MIRA INFORM REPORT

Report Date :

21.03.2013

IDENTIFICATION DETAILS

Name :	SAI COMPUTERS LIMITED [w.e.f. 23.11.2011] SAI ELECTRICALS UNIT OF SAI COMPUTERS LIMITED
Formerly Known As :	SAI COMPUTERS PRIVATE LIMITED
Registered Office :	1-E/2, Jhandewalan Extension, Link Road, Delhi – 110065
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	18.07.1984
Com. Reg. No.:	018714
Capital Investment/ Paid-up Capital:	Rs. 30.326 Millions
CIN No.: [Company Identification No.]	U74899DL1984PLC018714
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of transformers from power transformers, distribution transformers, electrical distribution transformers, servo voltage stabilizers, etc.
No. of Employees:	120 [Approximately]

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 298656
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. This appears continuous dip in its sales turnover. Profitability appears to be low. However, trade relations are reported to be fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealings with slight 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 – 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	BB (Cash Credit)
Rating Explanation	Having moderate risk of default regarding timely servicing of financial obligation.
Date	21.02.2013

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.

INFORMATION PARTED BY

Name :	Mr. Rajendra Prasad
Designation :	Accountant
Contact No.:	91-121-4024482
Date :	26.02.2013

LOCATIONS

Registered Office :	1-E/2, Jhandewalan Extension, Link Road, Delhi – 110065, India
E-Mail :	accounts@saielectricals.com
Website :	http://www.saielectricals.com
Network of Sales and Services :	Allahabad, Ambala, Bhilwara, Chandigarh, Delhi, Indore, Bhopal, Jaipur, Kanpur, Kolkata, Lucknow, Ludhiana, Mathura, Mumbai, Muzzafarnagar, Varanasi, Yamunanagar.
Factory/Corporate Office :	Sai Dham, Victoria Park, Near Jail Chungi Crossing, Meerut – 250001, Uttar Pradesh, India
Tel. No.:	91-121-4024482 / 4024483
Fax No.:	91-121-2760075
Area :	1688 sq. yard
Location :	Owned

DIRECTORS

As on 29.09.2012

Name :

Mr. Suresh Pal Singh

Designation :

Director

Address :

341, Ajanta Colony, Meerut, 250001, Uttar Pradesh, India

Date of Appointment :

01.07.1993

DIN No. :

00180567

Name :

Mr. Girish Kumar

Designation :

Director

Address :

H N 16, Victoria Park,, Sai Dham, Meerut, 250001, Uttar Pradesh, India

Date of Appointment :

18.07.1984

DIN No. :

00180597

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U74899DL1984PLC018714	SAI COMPUTERS LIMITED	Managing director	01-12-2011	18-07-1984	Active	NO
2	U74999DL2009PTC192431	CERVELLO TECHNOLOGIES PRIVATE LIMITED	Director	22-07-2009	22-07-2009	Active	NO

Name :

Mr. Nirmal Kumar Goel

Designation :

Director

Address :

B-2/2 River Bank Colony, Lucknow, 226001, Uttar Pradesh, India

Date of Appointment :

20.10.2003

DIN No. :

00180755

Name :

Mr. Jitendra Vishnu

Designation :

Additional Director

Address :

2-B, Heritage Manor, 195-A, Saket Meerut – 250001, Uttar Pradesh, India

Date of Birth/Age :

14.03.1944

Date of Appointment :

09.12.2011

DIN No. :

05136838

Name :

Mr. Brij Bhushan Jindal

Designation :

Additional Director

Address :

Dhruv Apartments, 16, Chadralol Colony, Aliganj, Lucknow – 226024, Uttar Pradesh, India

Date of Birth/Age :

15.01.1938

Date of Appointment :

09.12.2011

DIN No. :

05141172

Name :

Mr. Abhay Kumar Gupta

Designation :

Additional Director

Address :

167/3, Thapar Nagar, Meerut – 250002, Uttar Pradesh, India

Date of Birth/Age :

25.12.1950

Date of Appointment :

09.12.2011

DIN No. :

