MIRA INFORM REPORT

Report Date :

21.02.2013

IDENTIFICATION DETAILS

Name :	CRESCENT ORGANICS PRIVATE LIMITED
Registered Office :	Winsor, 2^nd Floor, CST Road, Kalina, Santacruz (East), Mumbai-400059, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	08.02.1991
Com. Reg. No.:	11-060197
Capital Investment / Paid-up Capital :	Rs. 69.143 Millions
CIN No.: [Company Identification No.]	U99999MH1991PTC060197
TAN No.: [Tax Deduction & Collection Account No.]	mumc10295F
PAN No.: [Permanent Account No.]	aaacc1690D
Legal Form :	Private Limited Liability Company
Line of Business :	Trader and Supplier of Chemicals.
No. of Employees :	50 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (46)

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

Maximum Credit Limit :	USD 1500000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. The latest financials of the company are not made available. Mr. Pramod from Accounts department has provided us with general information but denied to disclose any financial detail. As per the of 2011, the company is found to be performing well. However, trade relations are reported as decent. Business is active. Payment terms are slow but correct. In absence of latest financials, 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.

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	CRISIL
Rating	BBB (Cash Credit)
Rating Explanation	Moderate degree of safety and moderate credit risk.
Date	17.01.2012

Rating Agency Name	CRISIL
Rating	A3+ (Letter of Credit)
Rating Explanation	Moderate degree of safety and higher credit risk.
Date	17.01.2012

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.

INFORMATION PARTED BY (GENERAL DETAILS)

Name :	Mr. Pramod
Designation :	Accounts Department
Contact No.:	91-22-67033555
Date :	15.02.2013

LOCATIONS

Registered / Head Office :	Winsor, 2^nd Floor, CST Road, Kalina, Santacruz (East), Mumbai-400059, Maharashtra, India
Tel. No.:	91-22-67033555
Fax No.:	91-22-67033556
E-Mail :	ketan@crescentindia.com info@crescentindia.com dinesh@crescentindia.com
Website :	www.crescentindia.com
Location:	Owned
Factory :	189, Bahutha, Savil Manjusar Road, Vadodara, Gujarat, India
Tel. No.:	91-2667-222161 / 162
Fax No.:	91-2667-222163
E-Mail :	info@crescentindia.com

DIRECTORS

As on 29.09.2012

Name :	Mr. Gunvantrai Dipchand Shah
Designation :	Director
Address :	Deep Ashish, 372 A and B Deepashish, Shantabai Amre Marg, Off 9th Road, Chembur, Mumbai – 400 071, Maharashtra
Date of Birth/Age :	01.05.1939
Date of Appointment :	01.01.1992
Din No.:	00056111
Name :	Mr. Ashit Gunvantrai Shah
Designation :	Director
Address :	Ashish, 372 A and B Deepashish, Shantabai Amre Marg, Off 9^th Road, Chembur, Mumbai – 400 071, Maharashtra
Date of Birth/Age :	05.01.1963
Date of Appointment :	01.01.1992
Din No.:	00056229
Name :	Mr. Dilip Pranlal Sheth
Designation :	Director
Address :	1201/1202, Sai Vaibhav R B Mehta Marg, jhulelal Chowk, Ghatkopar (East), Mumbai – 400 077, Maharashtra
Date of Birth/Age :	04.04.1962
Date of Appointment :	30.09.2009
Din No.:	00056982
Name :	Mr. Aditya Ashit Shah
Designation :	Additional Director
Address :	Ashish, 372 A and B, Shantabhai Amre Marg,, Off 9^th Road, Chembur, Mumbai-400071, Maharashtra, India
Date of Birth/Age :	17.11.1989
Date of Appointment :	02.04.2012
DIN No.:	03343078

KEY EXECUTIVES

Name :	Mr. Pramod
Designation :	Accounts Department

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.2012

Names of Shareholders	No. of Shares
G D Shah	250665
Kokila G Shah	12489
Ashit G Shah	107508
Kavita A Shah	12489
Aditya A Shah	151860
Anushka A Shah	36162
G D Shah HUF	77
A G Shah HUF	66494
Dilip P Sheth	17923
Sapna D Sheth	26833
Abhishek D Sheth	6720
Sejal N Shah	33575
Ayush N Shah	6250
Anaisha N Shah	7100
Nitin M Shah(HUF)	690
Mukesh I Doshi	35719
Aarti M Doshi	4337
Pratik I Doshi	23
Pooja M Doshi	15
Ranjan I Doshi	10615
Mukesh I Doshi (HUF)	653
Total	788197

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 :

Trader and Supplier of Chemicals.

