MIRA INFORM REPORT

Report Date :

22.04.2013

IDENTIFICATION DETAILS

Name :	TEAM FERRO-ALLOYS PRIVATE LIMITED
Registered Office :	Survey No. 357/2/2/1 and 357/2/3/2, Behind Dadra Garden, Dadra Nagar Havelli – 396230
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	28.01.1998
Com. Reg. No.:	54-000257
Capital Investment / Paid-up Capital :	Rs. 22.383 Millions
CIN No.: [Company Identification No.]	U27100DN1998PTC000257
TAN No.: [Tax Deduction & Collection Account No.]	SRTT00650G
PAN No.: [Permanent Account No.]	AAACT8925A
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Ferro Magnet and Cord Wire.
No. of Employees :	300 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (28)

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

Maximum Credit Limit :	USD 1090000
Status :	Moderate
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. Latest financial are not available. As per previous year financial, it seems that the company has recorded a huge external borrowing which seems to be increasing over years. However, trade relations are reported as fair. Business is active. Payment terms are unknown. 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.

EXTERNAL AGENCY RATING

Rating Agency Name	CARE
Rating	Long term Bank facilities : BB (Revised from BBB-)
Rating Explanation	Moderate risk of default
Date	March 1, 2013

Rating Agency Name	CARE
Rating	Short term Bank facilities : A4 (Revised from A3)
Rating Explanation	Minimal degree of safety it carry very high credit risk.
Date	March 1, 2013

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

Name :	Mr. Dinesh Sharma
Designation :	Senior Accounts Officer
Contact No.:	91-9909334324
Date :	18.04.2013

LOCATIONS

Registered Office/ Factory 1 :	Survey No. 357/2/2/1 and 357/2/3/2, Behind Dadra Garden, Dadra Nagar Havelli – 396230, India
Tel. No.:	91-260-3290663/ 3251663
Mobile No.:	91-9909334324 [Mr. Dinesh Sharma]
Fax No.:	91-260-2669699
E-Mail :	accounts_dadra@teamferro.com boonteam@rediffmail.com gownka@teamferro.com r_sharma@teamferro.com admin@teamferro.com ferro@teamferro.com
Website :	www.teamferro.com
Area :	5000 Sq. ft
Location :	Owned
Corporate Office :	Plot No. 79, Universal Annex, IV Floor, Shivaji Nagar, Nagpur-440010, Maharashtra, India
Tel. No.:	91-712-3018666/ 3018667/ 3018668
Fax No.:	91-712-3012660
Factory 2 :	Plot No. 3002, G.I.D.C., Sarigram, Valsad-396155, Gujarat, India
Tel. No.:	91-260-2780131
Factory 3 :	Survey No. 19, Village Gunded Balangar Mandal, Mehboob Nagar-509202, Andhra Pradesh, India
Tel. No.:	91-8548-320663
Factory 4:	A-19/ M.I.D.C, Butibori, District Nagpur, Maharashtra, India
Tel. No.:	91-7104-326347
Factory 5 :	B-17, MIDC, Village Mundipar, Gondia, Maharashtra, India
Tel. No.:	91-718-325518
Fax No.:	91-718-288438
Factory 6 / Branch Office :	F-304, Ashish Complex, LSC No. 1, Shreshtha Vihar, Delhi-110092, India
Tel. No.:	91-11-43051000/ 32997808/ 32991581
Fax No.:	91-11-43051050/ 60
Factory 7 :	Plot No. 79, Universal Annex, IV Floor, Shivaji Nagar, Nagpur-440010, Maharashtra, India
Tel. No.:	91-712-3018666/ 3256557
Fax No.:	91-712-3012660
E-Mail :	s_goenka@teamferro.com dodake@teamferro.com

