MIRA INFORM REPORT

Report Date :

21.02.2013

IDENTIFICATION DETAILS

Name :	AIROIL FLAREGAS PRIVATE LIMITED (w.e.f. 12.12.2011)
Formerly Known As :	AIROIL FLAREGAS (INDIA) PRIVATE LIMITED
Registered Office :	Survey No. 788 and 793, Opposite Torrent Laboratories Limited, Kalol-Mehsana Highway, Village: Indrad : 383341 Tal.: Kadi, Disttrict Mehsana, Gujarat
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	07.04.1984
Com. Reg. No.:	04-006875
Capital Investment / Paid-up Capital :	Rs.20.000 Millions
CIN No.: [Company Identification No.]	U24110GJ1984PTC006875
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturing, designing and site installation of combustion equipment like flare system, flare components, industrial burner and burner components and spares and accessories.
No. of Employees :	Not Available

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 1300000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established company having fine track record. General financial position is good. Trade relations are reported as fair. Business is active. Payments are reported to be correct and as per commitments. The company can be considered good for normal 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

EXTERNAL AGENCY RATING

Rating Agency Name	CARE
Rating	BBB (Long Term Fund Based Bank Facilities)
Rating Explanation	Moderate degree of safety and moderate credit risk.
Date	07.11.2012

Rating Agency Name	CARE
Rating	A3 (Bank Guarantee)
Rating Explanation	Moderate degree of safety and higher credit risk.
Date	07.11.2012

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/ Factory :	Survey No. 788 and 793, Opposite Torrent Laboratories Limited, Kalol-Mehsana Highway, Village: Indrad : 383341 Tal.: Kadi, Disttrict - Mehsana, Gujarat, India
Tel. No.:	91-2764-233495/ 96
Fax No.:	Not Available
E-Mail :	ida@hs.co.in kutty@airoilflaregas.com
Website :	www.airoilindia.com
City Office :	505, Mauryansh Elanza, Shyamal Cross Road, 132 Feet Ring Road, Satellite, Ahmedabad – 380015, Gujarat, India
Tel. No.:	91-79-26769928/ 26769927
Fax No.:	91-79-26769929
E-Mail :	mkdwivedi@airoilflaregas.com
Corporate and Sales Office :	204, Sumer Kendra, Pandurang Budhkar Marg, Worli, Mumbai - 400018, India.
Tel. No.:	91-22-24965031–36 (6 lines)
E-Mail :	corphq@hs.co.in
Regional Sales Office :	Located at · New Delhi · Kolkata · Chennai · Hyderabad · Vadodara

DIRECTORS

As on: 29.09.2012

Name :

Mr. Hasmukh C Sheth

Designation :

Director

Address :

301/401, Om Vikas Tower, Behind Parsi Agiyari, Walkeshwar Road, Waslkeshwar, Mumbai – 400006, India

Date of Birth/Age :

04.02.1939

Date of Appointment :

07.04.1984

DIN No.:

00010820

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	U65990MH1983PTC031537	ACCESSLINE INVESTMENT PRIVATE LIMITED	Director	09/12/1983	09/12/1983	01/10/2010	Active	NO
2	U24110GJ1984PTC006875	Airoil Flaregas Private Limited	Managing director	07/04/1984	07/04/1984	-	Active	NO
3	U29259GJ1981PTC004456	HORIZON POLYMER ENGINEERING PRIVATE LIMITED	Director	01/06/1990	01/06/1990	-	Active	NO
4	U24231GJ1991PTC016691	HIGH PERFORMANCE FLOURO POLYMERS PRIVATE LIMITED	Director	28/11/1991	28/11/1991	-	Strike off	NO
5	U29309GJ1987PTC009563	TLT ENGINEERING INDIA PRIVATE LIMITED	Director	01/05/2008	27/01/1993	-	Active	NO
6	L74140MH1983PLC029494	S P CAPITAL FINANCING LIMITED	Director	01/01/1994	01/01/1994	31/10/2009	Active	NO
7	U28920MH1994PTC076877	KOERTING ENGINEERING PRIVATE LIMITED	Director	01/03/1994	01/03/1994	20/04/2009	Active	NO
8	U29259GJ1979PTC003428	H S EQUIPMENT PRIVATE LIMITED	Director	29/09/1995	29/09/1995	01/11/2010	Active	NO
9	U51900MH1997PTC107577	GAMUT PROPERTIES PRIVATE LIMITED	Director	22/09/1997	22/09/1997	-	Active	NO
10	U70100MH1998PTC113501	DUMAS BEACH ENCLAVE Private Limited	Director	11/02/1998	11/02/1998	-	Active	NO
11	U72200MH1997PTC106065	GAMUT TECHNOLOGIES PRIVATE LIMITED.	Director	15/05/2000	15/05/2000	08/09/2009	Active	NO
12	U29299GJ1985PTC008218	HI-TECH ENGINEERING PRIVATE LIMITED	Director	30/04/2001	30/04/2001	-	Active	NO

