MIRA INFORM REPORT

Report Date :

30.03.2013

IDENTIFICATION DETAILS

Name :	SRI KRISHNA PHARMACEUTICALS LIMITED
Formerly Known As :	Sri Krishna Pharmaceuticals Private Limited (w.e.f 26.09.1974)
Registered Office :	C-4, Industrial Area, Uppal, Hyderabad – 500039, Andhra Pradesh.
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	26.09.1974
Com. Reg. No.:	01-001790
Capital Investment / Paid-up Capital :	Rs. 119.184 Millions
CIN No.: [Company Identification No.]	U24230AP1974PLC001790
TAN No.: [Tax Deduction & Collection Account No.]	HYDS01333D
PAN No.: [Permanent Account No.]	AADCS4053P
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer and Exporter of Active Pharmaceutical Ingredients (API’s), Direct Compression Granules, Drug Delivery Systems, Vitamins and Testicles.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (46)

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

Maximum Credit Limit :	USD 3100000
Status :	Satifactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established Company having a satisfactory track record. There appears slight dip in profitability during the current year. However, general Financial position of the company seems to be strong. Trade relations are reported to be fair. Business is active. Payments are reported to be usually correct and as per commitments. The company can be considered 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	Term loan Facilities (ICRA) BBB
Rating Explanation	Having moderate degree of safety regarding timely servicing of financial obligation. It carry moderate credit risk.
Date	Sep 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.

LOCATIONS

Registered Office :	C-4, Industrial Area, Uppal, Hyderabad – 500039, Andhra Pradesh, India.
Tel. No.:	91-40-27201101-02/ 27200103/ 27204471-72
Fax No.:	91-40-27204470/027203645
E-Mail :	nsk@srikrishnapharma.com vvs@srikrishnapharma.com rk@srikrishnapharma.com
Website :	http://www.srikrishnapharma.com

DIRECTORS

As on : 29.09.2012

Name :

Mr. Vempalli Subba Reddy

Designation :

Whole-time Director

Address :

Plot No. 110, Road No. 4, Dhanalakshmi Colony, Mahendra Hills, East Maredpally, Secunderabad-500026, Andhra Pradesh, India.

Date of Birth/Age :

26.09.1942

Date of Appointment :

28.09.2010

DIN No.:

00626671

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	U24230AP1974PLC001790	SRI KRISHNA PHARMACEUTICALS LIMITED	Whole-time director	28/09/2010	26/09/1974	-	Active	NO
2	L24110AP1985PLC005315	SRI KRISHNA DRUGS LIMITED	Managing director	01/08/2008	18/02/1985	-	Amalgamated	NO
3	U65910AP1990PTC011408	KELLTON SECURITIES PRIVATE LIMITED	Director	21/06/1990	21/06/1990	16/09/2009	Active	NO
4	U24110AP1993PTC016704	SRI KRISHNA AGRI - FOODS PRIVATE LIMITED	Director	08/12/1993	08/12/1993	-	Active	NO
5	U67120AP1995PTC021208	KELLTON COMMODITY AND DERIVATIVES PRIVATE LIMITED	Director	26/07/1995	26/07/1995	22/01/2010	Active	NO
6	U67120AP1995PTC021206	SRIPAD EQUITIES PRIVATE LIMITED	Director	26/07/1995	26/07/1995	-	Active	NO
7	U24120AP1995PTC021782	SRI KRISHNA BIOFERT PRIVATE LIMITED	Director	21/09/1995	21/09/1995	-	Active	NO
8	L24110AP1980PLC002633	PREMIER EXPLOSIVES LIMITED	Director	27/05/1999	27/05/1999	30/09/2009	Active	NO
9	U72200AP2000PLC034518	ENSOLVIA INFOTECH LIMITED	Director	29/05/2000	29/05/2000	-	Active	NO
10	U72300TN2003PTC051618	PROPART SOLUTIONS INDIA PRIVATE LIMITED	Director	20/10/2003	20/10/2003	30/12/2005	Active	NO
11	U85100TZ2011PTC017124	ISHA AROGYA PRIVATE LIMITED	Director	02/06/2011	02/06/2011	-	Active	NO

Name :

Mr. Vempalli Venkata Krishna Reddy

Designation :

Managing Director

Address :

3-33-39, Dhanalakshmi Colony, Mahendra Hills, East Maredpally, Secunderabad - 500026, Andhra Pradesh, India.

