MIRA INFORM REPORT

Report Date :

15.02.2013

IDENTIFICATION DETAILS

Name :	LAXMI BOARD AND PAPER MILLS LIMITED
Registered Office :	Plot No.2, MIDC Area, Kalyan, Bhiwandi Road, Saravali, Kalyan, Thane-421311, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	25.09.1969
Com. Reg. No.:	11-014398
Capital Investment / Paid-up Capital :	Rs.36.000 Millions
CIN No.: [Company Identification No.]	U99999MH1969PLC014398
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer and Importer of Kraft Paper, Kraft and Test.
No. of Employees :	500 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (51)

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

Maximum Credit Limit :	USD 1200000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established company having fine track. General financial position is good. Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitments. The company can be considered normal 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 – 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

INFORMATION DECLINED BY

Name :	Mr. Hitesh Patel
Designation :	Executive Legal Officer
Contact No.:	91-2522-280641

LOCATIONS

Registered Office / Factory :	Plot No.2, MIDC Area, Kalyan, Bhiwandi Road, Saravali, Kalyan, Thane-421311, Maharashtra, India
Tel. No.:	91-2522-280641
Fax No.:	91-2522-280643
E-Mail :	ibpmill@gmail.com
Website :	www.laxmipaper.com
Area :	10000 sq. ft. (Approximately)
Location :	Owned
Correspondence Address :	Ground Floor, Samruddhi Apartments, Road #38, Station Road, Bandra (West), Mumbai-400050, Maharashtra, India
Tel. No.:	91-22-26552951 / 26552952 / 26552953
Fax No.:	91-22-26552956

DIRECTORS

As on 28.09.2011

Name :

Mr. Dineshchandra Chandulal

Designation :

Chairman

Address :

Aurum Behind Tata Institute of Social Science, Deonar, Sion Trombay Road, Mumbai-400088, Maharashtra, India

Date of Birth/Age :

16.10.1938

Date of Appointment :

01.12.2010

DIN No :

00167581

Other Directorship

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U99999MH1969PLC014398	LAXMI BOARD AND PAPER MILLS LIMITED	Managing director	01-12-10	12-02-73	-	Active	NO
2	L85110KA1959PLC001352	THE SOUTH INDIA PAPER MILLS LIMITED	Director	30-08-75	30-08-75	-	Active	NO
3	U21099MH1981PTC023970	INDO AFRIQUE PAPER MILLS PRIVATE LIMITED	Director	14-12-93	14-12-93	30-09-11	Active	NO

Name :

Mr. Manish Mahendra Patel

Designation :

Director

Address :

12,13 Cross Road, V. V. Mohalla, Near Water Tank, Mysore-570002, India

Date of Birth/Age :

18.05.1959

Date of Appointment :

26.03.1990

DIN No :

00128179

Other Directorship

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U99999MH1969PLC014398	LAXMI BOARD AND PAPER MILLS LIMITED	Director	26-03-90	26-03-90	-	Active	NO
2	L85110KA1959PLC001352	THE SOUTH INDIA PAPER MILLS LIMITED	Managing director	09-10-90	09-10-90	-	Active	NO
3	U85110KA1984PTC006140	BHADRA PACKAIDS PRIVATE LIMITED	Managing director	30-03-94	30-03-94	14-10-11	Active	NO
4	U21099MH1981PTC023970	INDO AFRIQUE PAPER MILLS PRIVATE LIMITED	Director	18-10-94	18-10-94	-	Active	NO
5	U02102KA1999PTC025847	SAI CARTON MANUFACTURING COMPANY PRIVATE LIMITED	Director	03-04-02	03-04-02	25-03-09	Active	NO
6	U17232TN1985PLC012126	GLOBAL WASTE RECYCLERS LIMITED	Director	28-09-12	28-09-12	-	Active	NO

Name :

Mr. Ajay Dinesh Patel

Designation :

Whole Time Director

Address :

Aurum, Behind Tata Institute of Social Science, Deonar, Sion Trombay Road, Mumbai-400088, Maharashtra, India

Date of Birth/Age :

10.12.1968

Date of Appointment :

01.07.2009

DIN No :

