MIRA INFORM REPORT

Report Date :

04.02.2013

IDENTIFICATION DETAILS

Name :	HYDROFLEX PIPE PRIVATE LIMITED
Registered Office :	4, Suflam Estate, Near Avtar Hotel, Isanpur Highway, Isanpur, Ahmedabad-382443, Gujarat
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	02.07.2004
Com. Reg. No.:	04-044405
Capital Investment / Paid-up Capital :	Rs. 0.100 million
CIN No.: [Company Identification No.]	U31909GJ2004PTC044405
TAN No.: [Tax Deduction & Collection Account No.]	AHMH01566F
PAN No.: [Permanent Account No.]	AABCH4397M
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Stainless Steel Metallic Corrugated Flexible Hoses.
No. of Employees :	40 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (32)

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

Maximum Credit Limit :	USD 5000
Status :	Moderate
Payment Behaviour :	Slow but Correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. The company has been successful in wipping off the accumulated losses of the previous year. The financial position of the company is improving. 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 – June 30, 2012

Country Name	Previous Rating (31.03.2012)	Current Rating (30.06.2012)
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

India is developing into an open-market economy, yet traces of its past autarkic policies remain. Economic liberalization, including industrial deregulation, privatization of state-owned enterprises, and reduced controls on foreign trade and investment, began in the early 1990s and has served to accelerate the country's growth, which has averaged more than 7% per year since 1997. India's diverse economy encompasses traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. Slightly more than half of the work force is in agriculture, but services are the major source of economic growth, accounting for more than half of India's output, with only one-third of its labor force. India has capitalized on its large educated English-speaking population to become a major exporter of information technology services and software workers. In 2010, the Indian economy rebounded robustly from the global financial crisis - in large part because of strong domestic demand - and growth exceeded 8% year-on-year in real terms. However, India's economic growth in 2011 slowed because of persistently high inflation and interest rates and little progress on economic reforms. High international crude prices have exacerbated the government's fuel subsidy expenditures contributing to a higher fiscal deficit, and a worsening current account deficit. Little economic reform took place in 2011 largely due to corruption scandals that have slowed legislative work. India's medium-term growth outlook is positive due to a young population and corresponding low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy. India has many long-term challenges that it has not yet fully addressed, including widespread poverty, inadequate physical and social infrastructure, limited non-agricultural employment opportunities, scarce access to quality basic and higher education, and accommodating rural-to-urban migration.

Source : CIA

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 (GENERAL DETAILS)

Name :	Mr. Dilipbhai Patel
Designation :	Director
Contact No.:	91-9327554566
Date :	23.01.2013

LOCATIONS

Registered Office :	4, Suflam Estate, Near Avtar Hotel, Isanpur Highway, Isanpur, Ahmedabad-382443, Gujarat, India
Tel. No.:	91-79-25716213 / 25716157 / 30954566
Mobile No.:	91-9879538580 / 9327435442 / 9327538580 (Mr. Ramesh Oza)
Fax No.:	91-79-25710302
E-Mail :	hydromate@icenet.ne hydromat2000@yahoo.co.in info@hydroflexpipes.com
Website :	www.hydroflexpipes.com
Location :	Owned
Factory :	Near Cargo Motors, National Highway No. 8, Jetalpur, Ahmedabad-382426, Gujarat, India
Tel. No.:	91-79-2718-233133
Fax No.:	91-79-2718-233133
Location :	Owned

