MIRA INFORM REPORT

Report Date :

24.04.2013

IDENTIFICATION DETAILS

Name :	RELCON INFRAPROJECTS LIMITED (w.e.f.20.07.2010)
Formerly Known As :	RELCON INFRAPROJECTS PRIVATE LIMITED
Registered Office :	105/C, Shyam Kamal, Agarwal Market, Vile Parle [East], Mumbai – 400057, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	04.12.2006
Com. Reg. No.:	11-165973
Capital Investment / Paid-up Capital :	Rs. 90.000 Millions
CIN No.: [Company Identification No.]	U45201MH2006PLC165973
TAN No.: [Tax Deduction & Collection Account No.]	MUMR20856D
PAN No.: [Permanent Account No.]	AADCR4459E
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Civil Construction and Supply of Civil Materials and Services.
No. of Employees :	Information declined by the management

RATING & COMMENTS

MIRA’s Rating :

Ba (49)

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

Maximum Credit Limit :	USD 4367000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. The company has shown improvement in its operations during 2012. Financial position of the company appears to be sound. However, trade relations are reported as decent. Business is active. Payments are reported to be usually correct. 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.

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Long term Rating : BBB
Rating Explanation	Moderate degree of safety and moderate credit risk.
Date	November 21, 2012

Rating Agency Name	CRISIL
Rating	Short term Rating : A3+
Rating Explanation	Moderate degree of safety and higher credit risk.
Date	November 21, 2012

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 DECLINED BY

Name :	Mr. Parag
Designation :	Finance Head
Contact No.:	91-22-67339999
Date :	22.04.2013

LOCATIONS

Registered Office :	105/C, Shyam Kamal, Agarwal Market, Vile Parle [East], Mumbai – 400057, Maharashtra, India
Tel No. :	91-22-61273601/ 67339999
Fax No. :	91-22-26113815/ 61273609/ 67339900
E-Mail :	kapadia@relcon.co.in ipo@relcon.co.in
Website :	www.relcon.co.in
Corporate Office :	A-01/101, Krishna Apartment, Juhu Lane, Opposite Mahavir Jain C. D. Barfiwala Marg, Juhu Cross Lane, Vidyalaya, Andheri (West), Mumbai – 400058, Maharashtra, India
Tel No. :	91-22-67339999
Fax No. :	91-22-67339900
E-Mail :	contact@relcon.co.in
Branches :	Pune : Flat No.703, Building A, Tain Square, Wanowrie, Pune – 411010, Maharashtra, India Ahmedabad : B-305, Aatma House, Near Paradise House, Opposite Reserve Bank of India, Ashram Road, Ahmedabad – 380009, Gujarat, India
RMC Plant :	Wadala : Near Wadala Truck, Terminal, Opposite I. Max Theatre, Anil Wadala Link Road, Wadala (East), Mumbai – 400037, Maharashtra, India Dahisar : Ketki Pada, Behind Diamond Industrial Estate, Dahisar (East), Mumbai, Maharashtra, India Bandra : Opposite Mumbai Cricket Association, G. Block, Bandra Kurla Complex, Bandra (East), Mumbai – 400051, Maharashtra, India Mulund : Mulund Eastern Express Highway, Octroi Naka, Near Mulund Dumping Ground, Mulund (East), Mumbai, India

