MIRA INFORM REPORT

Report Date :

03.07.2013

IDENTIFICATION DETAILS

Name :	MAHINDRA TRUCKS AND BUSES LIMITED (w.e.f. 04.06.2013)
Formerly Known As :	MAHINDRA NAVISTAR AUTOMOTIVES LIMITED (w.e.f. 06.06.2008) MAHINDRA INTERNATIONAL LIMITED
Registered Office :	Gateway Building, Apollo Bunder, Mumbai-400001, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	20.06.1994
Com. Reg. No.:	11-079098
Capital Investment / Paid-up Capital :	Rs. 8009.256 Millions
CIN No.: [Company Identification No.]	U63040MH1994PLC079098
PAN No.: [Permanent Account No.]	AAACM7863L
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of Commercial Vehicles.
No. of Employees :	Information declined by management

RATING & COMMENTS

MIRA’s Rating :

Ba (50)

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

Maximum Credit Limit :	USD 11800000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is a part of “Mahindra Group”. It is an established company having satisfactory track record. Eventhough the management was quite efficient in increasing its sales turnover, but failed to generate profits. There appears huge accumulated loss recorded during 2012. Liquidity position is stretched. The ratings, however, take into consideration, the strong managerial and financial support which the subject gets from its holding company. Trade relations are fair. Business is active. Payment terms are reported as usually correct. 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.

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 DECLINED

MANAGEMENT NON-COOPERATIVE (Tel. No.: 91-22-22021031)

LOCATIONS

Registered Office :	Gateway Building, Apollo Bunder, Mumbai-400001, Maharashtra, India
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	parte.rajesh@mahindra.com avasare.nihar@mahindra.com
Corporate Office :	Marketing Department,3^rd Floor Mahindra Towers Worli, Mumbai-400018, Maharashtra, India
Tel. No.:	91-20-27473600

DIRECTORS

As on 02.08.2012

Name :	Mr. Anand Gopal Mahindra
Designation :	Director
Address :	Goolestan, 65, Nepean Sea Road, Mumbai-400006, Maharashtra, India
Date of Birth/Age :	01.05.1955
Qualification :	BA (Harvard), MBA (Harvard)
Date of Appointment :	11.01.2006
DIN No.:	00004695
Name :	Mr. Hemant Hans Raj Luthra
Designation :	Director
Address :	Breach Candy Gardens, Flat No.6, 2nd Floor, Bhulabhai Desai Road, Mumbai-400026, Maharashtra, India
Date of Birth/Age :	18.04.1949
Qualification :	B.Tech, PGDBM (Harvard)
Date of Appointment :	11.01.2006
DIN No.:	00231420
Name :	Dr. Pawan Kumar Goenka
Designation :	Director
Address :	Flat No.602, 9th JVPD, Near UTI Bank Limited, 10th Road, Vile Parle (West), Mumbai-400056, Maharashtra, India
Date of Birth/Age :	23.09.1954
Qualification :	B.Tech, M.S. Phd.
Date of Appointment :	11.01.2006
DIN No.:	00254502
Name :	Mr. Nalin Bhimsen Mehta
Designation :	Director
Address :	1805/06, Beverly Hills, T-36, Shastri Nagar, Andheri (West), Mumbai-400053, Maharashtra, India
Date of Birth/Age :	08.09.1958
Qualification :	B.Tech(IIT), MBA(FMS), Delhi
Date of Appointment :	28.07.2011
PAN No.:	AAOPM1564H
DIN No.:	02272736
Name :	Mr. Durgashankar Subramaniam
Designation :	Additional Director
Address :	203, 2^nd Floor, Ganga Towers, Atur Park, Sion Trombay Road Mumbai-400071, Maharashtra, India
Date of Birth/Age :	13.07.1959
Date of Appointment :	26.04.2013
DIN No.:	00044713
Name :	Mr. Bharat Moossaddee
Designation :	Additional Director
Address :	M-14/17, DLF City-II, Off Akashneem Marg, Gurgaon-122002, Haryana, India
Date of Birth/Age :	11.11.1962
Date of Appointment :	26.04.2013
DIN No.:	02166403
Name :	Mr. Rajan Wadhera
Designation :	Additional Director
Address :	1203, Oberoi Gardens, 'C' Wing Thakur Village, Kandivli (East) Mumbai-400101, Maharashtra, India
Date of Birth/Age :	10.07.1956
Date of Appointment :	26.04.2013
DIN No.:	00416429

KEY EXECUTIVES

Name :	Mr. Nandkumar Khandare
Designation :	VP - Engineering (PD)
Name :	Mr. Mandeep J Sachdeva
Designation :	Sr - VP Vendor Development and Supply Chain Management and SCM

