MIRA INFORM REPORT

Report Date :

12.08.2013

IDENTIFICATION DETAILS

Name :	MAHESWARI BROTHERS COAL LIMITED [w.e.f.07.08.2008]
Formerly Known As :	MAHESWARI COAL SERVICES LIMITED MAHESWARI COAL SERVICES PRIVATE LIMITED
Registered Office :	H No.1-81, Ganapati Nivas, Srinivasa Nagar, N.C.S Road, Vizianagaram - 535001, Andhra Pradesh
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	29.01.1992
Com. Reg. No.:	01-013774
Capital Investment / Paid-up Capital :	Rs. 25.567 Millions
CIN No.: [Company Identification No.]	U23209AP1992PLC013774
PAN No.: [Permanent Account No.]	AADCM5940P
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Importing and Trading of Coal and Real Estate Services.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (42)

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

Maximum Credit Limit :	USD 1170000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having a satisfactory track record. There appears slight dip in profitability during 2012. However, general financial position seems to be good. Trade relations are reported to be 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 – 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.

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Long term rating : (CRISIL) BBB-
Rating Explanation	Having moderate degree of safety regarding timely servicing of financial obligation it carry moderate credit risk.
Date	February 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.

LOCATIONS

Registered Office :	H No.1-81, Ganpati Nivas, Srinivasa Nagar, N.C.S. Road, Vizianagaram - 535001, Andhra Pradesh, India
Tel. No.:	91-8922-227781
Fax No.:	91-8922-227781
E-Mail :	Pawankb.1@yahoo.com info@maheswaribrothers.com
Admin Office :	4^th Floor, Mandhani Complex, Rajbhavan Road, Somajigupta, Hyderabad-500082, Andhra Pradesh, India
Tel. No.:	91-40-23408908/ 23410936/ 23403945
Fax No.:	91-40-23408849/ 23410090
E-Mail :	mail@maheswaribrothers.com

DIRECTORS

AS ON 28.09.2012

Name :

Mr. Santosh Kumar Agarwal

Designation :

Director

Address :

36-673-204, SMR Residency, St No.10, Himayathnagar, Hyderabad - 500029, Andhra Pradesh, India

Date of Birth/Age :

12.08.1964

Date of Appointment :

01.08.2005

DIN No.:

01686337

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	U70910MH1985PTC037589	VIDARBHA ENTERPRISES PRIVATE LIMITED	Director	01/06/2005	01/06/2005	-	Active	NO
2	U23209AP1992PLC013774	MAHESWARI BROTHERS COAL LIMITED	Director	01/08/2005	01/08/2005	-	Active	NO
3	U14102GA1996PLC002109	SCORPIO IRON LIMITED	Director	02/06/2010	02/06/2010	20/12/2012	Active	NO

Name :

Mr. Hariprasad Reddy Duvvuru

Designation :

Director

Address :

72, New Avadi Road, Kurunchi Apartments, 3^rd Floor, Kilpuk, Chennai - 600010, Tamilnadu, India

Date of Birth/Age :

02.06.1966

Date of Appointment :

27.02.2012

PAN No.:

ABDPH0481Q

DIN No.:

00851833

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	Company/ LLP Status	Defaulting status
1	U51420TN2001PLC046891	STEEL EXCHANGE CHENNAI LIMITED	Director	30/03/2001	30/03/2001	Active	NO
2	U51420TN2005PTC055327	MILLENIUM STEEL INDIA PRIVATE LIMITED	Managing director	02/03/2005	09/02/2005	Active	NO
3	U27106TN2007PTC062430	CHENNAI STEELS PRIVATE LIMITED	Managing director	14/03/2007	20/02/2007	Active	NO
4	U27104TN1995PLC032226	SIGNET STEELS LIMITED	Additional director	14/06/2010	14/06/2010	Active	NO
5	U72900DL2009PTC188599	MOBIFUSION TECHNOLOGIES PRIVATE LIMITED	Additional director	22/03/2011	22/03/2011	Active	NO
6	U23209AP1992PLC013774	MAHESWARI BROTHERS COAL LIMITED	Director	27/02/2012	27/02/2012	Active	NO
7	U67190AP2013PTC085247	ANANDJEEVAN FIN CONSULTANTS PRIVATE LIMITED	Director	07/01/2013	07/01/2013	Active	NO

Name :

Mr. Prahlad Singh Chauhan

Designation :

Director

Address :

#111, Maruti Apartment, Rajbhavan Road, Somajguda, Hyderabad – 500082, Andhra Pradesh, India

Date of Birth/Age :

15.02.1968

Date of Appointment :

28.09.2012

DIN No.:

05109848

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	Company/ LLP Status	Defaulting status
1	U51109WB1995PTC073144	ARAVALI GOODS & SUPPLIERS PRIVATE LIMITED	Director	14/11/2005	14/11/2005	Active	NO
2	U72200AP1996PTC051403	SATSOFT (INDIA) PRIVATE LIMITED	Director	04/05/2012	04/05/2012	Active	NO
3	U23209AP1992PLC013774	MAHESWARI BROTHERS COAL LIMITED	Director	28/09/2012	14/05/2012	Active	NO

