MIRA INFORM REPORT

Report Date :

05.12.2013

IDENTIFICATION DETAILS

Name :	HCL INSYS PTE. LTD.
Registered Office :	1, North Bridge Road, 19-04/05, High Street Centre, 179094
Country :	Singapore
Financials (as on) :	30.06.2013
Date of Incorporation :	17.12.2009
Com. Reg. No.:	200923568-M
Legal Form :	Private Limited
Line of Business :	Subject is engaged in computer facilities management activities, managed services, cloud computing
No. of Employees :	11

RATING & COMMENTS

MIRA’s Rating :

Ba

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

Status :	Satisfactory
Payment Behaviour :	No complaints
Litigation :	--

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)
Singapore	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

SINGAPORE - ECONOMIC OVERVIEW

Singapore has a highly developed and successful free-market economy. It enjoys a remarkably open and corruption-free environment, stable prices, and a per capita GDP higher than that of most developed countries. The economy depends heavily on exports, particularly in consumer electronics, information technology products, pharmaceuticals, and on a growing financial services sector. Real GDP growth averaged 8.6% between 2004 and 2007. The economy contracted 0.8% in 2009 as a result of the global financial crisis, but rebounded 14.8% in 2010, on the strength of renewed exports, before slowing to 5.2% in 2011 and 1.3% in 2012, largely a result of soft demand for exports during the second European recession. Over the longer term, the government hopes to establish a new growth path that focuses on raising productivity, which has sunk to an average of about 1.0% in the last decade. Singapore has attracted major investments in pharmaceuticals and medical technology production and will continue efforts to establish Singapore as Southeast Asia's financial and high-tech hub

Source : CIA

* Adopted abbreviations :	SC - Subject Company (the company enquired by you)
	N/A - Not Applicable

EXECUTIVE SUMMARY

REGISTRATION NO.

:

200923568-M

COMPANY NAME

:

HCL INSYS PTE. LTD.

FORMER NAME

:

N/A

INCORPORATION DATE

:

17/12/2009

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED

LISTED STATUS

:

NO

REGISTERED ADDRESS

:

1, NORTH BRIDGE ROAD, 19-04/05, HIGH STREET CENTRE, 179094, SINGAPORE.

BUSINESS ADDRESS

:

THE SIGNATURE 51, #09-02, CHANGI BUSINESS PARK CENTRAL 2 , 486066, SINGAPORE.

TEL.NO.

:

65-63922969

FAX.NO.

:

65-63922971

CONTACT PERSON

:

SANDEEP KANWAR ( DIRECTOR )

PRINCIPAL ACTIVITY

:

COMPUTER FACILITIES MANAGEMENT ACTIVITIES, MANAGED SERVICES, CLOUD COMPUTING

ISSUED AND PAID UP CAPITAL

:

6,199,991.00 ORDINARY SHARE, OF A VALUE OF SGD 6,199,991.00
3,800,000.00 ORDINARY SHARE, OF A VALUE OF USD 3,800,000.00

SALES

:

USD 80,799,013 [2013]

NET WORTH

:

USD 12,055,824 [2013]

STAFF STRENGTH

:

11 [2013]

BANKER (S)

:

STANDARD CHARTERED BANK

LITIGATION

:

CLEAR

FINANCIAL CONDITION

:

FAIR

PAYMENT

:

GOOD

MANAGEMENT CAPABILITY

:

AVERAGE

COMMERCIAL RISK

:

N/A

CURRENCY EXPOSURE

:

MODERATE

GENERAL REPUTATION

:

SATISFACTORY

INDUSTRY OUTLOOK

:

MARGINAL GROWTH

HISTORY / BACKGROUND

The SC is a private limited company and is allowed to have a minimum of one and a maximum of forty-nine shareholders. As a private limited company, the SC must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the SC is capable of owning assets, entering into contracts, sue or be sued by other companies. The liabilities of the shareholders are to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the SC is insolvent. The SC is governed by the Companies Act and the company must file its annual returns, together with its financial statements with the Registrar of Companies.

The SC is principally engaged in the (as a / as an) computer facilities management activities, managed services, cloud computing.