DIRECTORS

AS ON 29.09.2012

Name :	Mr. Sandeep Rameshkumar Goenka
Designation :	Director
Address :	204, Yash Complex, Amravati Road, Ravi Nahar, Nagpur – 440010, Maharashtra, India
Date of Birth/Age :	04.11.1971
Date of Appointment :	01.04.2006
DIN No.:	00920923
Name :	Mr. Manoj Kumar Agrawal
Designation :	Director
Address :	M-11, Anupam Nagar, Raipur – 493332, Chattisgarh, India
Date of Birth/Age :	25.11.1964
Date of Appointment :	01.04.2006
DIN No.:	00921305
Name :	Mr. Anoop Kumar Gutgutia
Designation :	Whole-time director
Address :	801, Balaji Tower, Daman Road, Chala, Vapi - 396191, Gujarat, India
Date of Birth/Age :	11.01.1961
Date of Appointment :	28.01.1998
DIN No.:	00922280
Name :	Mr. Rajeshkumar Janardan Singh
Designation :	Director
Address :	CM-8/13, Dharti Chambers, N.H. No.8, Opposite, Daman Ganga Times, Gid Vapi I.E., Pardi, Valsad – 396195, Gujarat, India
Date of Appointment :	28.01.1998
DIN No.:	01938490
Name :	Mr. Singh Ramjanam
Designation :	Director
Address :	G-401, Nishigandh Apartment, Royal Garden, Chala, Via Vapi, Vapi - 396191, Gujarat, India
Date of Appointment :	28.01.1998
DIN No.:	02264763
Name :	Mr. Shankar Narayan Kalwani
Designation :	Director
Address :	Sai Colony, Krushnapura Ward, Bapat Chawl, Gondia - 441614, Maharashtra, India
Date of Appointment :	13.08.2012
DIN No.:	06364431

KEY EXECUTIVES

Name :	Mr. Dinesh Sharma
Designation :	Senior Accounts Officer

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 29.09.2012

Names of Shareholders	No. of Shares
Anoop Kumar Gutgutia	21553
Singh Ramjanam	27810
Zenco Advisory Services Private Limited, India	23900
Asha Gutgutia	9215
Rama R. Singh	3571
Sandeep Rameshkumar Goenka	35204
Manoj Kumar Agrawal	35377
Bela Properties Private Limited, India	2333
Siddha Ventures Limited, India	8333
Gopalka Savings and Investment Private Limited, India	2500
Gurudham Sales Private Limited, India	15250
Rajeshkumar Janardan Singh	8275
Suvidha Suppliers Private Limited, India	330
Saral Metallurgicals Private Limited, India	29714
Niraj R.J. Singh	2377
Ragini Ramjanam Singh	588
Total	226330

AS ON 29.09.2012

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	35.67
Directors or relatives of directors	64.33
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Ferro Magnet and Cord Wire.
Products :	Ø LC Ferro Managanse Ø Ferro Chrome Ø Ferro Silicon Ø Low Carbon Ø Medium Carbon Ø Extra low carbon Ø Ferro-Alloy producer Ø Produce Ferro Silico Calcium Cored Wire Ø Calcium Iron Cored Wire Ø Calcium Iron Aluminium Cored Wire Ø Calcium Cored Wire Ø Ferro Boron Cored Wire Ø Ferro Titanium Cored Wire
Imports :
Products :	Raw Material
Countries :	Ø Korea Ø China Ø Sweden Ø US Ø Germany
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

PRODUCTION STATUS (AS ON 31.03.2010)

Particulars	Unit	Actual Production
Silico Manganese	Qty. (Kg)	9706000
Ferro Titanium	Qty. (Kg)	97494
Aluminum Powder	Qty. (Kg)	110601
Ferro Molybdenum	Qty. (Kg)	216675
MC Ferro Manganese	Qty. (Kg)	2676796
LC Ferro Manganese	Qty. (Kg)	1019247
HC Ferro Manganese	Qty. (Kg)	173300
Cored Wire	Qty. (Kg)	593394
Aluminum Cubes	Qty. (Kg)	450

GENERAL INFORMATION

Customers :

End Users

No. of Employees :

300 (Approximately)

Bankers :

Ø State Bank of India, Mid Corporate Branch, Shanti Complex, B/H. 21st Century Hospital, G.I.D.C., Vapi - 396195, Gujarat, India

Ø Punjab National Bank, GIDC Branch, Narayan Chambers, National Highway, Vapi – 396195, Gujarat, India

Ø Punjab National Bank, Gunjan Road, Near Hotel Galaxy, GIDC, Char Rasta, Vapi - 396195, Gujarat, India

Facilities :

Cash Credit – Rs. 180.000 Millions [State Bank of India]