Name :

Mr. Gautam H Sheth

Designation :

Director

Address :

301/401, Om Vikas Tower, Behind Parsi Agiyari, Walkeshwar Road, Waslkeshwar, Mumbai – 400006, India

Date of Birth/Age :

15.06.1968

Date of Appointment :

01.09.1995

DIN No.:

00011068

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	U29259GJ1979PTC003428	H S EQUIPMENT PVT LTD	Director	30/01/1990	30/01/1990	-	Active	NO
2	U65990MH1983PTC031537	ACCESSLINE INVESTMENT PRIVATE LIMITED	Director	30/04/1991	30/04/1991	30/06/2010	Active	NO
3	U29299GJ1985PTC008218	HI-TECH ENGINEERING PRIVATE LIMITED	Director	30/09/1991	30/09/1991	-	Active	NO
4	U28920MH1994PTC076877	KOERTING ENGINEERING PRIVATE LIMITED	Director	01/03/1994	01/03/1994	-	Active	NO
5	U24110GJ1984PTC006875	Airoil Flaregas Private Limited	Director	01/09/1995	01/09/1995	-	Active	NO
6	U29309GJ1987PTC009563	TLT ENGINEERING INDIA PRIVATE LIMITED	Managing director	01/05/2008	01/09/1995	-	Active	NO
7	U72200MH1997PTC106065	GAMUT TECHNOLOGIES PRIVATE LIMITED.	Director	21/02/1997	21/02/1997	-	Active	NO
8	U29259GJ1981PTC004456	HORIZON POLYMER ENGINEERING PRIVATE LIMITED	Director	11/05/2005	11/05/2005	-	Active	NO
9	U70100MH1998PTC113501	DUMAS BEACH ENCLAVE Private Limited	Director	12/09/2008	05/08/2008	-	Active	NO
10	U72900PN2009PTC135104	EFFICIENSIS DESIGN ENGINEERING PRIVATE LIMITED	Director	29/09/2012	15/06/2012	-	Active	NO
11	AAB-0956	DIA-MA ENGINEERING & INFRASTRUCTURE LLP	Designated Partner	30/08/2012	30/08/2012	-	Active	NO

Name :

Mr. Peter Joseph Andrade

Designation :

Director

Address :

C-7, Sangam Bhavan, opp. Strand Cinema, Colaba, Mumbai – 400005, Maharashtra, India

Date of Birth/Age :

03.01.1947

Date of Appointment :

01.04.1992

DIN No.:

00014241

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	U29259GJ1981PTC004456	HORIZON POLYMER ENGINEERING PRIVATE LIMITED	Managing director	26/06/1981	26/06/1981	-	Active	NO
2	U24231GJ1991PTC016691	HIGH PERFORMANCE FLOURO POLYMERS PRIVATE LIMITED	Director	28/11/1991	28/11/1991	-	Strike off	NO
3	U24110GJ1984PTC006875	Airoil Flaregas Private Limited	Director	01/04/1992	01/04/1992	-	Active	NO
4	U29309GJ1987PTC009563	TLT ENGINEERING INDIA PRIVATE LIMITED	Director	27/01/1993	27/01/1993	-	Active	NO
5	U28920MH1994PTC076877	KOERTING ENGINEERING PRIVATE LIMITED	Director	01/03/1994	01/03/1994	-	Active	NO
6	U65990MH1998PTC114061	ANDRADE HOLDINGS PRIVATE LIMITED	Director	19/03/1998	19/03/1998	-	Active	NO
7	U29259GJ1979PTC003428	H S EQUIPMENT PRIVATE LIMITED	Director	30/09/2009	31/08/2009	-	Active	NO

Name :

Mr. Damji C Chheda

Designation :

Director

Address :

D6, 501/502, Mlinath Apartment, Sarvodaya Nagar, Jain mandir Marg, Mulund west, Mumbai – 400080, Maharashtra, India