The immediate and ultimate holding company of the SC is HCL INFOSYSTEMS LTD., a company incorporated in INDIA.

The major shareholder(s) of the SC are shown as follows :

Name	Address	IC/PP/Loc No	Shareholding	(%)
HCL INFOSYSTEMS LTD. [USD 3800000 SGD 6199991]	E-4, 5&6, SECTOR-11, NOIDA-201301, UTTAR PRADESH, INDIA.	T09UF3225	9,999,991.00	100.00
			---------------	------
			9,999,991.00	100.00
			============	=====

+ Also Director

The SC interest in other companies (Subsidiaries/Associates) are shown as follow :

Local No	Country	Company	(%)	As At
011002	UNITED ARAB EMIRATES (DUBAI)	HCL INFOSYSTEMS MEA FZCO	100.00	30/06/2013

DIRECTORS

DIRECTOR 1

Name Of Subject	:	SANDEEP KANWAR
Address	:	N-18C, SAKET NEW DELHI-110017, INDIA.
IC / PP No	:	G6717125
Nationality	:	INDIAN
Date of Appointment	:	17/12/2009

DIRECTOR 2

Name Of Subject	:	SUNDARAM SRIDHARAN
Address	:	37, JURONG EAST AVENUE 1, 15-04, PARC OASIS, 609775, SINGAPORE.
IC / PP No	:	E3454910K
Nationality	:	SINGAPOREAN
Date of Appointment	:	17/12/2009

MANAGEMENT

1)	Name of Subject	:	SANDEEP KANWAR
	Position	:	DIRECTOR

AUDITOR

Auditor	:	PRICEWATERHOUSECOOPERS LLP
Auditor' Address	:	N/A

COMPANY SECRETARIES

1)	Company Secretary	:	VANGAL RANGARAJAN RANGANATHAN
	IC / PP No	:	S2662860A
	Address	:	207, SERANGOON CENTRAL, 11-198, 550207, SINGAPORE.

BANKING

Banking relations are maintained principally with :

1)

Name

:

STANDARD CHARTERED BANK

ENCUMBRANCE (S)

Charge No	Creation Date	Charge Description	Chargee Name	Total Charge	Status
C201303388	01/03/2013	N/A	STANDARD CHARTERED BANK	N/A	Unsatisfied

LEGAL CHECK AGAINST SC

* A check has been conducted in our databank againt the SC whether the subject has been involved in any litigation.

No legal action was found in our databank.

No winding up petition was found in our databank.

PAYMENT RECORD

SOURCES OF RAW MATERIALS:
Local	:	YES
Overseas	:	YES

The SC refused to provide any name of trade/service supplier and we are unable to conduct any trade enquiry. However, from financial historical data we conclude that :

OVERALL PAYMENT HABIT
Prompt 0-30 Days	[	]	Good 31-60 Days	[	X	]	Average 61-90 Days	[	]
Fair 91-120 Days	[	]	Poor >120 Days	[		]

CLIENTELE

Local	:	N/A
Overseas	:	N/A

The SC refused to disclose its clientele information.

OPERATIONS

Services

:

IT INFRASTRUCTURE SOLUTIONS

Total Number of Employees:
YEAR	2013
GROUP	N/A
COMPANY	11

Branch

:

NO

Other Information:

The SC is principally engaged in the (as a / as an) computer facilities management activities, managed services, cloud computing.

background of the parent company:

Hcl infosystems ltd is one of the pioneers in the indian it market, with its origins in 1976. for over quarter of a century, hcl infosystems ltd have developed and implemented solutions for multiple market segments, across a range of technologies in india. we have been in the forefront in introducing new technologies and solutions.

The SC is engaged in the IT solutions that include hardware, security, storage, networking and connectivity, software and application

CURRENT INVESTIGATION

Latest fresh investigations carried out on the SC indicated that :

Telephone Number Provided By Client	:	N/A
Current Telephone Number	:	65-63922969
Match	:	N/A
Address Provided by Client	:	51, CHANGI BUSINESS PARK 2 #09-02, THE SINGATURE
Current Address	:	THE SIGNATURE 51, #09-02, CHANGI BUSINESS PARK CENTRAL 2 , 486066, SINGAPORE.
Match	:	NO

Other Investigations

we contacted one of the staff from the SC and she provided some information on the SC.

