MIRA INFORM REPORT

Report Date :

21.08.2013

IDENTIFICATION DETAILS

Name :	CONVEX LATEX PRIVATE LIMITED
Registered Office :	Survey No. 228, Hissa No. 1 and 2, Phase I, Hinjewadi, Taluka Mulshi, Pune – 411057, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	18.02.2005
Com. Reg. No.:	11-020309
Capital Investment / Paid-up Capital :	Rs.9.000 Millions
CIN No.: [Company Identification No.]	U25193PN2005PTC020309
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Natural Rubber Latex Male Condoms.
No. of Employees :	80 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

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

Maximum Credit Limit :	USD 75000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Exist
Comments :	Subject is an established company having a satisfactory track record. The company has seen an increase in its sales turnover but there appears a dip in the net profitability during 2012. However, trade relations are fair. Business is active. Payment terms are reported as 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.

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.

INFORMATION PARTED BY

Name :	Mr. Ashok A
Designation :	Account Department
Contact No.:	91-9881130090
Date :	19.08.2013

LOCATIONS

Registered Office/ Factory :	Survey No. 228, Hissa No. 1 and 2, Phase I, Hinjewadi, Taluka Mulshi, Pune – 411057, Maharashtra, India
Tel. No.:	91-20-22932027/ 22932028
Mobile No.:	91-9881130090 (Mr. Ashok A)
Fax No.:	91-20-22932029
E-Mail :	clpl2027@gmail.com manav@vsnl.com chetan@convexlatex.com
Website :	www.convexlatex.com
Location :	Owned
Central Europe Office :	Salmovska-10, Nove Mesto, Prague – 2, Czech Republic - 10200
Tel. No.:	+420-776353230

DIRECTORS

As on: 29.09.2012

Name :	Mr. Chetan Surendra Ghuwalewala
Designation :	Director
Address :	717, Sindh Housing Society, Aundh, Pune – 411007, Maharashtra, India
Date of Birth/Age :	11.06.1977
Date of Appointment :	18.02.2005
DIN No.:	01023001
Name :	Mrs. Rashmi Ghuwalewala
Designation :	Director
Address :	717, Sindh Housing Society, Aundh, Pune – 411007, Maharashtra, India
Date of Birth/Age :	13.05.1980
Date of Appointment :	18.02.2005
DIN No.:	02549735
Name :	Mr. Binodkumar Charturbhuj Paliwal
Designation :	Director
Address :	6A, Brijvatika, Brijwasi Estate, Behind Gokul Raw House, Parle P, Surat – 395007, Gujarat, India
Date of Birth/Age :	01.08.1953
Date of Appointment :	01.04.2005
DIN No.:	01017933
Name :	Mr. Vishnukant Binodkumar Paliwal
Designation :	Director
Address :	6A, Brijvatika, Brijwasi Estate, Behind Gokul Raw House, Parle P, Surat – 395007, Gujarat, India
Date of Birth/Age :	19.10.1978
Date of Appointment :	01.04.2005
DIN No.:	00475087
Name :	Mr. Surendrakumar Satynarayan Ghuwalewala
Designation :	Director
Address :	717, Sindh Housing Society, Aundh, Pune – 411007, Maharashtra, India
Date of Birth/Age :	22.11.1946
Date of Appointment :	01.04.2008
DIN No.:	01672993
Name :	Mr. Manav Surendrakumar Ghuwalewala
Designation :	Director
Address :	717, Sindh Housing Society, Aundh, Pune – 411007, Maharashtra, India
Date of Birth/Age :	03.08.1974
Date of Appointment :	01.04.2008
DIN No.:	01682023

KEY EXECUTIVES

Name :	Mr. Ashok A
Designation :	Account Department

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on: 29.09.2012

Names of Shareholders	No. of Shares
Binodkumar Charturbhuj Paliwal	2850
Chetan Surendra Ghuwalewala	30800
Rashmi Chetan Ghuwalewala	12850
Surendrakumar Ghuwalewala	20450
Sudha Dyeing and Printing Mills Private Limited, India	10000
Vishnukant Binodkumar Paliwal	12850
Manav S. Ghuwalewala	200
Total	90000

Equity Share Break up (Percentage of Total Equity)

As on: 29.09.2012

Category	Percentage
Bodies corporate	11.11
Directors or relatives of directors	88.89
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Natural Rubber Latex Male Condoms.
Exports :
Products :	Finished Good
Countries :	Vietnam
Terms :
Selling :	Cash and Credit
Purchasing :	Cash, Credit and Depend

PRODUCTION STATUS (As on: 31.03.2011)

Particulars	Unit	Installed Capacity	Actual Production
Manufacturing of Rubber Latex Products	Gross	1008000	877661

The figure of installed capacity is as certified by the management and not verified by the auditors, being a technical matter.

