MIRA INFORM REPORT

Report Date :

15.04.2013

IDENTIFICATION DETAILS

Name :	PRESTO STANTEST PRIVATE LIMITED
Registered Office :	C – 117, F.F. Complex, Okhla Industrial Area, Phase III, New Delhi - 110020
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	12.06.1997
Com. Reg. No.:	55-087892
Capital Investment / Paid-up Capital :	Rs. 5.109 Millions
CIN No.: [Company Identification No.]	U33125DL1997PTC087892
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Testing Equipments and Material Testing Equipments
No. of Employees :	50 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (43)

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

Maximum Credit Limit :	USD 74000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having a satisfactory track record. 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

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.

INFORMATION PARTED BY (GENERAL DETAILS)

Name :	Mr. Umesh
Designation :	Accountant
Contact No.:	91-129-4272727
Date :	13.04.2013

LOCATIONS

Registered Office :	C – 117, F.F. Complex, Okhla Industrial Area, Phase III, New Delhi 110020, India
Tel. No.:	91-129-4085000
Mobile No.:	91-9899410810 (Mr. Hemant)
Fax No.:	91-129-4083111
E-Mail :	presto@vsnl.com hemant@prestogroup.com
Website :	http://www.prestoinstruments.com
Factory 1 :	I-42, DLF Industrial Area, Phase-1, Delhi Mathura Road, Faridabad 121003, Haryana, India
Tel. No.:	91-129-4272727 (100 Lines)
Fax No.:	91-12-4083111
Branches 1 :	503 B, Fair Link Centre, Opposite Fame Adlabs, Behind Monginis, Off Linking Road, Andheri (West), Mumbai - 400 058, Maharashtra, India
Tel. No.:	91-22-42957052 / 42957053
E-Mail :	west@prestogroup.com
Branches 2 :	93, 3rd Floor, Karnani Estate 209, A.J.C. Bose Road, Kolkata-700017. West Bengal, India
Tel. No.:	91-33-40612012
E-Mail :	east@prestogroup.com
Branches 3 :	A-3,First Floor, Sri Sathya Sai Building,755, Poonamallee High Road, Kilpauk Chennai- 600 010.  Tamilnadu, India
Tel. No.:	91-44-43865260
E-Mail :	south@prestogroup.com

DIRECTORS

As on 29.09.2012

Name :	Mr. Vishal Malhotra
Designation :	Whole-Time Director
Address :	House No.7, Block IV, Erose Garden Suraj Road, Charmwood Village, Faridabad – 121009, Haryana, India
Date of Birth/Age :	08.09.1972
Date of Appointment :	20.06.1997
DIN No.:	00530773
Name :	Mr. Gaurav Malhotra
Designation :	Whole-Time Director
Address :	House No.7, Block IV, Erose Garden Suraj Road, Charmwood Village, Faridabad – 121009, Haryana, India
Date of Birth/Age :	24.01.1975
Date of Appointment :	20.06.1997
DIN No.:	00530803
Name :	Mr. Anil Malhotra
Designation :	Director
Address :	House No.7, Block IV, Erose Garden Suraj Road, Charmwood Village, Faridabad – 121009, Haryana, India
Date of Birth/Age :	03.09.1944
Date of Appointment :	20.06.1997
DIN No.:	02038482

KEY EXECUTIVES

Name :	Mr. Umesh
Designation :	Accountant

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.2012

Names of Shareholders	No. of Shares
Vishal Malhotra	166100
Gaurav Malhotra	158100
Anil Malhotra	66600
Veena Malhotra	100
Kanika Malhotra	60000
Pooja Malhotra	60000
Total	510900

As on 07.12.2012

Names of Shareholders	No. of Shares
Anil Malhotra	2500
Vishal Malhotra	5000
Gaurav Malhotra	5000
Total	12500

As on 29.09.2012

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 Testing Equipments and Material Testing Equipments
Exports :
Products :	Testing Equipments and Material Testing Equipments
Countries :	· Australia · Nepal · Saudi Arabia · Sri Lanka · Bangladesh
Imports :
Products :	Raw Material
Countries :	· China · Korea
Terms :
Selling :	Cash / Credit
Purchasing :	Cash / Credit