DIRECTORS

AS ON 29.09.2012

Name :	Mr. Rakesh Pravin Shah
Designation :	Chairman
Address :	201, Krishna Niwas, 2nd Floor, J.V.P.D. Scheme Road 5, Suvarna Nagar, C.H.S. Limited, Vile Parle (West), Mumbai – 400056, Maharashtra, India
Date of Birth/Age :	18.09.1966
Qualification :	B.Com
Date of Appointment :	03.03.2008
PAN No.:	AAEPS1610E
DIN No.:	00482647
Name :	Mr. Tejas Pravin Shah
Designation :	Managing director
Address :	501, Ketan Ville, Plot No. 25, The Hatkesh C.H.S. Limited, North South Road No. 6, J.V.P.D. Scheme, Vile Parle (West), Mumbai – 400056, Maharashtra, India
Date of Birth/Age :	03.10.1970
Qualification :	BE Civil from Mangalore University
Date of Appointment :	04.12.2006
PAN No.:	AAEPS1609R
DIN No.:	00482588
Name :	Mr. Jainendra Pravin Shah
Designation :	Joint Managing director
Address :	5th Floor, Plot No. 52, Uday Swastik Co-operative Housing Society Limited, N.S. Road No.4, JVPD Scheme, Vile Parle (West), Mumbai – 400056, Maharashtra, India
Date of Birth/Age :	08.12.1964
Qualification :	S.S.C.
Date of Appointment :	04.12.2006
PAN No.:	AAEPS1611F
DIN No.:	00482719
Name :	Mr. Dipan Pravin Shah
Designation :	Whole-time director
Address :	401, Shantam Building, N.S. Road. No. 9, Plot No. 38, J.V.P.D. Scheme, Vile Parle (West), Mumbai – 400056, Maharashtra, India
Date of Birth/Age :	06.07.1969
Qualification :	B.Com
Date of Appointment :	03.03.2008
PAN No.:	AAEPS1612G
DIN No.:	00482614

KEY EXECUTIVES

Name :	Mr. Parag
Designation :	Finance Head
Name :	Mr. Hoshang Farokh Kapadia
Designation :	Secretary
Address :	Albles Building, 691, D.M. Road, Dadar (East), Mumbai – 400014, Maharashtra, India
Date of Birth/Age :	16.11.1962
Date of Appointment :	11.06.2009
PAN No.:	ACRPK3456B

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 29.09.2012

Names of Shareholders	No. of Shares
Pravin Chotalal Shah (HUF)	50000
Kamakshi Pravin Shah	170000
Dipen P Shah	10
Rakesh P Shah	10
Tejas P Shah	50000
Jainendra Pravin Shah	50000
Dipen Pravin Shah	2194990
Rakesh Pravin Shah	2194990
Tejas Pravin Shah	2145000
Jainendra Pravin Shah	2145000
Total	9000000

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 :

Civil Construction and Supply of Civil Materials and Services.

Products :

ITC Code	Product Descriptions
99542909	Construction Services

GENERAL INFORMATION

No. of Employees :

Information declined by the management

Bankers :

HDFC Bank Limited, HDFC Bank House Senapati Bapat Marg, Lower Parel [West], Mumbai – 400013, Maharashtra, India

Facilities :

Secured Loans	31.03.2012	31.03.2011
	(Rs. In Millions)
Term loans from banks	38.053	11.047
Other loans and advances	30.733	31.351
Working capital loans from banks	0.000	55.442
Total	68.786	97.840

Banking Relations :	--
Auditors :
Name :	Jogish Mehta and Company Chartered Accountants
Address :	807, Dev Plaza, Plot No. 68, S. V. Road, Andheri (West), Mumbai, Maharashtra, India
Income-tax PAN of auditor or auditor's firm :	AAATJ5555Q
Other Related Parties :	Ø Rel Tek Tiles India Private Limited [U45200MH2007PTC167715] Ø Rohak Infraprojects Private Limited [U45202MH2010PTC198528] Ø Rolf Infra Concrete Private Limited [U45400MH2009PTC196859] Ø Shubham Developers Ø Sunrise Stone Industries
Associates :	Ø R.K. Madhani and Company and Relcon Infraprojects Private Limited JV Ø Reliance and Sunrise Stone Industries JV Ø Reliance and Michigan Ø Reliance Construction Company and J.P. Enterprises. – JV Ø Reliance Construction Company and New India Roadways - JV Ø Reliance Construction Company and Sunrise Stone Industries JV Ø Reliance Michigan (JV) Ø Reliance Michigan Joint Venture Mithi River Ø Deepcon Engineers
Subsidiaries :	Ø Maroli NH Road Private Limited [U45203GJ2011PTC067165] Ø Relcon Realty Private Limited [U70109MH2008PTC183547]

