MIRA INFORM REPORT

Report Date :

24.05.2013

IDENTIFICATION DETAILS

Name :	ARTUR SCHADE STEEL PRODUCTS INDIA PRIVATE LIMITED
Registered Office :	Shade No-4B, Klaus Union Campus, Survey No-1197, Near- Gotavade Pata, Pirandut, Pune - 412108, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	27.12.2010
Com. Reg. No.:	25-138103
Capital Investment / Paid-up Capital :	Rs. 39.523 Millions
CIN No.: [Company Identification No.]	U28113PN2010PTC138103
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturing, Supplying and Exporter of Steel Flanges, Stainless Steel Flanges, Critical Machined Components, Cutting Rings, Concrete Curbing Plants, Construction Machine Parts and allied Products.
No. of Employees :	35 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (27)

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

Maximum Credit Limit :	USD 102000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. Financially company seems to be weak as it is incurring losses. The liquidity position is also weak. Trade relations are reported as fair. Business is active. Payment terms are slow. The company can be considered for business dealings with great 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

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. Irahna Salimath
Designation :	Senior Marketing and Sales Manager
Contact No.:	91-9545454253
Date :	18.05.2013

LOCATIONS

Registered Office / Factory :	Shade No-4B, Klaus Union Campus, Survey No-1197, Near- Gotavade Pata, Pirandut, Pune - 412108, Maharashtra, India
Tel. No.:	91-20-67909020/21
Mobile No.:	91-9763718253 (Mr. Manoj .M. Mohit)
Fax No.:	Not Available
E-Mail :	m.mohite@schade-india.com nvgopalcs@gmail.com Agarwal@warnser-batra.in
Website :	www.schade-stahl.com
Location :	Rented

DIRECTORS

As on 28.09.2012

Name :

Mr. Thomas Klaus Eschner

Designation :

Director

Address :

IM, Lichtenbrunch, 5944529, Hattingen Bochum, 44713, Germany

Date of Birth/Age :

19.06.1968

Date of Appointment :

27.12.2010

DIN No.:

01098965

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	U13682PN1999PTC013682	KLAUS UNION INDIA PRIVATE LIMITED	Director	31-05-99	31-05-99	-	Active	NO
2	U29120TZ2004PTC011039	JRE VALVES AND PUMPS PRIVATE LIMITED	Director	17-03-04	17-03-04	-	Active	NO
3	U70102TZ2006PTC013235	JRE HOLDINGS INDIA PRIVATE LIMITED	Director	22-11-06	22-11-06	-	Active	NO
4	U28991PN2008PTC131920	Randack Fasteners India Private Limited	Director	02-05-08	02-05-08	-	Active	NO
5	U28113PN2010PTC138103	Artur Schade Steel Products India Private Limited	Director	27-12-10	27-12-10	-	Active	NO
6	U28910PN2011PTC138986	KLAUS UNION ENGINEERING INDIA PRIVATE LIMITED	Director	28-03-11	28-03-11	-	Active	NO

Name :

Soern Schade

Designation :

Director

Address :

Wegmanns Feld, 30, Hattingen, 45527, Germany

Date of Birth/Age :

14.04.1975

Date of Appointment :

27.12.2010

DIN No.:

03162963

KEY EXECUTIVES

Name :	Mr. Irahna Salimath
Designation :	Senior Marketing and Sales Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 28.09.2012

Names of Shareholders	No. of Shares
Klaus Union India Private Limited, India	1976170
Artur Schade Beteiligungs GMBH, Germany	1976170
Total	3952340

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	50.00
Bodies corporate	50.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturing, Supplying and Exporter of Steel Flanges, Stainless Steel Flanges, Critical Machined Components, Cutting Rings, Concrete Curbing Plants, Construction Machine Parts and allied Products.

