MIRA INFORM REPORT

Report Date :

08.01.2013

IDENTIFICATION DETAILS

Name :	STERIMED SURNGICALS (INDIA) PRIVATE LIMITED PLANET GREEN INNOVATION (DIVISION OF STERIMED SURNGICALS (INDIA) PRIVATE LIMITED)
Registered Office :	Q-21 A, Model Town, New Delhi - 110009
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	10.12.1991
Com. Reg. No.:	55-046699
Capital Investment / Paid-up Capital :	Rs. 8.943 Millions
CIN No.: [Company Identification No.]	U74899DL1991PTC046699
PAN No.: [Permanent Account No.]	AABCS1818A
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Non Woven Bags, Medical and Industrial Adhesive Tapes and Surface Protection Tapes.
No. of Employees :	250 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (27)

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

Maximum Credit Limit :	USD 121000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. The company has modest scale of business operation. Profitability of the company appears to be low. However, trade relations are reported to be fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealings with some caution.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – June 30, 2012

Country Name	Previous Rating (31.03.2012)	Current Rating (30.06.2012)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

INDIAN ECONOMIC OVERVIEW

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

Source : CIA

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Letter of credit : (CRISIL) A4
Rating Explanation	It is having minimal degree of safety regarding timely payment of financial obligation. It carry very high credit risk.
Date	November 2011

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

Name :	Mr. Sarabjot Singh Narang
Designation :	Director
Contact No.:	91-9810039745
Date :	05.01.2013

LOCATIONS

Registered Office :	Q-21 A, Model Town, New Delhi - 110009, India
Tel. No.:	91-11-42466396/ 42466196/ 25220907/ 48880000
Mobile No.:	91-9810039745 (Mr. Sarabjot Singh)
Fax No.:	91-11-23854144/ 23854535/ 25220907/ 23854144
E-Mail :	sterimed@vsnl.com sterimed.corporate@gmail.com info.pgi.india@gmail.com
Website :	http://www.sterimedgroup.com
Area :	2250 Sq. ft.
Location :	Owned
Corporate/ Marketing Office :	501, Ring Road Mall, Manglam Place, Rohni Sector – 3, New Delhi, India
Factory 1 :	C-H/2, Government Industrial Area, Bahadurgarh, Haryana, India
Area :	4000 Sq. ft.
Location :	Owned
Factory 2 :	E-11, Government Industrial Area, Bahadurgarh, Haryana, India
Area :	4000 Sq. ft.
Location :	Owned

DIRECTORS

AS ON 29.09.2012

Name :

Mr. Sarabjot Singh Narang

Designation :

Director

Address :

Q-21 A, Model Town, New Delhi - 110009, India

Date of Birth/Age :

19.06.1959

Date of Appointment :

10.12.1991

Voter ID No.:

DL/06/061/246786

DIN No.:

00212133

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	Company/ LLP Status	Defaulting status
1	U74899DL1991PTC046699	STERIMED SURNGICALS (INDIA) PRIVATE LIMITED	Director	10/12/1991	10/12/1991	Active	NO
2	U33119DL2003PTC119500	STERIMED MEDICAL DEVICES PRIVATE LIMITED	Director	21/03/2003	21/03/2003	Active	NO
3	U29195DL2004PTC126726	PRECISION THERMACOAT TECHNOLOGIES PRIVATE LIMITED	Director	02/06/2004	02/06/2004	Active	NO

Name :

Mr. Sarabdeep Singh Narang

Designation :

Director

Address :

Q-21 A, Model Town, New Delhi - 110009, India

Date of Birth/Age :

02.07.1967

Date of Appointment :

10.12.1991

Voter ID No.:

DL/06/061/246783

DIN No.:

00287132

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	Company/ LLP Status	Defaulting status
1	U74899DL1991PTC046699	STERIMED SURNGICALS (INDIA) PRIVATE LIMITED	Director	10/12/1991	10/12/1991	Active	NO
2	U33112DL1996PTC081354	HI-TECH MEDISYST PRIVATE LIMITED	Director	22/08/1996	22/08/1996	Active	NO
3	U33119DL2003PTC119500	STERIMED MEDICAL DEVICES PRIVATE LIMITED	Director	21/03/2003	21/03/2003	Active	NO