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 02.08.2012

Names of Shareholders	No. of Shares
Mahindra and Mahindra Limited, India jointly Mr. A. M. Choksey	1
Mahindra and Mahindra Limited, India jointly. Mr. Narayan Shankar	1
Mahindra and Mahindra Limited, India jointly Mr. P. N. Shah	1
Mahindra and Mahindra Limited, India jointly Mr. A. K. Nanda	1
Mahindra and Mahindra Limited, India jointly Mr. M. A. Nazareth	1
Mahindra and Mahindra Limited, India jointly Ms. Angarika Baviskar	1
Mahindra and Mahindra Limited, India jointly Mr. Vinay Mohan	1
Mahindra and Mahindra Limited, India	408472093
International Truck And Engine Corporation Mauritius Holding Limited, Mauritius	392453500
Total	800925600

List of Allottees as on 20.03.2013

Names of Allottees	No. of Shares
Mahindra and Mahindra Limited, India	347000000
Total	347000000

As on 02.08.2012

Equity Share Break up (Percentage of Total Equity)

Category	Percentage of Holding
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	49.00
Bodies corporate	51.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Commercial Vehicles.

Products :

Item Code No. (ITC Code)	Product Description
87029999	Commercial Vehicles
87049999	Commercial Vehicles

GENERAL INFORMATION

No. of Employees :

Information declined by management

Bankers :

Punjab and Sind Bank, 78, Girgaon Road, Opera House, Mumbai - 400004, Maharashtra, India

Facilities :

Secured Loans	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
Term Loans - from Banks	2464.286	2700.000
Total	2464.286	2700.000

Banking Relations :	--
Financial Institution :	Sbicap Trustee Company Limited 202, Maker Tower, 'E', Cuffe Parade, Colaba, Mumbai - 400005, Maharashtra, India
Auditors :
Name :	A.F. Ferguson and Comapany Chartered Accountants
Address :	Mumbai, Maharashtra, India
PAN No.:	AABFA5846M
Holding Company :	Mahindra and Mahindra Limited, India (also a venturer in respect of which Mahindra NavistarAutomotives Limited is a joint venture) CIN No.: L65990MH1945PLC004558
Companies having significantinfluence :	International Truck and Engines Mauritius Holding Limited, Mauritius
Fellow Subsidiaries :	· Bristlecone India Limited CIN No.: U30007MH1991PLC064368 Mahindra Engineering ServicesLimited CIN No.: U72400MH1995PLC091404 Mahindra and Mahindra FinancialServices Limited CIN No.: L65921MH1991PLC059642 Mahindra Ugine Steel CompanyLimited CIN No.: L99999MH1962PLC012542 NBS International Limited Mahindra Vehicle ManufacturersLimited CIN No.: U34100MH2007PLC171151 Mahindra Intertrade Limited CIN No.: U51900MH1978PLC020222 Mahindra First Choice ServicesLimited CIN No.: U35999MH2008PLC180385 Mahindra Defence Land Systems PrivateLimited Mahindra Hinoday Industries Limited CIN No.: U29299MH1963PLC019745 Mahindra Holidays and Resorts IndiaLimited Mahindra Forgings Limited CIN No.: L27100MH1999PLC121285 Mahindra Logistics Limited CIN No.: U63000MH2007PLC173466 Mahindra Navistar Engines Private Limited CIN No.: U35914MH2007PTC169753 Mahindra BPO Services Private Limited (with effect from 18th January, 2011) Mahindra Automobile Distributor Private Limited (Formerly Mahindra Renault Private Limited) CIN No.: U34100MH2005PTC153702

CAPITAL STRUCTURE

After 02.08.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
1500000000	Equity Shares	Rs.10/- each	Rs. 15000.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1147925600	Equity Shares	Rs.10/- each	Rs. 11479.256 Millions