Name :

Mr. Pramod Krishan Sarda

Designation :

Director

Address :

Flat No. 102, 13-9-91, Divya Aruna Apartments, Panduranga Nagar, Mothi Nagar, Hyderabad – 500018, Andhra Pradesh, India

Date of Birth/Age :

20.12.1954

Date of Appointment :

28.09.2012

DIN No.:

05128304

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	Company/ LLP Status	Defaulting status
1	U72200AP1996PTC051403	SATSOFT (INDIA) PRIVATE LIMITED	Director	04/05/2012	04/05/2012	Active	NO
2	U23209AP1992PLC013774	MAHESWARI BROTHERS COAL LIMITED	Director	28/09/2012	14/05/2012	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 28.09.2012

Names of Shareholders	No. of Shares
D Hari Prasad Reddy	285700
Santosh Kumar Agarwal	6490
Pramod Krishan Sarda	22600
Abhishek Dealer Private Limited, India	50000
Caplin Dealcomm Private Limited, India	40000
Kiwi Dealers Private Limited, India	10000
Madhuban Dealers Private Limited, India	20000
Mainstream Commercial Private Limited, India	20000
Matrix Vintrade Private Limited, India	50000
Murthi Trading Private Limited, India	20000
Piyush Barter Private Limited, India	70000
Sonchiri Commercial Private Limited, India	50000
Spotlight Suppliers Private Limited, India	50000
Variety Retails Private Limited, India	30000
Vasundhra Barter Private Limited, India	50000
Inder Singh	38
K V Skariah	36710
Ratan Sing Shekhawat	38184
Sandeep Gill	769
Sat Soft (India) Private Limited, India	400000
Aravali Goods and Suppliers Private Limited, India	810144
Shree Nidhi Trading Company Limited, India	49500
Risorgimento Industrial Company Limited, India	49500
Emrald Commercial Limited, India	24500
Wrinkle Vyapaar Private Limited, India	372600
Total	2556735

AS ON 28.09.2012

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	84.73
Directors or relatives of directors	12.31
Others	2.96
Total	100.00

BUSINESS DETAILS

Line of Business :

Importing and Trading of Coal and Real Estate Services.

Products/ Services :

ITC Code No.	Product Descriptions
27011920	Steam Coal

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· State Bank of India, Commercial Branch, Mid Corporate Group, Bank Street, Koti, Hyderabad - 500095, Andhra Pradesh, India

· Karur Vysya Bank Limited, 6549, R.P. Road, Secunderabad - 500003, Andhra Pradesh, India

· The Karur Vysya Bank Limited, CPC (Loans), Chirag Ali Lane, 5-8-363 to 365, Abids, Hyderabad - 500001, Andhra Pradesh, India

· ICICI Bank Limited, ICICI Bank Towers, 1-11-256, Begumpet, Level IV, Hyderabad - 500016, Andhra Pradesh, India

· Indian Bank

· Lakshmi Vilas Bank

· Punjab National Bank

· State Bank of Indore

Facilities :

Secured Loans	31.03.2012	31.03.2011
	(Rs. In Millions)
LONG-TERM BORROWINGS
Working capital loans from banks	78.594	96.809
Other loans and advances	0.000	0.759
Total	78.594	97.568

Banking Relations :	--
Auditors :
Name :	YKM Prasad and Company Chartered Accountants
Address :	Plot No. 41, Prasanth Nagar, Near Kommadi Junction, Madhurawada, Visakhapatnam – 530041, Andhra Pradesh, India
Income-tax PAN of auditor or auditor's firm :	AANPY7103R
Subsidiary company :	Satsoft (India) Private Limited [U72200AP1996PTC051403]
Associate :	· Vidarbha Enterprises Limited [U70910MH1985PTC037589] Millennium Steels Private Limited [U51420TN2005PTC055327] Steel Exchange Chennai Limited [U51420TN2001PLC046891]
Enterprises which are owned, or have significant influence of or are partners with Key management personnel and their relatives:	· Maheswari Brothers Mandhani Carriers Private Limited [U63040AP1992PTC013775] Maheswari Agencies Maheswari Commercial Corporation Mandhani Securities Limited

