MIRA INFORM REPORT

Report Date :

14.12.2013

IDENTIFICATION DETAILS

Name :	SRI GURU EXTRACTIONS PRIVATE LIMITED
Registered Office :	5 K K Nagar ITI West, G N Mills Post, Coimbatore - 641029, Tamilnadu
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	04.09.2007
Com. Reg. No.:	18-013916
Capital Investment / Paid-up Capital :	Rs.1.000 Million
CIN No.: [Company Identification No.]	U21093TZ2007PTC013916
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Supplier of wax, kraft paper, plain kraft paper, ribbed kraft paper, industrial kraft paper.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (30)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 12000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. There appears some dip in the profitability of the company general financial position of the company also seems to be below average. However, trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealings with some caution.

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

The current downturn provides an opportunity to push ahead with reforms to accelerate growth, says the latest India Development Update report released by the World Bank. The report says that the adverse effects of rupee depreciation are likely to be offset by the gains in the exports performance due to improved external competitiveness. Since May this year, the local currency has depreciated substantially and fell to a record level of Rs 68.85 to a dollar on August, 28.

A stagflation like situation appears to have arisen as inflation jumped to an eight month high of 6.46 % for the month of September. It is up from 6.10 % in August. Growth continues to be muted with factory output plunging to 0.6  % in August. Onion prices have risen nearly 300 % from last September. Vegetables cost nearly 90 % more than they did last year. Wake up to the economic contribution of slum dwellers. They contribute more than 7.5 % to the country’s gross domestic product, according to a recent study conducted in 50 top cities.

136000 estimated number of jobs created during the second quarter of the current financial year. 50000 estimated number of additional jobs in the field of corporate social responsibility in the coming years.

The International Finance Corporation expects to come out with its rupee linked bonds issue before the end of 2013 as a part of its plan to raise $ 1 billion. The Apple iPhone 5c (Rs 41900 for 16 GB variant) and 5s (Rs 53500 for 16GB variant) has been launched in India from 1^st November.

The Land Acquisition Act to provide just and fair compensation to farmers will come into force from January 1 next year, said Rural Development Minister Jairam Ramesh. The Act replaces a 119 year old registration. The Securities and Exchange Board of India has approved the trading of currency futures on the Bombay Stock Exchange. The exchange plans to launch the currency futures platform with advanced trading technology by the end of November.

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 :	5 K K Nagar ITI West, G N Mills Post, Coimbatore - 641029, Tamilnadu, India
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	meenachi_s@yahoo.com
Factory :	SF No 84/3, Mulli Seval Village, Sattur Taluk, Virudhunagar, Tamilnadu, India

DIRECTORS

As on: 20.09.2013

Name :	Ms. Raadhakrishnan Saraswathi
Designation :	Managing director
Address :	5 K K Nagar ITI West, G N Mills Post, Coimbatore - 641029, Tamilnadu, India
Date of Birth/Age :	25.05.1966
Date of Appointment :	28.11.2009
DIN No.:	01715342
Name :	Mr. Subbaraj Raadhakrishnan
Designation :	Whole-time director
Address :	5 K K Nagar ITI West, G N Mills Post, Coimbatore - 641029, Tamilnadu, India
Date of Birth/Age :	05.06.1966
Date of Appointment :	28.11.2009
DIN No.:	01685068
Name :	Mr. Rajaram
Designation :	Director
Address :	2/51, South Street, Kurinchakulam Tiruvengadam, Tirunelveli – 627719, Tamilnadu, India
Date of Birth/Age :	30.05.1966
Date of Appointment :	04.09.2007
DIN No.:	01739113
Name :	Mr. Perumalsamy Jagatheesan
Designation :	Director
Address :	G-6, Seeranaickenpalayam Housing Unit Owners Association, Near S. B. Institute, Coimbatore – 641007, Tamilnadu, India
Date of Birth/Age :	03.06.1969
Date of Appointment :	04.09.2007
DIN No.:	01739176

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on: 20.09.2013

Names of Shareholders	No. of Shares
Raadhakrishnan Saraswathi	3334
Rajaram	3333
Perumalsamy Jagatheesan	3333
Total	10000

Equity Share Break up (Percentage of Total Equity)

As on: 20.09.2013

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Supplier of wax, kraft paper, plain kraft paper, ribbed kraft paper, industrial kraft paper.