GENERAL INFORMATION

Customers :

Retailers and End Users

No. of Employees :

80 (Approximately)

Bankers :

• Bank of India, Pune Corporate Branch, 1162/6, Shivaji Nagar, University Road, Pune – 411005, Maharashtra, India
• Axis Bank Limited
• Saraswat Co-Operative Bank Limited

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2012	As on 31.03.2011
Long Term Borrowings
Term Loans
From Banks
Axis Bank (I20 Loan Account)	0.334	0.484
Saraswat Co-Operative Bank Limited	2.791	0.000
Term Loan BOI (052165310000036)	0.000	2.062
Term Loan BOI 05217021000001	1.219	2.849
Term Loan BOI 05217041000009	3.054	3.292
Term Loan BOI 05217041000001	0.000	1.374
Total	7.398	10.061

Notes:

AXIS Bank (120 Loan Account) Secured by -- Hypothecation of I20 Car.

Saraswat Co-Operative Bank Limited Secured by -- Hypothecation Against Vehicle BMW.

Tam Loan (BOI) 052170210000001 Secured by -- Hypothecation of Plant and Machinery and Guaranteed by directors in Their Personal Capacities.

Term Loan (801} 052170210000009 Secured by -- Hypothecation Against Plant of Machinery And Guaranteed by The Directors in Their Personal Capacities.

Term Loan (BOI) 052170410000001 Secured by -- Secured by Hypothecation of Plant and Machinery and Gurrented by the Directors in Their Personal capacities.

Banking Relations :

--

Auditors :

Name :

S.C. Chobe and Company

Chartered Accountants

Address :

D.C. Chambers, 2nd Floor, Office No. 5 and 6, Opposite K.S.B. Pumps Limited, Mumbai Pune Road, Pimpri, Pune – 411018, Maharashtra, India

Tel. No.:

91-20-27421648

PAN No.:

ACCPC9038J

CAPITAL STRUCTURE

As on: 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
90000	Equity Shares	Rs.100/- each	Rs.9.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
90000	Equity Shares	Rs.100/- each	Rs.9.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2012	31.03.2011
EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	9.000	9.000
(b) Reserves & Surplus	9.857	7.830
(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)	18.857	16.830
(3) Non-Current Liabilities
(a) long-term borrowings	14.004	19.022
(b) Deferred tax liabilities (Net)	1.685	1.804
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	1.275	2.082
Total Non-current Liabilities (3)	16.964	22.908
(4) Current Liabilities
(a) Short term borrowings	33.170	42.241
(b) Trade payables	12.776	13.218
(c) Other current liabilities	0.773	0.557
(d) Short-term provisions	4.449	2.224
Total Current Liabilities (4)	51.168	58.240
TOTAL	86.989	97.978
ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	39.954	38.540
(ii) Intangible Assets	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	0.086	0.013
(c) Deferred tax assets (net)	0.000	0.000
(d) Long-term Loan and Advances	5.700	5.573
(e) Other Non-current assets	0.000	0.000
Total Non-Current Assets	45.740	44.126
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	23.712	18.958
(c) Trade receivables	12.279	33.395
(d) Cash and cash equivalents	2.837	1.164
(e) Short-term loans and advances	0.224	0.230
(f) Other current assets	2.197	0.105
Total Current Assets	41.249	53.852
TOTAL	86.989	97.978

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		9.000
2] Share Application Money		0.000
3] Reserves & Surplus		5.339
4] (Accumulated Losses)		0.000
NETWORTH		14.339
LOAN FUNDS
1] Secured Loans		43.490
2] Unsecured Loans		12.232
TOTAL BORROWING		55.722
DEFERRED TAX LIABILITIES		2.037
TOTAL		72.098
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		42.314
Capital work-in-progress		0.000
INVESTMENT		0.013
DEFERREX TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	20.939
	Sundry Debtors	19.422
	Cash & Bank Balances	2.115
	Other Current Assets	0.000
	Loans & Advances	4.196
Total Current Assets		46.672
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	12.706
	Other Current Liabilities	0.000
	Provisions	4.242
Total Current Liabilities		16.948
Net Current Assets		29.724
MISCELLANEOUS EXPENSES		0.047
TOTAL		72.098