00466905

Other Directorship

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	L85110KA1959PLC001352	THE SOUTH INDIA PAPER MILLS LIMITED	Director	31-08-96	31-08-96	-	Active	NO
2	U74999MH2002NPL135009	KALYAN BHIWANDI INDUSTRIAL CETP	Director	26-02-02	26-02-02	-	Active	NO
3	U99999MH1969PLC014398	LAXMI BOARD AND PAPER MILLS LIMITED	Whole-time director	01-07-09	01-06-03	-	Active	NO
4	U85110KA1984PTC006140	BHADRA PACKAIDS PRIVATE LIMITED	Director	29-09-04	29-09-04	29-09-11	Active	NO
5	U21099MH1981PTC023970	INDO AFRIQUE PAPER MILLS PRIVATE LIMITED	Whole-time director	01-11-11	16-05-10	-	Active	NO

Name :

Mr. Rajesh Natvarlal Modi

Designation :

Whole Time Director

Address :

701, Neel Sagar, 23-B, Perry Cross Road, Bandra (West), Mumbai-400050, Maharashtra, India

Date of Birth/Age :

24.02.1954

Date of Appointment :

01.12.2010

DIN No :

00167599

Other Directorship

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U99999MH1969PLC014398	LAXMI BOARD AND PAPER MILLS LIMITED	Managing director	01-12-10	24-08-00	-	Active	NO
2	U21099MH1981PTC023970	INDO AFRIQUE PAPER MILLS PRIVATE LIMITED	Managing director	01-11-11	30-09-11	-	Active	NO

Name :

Mr. Harshad Natvarlal Modi

Designation :

Whole Time Director

Address :

201-B, Ruby Apartment, 7^th Road, J.V.P.D. Scheme, Juhu, Mumbai-400049, Maharashtra, India

Date of Birth/Age :

18.06.1952

Date of Appointment :

25.06.2004

DIN No :

00167613

Name :

Mr. Rachit Rajesh Modi

Designation :

Director

Address :

701, Neel Sagar, 23-B, Perry Cross Road, Bandra (West), Mumbai-400050, Maharashtra, India

Date of Birth/Age :

01.03.1986

Date of Appointment :

29.09.2010

DIN No :

02850945

Other Directorship

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U99999MH1969PLC014398	LAXMI BOARD AND PAPER MILLS LIMITED	Director	29-09-10	26-03-10	-	Active	NO
2	U21099MH1981PTC023970	INDO AFRIQUE PAPER MILLS PRIVATE LIMITED	Additional director	30-09-11	30-09-11	-	Active	NO

Name :

Mr. Jitendra Patel

Designation :

Director

Address :

70, Sopan Building Cooperative Housing Society, Ghorapuri, Pune-411013, Maharashtra, India

Date of Birth/Age :

02.05.1946

Date of Appointment :

25.06.2004

DIN No :

00248302

Other Directorship

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U21099MH1981PTC023970	INDO AFRIQUE PAPER MILLS PRIVATE LIMITED	Managing director	02-01-85	02-01-85	-	Active	NO
2	U99999MH1969PLC014398	LAXMI BOARD AND PAPER MILLS LIMITED	Director	25-06-04	25-06-04	-	Active	NO
3	L85110KA1959PLC001352	THE SOUTH INDIA PAPER MILLS LIMITED	Additional director	27-09-12	27-09-12	-	Active	NO

Name :

Mr. Kirit N. Modi

Designation :

Director

Address :

17^th Floor, B-Wing, EDEN Hall, Dr. A. B. Road, Worli, Mumbai-400018, Maharashtra, India

Date of Birth/Age :

09.03.1949

Date of Appointment :

27.05.2003

DIN No :

