MIRA INFORM REPORT

Report Date :

25.11.2013

IDENTIFICATION DETAILS

Name :	BIG BAGS INTERNATIONAL PRIVATE LIMITED
Registered Office :	No.61, Nadakerappa Industrial Estate, Andrajhalli Main Road, Vishwaneedam, Bangalore – 560 091, Karnataka
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	05.07.2000
Com. Reg. No.:	08-027403
Capital Investment / Paid-up Capital :	Rs.198.016 Millions
CIN No.: [Company Identification No.]	U24304KA2000PTC027403
TAN No.: [Tax Deduction & Collection Account No.]	BLRB01476G
Legal Form :	Private Limited Liability Company
Line of Business :	The company is engaged in activity of manufacturing of PP, FIBC bags, tarpaulins, fabrics.
No. of Employees :	1500 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

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

Maximum Credit Limit :	USD 2010000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. The company is performing well. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitment. The company can be considered normal business dealings at usual trade terms and conditions.

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 – March 31^st, 2013

Country Name	Previous Rating (31.12.2012)	Current Rating (31.03.2013)
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

The current downturn provides an opportunity to push ahead with reforms to accelerate growth, says the latest India Development Update report released by the World Bank. The report says that the adverse effects of rupee depreciation are likely to be offset by the gains in the exports performance due to improved external competitiveness. Since May this year, the local currency has depreciated substantially and fell to a record level of Rs 68.85 to a dollar on August, 28.

A stagflation like situation appears to have arisen as inflation jumped to an eight month high of 6.46 % for the month of September. It is up from 6.10 % in August. Growth continues to be muted with factory output plunging to 0.6 % in August. Onion prices have risen nearly 300 % from last September. Vegetables cost nearly 90 % more than they did last year. Wake up to the economic contribution of slum dwellers. They contribute more than 7.5 % to the country’s gross domestic product, according to a recent study conducted in 50 top cities.

136000 estimated number of jobs created during the second quarter of the current financial year. 50000 estimated number of additional jobs in the field of corporate social responsibility in the coming years.

The International Finance Corporation expects to come out with its rupee linked bonds issue before the end of 2013 as a part of its plan to raise $ 1 billion. The Apple iPhone 5c (Rs 41900 for 16 GB variant) and 5s (Rs 53500 for 16GB variant) has been launched in India from 1^st November.

The Land Acquisition Act to provide just and fair compensation to farmers will come into force from January 1 next year, said Rural Development Minister Jairam Ramesh. The Act replaces a 119 year old registration. The Securities and Exchange Board of India has approved the trading of currency futures on the Bombay Stock Exchange. The exchange plans to launch the currency futures platform with advanced trading technology by the end of November.

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Letter of Credit = A3+
Rating Explanation	Moderate degree of safety. It carry moderate credit risk
Date	17.07.2013

Rating Agency Name	CRISIL
Rating	Cash Credit = BBB
Rating Explanation	Moderate degree of safety. It carry moderate credit risk
Date	17.07.2013

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/ Factory :	No.61, Nadakerappa Industrial Estate, Andrajhalli Main Road, Vishwaneedam, Bangalore – 560 091, Karnataka, India
Tel. No.:	91-80-28363929/ 28363930/ 28365479/ 28365305/ 28365300/ 28363931
Fax No.:	91-80-28363928/ 28365307
E-Mail :	info@bigbagsindia.com bigbagsintl@vsnl.net.in
Website :	http://www.bigbags.in http://www.bigbagsinternational.com
Area :	35000 sq. ft.
Location :	Owned by Company
Corporate Office 1 :	#37, Nadakerappa Industrial Estate, Andrahalli Main Road, Near Peenya Ii Stage, P.B. No. 9114, Viswaneedam Post, Bangalore – 560091, Karnataka, India
Corporate Office 2 :	Block #8, Epip, Ganjimutt, Mangalore - 574 144, Karnataka, India
Tel. No.:	91-80-4906 4900 / 4906 8900
Fax No.:	91-80-2836 5307
E-Mail :	info@bigbagsinternational.com This email address is being protected from spambots. You need JavaScript enabled to view it.

