MIRA INFORM REPORT

Report Date :

25.03.2013

IDENTIFICATION DETAILS

Name :	FLEMINGO DUTYFREE SHOP PRIVATE LIMITED
Registered Office :	No. D-73/1, TTC Industrial Area, MIDC Turbhe, Navi Mumbai - 400705, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	05.03.2004
Com. Reg. No.:	11-144881
Capital Investment / Paid-up Capital :	Rs. 400.333 Millions
CIN No.: [Company Identification No.]	U74999MH2004PTC144881
Legal Form :	Private Limited Liability Company
Line of Business :	Setting up duty free shops at various airports in India and at such other places as the Government of India or any other appropriate authority may sanction.
No. of Employees :	350 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (43)

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

Maximum Credit Limit :	USD 5400000
Status :	Satisfactory
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. Latest financials are not available. From the previous year financial, it seems that the company has performed well during the year 2011. Trade relations are reported as fair. Business is active. Payment terms are unknown. The company can be considered normal for business dealings at usual trade terms and condition.

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	ICRA
Rating	Non Fund Based : BBB
Rating Explanation	Moderate degree of safety it carry moderate credit risk.
Date	January 2013

Rating Agency Name	ICRA
Rating	Short term : A2
Rating Explanation	Strong degree of safety it carry low credit risk.
Date	January 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 :	D-73/1 TTC Industrial Area, MIDC, Turbhe, Navi Mumbai- 400705, Maharashtra, India
Tel. No.:	91-22-27619126/ 27672719-20/ 66269999
Fax No.:	91-22-27630624/ 27672718
E-Mail :	sbhatjiwale@flemingo-intl.com vivek@flemingointl.com mumbaioffice@flemingo.intl.com
Website :	www.flemingo-intl.com
Admin Office :	Old No. 16A, New No. 35, 1st Floor KV Apartments Poes, Chennai - 600086, Tamilnadu, India
Tel. No.:	91-44-43144736
Fax No.:	91-44-24992412
Airports :	Located at: Ø Ahmedabad Ø Amritsar Ø Calicut Ø Chennai Ø Goa Ø Lucknow Ø Kolkata Ø Jaipur Ø Mangalore Ø Pune Ø Trichy Ø Trivandrum
Sea Ports :	Located at: Ø Chennai Ø Goa Ø Haldia Ø Mangalore Ø Mumbai Ø Mundra Ø Paradip Ø Vizag

DIRECTORS

AS ON 29.09.2012

Name :	Mr. Rasiklala Rattilal Thakker
Designation :	Director
Address :	P O Box No. 61239, Jebel Ali Free Zone, Dubai - 61239, United Arab Emirates
Date of Birth/Age :	13.03.1954
Date of Appointment :	05.03.2004
DIN No.:	00539051
Name :	Mr. Mahandra Kumar Parashothamdas Thakar
Designation :	Director
Address :	P O Box No. 61239, Jebel Ali Free Zone, Dubai - 61239, United Arab Emirates
Date of Birth/Age :	20.02.1952
Date of Appointment :	05.03.2004
DIN No.:	00547983
Name :	Mr. Viren Vini Ahuja
Designation :	Director
Address :	Bungalow No. 1, Neelkanth Theerth, Road No-6, Chembur, Mumbai – 400088, Maharashtra, India
Date of Birth/Age :	21.08.1964
Date of Appointment :	05.03.2004
DIN No.:	00016317
Name :	Mr. Atul Vini Ahuja
Designation :	Director
Address :	Gulmohar Lal, J D Gupta Marg, Deonar, Mumbai - 400088, Maharashtra, India
Date of Birth/Age :	07.08.1962
Date of Appointment :	05.03.2004
DIN No.:	00015713
Name :	Mr. Sumeet Chandra Narang
Designation :	Director
Address :	M-11, Hari Nagar, Mayapuri, New Delhi -110064, India
Date of Birth/Age :	11.01.1976
Date of Appointment :	24.09.2008
DIN No.:	01874599