DIRECTORS

As on 29.09.2012

Name :	Mr. Dilipbhai Rancchodbhai Patel
Designation :	Director
Address :	18/B, Gopalkunj Society Rambaug, Maninagar, Ahmedabad-380008, Gujarat, India
Date of Birth/Age :	30.04.1945
Date of Appointment :	02.07.2004
DIN No.:	00635666
Name :	Mr. Rameshbhai Vishnuprasad Oza
Designation :	Director
Address :	SA-5, Ashapuri Society, Near Police Station, Ghodasar, Ahmedabad, Gujarat, India
Date of Birth/Age :	09.08.1943
Date of Appointment :	02.07.2004
DIN No.:	00635803
Name :	Mr. Bhupendra Ambalal Raghavji
Designation :	Director
Address :	34, Patel Society, Rambaug, Maninagar, Ahmedabad-380008, Gujarat, India
Date of Birth/Age :	03.09.1949
Date of Appointment :	02.07.2004
DIN No.:	00635707
Name :	Mr. Nitinbhai Chimanlal Desai
Designation :	Director
Address :	4, Pradip Shops and Flats, Narayan Nagar, Paldi, Ahmedabad-380007, Gujarat, India
Date of Birth/Age :	16.02.1944
Date of Appointment :	02.07.2004
DIN No.:	00635745
Name :	Mr. Fenilbhai Mahendrabhai Patel
Designation :	Director
Address :	26/C, Ishwamagar Society, Isanpur Road, Maninagar, Ahmedabad, Gujarat, India
Date of Birth/Age :	14.04.1974
Date of Appointment :	02.07.2004
DIN No.:	00635839
Name :	Mr. Amitbhai Dilipbhai Patel
Designation :	Director
Address :	18/B, Gopalkunj Society, Bhairavnath Road, Rambaug, Ahmedabad, Gujarat, India
Date of Birth/Age :	31.08.1969
Date of Appointment :	02.07.2004
DIN No.:	00636095
Name :	Mr. Tapan Rameshbhai Oza
Designation :	Director
Address :	SA-5, Ashapuri Society Near Police Station, Ghodasar, Ahmedabad, Gujarat, India
Date of Birth/Age :	05.10.1978
Date of Appointment :	02.07.2004
DIN No.:	00635942
Name :	Mr. Ritesh Nitinbhai Desai
Designation :	Director
Address :	4, Pradip Shops and Flats, Narayanagar Road Paldi, Ahmedabad, Gujarat, India
Date of Birth/Age :	12.03.1974
Date of Appointment :	02.07.2004
DIN No.:	00635911
Name :	Mr. Kinchit Bhupendrabhai Patel
Designation :	Director
Address :	34, Patel Society, Jawahar Chowk, Maninagar, Ahmedabad-380008, Gujarat, India
Date of Birth/Age :	23.03.1980
Date of Appointment :	02.07.2004
DIN No.:	00635962
Name :	Mr. Chinmay Mahendrabhai Patel
Designation :	Director
Address :	26/C, Ishwamagar Society, Isanpur Road, Maninagar, Ahmedabad, Gujarat, India
Date of Birth/Age :	01.11.1979
Date of Appointment :	02.07.2004
DIN No.:	00636024

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.2012

Names of Shareholders	No. of Shares
Dilipbhai Rancchodbhai Patel	1000
Rameshbhai Vishnuprasad Oza	1000
Bhupendrabhai Ambalal Raghavji	1000
Nitinbhai Chimanlal Desai	1000
Fenilbhai Mahendrabhai Patel	1000
Amitbhai Dilipbhai Patel	1000
Tapan Rameshbhai Oza	1000
Ritesh Nitinbhai Desai	1000
Kinchit Bhupendrabhai Patel	1000
Chinmay Mahendrabhai Patel	1000
Total	10000

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Exporter of Stainless Steel Metallic Corrugated Flexible Hoses.
Products :	· Braided Hydraulic Hoses · Multi Spiral Hydraulic Hoses · Braided Industrial Hoses · Steam Hoses · Ptfe Flexible Hoses · Ptfe Convoluted Flexible Hoses · Camlock Coupling · Quick Release Coupling · Thermoplast High Pressure Hoses · Low Pressure Flexible Rubber Hoses · Hoses For Fertilizers And Chemical Plants · Industrial Rubber Hoses · Standard Hose Fitting With Thread Specifications · Coupling Ends
Exports :
Products :	Stainless Steel Metallic Corrugated Flexible Hoses
Countries :	· UAE · US · Singapore · Indonesia
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

PRODUCTION STATUS AS ON 31.03.2011

Particulars	Unit	31.03.2011
Installed Capacity	MT	80000

GENERAL INFORMATION

Customers :

Manufacturers

No. of Employees :

40 (Approximately)