DIRECTORS

As on 30.09.2013

Name :

Mrs. Rekha Ravish Kamath

Designation :

Managing Director

Address :

7 and 8, Rajarajeswari, 1^st Cross, Widia Layout, Vijayanagar, Bangalore – 560 040, Karnataka, India

Date of Birth/Age :

07.02.1974

Qualifications :

Graduate

Date of Appointment :

27.10.1993

DIN No.:

00025571

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	U25209KA1993 PTC014849	BIG BAGS (INDIA)PRIVATE LIMITED	Managing director	27/10/1993	27/10/1993	-	Amalgamated	NO
2	U24304KA2000 PTC027403	BIG BAGS INTERNATIONAL PRIVATE LIMITED	Managing director	05/07/2000	05/07/2000	-	Active	NO
3	U24139KA2008PTC045662	WELNET POLYMERS PRIVATE LIMITED	Director	14/05/2009	14/05/2009	-	Active	NO
4	U17215KA2009PTC051109	Big Bags (Bangalore) Private Limited	Managing director	20/11/2009	07/10/2009	-	Active	NO
5	U74990KA2011PTC059232	K F INVESTMENTS PRIVATE LIMITED	Director	20/06/2011	20/06/2011	-	Active	NO
6	U85191KA2013PTC070773	CENTELLA AYUR HEALTH RESORT AND SPA PRIVATE LIMITED	Director	30/08/2013	30/08/2013	-	Active	NO

Name :

Mr. Mehul Arvind Shah

Designation :

Director

Address :

301/302, Deepak Co-Operative Housing Society Limited, 12, Kashi Bai Navrang Marg, Mumbai – 400 007, Maharashtra, India

Date of Birth/Age :

11.02.1966

Qualifications :

Chemical Engineer

Date of Appointment :

25.02.2006

DIN No.:

02512295

Name :

Mrs. Nupur Ramsisaria

Designation :

Additional Director

Address :

#15, IST C Cross, Sudhamanagar, Bangalore – 560027, Karnataka, India

Date of Birth/Age :

01.02.1972

Date of Appointment :

20.11.2012

DIN No.:

00352611

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	U25209KA1999PTC025084	KRISHNA POLYMACH PRIVATE LIMITED	Director	20/04/1999	20/04/1999	-	Active	NO
2	U15311KA1970PTC001889	SEETHALAKSHMI HALL FLOUR MILLS PRIVATE LIMITED	Director	21/07/2005	21/07/2005	-	Active	NO
3	U51102RJ2000PLC016173	SHREE MARU TRADELINK LIMITED	Director	19/10/2005	19/10/2005	16/09/2009	Active	NO
4	U63011KA1994PTC015762	SUNRISE INTERSTATE CARRIERS PRIVATE LIMITED	Director	14/02/2006	14/02/2006	-	Active	NO
5	U51109WB1995PTC073676	CHAKRAPANI VYAPAR PRIVATE LIMITED	Director	01/03/2007	01/03/2007	05/11/2008	Active	NO
6	U23201KA1999PTC024645	AMBIKA PETROCHEM PRIVATE LIMITED	Director	28/08/2009	28/08/2009	-	Active	NO
7	U36900WB2001PTC092957	KAMDHENU LABELS PRIVATE LIMITED	Director	13/01/2010	13/01/2010	03/05/2010	Active	NO
8	U67120KA1986PTC007516	ABHINANDAN INVESTMENTS PRIVATE LIMITED	Director	11/09/2012	11/09/2012	-	Active	NO
9	U24299KA2008PTC046009	BHAGYASHREE COLOURS PRIVATE LIMITED	Additional director	14/09/2012	14/09/2012	-	Active	NO
10	U70101WB1980PTC032738	CHAMPION PACKAGING INDUSTRIES PRIVATE LIMITED	Director	29/09/2012	29/09/2012	-	Active	NO
11	U92111KA1999PTC026007	NYLOFILMS PRIVATE LIMITED	Director	29/09/2012	29/09/2012	-	Active	NO
12	U51909WB1984PLC037373	SHYAM TEXTILES LIMITED	Director	01/10/2012	01/10/2012	-	Active	NO
13	U25190KA2011PTC060866	SHUBHANKAR POLYMERS PRIVATE LIMITED	Director	01/10/2012	01/10/2012	-	Active	NO
14	U70103KA2006PTC038812	SHREE PLA PRIVATE LIMITED	Director	03/10/2012	03/10/2012	-	Active	NO
15	U24304KA2000PTC027403	BIG BAGS INTERNATIONAL PRIVATE LIMITED	Additional director	20/11/2012	20/11/2012	-	Active	NO
16	U17215KA2009PTC051109	Big Bags (Bangalore) Private Limited	Additional director	20/11/2012	20/11/2012	-	Active	NO
17	U85110KA1968PTC001744	SUVIKRAM PLASTEX PRIVATE LIMITED	Director	30/09/2013	15/03/2013	-	Active	NO