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income
		Other Income
		TOTAL	172.554	152.260	101.828
Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses
		TOTAL	164.092	143.788	95.695
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		8.462	8.472	6.133
Less/ Add	DEPRECIATION/ AMORTISATION		5.101	5.291	5.425
	PROFIT BEFORE TAX		3.361	3.181	0.708
Less	TAX		1.334	0.690	0.092
	PROFIT AFTER TAX		2.027	2.491	0.616
	EARNINGS IN FOREIGN CURRENCY		1.093	NA	NA
	IMPORTS
		Capital Goods	NA	1.606	1.399
	TOTAL IMPORTS		NA	1.606	1.399
	Earnings Per Share (Rs.)		22.52	NA	NA

Particulars	31.03.2013
Sales Turnover (Approximately)	190.000

The above information has been parted by Mr. Ashok A

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	1.17	1.64	0.60
Return on Total Assets (PBT/Total Assets}	(%)	3.87	3.25	0.80
Return on Investment (ROI) (PBT/Networth)		0.18	0.19	0.05
Debt Equity Ratio (Total Debt/Networth)		2.50	3.64	3.89
Current Ratio (Current Asset/Current Liability)		0.81	0.92	2.75

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check List by Info Agents	Available in Report (Yes / No)
1]	Year of Establishment	Yes
2]	Locality of the firm	Yes
3]	Constitutions of the firm	Yes
4]	Premises details	No
5]	Type of Business	Yes
6]	Line of Business	Yes
7]	Promoter's background	Yes
8]	No. of employees	Yes
9]	Name of person contacted	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last four years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	--
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	No
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	Yes
21]	Market information	--
22]	Litigations that the firm / promoter involved in	Yes
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

Note:

The Registered Office of the company has been shifted from Office No. 7, Business Avenue Building, Ii Floor, Nyoshi Park Road, Aundh, Pune – 411007, Maharashtra, India to the present address w.e.f. 01.07.2010

UNSECURED LOAN

(Rs. In Millions)

Particular	As on 31.03.2012	As on 31.03.2011
LONG TERM BORROWINGS
Loans and Advance from Related Parties
Balaji Packaging Industries (U/s)	0.180	0.580
C.S. Ghuwalewala	0.043	0.043
Kusum Ghuwalewala	0.335	0.334
Manav Packaging Industries Private Limited	4.961	4.400
R. C. Ghuwalewala	0.100	0.000
Surendrakumar Ghuwalewala	0.126	0.526
Vishnukumar Paliwal	0.661	0.621
Other Loans and Advance
Gujarat Continent Food Limited	0.200	0.200
Preeti Jagnani	0.000	0.200
Sudha Dying and Printing Private Limited	0.000	2.056
SHORT TERM BORROWINGS
Loans repayable on demand
From Banks
Bank OD A/c	32.433	28.241
From other parties
Pramod Jagnani	0.000	0.800
Other loans and advances
Essba Consultant	0.000	0.010
Jeevan Healthcare	0.027	0.000
Mankand Pharma Limited	0.000	13.000
Propack	0.197	0.000
Prudence Healthcare	0.013	0.000
Spark Health Care	0.500	0.000
Synergy Healthcare	0.000	0.150
Taurian Pharma Private Limited	0.000	0.019
Vaidik Health Care	0.000	0.022
Total	39.776	51.202

LITIGATION DETAILS
Bench:- Bombay
Stamp No:-	WPST/2342/2013	Failing Date:-	22/01/2013	Reg. No.:-	WP/1843/2013	Reg. Date:-	25.02.2013
Petitioner:-	BHARTIYA SURAKSHA RAKSHAK AND GENE		Respondent:-	CONVEX LATEX PRIVATE LIMITED
Petn.Adv:-	RANJANA TODANKAR		Resp. Adv.:-	DR. PALLAVI DIVEKAR
District:-	PUNE
Bench:-	DIVISION		Stage:-	FOR ADMISSION – FRESH (CIVIL SIDE MATTERS)
Status:-	Pre-Admission		Stage:-	FOR ADMISSION – FRESH
Next Date:-	19.08.2013
Coram:-	HON’BLE SHRI JUSTICE V.M. KANADE HON’BLE SHRI JUSTICE K.R. SRIRAM
Last Date :-	22/04/2013
Last Coram:-	HON’BLE SHRI JUSTICE A.S. OKA HON’BLE SHRI JUSTICE A. R. JOSHI
Act:-	Security Guards Act