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 29.09.2012

Names of Shareholders (Equity Shares)	No. of Shares
Viren Vini Ahuja	8187
Arjun A. Ahuja	4094
Karan A. Ahuja	4093
Flemingo International Limited, UAE	37200
Symbolic Infra Projects Private Limited, India	642
Sites Infra Projects Private Limited, India	1284
Total	55500

Names of Shareholders (Preference Shares)	No. of Shares
Walker Investments, Mauritius	4000000
Total	4000000

AS ON 28.12.2012

Names of Allottees (Equity Shares)	No. of Shares
Walker Investments, Mauritius	3365
Total	3365

AS ON 29.09.2012

Equity Share Breakup	Percentage of Holding
Category
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]	67.03
Bodies corporate	3.47
Directors or relatives of directors	29.50
Total	100.00

BUSINESS DETAILS

Line of Business :

Setting up duty free shops at various airports in India and at such other places as the Government of India or any other appropriate authority may sanction.

GENERAL INFORMATION

No. of Employees :

350 (Approximately)

Bankers :

Ø Yes Bank Limited, 9^th Floor, Nehru Centre, Discovery of India, Dr. Annie Besant Road, Worli, Mumbai- 400018, Maharashtra, India

Ø The Federal Bank Limited, 51 Apsara Apartments, Sector 17, Vashi - Navi Mumbai, Mumbai - 400702, Maharashtra, India

Ø Dhanlaxmi Bank Limited, Janmabhoomi Bhavan, Janmabhoomi Marg, Fort, Mumbai – 400001, Maharashtra, India

Facilities :

Secured Loan	31.03.2011	31.03.2010
	(Rs. In Millions)
Working capital loans banks secured	562.977	50.271
Total	562.977	50.271

Banking Relations :	--
Auditors :
Name :	Uberoi Sood and Kapoor Chartered Accountants
Address :	606, Vishal Bhavan, 95-Nehru Place, New Delhi-110019, India
PAN.:	AAASU1674L
Holding Company:	Ø Flemingo International Limited *
Subsidiaries :	Ø Iris Ekspree Gumruksuz Satis Magazalari Ticaret A.S** Ø Subsidary Company 3 Flemingo International Limited *** Ø Flemingo (DFS) Private Limited**** Ø Flemingo Liners Private Limited***** Ø Flemingo Dutyfree Shop (Mumbai) Private Limited****** Ø Flemingo DFS Private Limited (CIN: U99999MH2003PTC157291) Note: *Ceased to be holding company w.e.f 16th Mar 2011 ** 51% Equity Shares of the Company transferrd on 10th Jan 2011 *** 100% Equity Shares of the Company transferrd on 31st Mar 2011 **** 100% Equity Shares of the Company transferrd on 31st Mar 2011 *****100% Equity Shares of the Company transferrd on 28th Mar 2011 ******100% Equity Shares of the Company transferrd on 28th Mar 2011
Enterprises over which key management personnel or their relative exercise significant influence:	Ø Flemingo DFS Private Limited**** Ø Venus Design Ø Flemingo Jewellery India Private Limited Ø Bermaco Energy Private Limited Ø Bermaco Industries Limited Ø Dutyfree Distribution Services Private Limited

CAPITAL STRUCTURE

AFTER 29.09.2012

Authorised Capital : Rs. 500.000 Millions

Issued, Subscribed & Paid-up Capital : Rs. 0.507 Million

AS ON 29.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Shares	Rs.10/- each	Rs. 100.000 Millions
4000000	Preference Shares	Rs.100/- each	Rs. 400.000
	Total		Rs. 500.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
55500	Equity Shares	Rs.10/- each	Rs. 0.555 Million
4000000	Preference Shares	Rs.100/- each	Rs. 400.000 Millions
	Total		Rs. 400.555 Millions