Products :

ITC Code	Product Description
28199	Flanges

Exports :

Products :

• Steel Flanges
• Critical
• Machined Components

Countries :

• Germany
• China

Terms :

Selling :

Credit (30 Days)

Purchasing :

Credit (30 Days)

GENERAL INFORMATION

Customers :

Others (Manufacturer)

No. of Employees :

35 (Approximately)

Bankers :

HDFC Bank Limited , Delhi, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2012	As on 31.03.2011
Vehicle Loan from HDFC Bank Limited	0.685	0.000
Current Maturities of Long Term Borrowing Amount	(0.143)	0.000
Total	0.542	0.000

Banking Relations :	--
Auditors :
Name :	U.V. Bodas and Company Chartered Accountants
Address :	Flat No. 2, Yashodhan Complex,1561, Sadashiv Peth, Pune – 411030, Maharashtra, India
PAN No.:	ABGPB7149E

CAPITAL STRUCTURE

As on 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
4000000	Equity Shares	Rs.10/- each	Rs. 40.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
3952340	Equity Shares	Rs.10/- each	Rs. 39.523 Millions

Reconciliation of number of equity shares outstanding at the beginning and at the end of the year

Equity Shares	March 31, 2012
	No. of Shares	Rs. In Millions
At the beginning of the year Period	3600000	36.000
Issued during the Period	352340	3.523
Outstanding at the end of the Period	3952340	39.523

Terms/ Rights attached to Equity Shares

The Company has only one class of equity shares, having par value of Rs. 10/- per share. Each holder of equity share is entitled for one vote per share.

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.

Details of share holding more than 5% shares in the company

Name of the shareholder	No. of Shares	% of holding in the class
Equity Shares of Rs. 10/- each filly paid :
Klaus Union India Private Limited	1976170	50
Artur Schade Beteiligungs	1976170	50

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2012	31.03.2011
SHAREHOLDERS FUNDS
1] Share Capital		39.523	36.000
2] Share Application Money		0.000	0.000
3] Reserves & Surplus		0.000	0.000
4] (Accumulated Losses)		(14.003)	(4.392)
NETWORTH		25.520	31.608
LOAN FUNDS
1] Secured Loans		0.542	0.000
2] Unsecured Loans		0.000	0.000
TOTAL BORROWING		0.542	0.000
DEFERRED TAX LIABILITIES		2.032	0.992
TOTAL		28.094	32.600
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		27.306	18.878
Capital work-in-progress		0.000	0.000
INVESTMENT		0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	4.874	3.660
	Sundry Debtors	3.874	0.000
	Cash & Bank Balances	5.217	12.501
	Other Current Assets	0.233	0.186
	Loans & Advances	9.491	3.806
Total Current Assets		23.689	20.153
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	9.322	6.273
	Other Current Liabilities	13.529	0.144
	Provisions	0.050	0.014
Total Current Liabilities		22.901	6.431
Net Current Assets		0.788	13.722
MISCELLANEOUS EXPENSES		0.000	0.000
TOTAL		28.094	32.600

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011
	SALES
		Income	64.167	0.000
		Other Income	0.326	0.000
		TOTAL	64.493	0.000
Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses
		TOTAL	71.164	3.319
	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		(6.671)	(3.319)
Less/ Add	DEPRECIATION/ AMORTISATION		1.900	0.080
	PROFIT/(LOSS) BEFORE TAX		(8.571)	(3.400)
Less	TAX		0.000	0.000
	PROFIT/(LOSS) AFTER TAX		(8.571)	(3.400)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(4.392)	0.000
less	DEFERRED TAX		1.040	0.992
	BALANCE CARRIED TO THE B/S		(14.003)	(4.392)
	Earnings/ (Loss) Per Share (Rs.)		(2.17)	(1.22)

Particulars	31.03.2013
Sales Turnover (Approximately)	85.000

The above information has been parted by Mr. Irahna Salimath

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011
PAT / Total Income	(%)	(13.29)	0.00
Net Profit Margin (PBT/Sales)	(%)	(13.36)	0.00
Return on Total Assets (PBT/Total Assets}	(%)	(16.81)	(8.71)
Return on Investment (ROI) (PBT/Networth)		(0.33)	(0.11)
Debt Equity Ratio (Total Debt /Networth)		0.02	0.00
Current Ratio (Current Asset/Current Liability)		1.03	3.13

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	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last three years	Yes
12]	Profitability for last two 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)	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	No

FIXED ASSETS :

• Plant and Equipment
• Furniture and Fixture
• Vehicles
• Office Equipment

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 records 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. 55.99
UK Pound	1	Rs. 84.19
Euro	1	Rs. 71.86

INFORMATION DETAILS

Information Gathered by :	HET
Report Prepared by :	ANK

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
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	NO
--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
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		27

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.