MIRA INFORM REPORT

Report Date :

17.01.2013

IDENTIFICATION DETAILS

Name :	MINDA VALEO SECURIY SYSTEMS PRIVATE LIMITED (w.e.f. 15.06.2011)
Formerly Known As :	MINDA LOCKING SYSTEMS PRIVATE LIMITED
Registered Office :	A – 15, Ashok Vihar, Phase -1, Delhi – 110052, India
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	03.01.2007
Com. Reg. No.:	55-157344
Capital Investment / Paid-up Capital :	Rs. 216.654 Millions
CIN No.: [Company Identification No.]	U34300DL2007PTC157344
TAN No.: [Tax Deduction & Collection Account No.]	DELM14501E
PAN No.: [Permanent Account No.]	AAECM9265E
Legal Form :	Private Limited Liability Company
Line of Business :	The Company is engaged in the business of Manufacturing Automotive Components.
No. of Employees :	Not Availlable

RATING & COMMENTS

MIRA’s Rating :

B (36)

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

Maximum Credit Limit :	USD 1598000
Status :	Moderate
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Subject is a joint venture between Ashok Minda Group and Valeo Security Systems, France. It is a well established company having a moderate track record. The management has failed to file its latest financial with the government department. As per previous year’s, the company seems to be good. Subject gets strong support from its holding companies. However, trade relations are reported to be fair. Business is active. Payments are unknown. The company can be considered for business dealings with slight 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

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 :	A – 15, Ashok Vihar, Phase -1, Delhi – 110052, India
Tel. No.:	91-120-2580249
Fax No.:	91-120-2580247
Email:	bertrand.marty@valeo.com
Website:	http://www.minda.co.in
Corporate Office :	D-9 and 10, Sector – 59, Noida – 201301, Uttar Pradesh, India
Tel. No.:	91-120-2580249, 91-120-2580250, 91-120-2581824
Fax No.:	91-120-2580247, 91-120-2581824
Factory 1 :	B-21, M.I.D.C. Chakan at Nighoje , Post : Kuruli, Tal Khed, District Pune – 410501, Maharashtra, India
Tel. No.:	91-2135-668400
Fax No.:	91-2135-668501
E-Mail :	info@mindavaleo.com

DIRECTORS

As on 29.09.2011

Name :

Mr. Jeevan Mahaldar

Designation :

Director

Address :

A4, Ganga Satellite, Wanowrie, Pune-411040, Maharashtra, India

Date of Birth/Age :

31.12.1958

Date of Appointment :

12.09.2011

DIN No.:

00137467

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	L74899DL1985PLC020401	MINDA CORPORATION LIMITED	Whole-time director	07-01-12	08-01-07	-	Active	NO
2	U34300DL2007PTC157344	MINDA VALEO SECURITY SYSTEMS PRIVATE LIMITED	Director	12-09-11	12-11-09	-	Active	NO

Name :

Mr. Avinash Prakash Gandhi

Designation :

Director

Address :

C – 2/14, Safdarjang Development Area, New Delhi-110016, India

Date of Birth/Age :

01.10.1938

Date of Appointment :

23.09.2008

DIN No.:

00161107

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	L74899DL1981PLC012804	LUMAX INDUSTRIES LIMITED	Director	31-07-02	31-07-02	-	Active	NO
2	U45201HR1982PLC014785	UNIPRODUCTS (INDIA) LIMITED	Director	30-10-03	30-10-03	-	Active	NO
3	L34300MH1990PLC055300	FAIRFIELD ATLAS LIMITED	Director	31-10-03	31-10-03	-	Active	NO
4	U74140DL2004PTC127802	AVINAR CONSULTING PRIVATE LIMITED	Director	22-07-04	22-07-04	-	Active	NO
5	U74899DL1994PTC060689	PANALFA AUTOMOTIVE PRIVATE LIMITED	Director	21-10-04	21-10-04	05-10-12	Active	NO
6	L31900DL1983PLC016304	HAVELLS INDIA LIMITED	Director	12-05-05	12-05-05	-	Active	NO
7	U34300DL1996PLC081210	CONTINENTAL ENGINES LIMITED	Director	06-10-05	06-10-05	22-12-11	Active	NO
8	L74899DL1985PLC020401	MINDA CORPORATION LIMITED	Director	28-01-06	28-01-06	-	Active	NO
9	L29130MH1962PLC012340	FAG BEARINGS INDIA LIMITED	Director	21-04-11	20-04-06	-	Active	NO
10	L74999DL1979PLC009937	INDO ALUSYS INDUSTRIES LIMITED	Director	25-09-06	31-07-06	-	Active	NO
11	U28920KA1995PLC017793	ALUCAST AUTO PARTS LIMITED	Director	23-01-07	23-01-07	01-09-08	Active	NO
12	U29221DL2007PLC160549	PANALFA AUTOELEKTRIK LIMITED	Director	19-03-07	19-03-07	-	Active	NO
13	U34300DL2007PTC157344	MINDA VALEO SECURITY SYSTEMS PRIVATE LIMITED	Director	23-09-08	31-05-07	-	Active	NO
14	U28910PB2001PLC024790	R.N.GUPTA AND COMPANY LIMITED	Director	30-09-11	03-05-08	-	Active	NO
15	U34102AP1998PLC029977	M.L.R.MOTORS LIMITED	Director	30-09-09	20-02-09	10-11-12	Active	NO
16	U29253DL2006PTC155275	MINDA FURUKAWA ELECTRIC PRIVATE LIMITED	Director	30-09-09	03-03-09	-	Active	NO
17	L34300DL1971PLC005634	CLUTCH AUTO LIMITED	Director	29-09-09	18-04-09	-	Active	NO
18	U34300DL1988PTC030280	TECH AUTO PRIVATE LIMITED	Director	06-03-10	06-03-10	-	Active	NO
19	U31905DL1981PLC127345	MINDA SAI LIMITED	Director	05-08-11	09-04-11	-	Active	NO