MAJOR SHAREHOLDERS

As on 30.09.2013

Names of Shareholders	No. of Shares
Ambika Petrochem Private Limited, India	925000
AnjaJi Bala	100000
AshishJena	100000
Bikash Kumar	100000
S R Pai	10000
DK Sriram	20000
G L Singhania	525000
Gokul Yadav	50000
Harish B Kamath	1000
Isotech Tie - Up Private Limited, India	2252500
R Pai	10000
Kamath Family Trust	2084808
KF Investment Private Limited, India	1500000
Lakshnu Sriram	10000
Mehul Arvind Shah	1000
Narashima Bhat	26200
Nikil Saxena	10000
Nupur Ramsisaria	1000000
P Viyashankara Adappa	13000
Piyush Fiscal Private Limited, India	3500000
Plas Trap Inc Usa	80658
Pramod Singh	50000
Prathima N Bhat	140400
Rajnish Kumar	100000
ameshS	150000
Rekha R Kamath	1847200
RGF Fincon Private Limited, India	3300000
Sabahstin A	100000
Sangeetha Saraf	10000
Sanjana Kamath	85000
Shyam Godavari Steels Private Limited, India	1000000
Total Energy Group	400000
UshaAdappa	10000
Vaishali	200000
Vidyavathi Shelly	89800
Total	19801566

Equity Share Break up (Percentage of Total Equity)

As on 30.09.2013

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	2.06
Bodies corporate	63.01
Directors or relatives of Directors	14.82
Other top fifty shareholders	20.11
Total	100.00

BUSINESS DETAILS

Line of Business :

The company is engaged in activity of manufacturing of PP, FIBC bags, tarpaulins, fabrics.

Products :

Product Description	Item Code No.
Woven Items, Ropes, Plastic Films and Sheeting	24304
Fibc Bags	63053200

GENERAL INFORMATION

No. of Employees :

1500 (Approximately)

Bankers :

· Andhra Bank, N R Road Branch, Bangalore – 560002, Karnataka, India

· Bank of India, MID Corporate Branch, BOI Building, No. 11, K. G. Road, Bangalore – 560009, Karnataka, India

Facilities :

SECURED LOANS	31.03.2013 Rs. In Millions	31.03.2012 Rs. In Millions
Long Term Borrowings
Term loans from banks	35.222	58.435
Foreign currency term loans from banks	317.328	281.983
Loans taken for fixed assets	6.004	1.412
Short Term Borrowings
Foreign currency term loans from banks	423.131	355.337
Total	781.685	697.167

Notes:

Term Loans

1. Term Loans have been taken for purchase of machinery and related civil work, same is secured by way of exclusive charge on specific Fixed Asset created procured out of Term Loan and continuing charge on existing assets

2. All Loans except Vehicle Loans are guranted by personal guarantee of Rekha R Kamath Managing Director and Chief Executive Officer Ravish Kamath

3. All Vehicle Loans are secured by way of exclusive hypothecation charge on respective vehicle procured out of loan Working Capital Facilities Working Capital Facilities are secured by hypothecation of present and future stock of raw materials, stock-in-process, finished goods stores and spares(not relating to plant and machinery), book debts, receivables, claims, material in transit

Banking Relations :	--
Financial Institution :	The Hongkong and Shanghai Banking Corporation Limited, No. 7, M.G. Road, Bangalore – 560001, Karnataka, India
Auditors :
Name :	S. Subramanium Bhatt Chartered Accountant
Address :	310, Ground Floor, 4^th Cross, 1^st Block, Jayanagar, Bangalore – 560 011, Karnataka, India
Tel. No.:	91-80-26577646/ 26577647/ 26577645
Fax No.:	91-80-26577645
PAN No.:	ADDPB6480D
Company in which Directors are interested :	Big Bags (Bangalore) Private Limited
Sole Proprietorship firm of Managing Director :	· Advance Technologies · FIBC Technologies