Name :

Mr. Beant Singh Narang

Designation :

Director

Address :

Q-21 A, Model Town, New Delhi - 110009, India

Date of Birth/Age :

14.01.1928

Date of Appointment :

10.12.1991

Voter ID No.:

DL/06/061/246045

DIN No.:

00619561

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	Company/ LLP Status	Defaulting status
1	U74899DL1991PTC046699	STERIMED SURNGICALS (INDIA) PRIVATE LIMITED	Director	10/12/1991	10/12/1991	Active	NO
2	U33119DL2003PTC119500	STERIMED MEDICAL DEVICES PRIVATE LIMITED	Director	21/03/2003	21/03/2003	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 29.09.2012

Names of Shareholders	No. of Shares
Beant Singh Narang	10615
Sarabjot Singh Narang	41721
Sarabdeep Singh Narang	14966
Indrajee Kaur	1425
Jasmeet Kaur	4950
Gagan Preet Kaur	3450
Davinder Kaur	1150
Bhawan Deep Singh	350
S Randhir Singh Kohil	900
Amrit Kohli	150
Chattar Singh Bedi	500
Paramjeet Singh Bedi	1310
Arvinder Kaur Bedi	1640
Vijender Mittal	1000
Ipninder Kaur	500
Swam Ahuja	1000
Avtar Singh Arora	1000
Anil Kumar Garg	1000
Swastik Leasing Private Limited, India	2000
Cilson Finance Limited, India	4900
Musk Export and Marketing Limited, India	4900
Cilson Organics Limited, India	3000
S Harinder Pal Sing Gulati	2000
Total	104427

AS ON 29.09.2012

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	14.00
Directors or relatives of directors	78.00
Other top fifty shareholders	8.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Non Woven Bags, Medical and Industrial Adhesive Tapes and Surface Protection Tapes.

Products :

ITC Code	Product Descriptions
0124	Surgical Items

Exports :

Products :

Ø Non Woven Bags,

Ø Medical and Industrial Adhesive Tapes

Ø Surface Protection Tapes etc.

Countries :

Ø South East Asia

Ø Arabian Country

Ø Europe

Ø Middle East Africa

Imports :

Products :

Machinery

Countries :

Ø China

Ø France

Ø Switzerland

Ø Germany

Terms :

Selling :

Cash and Credit

Purchasing :

Cash and Credit

GENERAL INFORMATION

Suppliers :

Henkel Adhesives and Technologies

Customers :

End Users

Ø Honda Motors

No. of Employees :

250 (Approximately)

Bankers :

State Bank of India, SME Branch, Chandni Chowk, Delhi - 110006, India

Facilities :

Secured Loans	31.03.2012	31.03.2011
	(Rs. In Millions)
From State Bank of India
A/c No. 30471284185	0.264	1.272
A/c No. 10820291026	0.000	9.112
A/c No. 31037717902	1.358	2.558
A/c No. 32040720310 (Secured against equitable mortgage of Land, hypothecation of Plant and Machinery and personal guarantee of directors.)	9.360	0.000
Tata Capital Limited (Secured against Car)	0.000	0.021
State Bank of India (Secured against Car)	0.000	0.264
State Bank of India (Secured against Car) - 31167621235	0.000	0.360
Deferred CST and HGST	6.742	10.376
Working Capital Finance
From S.B.I , Chandni Chowk (10820290248) (Secured against Hypothecation of Stock, Debtors and Other Receivable)	25.043	9.577
Total	42.767	33.540

Banking Relations :	--
Financial Institution :	Tata Capital Limited
Auditors :
Name :	R Grover and Company Chartered Accountants
Address :	306, Shiv Chambers, 18/ 2830 Beadon Pura Karol Bagh, New Delhi – 110005, India
Tel. No.:	91-11-28721890/ 28728218
Income-tax PAN of auditor or auditor's firm :	AAIPG1873F
Related Party :	Ø Sterimed Medical Devices Private Limited Address: Q-21 A Model Town, New Delhi-110009, India Activity: Manufacturer and Trader of Medical Devices CIN No.: U33119DL2003PTC119500

