MIRA INFORM REPORT

Report Date :

08.01.2013

IDENTIFICATION DETAILS

Name :	SOUTHERN SPINNERS AND PROCESSORS LIMITED
Registered Office :	3, Madurai-Melakkal Road, Madurai – 625016, Tamil Nadu
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	09.06.2005
Com. Reg. No.:	18-056558
Capital Investment / Paid-up Capital :	Rs. 50.500 Millions
CIN No.: [Company Identification No.]	U17111TN2005PLC056558
PAN No.: [Permanent Account No.]	AAJCS7137G
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer and Exporters of Cotton Yarn.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (31)

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

Maximum Credit Limit :	USD 800000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. Latest financials i.e. 2011-12 are missing from the government department. From the available financial of 2011, it seems that there appears some accumulated losses recorded by the company. However, the company is slowly wipping off its accumulated losses. Trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealings with some cautions.

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	A3: Letter of Credit
Rating Explanation	Moderate degree of safety. It carry higher credit risk.
Date	09.07.2012

Rating Agency Name	CRISIL
Rating	BBB- Cash Credit
Rating Explanation	Moderate degree of safety. It carry moderate credit risk.
Date	09.07.2012

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 :	3, Madurai-Melakkal Road, Madurai – 625016, Tamil Nadu, India
Tel. No.:	91-452-4283800/ 23818122/ 2318152
Fax No.:	91-452-4283831
E-Mail :	vijayaraghavan@fennermail.com
Factory:	Kumarakottam, Pattukonampatty PO, Pappireddipatty – TK, Dharmapure District, Madurai – 636905, Tamil Nadu, India
Tel. No.:	91-4346-246444/ 247362
Fax No.:	91-4346-247364
E-Mail :	sspitex@dataone.in

DIRECTORS

As on: 27.08.2012

Name :

Mr. Alampundi Natarajan Ravichandran

Designation :

Director

Address :

No. 92, Flat No. 1C, Jain Saagarika Apartment, Sathya Avenue, MRC Nagar, R. A. Puram, Chennai – 600028, Tamil Nadu, India

Date of Birth/Age :

12.05.1954

Date of Appointment :

25.09.2009

DIN No.:

02485840

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	U74210DL1978PLC009175	ACORN ENGINEERING LIMITED	Director	26-08-09	16-12-08	-	Active	NO
2	U17111TN2005PLC057274	MODERN COTTON YARN SPINNERS LIMITED	Director	25-09-09	16-12-08	-	Active	NO
3	U17111TN2005PLC056558	SOUTHERN SPINNERS AND PROCESSORS LIMITED	Director	25-09-09	16-12-08	-	Active	NO
4	U24231TN1992PLC062306	FENNER (INDIA) LIMITED	Whole-time director	24-12-11	24-12-08	-	Active	NO

Name :

Mr. Pawan Kumar Rustagi

Designation :

Director

Address :

Flat No. 1589, Sector - B, Pocket - 1, Vasant Kunj, New Delhi – 110070, India

Date of Birth/Age :

25.09.1955

Date of Appointment :

01.08.2006

DIN No.:

00006979

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	U74899DL1993PLC054817	HANSDEEP INDUSTRIES AND TRADING COMPANY LIMITED	Director	09-07-01	09-07-01	30-05-09	Active	NO
2	U65993WB2000PLC036696	TERRESTRIAL FINANCE LTD.	Director	29-12-01	29-12-01	-	Not Available for eFiling	NO
3	U67120DL1983PLC118096	TERRESTRIAL FINANCE LIMITED	Director	29-12-01	29-12-01	-	Amalgamated	NO
4	L67120DL1947PLC116830	BENGAL AND ASSAM COMPANY LIMITED	Director	25-05-04	25-05-04	02-02-09	Active	NO
5	U67120DL2005PLC161088	BMF INVESTMENTS LIMITED	Director	30-09-05	30-09-05	-	Active	NO
6	U72900DL2000PLC162904	NETFLIER FINCO LIMITED	Director	04-02-06	04-02-06	-	Amalgamated	NO
7	U01400WB2000PLC091286	JK AGRI GENETICS LIMITED	Director	21-09-06	04-02-06	-	Active	NO
8	U17111TN2005PLC056558	SOUTHERN SPINNERS AND PROCESSORS LIMITED	Director	01-08-06	01-08-06	-	Active	NO

Name :

Mr. Krishnan Raman

Designation :

Director

Address :

S2 Jayantha Park, No. 36, Park Road, Anna Nagar West Extension, Chennai – 600101, Tamil Nadu, India

Date of Birth/Age :

19.09.1967

Date of Appointment :

27.08.2012

DIN No.:

