MIRA INFORM REPORT

Report Date :

12.08.2013

IDENTIFICATION DETAILS

Name :	BHARAT COKING COAL LIMITED
Registered Office :	Koyla Bhawan, Koyla Nagar, Dhanbad – 826005, Jharkhand
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	01.01.1972
Com. Reg. No.:	000918
Capital Investment / Paid-up Capital :	Rs.46570.000 Millions
CIN No.: [Company Identification No.]	U10101JH1972GOI000918
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Mining coal industries.
No. of Employees :	Not Available

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 22000000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an Union Government Company. It is a well established company having a satisfactory track record. There appears some accumulated losses recorded by the company. However, the company gets strong managerial and financial support from government. Trade relations are reported to be fair. Business is active. Payments are reported to be usually correct and as per commitment. The company can be considered for normal business dealings at usual trade terms and condition.

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 – March 31^st, 2013

Country Name	Previous Rating (31.12.2012)	Current Rating (31.03.2013)
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

We are living in a world where volatility and uncertainty have become the New Normal. We saw a change of government in countries like Tunisia, Egypt, Libya and Vietnam. Once powerful countries in Europe are now fighting for bankruptcy. We have taken growth in the developing part of the world for granted but economic growth in China and India has begun to slow. Companies that were synonymous with their product categories just a few years ago are now no longer in existence. Kodak, the inventor of the digital camera had to wind up its operations, HMV, the British entertainment retailing company and Borders, once the second largest bookstore have shut down due to their inability to evolve their business models with the changing time. Readers’ Digest, Thomson Register are no more !

There is another megatrend happening. The World order is changing as economic power shifts from West to East. According to McKinsey study, it took Britain more than 100 years to double its economic output per person during its industrial revolution and the US later took more than 50 years to do the same. More than a century later, China and India have doubled their GDP per capital in 12 and 18 years respectively. By 2020, emerging Asia will become the world’s largest consuming block, overtaking North America.

The years after the outbreak of the global financial crisis, the world economy continues to remain fragile. The Indian economy demonstrated remarkable resilience in the initial years of the contagion but finally lost ground last year. GDP growth slowed down. Currency has been weakening. There is a marked deceleration in agriculture, industry and services. Dampening sentiment led to a cut-back in investment as well as private consumption expenditure.  Inflation remained at high levels fuelled by the pressure from the food and fuel sectors. The large fiscal and current account deficit s continued to cause grave concern. It is imperative that India regains its growth trajectory of 8-9 % sooner than later. This is crucially important given the need to create gainful livelihood opportunities for the millions living in poverty as also the large contingent of young people joining the job market every year.

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 :	Koyla Bhawan, Koyla Nagar, Dhanbad – 826005, Jharkhand, India
Tel. No.:	91-326-2230190
Fax No.:	91-326-2230050
E-Mail :	dirfin@bccl.gov.in

DIRECTORS

As on 27.05.2013

Name :

Mr. Tapas Kumar Lahiry

Designation :

Director

Address :

CMD Bunglow Bccl, P.O - 1SM, Dhanbad – 826004, Jharkhand, India

Date of Birth/Age :

07.03.1956

Date of Appointment :

01.04.2008

DIN No.:

02148763

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U10101JH1972GOI000918	BHARAT COKING COAL LIMITED	Director	01/04/2008	01/04/2008	-	Active	NO
2	U10101WB1975GOI030295	EASTERN COALFIELDS LIMITED	Managing director	01/09/2010	01/09/2010	23/12/2010	Active	NO
3	U10102MP1985GOI003160	NORTHERN COALFIELDS LIMITED	Managing director	20/12/2012	20/12/2012	-	Active	NO

Name :

Mr. Prem Emanuel Kachhap

Designation :

Director

Address :

Directors Bunglow, P.O Bccl Township, Dhanbad - 826005, Jharkhand, India

Date of Birth/Age :

15.12.1953

Date of Appointment :

11.07.2007

DIN No.:

01682689

Name :

Mr. Dinesh Chandra Jha

Designation :

Director

Address :

Directors Bunglow, P.O Bccl Township, Dhanbad - 826005, Jharkhand, India

Date of Birth/Age :

04.08.1956

Date of Appointment :

27.10.20069

DIN No.:

02720536

Name :