Name :

Mr. Dhamodharan Raju

Designation :

Director

Address :

Venkatchalapuram, Theni-626572, Tamilnadu, India

Date of Birth/Age :

19.05.1970

Date of Appointment :

30.09.2010

DIN No.:

02401889

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	U31908TN2007PTC081836	VALEO ENGINE AND ELECTRICAL SYSTEMS INDIA PRIVATE LIMITED	Director	27-03-09	27-03-09	-	Amalgamated	NO
2	U29130TN2005PTC081914	VALEO INDIA PRIVATE LIMITED	Managing director	23-09-09	27-03-09	-	Active	NO
3	U34300DL2007PTC157344	MINDA VALEO SECURITY SYSTEMS PRIVATE LIMITED	Director	30-09-10	12-11-09	-	Active	NO
4	U29130TN1997PTC037909	AMALGAMATIONS VALEO CLUTCH PRIVATE LIMITED	Director	19-11-09	19-11-09	-	Active	NO
5	U29309TN1997PLC038508	VALEO FRICTION MATERIALS INDIA LIMITED	Director	03-12-09	03-12-09	-	Active	NO
6	U51505DL2008PTC179801	VALEO LIGHTING SYSTEMS INDIA PRIVATE LIMITED	Additional director	01-02-10	01-02-10	-	Active	NO

Name :

Mr. Christophe Robert Elie Delhovren

Designation :

Director

Address :

15R, Jacques Prevert, Salouel-80480, France

Date of Birth/Age :

06.06.1965

Date of Appointment :

29.09.2011

DIN No.:

03458195

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	U34300DL2007PTC157344	MINDA VALEO SECURITY SYSTEMS PRIVATE LIMITED	Director	29-09-11	25-05-11	-	Active	NO

Name :

Marc Noel Vrecko

Designation :

Director

Address :

11, Allee Henri Market, Fourqueux-78112, France

Date of Birth/Age :

25.12.1964

Date of Appointment :

29.09.2011

DIN No.:

03553651

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	U34300DL2007PTC157344	MINDA VALEO SECURITY SYSTEMS PRIVATE LIMITED	Director	29-09-11	25-05-11	-	Active	NO

Name :

Mr. Dinesh Chand Sharma

Designation :

Director

Address :

1/3011, Ramnagar Extension, Street No.16, Shahdara, Delhi-110032, India

Date of Birth/Age :

01.07.1964

Date of Appointment :

29.09.2011

DIN No.:

01713496

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	U27310DL2007PTC167948	NTS TOOLING INDIA PRIVATE LIMITED	Director	10-09-07	10-09-07	-	Active	NO
2	U29120DL2005PTC133698	BRIJMON PUMPS PRIVATE LIMITED	Director	20-09-07	20-09-07	-	Active	NO
3	U31300DL1996PLC083438	MINDA CAPITAL LIMITED	Director	04-08-08	10-01-08	-	Active	NO
4	U34300DL2007PTC157344	MINDA VALEO SECURITY SYSTEMS PRIVATE LIMITED	Director	29-09-11	01-02-08	-	Active	NO
5	U18101DL1999PTC102452	MANAN HI-FASHIONS PRIVATE LIMITED.	Additional director	01-12-08	01-12-08	-	Active	NO
6	U25194DL2009PLC188691	MINDA SCHENK PLASTIC SOLUTIONS INDIA LIMITED	Director	20-03-09	20-03-09	-	Active	NO
7	U35122DL2006PTC156051	SUNMAX CONTAINERS PRIVATE LIMITED	Director	21-04-10	21-04-10	21-09-11	Active	NO