The address provided is incomplete.

FINANCIAL ANALYSIS

Profitability
Turnover	:	Erratic	[	2010 - 2013	]
Profit/(Loss) Before Tax	:	Increased	[	2010 - 2013	]
Return on Shareholder Funds	:	Acceptable	[	15.38%	]
Return on Net Assets	:	Acceptable	[	17.59%	]
The fluctuating turnover reflects the fierce competition among the existing and new market players.The higher profit could be attributed to the increase in turnover. The SC's management had generated acceptable return for its shareholders using its assets.
Working Capital Control
Stock Ratio	:	Favourable	[	1 Days	]
Debtor Ratio	:	Unfavourable	[	71 Days	]
Creditors Ratio	:	Favourable	[	45 Days	]
The SC's stocks were moving fast thus reducing its holding cost. This had reduced funds being tied up in stocks. The high debtors' ratio could indicate that the SC was weak in its credit control. However, the SC could also giving longer credit periods to its customers in order to boost its sales or to capture / retain its market share. The SC had a favourable creditors' ratio where the SC could be taking advantage of the cash discounts and also wanting to maintain goodwill with its creditors.
Liquidity
Liquid Ratio	:	Favourable	[	1.24 Times	]
Current Ratio	:	Unfavourable	[	1.26 Times	]
A minimum liquid ratio of 1 should be maintained by the SC in order to assure its creditors of its ability to meet short term obligations and the SC was in a good liquidity position. Thus, we believe the SC is able to meet all its short term obligations as and when they fall due.
Solvency
Interest Cover	:	Acceptable	[	7.95 Times	]
Gearing Ratio	:	Favourable	[	0.00 Times	]
The SC's interest cover was slightly low. If there is no sharp fall in its profit or sudden increase in the interest rates, we believe the SC is able to generate sufficient income to service its interest and repay the loans. The SC had no gearing and hence it had virtually no financial risk. The SC was financed by its shareholders' funds and internally generated fund. During the economic downturn, the SC, having a zero gearing, will be able to compete better than those which are highly geared in the same industry.
Overall Assessment :
Although the turnover was erratic, the SC had maintained a steady growth in its profit. This indicate the management's efficiency in controlling its costs and profitability. The SC was in good liquidity position with its total current liabilities well covered by its total current assets. With its current net assets, the SC should be able to repay its short term obligations. The SC had an acceptable interest cover. If there is no sudden sharp increase in interest rate or fall in the SC's profit, we do believe the SC is able to generate sufficient cash flow to service its interest payment. The SC was a zero gearing company, it was solely dependant on its shareholders to provide funds to finance its business. The SC has good chance of getting loans, if the needs arises.
Overall financial condition of the SC : FAIR