00167607

Other Directorship

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U21017MH1990PTC055275	FORTUNE PACKAGING PRIVATE LIMITED	Director	31-01-90	31-01-90	-	Active	NO
2	U25202MH1999PTC121847	CORRUKRAFT PACKAGING PRIVATE LIMITED	Director	10-08-00	10-08-00	-	Active	NO
3	U51909MH1985PTC036605	INDPRO DISTRIBUTORS (BOMBAY) PRIVATE LIMITED	Director	24-07-01	24-07-01	-	Active	NO
4	U21014MH2001PTC133116	HORIZON PACKS PRIVATE LIMITED	Director	20-08-01	20-08-01	-	Active	NO
5	U25209WB2002PTC095143	EVEREST LAMINATORS PRIVATE LIMITED	Director	01-12-02	01-12-02	-	Active	NO
6	U99999MH1969PLC014398	LAXMI BOARD AND PAPER MILLS LIMITED	Director	27-05-03	27-05-03	-	Active	NO
7	U21010MH1990PTC054917	PYRAMID PACKAGING PRIVATE LIMITED	Director	01-12-03	01-12-03	-	Active	NO
8	U21022HP2003PTC026023	COSY PACKAGERS PRIVATE LIMITED	Director	11-02-04	11-02-04	-	Active	NO
9	U21093HP2003PTC026412	MONAD TECHNOLOGIES PRIVATE LIMITED	Director	18-02-05	18-02-05	-	Active	NO
10	U93000MH2009NPL196517	INDIAN CORRUGATED CASE MANUFACTURERS ASSOCIATION	Director	16-10-09	16-10-09	-	Active	NO
11	U19202KA1989PTC010562	ESJAY PLASTOMERS PRIVATE LIMITED	Director	30-09-11	14-07-11	-	Active	NO
12	U21098MH2011PTC224280	SIGMA CORRU BOX PRIVATE LIMITED	Director	22-11-11	22-11-11	-	Active	NO
13	U21022KA2009PTC051161	JAGDAMBA CARTONS PRIVATE LIMITED	Additional director	27-12-11	27-12-11	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Hitesh Patel
Designation :	Executive Legal Officer

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 28.09.2011

Names of Shareholders	No. of Shares
Ranbirsingh Gill	71920
Vikramsingh Gill	71920
Amrita Punja	56160
Balbirkaur Gill	23400
Jagirkaur Gill	46800
Jagjitkaur Gill	46800
Sukhbirsingh Mangat	23400
Sanjay Patel	49820
Amit Patel	49820
Prafulchandra Patel, Pratibha Patel and Shishir Patel	40000
Pratibha Patel and Shaileja Patel	12640
Shaileja Patel and Dipu Patel	27640
Shishir Patel and Smila Patel	72080
Aparna Patel	28900
Preetiben Patel	28900
Snehalata Desai	19260
Ajay Patel	67300
Avani Patel	17300
Manish Patel	52245
Meeta Patel	24920

As on 28.09.2011

Equity Share Breakup	Percentage of Holding
Category
Directors or relatives of directors	81.88
Others	18.12
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Importer of Kraft Paper, Kraft and Test.

Products :

ITC CODE	PRODUCT
48043100	Uncoated Kraft Paper and Paper Board-Unbleached
4801100	Kraft Liner- Unbleached

GENERAL INFORMATION

No. of Employees :

500 (Approximately)

Bankers :

Canara Bank, Station Road, Kalyan-421301, Maharashtra, India

Facilities :

Secured Loan	As on 31.03.2011 [Rs. in Millions]	As on 31.03.2010 [Rs. in Millions]
Rupee term loan	38.109	65.592
Working capital loan	214.488	141.896
Loan taken for vehicles	4.821	3.534
Total	257.418	211.022

Banking Relations :	--
Auditors :
Name :	Vijay T Parmar and Company Chartered Accountant
Address :	101, Nadhav Building Apartment, Gaushala Road, Shivaji Path, Opposite Bank of Maharashtra, Kalyan-421301, Maharashtra, India
Tel. No.:	95251-2311009
Mobile No.:	91-9821416960
Fax No.:	95251-2317655
E-Mail :	caparamar@yahoo.com
Pan No.:	ABOPP2499R

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
4000000	Equity Shares	Rs.10/- each	Rs.40.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
3600000	Equity Shares	Rs.10/- each	Rs.36.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		36.000	36.000	18.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		273.842	215.020	179.725
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		309.842	251.020	197.725
LOAN FUNDS
1] Secured Loans		257.418	211.022	196.974
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		257.418	211.022	196.974
DEFERRED TAX LIABILITIES		36.690	37.749	35.377
TOTAL		603.950	499.791	430.076
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		222.128	234.666	246.053
Capital work-in-progress		56.636	0.000	0.000
INVESTMENT		0.001	0.001	0.001
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	142.754	117.255	48.546
	Sundry Debtors	199.800	181.820	157.797
	Cash & Bank Balances	15.155	8.273	14.417
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	170.051	101.820	73.145
Total Current Assets		527.760	409.168	293.905
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	94.995	66.164	65.380
	Other Current Liabilities	18.313	20.847	14.221
	Provisions	89.267	57.033	30.282
Total Current Liabilities		202.575	144.044	109.883
Net Current Assets		325.185	265.124	184.022
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		603.950	499.791	430.076

