MIRA INFORM REPORT

Report Date :

16.03.2013

IDENTIFICATION DETAILS

Name :	SHANKAR SAW MILLS PRIVATE LIMITED WOOD WORTH TREXIM PRIVATE LIMITED AMALGAMATED WITH SHANKAR SAW MILLS PRIVATE LIMITED
Registered Office :	158, J N Mukherjee Road, Salkia, Howrah – 711106, West Bengal
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	31.10.2005
Com. Reg. No.:	21-106060
Capital Investment / Paid-up Capital :	Rs. 20.502 Millions
CIN No.: [Company Identification No.]	U20101WB2005PTC106060
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Timbers, Trader and Importer of Plywood and Adhesives
No. of Employees :	Information declined by the management

RATING & COMMENTS

MIRA’s Rating :

B (31)

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

Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. Reserves of the company appears to be low. There appears some continuous dip in the turnover and profitability of the company. However, trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealings with some cautions.

NOTES :

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

ECGC Country Risk Classification List – June 30, 2012

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

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

INDIAN ECONOMIC OVERVIEW

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

Source : CIA

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Cash Credit = BB
Rating Explanation	Moderate risk of default
Date	09.11.2012

Rating Agency Name	CRISIL
Rating	Letter of Credit = A4+
Rating Explanation	Minimal degree of safety it carry high credit risk.
Date	09.11.2012

RBI DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

INFORMATION DECLINED BY

Name :	Mr. Vishwas
Designation :	Account Manager
Contact No.:	91-33-22316551
Date :	15.03.2013

LOCATIONS

Registered Office :	158, J N Mukherjee Road, Salkia, Howrah – 711106, West Bengal, India
Tel. No.:	91-33-26557781 /26557894 / 22316551
Mobile No.:	91-9674733452 (Mr. Tarun Patel )
Fax No.:	91-33-26558373 / 22316552
E-Mail :	rajesh@perfexindia.com

DIRECTORS

As on 28.09.2012

Name :

Mr. Bhagwan Lal Patel

Designation :

Director

Address :

158, J. N. Mukherjee Road, Salkia, Howrah – 711106, West Benga, India

Date of Birth/Age :

08.04.1962

Date of Appointment :

31.10.2005

DIN No.:

00087819

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	U20101WB1997PTC084352	WOODWORTH TREXIM PRIVATE LIMITED	Director	15-05-97	15-05-97	-	Amalgamated	NO
2	U51431WB2002PTC094790	PERFEX IMPEX PRIVATE LIMITED	Director	28-04-03	28-04-03	-	Active	NO
3	U51504WB1992PTC056231	SALASARJI MERCHANT PRIVATE LIMITED	Director	11-02-04	11-02-04	-	Active	NO
4	U45203WB2004PLC100728	KOLKATA-DELHI TRUCK TERMINUS LIMITED	Director	16-12-04	16-12-04	-	Active	NO
5	U74999WB2005PLC105271	BENGAL DANKUNI TRUCK TERMINAL LIMITED	Director	09-09-05	09-09-05	-	Active	NO
6	U20101WB2005PTC106060	SHANKAR SAW MILLS PRIVATE LIMITED	Director	31-10-05	31-10-05	-	Active	NO
7	U74999WB2006PTC110588	MAA TARA COMMODITIES PRIVATE LIMITED	Director	13-07-06	13-07-06	01-09-10	Active	NO
8	U51109WB2006PTC110590	KOLKATA DEALCOM PRIVATE LIMITED	Director	13-07-06	13-07-06	01-09-10	Active	NO
9	U51109WB2006PTC110591	LOKENATH MERCHANTS PRIVATE LIMITED	Director	21-08-06	21-08-06	-	Active	YES
10	U70101WB2007PTC117611	AVISHKAR PROJECTS PRIVATE LIMITED	Director	04-08-07	04-08-07	27-03-08	Active	NO

Name :

Mr. Narendra Patel

Designation :

Director

Address :