CAPITAL STRUCTURE

AS ON 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
15,000,000	Equity Shares	Rs. 10/- each	Rs. 150.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
9,000,000	Equity Shares	Rs. 10/- each	Rs. 90.000 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		90.000	90.000	90.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		1001.863	706.970	481.014
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		1091.863	796.970	571.014
LOAN FUNDS
1] Secured Loans		68.786	97.840	142.817
2] Unsecured Loans		104.372	72.920	37.655
TOTAL BORROWING		173.158	170.760	180.472
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		1265.021	967.730	751.486
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		282.457	259.730	206.614
Capital work-in-progress		0.000	0.178	0.448
INVESTMENT		47.492	35.036	25.149
DEFERRED TAX ASSETS		11.670	9.890	7.478
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	68.729	123.616	72.240
	Sundry Debtors	1153.147	1022.403	895.566
	Cash & Bank Balances	267.762	143.534	113.718
	Other Current Assets	46.955	40.993	0.776
	Loans & Advances	724.554	577.765	639.610
Total Current Assets		2261.147	1908.311	1721.910
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	859.465	830.569	853.385
	Other Current Liabilities	467.367	407.050	173.020
	Provisions	10.913	7.796	184.826
Total Current Liabilities		1337.745	1245.415	1211.231
Net Current Assets		923.402	662.896	510.679
MISCELLANEOUS EXPENSES		0.000	0.000	1.118
TOTAL		1265.021	967.730	751.486

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Revenue from operations	4401.498	3349.922	3017.560
		Other Income	33.378	23.544	18.394
		TOTAL (A)	4434.876	3373.466	3035.954
Less	EXPENSES
		Cost of materials consumed	3616.207	2868.373
		Changes in inventories of finished goods, work-in-progress and stock-in-trade	54.887	(59.101)
		Employee benefit expense	133.343	84.815
		Other expenses	100.733	76.493
		TOTAL (B)	3905.170	2970.580	2676.770
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		529.706	402.886	359.184
Less	FINANCIAL EXPENSES (D)		47.223	24.946	22.883
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		482.483	377.940	336.301
Less/ Add	DEPRECIATION/ AMORTISATION (F)		47.471	43.130	38.355
	PROFIT BEFORE TAX (E-F) (G)		435.012	334.810	297.946
Less	TAX (H)		140.118	108.854	100.808
	PROFIT AFTER TAX (G-H) (I)		294.894	225.956	197.138
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		706.969	481.013	283.875
	BALANCE CARRIED TO THE B/S		1001.863	706.969	481.013
	Earnings Per Share (Rs.)		32.77	25.11	21.90

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	6.65	6.70	6.49
Net Profit Margin (PBT/Sales)	(%)	9.88	9.99	9.87
Return on Total Assets (PBT/Total Assets}	(%)	17.10	15.45	15.45
Return on Investment (ROI) (PBT/Networth)		0.40	0.42	0.52
Debt Equity Ratio (Total Debt/Networth)		0.16	0.21	0.32
Current Ratio (Current Asset/Current Liability)		1.69	1.53	1.42

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITORS DETAILS:

Particulars	31.03.2012	31.03.2011	31.03.2010
	(Rs. In Millions)
Trade payable	859.465	830.569	853.385

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	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	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	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

UNSECURED LOANS

Unsecured Loans	31.03.2012	31.03.2011
	(Rs. In Millions)
Rupee term loans from banks	86.804	50.000
Loans and advances from related parties	1.315	1.970
Other loans and advances, others	16.253	20.950
Total	104.372	72.920

CORPORATE INFORMATION:

Subject was incorporated on 04.12.2006 under part IX of the Companies Act 1956 and w.e.f. 20.07.2010 the company has been converted into a Public Company. The Company is engaged in the business of Civil Construction & supply of civil materials and services.

MANAGEMENT DISCUSSION AND ANALYSIS REPORT:

INDUSTRY STRUCTURE AND DEVELOPMENT:

The Company is on a fast track growth in infrastructure sector and is engaged in construction and development of roads, bridges, airports and other infrastructures. The Company plans to undertake the project on Built, Operate and Transfer (BOT) basis and also plans to diversify geographically in other states of India. Further, we are in the midst of getting good projects in the State of Gujarat.