PRODUCTION STATUS (As on 31.03.2012)

Particulars	Actual Production
Finished Goods	1651

GENERAL INFORMATION

Customers :

End Users

No. of Employees :

50 (Approximately)

Bankers :

· Small Industries Development Bank of India, N.H 5-R/2, Neelam Badshah Khan Road, N I T, Faridabad - 121001, Haryana, India

· Central Bank of India, NIT, Faridabad - 121001, Haryana, India

· ICICI Bank

· Kotak Mahindra Bank Limited

· Punjab National Bank

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2012	As on 31.03.2011
Long Term Borrowings
Term Loan From Banks (Secured against hypothecation of stock and debtors)	3.406	6.978
Less: Shown in Current Maturities of Long Term Debt	(0.433)	0.000
Short Term Borrowings
Cash Credit (Central Bank of India)	4.940	5.006
O.D. Account (Kotak Mahindra Bank Limited)	3.794	0.000
Total	11.707	11.984

Banking Relations :	--
Auditors :
Name :	Satish Singla and Company Chartered Accountants
Address :	1^st Floor, SCO 107, Sector 16, Faridabad 121002, Haryana, India
PAN.:	AEZPS2994A

CAPITAL STRUCTURE

After 29.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
850000	Equity Shares	Rs.10/- each	Rs.8.500 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
523400	Equity Shares	Rs.10/- each	Rs.5.234 Millions

As on 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
850000	Equity Shares	Rs.10/- each	Rs.8.500 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
510900	Equity Shares	Rs.10/- each	Rs.5.109 Millions

NOTE:

The Company has only one class of shares referred to as equity shares having a par value of Rs.10 Each holder of equity shares is entitled to one vote per share.

Reconciliation of the Number of shares

Particulars	No. of Shares
Outstanding at the beginning of the year	482,500
Issued during the year	28,400
Outstanding at the end of the year	510,900

Shares held by each shareholder holding more than 5% shares

Name	% Holding	No. of Shares
Vishal Malhotra	32.51	166,100
Gaurav Malhotra	30.95	158,100
Anil Malhotra	13.04	66,600
Kanika Malhotra	11.74	60,000
Pooja Malhotra	11.74	60,000

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		5.109	4.825	4.694
2] Share Application Money		0.000	2.660	1.110
3] Reserves & Surplus		13.403	10.002	7.327
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		18.512	17.487	13.131
LOAN FUNDS
1] Secured Loans		11.707	11.984	21.430
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		11.707	11.984	21.430
DEFERRED TAX LIABILITIES		0.394	0.332	0.395
TOTAL		30.613	29.803	34.956
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		27.872	26.935	28.110
Capital work-in-progress		0.087	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	5.244	7.208	9.599
	Sundry Debtors	2.611	0.918	1.114
	Cash & Bank Balances	0.770	0.356	1.377
	Other Current Assets	0.029	0.000	0.000
	Loans & Advances	1.778	0.998	0.725
Total Current Assets		10.432	9.480	12.815
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	1.829	1.838	2.362
	Other Current Liabilities	4.938	4.809	3.651
	Provisions	1.011	0.000	0.000
Total Current Liabilities		7.778	6.647	6.013
Net Current Assets		2.654	2.833	6.802
MISCELLANEOUS EXPENSES		0.000	0.035	0.044
TOTAL		30.613	29.803	34.956

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012
	SALES
		Income	76.415
		Other Income	1.719
		TOTAL (A)	78.134
Less	EXPENSES
		Cost of Material Consumed	51.221
		Changes in inventories of finished goods, work‐in‐progress and Stock‐in‐Trade	(0.123)
		Employee Benefit Expense	12.992
		Other Expenses	6.717
		TOTAL (B)	70.807
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		7.327
Less	FINANCIAL EXPENSES (D)		1.424
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		5.903
Less/ Add	DEPRECIATION/ AMORTISATION (F)		2.600
	PROFIT BEFORE TAX (E-F) (G)		3.303
Less	TAX (H)		1.039
	PROFIT AFTER TAX (G-H) (I)		2.264
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		4.118
Less	APPROPRIATIONS
		Transfer to General Reserve	0.500
	BALANCE CARRIED TO THE B/S		5.882
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	13.732
	TOTAL EARNINGS		13.732
	IMPORTS
		Raw Materials	3.191
	TOTAL IMPORTS		3.191
	Earnings Per Share (Rs.)		4.43