Mr. Nagendra Kumar

Designation :

Director

Address :

Directot Tech CIL 10 Neta JI Subhash Road, Kolkata – 700001, West Bengal, India

Date of Birth/Age :

07.04.1959

Date of Appointment :

29.02.2012

DIN No.:

02624808

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U10101WB1975GOI030295	EASTERN COALFIELDS LIMITED	Whole-time director	24/07/2009	24/07/2009	31/01/2012	Active	NO
2	L23109WB1973GOI028844	COAL INDIA LTD GOVT OF INDIA UNDERTAKING	Director	18/09/2012	01/02/2012	-	Active	NO
3	U10101JH1972GOI000918	BHARAT COKING COAL LIMITED	Director	29/02/2012	29/02/2012	-	Active	NO
4	U14292JH1975GOI001223	CENTRAL MINE PLANNING AND DESIGN INSTITUTE LIMITED	Managing director	01/08/2012	29/02/2012	31/10/2012	Active	NO
5	U10100DL2009PTC190448	INTERNATIONAL COAL VENTURES PRIVATE LIMITED	Director	21/09/2012	02/03/2012	-	Active	NO
6	U10102CT1985GOI003161	SOUTH EASTERN COALFIELDS LIMITED	Managing director	01/11/2012	01/11/2012	-	Active	NO

Name :

Mr. Amitava Saha

Designation :

Whole-time Director

Address :

Directors Bunglow, P.O Bccl Township, Dhanbad - 826005, Jharkhand, India

Date of Birth/Age :

15.02.1955

Date of Appointment :

03.08.2011

DIN No.:

03612706

Name :

Mr. Ashok Sarkar

Designation :

Whole-time Director

Address :

Directors Bunglow, P.O Bccl Township, Dhanbad - 826005, Jharkhand, India

Date of Birth/Age :

15.01.1956

Date of Appointment :

24.08.2011

DIN No.:

03621463

Name :

Mr. Hemant Jain

Designation :

Nominee Director

Address :

0284-F, Block B Sushant Lok Phase -1, Gurgaon – 122001, Haryana, India

Date of Birth/Age :

28.08.1972

Date of Appointment :

12.04.2013

DIN No.:

06579654

Name :

Mr. Paul Joseph

Designation :

Director

Address :

05.08.1948

Date of Birth/Age :

Flat No 2023, Park Royal Apartment, Plot 10 A, Sector 9, Dwarka, New Delhi – 110075, India

Date of Appointment :

25.06.2011

DIN No.:

03444740

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U10101JH1972GOI000918	BHARAT COKING COAL LIMITED	Director	25/06/2011	25/06/2011	-	Active	NO
2	U75131GJ2001PLC040281	NATIONAL MULTI-COMMODITY EXCHANGE OF INDIA LIMITED	Additional director	22/06/2013	22/06/2013	-	Active	NO
3	U67120MH2005PLC157556	INTER-CONNECTED STOCK EXCHANGE OF INDIA LIMITED	Director	16/07/2013	16/07/2013	-	Active	NO

Name :

Mr. Ramesh Kumar Bhashyakarla

Designation :

Director

Address :

6-1-134/6 Padmarao Nagar, Hyderabad – 500025, Andhra Pradesh, India

Date of Birth/Age :

07.09.1947

Date of Appointment :

25.06.2011

DIN No.:

02790989

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	L13100KA1976PLC002974	KIOCL LIMITED	Director	21/07/2010	07/08/2009	06/08/2012	Active	NO
2	U74140JH1973GOI001199	MECON LIMITED	Director	31/01/2011	31/01/2011	-	Active	NO
3	U10101JH1972GOI000918	BHARAT COKING COAL LIMITED	Director	25/06/2011	25/06/2011	-	Active	NO

Name :

Mr. Bibui Bhusan Biswal

Designation :

Director

Address :

A-18 Nit Campus, Rourkela – 769008, Orissa, India

Date of Birth/Age :

25.06.1962

Date of Appointment :

25.06.2011

DIN No.:

03612700

Name :

Mr. Syamal Bhushan Ghosh Dasitidar

Designation :

Director

Address :

W-06/30 Dlf Phase 3, Gurgaon – 122002, Haryana, India

Date of Birth/Age :

01.04.1947

Date of Appointment :