SINGAPORE ECONOMIC / INDUSTRY OUTLOOK

Major Economic Indicators :	2008	2009	2010	2011	2012
Population (Million)	4.84	4.98	5.08	5.18	5.31
Gross Domestic Products ( % )	1.5	<0.8>	14.5	4.9	1.3
Consumer Price Index	6.6	0.6	2.8	5.2	4.6
Total Imports (Million)	450,892.6	356,299.3	423,221.8	459,655.1	474,554.0
Total Exports (Million)	476,762.2	391,118.1	478,840.7	514,741.2	510,329.0
Unemployment Rate (%)	2.2	3.2	2.2	2.1	2.0
Tourist Arrival (Million)	10.12	9.68	11.64	13.17	14.37
Hotel Occupancy Rate (%)	81.0	75.8	85.6	86.5	86.4
Cellular Phone Subscriber (Million)	1.31	1.37	1.43	1.50	1.52
Registration of New Companies (No.)	25,327	26,414	29,798	32,317	31,892
Registration of New Companies (%)	<2.2>	4.3	12.8	8.5	<1.3>
Liquidation of Companies (No.)	10,493	22,393	15,126	19,005	17,218
Liquidation of Companies (%)	13.7	113.4	<32.5>	25.6	9.4
Registration of New Businesses (No.)	24,850	26,876	23,978	23,494	24,788
Registration of New Businesses (%)	0.36	8.15	<10.78>	2.02	5.51
Liquidation of Businesses (No.)	21,150	23,552	24,211	23,005	22,489
Liquidation of Businesses (%)	<0.8>	11.4	2.8	<5>	<2.2>
Bankruptcy Orders (No.)	2,326	2,058	1,537	1,527	1,748
Bankruptcy Orders (%)	<15.9>	<11.5>	<25.3>	<0.7>	14.5
Bankruptcy Discharges (No.)	1,500	3,056	2,252	1,391	1,881
Bankruptcy Discharges (%)	<7.7>	103.7	<26.3>	<38.2>	35.2
INDUSTRIES ( % of Growth ) :
Agriculture
Production of Principal Crops	<0.32>	3.25	<0.48>	4.25	3.64
Fish Supply & Wholesale	<6.31>	<1.93>	<10.5>	12.10	<0.5>
Manufacturing *	74.6	71.5	92.8	100.0	100.3
Food, Beverages & Tobacco	94.8	90.4	96.4	100.0	103.5
Textiles	180.1	145.9	122.1	100.0	104.0
Wearing Apparel	334.6	211.0	123.3	100.0	92.1
Leather Products & Footwear	128.2	79.5	81.8	100.0	98.6
Wood & Wood Products	132.0	101.4	104.0	100.0	95.5
Paper & Paper Products	101.0	95.4	106.1	100.0	97.4
Printing & Media	118.2	100.9	103.5	100.0	93.0
Crude Oil Refineries	113.1	96.4	95.6	100.0	99.4
Chemical & Chemical Products	84.5	80.3	97.6	100.0	100.5
Pharmaceutical Products	43.7	49.1	75.3	100.0	109.7
Rubber & Plastic Products	120.1	101.2	112.3	100.0	96.5
Non-metallic Mineral	96.5	91.9	92.5	100.0	98.2
Basic Metals	109.8	92.6	102.2	100.0	90.6
Fabricated Metal Products	101.3	90.8	103.6	100.0	104.3
Machinery & Equipment	65.0	57.3	78.5	100.0	112.9
Electrical Machinery	81.7	86.8	124.1	100.0	99.3
Electronic Components	93.1	85.2	113.6	100.0	90.6
Transport Equipment	102.0	96.0	94.0	100.0	106.3
Construction	45.90	<36.9>	14.20	20.50	28.70
Real Estate	<11.2>	1.4	21.3	25.4	31.9
Services
Electricity, Gas & Water	<1.3>	1.70	4.00	7.00	6.30
Transport, Storage & Communication	11.60	3.90	12.80	7.40	5.30
Finance & Insurance	<5.9>	<16.4>	<0.4>	8.90	0.50
Government Services	17.40	4.50	9.70	6.90	6.00
Education Services	0.50	0.10	<0.9>	<1.4>	0.30
* Based on Index of Industrial Production (2011 = 100)
(Source : Department of Statistics)