03297527

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	U74210DL1978PLC009175	ACORN ENGINEERING LTD	Director	30-08-11	01-02-11	-	Active	NO
2	U17111TN2005PLC057274	MODERN COTTON YARN SPINNERS LIMITED	Director	09-09-11	01-02-11	-	Active	NO
3	U17111TN2005PLC056558	SOUTHERN SPINNERS AND PROCESSORS LIMITED	Director	27-08-12	07-12-11	-	Active	NO

KEY EXECUTIVES

Name :	Mahalingam Sundar
Designation :	Secretary
Address :	30/10, Welcome Colony, Anna Nagar West Extension, Chennai – 600101, Tamil Nadu, India
Date of Birth/Age :	23.09.1981
Date of Appointment :	20.04.2011
PAN No.:	BQHPS2615B
Name :	Mr. Raghu Raman Sundaramurthy
Designation :	Manager
Address :	No. 30, Subramanian Koil Street, Old Saram, Pondicherry – 605013, Tamil Nadu, India
Date of Birth/Age :	21.04.1961
Date of Appointment :	01.08.2010
PAN No.:	AAKPR1987P

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on: 27.08.2012

Names of Shareholders	No. of Shares
Fenner (India) Limited, India	5049994
C. S. Raghavan (Jointly with) Fenner (India) Limited	1
S. Muralidaran (Jointly with) Fenner (India) Limited	1
A. N. Ravichandran (Jointly with) Fenner (India) Limited	1
R. Vijayaraghavan (Jointly with) Fenner (India) Limited	1
R. Krishnan (Jointly with) Fenner (India) Limited	1
V. Rengaswamy (Jointly with) Fenner (India) Limited	1
Total	5050000

Equity Share Break up (Percentage of Total Equity)

As on: 27.08.2012

Category	Percentage
Bodies corporate	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer & Exporters of Cotton Yarn.

Products :

Product Description	ITC Code Number
Cotton Yarn	520512.01 and 520513.01
Polyester Cotton Fabric	551411.1

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

Canara Bank, 118-B, West Perumal Maistry Street, Madurai - 625001,Tamil Nadu, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2011	As on 31.03.2010
Working Capital Loans Banks Secured	161.332	68.730
Total	161.332	68.730

Banking Relations :	--
Auditors :
Name :	S. S. Kothari Mehta and Company Chartered Accountants
Address :	146-149, Tribhuvan Complex, Ishwar Nagar, Mathura Road, New Delhi – 110065, India
PAN No.:	AABFS6730L
Holding Company :	Fenner (India) Limited
Fellow Subsidiary Companies :	· Modern Cotton Yarn Spinners Limited · Acorn Engineering Limited · BMF Investments Limited
Holding Company of Fenner (India) Limited	Bengal and Assam Company Limited

CAPITAL STRUCTURE

As on: 27.08.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
5050000	Equity Shares	Rs.10/- each	Rs. 50.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
5050000	Equity Shares	Rs.10/- each	Rs. 50.500 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		50.500	50.500	50.500
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		159.999	159.999	159.999
4] (Accumulated Losses)		(7.158)	(18.621)	(19.518)
NETWORTH		203.341	191.878	190.981
LOAN FUNDS
1] Secured Loans		161.332	68.730	66.989
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		161.332	68.730	66.989
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		364.673	260.608	257.970
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		56.543	64.319	72.097
Capital work-in-progress		0.531	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		4.144	11.219	12.222
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	292.913	149.896	81.482
	Sundry Debtors	45.196	41.732	30.979
	Cash & Bank Balances	1.800	2.170	3.705
	Other Current Assets	0.146	3.204	0.000
	Loans & Advances	41.599	20.480	67.228
Total Current Assets		381.654	217.482	183.394
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	37.841	18.843	17.316
	Other Current Liabilities	39.718	13.063	0.823
	Provisions	0.640	0.506	0.724
Total Current Liabilities		78.199	32.412	18.863
Net Current Assets		303.455	185.070	164.531
MISCELLANEOUS EXPENSES		0.000	0.000	9.120
TOTAL		364.673	260.608	257.970