FIXED ASSETS

Tangible Assets

• Buildings
• Plant and Equipment
• Furniture and Fixture
• Land
• Vehicles
• Office Equipment

Bankers Charges Report as per Registry

Corporate identity number (CIN) or foreign company registration number of the company	CONVEX LATEX PRIVATE LIMITED
Name of the company	U25193PN2005PTC020309
Address of the registered office or of the principal place of business in India of the company	Survey No. 228, Hissa No. 1 and 2, Phase I, Hinjewadi, Taluka Mulshi, Pune – 411057, Maharashtra, India E-mail: manav@vsnl.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10060709
Type of charge	Immovable property Book debts Movable property (not being pledge)
Particular of charge holder	Bank of India, Pimpri Branch, Opposite PCMC Bldg, Mumbai Pune Road, Pune – 411018, Maharashtra, India E-mail: iut@eth.net
Nature of instrument creating charge	Supplemental Deed of Hypothecation Hypothecation Cum Loan Agreement (Plant and Machinery, Stocks and Book Debts) Hypothecation Cum Loan Agreement (Plant and Machinery, Stocks and Book Debts) Hypothecation Cum Loan Agreement (Plant and Machinery, Stocks and Book Debts) Memorandum of Entry for Extension of Mortgage (All the agreements constituted a single charge)
Date of instrument Creating the charge	14.12.2012
Amount secured by the charge	Rs.68.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest WC-CC: 4% over Base Rate, Presently 14.50% p.a with monthly rests Term Loans:- 4.50% over Base Rate, Presently 15% p.a with monthly rest. Terms of Repayment As per sanction letter of the Bank. Margin As per sanction letter of the Bank. Extent and Operation of the charge Fund Based Amount Rs in Millions Term Loan I Rs. 0.100 Term Loan II Rs. 2.500 Term Loan III Rs. 10.600 (New) Term Loan IV Rs. 1.700 (New) Term Loan V Rs. 1.500 (New) WC Fund Based Rs.40.000 ---------------------------------------------------- Total Fund Based : Rs. 56.400 Others Non Fund Base L/C Rs., 0.116 Million -------------------------------------------- Total Fund Based and Non Fund Based Rs. 68.000 Millions.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Hypothecation of stocks, raw materials, latex, silicon oil, silicon emulsion, ZDec, ZDBC, Irganox, Ammonia, TSP, Procoil Oil Packaging Material, foils, Semi finished goods. Hypothecation for purchased of machinery from abroad. All tangible movable machineries and plant, both present and future All tangible movable properties and assets (other than movable and uninstalled machines) of the Company both present and future, all stocks of raw materials, such as latex, silicon oil, foils, packaing material, finished and semi finished goods, spares parts, components. All the present and future book debts, outstanding, money, receivables, claims, bills Company's property situated at Survey No 228/1, Plot No 5B, 6B, 7B, 8B and Survey No 228/2, Plot No 5A, 6A, 7A, 8A Muje Hinjewadi, Taluka Mulshi District Pune. Immovable Properties at Survey No 228/2, Plot Nos 5A, 6A, 7A, 8A, Mauje Hinjewadi, Taluka Mulshi (Paud) District Pune.
Particulars of the present modification	By present Agreement dated 14.12.2012 Total Credit Limits has been enhanced from Rs.50.143 Millions to 68.000 Millions. Company has offered immovable properties situated at Survey No 228/1, Plot No 5B, 6B, 7B, 8B and Survey No 228/2, Plot No 5A,6A, 7A, 8A Muje Hinjewadi, Taluka Mulshi District Pune and Survey No 228/2, Plot Nos 5A, 6A, 7A, 8A, Mauje Hinjewadi, Taluka Mulshi (Paud) District Pune.

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.63.73
UK Pound	1	Rs.99.79
Euro	1	Rs.85.07

INFORMATION DETAILS

Information Gathered by :	PDT
Report Prepared by :	VRN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	YES
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		45

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.