INDUSTRY ANALYSIS

INDUSTRY :	INFORMATION TECHNOLOGY
Singapore's infomation communication services industry is well-positioned to tap into the new business opportunities of the digital age. An early mover in infocomm technology, Singapore today ranks as the second most network-ready country in the world and the first in Asia, according to the World Economic Forum's "Global Information Technology Report 2010/2011". The roll out of the Intelligent Nation 2015 Master Plan and the National Broadband Network will further strengthen Singapore's infrastructure network.
The Intelligent Nation 2015 masterplan lays out the blueprint for Singapore's infocomm strategies in the digital age, with the creation of some 80,000 jobs and an increase of value-add to SGD 26 billion. Besides, under the Wireless@SG programme initiated by the Infocomm Development Authority of Singapore, free wireless broadband connection is made available at public places till March 31 2013, to encourage usage.
More than 80 of the top 100 software and services companies have set up their regional headquarters in Singapore. Many of them, including the top 15 software companies, have regional or Asia Pacific headquarters here. Some of the companies who have set up base in Singapore include Alcatel, Cisco, Crimson Logic, Dell, Hewlett Packard, IBM, Mahindra Satyam, NCS, Oracle, and Tata Consultancy Services.
As such, the highly cyclical tech sector has taken a hit in both its financial and share price performance. Moving into 2012, the macroeconomic headwinds will remain strong. Hence tepid growth is expected for the sector, in tandem with easing global economic conditions. Many of the tech companies have customers who are adopting cautious sentiment which increases the risk of order delays and/or pullbacks.
This situation is exacerbated by rising cost pressures, as increases in labour wages, raw material costs and higher interest rates, especially in China, have culminated in a margin squeeze on companies. Currency volatility and supply chain disruptions from recent catastrophes have also shrouded the visibility of the tech sector.
In general, tech companies have emerged from the last financial maelstrom with stronger balance sheets. This should provide them with better resilience to weather another economic downturn.
It is believed that the tech sector still carries good long-term growth potential, given the increasing importance of IT as a business growth driver, continued technological innovation and rising affluence in the region. Stronger growth would likely come from the emerging markets as ample opportunities exist for continued IT penetration.
The share prices of most tech stocks have already corrected sharply in the year 2011. Although current valuations do not appear demanding, downside earnings risks exist if the macroeconomic landscape continue to deteriorate sharper than expectations. On the other hand, cyclical plays could also potentially benefit from a stronger rebound if the global economy recover faster-than-expected. The possibility of the first scenario seems more plausible.
OVERALL INDUSTRY OUTLOOK : MARGINAL GROWTH

CREDIT RISK EVALUATION & RECOMMENDATION

Incorporated in 2009, the SC is a Private Limited company, focusing on computer facilities management activities, managed services and cloud computing. The SC has been in business for 4 years and it has slowly been building up contact with its clients while competing in the industry. However, having strong support from its holding company has enabled the SC to remain competitive despite the challenging business environment. The capital standing of the SC is fair. With an adequate share capital, the SC has the potential of expanding its business in future.

To date, the SC's business operation is supported by 11 employees. Overall, we regard that the SC's management capability is average. This indicates that the SC has greater potential to improve its business performance and raising income for the SC.

Despite the lower turnover, the SC's pre-tax profit have increased compared to the previous year. The higher profit could be due to better control of its operating costs and efficiency in utilising its resources. Return on shareholders' funds of the SC was at an acceptable range which indicated that the management was efficient in utilising its funds to generate income. The SC is in good liquidity position with its current liabilities well covered by it current assets. Hence, it has sufficient working capital to meet its short term financial obligations. Being a zero geared company, the SC virtually has no financial risk as it is mainly dependent on its internal funds to finance its business. Given a positive net worth standing at USD 12,055,824, the SC should be able to maintain its business in the near terms.

The SC's supplier are from both the local and overseas countries. This will eliminates the risk of dependency on deliveries from a number of key suppliers and insufficient quantities of its raw materials. Overall the SC has a good control over its resources.

Overall, the SC's payment habit is good as the SC has a good credit control and it could be taking advantage of the cash discounts while maintaining a good reputation with its creditors.

The industry has reached its maturity stage and only enjoying a marginal growth. The steady growth of the country's economy will further enhance the industry activities. Thus, the SC's future performance is very much depend on its marketing strategies in order to retain its position in the market.

Based on the above condition, we recommend credit be granted to the SC normally.

PROFIT AND LOSS ACCOUNT

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH SINGAPORE FINANCIAL REPORTING STANDARDS.

HCL INSYS PTE. LTD.