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	693.313	413.842	338.654
		Other Income	3.641	7.617
		TOTAL (A)	696.954	421.459	338.654
Less	EXPENSES
		Consumption materials changes inventories	516.224	291.946	0.000
		Materials and Manufacturing	0.000	0.000	298.296
		Manufacturing service costs	84.898	68.545	0.000
		Employee related expenses	40.757	40.021	35.121
		Freight and Transportation	0.000	0.000	5.276
		Administrative selling other expenses	18.575	8.338	0.000
		Other Expenses	0.000	0.000	9.788
		Increase/ (Decrease) in Finished Goods	0.000	0.000	(0.304)
		TOTAL (B)	660.454	408.850	348.177
Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		36.500	12.609	(9.523)
Less	FINANCIAL EXPENSES (D)		6.265	2.310	1.758
	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)		30.235	10.299	(11.281)
Less/ Add	DEPRECIATION/ AMORTISATION		8.441	8.399	9.017
	PROFIT/ (LOSS) BEFORE EXCEPTIONAL ITEMS		21.794	1.900	(20.298)
Less	FOREIGN EXCHANGE FLUCTUATIONS		0.000	0.000	2.707
	PROFIT/(LOSS) BEFORE TAX		21.794	1.900	(23.005)
Less	TAX		10.331	1.003	(7.631)
	PROFIT/ (LOSS) AFTER TAX		11.463	0.897	(15.374)
Less	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		18.621	19.518	4.144
	BALANCE CARRIED TO THE B/S		(7.158)	(18.621)	(19.518)
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	244.393	54.335	73.436
	TOTAL EARNINGS		244.393	54.335	73.436
	IMPORTS
		Raw Materials	0.000	9.659	50.355
		Stores and Spares	0.499	0.000	0.000
	TOTAL IMPORTS		0.499	9.659	50.355
	Earnings Per Share (Rs.)		2.27	0.18	2.80

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	1.65	0.21	(4.54)
Net Profit Margin (PBT/Sales)	(%)	3.14	0.46	0.00
Return on Total Assets (PBT/Total Assets}	(%)	4.97	0.67	(9.01)
Return on Investment (ROI) (PBT/Networth)		0.11	0.01	(0.12)
Debt Equity Ratio (Total Liability/Networth)		1.18	0.53	0.45
Current Ratio (Current Asset/Current Liability)		4.88	6.71	9.72

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	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

NOTE:

The registered office of the company has been shifted from Khivraj Complex-II, 5th Floor, 480, Anna Salai, Nandanam, Chennai – 600035, Tamil Nadu, India to present address w.e.f. 08.07.2008

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U17111TN2005PLC056558
Name of the company	SOUTHERN SPINNERS AND PROCESSORS LIMITED
Address of the registered office or of the principal place of business in India of the company	3, Madurai-Melakkal Road, Madurai – 625016, Tamil Nadu, India vijayaraghavan@fennermail.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10078626
Type of charge	· Immovable property · Movable property (not being pledge)
Particular of charge holder	Canara Bank, 118-B, West Perumal Maistry Street, Madurai - 625001,Tamil Nadu, India cb1008@canarabank.com
Nature of instrument creating charge	Supplemental Common Hypothecation Agreement dated 15.02.2011
Date of instrument Creating the charge	15.02.2011
Amount secured by the charge	Rs. 160.000 Millions
Brief of the principal terms and conditions and extent and operation of the charge	Rate of interest Base Rate Plus 4% Margin 20% for raw materials/work in process/ finished goods and 20% against stores/ book debts. 10% for PC/PCFC and ILC / FLC/BG Extent and operation of the charge First charge on stocks i.e. raw material, work-in-process and finished goods, consumable stores and spares and book debts of the company. Equitable mortgage on the immovable properties of the company together with the structures standing thereon, by way of deposit of title deeds.
Short particulars of the property or assets charged (including complete address and location of the property)	· First charge on stocks i.e. raw material, work-in-process and finished goods, consumable stores and spares and book debts of the company. Location: Pappireddipatti, Dharmapuri District · Equitable mortgage on the immovable properties of the company together with the structures standing thereon, by way of deposit of title deeds. Location: Pappireddipatti, Dharmapuri District
Date of last modification prior to the present modification	13.02.2009
Particulars of the present modification	Total limit increased from Rs.150.000 Millions to Rs.160.000 Millions.

OPERATIONS

During the year, the Company achieved a turnover of Rs. 696.954 Millions as against Rs. 421.459 Millions in the previous year. The Net profit after providing financial charges and depreciation for the year was Rs. 21.794 Millions. Excellent all round performance led to a turnaround in the Company's operations leading to good profits.

The revenue of the company grew by 67% percent in the year under review. Well thought through and timely coverage of cotton has enabled the company to compete and grow. Despite restriction on exports of cotton yarn from 1st Dec’10 the company could still divert the product mix towards domestic customers’ requirements. While power restrictions remained, the company resorted to a judicious mix of independent power as well as restricted use of generated power, leading to economic production of yarn. The product mix was also altered towards coarser yarn, increasing the utilisation of its capacity.

FIXED ASSETS

· Free Hold Land

· Building

· Furniture and Fixtures

· Plant and Machinery

· 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 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

Report Prepared by :

UDS

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--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	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		31

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.