During the year, their Company has posted a revenue of Rs.4434.800 Millions, as compared to Rs.3373.500 Millions in the previous financial year. The infrastructure industry had a setback owing to deceleration on the overall economy front. The overall GDP, for instance fell from 8.4% in Financial Year 2011 to 6.5% in the Financial Year 2012. Factors like tight monetary policy and hardening of international prices of crude oil, etc. too had a bearing on the industry. The Company’s performance moved more optimistically compared with the fortunes of the infrastructure industry.

The latter half of 2010-11 has seen some positive developments on the macro-economic front and one was cautiously optimistic about 2011-12. The optimism was rather short-lived. After a reasonably good 8% growth in Q1, 2011-12, economic activity in India slowed down considerably quarter-on quarter through the course of the year. The worst scenario, in terms of real economic growth was seen in Q4 2011-12, India grew by just 5.3% in this quarter. The rapid showdown in the Indian economy through 2011-12, in fact, real GDP growth reduced from 8.4% in 2010-11 to 6.5% in 2011-12, the lowest annual growth in the last ten years.

In June 2012 a number of measures were outlined by the Government for pushing the infrastructure sector projects with specific targets for 2012-13 to take the GDP growth rate to 9% at a high-level inter-ministerial meeting chaired by the Prime Minister as the macro economic outlook was dismal between FY11 and FY12.

The Index of Eight Core industries viz. crude oil, petroleum refinery products, coal, electricity, cement, steel, fertilizers and natural gas having a combined weight of 37.90 percent in the Index of Industrial Production (IIP) stood at 142.3 in April 2012, according to data released by the Union Ministry of Commerce and Industry. During 2011-12, the cumulative growth rate of the core industries was 4.4%. The infrastructure sector accounts for 26.7% of India’s industrial output.

REVIEW OF OPERATION:

The Company recorded a total income of Rs.4434.800 Millions, including other income as against Rs.3373.500 Millions in the previous financial year, an increase of 30%. The pre-tax profit for the year was Rs.435.000 Millions as against Rs.334.800 Millions a year ago. The Company is growing beyond Maharashtra and has recently bagged many contracts in Gujarat.

OUTLOOK:

The Company has a strong order based on good bid pipeline. The Planning Commission has projected that investment in infrastructure would almost double at USD 1,025 billion in the 12th Five Year Plan (2012-17), compared to USD 514 billion in the 11th Five Year Plan. Of the USD 1,025 billion, 50% is expected to come from private sector, whose investment has been 36% in the 11th Plan.

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U45201MH2006PLC165973
Name of the company	RELCON INFRAPROJECTS LIMITED
Address of the registered office or of the principal place of business in India of the company	105/C, Shyam Kamal, Agarwal Market, Vile Parle [East], Mumbai – 400057, Maharashtra, India Email: kapadia@relcon.co.in
This form is for	Creation of charge
Type of charge	Movable property (not being pledge)
Particular of charge holder	HDFC Bank Limited, HDFC Bank House Senapati Bapat Marg, Lower Parel [West], Mumbai – 400013, Maharashtra, India Email: cpu-retailassetoperations.rocefiling@hdfcbank.com CIN No.: L65920MH1994PLC080618
Nature of description of the instrument creating or modifying the charge	Agreement for Loan and Guarantee. (Contracts No.: 80578013)
Date of instrument Creating the charge	05.03.2013
Amount secured by the charge	Rs. 0.980 Million
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest Interest @ 10.01 % p.a. Terms of Repayment The Loan is repayable in 35 EMIs of Rs.32400/- starting from 5th April, 2013 ending on 5th February, 2016. Margin As may be stipulated by bank from time to time. Extent and Operation of the charge The Company hypothecates to and charges in favour of the Bank by way of first and exclusive charge of the Vehicle/ equipment for the repayment/payment by the company of the loan granted or to be granted to the company by the Bank together with all fees, interest, costs and expenses incurred/to be incurred by the Bank and all other monies payable or to become payable by the company to the Bank. Others The Bank shall be absolutely entitled and have full power and authority to sell, assign or transfer in any manner, in whole or in part, and in such manner and on such terms as the Bank may decide, including reserving a right to the Bank to retain its power to proceed against the company on behalf of the purchaser, assignee or transferee, any or all outstanding dues of the company, to any third party of the Bank's choice without reference to or without written intimation to the company.
Short particulars of the property charged	Hypothecation of Equipments namely: AL 1212. (Year Of Manufacture: 2013)