	PARTICULARS		31.03.2011	31.03.2010
	SALES
		Sales	70.660	59.105
		Other Income	2.011	1.414
		TOTAL (A)	72.671	60.519
Less	EXPENSES
		Manufacturing Expenses	53.026	42.643
		Office Expenses	0.006	0.006
		Administrative Expenses	12.102	10.017
		TOTAL (B)	65.134	52.666
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		7.537	7.853
Less	FINANCIAL EXPENSES (D)		1.778	3.322
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		5.759	4.531
Less/ Add	DEPRECIATION/ AMORTISATION (F)		2.592	1.164
	PROFIT BEFORE TAX (E-F) (G)		3.167	3.367
Less	TAX (H)		0.976	1.090
	PROFIT AFTER TAX (G-H) (I)		2.191	2.277
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		2.427	0.650
Less	APPROPRIATIONS
		Transfer to General Reserve	0.500	0.500
	BALANCE CARRIED TO THE B/S		4.118	2.427
	EARNINGS IN FOREIGN CURRENCY		9.919	6.667
	IMPORTS		5.207	2.451
	Earnings Per Share (Rs.)		4.54	4.84

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	2.90	3.01	3.76
Net Profit Margin (PBT/Sales)	(%)	4.32	4.48	5.69
Return on Total Assets (PBT/Total Assets}	(%)	8.62	8.69	8.22
Return on Investment (ROI) (PBT/Networth)		0.18	0.18	0.25
Debt Equity Ratio (Total Debt /Networth)		0.63	0.69	1.63
Current Ratio (Current Asset/Current Liability)		1.34	1.42	2.13

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	Yes
9]	Name of person contacted	Yes
10]	Designation of contact person	Yes
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	Yes
20]	Export / Import details (if applicable)	Yes
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	U33125DL1997PTC087892
Name of the company	PRESTO STANTEST PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	C – 117, F.F. Complex, Okhla Industrial Area, Phase III, New Delhi – 110020, India presto@vsnl.com
This form is for	Creation of charge
Type of charge	Movable property (not being pledge)
Particular of charge holder	Small Industries Development Bank of India, N.H 5-R/2, Neelam Badshah Khan Road, N I T, Faridabad - 121001, Haryana, India singhsp@sidbi.in
Nature of instrument creating charge	loan agreement-cum -hypothecation Date 04.12.2012
Date of instrument Creating the charge	04.12.2012
Amount secured by the charge	Rs.2.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest Interest Will Be Payable At Floating Rate Of 0.5% Below SIDBI'S PLR, Current PLR is 12.75% And Current Effective Interest Rate Works Out To Be 12.25%. P.A. With Monthly Rests. Terms of Repayment The Loan Will Be Payable In 54 Monthly Instalments Including 53 Instalments of Rs.0.037 Million and Last Installment of Rs.0.039 Million Commmencing After Six Months From The Date of First Disbrusement Margin Rs. 0.700 Million, 0.500 Million By Way Of Additional Capital And Rs.0.200 Million By Way Of Interest Free Unsecured Loan
Short particulars of the property or asset(s) charged (including complete address and location of the property)	1. First Charge By Way Of Hypothecation On All The Borrower's Movables/Items Of Plant, Machinery and Other Equipment, Acquired / To Be Acquired Under The Project/Scheme Placed At :- I-42A, DLF Industrial Area, Phase-I, Faridabad-121003, (Haryana)

FIXED ASSETS:

· Land

· Factory

· Office building

· Furniture and Fixture

· Computer

· Vehicles

· Plant and Machinery

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.54.44
UK Pound	1	Rs.83.78
Euro	1	Rs.71.33

INFORMATION DETAILS

Information Gathered by :	SVA
Report Prepared by :	NTH

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	4
--RESERVES	1~10	5
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		43

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.