MIRA INFORM REPORT

Report Date :

03.04.2013

IDENTIFICATION DETAILS

Name :	CHOICE COPIERS PRIVATE LIMITED
Registered Office :	66, Parikh Vora Chambers, 1^st Floor, Nagindas, Master Road, Mumbai – 400023, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	11.10.1985
Com. Reg. No.:	11-037728
Capital Investment / Paid-up Capital :	Rs. 1.433 Millions
CIN No.: [Company Identification No.]	U29299MH1985PTC037728
Legal Form :	Private Limited Liability Company.
Line of Business :	Manufacturer and Supplier of Solder Wire, Sticks and Soldering Materials
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (31)

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

Maximum Credit Limit :	USD 19000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. There appears huge external borrowing recorded by the company which acts as a threat to the company’s liquidity. The profitability also appears to be low. However, trade relations are reported as fair. Business is active. Payment terms are slow but correct. The company can be considered for business dealings with some caution.

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 :	66, Parikh Vora Chambers, 1^st Floor, Nagindas, Master Road, Mumbai – 400023, Maharashtra, India
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	ccp@del3.vsn.net.in
Head Office :	D-91, Sector-10, Gautam Budh Nagar, Noida, Uttar Pradesh, India
Tel. No.:	91-120-2558205/ 4317404/ 2558265
Fax No.:	91-120-2544706/ 4267640

DIRECTORS

AS ON 29.09.2012

Name :	Mr. Vinod Goyal
Designation :	Managing director
Address :	C 1 / 89, Sector 31, Noida - 201301, Uttar Pradesh, India
Date of Birth/Age :	28.05.1959
Date of Appointment :	01.05.1990
DIN No.:	00081005
Name :	Mrs. Neelam Goyal
Designation :	Director
Address :	C 1 / 89, Sector 31, Noida - 201301, Uttar Pradesh, India
Date of Birth/Age :	28.01.1952
Date of Appointment :	18.01.1991
DIN No.:	00081189

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 29.09.2012

Names of Shareholders	No. of Shares
Geeta Srivastav	50
Neelam Goyal	1460
Mahesh Goyal	1150
Narmada Devi	355
Ratan Lal Dingli	100
Harish Chandra Goyal	670
Aman Goyal	3570
Sunita Agrawal	250
Kamlesh Gupta	175
Shivani Gupta	500
Vinod Goyal	3175
Ankit Goyal	2770
Ashish Srivastav	100
Total	14325

AS ON 29.09.2012

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

BUSINESS DETAILS

Line of Business :

Manufacturer and Supplier of Solder Wire, Sticks and Soldering Materials

PRODUCTION STATUS (AS ON 31.03.2012)

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Soldering Material	Kgs.	N.A.	N.A.	61585.5

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

Ø Corporation Bank, G28/29, Sector-18, Noida - 201301, Uttar Pradesh, India

Ø HDFC Bank Limited

Ø Barclays Bank

Ø ICICI Bank Limited

Facilities :

Secured Loans	31.03.2012	31.03.2011
Term Loans	(Rs. In Millions)
From Corporation Bank (Car)	0.397	0.000
From Corporation Bank	0.728	1.052
From HDFC Bank	0.048	0.229
Cash Credit Limit From Bank	35.252	10.756
Total	36.425	12.037
Note: a Term Loan from Corporation Bank Rs. 0.396 Million carries interest @ 13 p.a. at present. The loan is repayable in ……. equal monthly installments. The loan is secured by way of hypothecation of car. b Term Loan from Corporation Bank Rs.0.728 Million ( previous year Rs. 1.052 Millions) carries interest @ 12 p.a. at present. The loan is repayable in 60 monthly installments .The loan is secured by way of hypothecation of car. c Term Loan from HDFC Bank Rs.0.229 Million ( previous year Rs. 0.392 Million) carries interest @10 p.a. at present. The loan is repayable in 36 equal monthly installments. The loan is secured by way of hypothecation of car. Cash Credit Limits from Corporation Bank are secured against equitable mortgage of Company's Land, Building, hypothecation of plant and machinery, Tooling, Fixtures and spares, all current assets including raw materials, semi finished goods, finished goods, work in progress book debts and guarantee of directors. The limits are repayable on demand and carries interest of @13% p.a. floating.

Banking Relations :	--
Auditors :
Name :	R Verma and Associates Chartered Accountants
Address :	G-53, Sarita Vihar, Delhi – 110076, India
Income-tax PAN of auditor or auditor's firm :	AAJFR3798P
Enterprise that directly, or indirectly through one or more Intermediaries, control, or are controlled by, or are under Common control with, the reporting enterprise :	Ø Choice Chemtech Private Limited Ø Aman Home Appliances Private Limited Ø Choice Technology