Secured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Rupee Term Loan Secured	248.860	264.760
Working Capital Loan Secured	345.296	131.711
Total	594.156	396.471

Banking Relations :	--
Auditors :
Name :	Shailendra Jain and Associates Chartered Accountants
Address :	42/43/44, 2^nd Floor, Sahara Market, Near Reliance Petrol Pump, Silvassa- Vapi Main Road, Vapi-396191, Gujarat, India
Tel. No.:	91-260-6543877/ 2422966
Mobile No.:	91-9825198946
Income-tax PAN of auditor or auditor's firm :	ABNPJ2331F
Associates:	Ø Shree Ganesh Ferro Alloys Ø Boon Metal and Alloys Corporation Ø Saturn Ferro Alloys Private Limited Ø Saral Metalurgicals Private Limited Ø Saumya Alloys Private Limited Ø Saral Industries Ø RVP Smelsters Private Limited

CAPITAL STRUCTURE

AS ON 29.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
1,000,000	Equity Shares	Rs. 100/- each	Rs. 100.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
226,330	Equity Shares	Rs. 100/- each	Rs. 22.633 Millions

AS ON 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
1,000,000	Equity Shares	Rs. 100/- each	Rs. 100.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
223,830	Equity Shares	Rs. 100/- each	Rs. 22.383 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		22.383	22.383	14.884
2] Share Application Money		2.504	10.500	2.400
3] Reserves & Surplus		247.679	235.675	109.670
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		272.566	268.558	126.954
LOAN FUNDS
1] Secured Loans		594.156	396.471	33.371
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		594.156	396.471	33.371
DEFERRED TAX LIABILITIES		12.948	5.305	2.383
TOTAL		879.670	670.334	162.708
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		418.226	420.827	47.458
Capital work-in-progress		0.245	0.573	6.186
INVESTMENT		22.683	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	245.026	144.191	48.377
	Sundry Debtors	191.347	155.891	48.617
	Cash & Bank Balances	45.654	34.406	7.471
	Other Current Assets	4.103	0.000	0.000
	Loans & Advances	69.119	42.008	33.821
Total Current Assets		555.249	376.496	138.286
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	61.374	98.502	21.044
	Other Current Liabilities	48.596	23.421	5.855
	Provisions	6.763	5.639	2.323
Total Current Liabilities		116.733	127.562	29.222
Net Current Assets		438.516	248.934	109.064
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		879.670	670.334	162.708

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income
		Other Income
		TOTAL (A)	NA	NA	638.565
Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses
		TOTAL (B)	NA	NA	606.854
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		102.417	137.891	31.711
Less	FINANCIAL EXPENSES (D)		54.716	13.547	6.123
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		47.701	124.344	25.588
Less/ Add	DEPRECIATION/ AMORTISATION (F)		20.212	9.902	2.223
	PROFIT BEFORE TAX (E-F) (G)		27.489	114.442	23.365
Less	TAX (I)		13.003	27.705	7.796
	PROFIT AFTER TAX (G-I) (J)		14.486	86.737	15.569
Add	PROFIT PRIOR ADJUSTMENTS		4.043	0.351	0.022
Less	APPROPRIATIONS
		Transfer to General Reserve	1.853	8.709	1.559
		Dividend	5.596	4.596	1.986
		Tax on Dividend	0.929	0.781	0.337
	BALANCE CARRIED TO THE B/S		10.151	73.002	11.709
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	NA	0.000	58.711
	IMPORTS
		Raw Materials	NA	288.098	114.561
	Earnings Per Share (Rs.)
	Basic		82.78	473.75	157.03
	Diluted		82.29	448.15	N.A.