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

State Bank of Travancore

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2013	As on 31.03.2012
LONG TERM BORROWINGS
Term Loans State Bank of Travancore	0.117	1.841
SHORT TERM BORROWINGS
Working Capital Facility from Banks	3.072	2.668
Total	3.189	4.509
LONG TERM BORROWINGS Term loan from State Bank of Travancore carrying interest at 14.75% is secured by a charge on the land and building and Machineries of Sri Guru Extractions P Limited and is also guaranteed by the Directors. The loan is repayable in monthly installments of Rs.1.415 Millions starting from SHORT TERM BORROWINGS Open Cash Credit and Packing Credit Loan from State Bank of Travancore, Kovilpatti Branch carries interest at 14.25% per annum. The loan is primarily secured by hypothecation of inventories and book debts of the division and is also guaranteed by the Directors.

Banking Relations :	--
Auditors :
Name :	Meenachisundaram P Chartered Accountants
Address :	43 DPF Street, Pappanaickenpalayam, Coimbatore - 641037, Tamilnadu, India
PAN No.:	AERPM3686B

CAPITAL STRUCTURE

As on: 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
10000	Equity Shares	Rs.100/- each	Rs.1.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
10000	Equity Shares	Rs.100/- each	Rs.1.000 Million

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	1.000	1.000	1.000
(b) Reserves & Surplus	2.247	1.268	0.096
(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)	3.247	2.268	1.096
(3) Non-Current Liabilities
(a) long-term borrowings	0.117	1.841	3.555
(b) Deferred tax liabilities (Net)	0.000	0.000	0.000
(c) Other long term liabilities	9.163	11.959	14.882
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	9.280	13.800	18.437
(4) Current Liabilities
(a) Short term borrowings	3.072	2.668	1.470
(b) Trade payables	3.276	2.492	0.661
(c) Other current liabilities	4.879	4.733	2.456
(d) Short-term provisions	0.825	0.425	0.150
Total Current Liabilities (4)	12.052	10.318	4.737
TOTAL	24.579	26.386	24.270
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	12.648	12.916	14.615
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.000	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	0.587	0.587	0.587
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	13.235	13.503	15.202
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	4.155	9.102	6.050
(c) Trade receivables	6.473	2.613	2.749
(d) Cash and cash equivalents	0.149	0.713	(0.058)
(e) Short-term loans and advances	0.567	0.446	0.309
(f) Other current assets	0.000	0.009	0.018
Total Current Assets	11.344	12.883	9.068
TOTAL	24.579	26.386	24.270

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income	49.524	49.546	37.089
		Other Income	0.360	0.259	0.262
		TOTAL (A)	49.884	49.805	37.351
Less	EXPENSES
		Cost of material consumed	29.475	32.251	22.772
		Changes in inventories of finished goods work in progress	1.883	(0.552)	(0.536)
		Employee benefit expenses	8.248	8.454	6.305
		Other Expenses	6.088	5.044	4.769
		TOTAL (B)	45.694	45.197	33.310
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		4.190	4.608	4.041
Less	FINANCIAL EXPENSES (D)		0.827	1.191	1.073
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		3.363	3.417	2.968
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1.984	1.970	2.217
	PROFIT BEFORE TAX (E-F) (G)		1.379	1.447	0.751
Less	TAX (H)		0.400	0.275	0.150
	PROFIT AFTER TAX (G-H) (I)		0.979	1.172	0.601
	IMPORTS
		Raw Materials	13.829	20.868	15.044
	TOTAL IMPORTS		13.829	20.868	15.044
	Earnings Per Share (Rs.)		97.92	117.21	60.10

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	1.96	2.35	1.61
Net Profit Margin (PBT/Sales)	(%)	2.78	2.92	2.02
Return on Total Assets (PBT/Total Assets}	(%)	5.61	5.48	3.09
Return on Investment (ROI) (PBT/Networth)		0.42	0.64	0.69
Debt Equity Ratio (Total Debt /Networth)		0.98	1.99	4.58
Current Ratio (Current Asset/Current Liability)		0.94	1.25	1.91

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	No
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

INDEX OF CHARGES

S. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10107938	14/06/2013 *	16,500,000.00	STATE BANK OF TRAVANCORE	185 THANGAM COMPLEX, MAIN ROAD, KOVILPATTI, Tamil  Nadu - 628501, INDIA	B78567799

* Date of charge modification

FIXED ASSETS:

· Land

· Building

· Borewell

· Electric Fittings

· Furniture and Fixtures

· Generator

· Plant and Machinery

· Vehicles

· Computer

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 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.62.13
UK Pound	1	Rs.101.53
Euro	1	Rs.85.41

INFORMATION DETAILS

Report Prepared by :

RAJ

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--CREDIT LINES	1~10	3
--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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		30

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.