FIXED ASSETS:

Ø Plant and equipment

Ø Furniture and fixtures

Ø Vehicles

Ø Office equipment

WEBSITE DETAILS

PRESS RELEASE:

BMC BIG PLAYERS DREAM CRASHES, SAME FIRMS GET ROAD CONTRACTS

Alison Saldanha : Fri Oct 19 2012, 00:43 hrs

Despite tall claims, the civic administration has, for the second time in a row, failed to rope in big infrastructure firms for local road contracts. Instead, the same set of contractors, who have been repeatedly awarded projects over the past five years, have been awarded the first lot of contracts totalling Rs 3880.000 Millions.

Soon, the corporation will float contracts worth Rs 14000.000 Millions for concretisation and asphalting of roads in the island city, the western and eastern suburbs.

Chief engineer of the roads department G Aggarwal said in the western suburbs, six companies have bid for road concretisation contracts of Rs 3000.000 Millions, while three bids have been received for the Rs 880.000 Millions asphalt contracts. The companies that have bid for these contracts include RPS Infraprojects Limited (formerly R P Shah), Relcon Infraproject Limited, Prakash Engineers, Vitrag Construction Company, J Kumar Infraprojects Limited and KR Constructions.

Newsline accessed of the major and minor road contracts awarded in the past five years to the six road contractors mentioned above (see box). KR constructions has acquired eight contracts worth almost Rs 2000.000 Millions for work on asphalt roads in the eastern suburbs, and concrete and asphalt roads in the western suburbs. Similarly, Relcon Infraprojects Limited has been awarded eight contracts for improvement and construction of concrete and asphalt roads in the island city and western suburbs. "If these contractors fulfill our bid requirements, it is a positive development for the corporation," said Aggarwal. Responding to allegations from small companies, which complained that the new tender conditions would block them from bidding, Aggarwal said: "Smaller companies can still bid through a joint venture with bigger companies. However, if we change the tender conditions, we will be sidelining the bigger players."

Taking asphalt roads alone, since 2008-09, Prakash Engineering has been paid for work on major and minor roads in the E ward. According to the civic body's pothole-tracking website, over a 1,000 potholes were reported in this ward alone. Similarly, in 2007-08, K R Constructions and J Kumar Infraproject Limited were awarded contracts worth Rs 260.000 Millions and Rs 360.000 Millions respectively for constructing various asphalt roads in P South and P North wards. At 1,393 and 1,026 potholes respectively, these wards have one of the highest of reported potholes this year.

Among the concretised roads, while no potholes have been reported, the poor quality of work is visible in the finer details. "The concrete roads are well laid and possibly there are no potholes, but the provisions for stormwater drains and metal railings are of very poor quality. They may not be able to cheat upfront but in the smaller details there is shoddy work," said James John, co-ordinator of the Mumbai citizens' group AGNI. He added that if contractors, such as R P Shah, which were blacklisted last year could even dare to bid again, it is proof that the corporation is hand-in-glove with them.

"Over the past five years, the roads have not improved despite spending so much money. If the civic body wanted new contractors to bid, they could have created a clause disallowing bidders who have won contracts for five years now. It looks like these contractors write the contracts themselves so that no one else can enter."

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. 54.30
UK Pound	1	Rs. 82.88
Euro	1	Rs. 70.80

INFORMATION DETAILS

Information Gathered by :	PDT
Report Prepared by :	BVA

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	5
--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	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		49

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	-

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.