158, J. N. Mukherjee Road, Salkia, Howrah – 711106, West Benga, India

Date of Birth/Age :

04.04.1972

Date of Appointment :

01.09.2010

DIN No.:

00087823

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	U51431WB2002PTC094790	PERFEX IMPEX PRIVATE LIMITED	Director	24-06-02	24-06-02	-	Active	NO
2	U51504WB1992PTC056231	SALASARJI MERCHANT PRIVATE LIMITED	Director	11-02-04	11-02-04	-	Active	NO
3	U45203WB2004PLC100728	KOLKATA-DELHI TRUCK TERMINUS LIMITED	Director	16-12-04	16-12-04	-	Active	NO
4	U20101WB1997PTC084352	WOODWORTH TREXIM PRIVATE LIMITED	Director	01-09-09	01-09-09	-	Amalgamated	NO
5	U20101WB2005PTC106060	SHANKAR SAW MILLS PRIVATE LIMITED	Director	01-09-10	01-09-10	-	Active	NO

Name :

Mr. Tarun Patel

Designation :

Director

Address :

158, J. N. Mukherjee Road, Salkia, Howrah – 711106, West Benga, India

Date of Birth/Age :

23.07.1988

Date of Appointment :

01.08.2008

DIN No.:

02283658

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	U20101WB2005PTC106060	SHANKAR SAW MILLS PRIVATE LIMITED	Director	01-08-08	01-08-08	-	Active	NO
2	U20299WB2006PTC107811	G L PLYWOOD PRIVATE LIMITED	Director	10-04-09	10-04-09	-	Under Process of Striking off	NO
3	U20101WB1997PTC084352	WOODWORTH TREXIM PRIVATE LIMITED	Director	01-09-09	01-09-09	-	Amalgamated	NO

KEY EXECUTIVES

Name :	Mr. Vishwas
Designation :	Account Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 28.09.2012

Names of Shareholders	No. of Shares
Patel Lal Bhagwan	612113
Patel Kr Narendra	98906
Patel Parbaben	332800
Salasarji Merchant Private Limited, India	768000
Patel Vineet	224000
Patel Yashoda	14400
Total	2050219

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Bodies corporate	37.46
Directors or relatives of Directors	62.54
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Timbers, Trader and Importer of Plywood and Adhesives
Exports :
Countries :	Ghana Malaysia Nigeria South Africa Barman

GENERAL INFORMATION

No. of Employees :

Information declined by the management

Bankers :

• State Bank of India, SME Branch, Howrah, 9, G. T. Road (South), Kolkata - 711101, West Bengal, India
• HDFC Bank Limited

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2012	As on 31.03.2011
Long-Term Borrowings
From Bank's - Cash Credit (note 'a' below)	37.277	2.322
-From Bank - Term Loan (note 'b' below)	0.000	0.389
Total	37.277	2.711
a Loans from bank on cash credit are secured by hypothecation of stock of raw materials, finished products, stores and work in process as well as book debts and by the person qurranty of directors b Term loan are secured by hypothecation of motor car

Banking Relations :	--
Auditors :
Name :	A. K. Sureka and Associates Chartered Accountants
Address :	2, Ganesh Chandra Avenue Commerce House, Kolkata -700013, West Bengal, India
Tel. No.:	91-33-65002385
E-Mail :	aksureka10@yahoo.com
PAN.:	ALCPS8767R
Associates :	Perfex Impex Private Limited Salasarji Merchants Private Limited

CAPITAL STRUCTURE

As on 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
2200000	Equity Shares	Rs.10/- each	Rs.22.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2050219	Equity Shares	Rs.10/- each	Rs.20.502 Millions

a) Reconciliation of shares outstanding at the beginning and at the end of the reporting period