Date of Birth/Age :

31.08.1966

Date of Appointment :

28.09.2010

DIN No.:

00024216

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	U67120AP1995PTC021208	KELLTON COMMODITY AND DERIVATIVES PRIVATE LIMITED	Director	26/07/1995	26/07/1995	22/01/2010	Active	NO
2	U67120AP1995PTC021206	SRIPAD EQUITIES PRIVATE LIMITED	Director	26/07/1995	26/07/1995	-	Active	NO
3	U24120AP1995PTC021782	SRI KRISHNA BIOFERT PRIVATE LIMITED	Director	21/09/1995	21/09/1995	-	Active	NO
4	U65910AP1990PTC011408	KELLTON SECURITIES PRIVATE LIMITED	Director	11/10/1997	11/10/1997	16/09/2009	Active	NO
5	U24230AP1974PLC001790	SRI KRISHNA PHARMACEUTICALS LIMITED	Managing director	28/09/2010	15/10/1997	-	Active	NO
6	L24110AP1985PLC005315	SRI KRISHNA DRUGS LIMITED	Director	04/06/1998	04/06/1998	-	Amalgamated	NO
7	U72200AP2000PLC034518	ENSOLVIA INFOTECH LIMITED	Director	29/05/2000	29/05/2000	-	Active	NO

Name :

Mr. Vempalli Satyavathi

Designation :

Director

Address :

Plot No. 110, Road No. 4, Dhanalakshmi Colony, Mahendra Hills, East Maredpally, Secunderabad-500026, Andhra Pradesh, India.

Date of Birth/Age :

18.03.1945

Date of Appointment :

13.12.1983

DIN No.:

00626709

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	U24230AP1974PLC001790	SRI KRISHNA PHARMACEUTICALS LIMITED	Director	13/12/1983	13/12/1983	-	Active	NO
2	L24110AP1985PLC005315	SRI KRISHNA DRUGS LIMITED	Director	18/02/1985	18/02/1985	-	Amalgamated	NO
3	U65910AP1990PTC011408	KELLTON SECURITIES PRIVATE LIMITED	Director	21/06/1990	21/06/1990	16/09/2009	Active	NO
4	U24110AP1993PTC016704	SRI KRISHNA AGRI - FOODS PRIVATE LIMITED	Director	08/12/1993	08/12/1993	-	Active	NO
5	U24120AP1995PTC021782	SRI KRISHNA BIOFERT PRIVATE LIMITED	Director	21/09/1995	21/09/1995	-	Active	NO
6	U72200AP2000PLC034518	ENSOLVIA INFOTECH LIMITED	Director	17/09/2008	31/07/2008	-	Active	NO

Name :

Mr. Chivukula Gopala Krishna Murty

Designation :

Director

Address :

7-B, Sanjeeva Reddy Nagar, Hyderabad-500038, Andhra Pradesh, India.

Date of Birth/Age :

16.01.1931

Date of Appointment :

06.05.1989

DIN No.:

00312700

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	L24110AP1985PLC005315	SRI KRISHNA DRUGS LIMITED	Director	18/02/1985	18/02/1985	-	Amalgamated	NO
2	U24230AP1974PLC001790	SRI KRISHNA PHARMACEUTICALS LIMITED	Director	06/05/1989	06/05/1989	-	Active	NO
3	U65910AP1990PTC011408	KELLTON SECURITIES PRIVATE LIMITED	Director	21/06/1990	21/06/1990	16/09/2009	Active	NO
4	U24110AP1993PTC016704	SRI KRISHNA AGRI - FOODS PRIVATE LIMITED	Director	08/12/1993	08/12/1993	-	Active	NO
5	U24231TN1994PLC027491	NATCO ORGANICS LIMITED	Director	28/09/1996	28/09/1996	30/06/2012	Active	NO
6	U24239AP1978PLC002276	GLAND PHARMA LTD	Director	30/08/2004	30/08/2004	-	Active	NO

Name :

Mr. Rama Krishnan

Designation :

Whole-time Director

Address :

House No.8.3.898/26/F-101, “Encee Residency Nagarjina Nagar Colony, Yellareddyguda, Ameerpet, Hyderabad-500073, Andhra Pradesh, India

Date of Birth/Age :

05.05.1954

Date of Appointment :

26.05.2012

DIN No.:

00819071

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on : 29.09.2012

Names of Shareholders	No. of Shares
Dr V V Subba Reddy	1503000
C Ramakrishna Reddy	3500
V Satyavathi	2430500
C Reddy Rani	3500
G Konda Reddy	11900
G V Subba Reddy	7000
R Sunitha Reddy	555568
V V Krishna Reddy	1752050
V Shilpa	290300
Dr V V Subba Reddy (HUF)	3033150
Hitesh Talreja	67
Jasu Parekh	200
Mayur Shah	67
Nidhi Parekh	267
Shardaben B Patel	134
Surendra Kumar Agarwal	400
Krishna Kulkarni	134

Equity Share Break up (Percentage of Total Equity)

As on : 29.09.2012

Category	Percentage
Directors or relatives of Directors	98.78
Other top fifty shareholders	0.98
Others	0.24
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of active pharmaceutical ingredients (API’s), Direct compression granules, drug delivery systems, vitamins and testicles.

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

State Bank of India, Mid- Corporate Group, Overseas Branch, 2 and 3 Floor, Rajala Centre, Plot No.241/A, Road No 36, Jubilee Hills, Hyderabad-500033, India.