Products :

Product Description	Item Code
Phenol	29071110
Toluene	29023000
Styrene Monomer	29025000

Terms :

Selling :

L/C, Cash and Credit

Purchasing :

L/C, Cash and Credit

GENERAL INFORMATION

Suppliers :

· Reliance Industries Limited

Customers :

Wholesalers, Retailers and End users

· Ranbaxy Limited

· United Petrotech (India) Private Limited

No. of Employees :

50 (Approximately)

Bankers :

· Union Bank of India, Sion Branch, Sunita Apartments, 169/B, Sion (East), Mumbai-400022, Maharashtra, India

Tel. No.: 91-22-24072246

Facilities :

Secured Loan	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
Other external commercial borrowings secured	582.031	794.413
Working capital loans banks secured	30.014	0.006
Loans taken for vehicles secured	5.687	5.224
Total	617.732	799.643

Banking Relations :	--
Auditors :
Name :	Chhajed and Doshi Chartered Accountants
Address :	5/6, Western Prabhadevi Co-operative Society, Veer Savarkar Marg, Prabhadevi, Mumbai-400025, Maharashtra, India
PAN No.:	ACUPC1012C
Sisters Concern :	· Crescent Innovative Private Limited · Kemsol Limited, UAE
Name of the enterprises (associates) having same Key Managerial Personals / or their relatives as the reporting enterprise with whom the Company has entered into transactions during the year:	· Kemsol Limited, BVI (Subsidiary Company) · Crescent Chemicals · Crescent International · Crescent Chemsol Private Limited · Asian Solvochem Private Limited. · G D Shah Charitable Trust

CAPITAL STRUCTURE

As on 29.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
1350000	Equity Shares	Rs.100/- each	Rs. 135.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
788197	Equity Shares	Rs.100/- each	Rs. 78.820 Millions

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
699500	Equity Shares	Rs.100/- each	Rs.69.950 Millions
500	Unclassified Shares	Rs.100/- each	Rs.0.050 Million
	Total		Rs. 70.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
691427	Equity Shares	Rs.100/- each	Rs.69.143 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		69.143	9.840	9.840
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		306.838	257.543	151.781
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		375.981	267.383	161.621
LOAN FUNDS
1] Secured Loans		617.732	799.643	15.187
2] Unsecured Loans		1.480	25.810	0.000
TOTAL BORROWING		619.212	825.453	15.187
DEFERRED TAX LIABILITIES		0.000	1.319	1.801
TOTAL		995.193	1094.155	178.609
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		59.788	62.036	60.330
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		186.386	106.857	73.655
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	474.606	575.497	0.870
	Sundry Debtors	790.367	996.411	27.438
	Cash & Bank Balances	209.508	128.680	0.516
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	19.510	52.197	22.978
Total Current Assets		1493.991	1752.785	51.802
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	668.300	761.604	1.426
	Other Current Liabilities	46.722	47.287	4.803
	Provisions	29.950	18.632	0.949
Total Current Liabilities		744.972	827.523	7.178
Net Current Assets		749.019	925.262	44.624
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		995.193	1094.155	178.609

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	4185.750	3103.720	39.695
		Indenting Commission	NA	65.249	63.782
		Other Income	NA	57.807	13.779
		TOTAL (A)	NA	3226.776	117.256
Less	EXPENSES
		Purchase		3440.081	38.547
		Payments to and Provision for Employees	NA	42.883	14.078
		Selling and Administrative Expenses		128.358	17.042
		Increase / Decrease in Stocks		(574.500)	(0.197)
		TOTAL (B)	NA	3036.822	69.470
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		NA	189.954	47.786
Less	FINANCIAL EXPENSES (D)		NA	19.675	2.000
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		NA	170.279	45.786
Less/ Add	DEPRECIATION/ AMORTISATION (F)		NA	4.999	5.428
	PROFIT BEFORE TAX (E-F) (G)		164.963	165.280	40.358
Less	TAX (H)		63.984	59.517	15.093
	PROFIT AFTER TAX (G-H) (I)		100.979	105.763	25.265
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		228.024	122.261	96.996
	BALANCE CARRIED TO THE B/S		329.003	228.024	122.261
	EARNINGS IN FOREIGN CURRENCY
		Indenting Commission	83.348	65.249	63.782
		Export on FOB	75.859	20.339	NA
	TOTAL		159.207	85.588	NA
	Earnings Per Share (Rs.)		128.11	1074.82	256.75