Date of Birth/Age :

02.03.1945

Date of Appointment :

29.09.1995

DIN No.:

00014267

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	U24110GJ1984PTC006875	Airoil Flaregas Private Limited	Director	29/09/1995	29/09/1995	-	Active	NO
2	U29309GJ1987PTC009563	TLT ENGINEERING INDIA PRIVATE LIMITED	Director	05/03/1998	05/03/1998	-	Active	NO
3	U72900PN2009PTC135104	EFFICIENSIS DESIGN ENGINEERING PRIVATE LIMITED	Director	29/09/2012	15/06/2012	-	Active	NO

MAJOR SHAREHOLDERS

As on: 29.09.2012

Names of Shareholders	No. of Shares
Hasmukh C Sheth	119450
Peter Joseph Andrade	78000
Sheth H Ushaben	108450
Sheth H Gautam	817699
Andrade Claire Felicity	5000
Ramaswamy Melanie	8750
Andrade Nigel	17500
Peter Joseph Andrade and Andrade Claire Felicity	58500
Andrade Claire Felicity and Peter Joseph Andrade	3750
Hasmukh C Sheth and Sheth H Ushaben	34000
Sheth H Ushaben and Hasmukh C Sheth	45000
Sheth H Gautam and Hasmukh C Sheth andPeter Joseph Andrade	1
Hamworthy Combustion Engineering Limited, UK	294000
Sanghavi M Mitesh	76725
Sanghavi M Sheetal	230175
Gautam Sheth HUF	103000
Total	2000000

Equity Share Break up (Percentage of Total Equity)

As on: 29.09.2012

Category	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	14.70
Directors or relatives of Directors	85.30
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturing, designing and site installation of combustion equipment like flare system, flare components, industrial burner and burner components and spares and accessories.

PRODUCTION STATUS AS ON (31.03.2011)

Particulars	Unit	Actual Production
Flare System with components, burner, component, Igniter and spare, plates	Nos./Set	6406

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

Canara Bank, Worli Branch, Mathanda Building, Dr. Annie Besant Road, Mumbai 400018, Maharashtra, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2012	As on 31.03.2011
Short Term Borrowings
Working Capital Loans
From Canara Bank - Cash Credit (Working Capital loans are secured by hypothecation Plant and Machinery, stock of raw material, stock-in process, finished goods, stores and spares, book debts and first charge on the Immovable assets of the company)	33.758	28.390
Total	33.758	28.390

Banking Relations :	--
Auditors :
Name :	S P Jain and Associates Chartered Accountant
Address :	602 Orbit Plaza, 6^th Floor, Appa Saheb Marathe Marg, New Prabhadevi Road, Prabhadevi, Mumbai - 400025, Maharashtra, India
Tel. No.:	91-22-24316201 / 02 / 24218129 / 24320931
Fax No.:	91-22-24218130
E-Mail :	spjainassociates@gmail.com
PAN.:	AAVFS8167P
Associate Concern :	· Hamm worthy Combustion Engineering Limited · TLT Engineering India Private Limited · HS Engineering and Marketing Services · Efficiensis Design Engineering Private Limited

CAPITAL STRUCTURE

As on: 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
2250000	Equity Shares	Rs.10/- each	Rs.22.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2000000	Equity Shares	Rs.10/- each	Rs.20.000 Millions

REECONCILIATION OF NOS OF SHARES OUTSTANDING:

(Rs. In Millions)

Particular	As at 31 March 2012
	Equity Shares
	Number	Rs.
Shares outstanding at the beginning of the Year	980000	9.800
Shares issued during the year	1,020,000	10.200
Shares bought back during the year	--	--
Shares outstanding at the end of the year	2.000.000	20.000

DETAILS OF SHAREHOLDERS HOLDING MORE THAN 5% OF SHARE CAPITAL

Name of Shareholder	As at March 2012
	No. of Equity Shares held	% of Holding
Hasmukh C Sheth	119450	5.97
Ushaben H Sheth	108450	5.42
Gautam H Sheth	817699	40.88
Sheetal M Sanghvai	230175	11.51
Gautam H Sheth (HUF)	103000	5.15
Hamworthy Combustion Engineering Limited - U.K	294000	14.70

The Equity shares carry one vote for each paid up equity shares of Rs. 10 each and each such paid up equity shares is eligible for dividend distribution.

