MIRA INFORM REPORT

Report Date :

26.03.2013

IDENTIFICATION DETAILS

Name :	KVN POLYTECH PRIVATE LIMITED
Registered Office :	Door No. 23/880, A-1 KVN Arcade, Meenchanda, Arts and Science College Post Calicut – 673018, Kerala
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	15.01.2004
Com. Reg. No.:	09-16778
Capital Investment / Paid-up Capital :	Rs.6.094 Millions
CIN No.: [Company Identification No.]	U25204KL2004PTC016778
TAN No.: [Tax Deduction & Collection Account No.]	CHNK02116C
PAN No.: [Permanent Account No.]	AACCK2911R
Legal Form :	Private Limited Liability Company
Line of Business :	Trader of Polymer Plastic Raw Material.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (30)

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

Maximum Credit Limit :	USD 41000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. Reserve of the company appears to be low. However, the company is performing well. 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 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	Letter of Credit: A4
Rating Explanation	Minimal degree of safety, it carry very high credit risk.
Date	19.02.2013

Rating Agency Name	CRISIL
Rating	Cash Credit: B+
Rating Explanation	High risk of default.
Date	19.02.2013

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.

LOCATIONS

Registered Office :	Door No. 23/880, A-1 KVN Arcade, Meenchanda, Arts and Science College Post Calicut – 673018, Kerala, India
Tel. No.:	91-495-2321492
Mobile No.:	91-9846094533 (Mr. M. K. Rajesh)
Fax No.:	91-495-2320532
E-Mail :	kvnimpex@dataone.in koz_kvnimpex@sancharnet.in kvnimpex@gmail.com
Area :	1500 sq. ft. (Office)
Location :	Owned

DIRECTORS

(AS ON 29.09.2012)

Name :

Mr. M. K. Rajesh

Designation :

Managing Director

Address :

Ramraj Nethaji Road, Parayancheri P O, Puthiyara, Calicut – 673004, Kerala, India

Date of Birth/Age :

15.05.1967

Date of Appointment :

15.01.2004

Election Commission Identity Card No.:

KL/04/025/205005

DIN No.:

00801685

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	U51909KL1999PTC012733	KVN Impex Private Limited	Whole-time director	08-01-99	08-01-99	Active	NO
2	U25204KL2004PTC016778	KVN Polytech Private Limited	Managing director	15-01-04	15-01-04	Active	NO

Name :

Mr. M. K. Ramesh

Designation :

Director

Address :

Archana Meenchanda P O, Calicut – 673 018, Kerala, India

Date of Birth/Age :

23.05.1965

Date of Appointment :

15.01.2004

Election Commission Identity Card No.:

KL/04/025/205001

DIN No.:

00801691

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	U51909KL1999PTC012733	KVN Impex Private Limited	Managing director	08-01-99	08-01-99	Active	NO
2	U25204KL2004PTC016778	KVN Polytech Private Limited	Director	15-01-04	15-01-04	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 29.09.2012)

Names of Shareholders	No. of Shares
M. K. Rajesh	120000
M. K. Ramesh	120000
M. K. Savithri	26550
T. P. Sindhu	106900
Rashmi Nair	106950
Reshma Ramesh	3800
Swetha Ramesh	3825
Rajath Rajesh	3700
Rishi Rajesh	3900
K. P. Damodharan	74800
Radha Damodharan	3900
K. P. Rajagopal	3700
Pushpa Rajagopal	3825
T. P. Balakrishnan	3400
K. Vinod Kumar	3875
P. Madhava Menon	3750
Madhusoodhana Varma	3800
Manoj Menon	3650
Pradeep Sukumaran	3825
Radhakrishnan	5270
Total	609420

(AS ON 30.09.2012)

Equity Shares Break – up

Category	Percentage
Directors or relatives of directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Trader of Polymer Plastic Raw Material.

Products :

Products Description	Item Code No.
Polythelene	3901.10.10

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· State Bank of Travancore

Kozhikode Main Branch, Kozhikode – 673001, Kerala, India

· HDFC Bank

Facilities :

Secured Loans	31.03.2012	31.03.2011
	(Rs. In Millions)
Loans and Advances from Banks Secured of stock Book debts, receivables documents of title to goods converted by letter of credit and other current assets
- State Bank of Travancore (CC A/c 67167662537)	2.536	0.000
- State Bank of Travancore (Buyer’s Credit A/c)	20.108	0.000
Total	22.644	0.000

Banking Relations :	--
Auditors :
Name :	Parasurama Iyer and Company Chartered Accountant
Address :	6/1125, 2^nd Floor, Near Gandipark, Cherootty Road, Calicut – 673011, Kerala, India
PAN No.:	ABOPV6220G

CAPITAL STRUCTURE

(AS ON 29.09.2012)

Authorised Capital :

No. of Shares	Type	Value	Amount
1500000	Equity Shares	Rs.10/- each	Rs.15.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
609420	Equity Shares	Rs.10/- each	Rs.6.094 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		6.094	6.094	6.094
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		4.185	2.870	2.391
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		10.279	8.964	8.485
LOAN FUNDS
1] Secured Loans		22.644	0.000	0.000
2] Unsecured Loans		0.500	0.500	0.500
TOTAL BORROWING		23.144	0.500	0.500
DEFERRED TAX LIABILITIES		0.009	0.016	0.025
TOTAL		33.432	9.480	9.010
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		0.085	0.117	0.159
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.000	0.000	0.000
	Sundry Debtors	51.041	1.680	7.514
	Cash & Bank Balances	13.363	0.040	1.816
	Other Current Assets	0.110	0.000	0.000
	Loans & Advances	9.412	8.682	8.991
Total Current Assets		73.926	10.402	18.321
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	39.890	0.087	8.711
	Other Current Liabilities	0.184	0.801	0.301
	Provisions	0.505	0.151	0.458
Total Current Liabilities		40.579	1.039	9.470
Net Current Assets		33.347	9.363	8.851
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		33.432	9.480	9.010

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	11.023	24.484	92.891
		Other Income	NA		6.272
		TOTAL	NA	24.484	99.163
Less	EXPENSES
		TOTAL	NA	23.722	94.153
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		2.016	0.762	5.010
Less/ Add	DEPRECIATION/ AMORTISATION		0.031	0.043	0.066
	PROFIT BEFORE TAX		1.985	0.719	4.944
Less	TAX		0.671	0.240	0.803
	PROFIT AFTER TAX		1.314	0.479	4.141
	Earnings Per Share (Rs.)		2.16	0.79	6.79

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	NA	1.96	4.18
Net Profit Margin (PBT/Sales)	(%)	18.01	NA	5.32
Return on Total Assets (PBT/Total Assets}	(%)	2.68	6.84	26.75
Return on Investment (ROI) (PBT/Networth)		0.19	0.08	0.58
Debt Equity Ratio (Total Debt/Networth)		2.25	0.06	0.06
Current Ratio (Current Asset/Current Liability)		1.82	10.01	1.93

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	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	Yes
34]	External Agency Rating, if available	Yes

UNSECURED LOANS

Particulars	31.03.2012	31.03.2011
	(Rs. In Millions)
From Directors - M K Rajesh	0.500	0.500
Total	0.500	0.500

FIXED ASSETS

· Computer

· EPABX

· Inverter 1000 VA

· Honda Activa

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.54.10
UK Pound	1	Rs.82.47
Euro	1	Rs.70.49

INFORMATION DETAILS

Report Prepared by :

NIT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--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	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		30

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.