CAPITAL STRUCTURE

AS ON 29.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
125,000	Equity Shares	Rs. 100/- each	Rs. 12.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
104,427	Equity Shares	Rs. 100/- each	Rs. 10.443 Millions

AS ON 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
100,000	Equity Shares	Rs. 100/- each	Rs. 10.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
89427	Equity Shares	Rs. 100/- each	Rs. 8.943 Millions

Details of shares held by each shareholder holding more than 5% shares:

The Class of Capital	31.03.2012
Equity shares with voting rights	Number of shares held	% holding in that class of shares
S. Beant Singh Narang	10,615.00	11.87
S. Sarabjot Singh Narang	26,721.00	29.88
S. Sarabdeep Singh Narang	14,966.00	16.74
Jasmeet Kaur	4,950.00	5.54
Cilson Finance Limited	4,900.00	5.48
Musk Export and Marketing Limited	4,900.00	5.48

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED CONSOLIDATED BALANCE SHEET

SOURCES OF FUNDS		31.03.2012	31.03.2011	31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		8.943	8.943	8.943
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		21.298	17.619	17.566
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		30.241	26.562	26.509
LOAN FUNDS
1] Secured Loans		42.767	33.540	41.199
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		42.767	33.540	41.199
DEFERRED TAX LIABILITIES		0.033	0.181	0.663
TOTAL		73.041	60.283	68.371
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		37.497	25.211	27.992
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		1.204	3.042	2.992
DEFERRED TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	26.803	19.640	25.662
	Sundry Debtors	31.302	21.883	29.738
	Cash & Bank Balances	2.122	0.666	0.623
	Other Current Assets	5.850	16.726	3.422
	Loans & Advances	5.749	4.522	1.757
Total Current Assets		71.826	63.437	61.202
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	24.331	19.396	21.102
	Other Current Liabilities	10.694	10.766	1.773
	Provisions	2.461	1.245	0.940
Total Current Liabilities		37.486	31.407	23.815
Net Current Assets		34.340	32.030	37.387
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		73.041	60.283	68.371

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income
		Other Income
		TOTAL	151.529	151.055	123.458
Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses
		TOTAL	N.A.	150.997	122.000
	PROFIT BEFORE TAX		N.A.	0.058	1.458
Less	TAX		N.A.	0.019	0.451
	PROFIT AFTER TAX		N.A.	0.039	1.007
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	1.921	1.590	0.279
	Earnings Per Share (Rs.)		N.A.	0.44	11.26

Expected Sales (2012-2013): Rs. 210.000 Millions

The above information has been parted by Mr. Sarabjot Singh Narang (Director)

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	N.A.	0.03	0.82
Return on Total Assets (PBT/Total Assets}	(%)	N.A.	0.07	1.63
Return on Investment (ROI) (PBT/Networth)		N.A.	0.00	0.06
Debt Equity Ratio (Total Liability/Networth)		2.65	2.45	2.45
Current Ratio (Current Asset/Current Liability)		1.92	2.02	2.57

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	Yes
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	Yes
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	Yes
18]	Major customers	Yes
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	Yes
21]	Market information	--
22]	Litigations that the firm / promoter involved in	--
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	--
26]	Buyer visit details	--
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	Yes
29]	Last accounts filed at ROC	Yes
30]	Major Shareholders, if available	Yes
31]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	No
33]	Voter ID No of Proprietor/Partner/Director, if available	Yes
34]	External Agency Rating, if available	Yes