Financial Year End	2013-06-30	2012-06-30	2011-06-30	2010-06-30
Months	12	12	12	12
Consolidated Account	Company	Company	GROUP	Company
Audited Account	YES	YES	YES	YES
Unqualified Auditor's Report (Clean Opinion)	YES	YES	YES	YES
Financial Type	FULL	FULL	FULL	FULL
Currency	USD	USD	USD	USD
TURNOVER	80,799,013	82,003,151	70,580,545	4,696,667
Other Income	271,331	100,154	-	-
	----------------	----------------	----------------	----------------
Total Turnover	81,070,344	82,103,305	70,580,545	4,696,667
Costs of Goods Sold	<73,586,435>	<78,985,766>	-	-
	----------------	----------------	----------------	----------------
Gross Profit	7,483,909	3,117,539	-	-
	----------------	----------------	----------------	----------------
PROFIT/(LOSS) FROM OPERATIONS	1,853,775	1,310,175	1,236,976	429,261
	----------------	----------------	----------------	----------------
PROFIT/(LOSS) BEFORE TAXATION	1,853,775	1,310,175	1,236,976	429,261
	----------------	----------------	----------------	----------------
PROFIT/(LOSS) AFTER TAXATION	1,853,775	1,310,175	1,236,976	429,261
Minority interests	-	-	<254,998>	-
	----------------	----------------	----------------	----------------
RETAINED PROFIT/(LOSS) BROUGHT FORWARD
As previously reported	1,930,670	620,495	15,141	-
	----------------	----------------	----------------	----------------
As restated	1,930,670	620,495	15,141	-
	----------------	----------------	----------------	----------------
PROFIT AVAILABLE FOR APPROPRIATIONS	3,784,445	1,930,670	997,119	429,261
TRANSFER TO RESERVES - General	-	-	<192>	-
	----------------	----------------	----------------	----------------
RETAINED PROFIT/(LOSS) CARRIED FORWARD	3,784,445	1,930,670	996,927	429,261
	=============	=============	=============	=============
INTEREST EXPENSE (as per notes to P&L)
Others	266,910	411,958	929,322	-
	----------------	----------------	----------------
	266,910	411,958	929,322

BALANCE SHEET

HCL INSYS PTE. LTD.

ASSETS EMPLOYED:
FIXED ASSETS	439,087	297,671	287,104	148,856
LONG TERM INVESTMENTS/OTHER ASSETS
Subsidiary companies	7,325,669	4,336,827	-	-
Others	-	-	1,211,380	-
	----------------	----------------	----------------	----------------
TOTAL LONG TERM INVESTMENTS/OTHER ASSETS	7,325,669	4,336,827	1,211,380	-
INTANGIBLE ASSETS
Goodwill on consolidation	-	-	3,368,950	-
Others	185,617	-	-	-
	----------------	----------------	----------------	----------------
TOTAL INTANGIBLE ASSETS	185,617	-	3,368,950	-
	----------------	----------------	----------------	----------------
TOTAL LONG TERM ASSETS	7,950,373	4,634,498	4,867,434	148,856
CURRENT ASSETS
Stocks	272,169	5,778	613,373	346,754
Trade debtors	15,650,207	7,905,538	22,440,861	868,343
Other debtors, deposits & prepayments	309,254	87,186	-	212,057
Short term deposits	583,948	300,000	-	-
Amount due from subsidiary companies	296,850	5,872	-	-
Amount due from related companies	24,855	4,243	-	-
Cash & bank balances	2,797,949	7,356,917	2,284,229	1,046,807
	----------------	----------------	----------------	----------------
TOTAL CURRENT ASSETS	19,935,232	15,665,534	25,338,463	2,473,961
	----------------	----------------	----------------	----------------
TOTAL ASSET	27,885,605	20,300,032	30,205,897	2,622,817
	=============	=============	=============	=============
CURRENT LIABILITIES
Trade creditors	9,097,906	13,234,309	15,743,040	1,975,247
Other creditors & accruals	887,932	183,641	-	74,985
Bank overdraft	-	-	6,705,502	-
Short term borrowings/Term loans	-	-	24,651	-
Deposits from customers	5,443,943	-	-	-
Amounts owing to related companies	400,000	480,033	-	-
	----------------	----------------	----------------	----------------
TOTAL CURRENT LIABILITIES	15,829,781	13,897,983	22,473,193	2,050,232
	----------------	----------------	----------------	----------------
NET CURRENT ASSETS/(LIABILITIES)	4,105,451	1,767,551	2,865,270	423,729
	----------------	----------------	----------------	----------------
TOTAL NET ASSETS	12,055,824	6,402,049	7,732,704	572,585
	=============	=============	=============	=============
SHARE CAPITAL
Ordinary share capital	8,271,379	4,471,379	4,471,379	143,324
	----------------	----------------	----------------	----------------
TOTAL SHARE CAPITAL	8,271,379	4,471,379	4,471,379	143,324
RESERVES
Exchange equalisation/fluctuation reserve	-	-	<300>	-
Retained profit/(loss) carried forward	3,784,445	1,930,670	996,927	429,261
	----------------	----------------	----------------	----------------
TOTAL RESERVES	3,784,445	1,930,670	996,627	429,261
MINORITY INTEREST	-	-	899,921	-
	----------------	----------------	----------------	----------------
SHAREHOLDERS' FUNDS/EQUITY	12,055,824	6,402,049	6,367,927	572,585
LONG TERM LIABILITIES
Long term loans	-	-	900,656	-
Other long term borrowings	-	-	65,202	-
Others	-	-	398,919	-
	----------------	----------------	----------------	----------------
TOTAL LONG TERM LIABILITIES	-	-	1,364,777	-
	----------------	----------------	----------------	----------------
	12,055,824	6,402,049	7,732,704	572,585
	=============	=============	=============	=============