CAPITAL STRUCTURE

AS ON 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
10,000,000	Equity Shares	Rs. 10/- each	Rs. 100.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2,556,735	Equity Shares	Rs. 10/- each	Rs. 25.567 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	25.567	25.567
(b) Reserves & Surplus	267.792	241.303
(c) Money received against share warrants	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000
Total Shareholders’ Funds (1) + (2)	293.359	266.870
(3) Non-Current Liabilities
(a) long-term borrowings	78.594	97.568
(b) Deferred tax liabilities (Net)	0.000	0.000
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	48.876	10.800
Total Non-current Liabilities (3)	127.470	108.368
(4) Current Liabilities
(a) Short term borrowings	70.000	0.000
(b) Trade payables	2112.859	1227.283
(c) Other current liabilities	74.927	174.097
(d) Short-term provisions	0.003	0.002
Total Current Liabilities (4)	2257.789	1401.382
TOTAL	2678.618	1776.620
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	23.565	24.186
(ii) Intangible Assets	0.000	0.000
(iii) Capital work-in-progress	37.045	25.351
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	2.758	2.758
(c) Deferred tax assets (net)	0.104	0.323
(d) Long-term Loan and Advances	72.880	44.769
(e) Other Non-current assets	0.000	0.000
Total Non-Current Assets	136.352	97.387
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	159.089	196.018
(c) Trade receivables	1971.798	1108.387
(d) Cash and cash equivalents	353.316	339.993
(e) Short-term loans and advances	58.063	34.835
(f) Other current assets	0.000	0.000
Total Current Assets	2542.266	1679.233
TOTAL	2678.618	1776.620

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		25.567
2] Share Application Money		6.500
3] Reserves & Surplus		135.471
4] (Accumulated Losses)		0.000
NETWORTH		167.538
LOAN FUNDS
1] Secured Loans		54.981
2] Unsecured Loans		0.000
TOTAL BORROWING		54.981
DEFERRED TAX LIABILITIES		0.186
TOTAL		222.705
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		25.672
Capital work-in-progress		4.121
INVESTMENT		2.758
DEFERRED TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	201.016
	Sundry Debtors	981.168
	Cash & Bank Balances	365.466
	Other Current Assets	0.198
	Loans & Advances	73.445
Total Current Assets		1621.293
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	1366.035
	Other Current Liabilities	54.304
	Provisions	10.800
Total Current Liabilities		1431.139
Net Current Assets		190.154
MISCELLANEOUS EXPENSES		0.000
TOTAL		222.705

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Revenue from operations	3738.844	3676.211	4868.292
		Other Income	31.433	45.907	18.839
		TOTAL (A)	3770.277	3722.118	4887.131
Less	EXPENSES
		Purchases of stock-in-trade	3410.533	3011.731	4848.405
		Changes in inventories of finished goods, work-in-progress and stock-in-trade	36.929	4.998
		Employee benefit expense	7.764	5.820
		Other expenses	253.764	540.762
		TOTAL (B)	3708.990	3563.311	4848.405
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		61.287	158.807	38.726
Less	FINANCIAL EXPENSES (D)		19.829	12.337	6.519
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		41.458	146.470	32.207
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1.883	3.081	1.596
	PROFIT BEFORE TAX (E-F) (G)		39.575	143.389	30.611
Less	TAX (H)		13.078	37.558	12.445
	PROFIT AFTER TAX (G-H) (I)		26.497	105.831	18.166
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	0.000	192.117	0.000
	Earnings Per Share (Rs.)		10.36	41.39	7.11

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	0.70	2.84	0.37
Net Profit Margin (PBT/Sales)	(%)	1.06	3.90	0.63
Return on Total Assets (PBT/Total Assets}	(%)	1.50	8.20	1.86
Return on Investment (ROI) (PBT/Networth)		0.13	0.54	0.18
Debt Equity Ratio (Total Debt/Networth)		0.51	0.37	0.33
Current Ratio (Current Asset/Current Liability)		1.13	1.20	1.13

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	No
9]	Name of person contacted	No
10]	Designation of contact person	No
11]	Turnover of firm for last three years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	--
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	No
20]	Export / Import details (if applicable)	No
21]	Market information	--
22]	Litigations that the firm / promoter involved in	--
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	--
26]	Buyer visit details	--
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	Yes
29]	Last accounts filed at ROC	Yes
30]	Major Shareholders, if available	Yes
31]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10427086	03/04/2013	2,650,000,000.00	THE KARUR VYSYA BANK LIMITED	CPC (LOANS), CHIRAG ALI LANE, 5-8-363 TO 365, ABIDS, HYDERABAD - 500001, ANDHRA PRADESH, INDIA	B75608042
2	10158878	23/05/2013 *	622,500,000.00	STATE BANK OF INDIA	COMMERCIAL BRANCH, MID CORPORATE GROUP, BANK STREET, KOTI, HYDERABAD - 500095, ANDHRA PRADESH, INDIA	B77483972
3	10061885	28/05/2010 *	450,000,000.00	THE KARUR VYSYA BANK LIMITED	CENTRAL LOAN PROCESSING CELL, CHIRAG ALI LANE, ABIDS, HYDERABAD - 500001, ANDHRA PRADESH, INDIA	B12978813

* Date of charge modification

UNSECURED LOANS

Unsecured Loans	31.03.2012	31.03.2011
	(Rs. In Millions)
SHORT-TERM BORROWINGS
Intercorporate borrowings	70.000	0.000
Total	70.000	0.000

FIXED ASSETS:

· Land

· Furniture and fixtures

· Vehicles

· Motor vehicles

· Office equipment

· Computer equipments

· Other equipments

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 :

BVA

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	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
DEFAULTERS
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		42

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.