As on 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
1500000000	Equity Shares	Rs.10/- each	Rs. 15000.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
800925600	Equity Shares	Rs.10/- each	Rs. 8009.256 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	8009.256	4949.456
(b) Reserves & Surplus	(5055.428)	(1952.781)
(c) Money received against share warrants	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000
Total Shareholders’ Funds (1) + (2)	2953.828	2996.675
(3) Non-Current Liabilities
(a) long-term borrowings	2464.286	2700.000
(b) Deferred tax liabilities (Net)	0.000	0.000
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	178.229	84.794
Total Non-current Liabilities (3)	2642.515	2784.794
(4) Current Liabilities
(a) Short term borrowings	0.000	272.207
(b) Trade payables	2495.245	2123.992
(c) Other current liabilities	989.484	554.082
(d) Short-term provisions	150.655	125.246
Total Current Liabilities (4)	3635.384	3075.527
TOTAL	9321.727	8856.996
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	4151.607	3961.396
(ii) Intangible Assets	1419.910	1859.974
(iii) Capital work-in-progress	12.182	123.044
(iv) Intangible assets under development	123.022	75.019
(b) Non-current Investments	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000
(d) Long-term Loan and Advances	291.540	821.422
(e) Other Non-current assets	0.000	0.000
Total Non-Current Assets	5998.261	6840.855
(2) Current assets
(a) Current investments	399.817	138.199
(b) Inventories	1370.030	941.807
(c) Trade receivables	202.810	212.446
(d) Cash and cash equivalents	421.646	205.875
(e) Short-term loans and advances	831.115	514.916
(f) Other current assets	8.048	2.898
Total Current Assets	3233.466	2016.141
TOTAL	9231.727	8856.996

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		4059.456
2] Share Application Money		0.000
3] Reserves & Surplus		499.093
4] (Accumulated Losses)		(587.965)
NETWORTH		3970.584
LOAN FUNDS
1] Secured Loans		2366.734
2] Unsecured Loans		0.000
TOTAL BORROWING		2366.734
DEFERRED TAX LIABILITIES
TOTAL		6337.318
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		2385.991
Capital work-in-progress		3609.891
INVESTMENT		262.272
DEFERRED TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	526.952
	Sundry Debtors	334.726
	Cash & Bank Balances	168.731
	Other Current Assets	1.941
	Loans & Advances	1099.755
Total Current Assets		2132.105
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	1766.772
	Other Current Liabilities	81.405
	Provisions	204.764
Total Current Liabilities		2052.941
Net Current Assets		79.164
MISCELLANEOUS EXPENSES		0.000
TOTAL		6337.318

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	12242.572	7233.071	5474.228
		Other Income	55.112	18.765	122.935
		TOTAL (A)	12297.684	7251.836	5597.163
Less	EXPENSES
		Cost of materials consumed	5089.067	4421.128
		Purchases of stock-in-trade	6498.665	2262.861
		Employee benefit expense	605.920	505.181
		Other expenses	2282.354	1328.729
		Changes in inventories of finished goods, work-in-progress and stock-in-trade	(317.682)	(403.899)
		TOTAL (B)	14158.324	8114.000	5767.905
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		(1860.640)	(862.164)	(170.742)
Less	FINANCIAL EXPENSES (D)		438.556	329.703	9.201
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		(2299.196)	(1191.867)	(179.943)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		800.391	671.152	76.650
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)		(3099.587)	(1863.019)	(256.593)
Less	TAX (H)		0.000	0.000	0.000
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)		(3099.587)	(1863.019)	(256.593)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(2450.984)	(587.965)	(331.372)
	BALANCE CARRIED TO THE B/S		(5550.571)	(2450.984)	(587.965)
	EARNINGS IN FOREIGN CURRENCY		29.174	17.816	19.085
	Earnings / (Loss) Per Share (Rs.)		(4.57)	(4.43)	(0.71)

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	(25.20)	(25.69)	(4.58)
Net Profit Margin (PBT/Sales)	(%)	(25.32)	(25.76)	(4.69)
Return on Total Assets (PBT/Total Assets}	(%)	(34.07)	(21.52)	(5.68)
Return on Investment (ROI) (PBT/Networth)		(1.05)	(0.62)	(0.06)
Debt Equity Ratio (Total Debt/Networth)		0.83	0.99	0.60
Current Ratio (Current Asset/Current Liability)		0.89	0.66	1.04

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITORS DETAILS:

Particulars	31.03.2012	31.03.2011	31.03.2010
	(Rs. In Millions)
- Acceptances	38.801	38.784
- Trade Payables - Micro, Small and Medium Enterprises	36.842	21.356
- Trade Payables - Others	2419.602	2063.852
Total	2495.245	2123.992	1766.772

Note: Trade payable to include provision for expenses, salaries, etc. but exclude PF contribution, payable for purchase of fixed assets, etc.

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	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	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

OPERATIONS

During the year, the Company sold 10,484 Light Commercial Vehicles (LCV’s) and 3,493 Heavy Commercial Vehicles (HCV’s) as compared to 10,538 LCV’s and 845 HCV’s in the previous year.

During the year the Company started the commercial production of 35 Ton Tractor. The Company has also started sale of Cowl Products and LWB Products in 25 Ton and 31 Tonsegment.