FINANCIAL RATIO

HCL INSYS PTE. LTD.

TYPES OF FUNDS
Cash	3,381,897	7,656,917	2,284,229	1,046,807
Net Liquid Funds	3,381,897	7,656,917	<4,421,273>	1,046,807
Net Liquid Assets	3,833,282	1,761,773	2,251,897	76,975
Net Current Assets/(Liabilities)	4,105,451	1,767,551	2,865,270	423,729
Net Tangible Assets	11,870,207	6,402,049	4,363,754	572,585
Net Monetary Assets	3,833,282	1,761,773	887,120	76,975
BALANCE SHEET ITEMS
Total Borrowings	0	0	7,696,011	0
Total Liabilities	15,829,781	13,897,983	23,837,970	2,050,232
Total Assets	27,885,605	20,300,032	30,205,897	2,622,817
Net Assets	12,055,824	6,402,049	7,732,704	572,585
Net Assets Backing	12,055,824	6,402,049	6,367,927	572,585
Shareholders' Funds	12,055,824	6,402,049	6,367,927	572,585
Total Share Capital	8,271,379	4,471,379	4,471,379	143,324
Total Reserves	3,784,445	1,930,670	996,627	429,261
LIQUIDITY (Times)
Cash Ratio	0.21	0.55	0.10	0.51
Liquid Ratio	1.24	1.13	1.10	1.04
Current Ratio	1.26	1.13	1.13	1.21
WORKING CAPITAL CONTROL (Days)
Stock Ratio	1	0	3	27
Debtors Ratio	71	35	116	67
Creditors Ratio	45	61	81	154
SOLVENCY RATIOS (Times)
Gearing Ratio	0.00	0.00	1.21	0.00
Liabilities Ratio	1.31	2.17	3.74	3.58
Times Interest Earned Ratio	7.95	4.18	2.33	0.00
Assets Backing Ratio	1.44	1.43	0.98	4.00
PERFORMANCE RATIO (%)
Operating Profit Margin	2.29	1.60	1.75	9.14
Net Profit Margin	2.29	1.60	1.39	9.14
Return On Net Assets	17.59	26.90	28.01	74.97
Return On Capital Employed	17.32	26.90	11.58	74.97
Return On Shareholders' Funds/Equity	15.38	20.46	15.42	74.97
Dividend Pay Out Ratio (Times)	0.00	0.00	0.00	0.00
NOTES TO ACCOUNTS
Contingent Liabilities	0	0	0	0

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.62.33
UK Pound	1	Rs.102.18
Euro	1	Rs.84.68

INFORMATION DETAILS

Report Prepared by :

NIS

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	--

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%)

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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.