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Shares	Rs.10/- each	Rs. 100.000 Millions
4000000	Preference Shares	Rs.100/- each	Rs. 400.000
	Total		Rs. 500.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
33300	Equity Shares	Rs.10/- each	Rs. 0.333 Million
4000000	Preference Shares	Rs.100/- each	Rs. 400.000 Millions
	Total		Rs. 400.333 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		400.333	400.250	400.254
2] Share Application Money		0.000	0.004	74.500
3] Reserves & Surplus		951.910	539.329	460.107
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		1352.243	939.583	934.861
LOAN FUNDS
1] Secured Loans		562.977	50.271	0.000
2] Unsecured Loans		149.790	347.028	20.490
TOTAL BORROWING		712.767	397.299	20.490
DEFERRED TAX LIABILITIES		7.115	5.972	4.456
TOTAL		2072.125	1342.854	959.807
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		151.207	79.235	77.864
Capital work-in-progress		2.108	3.169	0.000
INVESTMENT		1546.436	19.364	9.364
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	444.849	390.838	485.318
	Sundry Debtors	17.597	299.119	119.671
	Cash & Bank Balances	288.013	239.507	222.237
	Other Current Assets	0.000	0.000	6.337
	Loans & Advances	246.665	620.363	455.108
Total Current Assets		997.124	1549.827	1288.671
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	513.982	123.806	14.398
	Other Current Liabilities	79.404	156.865	124.027
	Provisions	31.364	28.070	277.667
Total Current Liabilities		624.750	308.741	416.092
Net Current Assets		372.374	1241.086	872.579
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		2072.125	1342.854	959.807

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	1578.330	1385.564	1401.628
		Other Income	NA	NA	NA
		TOTAL	NA	NA	NA
Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses
		TOTAL	NA	NA	NA
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		274.388	137.490	209.579
Less/ Add	DEPRECIATION/ AMORTISATION		14.919	11.083	9.271
	PROFIT BEFORE TAX		259.469	126.407	200.308
Less	TAX		54.305	47.184	76.038
	PROFIT AFTER TAX		205.164	79.223	124.270
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		535.269	456.046	331.776
	BALANCE CARRIED TO THE B/S		740.433	535.269	456.046
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	NA	1325.958	1342.467
	IMPORTS
		Raw Materials	NA	355.167	579.743
	Earnings Per Share (Rs.)		47.34	3169.00	4971.00

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
Net Profit Margin (PBT/Sales)	(%)	16.44	9.12	14.29
Return on Total Assets (PBT/Total Assets}	(%)	22.60	7.76	14.66
Return on Investment (ROI) (PBT/Networth)		0.19	0.13	0.21
Debt Equity Ratio (Total Debt/Networth)		0.53	0.42	0.02
Current Ratio (Current Asset/Current Liability)		1.60	5.02	3.10

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	Yes
9]	Name of person contacted	No
10]	Designation of contact person	No
11]	Turnover of firm for last three years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	--
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	No
20]	Export / Import details (if applicable)	No
21]	Market information	--
22]	Litigations that the firm / promoter involved in	--
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	--
26]	Buyer visit details	--
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	Yes
29]	Last accounts filed at ROC	No
30]	Major Shareholders, if available	Yes
31]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

UNSECURED LOANS

Unsecured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Working capital loans banks unsecured	0.000	250.668
Working capital loans others unsecured	137.391	89.655
Loans taken for vehicles unsecured	12.399	6.705
Total	149.790	347.028

PERFORMANCE

The Sales during the year is Rs.1578.330 Millions as against Rs.1385.564 Millions in the previous year. The Company during the year earned profit after tax of Rs.205.163 Millions as against Rs.79.222 Millions in the previous year.