31.01.2011

DIN No.:

00145886

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U45200DL2000PLC151199	PIPAVAV RAILWAY CORPORATION LIMITED	Nominee director	22/09/2005	22/09/2005	27/06/2007	Active	NO
2	L63011DL1988GOI030915	CONTAINER CORPORATION OF INDIA LIMITED	Director	18/08/2006	18/08/2006	28/03/2007	Active	NO
3	U10101JH1972GOI000918	BHARAT COKING COAL LIMITED	Director	31/01/2011	31/01/2011	-	Active	NO
4	L40101DL1975GOI007966	NTPC LIMITED	Director	18/09/2012	26/08/2011	-	Active	NO

Name :

Mr. Pravar Ranjan Mandal

Designation :

Director

Address :

C-14 Anand Niketan, New Delhi – 110021, India

Date of Birth/Age :

30.03.1951

Date of Appointment :

12.02.2013

DIN No.:

00814703

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U10101WB1975GOI030295	EASTERN COALFIELDS LIMITED	Nominee director	07/03/2006	07/03/2006	01/04/2011	Active	NO
2	U13100MH1972GOI016078	MINERAL EXPLORATION CORPORATION LIMITED	Nominee director	08/05/2007	08/05/2007	19/04/2011	Active	NO
3	U10102WB2010PLC153242	BHUBANESWARI COAL MINING LIMITED	Director	05/09/2012	05/09/2012	-	Active	NO
4	U10300WB2012PLC181325	RAJMAHAL COAL MINING LIMITED	Additional director	19/09/2012	19/09/2012	-	Active	NO
5	U10101JH1972GOI000918	BHARAT COKING COAL LIMITED	Director	12/02/2013	12/02/2013	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Kedar Nath Mukhopadhyay
Designation :	Secretary
Address :	D- 3 Sector – 10, Koyla Nagar,P.O - Bccl Township, Dhanbad - 826005
Date of Birth/Age :	24.08.1953
Date of Appointment :	01.08.2001
PAN No.:	AGHPM5305R

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 27.05.2013

Names of Shareholders	No. of Shares (Equity Shares)
Tapas Kumar Lahiry	1
Abhijit Chatterjee	1
Coal India Limited, India	21179997
S Narsing Rao	1
Total	21180000

Names of Shareholders	No. of Shares (Preference Shares)
Coal India Limited, India	25390000
Total	25390000

Equity Share Break up (Percentage of Total Equity)

As on 27.05.2013

Category	Percentage
Government Companies	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Mining coal industries.

GENERAL INFORMATION

No. of Employees :	Not Available
Bankers :	State Bank of India, CAG Branch, 34 Jawahar Lal Nehru Road, Kolkata – 700017, West Bengal, India

Banking Relations :	--
Auditors :
Name :	Anand Rungta and Company Chartered Accountants
Address :	405 Capital Tower – B, Fraser Road, Patna – 800001, Bihar, India
PAN N Income-tax PAN of auditor or auditor's firm :	AAFFA9649C
Holding company:	Coal India Limited, India CIN: L23109WB1973GOI028844

