	0.388
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	112.615	56.587	72.205
Total Current Assets		466.386	328.858	336.174
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	142.710	86.875	NA
	Current Liabilities	19.329	29.264	91.779
	Provisions	52.580	35.180	52.449
Total Current Liabilities		214.619	151.319	144.228
Net Current Assets		251.767	177.539	191.946
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		634.560	546.046	439.549

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Sales	485.779	392.218	442.116
		Sales of Apares and Accessories	451.168	327.414	236.759
		Other Income	49.647	32.503	45.219
		Scrap Sales	5.926	5.539	7.122
		TOTAL (A)	992.520	757.674	731.216
Less	EXPENSES
		Purchase of Spares and Accessories	354.573	250.985	197.237
		Manufacturing and Other Expenses	536.492	423.861	470.557
		Increased / (Decreased) In Stock	(36.899)	(4.439)	(21.563)
		TOTAL (B)	854.166	670.407	646.231
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		138.354	87.267	84.985
Less	FINANCIAL EXPENSES (D)		55.314	24.279	20.932
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		83.040	62.988	64.053
Less/ Add	DEPRECIATION/ AMORTISATION (F)		15.644	9.302	7.949
	PROFIT BEFORE TAX (E-F) (G)		67.396	53.686	56.104
Less	TAX (I)		22.175	18.505	19.881
	PROFIT AFTER TAX (G-I) (J)		45.221	35.181	36.223
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		0.119	0.042	0.059
Less	SHORT / EXCESS PROVISION		0.018	0.014	0.050
Less	APPROPRIATIONS
		Proposed Dividend	3.325	3.325	3.325
		Additional Tax on Dividend	0.565	0.565	0.565
		Transfer to General Reserve	40.000	31.200	32.300
	BALANCE CARRIED TO THE B/S		1.432	0.119	0.042

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	4.56	4.64	4.81
Net Profit Margin (PBT/Sales)	(%)	13.87	13.69	7.92
Return on Total Assets (PBT/Total Assets}	(%)	7.94	7.71	10.14
Return on Investment (ROI) (PBT/Networth)		0.27	0.26	0.32
Debt Equity Ratio (Total Liability/Networth)		2.34	2.29	2.26
Current Ratio (Current Asset/Current Liability)		2.17	2.17	2.33

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	No
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

 FORM 8:-

Corporate identity number of the company	U29299MH1973PTC016890
Name of the company	EBCO PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	148F Fair Lawns Streetst Cyril Road, Bandra, Mumbai – 400050, Maharashtra, India
This form is for	Creation of charge
Type of charge	Book Debts Immovable Property Movable Property
Particular of charge holder	Kotak Mahindra Bank Limited
Nature of instrument creating charge	1. Deed of Hypothecation. 2. Deed of Mortgage.
Date of instrument Creating the charge	11/04/2011
Amount secured by the charge	Rs.424.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest CC/WCTL/TL- Floating over the tenure of the facility. The ROI has been arrived at on the basis of the Bank's Base Rate. WCDL- As per Bank's policy. Trade Credit- As per Bank's guidelines. Terms of Repayment WCDL- On demand as per terms and conditions as deemed fit by the Bank. TL- Loan shall be repaid by way of no. of balance o/s EMIs of Existing Bank starting from month following the month of 1st disbursement of TL. EMIs shall be recovered by ways of debit to current account of the Borrower with the Bank. or EMIs shall be recovered by banking PDCs on respective due dates. Trade Credit- Repayment by way of liquidation of FD (kept as margin)/by way of banking cheque/debit to current A/c of Borrower. Margin LC - Minimum cash margin of 15% shall be provided upfront in the form of FD. Lien shall be marked on the FD in favour of the Bank. BG - Minimum cash margin of 15% shall be provided upfront in the form of FD. (100% cash margin for guarantees covering disputed liabilities) Lien shall be marked on the FD till such time as the BG is cancelled and returned to the Bank. TC - Minimum cash margin of 10% shall be provided upfront in the form of FD. Lien shall be marked on the FD in favour of the Bank. Extent and Operation of the charge 1. First and exclusive charge by way of Hypothecation of Current assets and Movable fixed assets present and future of the Borrower, in favour of Kotak Mahindra bank as security for repayment of financial facilities granted by the Bank to the Borrower of Rs. 424.000 Millions. 2. First and exclusive charge by way of Mortgage on Immovable property of EBCO PRIVATE LIMITED, in favour of KMBL as security for repayment of financial facilities granted by the Bank to the EBCO PRIVATE LIMITED of Rs. 424.000 Millions.
Short particulars of the property charged	The whole of Borrower's Current assets and Movable fixed assets both present and future as described in Schedule to the Deed of Hypothecation. All that piece and parcel of the land being Non-Agricultural land bearing S.No.53, Hissa Nos. 7/2A, 7/3, 7/4, at Bilal Pada, Achole, Vasai, Dist. Thane, as described in SCH II (Prop.1 to 3) to the DOM. All that piece and parcel of the land bearing Plot Nos.12, 13, 27, 28, 29, 31, 32, 33, situated in Genesis Industrial Complex, Gat No.242, 246, 248 and 250, S.No.28 and 29, Kolgaon, Palghar Dist. Thane, more particularly described in SCH II (Prop.4,5,8 to 13) to the DOM. All that piece and parcel of the land bearing Plot Nos. 20 and 21, at Genesis Industrial Complex, Gat No.251, S.No.33 and 82, Kolgaon, Palghar, more particularly described in SCH II (Prop.6 and 7) to the DOM. All that piece and parcel of the property, i.e. Office Nos.402 and 403, at Hyde Park, S.No.41, Hissa No.1(pt), CTS No.680, Marol, Dist. Bandra, more particularly described in SCH II (Prop.14) to the DOM.

FIXED ASSETS:

• Land
• Building
• Plant and Machinery
• Air Conditioner
• Computers
• Factory and Building

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.53.53
UK Pound	1	Rs.86.62
Euro	1	Rs.69.03

INFORMATION DETAILS

Report Prepared by :

SDA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		50

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.