The Company has also set up about 56 operational dealerships throughout the country for its medium and heavy commercial vehicle business.

The loss for the year before Depreciation, Amortisation and Taxation was Rs. 2299.196 millions and loss after tax for the year was 3099.587 millions.

Current Year

During the Current year, the Company inter alia plans to introduce new variants in the HCV and LCV segments and also expand the dealer network to support the increased sales plan. These would augur well for the Company’s growing potential.

UNSECURED LOANS

Particulars	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. In Millions)
Loans repayable on demand - from Banks	0.000	272.207
Total	0.000	272.207

CONTINGENT LIABILITIES:

(Rs. in millions)

i) Claims against Company not acknowledged as debt comprise of:

Excise and VAT claims disputed by the company relating to issues of applicability and classification aggregating Rs. 112.467 millions (2011: Rs. 106.338 millions)

ii) Probable Excise Duty liability on third party production relating to issues of applicability and classification aggregating to Rs. 101.993 millions (2011: Rs. 101.993 millions)

iii) Order has been served for the proto type vehicle valuation by Commissioner Central Excise, Pune, amounting to Rs. 13.056 millions (2011: Rs. NIL)

FIXED ASSETS

¯ Tangible Assets

Buildings

Plant and Equipment

Furniture and Fittings

Vehicles

Office Equipments

Computers

¯ Intangible Assets

Congeries of Rights

Software Expenditure

Technical Knowhow

Development Expenditure

Non-Compete Fees

WEBSITE DETAILS

PRESS RELEASE

MAHINDRA AND MAHINDRA TO BUY OUT ITS TRUCK JV PARTNER NAVISTAR'S STAKE FOR RS 1750.000 MILLIONS

Dec 18, 2012,

MUMBAI: India's largest utility vehicle maker, Mahindra and Mahindra will buy out 49% stake from its US joint venture partner Navistar Group's stake in for the group's struggling commercial vehicle joint venture Mahindra Navistar Automotives Limited (MNAL) and Mahindra Navistar Engines Private Limited (MNEPL) for Rs 1750.000 millions or $33 million.

• 5000^th  truck rolled out from Chakan Plant
• 4846 trucks on Indian roads, clock over 8 crore kms under various applications
• 1001 service points at strategic trucking locations across India (and growing)
• 56 new, unique 3S large-scale dealerships (HCV & LCV) and 78 dealership to support existing LCV business.
• Ranked No. 1 in TNS truck Track 2012 Total Customer Satisfaction study in the LCV load and Mini Bus Segments and joint No, 1 in the HCV (MAV) truck segment.
• Clocks 200 HCVs sales in Gujarat within 12 months of operations

MAHINDRA NAVISTAR CELEBRATES ITS 5000TH TRUCK ROLL-OUT FROM CHAKAN

Ahmedabad, June 19, 2012: Mahindra Navistar Automotives Limited (MNAL), a part of the USD 15.4 billion Mahindra Group today announced the roll out of its 5000^th truck from its state-of-the-art plant at Chakan in Maharashtra. The company has reached this milestone in a very short span of time since commencement of production. In addition, the 4846 trucks running on Indian roads have clocked more than 8 crore kms under various applications, pan-India.

During this eventful period, MNAL has also been conferred the No. 1 rank in the TNS Truck Track 2012 in the LCV load and mini-bus segment and joint No. 1 position in the HCV Truck (MAV segment). Earlier-on, the company had announced its pan-India commercial launch and also pioneered the first ever CV industry award to honour the heroes of the Indian transportation industry through its Mahindra Navistar Transport Excellence Awards – the first of any such award within the Indian trucking industry.

Speaking on the occasion, Mr. Nalin Mehta – Managing Director, Mahindra Navistar Automotives Limited, said, “Mahindra Navistar has today emerged as the new and viable alternative for the Indian trucking customers who have been experiencing status quo and inertia in a duopolistic market. As a challenger brand, Mahindra Navistar’s strategic intent is to challenge this status quo by not only trying harder but also trying out-of-the-box measures which can be summed up by the brand philosophy of “OK IS NO LONGER OK”.

Mr. Mehta, further, added, “This is a landmark day in the history of Mahindra Navistar as it marks another very important milestone with 5000 trucks rolled out from Chakan Plant and with more than
8 crore kilometers behind us! This achievement reflects the ever increasing confidence of our customers. This also indicates that MNAL trucks are running on multiple applications across India with wide acceptance of customers. This would not have been possible without the support of the formidable service network of nearly 1001 service points on strategic trucking routes PAN India that includes 56 unique, large-scale 3S dealerships which are designed to cater to customers differently and that have become landmarks in the Indian CV industry. It is also important to mention that MNAL in Gujarat has clocked 200 nos. HCV Sales within a short period of one year”.