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		20.000	9.800	9.800
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		313.423	272.994	237.551
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		333.423	282.794	247.351
LOAN FUNDS
1] Secured Loans		33.758	28.390	19.818
2] Unsecured Loans		12.700	0.000	0.000
TOTAL BORROWING		46.458	28.390	19.818
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		379.881	311.184	267.169
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		57.388	56.221	36.349
Capital work-in-progress		0.000	1.852	11.661
INVESTMENT		13.463	0.463	0.363
DEFERREX TAX ASSETS		21.255	11.014	8.736
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	80.932	40.645	51.237
	Sundry Debtors	182.887	126.489	80.045
	Cash & Bank Balances	25.552	20.164	86.375
	Other Current Assets	40.253	34.657	0.000
	Loans & Advances	127.325	106.457	137.135
Total Current Assets		456.949	328.412	354.792
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	64.335	27.220	27.298
	Other Current Liabilities	50.020	12.356	38.084
	Provisions	54.819	47.202	79.350
Total Current Liabilities		169.174	86.778	144.732
Net Current Assets		287.775	241.634	210.060
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		379.881	311.184	267.169

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Turnover	390.265	276.717	276.089
		Other Income	NA	8.276	14.966
		TOTAL (A)	NA	284.993	291.055
Less	EXPENSES
		Office Expenses	NA	217.893	197.963
		Administrative Expenses
		Advertising Expenses
		TOTAL (B)	NA	217.893	197.963
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		73.775	67.100	93.092
Less	FINANCIAL EXPENSES (D)		8.051	3.759	3.650
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		65.724	63.341	89.442
Less/ Add	DEPRECIATION/ AMORTISATION (F)		8.572	5.780	4.764
	PROFIT BEFORE TAX (E-F) (G)		57.151	57.561	84.678
Less	TAX (H)		29.000	22.400	28.900
	PROFIT AFTER TAX (G-H) (I)		28.151	35.161	55.778
Add	Provision for Differed Liability / Assets		10.241	0.281	(0.866)
Less/ Add	Excess Provisional for I T in earlier year written off / written back		2.037	2.279	(0.139)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		236.745	206.801	162.457
Less	APPROPRIATIONS
		Transfer to General Reserve	5.500	5.500	7.000
		Dividend	0.000	1.960	2.940
		Tax on Dividend	0.000	0.318	0.489
	BALANCE CARRIED TO THE B/S		271.674	236.745	206.801
	EARNINGS IN FOREIGN CURRENCY
		F.O.B. Value of Exports	0.000	27.026	1.615
		Commission Earnings	7.953	9.492	0.000
	TOTAL EARNINGS		7.953	36.518	1.615
	Earnings Per Share (Rs.)		14.08	NA	NA

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	NA	12.34
Net Profit Margin (PBT/Sales)	(%)	14.64	20.80	30.67
Return on Total Assets (PBT/Total Assets}	(%)	11.11	14.97	21.64
Return on Investment (ROI) (PBT/Networth)		0.17	0.20	0.34
Debt Equity Ratio (Total Debt/Networth)		0.14	0.10	0.08
Current Ratio (Current Asset/Current Liability)		2.70	3.78	2.45

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	Yes
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	Yes

PERFORMANCE AND FLTTURE OUITLOOK

The turnover for the year was Rs.390.265 Millions against Rs.276.717 Millions in the previous year, registering a growth of 41-02% However the net profit before lax was Rs.57.151 Millions as against Rs 57.561 Millions in the previous year, in spite of Increase In turnover profit has not been maintained. The roam reason for reduction in profit it all round increase in cost of raw material, labour charges and additional provision for doubtful debts and orders booked at lower margin

The Country is posting through depression economic situation. No new project / Expansion being announced by the government in public sector as well as various Industrial sector like refineries, fertilizers, Petro-chemical, This has impact on order position of the company. Con side ring the depressed economic situation, company is expected lower order position which will affect the working in the current financial year

UNSECURED LOAN:

Particulars	As on 31.03.2012	As on 31.03.2011
Short Term Borrowings
Loans and advances from related parties	12.700	0.000
Total	12.700	0.000

FIXED ASSETS:

• Land office Building
• Plant and Machinery
• Electrical Fittings
• Furniture and Fixtures
• Office Equipment
• Computer
• Motor Car and Vehicle

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.54.05
UK Pound	1	Rs.83.45
Euro	1	Rs.72.54

INFORMATION DETAILS

Report Prepared by :

RAJ

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	YES
--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	-

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.