MIRA INFORM REPORT

Report Date :

24.07.2013

IDENTIFICATION DETAILS

Name :	APOLLO COMPUTING LABORATORIES PRIVATE LIMITED
Registered Office :	12-13-197/403-405, Pavanianasuya, Tower, Tarnaka, Hyderabad – 500 017, Andhra Pradesh
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	13.10.1995
Com. Reg. No.:	01-022007
Capital Investment / Paid-up Capital :	Rs.15.000 millions
CIN No.: [Company Identification No.]	U72200AP1995PTC022007
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Seller of Electronics including Computer Hardware and Software, Embedded Systems, etc.
No. of Employees :	Not Available

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 426000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. The company has reported delay in servicing its debt which is due to weak liquidity. It requires large working capital. However, trade relations are fair. Business is active. Payment terms are slow but correct. The company can be considered for business dealings with great caution.

NOTES :

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

ECGC Country Risk Classification List – March 31^st, 2013

Country Name	Previous Rating (31.12.2012)	Current Rating (31.03.2013)
India	A1	A1

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

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Long Term Rating: D = Default
Date	March 21, 2013

Rating Agency Name	CRISIL
Rating	Short Term Rating: D = Default
Date	March 21, 2013

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/ Head Office :	12-13-197/403-405, Pavanianasuya, Tower, Tarnaka, Hyderabad – 500 017, Andhra Pradesh, India
Tel. No.:	91-40-27018179/ 27003180
Fax No.:	91-40-27017523
E-Mail :	mktg@apollocomputing.com
Website :	http://apollocomputing.com
Factory :	Environmental Test Facility, A-11, Electronic Complex, Kushaiguda, Hyderabad – 500 762, Andhra Pradesh, India
Branch Office :	No.14, 1^st Floor, Tamare Khannan Road, Opposite Adarsha Theatre, Ulsoor, Bangalore – 560 008, Karnataka, India
Tel. No.:	91-80-25366129/ 25364792/ 25514925
Fax No.:	91-80-25511145
E-Mail :	mktg@apollocomputing.com

DIRECTORS

AS ON 29.09.2012

Name :

Mr. Baddam Jaipal Reddy

Designation :

Managing Director

Address :

12-13-274, Lane No.8, Street No.2, Tarnaka, Secunderabad – 500 017, Andhra Pradesh, India

Date of Birth/Age :

02.01.1960

Date of Appointment :

10.07.1996

DIN No.:

00646549

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	U72200AP1995PTC022007	APOLLO COMPUTING LABORATORIES PRIVATE LIMITED	Managing director	10/07/1996	10/07/1996	-	Active	NO
2	U74140AP2005PLC048336	AGNI RENEWABLE ENERGIES LIMITED	Director	07/12/2005	07/12/2005	-	Active	NO
3	U72200AP2007PTC055908	APOLLO SOLUTIONS PRIVATE LIMITED	Director	15/10/2007	15/10/2007	-	Active	NO

Name :

Mr. Baddam Mahipal Reddy

Designation :

Director

Address :

12-13-328, Flat No.302, Sai Sadan Apartments, Tarnaka, Secunderabad - 500 017, Andhra Pradesh, India

Date of Birth/Age :

06.06.1965

Date of Appointment :

13.10.1995

DIN No.:

00646633

KEY EXECUTIVES

Name :	SGP and Associates
Designation :	Company Secretaries
Address :	308, Krishna Plaza, 3^rd Floor, H No.6-2-953, Khairatabad, Hyderabad – 500 004, Andhra Pradesh, India
Tel. No.:	91-40-23324466
Fax No.;	91-40-23372299
E-Mail :	info@sgpassociates.com
Website :	www.sgpassociates.com

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 29.09.2012

Names of Shareholders	No. of Shares
Baddam Jaipal Reddy	1199840
Baddam Mahipal Reddy	299960
B. Prameela Reddy	160
B. Preeti Reddy	40
Total	1500000

AS ON 29.09.2012

Equity Share Breakup	Percentage of Holding
Category
Directors or relatives of directors	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Seller of Electronics including Computer Hardware and Software, Embedded Systems, etc.

GENERAL INFORMATION

No. of employees :

Not Available

Bankers :

State Bank of India, Nacharam, I.A. Branch, Hyderabad – 500 076, Andhra Pradesh, India

Facilities :

Secured Loans	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
LONG-TERM BORROWINGS
Term Loan from Banks and Financial Institutions	20.946	9.104
SHORT-TERM BORROWINGS
Secured Loans Repayable on Demand to Banks:
- Working Capital Loans	37.427	40.001
Total	58.373	49.105

Banking Relations :	--
Auditors :
Name :	V.S. Reddy Associated Chartered Accountants
Address :	305, Srinilaya Estate, 3^rd Floor, Ameerpet, Hyderabad – 500 073, Andhra Pradesh, India
Tel. No.:	91-40-23747572/ 23740280
PAN No.:	AAFFV0691R