On a pan-India basis, the wide, strategically located network also includes 221 authorised service points and 703 Roadside Assistance points in addition to 22 dealerships dedicated to LCV customers. Not to forget pioneering customer benefits like 4-years unlimited mileage warranty and 48-hour on-road assurance to exhibit confidence in our product quality and our agility in service. This has helped MNAL to be No.1 in the TNS customer Satisfaction. No.1 in LCV trucks and buses and Joint No.1 in HCV multi-axle trucks; all this being a strong endorsement amongst the customers across India in the Brand Mahindra Navistar.

Mahindra Navistar has also recently been conferred the  ‘HCV truck of the Year-Prime mover’ award (for MN40 – Prime Mover) at the recently held Apollo CV Awards 2012. This is the second such award, with Mahindra Navistar having won HCV Truck of the Year (Rigid) last year.

About the Gujarat Market and Mahindra Navistar

Mr. Mehta further added, “The Gujarat CV Market constitutes around 8% of Indian CV market. Mahindra Navistar has forayed into Gujarat market with HCV range in 28th June, 2011 with the start of operation at Ahmedabad dealership and clocked 200 nos. of HCV Sales within 12 months of operation. While Ahmedabad dealership is fully operational, Surat and Gandhidham dealerships have already started supporting customers for their service needs and market coverage for new prospects. We also plan to have dealerships in Baroda and Rajkot in due course”.

All Mahindra Navistar dealerships have Mobile workshops to support customers 24x7.  Additionally, in Gujarat, we have 48 nos. Service touch points - 43 nos. RSAs (Road Side Assistance centers) and 5 nos. ASC (Authorised Service Centres) to cater the needs of our customers – anytime, anywhere. Breakthrough segments for MNAL in this short span have been Cement Bulker, Tip-trailers, Chemical tanker, Transit-mixer, Boom placer and Fire Tenders on various HCV platforms.

About Mahindra Navistar Automotives Limited (MNAL)

In 2005, Mahindra and Mahindra Limited and International Truck and Engine Corporation - the operating company of Navistar - entered into a JV to manufacture light, medium and heavy commercial vehicles for India as well as global markets. The joint venture is in the process of addressing every segment of the commercial vehicle market from 3.5 tonne GVW to 49 tonne GCW with variants of passenger transport, cargo and specialized load applications.

The new HCV product range has been engineered to meet Indian requirements with technological expertise from Navistar with the underlying philosophy of ‘Made in India, Made for India and Made with 175 years of international trucking expertise’. The new range of medium and heavy commercial vehicles is being manufactured at a new green field plant at Chakan. The plant, which spans over 700 acres, has been set up with investments of over Rs.4000 crores and is producing other M&M products as well. This is helping MNAL leverage the benefits of synergies of an integrated manufacturing facility. 

About The Mahindra Group

The Mahindra Group focuses on enabling people to rise. Mahindra operates in the key industries that drive economic growth, enjoying a leadership position in tractors, utility vehicles, information technology and vacation ownership. Mahindra has a presence in the automotive industry, agribusiness, aerospace, components, consulting services, defence, energy, financial services, industrial equipment, logistics, real estate, retail, steel and two wheelers.

A US $15.4 billion multinational group based in Mumbai, India, Mahindra employs more than 144,000 people in over 100 countries. In 2011, Mahindra featured on the Forbes Global 2000 list, a listing of the biggest and most powerful listed companies in the world. Dun & Bradstreet also ranked Mahindra at No. 1 in the automobile sector in its list of India’s Top 500 Companies. In 2010, Mahindra featured in the Credit Suisse Great Brands of Tomorrow. In 2011, Mahindra acquired a majority stake in Korea’s SsangYong Motor Company.

About Navistar

Navistar International Corporation (NYSE: NAV) is a holding company whose subsidiaries and affiliates produce International® brand commercial and military trucks, MaxxForce® brand diesel engines, IC Bus™ brand school and commercial buses, Monaco® RV brands of recreational vehicles, and Workhorse® brand chassis for motor homes and step vans. It also is a private-label designer and manufacturer of diesel engines for the pickup truck, van and SUV markets. The company also provides truck and diesel engine service parts. Another affiliate offers financing services.

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.59.15
UK Pound	1	Rs.90.05
Euro	1	Rs.77.07

INFORMATION DETAILS

Information Gathered by :	SVA
Report Prepared by :	MRI

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	6
--RESERVES	1~10	5
--CREDIT LINES	1~10	6
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		50

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

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.