00273668

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U24121UP1978PTC004680	DAYAL FERTILIZERS PRIVATE LIMITED	Managing director	20-10-1978	20-10-1978	Active	NO
2	U74899DL1988PTC032560	DAYAL BIOTECH PRIVATE LIMITED	Director	26-07-1988	26-07-1988	Active	NO
3	U27310UP1959PLC002698	HASTINAPUR SUGAR MILLS LIMITED	Director	23-01-1989	23-01-1989	Active	NO
4	U51311DL1998PTC094653	DAYAL SEEDS PRIVATE LIMITED	Director	24-06-1998	24-06-1998	Active	NO
5	U74899DL1998PLC095466	DAYAL INDUSTRIES LIMITED.	Director	10-08-1998	10-08-1998	Active	NO
6	U74999UP2008PTC035617	DAYAL INFOSYSTEMS PRIVATE LIMITED	Director	03-07-2008	03-07-2008	Active	NO
7	U74899DL1984PLC018714	SAI COMPUTERS LIMITED	Additional director	09-12-2011	09-12-2011	Active	NO

KEY EXECUTIVE

Name :	Mr. Raman Sapra
Designation :	Secretary
Address :	267, Gali No. 18, Pratap Nagar,, Andha Mughal, Delhi, 110007, Delhi, India
Date of Appointment :	21.11.2011

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 29.09.2012

Names of Shareholders	No. of Shares
Girish Kumar	1162230
Km. ADITI	70720
Km. MUDITA	126940
Baran Adarsh	314950
Smt NALNI GUPTA	72000
Suresh Pal Singh	720
Madhu Singh	26400
Girish Kumar &Sons (Huf)	151610
Nirmal Kumar Goel	769500
Sai Powerware Marketing P. Ltd.	264500
Smt. REKHA	12362
Smt. SUSHMA GOEL	10700
Hemant Kumar	13975
Rishi Raj	30000
Shivani Garg	6000
Total	3032607

AS ON 30.09.2012

Category	Percentage
Bodies corporate	8.72
Directors or relatives of Directors	80.90
Other top fifty shareholders	10.38
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of transformers from power transformers, distribution transformers, electrical distribution transformers, servo voltage stabilizers, etc.
Exports :
Products :	Finish Goods
Countries :	Singapore
Imports :
Products :	Raw Materials
Countries :	Turkey
Terms :
Selling :	L/C, Cash and Credit
Purchasing :	L/C, Cash and Credit

GENERAL INFORMATION

Suppliers :	Bansal Insulation Product, Delhi
Customers :	Retailers L & T Limited Siemens , Gurgaon
No. of Employees :	120 (in office 40 + 80 in factory) [Approximately]
Bankers :	State Bank of India SME Branch, Ganga Plaza, Meerut, Uttar Pradesh - 250002, India Small Industries Development Bank of India C-60,,Sector-2,, Noida - 201301,Uttar Pradesh, India

Banking Relations :	--
Auditors :
Name :	Ravinder Aggarwal & Co Chartered Accountant
Address :	A, Naval Nihar, Baghpat Road, Meerut – 250001, Uttar Pradesh, India
Associates/Subsidiaries :	Nil

CAPITAL STRUCTURE

AS ON 30.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
5,000,000	Equity Shares	Rs.10/- each	Rs. 50.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
3,032,607	Equity Shares	Rs.10/- each	Rs. 30.326 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2012	31.03.2011	31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		30.201	2.366	2.366
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		44.463	60.417	57.528
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		74.664	62.783	59.894
LOAN FUNDS
1] Secured Loans		106.667	113.135	69.254
2] Unsecured Loans		18.435	19.689	6.989
TOTAL BORROWING		125.102	132.824	76.243
DEFERRED TAX LIABILITIES		0.000	0.000	0.131
TOTAL		199.766	195.607	136.268
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		42.190	42.652	34.752
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.099	0.099	0.099
DEFERREX TAX ASSETS		0.251	0.733	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	146.068	123.704	81.496
	Sundry Debtors	84.160	84.177	78.875
	Cash & Bank Balances	13.806	11.902	10.367
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	15.387	15.386	21.735
Total Current Assets		259.421	235.169	192.473
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	70.769	61.281	78.991
	Other Current Liabilities	31.426	21.765	11.789
	Provisions	0.000	0.000	0.276
Total Current Liabilities		102.195	83.046	91.056
Net Current Assets		157.226	152.123	101.417
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		199.766	195.607	136.268