Name :

Mr. Abhay Madhukar Joshi

Designation :

Director

Address :

Flat No.501, DSX Ganga Ashiyana Rohini Aundh, Pune-411007, Maharashtra, India

Date of Birth/Age :

18.08.1966

Date of Appointment :

29.09.2011

DIN No.:

03640828

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	U34300DL2007PTC157344	MINDA VALEO SECURITY SYSTEMS PRIVATE LIMITED	Director	29-09-11	12-09-11	-	Active	NO

KEY EXECUTIVES

Management Team
Name :	Mr. Abhay Joshi
Designation :	Chief Executive Officer
Name :	Mr. Eric Hospital
Designation :	Plant General Manager
Name :	Mr. Jayant Bhavikatti
Designation :	Head Quality
Name :	Mr. Gautam Sharma
Designation :	Chief Finance Officer
Name :	Mr. J. Moorthy
Designation :	Director R and D Project
Name :	Mr. Jerry Daniel
Designation :	Director Sales and Marketing
Name :	Mr. Sudeep Varma
Designation :	Head HR
Name :	Mr. Himanshu Jain
Designation :	Regional Director R and D

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.2011

Names of Shareholders	No. of Shares
Valeo Bayen SAS, France	12832700
Minda Capital Private Limited, India	12832700
Total	25665400

Allottees as on 23.03.2012

Names of Allottees	No. of Shares
Valeo Bayen SAS, France	1000000
Minda Capital Private Limited, India	1000000
Total	2000000

Equity Share Break up (Percentage of Total Equity)

As on 29.09.2011

Category	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	50.00
Bodies corporate	50.00
Total	100.00

BUSINESS DETAILS

Line of Business :

The Company is engaged in the Business of Manufacturing Automotive Components.

Products :

Product Description	Item Code No.
Locks For Motor – Vehicle	930120
Parts And Accessories For Four Wheelers	870899

PRODUCTION STATUS AS ON 31.03.2011

Particulars	Unit	Installed Capacity	Actual Production
Lock Kits	Nos.	5000000	1278858
Switches and Other Components	Nos.	20000000	13350113
Tools	Nos.	NA	119

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

v Axis Bank Limited, S.No.186, CTS No.3189,Opp.PCMC Auditorium, Near Tata Motors, Station Road, Chinchwad, Pune - 411007, Maharashtra, India

Facilities :

Secured Loan	31.03.2011 (Rs. in Millions)	31.03.2010 (Rs. in Millions)
Rupee term loans banks secured	^(A)138.042	^(B)102.298
Working capital loans banks secured	^(C)190.892	^(D)58.899
Total	328.934	161.197

NOTE

(A) First charge on entire fixed assets of the Company and equitable mortgage on factory land and building located at Pune. Second charge on entire current assets of the Company. Corporate Guarantee from Group Company

(B) First charge on entire fixed assets of the Company and equitable mortgage on factory land and building located at Pune. Second charge on entire current assets of the Company. Corporate Guarantee from Group Company

(C) Cash credit facility Secured by: First pari passu hypothecation charge over stocks and book debts of the Company.Second pari passu charge on the entire movable and immovable fixed assets of the Company Corporate Guarantee of Group Company.

(D) Cash credit facility Secured by : First pari passu hypothecation charge over stocks and book debts of the Company.Second pari passu charge on the entire movable and immovable fixed assets of the Company Corporate Guarantee of Group Company.

Banking Relations :	--
Auditors :
Name :	S.R.Batliboi and Company Chartered Accountants
Address :	C-401, Fourth Floor, Panchshil Tech Park, Yerwada, Pune-411006, Maharashtra, India
PAN No.:	ABSFS4151K
Joint Venture Partners :	· Minda Capital Limited · Valeo Bayen, France
Subsidiaries of Ventures :	· Minda Corporation Limited · Minda Sai Limited · Minda Management Services Limited · Mindarika Private Limited · Minda Silca Engineering Limited · Minda Finance Limited · Minda Autocare Limited (Switch Master Limited) · O’Z Minda LLC · Valeo Securite Habitacle · Valeo Security System (Pianezza) · Minda KTSN Plastic Solution GMBH and Company KG · Valeo Security Systems (Brazil) · Valeo Vems · Valeo S.P.A. · Valeo Securezza Abitacolo · Minda Schenk Plastic Solustions GMBH · Valeo Japan Company Limited · Valeo Climate Control · Valeo Climatizacion · Minda Stoneridge Instruments Limited · Valeo Security System, Spain

