MIRA INFORM REPORT

Report Date :

13.02.2013

IDENTIFICATION DETAILS

Name :	VIKARSH STAMPINGS INDIA PRIVATE LIMITED
Registered Office :	572, Shaniwar Peth, Office No. 2, Uttekar Heights, Opposite Tilak Wada, Kelkar Road, Pune-411030, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	25.08.2003
Com. Reg. No.:	11-018260
Capital Investment / Paid-up Capital :	Rs.120.000 millions
CIN No.: [Company Identification No.]	U29230PN2003PTC018260
PAN No.: [Permanent Account No.]	AABCV7049J
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Lamination Cores for Transformers.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (34)

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

Maximum Credit Limit :	USD 710000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject was established in 2000 as a partnership concern and during 2003 it got converted as a private limited. It is an established company having a moderate track record. There appears huge increase in the external borrowings during 2012. However, trade relations are reported as fair. Business is active. Payment terms are 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

EXTERNAL AGENCY RATING

Rating Agency Name	ICRA
Rating	BB- (Cash Credit)
Rating Explanation	Moderate risk of default.
Date	March, 2012

Rating Agency Name	ICRA
Rating	A4 (Short term non fund based facilities)
Rating Explanation	Minimal degree of safety and very high credit risk.
Date	March, 2012

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 :	572, Shaniwar Peth, Office No. 2, Uttekar Heights, Opposite Tilak Wada, Kelkar Road, Pune-411030, Maharashtra, India
Tel. No.:	91-20-24452797 / 24468999
Mobile No.:	91-9371011879 (Mr. Laxmikant)
Fax No.:	91-20-24471685
E-Mail :	vikarsh@vsnl.net mktg@vikarsh.com vikarsh@yahoo.com mwani@vikarsh.com
Website :	http://www.vikarsh.com
Location :	Owned
Factory:	Gar No.269/7, A/P. Dhangarwadi, N. H. No. 4, Tal. Khandala, District Satara – 412801, Maharashtra, India
Tel. No.:	91-2169-245464

DIRECTORS

As on 29.09.2012

Name :	Mr. Laxmikant Nathuram Trivedi
Designation :	Whole – time Director
Address :	Flat No. 203, Sainath Socity, 524 Rasta Peth, Pune – 411011, Maharashtra, India
Date of Birth/Age :	17.08.1975
Date of Appointment :	25.08.2003
PAN No.:	AAHPT7484N
DIN No.:	00217889
Name :	Mr. Milind Ramesh Wani
Designation :	Whole – time Director
Address :	382, Shaniwar Peth, Pate Heights, Flat No. 67, Opposite Kanya Shala, Pune – 411030, India
Date of Birth/Age :	24.09.1973
Date of Appointment :	25.08.2003
PAN No.:	AABPW7261Q
DIN No.:	00431167
Name :	Mr. Sameer Sambhaji Shine
Designation :	Whole – time Director
Address :	175, Kasba Peth, Pune – 411011, Maharashtra, India
Date of Birth/Age :	07.03.1975
Date of Appointment :	25.08.2003
PAN No.:	ACHPS9355F
DIN No.:	00431193

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.2012

Names of Shareholders	No. of Shares
Milind Ramesh Wani	588668
Sameer Sambhaji Shinde	588664
Laxmikant Nathuram Trivedi	648668
Ramesh Shankar Wani	78000
Sambhaji Bapurao Shinde	78000
Sheetal Laxmikant Trivedi	18000
Laxmikant Nathuram Trivedi jointly with Sheetal Laxmikant Trivedi	3330000
Sameer Sambhaji Shinde jointly with Neeta Sameer Shinde	3330000
Milimd Ramesh Wani jointly with Bharati Milind Wani	3330000
Stanley Lawrence D’Costa Jointly with Hilda Stanley D’Costa	10000
Total	12000000

Equity Share Break up (Percentage of Total Equity)

As on 29.09.2012

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Lamination Cores for Transformers.

