MIRA INFORM REPORT

Report Date :

09.01.2013

IDENTIFICATION DETAILS

Name :	NANGALWALA AUTO MANUFACTURING PRIVATE LIMITED
Registered Office :	29, 30, Old Industrial Area, ITI Road, Alwar – 301001, Rajasthan
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	11.02.1988
Com. Reg. No.:	17-004282
Capital Investment / Paid-up Capital :	Rs. 1.281 millions
CIN No.: [Company Identification No.]	U51109RJ1988PTC004282
Legal Form :	Private Limited Liability Company.
Line of Business :	Manufacturer and Exporter of Auto parts, Auto cable, wiring harness etc.
No. of Employees :	125 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

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

Maximum Credit Limit :	USD 39000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments. The company can be considered normal for business dealings at usual trade terms and conditions.

NOTES :

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

ECGC Country Risk Classification List – June 30, 2012

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

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

INDIAN ECONOMIC OVERVIEW

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

Source : CIA

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	SME – SE3B
Rating Explanation	Moderate financial strength and moderate performance capability.
Date	May - 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. Subhash Agarwal
Designation :	Chief Executive Officer
Contact No.:	91-9829247609
Date :	08.01.2013

LOCATIONS

Registered Office / Factory :	29,30, Old Industrial Area, ITI Road, Alwar – 301001, Rajasthan, India
Tel. No.:	91-144-2332209
Mobile No.:	91-9829247609 (Mr. Subhash)
Fax No.:	91-144-2703384
E-Mail :	info@nangalwala.com/ r_shah111@hotmail.com/ acstarachand@rediffmail.com
Website :	www.nangalwala.com
Area :	225 sq.ft.
Location :	Owned
Branch office:	Pitampura, New Delhi

DIRECTORS

As on 29.09.2012

Name :

Mr. Naresh Agarwal

Designation :

Director

Date of Birth/Age :

28.01.1963

Date of Appointment :

11.02.1988

DIN No.:

00365234

Name :

Mr. Suresh Chand Agarwal

Designation :

Director

Date of Birth/Age :

01.09.1960

Date of Appointment :

11.02.1988

DIN No.:

00328362

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	U51109RJ1988PTC004282	NANGALWALA AUTO MANUFACTURING PRIVATE LIMITED	Director	08-05-92	08-05-92	-	Active	NO
2	U74140DL2011PTC212080	SHRI BALAJI CREATION PRIVATE LIMITED	Director	03-01-11	03-01-11	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Subhash Agarwal
Designation :	Chief Executive Officer

MAJOR SHAREHOLDERS

As on 29.09.2012

Names of Shareholders	No. of Shares
Sunder Lal Agarwal	1201
Om Prakash Agarwal	451
Naresh Agarwal	541
Subhash Agarwal	2500
Suresh Agarwal	1780
Geeta Agarwal	2270
Mamta Agarwal	215
Neeru Agarwal	2750
Prem Agarwal	600
Madhur Agarwal	500
TOTAL	12808

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 :	Manufacturer and Exporter of Auto parts, Auto cable, wiring harness etc.
Products :	Ins. Auto Cables Wiring Harness PVC Compound Master Batches Electric Cables Auto Utility Kits Auto Accessories Copper Wires Armored Cables PVC Sleeves Instrumentation Cable XLPE Cables etc.
Exports :
Products :	· Auto Parts · Auto Cable
Countries :	· USA · UK · Middle East
Terms :
Selling :	Cash and Credit – 30 Days
Purchasing :	Cash and Credit – 30 Days

GENERAL INFORMATION

Suppliers :

• Jindal Company

Customers :

Wholesalers and Retailers

• Jacco Distribution (USA)

No. of Employees :

125 (Approximately)

Bankers :

Bank of Baroda, Branch Manu Bagh, Alwar 301001,RAJASTHAN, INDIA

Facilities :

Secured Loan	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
Loans repayable on Demand	19.803	8.495
Total	19.803	8.495
Unsecured Loan	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
Loans and advances from related parties	18.431	0.000
Other loans and advances	0.245	4.563
Total	18.676	4.563

Banking Relations :	-----
Auditors :
Name :	Ravindra Shah and Company Chartered Accountants
Address :	17, Shopping Centre, Manu Marg, Housing Board, Behind Roadways Workshop, Alwar – 302001, Rajasthan, India
PAN No.:	AGWPS3789A
Sister concern:	Nangalwala Chemical Industries, Alwar Nangalwala Impex Private Limited Madur Glass and Chemicals Industries, Alwar N Core Cable, Daman

CAPITAL STRUCTURE

As on 29.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
15000	Equity Shares	Rs.100/- each	Rs. 1.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
12808	Equity Shares	Rs.100/- each	Rs. 1.281 Millions