Facilities :

Secured Loans :	As on 31.03.2012 Rs. in Millions	As on 31.03.2011 Rs. in Millions
Long term Borrowings Secured Loans:
From State Bankl of India
Term Loan	180.325	44.000
Corporate Loan	3.730	8.731
Short term Borrowings Secured Loans :	0	0
Cash credit Limits	224.921	153.356
PCFC and EPC	98.311	97.664
Stand by Limit	30.022	30.000
Sales Finance	32.092	35.567
Bills Discount	0.000	2.717
Total	569.401	372.035

Auditors :
Name :	Tukaram and Company Chartered Accountants
Address :	# 3-6-69, Flat No. 209, Venkatarama Towers, Basheerbagh, Hyderabad-500029, Andhra Pradesh, India.
Tel. No.:	91-40-23221536/ 23228785/ 23228086
Fax No.:	91-40-23221474
PAN No.:	AAAFT9960E

CAPITAL STRUCTURE

As on : 29.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
15000000	Equity Shares	Rs 10/-each	Rs. 150.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
11918455	Equity Shares	Rs. 10/-each	Rs. 119.184 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		119.184	110.834	110.835
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		652.303	559.097	484.820
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		771.487	669.931	595.655
LOAN FUNDS
1] Secured Loans		569.401	372.035	196.168
2] Unsecured Loans		136.556	158.395	109.072
3] Others		0.183	0.000	0.000
TOTAL BORROWING		706.140	530.430	305.240
DEFERRED TAX LIABILITIES		69.920	41.653	33.407
TOTAL		1547.547	1242.014	934.302
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		757.821	525.960	470.525
Capital work-in-progress		1.795	27.212	2.359
INVESTMENT		0.382	0.381	0.446
DEFERRED TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	479.087	463.128	358.392
	Sundry Debtors	845.491	708.637	522.861
	Cash & Bank Balances	127.580	55.461	96.036
	Other Current Assets	0.716	0.389	0.000
	Loans & Advances	237.665	178.204	179.244
Total Current Assets		1690.539	1405.819	1156.533
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	780.071	611.166	478.531
	Other Current Liabilities	54.835	21.589	103.363
	Provisions	68.084	84.603	113.667
Total Current Liabilities		902.990	717.358	695.561
Net Current Assets		787.549	688.461	460.972
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		1547.547	1242.014	934.302

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	2809.189	2438.624	2057.289
		Other Income	31.695	26.039	26.992
		TOTAL	2840.884	2464.663	2084.281
Less	EXPENSES
		Cost of material Consumed	1782.171	1552.942
		Purchase of stock in trade	15.663	16.944
		Change in Inventories	18.846	(16.892)
		Employees benefits expenses	244.175	204.433
		Other Expenses	516.675	440.998
		TOTAL	2577.530	2198.425	1761.901
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		263.354	266.238	322.380
Less	FINANCIAL EXPENSES		105.524	70.888	51.141
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		157.830	195.350	271.239
Less/ Add	DEPRECIATION/ AMORTISATION		59.692	59.068	29.488
	PROFIT BEFORE EXTRA ORDINARY ITEMS		98.138	136.282	241.751
	EXTRAORDINARY ITEMS BEFORE TAX		0.000	0.000	(11.147)
Add	PRIOR PERIOD ITEMS		16.689	0.711	0.614
	PROFIT BEFORE TAX		114.827	136.993	231.218
Less	TAX		51.453	50.797	86.382
	PROFIT AFTER TAX		63.374	86.196	144.836
Less	APPROPRIATIONS		0.000	0.000	22.906
	BALANCE CARRIED TO THE B/S		0.000	0.000	398.966
	Earnings Per Share (Rs.)		5.32	NA	NA
	Diluted Earnings Per Share (Rs.)		5.32	NA	NA

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	2.23	3.50	6.95
Net Profit Margin (PBT/Sales)	(%)	4.04	5.56	11.09
Return on Total Assets (PBT/Total Assets}	(%)	4.68	7.09	14.21
Return on Investment (ROI) (PBT/Networth)		0.15	0.20	0.39
Debt Equity Ratio (Total Debt /Networth)		0.92	0.79	0.51
Current Ratio (Current Asset/Current Liability)		1.87	1.96	1.66

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	Yes
15]	Capital in the business	Yes
16]	Details of sister concerns	No
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	Yes
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	No
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

UNSECURED LOAN	31.03.2012 Rs in Millions	31.03.2011 Rs in Millions
Long term Borrowing Unsecured Loans:
From Directors and share holders	120.320	137.399
Short term Borrowing Unsecured Loans:
TATA Capital	3.379
Sripad Securities	2.841	3.812
Advance from Customers	6.298	5.520
Deposits	3.718	3.740
HDFC Bank Car Loan	--	0.277
Kotak Mahindra Bank Limited	--	7.647
Total	136.556	158.395

FIXED ASSETS:

· Land

· Lease Land

· Factory Buildings

· Administrative Buildings

· Plant and Machinery

· Electrical Equipments

· Workshop Equipments

· Water Systems

· Storage Systems

· Computers

· Furniture and Fixtures

· Laboratory Equipments

· Office Equipments

· Air Conditioner

· Vehicles

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. 54.38
UK Pound	1	Rs. 82.32
Euro	1	Rs. 69.54

INFORMATION DETAILS

Report Prepared by :

NIS

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	6
--CREDIT LINES	1~10	5
--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	YES
--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		46

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.