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	286.867	317.544	353.200
		Other Income	1.332	1.051
		TOTAL (A)	288.199	318.595	353.200
Less	EXPENSES
		Cost of materials consumed	118.594	158.905
		Changes in inventories of finished goods, work-in-progress and stock in trade	(38.418)	(21.208)
		Employee benefit expenses	38.454	43.510	338.708
		Managerial remuneration	1.728	1.440
		Payment to auditors	0.125	0.100
		Insurance expenses	0.431	0.490
		Power and fuel	1.259	0.976
		Other Expenses	124.936	103.345
		TOTAL (B)	247.109	287.558	338.708
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		41.090	31.037	--
Less	FINANCIAL EXPENSES (D)		25.099	19.580	--
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		15.991	11.457	--
Less/ Add	DEPRECIATION/ AMORTISATION (F)		9.267	7.263	---
	PROFIT BEFORE TAX (E-F) (G)		6.724	4.194	14.491
Less	TAX (I)		2.079	1.306	5.833
	PROFIT AFTER TAX (G-I) (J)		4.645	2.888	8.658
	Earnings Per Share (Rs.)		1.53	122.10	---

Expected Sales (2012-2013) : Rs. 380.000 Millions

The above information has been parted by Mr. Rajendra Prasad – Accountant

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	1.61	0.90	2.45
Net Profit Margin (PBT/Sales)	(%)	2.34	1.32	--
Return on Total Assets (PBT/Total Assets}	(%)	2.22	1.50	6.37
Return on Investment (ROI) (PBT/Networth)		0.09	0.06	0.24
Debt Equity Ratio (Total Debt/Networth)		1.67	2.11	1.27
Current Ratio (Current Asset/Current Liability)		2.53	2.83	2.11

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check List by Info Agents	Available in Report (Yes / No)
1]	Year of Establishment	Yes
2]	Locality of the firm	Yes
3]	Constitutions of the firm	Yes
4]	Premises details	Yes
5]	Type of Business	Yes
6]	Line of Business	Yes
7]	Promoter's background	Yes
8]	No. of employees	Yes
9]	Name of person contacted	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last three years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	--------
14]	Estimation for coming financial year	Yes
15]	Capital in the business	Yes
16]	Details of sister concerns	No
17]	Major suppliers	Yes
18]	Major customers	Yes
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	Yes
21]	Market information	----------------------
22]	Litigations that the firm / promoter involved in	----------------------
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	----------------------
26]	Buyer visit details	No
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	Yes
29]	Last accounts filed at ROC	Yes
30]	Major Shareholders, if available	Yes
31]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