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		1.281	1.281	1.281
2] Share Application Money		0.219	0.030	0.030
3] Reserves & Surplus		8.207	6.514	5.293
4] (Accumulated Losses)		0.000	0.000	0.00
NETWORTH		9.707	7.825	6.604
LOAN FUNDS
1] Secured Loans		19.803	8.495	11.231
2] Unsecured Loans		18.676	4.563	0.000
TOTAL BORROWING		38.479	13.058	11.231
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		48.186	20.883	17.835
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		8.087	1.431	0.257
Capital work-in-progress		0.000	0.000	0.00
INVESTMENT		1.400	1.400	1.400
DEFERRED TAX ASSETS		0.173	0.037	0.049
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.040	0.149	0.282
	Sundry Debtors	6.562	6.717	4.363
	Cash & Bank Balances	1.643	0.791	1.461
	Other Current Assets	0.447	0.416	1.329
	Loans & Advances	31.924	11.289	12.532
Total Current Assets		40.616	19.362	19.967
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	0.191	0.513	2.009
	Other Current Liabilities	0.914	0.253	1.365
	Provisions	0.985	0.582	0.464
Total Current Liabilities		2.090	1.348	3.838
Net Current Assets		38.526	18.014	16.129
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		48.186	20.883	17.835

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	102.133	46.006	41.661
		Other Income	6.046	3.520	2.325
		TOTAL (A)	108.179	49.526	43.986
Less	EXPENSES
		Purchase	97.510	43.638	42.079
		Changes in inventories	0.109	0.133
		Employee benefit expense	1.171	0.188
		Other expense	5.003	2.672
		TOTAL (B)	103.793	46.631	42.079
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		4.386	2.895	1.907
Less	FINANCIAL EXPENSES (D)		1.613	1.012	0.492
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		2.773	1.881	1.415
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.323	0.114	0.094
	PROFIT BEFORE TAX (E-F) (G)		2.450	1.767	1.321
Less	TAX (I)		0.757	0.546	0.409
	PROFIT AFTER TAX (G-I) (J)		1.693	1.221	0.912
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		6.416	5.195	4.283
	BALANCE CARRIED TO THE B/S		8.109	6.416	5.195
	EARNINGS IN FOREIGN CURRENCY		0.000	46.006	41.661
	Earnings Per Share (Rs.)		132.18	95.36	71.27

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	1.56	2.47	2.07
Net Profit Margin (PBT/Sales)	(%)	2.40	3.84	3.17
Return on Total Assets (PBT/Total Assets}	(%)	5.03	8.50	6.52
Return on Investment (ROI) (PBT/Networth)		0.25	0.23	0.19
Debt Equity Ratio (Total Liability/Networth)		4.18	1.84	2.28
Current Ratio (Current Asset/Current Liability)		19.43	3.28	5.20

Expected Sales (2012.13) : Rs.110.000 Millions

The above information has been parted by Mr. Mr. Subhash Agarwal

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	No
34]	External Agency Rating, if available	Yes

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U51109RJ1988PTC004282
Name of the company	NANGALWALA AUTO MANUFACTURING PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	29-30, Industrial Area, Alwar, Rajasthan, India Email :
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	90074263
Type of charge	· Immovable Property · Book Debts · Movable Property (not being pledge)
Particular of charge holder	Bank of Baroda, Manu Marge, Branch At Alwar – 301001, Rajasthan, India Email : alwar@bankofbaroda.com
Nature of instrument creating charge	Supplemental composite agreement of hypothecation of goods, book-debts, moveable machinery and vehicles.
Date of instrument Creating the charge	30.07.2011
Amount secured by the charge	Rs.36.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest PC/PCFC: As per extant guidelines of the bank. FBP/FBD :- upto 180 days from the date of advance 1 % above base rate i.e. 11.25% p.a. at with monthly rest subject to change in base rate Terms of Repayment PC/PCFC 12 Months FBP/FBD 12 Months Margin PC/PCFC 10% FBP/FBD Nil Extent and Operation of the charge Upto the limit of Rs.36.000 Millions
Short particulars of the property or asset(s) charged (including complete address and location of the property)	For Pc: - D.P. Notes, Letter Of Continuing Security, Hyp. Of Stock, Book Debts and Other Current Assets, Letter Of Undertaking, Letter Of Lien, Trust Receipts, Ecgc Guarantee EM of factory land and building situated at 01, Old Industrial Area, Alwar
Date of instrument modifying the charge	11.11.2010
Particulars of the present modification	To limit has been increased as follows PC/PCFC Rs.12.500 Millions (Existing) Rs.15.000 Millions (Increased to ) FBP/FBD Rs.7.500 Millions (Existing) Rs.15.000 Millions (Increased to ) Gold card for exporters Rs.Nil (Existing) Rs.6.000 Millions (Increased to )

Trade References

· Al Lawazin Autoparts and Accessories

· SAS Projects and Marketing Services Private Limited

FIXED ASSETS:

• Furniture and Fixture
• Computer
• Cycle
• Mobile Phone
• Trade Mark
• Car

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.55.33
UK Pound	1	Rs.89.05
Euro	1	Rs.72.57

INFORMATION DETAILS

Information Gathered by :	SVA
Report Prepared by :	SPN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--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		45

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.