CAPITAL STRUCTURE

AS ON 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
15,000	Equity Shares	Rs. 100/- each	Rs. 1.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
14,325	Equity Shares	Rs. 100/- each	Rs. 1.433 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2012	31.03.2011	31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		1.433	1.433	1.433
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		3.313	2.686	2.250
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		4.746	4.119	3.683
LOAN FUNDS
1] Secured Loans		36.425	12.037	7.536
2] Unsecured Loans		14.287	6.710	2.957
TOTAL BORROWING		50.712	18.747	10.493
DEFERRED TAX LIABILITIES		0.264	0.256	0.224
TOTAL		55.722	23.122	14.400
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		3.674	3.333	3.083
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.630	0.630	0.630
DEFERRED TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	31.763	10.076	4.263
	Sundry Debtors	15.687	6.401	4.261
	Cash & Bank Balances	5.398	0.258	0.686
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	5.602	5.680	7.675
Total Current Assets		58.450	22.415	16.885
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	4.802	1.086	1.908
	Other Current Liabilities	1.909	1.951	4.014
	Provisions	0.321	0.219	0.276
Total Current Liabilities		7.032	3.256	6.198
Net Current Assets		51.418	19.159	10.687
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		55.722	23.122	14.400

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income
		Other Income
		TOTAL	78.699	41.371	27.259
Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses
		TOTAL	77.288	40.307	26.485
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		1.411	1.064	0.774
Less/ Add	DEPRECIATION/ AMORTISATION		0.496	0.391	0.373
	PROFIT BEFORE TAX		0.915	0.673	0.401
Less	TAX		0.288	0.238	0.084
	PROFIT AFTER TAX		0.627	0.435	0.317
	Earnings Per Share (Rs.)		43.79	30.39	22.12

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	0.80	1.05	1.16
Return on Total Assets (PBT/Total Assets}	(%)	1.47	2.61	2.01
Return on Investment (ROI) (PBT/Networth)		0.19	0.16	0.11
Debt Equity Ratio (Total Debt/Networth)		10.69	4.55	2.85
Current Ratio (Current Asset/Current Liability)		8.31	6.88	2.72

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	Yes
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

UNSECURED LOANS

Unsecured Loans	31.03.2012	31.03.2011
	(Rs. In Millions)
From Directors ( Interest free )	0.153	0.153
From Choice Technology Inc -in which a Director is proprietor	12.550	4.500
From Others	1.513	1.514
Barclays Bank	0.071	0.543
Total	14.287	6.710

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U29299MH1985PTC037728
Name of the company	CHOICE COPIERS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	66, Parikh Vora Chambers, 1^st Floor, Nagindas, Master Road, Mumbai – 400023, Maharashtra, India Email: ccpl@del3.vsnl.net.in
This form is for	Modification of charge
Charge identification number of the modified	90186935
Type of charge	Immovable property Book debts Movable property (not being pledge)
Particular of charge holder	Corporation Bank, G28/29, Sector-18, Noida - 201301, Uttar Pradesh, India Email: cb0501@corpbank.co.in
Nature of description of the instrument creating or modifying the charge	Supplemental common deed of hypothecation of movables, assets, debts, and Continuity Letter, sanction letter.
Date of instrument Creating the charge	21.09.2012
Amount secured by the charge	Rs. 152.387 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest As per sanction terms Terms of Repayment As per sanction terms Margin As per sanction terms Extent and Operation of the charge Charge on stocks, book-debts/ receivable and plant and machineries is to secure various credit limits sanction to Choice Copier Private Limited and Aman Home Appliances Private Limited of Rs.145.560 Millions and Charge on EMG of property is to collaterally secure various credit limits sanction by the corporation bank to following companies. 1. Choice Copier Private Limited Rs. 60.720 Millions. 2. Choice Chemtech Private Limited Rs. 6.667 Millions. 3. Aman Home Appliances Private Limited Rs.85.000 Millions. Aggregate total of Rs.152.387 Millions.
Short particulars of the property charged	The whole of the movable current assets of the borrower including finished goods stores and spares both present and future. The whole of the movable fixed assets of the borrower including its movable plant and machinery, machinery spares, tools and accessories moulds furniture and fixture etc. both present and future. Continuing first hypothecation charge on the whole of the movable fixed assets of the borrower including its movable plant and machinery, machinery spares, tools and accessories, moulds furniture and fixture etc. both present and future. Collateral Security;- Equitable mortgage of property being industrial property situated at Plot No-D-91 Sector-10, Noida, District Gautam Budh Nagar (U.P.) ad measuring 114 square meters.
Particulars of the present modification	Under present modification the charge on stocks, book-debts/receivables, plant and machinery of the company stands enhanced from Rs.60.720 Millions to Rs.145.560 Millions and charge on immovable property stands enhanced from Rs.68.087 Millions to Rs.152.387 Millions to secure the limits sanctioned by Corporation Bank to the following company 1. Choice Chemtech Private Limited Rs.6.667 Millions. 2. Choice Copiers Private Limited Rs.60.720 Millions 3. Aman Home Appliances Private Limited Rs.85.000 Millions. Aggregate Rs.152.387 Millions

FIXED ASSETS:

Ø Land (Freehold)

Ø Building

Ø Plant and Machinery

Ø Other Assets

Ø Furniture and Fixture

Ø Vehicle

Ø Three Wheeler

Ø Tools

Ø Computer

Ø Refrigerators

Ø Weighting Scale Machine

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 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. 54.33
UK Pound	1	Rs. 82.72
Euro	1	Rs. 69.82

INFORMATION DETAILS

Report Prepared by :

BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTERS
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		31

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.