Bankers Charges Report as per Registry

Corporate identity number of the company	U74899DL1984PLC018714
Name of the company	SAI COMPUTERS LIMITED
Address of the registered office or of the principal place of business in India of the company	1-E/2, Jhandewalan Extension, Link Road, New Delhi – 110065, India rsjmca@gmail.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	80022676
Type of charge	Immovable property Book debts Movable property (not being pledge) PERSONAL GUARANTEE
Particular of charge holder	State Bank Of India SME Branch, Ganga Plaza, Meerut -250002, Uttar Pradesh, India sbi.04183@sbi.co.in
Nature of instrument creating charge	1) Letter Of Arrangement
Date of instrument Creating the charge	01.11.2011
Amount secured by the charge	Rs. 216.600 Millions
Brief of the principal terms an conditions and extent and operation of the charge	(a) Rate of interest WC:-5.25% Margin Above Base Rate, Presently 7.50% P.A.,P.E.R.12.75% P.A. TL:-1.50% Above/Blow SBAR = 12.25%, Minimum 13.75%P.A. OTL:-5.75 % Margin Above Base Rate, Presently 7.50% P.A. P.E.R. 13.25% (b) Terms of repayment WC:-ON DEMAND TL:- in 47 Installments (first 44 Installments of rs. 0.033 Million Per Month And Last One In Installment of Rs. 0.048 Million) (c) Margin RAW MATERIAL: INDIGENOUS:-25% SEMI FINISHED GOODS :-40% FINISHED GOODS :-25% DOMESTIC RECEIVABLES :-25% TERM LOAN :-25% LETTER OF CREDIT :-10% BANK GUARANTEE :- 10(15% ON BGS VALID FOR >18 MONTHS) (d) Extent and operation of the charge 1ST Charge On Company's Property To Secure Following Limits:- (IN Millions) FBWC - (10)* SLC - 15 DDP CHEQUES - (4) EPC - (10) FBP - (2.5) TL(EXISTING) - (6.2) OPEN TL(PROP.) - 5.4 (e) Others Non Fund Based Limit LC - 17 BG - 73 ----------------------- TOTAL 90 ------------------------ #out of this limit Rs. 25 Millions are to be disbursed for take over of out standings of NSIC.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	A.- Security:- Facility : Cash Credit (HYP & BD) Primary : - Charge Over The Current Assets Including hypothecation of stocks & receivables & goods in transit. Facility : NFB Limit (BG & LC) Facility: NFB limit(BG & LC) Primary : - 10% Cash Margin Facility : - Term Loan Primary :- Charge over the fixed assets of unit including land & building at Rali Chauhan meas. 5455.13 sq.MT. Excluding the plant and machinery financed by SIDBI on which SIDBI has first charge. Existing Collateral: E.M. of Immovable Properties:- 1. EM of factory premises measuring 1688 sq. yards at mpl. No. 23, part of property no. 1/16, Sai Dham Victoria Park, meerut in the name of sh. Girish Kumar, leased to the company, 2. EM of six shops with total area of appx. 106.66 sq. yards at Sai Dham, Victoria Park, Meerut in the name of Sh. Girish Kumar 3. EM of lease deed 30.04.2001 measuring 228.60 sq. yards at 1/16, Jail Chungi Victoria Park, Meerut in the name of sh. Girish Kumar 4. Residual value of fixed assets of the unit. Guarantee: - SH. Girish Kumar
Date of instrument modifying the charge	29.09.2010
Particulars of the present modification	Total Limit Remain The Same Modification Has Been Made In Respect Of Extent & Operation Of Charge Being Ist On Properties

Corporate identity number of the company	U74899DL1984PLC018714
Name of the company	SAI COMPUTERS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	1-E/2, Jhandewalan Extension, Link Road, Delhi – 110065, India
This form is for	Creation of charge
Type of charge	Movable property
Particular of charge holder	Small Industries Development Bank of India C-60,,Sector-2,, Noida - 201301,Uttar Pradesh, India Email - bkirankr@sidbi.in
Nature of instrument creating charge	Deed Of Hypothecation
Date of instrument Creating the charge	03.02.2012
Amount secured by the charge	Rs. 8.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest 15.00% p.a. with monthly rests, on the principal amount of the Sub Debt outstanding from time to time. Terms of Repayment Borrower to repay the assistance commencing after 36 months from the date of first disbursement in 32 installments of Rs.0.250 million each. Margin Nil Extent and Operation of the charge Subservient Charge on (I) Assets Financed & (Ii) Extention of First Charge on Hypothecated Securities Offered For Sidbi's Earlier Loan And (Iii) Residual Charge On All Mobable/Immovable Assets Of The Company. Others ----
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Subservient charge on 1. assets financed & 2. extension of first charge on hypothecated securities offered for SIDBIs earlier loans and 3. residual charge on all movable & or immovable assets of the Company situated at Sai Dham, Victoria Park, Meerut or elsewhere.

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.54.26
UK Pound	1	Rs.81.93
Euro	1	Rs.70.21

INFORMATION DETAILS

Information Gathered by :	NAY
Report Prepared by :	NLM

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	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--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.