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	1756.707	1372.155	1221.778
		Other Income	1.336	0.782	0.724
		TOTAL (A)	1758.043	1372.937	1222.502
Less	EXPENSES
		Consumption Materials Changes Inventories	1076.772	763.156
		Manufacturing Service Cost	497.756	380.065	1120.208
		Employee Related Expenses	56.835	44.965
		Administrative Selling Other Expenses	65.610	107.623
		TOTAL (B)	1696.973	1295.809	1120.208
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		61.070	77.128	102.294
Less	FINANCIAL EXPENSES (D)		25.001	23.745	28.454
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		36.069	53.383	73.840
Less/ Add	DEPRECIATION/ AMORTISATION (F)		16.355	17.041	16.854
	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		19.714	36.342	56.986
Less	TAX (H)		30.441	34.383	20.177
	PROFIT / (LOSS) AFTER TAX (G-H) (I)		(10.727)	1.959	36.809
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		167.237	120.242	93.041
	APPROPRIATIONS
		Transfer to General Reserve			4.000
		Proposed Dividend	13.297	12.618	4.500
		Tax on Dividend			0.765
		Short Provision of Tax			0.343
	BALANCE CARRIED TO THE B/S		143.213	109.583	120.242
	IMPORTS
		Raw Materials		671.362	488.668
		Stores & Spares	NA	2.766	5.583
		Capital Goods		5.087	7.801
		Others		2.728	1.013
	TOTAL IMPORTS		NA	681.943	503.065
	Earnings / (Loss) Per Share (Rs.)		(2.97)	0.54	21.82

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	(0.61)	0.14	3.01
Net Profit Margin (PBT/Sales)	(%)	1.12	2.65	4.66
Return on Total Assets (PBT/Total Assets}	(%)	2.63	5.64	10.55
Return on Investment (ROI) (PBT/Networth)		0.06	0.14	0.29
Debt Equity Ratio (Total Liability/Networth)		1.48	1.41	1.73
Current Ratio (Current Asset/Current Liability)		2.60	2.84	2.67

LOCAL AGENCY FURTHER INFORMATION

BANKERS CHARGES REPORT AS PER REGISTRY

This form is for	Modification of charge
Charge identification number of the modified	90143248
Corporate identity number of the company	U99999MH1969PLC014398
Name of the company	LAXMI BOARD AND PAPER MILLS LIMITED
Address of the registered office or of the principal place of business in India of the company	Plot No.2, MIDC Area, Kalyan, Bhiwandi Road, Saravali, Kalyan, Thane-421311, Maharashtra, India
Type of charge	Book Debts Movable Property [not being pledge] Others
Particular of charge holder	Canara Bank, Station Road, Kalyan-421301, Maharashtra, India
Email	nbbafna@yahoo.co.in
Nature of description of the instrument creating or modifying the charge	Supplemental common hypothecation agreement
Date of instrument Creating the charge	08.10.2011
Amount secured by the charge	Rs.505.300 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest As per sanction letter Terms of Repayment As per sanction letter Margin As per sanction letter Extent and Operation of the charge Security to secure various credit facilities together with interest, cost, expenses, charges, commission etc. etc.
Short particulars of the property charged	Hypo. of stock in trade, raw material such as waste paper, chemicals, dyes, acids, stores and spares, goods in process, finished goods and packing materials Book debts, outstanding moneys receivables, claims, bills, contracts, securities, assets and rights etc. machineries both present and future wherever situated or in transit. Charge on entire fixed assets Entire current assets as collateral security.
Particulars of the present modification	The Original Charge dated. 1-2-01 was modified from time to time now further modified on 8-10-2011 enhancing the total facilities to the extent of Rs. 505.300 millions. consisting of CC Rs.200.000 millions, FLC Rs.80.000 millions, BG Rs. 0.700 millions, CDB Rs.5.000 millions, TL Rs.10.000 millions, TL Rs.103.100 millions (sub-limit FLC Rs.60.000 millions), TL Rs.31.500 millions (Sub-limit FLC Rs.31.500 millions) and new TL of Rs. 750 millions together with interest, cost, expenses, charges, commission etc.

FIXED ASSETS

· Land

· Buildings

· Plant and Machinery

· Office Equipments

· 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 records 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. 53.87
UK Pound	1	Rs.83.59
Euro	1	Rs.72.38

INFORMATION DETAILS

Report Prepared by :

NTH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	6
--RESERVES	1~10	6
--CREDIT LINES	1~10	6
--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		51

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	-

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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.