CAPITAL STRUCTURE

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
25000000	Equity Shares	Rs.1000/- each	Rs. 25000.000 Millions
26000000	Preference Shares	Rs.1000/- each	Rs. 26000.000 Millions
	Total		Rs. 51000.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
21180000	Equity Shares	Rs.1000/- each	Rs. 21180.000 Millions
25390000	Preference Shares	Rs.1000/- each	Rs. 25390.000 Millions
	Total		Rs. 46570.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	46570.000	21180.000	21180.000
(b) Reserves & Surplus	(41060.300)	(56048.300)	(64271.900)
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	0.000
Total Shareholders’ Funds (1) + (2)	5509.700	(34868.300)	(43091.900)
(3) Non-Current Liabilities
(a) long-term borrowings	0.000	10833.000	10833.000
(b) Deferred tax liabilities (Net)	0.000	0.000	0.000
(c) Other long term liabilities	73.500	76.700	47.500
(d) long-term provisions	18685.700	25333.100	18450.600
Total Non-current Liabilities (3)	18759.200	36242.800	29331.100
(4) Current Liabilities
(a) Short term borrowings	10987.000	25002.300	31450.800
(b) Trade payables	889.300	1277.400	952.200
(c) Other current liabilities	22229.700	24782.300	21442.700
(d) Short-term provisions	12527.900	9714.300	7870.600
Total Current Liabilities (4)	46633.900	60776.300	61716.300
TOTAL	70902.800	62150.800	47955.500
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	12581.600	13223.400	12150.200
(ii) Intangible Assets	1005.900	1136.000	1145.800
(iii) Capital work-in-progress	1793.300	1638.300	1028.300
(iv) Intangible assets under development	477.700	30.900	21.200
(b) Non-current Investments	277.100	415.700	554.200
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	417.400	398.200	412.500
(e) Other Non-current assets	0.000	0.000	7.200
Total Non-Current Assets	16553.000	16842.500	15319.400
(2) Current assets
(a) Current investments	138.600	138.600	138.600
(b) Inventories	8370.700	10444.100	11123.600
(c) Trade receivables	13720.500	9517.200	6181.400
(d) Cash and cash equivalents	23941.300	21028.600	12509.800
(e) Short-term loans and advances	5021.500	2379.100	1047.700
(f) Other current assets	3157.200	1800.700	1635.000
Total Current Assets	54349.800	45308.300	32636.100
TOTAL	70902.800	62150.800	47955.500

PROFIT & LOSS ACCOUNT

PARTICULARS	31.03.2013	31.03.2012	31.03.2011
PROFIT AFTER TAX	14988.000	8223.600	10936.900

KEY RATIOS

PARTICULARS	31.03.2013	31.03.2012	31.03.2011
Debt Equity Ratio (Total Debt /Networth)	1.99	(1.03)	(0.98)
Current Ratio (Current Asset/Current Liability)	1.17	0.75	0.53

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	No
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 LOAN

PARTICULARS	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions)
Long-term Borrowings
Other loans and advances, others	0.000	108330.000
Short-term borrowings
Loans repayable on demand from others	10987.000	25002.300
Total	10987.000	35835.300

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10122513	01/09/2008	160,000,000.00	STATE BANK OF INDIA	CAG BRANCH, 34JAWAHAR LAL NEHRU ROAD, KOLKATA, WEST BENGAL - 700017, INDIA	A45638475

OVERVIEW OF PERFORMANCE DURING 2012-13

COAL PRODUCTION

The raw Coal production during 2012-13 is 31.211 MT compared to that of 30.203 MT over last year. In 2012-13, there is a growth in coal production of (+) 3.34% over the previous year.

Coal production as per MOU target assuming liquidation as per programme without increasing stock is 31.00 MT.

OBR

Overburden removal including re-handling achieved during the year 2012-13 was 96.251 million cubic metre compared to the target of 85.00 million cubic metre. The achievement was 113.24% of the target. Compared to the achievement of 88.763 million cubic metre in 2011-12, the growth is (+) 8.44%

Productivity: Output per manshift (OMS)

Overall output per manshift (OMS) was 2.50 tonnes against 2.20 tonnes in 2011-12. The growth is (+) 13.64%.

As Per MOU: Man Productivity (Output/Manshift-Overall) (Commensurate to corresponding to production target) 2.37Te./Manshift

WAGON LOADING

Wagon loading in 2012-13 averaged 3094 FWs/day compared to the actual of 2941 FWs/day in 2011-12. This represents a growth of (+) 5.20 % over the previous year.

COAL OFFTAKE

Total coal offtake during 2012-13 stood at 33.041 million tonnes against 30.157 million tonnes in 2011-12 with a growth of (+) 9.56% As Per MOU: Coal Offtake commensurate with rake requirement is 31.80 Mte.

Supply of washed and direct feed coal

Supply of washed and direct feed coal to the steel sector was 1.373 Millions tonnes in 2012-13 (includes DF 0.026 MT) against 1.503 Millions tonnes in 2011-12. This represents a growth of (-) 8.65% over the previous year. This was due to low off-take of direct feed coal by steel plants.

FIXED ASSETS

Tangible assets

· Land

· Buildings

· Plant and equipment

· Furniture and fixtures

· Vehicles

· Motor vehicles

· Office equipment

· Railway sidings

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.61.12
UK Pound	1	Rs.94.77
Euro	1	Rs.81.54

INFORMATION DETAILS

Report Prepared by :

KVT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--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
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.