Particulars	31.03.2013	31.03.2012
Sales Turnover (Approximately)	1600.000	1850.000
	Due to Market Fluctuation

Expected Sales (2013-2014): Rs. 1800.000 Millions

The above information has been parted by Mr. Dinesh Sharma [Senior Accounts Officer]

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	NA	NA	2.44
Return on Total Assets (PBT/Total Assets}	(%)	2.82	14.35	12.58
Return on Investment (ROI) (PBT/Networth)		0.10	0.14	0.13
Debt Equity Ratio (Total Debt/Networth)		2.18	1.48	0.26
Current Ratio (Current Asset/Current Liability)		4.76	2.95	4.73

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITORS DETAILS:

Particulars	31.03.2011	31.03.2010	31.03.2009
	(Rs. In Millions)
Creditors due small micro enterprises	2.814	0.076	0.961
Creditors due others	58.560	98.426	20.083
Total	61.374	98.502	21.044

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	Yes
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 one year	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	Yes
14]	Estimation for coming financial year	Yes
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
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	No
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

Note:

The registered office of the company has been shifted from 204/205, Pancharatna Building, Char Rasta, GIDC, Vapi - 396195, Gujarat, India to the present w.e.f.09.06.2007

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U27100DN1998PTC000257
Name of the company	TEAM FERRO-ALLOYS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Survey No. 357/2/2/1 and 357/2/3/2, Behind Dadra Garden, Dadra Nagar Havelli – 396230, India Email: admin@teamferro.com
This form is for	Modification of charge
Charge identification number of the modified	10260657
Type of charge	Immovable property
Particular of charge holder	State Bank of India, Mid Corporate Branch, Shanti Complex, B/H. 21st Century Hospital, G.I.D.C., Vapi - 396195, Gujarat, India Email: sbi.60144@sbi.co.in
Nature of description of the instrument creating or modifying the charge	Memorandum for recording extension of Mortgage by deposit of Title Deeds covering overall limits and/or Creation of Equitable Mortgage on Additional Properties for Existing Limits.
Date of instrument Creating the charge	13.08.2012
Amount secured by the charge	Rs. 732.100 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest Cash Credit : 4.25% above Base Rate Term Loan : 4.40% above Base Rate Terms of Repayment Working Capital : Repayble on Demand, Term Loan : As per original Repayment Schedule. Margin Raw material : 25% Stock in process : 25% Finished Goods : 25% Receivables (cover 90 days) : 35% Letter of Credit :10% Bank Guarantee : 10% Extent and Operation of the charge The Charge shall operate as security by way of Extension of Equitable Mortgage of the properties as mentioned in the schedules of the attached document, in favour of the Bank to secure the total credit facilities of Rs. 732.100 Millions granted by the Bank.
Short particulars of the property charged	All that pieces and parcels of industrial factory building constructed on N.A land bearing survey No. 357/2/2/1 and 357/2/3/2 situated at Dadra & Nagar Haveli and All that piece and parcel of land bearing NIT leasehold Plot No. 246 in C.S.E.S. scheme of Nagpur Improvement Trust of Mouza - LENDRA, together with the entire RCC super structure comprising Appartment / Flat No. 503 on fifth floor of building "ASHRAY YOJNA" bearing Corporation house No. 311/B/244/503 situated at Bajaj Nagar, Nagpur and All other immovable properties which are mentioned more particularly in the attached Memorandum for recording extension of Mortgage by deposit of Title Deeds.
Date of Modification	17.07.2012
Particulars of the present modification	By this modification, total credit facilities of Rs. 732.100 Millions shall be secured by extension of EM of additional securities i.e, Plot No. 246 in C.S.E.S. scheme of Nagpur Improvement Trust of Mouza - LENDRA, and Appartment / Flat No. 503 on fifth floor of building "ASHRAY YOJNA" bearing Corporation house No. 311/B/244/503 situated at Bajaj Nagar, Nagpur.

CONTINGENT LIABILITIES:

Rs. In Millions

Particulars	31.03.2011	31.03.2010
Bank Guarantee	2.757	32.842
Unexpired Letter of Credit –ILC	7.004	51.126
Unexpired Letter of Credit – FLC (USD 78000)	3.479	0.000
Disputed Income Tax is contested by the company	16.139	9.662
Bills Discounted	19.452	10.704
Total	48.831	104.334

FIXED ASSETS:

Ø Land

Ø Building

Ø Plant and Machinery

Ø Computer

Ø Laboratory Equipment

Ø Vehicles

Ø Furniture and Fixture

Ø Office Equipment

Ø Electrification

Ø Goodwill

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. 54.03
UK Pound	1	Rs. 82.43
Euro	1	Rs. 70.49

INFORMATION DETAILS

Information Gathered by :	SVA
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	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--CREDIT LINES	1~10	2
--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		28

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.