CAPITAL STRUCTURE

AS ON 29.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
3500000	Equity Shares	Rs.10/- each	Rs.35.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1500000	Equity Shares	Rs.10/- each	Rs.15.000 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	15.000	15.000
(b) Reserves & Surplus	91.568	67.735
(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)	106.568	82.735
(3) Non-Current Liabilities
(a) Long-term borrowings	33.246	11.104
(b) Deferred tax liabilities (Net)	1.603	0.808
(c) Other long term liabilities	0.000	0.000
(d) Long-term provisions	0.000	0.000
Total Non-current Liabilities (3)	34.849	11.912
(4) Current Liabilities
(a) Short term borrowings	38.811	40.654
(b) Trade payables	11.740	21.382
(c) Other current liabilities	28.586	99.356
(d) Short-term provisions	13.294	6.198
Total Current Liabilities (4)	92.431	167.590
TOTAL	233.848	262.237
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	74.933	63.481
(ii) Intangible Assets	1.599	0.000
(iii) Capital work-in-progress	4.929	0.000
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000
(d) Long-term Loan and Advances	18.777	10.467
(e) Other Non-current assets	0.000	0.000
Total Non-Current Assets	100.238	73.948
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	66.864	103.488
(c) Trade receivables	32.946	44.469
(d) Cash and cash equivalents	28.764	30.798
(e) Short-term loans and advances	3.640	8.740
(f) Other current assets	1.396	0.794
Total Current Assets	133.610	188.289
TOTAL	233.848	262.237

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		15.000
2] Share Application Money		0.000
3] Reserves & Surplus		56.568
4] (Accumulated Losses)		0.000
NETWORTH		71.568
LOAN FUNDS
1] Secured Loans		54.782
2] Unsecured Loans		2.000
TOTAL BORROWING		56.782
DEFERRED TAX LIABILITIES		0.146
TOTAL		128.496
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		37.562
Capital work-in-progress		19.902
INVESTMENT		0.000
DEFERRED TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	58.525
	Sundry Debtors	13.472
	Cash & Bank Balances	1.585
	Other Current Assets	0.000
	Loans & Advances	25.040
Total Current Assets		98.622
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	12.349
	Other Current Liabilities	11.020
	Provisions	4.221
Total Current Liabilities		27.590
Net Current Assets		71.032
MISCELLANEOUS EXPENSES		0.000
TOTAL		128.496

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Revenue from Operations (Net)	237.023	82.240	130.928
		Other Income	6.119	9.793	14.755
		TOTAL (A)	243.142	92.033	145.683
Less	EXPENSES
		Cost of Materials Consumed	133.605	64.262	80.960
		Changes in inventories of finished goods and work-in-progress	10.350	(39.258)	9.708
		Employee Benefit Expense	19.790	17.108	16.790
		Other Expenses	22.869	17.717	17.604
		TOTAL (B)	186.614	59.829	125.062
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		56.528	32.204	20.621
Less	FINANCIAL EXPENSES (D)		13.565	10.992	5.387
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		42.963	21.212	15.234
Less/ Add	DEPRECIATION/ AMORTISATION (F)		3.578	2.382	1.898
	PROFIT BEFORE TAX (E-F) (G)		39.385	18.830	13.336
Less	TAX (H)		15.551	7.663	4.421
	PROFIT AFTER TAX (G-H) (I)		23.834	11.167	8.915
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		67.735	56.568	47.653
	BALANCE CARRIED TO THE B/S		91.569	67.735	56.568
	Earnings Per Share (Rs.)		15.89	7.44	5.94

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	9.80	12.13	6.12
Net Profit Margin (PBT/Sales)	(%)	16.62	22.90	10.19
Return on Total Assets (PBT/Total Assets}	(%)	17.20	7.18	9.79
Return on Investment (ROI) (PBT/Networth)		0.37	0.23	0.19
Debt Equity Ratio (Total Debt/Networth)		0.68	0.63	0.79
Current Ratio (Current Asset/Current Liability)		1.45	1.12	3.57

LOCAL AGENCY FURTHER INFORMATION

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

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	90119006	06/12/2010 *	242,600,000.00	State Bank of India	Nacharam, I A Branch, Hyderabad, Andhra Pradesh - 500076, India	B04781381

* Date of charge modification

CONTINGENT LIABILITIES:

Particulars	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
Unexpired Letters of Credit/ Bank Guarantees	64.192	108.000

FIXED ASSETS:

Tangible Assets

· Land

· Buildings

· Plant and Machinery

· Office Equipments

· Vehicles

· Furniture and Fittings

· Computers

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 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.59.69
UK Pound	1	Rs.91.66
Euro	1	Rs.78.69

INFORMATION DETAILS

Report Prepared by :

SMN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTERS
--RBI	YES/NO	NO
--EPF	YES/NO	NO
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.