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U74899DL1991PTC046699
Name of the company	STERIMED SURNGICALS (INDIA) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Q-21 A, Model Town, New Delhi - 110009, India Email: sterimed.corporate@gmail.com
This form is for	Modification of charge
Charge identification number of the modified	10118968
Type of charge	Immovable property Book debts Movable property (not being pledge) Floating charge Others (Stocks)
Particular of charge holder	State Bank of India, SME Branch, Chandni Chowk, Delhi - 110006, India Email: sumesh.joon@sbi.co.in
Nature of description of the instrument creating or modifying the charge	(i) Supplemental Agreement of Loan Cum Hypothecation (SME-4) (ii) Link Letter (SME-12) (iii) Letter of confirmation for extension of mortgage by deposit of title deeds (SME-8) (iv) Letter of Arrangement (SME-1) (v) Link Letter
Date of instrument Creating the charge	13.09.2012
Amount secured by the charge	Rs. 75.500 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest For CC@ 3.75% above Base Rate Present effective rate 13.75% p.a. with monthly rests For Fresh TL: @3.90% above Base Rate Present effective Rate 13.90% with monthly rests Terms of Repayment The Fresh Term Loan of Rs 15.000 Millions the Term Loan shall be repayable in 60 monthly excluding moratorium of 12 months, of Rs 0.225 Million each plus interest commencing from August 2013. Margin Raw Materials: Indigenous/ Semi Finished goods/Finished goods /Proposed Term Loan /Fresh Term Loan -25%, Domestic Receivables -40%*(with cover period of 90 days) Letters of Credit (Usance)/ Bank Guarantee -15% Extent and Operation of the charge 100% Others The above is to secure the credit facilities of Rs 75.500 Millions i.e. Cash Credit Stocks (Hyp) Rs 35.000 Millions, Term Loan-I Rs 0.700 Millions (outstanding), Term Loan II- Rs 2.000 Millions (Outstanding), Term Loan-III Rs 13.500 Millions (Outstanding), SME Car Loan Rs 0.100 Millions, Term Loan (Fresh ) Rs 15.000 Millions, BG Rs 4.000 Millions, LC Rs 5.000 Millions and Forward Contract Booking* Rs 0.200 Millions, granted by the Bank to the company. * 2% of Rs 10.000 Millions.
Short particulars of the property charged	Primary Security For CC: Hypothecation of stocks of all material including goods in transit and present and future receivables. Term Loan : First charge on the Plant and machinery and other fixed assets financed by the Bank Collateral Security: i) Equitable Mortgage of factory Land and Building at E-11, Bahadurgarh Industrial Area(Haryana), measuring an area of 4000 sq. yards, in the name of company ii) Equitable Mortgage of factory land and building situated at CH-2 and 4, Bahadurgarh Industrial Area, Bahadurgarh, measuring an area of 4033 sq. yards in the name of company. (iii) Equitable Mortgage of property located at Q-21, Model Town, Delhi-09, measuring an area of 243.60 sq. yards owned by Sh Beant Singh, Sh Sarbjot Singh, Sh Sarabdeep Singh and Smt Inderjit Kaur. Personal Guarantee Sh Beant Singh, Sh Sarbjot Singh, Sh Sarabdeep Singh and Smt Inderjit Kaur.
Date of Modification	28.09.2011
Particulars of the present modification	The various credit facilities stand enhanced from Rs 47.900 Millions to Rs 755.00 Millions i.e Cash Credit Stocks (Hyp) Rs 35.000 Millions, Term Loan-I Rs 0.700 Millions (outstanding), Term Loan II- Rs 2.000 Millions (Outstanding), Term Loan-III Rs 13.500 Millions (Outstanding), SME Car Loan Rs 0.100 Millions, Term Loan (Fresh ) Rs 15.000 Millions, BG Rs 4.000 Millions, LC Rs 5.000 Millions and Forward Contract Booking* Rs 0.200 Millions. Other term and conditions remaining the same.

TRADE REFERENCES:

Ø Honda Motors

Ø Henkel Adhesives and Technologies

FIXED ASSETS:

Ø Land

Ø Building

Ø Plant and Machinery

Ø Electrical Installation

Ø Equipments

Ø Office Equipment

Ø Tools and Equipment

Ø Lab Instrument

Ø Computer Equipment

Ø Computer

Ø Fire Extinguisher

Ø Mobile Phone

Ø Furniture and Fixture

Ø 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. 54.98
UK Pound	1	Rs. 88.11
Euro	1	Rs. 71.67

INFORMATION DETAILS

Information Gathered by :	SVA
Report Prepared by :	BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		27

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.