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U74999MH2004PTC144881
Name of the company	FLEMINGO DUTYFREE SHOP PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	D-73/1 TTC Industrial Area, MIDC, Turbhe, Navi Mumbai, Maharashtra- 400705, India Email: sbhatjiwale@flemingo-intl.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10311817
Type of charge	Immovable property
Particular of charge holder	The Federal Bank Limited, 51 Apsara Apartments, Sector 17, Vashi - Navi Mumbai, Mumbai - 400702, Maharashtra, India Email: bbyi@federalbank.co.in
Nature of instrument creating charge	Deposit of Title Deeds
Date of instrument Creating the charge	16.04.2012
Amount secured by the charge	Rs. 950.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Extent and operation of the charge The Charge will operate to the extent of Rs. 950.000 Millions on the security offered by the Company. Nature of Limit Amount(Rs.) -------------------- ----------------------- BG/ Import LC 550.000 Millions Overdraft 70.000 Millions PCFC/ EBRD 80.000 Millions Short Term Loan 250.000 Millions
Short particulars of the property or asset(s) charged (including complete address and location of the property)	A) Property situated at First Floor, K V Apartments comprised in old door no. 16/A/2, New Door No. 35/2, Poes Garden, Gopalapuram, Chennai comprised in RS No. 1577/87 with residential building existing and/ or to be constructed. B) Property situated at Flat No. 3, Third Floor, Maris Skai, at Plot No. 67, Door No. 10, First Cross Street, Seethammal Extension, Teynampet, Chennai - 600 018 comprised in New RS No. 3389/49 with residential building existing and/ or to be constructed.
Date of last modification prior to the present modification	By present modification made on 16.04.2012, the Bank has sanctioned additional limit of BG/ Import LC of Rs. 550.000 Millions, Overdraft of Rs. 70.000 Millions, PCFC/ EBRD of Rs. 8 Millions and Short Term Loan of Rs. 250.000 Millions thereby total charge increased from Rs. 250.000 Millions to Rs. 950.000 Millions on Immovable Property.

CONTINGENT LIABILITY (31.03.2011)

Bank Guarantees issued by the bank on behalf of the company in normal course of business Rs.923.771 Millions (Previous Year Rs.498.849 Millions)

Double Duty Bond aggregating to Rs. 459.400 Millions (Previous Year Rs.459.400 Millions) in favour of the Customs departmentfor obtaining the warehouse licence forduty free business at Airports of Pune,Goa, Ahmedabad , Kolkata, Mangalore, Paradip, Calicut, Trichy, Mundra , Mumbai Portand Chennai.

Commercial Tax Officer, Chennai videnotice dated 05.07.2005 has issued a Pre-assessment notice proposing to charge Tamilnadu General Sales Tax amounting to Rs. 20.080 Millions and surcharge of Rs.1.004 Millions and penalty of Rs. 31.626 Millions. The Company had filed a Writ Petition against the notice with the High Court of Tamilnadu. The argument washeard by the Honourable High Court and pending for the final decision.

Commissioner of Customs, Marmagoa , Goavide letter dated F.NO S/14-08/08-B had Claimeda sum of Rs. 96,66,209/-together with interest on non-duty paid warehouse goods valued at Rs. 6.297 Millions for the period 2007-2008. The company has gone in appeal against this order andthe matter is pending before Joint Commissioner of Central Excise and Custom Goa, Marmagoa. A sum ofRs.3.000 Millions has been deposited under protest.

An additional amount of Euro Rs. 5.000 Millions is payable to the transferors of the Rs. 0.255 Million Fully Paid up Equity shares of TL 1each of Turkish Subsidiary company 'Iris Ekspree Gumruksuz Satis Magazalari Ticaret A.S.', is payable upon certain pending litigation against the company being settled in favour of the company. Equity shares of Rs. 0.130 Million out of the Rs. 0.255 Million Equity shares are pledged with the Transferors of the Equity shares as security.

FIXED ASSETS:

Ø Furniture and Fixture

Ø Air conditioner

Ø Computer

Ø Bar code scanner and printer

Ø Fire Extinguisher

Ø Mobile Phone

Ø Vehicles

Ø Fax Machines

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. 54.34
UK Pound	1	Rs. 82.56
Euro	1	Rs. 70.10

INFORMATION DETAILS

Report Prepared by :

BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	4
--CREDIT LINES	1~10	4
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTERS
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		43

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.