Equity Shares	No.	Value
At the Beginning of the period	2,050,219	20.502
Issued during the period	-	-
At the end of the period	2,050,219	20.502

b) Details of shareholders holding more than 5% equity shares in the company

SI. No.	Name of Shares Holders	No. of equity Share	% holding
	(Equity shares of Rs.107- each fully paid)
1	Bhagwan Lai Patel	612,113	29.86
2	Parmaben Patel	332,800	16.23
3	Salasarji Merchants Private Limited	768,000	37.46
4	Vineet Patel	224,000	10.93
		1,936,913	94.48

Share. Dividend of any proposed by the Board of Directors is subject to approval of the share holder in the ensuring Annual General Meeting. In the

c) The shares shall be under the control of the Board who may classify, allot or otherwise dispose of the same to such persons on such terms and conditions and either at a premium or at par subject to the provisions of this Act. The rights attached to different class of shares may be varied in accordance with the provisions of sec 106 and 107 of Companies Act, 1956.

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		20.502	20.502	3.325
2] Share Application Money		0.250	0.100	0.100
3] Reserves & Surplus		16.073	13.858	11.445
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		36.825	34.460	14.870
LOAN FUNDS
1] Secured Loans		37.277	2.711	11.097
2] Unsecured Loans		3.990	9.570	6.803
TOTAL BORROWING		41.267	12.281	17.900
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
Share Application Suspense Account		0.000	0.000	17.177
TOTAL		78.092	46.741	49.947
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		0.894	1.116	0.555
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.059	0.037	0.019
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	63.038	49.243	49.418
	Sundry Debtors	83.921	54.486	87.589
	Cash & Bank Balances	14.063	18.510	21.370
	Other Current Assets	0.011	0.014	0.000
	Loans & Advances	12.430	5.833	16.218
Total Current Assets		173.463	128.086	174.595
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	92.663	80.980	118.314
	Other Current Liabilities	1.379	0.393	2.693
	Provisions	2.282	1.125	4.231
Total Current Liabilities		96.324	82.498	125.238
Net Current Assets		77.139	45.588	49.357
MISCELLANEOUS EXPENSES		0.000	0.000	0.016
TOTAL		78.092	46.741	49.947

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	420.275	485.062	515.367
		Other Income	1.958	1.245	2.306
		TOTAL (A)	422.233	486.307	517.673
Less	EXPENSES
		Cost of material consumed	231.603	115.231
		Purchase of stock in trade	164.344	360.284
		(increase)/ decrease in finished good	4.056	(11.096)	501.288
		Power and fuel	0.063	0.088
		Employee benefits expenses	1.127	1.191
		Other expenses	1.541	1.388
		TOTAL (B)	402.734	467.086	501.288
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		19.499	18.221	16.385
Less	FINANCIAL EXPENSES (D)		15.909	15.368	12.664
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		3.590	3.853	3.721
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.239	0.272	0.181
	PROFIT BEFORE TAX (E-F) (G)		3.351	3.581	3.540
Less	TAX (H)		1.136	1.168	0.915
	PROFIT AFTER TAX (G-H) (I)		2.215	2.413	2.535
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		6.384	3.971	1.436
	BALANCE CARRIED TO THE B/S		8.599	6.384	3.971
	Earnings Per Share (Rs.)		1.08	1.18	NA

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	0.52	0.50	0.49
Net Profit Margin (PBT/Sales)	(%)	0.80	0.74	0.69
Return on Total Assets (PBT/Total Assets}	(%)	1.92	2.77	2.02
Return on Investment (ROI) (PBT/Networth)		0.09	0.10	0.24
Debt Equity Ratio (Total Debt /Networth)		1.12	0.36	1.20
Current Ratio (Current Asset/Current Liability)		1.80	1.55	1.39

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	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	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)	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

BUSINESS PERFORMANCE

For the financial year 2011-12, your company sales reduced by 13.36 per cent at Rs.420.275 Millions, the profit after tax reduced for the financial year 2011-12 is 8.21 per cent at Rs.2.215 Millions.