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· HDFC Bank Limited, HDFC Bank House Senapati Bapat Marg, Lower Parel (West), Mumbai – 400013, Maharashtra, India

Facilities :

Secured Loan	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
Term loans from banks	4.441	8.557
Deferred payment for acquisition of fixed assets	0.000	24.483
Loans repayable on demand	46.901	45.757
Total	51.342	78.797

Banking Relations :	--
Auditors :
Name :	Vijay P. Mayabhate Chartered Accountant
Address :	418, Narayan Peth, Nandalal Society, Pune – 411030, Maharashtra, India
Tel. No.:	91-20-24451043/25446161
E-Mail :	vmayabhate@hotmail.com
PAN.:	ABNPM9487F

CAPITAL STRUCTURE

As on 31.03.2012

No. of Shares	Type	Value	Amount
12000000	Equity Shares	Rs.10/- each	Rs.120.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
12000000	Equity Shares	Rs.10/- each	Rs.120.000 Millions

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		120.000	5.000	5.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		58.268	57.655	50.516
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		178.268	62.655	55.516
LOAN FUNDS
1] Secured Loans		51.342	78.797	81.751
2] Unsecured Loans		72.096	6.718	128.871
TOTAL BORROWING		123.438	85.515	210.622
DEFERRED TAX LIABILITIES		6.768	7.982	0.000
TOTAL		308.474	156.152	266.138
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		133.986	111.362	102.250
Capital work-in-progress		0.084	0.000	0.000
INVESTMENT		0.250	0.250	0.250
DEFERREX TAX ASSETS		0.000	0.000	1.484
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	178.223	185.304	115.353
	Sundry Debtors	244.245	202.148	193.169
	Cash & Bank Balances	48.393	34.734	29.770
	Other Current Assets	6.054	1.207	1.697
	Loans & Advances	62.874	64.125	49.584
Total Current Assets		539.789	487.518	389.573
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	334.765	301.008	209.028
	Other Current Liabilities	26.649	135.833	4.435
	Provisions	4.221	6.137	13.969
Total Current Liabilities		365.635	442.978	227.432
Net Current Assets		174.154	44.540	162.141
MISCELLANEOUS EXPENSES		0.000	0.000	0.013
TOTAL		308.474	156.152	266.138

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	564.547	646.292	609.667
		Other Income	NA	5.826	5.454
		TOTAL	NA	652.118	615.121
Less	EXPENSES
		Office Expenses
		Administrative Expenses	NA	627.222	590.846
		Advertising Expenses
		TOTAL	NA	627.222	590.846
	PROFIT BEFORE TAX		22.382	24.896	24.275
Less	TAX		6.086	8.778	5.730
	PROFIT AFTER TAX		16.296	16.118	18.545
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	NA	15.558	4.483
	TOTAL EARNINGS		NA	15.558	4.483
	IMPORTS
		Raw Materials	209.020	356.268	NA
		Stores & Spares	0.000	0.947	NA
	TOTAL IMPORTS		209.020	357.215	NA
	Earnings Per Share (Rs.)		1.36	32.24	37.00

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	NA	NA	3.01
Net Profit Margin (PBT/Sales)	(%)	3.96	3.85	3.98
Return on Total Assets (PBT/Total Assets}	(%)	3.32	4.16	4.94
Return on Investment (ROI) (PBT/Networth)		0.13	0.40	0.44
Debt Equity Ratio (Total Debt/Networth)		0.69	1.36	3.79
Current Ratio (Current Asset/Current Liability)		1.48	1.10	1.71

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	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	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

OPERATIONS:

The Company has made revenue from operations of Rs.564.547 millions in the year under review and earned profit (before tax) of Rs.22.382 millions

CORPORATE INFORMATION

Subject is a company incorporated in India as per the provisions of Companies Act 1956 having CIN U 29230 PN 2003 PTC 018260. It has its registered office at 418, Narayan Peth, Nandalal Co.op. Housing Society, Pune 411030 and factory at Gat No.269/7, Village Dhangarwadi, Taluka Khandala, Dist.Satara. The main object of the company is to design, invent, develop, manufacture, buy, sell, import, export, distribute and deal in stampings required in electrical and other industries, including toroidal cores.

UNSECURED LOAN

Unsecured Loan	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. In Millions)
Loans and advances from related parties	72.096	6.718
Total	72.096	6.718

FIXED ASSETS

· Land

· Buildings

· Plant and Equipment

· Furniture and Fixtures

· 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.53.96
UK Pound	1	Rs.84.49
Euro	1	Rs.72.23

INFORMATION DETAILS

Report Prepared by :

MRI

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	4
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		34

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.