Bankers :

Union Bank of India, Maninagar, Ahmedabad, Gujarat, India

Facilities :

Secured Loan	As on 31.03.2012 (Rs. in Millions)	As on 31.03.2011 (Rs. in Millions)
Secured against FD OD- Union Bank of India	6.351	5.677
Unsecured Loan from directors - share holders and their	27.316	21.050
Total	33.667	26.727

Banking Relations :	--
Auditors :
Name :	Himanshu Patel and Company Chartered Accountants
Address :	305, Riddhi Complex, Opposite Loha Bhavan, Ashram Road, Ahmedabad-380009, Gujarat, India
PAN No.:	ACNPP2354D

CAPITAL STRUCTURE

As on 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
10000	Equity Shares	Rs.10/- each	Rs. 0.100 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
10000	Equity Shares	Rs.10/- each	Rs. 0.100 Million

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2012	31.03.2011	31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		0.100	0.100	0.100
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		1.221	(0.666)	0.000
4] (Accumulated Losses)		0.000	0.000	(0.662)
NETWORTH		1.321	(0.566)	(0.562)
LOAN FUNDS
1] Secured Loans		33.667	26.727	2.220
2] Unsecured Loans		0.000	0.000	18.603
TOTAL BORROWING		33.667	26.727	20.823
DEFERRED TAX LIABILITIES		0.904	1.077	0.893
TOTAL		35.892	27.238	21.154
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		12.971	7.911	8.548
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.532	0.211	0.000
DEFERRED TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	10.030	7.604	6.230
	Sundry Debtors	15.020	11.414	7.163
	Cash & Bank Balances	7.067	7.576	0.932
	Other Current Assets	0.041	0.077	0.000
	Loans & Advances	0.837	1.429	2.939
Total Current Assets		32.995	28.100	17.264
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	6.227	7.404	4.143
	Other Current Liabilities	1.756	0.835	0.468
	Provisions	2.623	0.745	0.047
Total Current Liabilities		10.606	8.984	4.658
Net Current Assets		22.389	19.116	12.606
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		35.892	27.238	21.154

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	81.692	57.127	34.103
		Other Income	0.560	0.471	NA
		TOTAL	82.252	57.598	NA
Less	EXPENSES
		Office Expenses	78.486	56.152	NA
		Administrative Expenses
		Advertising Expenses
		TOTAL	78.486	56.152	NA
	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		3.766	1.446	2.044
Less/ Add	DEPRECIATION/ AMORTISATION		1.639	1.267	1.234
	PROFIT/(LOSS) BEFORE TAX		2.127	0.179	0.182
Less	TAX		0.240	0.183	0.992
	PROFIT/(LOSS) AFTER TAX		1.887	(0.004)	0.071
	BALANCE CARRIED TO THE B/S		1.887	(0.004)	0.921
	Earnings/(Loss) Per Share (Rs.)		18.87	(0.45)	92.09

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	2.29	(0.001)	NA
Net Profit Margin (PBT/Sales)	(%)	2.60	0.31	0.53
Return on Total Assets (PBT/Total Assets}	(%)	4.63	0.50	0.71
Return on Investment (ROI) (PBT/Networth)		1.61	(0.32)	(0.32)
Debt Equity Ratio (Total Debt/Networth)		25.49	(47.22)	(37.05)
Current Ratio (Current Asset/Current Liability)		3.11	3.13	3.71

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 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	Yes
20]	Export / Import details (if applicable)	Yes
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

OPERATIONS REVIEW

This is the 8^th year of company achieved turnover of Rs. 81.692 millions. Hence performance of the company is very satisfactory and increase. This growth is further seen in future. However to strengthen the company position your directors do not recommend any dividend.

FIXED ASSETS

· Land

· Building

· Plant and Machinery

· Furniture

· Computer

· Other Equipments

· Electrical Fitting

· Vehicles

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.53.32
UK Pound	1	Rs.84.60
Euro	1	Rs.72.63

INFORMATION DETAILS

Information Gathered by :	PLK
Report Prepared by :	MRI

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	4
--RESERVES	1~10	5
--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	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		32

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.