SCHEME OF AMALGAMATION

Woodworth Trexim Private Limited (WTPL), engaged in the business of timber, has been amalgamated with the Company The Scheme of Amalgamation was sanctioned by the Hon'ble High Court of Judicature at Kolkata vide its Order dated 14th June, 2010 The Scheme became effective on 31st July, 2010, the appointed date of the Scheme being 1st April, 2009. Pursuant to the Scheme, the assets, liabilities, rights and obligations of erstwhile WTPL has been vested with the Company with effect from 1st April, 2009 and have been recorded at their respective book value, under the pooling of interest method of accounting for amalgamation.

UNSECURED LOAN

Rs. In Millions

Particular	As on 31.03.2012	As on 31.03.2011
Long-Term Borrowings
-From other parties	3.990	9.570
Total	3.990	9.570

CONTINGENT LIABILITIES:

Name of Statue	Nature of due	Rs. In Millions	amount related	Forum where dispute is pending
Central sales tax and Local sales tax Act.	Sales Tax	3.440	2005-06	Sales Tax Assessment Office
Central sales tax and Local sales tax Act.	Sales Tax	5.024	2005-06	Appelat board and revision
Central sales tax and Local sales tax Act.	Sales Tax	1.364	2006-07	Appelat board and revision
Central sales tax and Local sales tax Act.	Sales Tax	4.092	2006-07	Appelat board and revision
Central sales tax and Local sales tax Act.	Sales Tax	1.082	2007-08	Appelat board and revision
The Customs Act.	Custom	0.960	2006-07	The High Court, Kolkata

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U20101WB2005PTC106060
Name of the company	SHANKAR SAW MILLS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	158, J N Mukherjee Roadsalkia, Howrah - 711106 West Bengal India rajesh@perfexindia.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10039306
Type of charge	· Book debts · Movable property (not being pledge) · Floating charge · Others (All other Current and Moveable Fixed Assets.)
Particular of charge holder	State Bank of India, Sme Branch, Howrah, 9, G. T. Road (South), Kolkata – 711101 West Bengal, India sbi.04150@sbi.co.in
Nature of instrument creating charge	Agreement of Loan-cum-Hypothecation - (SME-2).
Date of instrument Creating the charge	13.04.2011
Amount secured by the charge	Rs.90.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest Cash Credit : At 6.75% above Base Rate with monthly rests. Terms of Repayment Working Capital Limit is repayable on demand. Margin As stipulated by the Bank for the respective assets from time to time. Finished Goods : 25%, Domestic Receivables (cover 90 days) : 30% and L C/ B G: 20%. Extent and Operation of the charge The charge operates as first charge basis on the whole of the hypothecated current assets and moveable fixed assets of the Company, both present and future to secure the maximum amount under the said charge fixed at Rs.9,00,00,000/- together with interest, costs and charges thereon. Others The Borrower shall not do or allow anything which may prejudice the security and shall comply with the terms and conditions of the Agreements.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Hypothecation of the entire stocks whether in godown or in transit or any other place whether over and other current assets of the Company including book debts/receivables present and future. Hypothecation of plant and machinery. STDR for Rs.0.300 Millions (FV).
Date of instrument modifying the charge	30.08.2010
Particulars of the present modification	By this modification, the overall limit is revised/altered to the tune of Rs.90.000 Millions as stated under and charge on hypothecation current assets and moveable fixed assets of the Company extended to secure the overall limit together with interest, costs and charges thereon: Cash Credit: Rs. 40.000 Millions Letter of Credit: Rs. 49.500 Millions Bank Gurantee: Rs. 0.500 Millions All other terms and conditions continue to remain as before in full force and effect.

FIXED ASSETS

• Land
• Computer
• Air Condition
• Factory Shed
• Furniture
• Machinery
• Mobile Phone
• Fax
• EPBX
• Motor Car
• Tubewell

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.54.16
UK Pound	1	Rs.81.74
Euro	1	Rs.70.50

INFORMATION DETAILS

Information Gathered by :	PLK
Report Prepared by :	NTH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		31

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
-	NB	New Business	-

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.