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	NA	3.28	21.55
Net Profit Margin (PBT/Sales)	(%)	3.94	5.33	101.67
Return on Total Assets (PBT/Total Assets}	(%)	10.62	9.11	35.99
Return on Investment (ROI) (PBT/Networth)		0.44	0.62	0.25
Debt Equity Ratio (Total Debt/Networth)		1.65	3.09	0.09
Current Ratio (Current Asset/Current Liability)		2.01	2.12	7.22

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITORS DETAILS:

Particulars	31.03.2011	31.03.2010	31.03.2009
	(Rs. In Millions)
Creditors due to others	668.300	761.604	1.426
Total	668.300	761.604	1.426

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	Yes
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	Yes
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	No
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

OPERATIONS

The total sales of the Company for the current year was Rs. 4185.750 millions as against Rs. 3103.720 millions in the previous year. The company earned profit after tax which amounted to Rs. 100.979 millions as against profit of Rs. 105.762 millions of the previous year which is keeping stable in very vulnerable market situations.

FUTURE PROSPECTS

During the year, the Company as planned has begun with import of chemicals. This new diversion has not only increased sales of the company in multiple folds but has also increased the returns to a greater extent. The company has achieved a greater height of Gross Sales. The company today definitely has made a mark in the industry of trading into Chemicals and ensures the shareholders of its better future prospects in the same field with further better returns.

MERGER OF ASSOCIATE COMPANIES.

Pursuant to Petitions u/s. 394 of the Companies Act, 1956 filed by the Company hereinafter referred to as Amalgamated Company) and (1) RKG Petrochem Private Limited (2). Shaileja Polymers Private Limited and (3). United Petrotech (India) Private Limited (all three referred to as Amalgamating Companies), for approval of the scheme of amalgamation w.e.f. 1-4-2009, the Honorable High Court of Bombay vide order Passed on 26^th November 2010, approved the Scheme of Amalgamation of the amalgamating Companies with the Company w.e.f. 1-4-2009. Pending the approval of the Scheme from the Honorable High Court of Bombay the business by all three amalgamating Companies w.e.f. 1-4-2009 was being carried out for and on behalf of the Company.

The said Order has been filed with the Registrar of Companies on 22^nd December 2010.

Since the Accounts of all the four Companies for the year ended 31-3- 2010 were audited and issued prior to the Order of the Hon. High Court, therefore the accounts of the amalgamating Companies for the year 2009-10 are amalgamated with those of the Company in current year.

The amalgamation of Accounts is carried out on Purchase method.

In accordance with scheme all the assets, liabilities, of amalgamated companies with effect from 1st April 2009 (the Appointed Date). However for the sake of convenience bank accounts of the amalgamated companies still continue to be in the names of the amalgamated companies.

The information as required by the Accounting Standard 14 of the Companies (Accounting Standards) Rules, 2006 is as under:

Name and Business of the Amalgamating Companies:

Name	Business
RKG Petrochem Private Limited	Petrochemicals Products and their derivatives and compounds.
Shaileja Polymers Private Limited	Plastics Materials and its Products.
United Petrotech (India) Private Limited	Plastics Materials and their derivatives and compounds .

Consideration as approved by the Scheme:

RKG Petrochem Private Limited

Issue of one fully paid equity share of Rs.100/- each at par to the share holders of amalgamated company for 13 fully paid equity shares of Rs.100/- each held by them in RKG Petrochem Private Limited: Number of Share issued 2882.

Shaileja Polymers Private Limited

Issue of one fully paid equity share of Rs.100/- each at par to the share holders of amalgamated company for 14 fully paid equity shares of Rs.100/- each held by them in Shaileja Polymers Private Limited: Number of Share issued 805.

United Petrotech (India) Private Limited

Issue of one fully paid equity share of Rs.100/- each at par to the share holders of amalgamated company for 13 fully paid equity shares of Rs.100/- each held by them in United Petrotech Private Limited: Number of Share issued 1040.

Capital reserve arising on amalgamation Rs.7.356 millions.

In view of the fact that amalgamation of above referred three companies with the company was sanctioned by the Honorable High Court 26.11.2010 Income / Expenses of the amalgamated companies for the year ended 31.03.2010 were booked in the books of account of the company during the year 2010-11, net income of Rs. 0.319 million is accounted under the head `Prior Period Transactions.