CAPITAL STRUCTURE

After 29.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
30000000	Equity Shares	Rs.10/- each	Rs. 300.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
27665400	Equity Shares	Rs.10/- each	Rs. 276.654 Millions

As on 29.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
30000000	Equity Shares	Rs.10/- each	Rs. 300.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
25665400	Equity Shares	Rs.10/- each	Rs. 256.654 Millions

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
25000000	Equity Shares	Rs.10/- each	Rs. 250.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
21665400	Equity Shares	Rs.10/- each	Rs. 216.654 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		216.654	184.654	184.654
2] Share Application Money		33.000	0.000	0.000
3] Reserves & Surplus		149.908	135.492	127.528
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		399.562	320.146	312.182
LOAN FUNDS
1] Secured Loans		328.934	161.197	147.517
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		328.934	161.197	147.517
DEFERRED TAX LIABILITIES		0.740	2.160	0.414
TOTAL		729.236	483.503	460.113
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		440.374	314.519	334.701
Capital work-in-progress		39.856	43.706	30.314
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	203.372	118.348	84.270
	Sundry Debtors	392.543	171.005	183.198
	Cash & Bank Balances	0.813	3.166	27.400
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	182.820	70.838	77.506
Total Current Assets		779.548	363.357	372.374
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	442.620	153.144	186.111
	Other Current Liabilities	52.926	68.947	81.412
	Provisions	34.996	15.988	9.753
Total Current Liabilities		530.542	238.079	277.276
Net Current Assets		249.006	125.278	95.098
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		729.236	483.503	460.113

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	1725.274	942.365	778.298
		Other Income	29.641	18.290	23.767
		TOTAL (A)	1754.915	960.655	802.065
Less	EXPENSES
		Material consumed and manufacturing expenses	1629.651	871.184	551.659
		Personnel cost			99.908
		Administration and other expenses			56.980
		Selling and distribution expenses			25.288
		TOTAL (B)	1629.651	871.184	733.835
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		125.264	89.471	68.230
Less	FINANCIAL EXPENSES (D)		33.793	23.649	18.865
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		91.471	65.822	49.365
Less/ Add	DEPRECIATION/ AMORTISATION (F)		64.163	51.782	42.354
	PROFIT BEFORE TAX (E-F) (G)		27.308	14.040	7.011
Less	TAX (H)		10.640	6.076	1.703
	PROFIT AFTER TAX (G-H) (I)		16.668	7.964	5.308
Less	Prior Period Expenses		2.252	--	--
	NET PROFIT		14.416	7.964	5.308
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		10.579	2.615	(2.693)
	BALANCE CARRIED TO THE B/S		24.995	10.579	2.615
	EARNINGS IN FOREIGN CURRENCY
		Export of Finished Goods	NA	NA	167.845
	IMPORTS
		Raw Materials and Components	NA	NA	104.343
		Tools	NA	NA	13.473
		Capital Goods	NA	NA	8.038
	TOTAL IMPORTS		NA	NA	125.854
	Earnings Per Share (Rs.)		0.69	0.43	0.29

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	0.95	0.83	0.66
Net Profit Margin (PBT/Sales)	(%)	1.58	1.49	0.90
Return on Total Assets (PBT/Total Assets}	(%)	2.24	2.07	0.99
Return on Investment (ROI) (PBT/Networth)		0.07	0.04	0.02
Debt Equity Ratio (Total Liability/Networth)		2.15	1.25	1.36
Current Ratio (Current Asset/Current Liability)		1.47	1.53	1.34

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	No

CONTINGENT LIABILITIES:

Contingent Liabilities not provided for:

(Rs. in millions)

PARTICULARS	31.03.2011
Claims against the company not acknowledged as debts:
Income taxes (Note 1)	0.590

Note 1:

Contingent liability of Rs. 0.590 million represents disputed income tax demands pertaining to AY 2008-09 arising from disallowances of the Companys claim of certain expenses under Income Tax Act, 1961. The Company believes that such claims are allowable and has filed the necessary appeals with relevant authorities. Consequently no provision has been made in the books of accounts in respect of such disputed income tax demands.

FIXED ASSESTS

v Tangible Assets

• Leasehold Land
• Building
• Plant and Machinery
• Furniture and Fixtures
• Office Equipment
• Vehicles

v Intangible Assets

• Computer Software

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.54.83
UK Pound	1	Rs.87.99
Euro	1	Rs.72.83

INFORMATION DETAILS

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	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	4
--RESERVES	1~10	4
--CREDIT LINES	1~10	4
--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		36

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.