UNSECURED LOAN

Unsecured Loan	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. In Millions)
Loans directors unsecured	1.480	25.810
Total	1.480	25.810

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U99999MH1991PTC060197
Name of the company	CRESCENT ORGANICS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Winsor, 2^nd Floor, CST Road, Kalina, Santacruz (East), Mumbai-400059, Maharashtra, India Email: ketan@crescentindia.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10265141
Type of charge	· Immovable property · Any interest in immovable property
Particular of charge holder	Union Bank of India, Sion Branch, Sunita Apartments, 169/B, Sion (East), Mumbai-400022, Maharashtra, India Email: cbssiont@unionbankofindia.com
Nature of instrument creating charge	Addendum No.1 To Indenture of Mortgage
Date of instrument Creating the charge	25.05.2012
Amount secured by the charge	Rs. 2250.000 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest As determined by the Bank from time to time Terms of Repayment On Demand Margin As per sanction terms Extent and Operation of the charge Registered Mortgage has been extended by way of First Pari Passu Charge between Union Bank of India and Standard Chartered Bank of the Company's Immovable Properties viz 1 Commercial Premises No.1 and Unit No.202 both on the second floor of the building known as "Windsor" To additionally secure various credit facilities granted by the Bank as under 1. Crescent Organics Pvt Ltd Rs.2000.000 millions 2. Asian Solvochem Pvt Ltd Rs.250.000 millions Total Aggregating Rs.2250.000 millions
Short particulars of the property or asset(s) charged (including complete address and location of the property)	The Borrower doth hereby grant, convey, assign, transfer by way of Extension of Registered Mortgage in respect of Company's Immovable Property by way of First Pari Passu Charge Basis viz 1.The Commercial Premises admeasuring about 6071 sq.ft carpet area being Commercial Premises Number 1 on the second floor of the building known as "Windsor" constructed on all those pieces and parcels of land admeasuring 12067.90 sq.meters bearing C.T.S No.5436 B (part), 5433 C/1, 5437-A,5428,5429/1, 5429/5,5430 and 5436 C situated at Village Kole Kalyan Taluka Andheri Mumbai Suburban District in the Registration District and Sub-District of Mumbai City 2.The Premises bearing Unit No.202 admeasuring approx 3590 sq.ft carpet area on the second floor including other premises adjoining if any any along with the sapce for 1 (one) car parking in the building named "Windsor" situated at land admeasuring approx 12067.9 sq.meters made up of land bearing CTS Nos. 5428,5429/1,5429/2, 5430,5436/B,5437-A,5436-C and 5433-C1 in Village Kole Kalyan, Taluka Andheri Off CST Roadon Vidyanagari Marg, Kalina Santacruz (East) Mumbai 400098
Particulars of the present modification	The Original Charge Dated: 21/01/2011 for Rs.175.00 Crores is hereby modified and enhanced to Rs.225.00 Crores and The Borrower doth hereby grant,convey,assign,transfer by way of Extension of Registered Mortgage in respect of Company's Immovable Properties by way of First Pari Passu Charge Basis viz 1.The Commercial Premises No.1 adm about 6071 sq.ft carpet area in building known as "Windsor" and 2.Unit N0.202 adm approx 3590 sq.ft carpet area in building named "Windsor"

CONTINGENT LIABILITIES:

(Rs. in millions)

Particulars	31.03.2011
In respect of guarantees\letters of credit given to\ in favour of Suppliers / Principals by the banks :(against margin of Rs. 64.206 millions [P.Y. Rs 69.483 millions])	1429.900
In respect of corporate guarantee given to bankers of: subsidiary company Kemsol Limited BVI AED 18.315 millions (P.Y. AED 15.000 millions)	221.431
DEMAND DISPUTED IN APPEALS:
Sales tax	6.352
Income tax	7.136
Service tax	0.366
Claims against the company not acknowledged as debts In respect of liquidated damages since under negotiation	0.000
Bills discounted with the bankers	23.489
In respect of Guarantees given to the bankers for the facilities sanctioned to associated concerns	200.000

FIXED ASSETS

· Office building

· Office equipments

· Computer

· Furniture and Fixtures

· Motor 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.54.05
UK Pound	1	Rs.83.45
Euro	1	Rs.72.53

INFORMATION DETAILS

Information Gathered by :	PLK
Report Prepared by :	MRI

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--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		46

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.