CAPITAL STRUCTURE

As on 30.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
20000000	Equity Shares	Rs. 10/- each	Rs.200.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
19801566	Equity Shares	Rs. 10/- each	Rs.198.016 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	198.016	158.016	148.016
(b) Reserves & Surplus	304.232	252.941	207.890
(c) Money received against share warrants	0.000	30.000	0.000
(2) Share Application money pending allotment	0.000	0.000	0.000
Total Shareholders’ Funds (1) + (2)	502.248	440.957	355.906
(3) Non-Current Liabilities
(a) long-term borrowings	368.554	341.830	60.781
(b) Deferred tax liabilities (Net)	20.440	10.333	18.255
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	388.994	352.163	79.036
(4) Current Liabilities
(a) Short term borrowings	423.131	355.337	281.547
(b) Trade payables	471.220	300.656	31.415
(c) Other current liabilities	161.125	52.985	242.635
(d) Short-term provisions	40.807	56.461	55.359
Total Current Liabilities (4)	1096.283	765.439	610.956
TOTAL	1987.525	1558.559	1045.898
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	601.088	318.071	197.791
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	122.944	144.424	18.536
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.080	0.080	0.080
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	30.871	27.352	26.703
(e) Other Non-current assets	23.003	58.316	84.049
Total Non-Current Assets	777.986	548.243	327.159
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	223.254	282.195	264.198
(c) Trade receivables	571.955	348.432	283.579
(d) Cash and cash equivalents	120.740	195.029	117.050
(e) Short-term loans and advances	48.716	100.917	20.581
(f) Other current assets	244.874	83.743	33.331
Total Current Assets	1209.539	1010.316	718.739
TOTAL	1987.525	1558.559	1045.898

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
SALES
	Gross Income	2481.200	1812.600	1549.500
	Other Income	4.500	NA	NA
	TOTAL	2485.700	NA	NA
EXPENSES		270.900	197.300	181.100
PROFIT/(LOSS) BEFORE TAX		77.100	57.700	60.900
TAX		25.200	13.000	28.900
PROFIT/(LOSS) AFTER TAX		51.900	44.700	32.000
Earnings Per Share (Rs.)		2.62	NA	NA

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
Return on Total Assets (PBT/Total Assets}	(%)	4.26	4.34	6.64
Return on Investment (ROI) (PBT/Networth)		0.15	0.13	0.17
Debt Equity Ratio (Total Debt /Networth)		1.58	1.58	0.96
Current Ratio (Current Asset/Current Liability)		1.10	1.32	1.18

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	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	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 LOANS:

Particulars	31.03.2013 Rs. In Millions	31.03.2012 Rs. In Millions
Long Term Borrowings
Loans and advances from others	10.000	0.000
Total	10.000	0.000

BUSINESS OVERVIEW:

The company started with a small production capacity of 500 bags per day in early 2000. Since then Big Bags has expanded its capabilities to currently produce around 30,000 FIBCs/day and 100,000 PP woven sacks. In addition, Big Bags has the capacity to produce 250,000 meters of fabric/day, 25,000 meters of liners/day, 40,000 meters of lamination/day, 200,000 meters of webbing/day and 100,000 meters dust-proof/day. Big Bags has the capability to further enhance the production capacity based on customer demand Furthermore, we commissioned a world-class facility in Mangalore in April 2012. This factory houses on a 25-acre campus with end-to-end facilities and has a capacity to produce 10,000 bags per day. We expect phase 2 of this facility to start operating by the mid of November 2013, with an overall capacity to produce over 40000 bags per day. This includes the transfer of existing production facilities from Bengaluru to Mangalore. This facility will also enjoy the advantage of quicker time to international markets owing to its presence and proximity to the Mangalore shipping port.

INDEX OF CHARGE:

Sr. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10457632	16/09/2013	50,000,000.00	BANK OF INDIA	Mid Corporate Branch, No.11, K G Road, Bangalore, Karnataka - 560009, India	B88558713
2	10339766	21/01/2012	30,000,000.00	YES BANK LIMITED	9TH FLOOR, NEHRU CENTRE, DISCOVERY OF INDIA, DR. ANNIE BESANT ROAD, WORLI, MUMBAI, Maharashtra - 400018, INDIA	B33951351
3	10249372	09/09/2010	825,000,000.00	BANK OF INDIA	Mid Corporate Branch, No.11, K G Road, Bangalore, Karnataka - 560009, India	A97516934
4	10249371	24/09/2011 *	1,380,900,000.00	Bank of India	Mid Corporate Branch, No.11, K G Road, Bangalore, Karnataka - 560009, India	B23773260
5	10210876	22/03/2010	160,000,000.00	ANDHRA BANK	N R ROAD BRANCH, BANGLAORE, Karnataka - 560002, INDIA	A82392614
6	10210881	12/01/2013 *	260,600,000.00	ANDHRA BANK	N R ROAD BRANCH, BANGALORE, Karnataka - 560002, INDIA	B69777852

*Date of Modification Charges

FIXED ASSETS:

· Land

· Building

· Plant and Machinery

· Vehicles

· Computers

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.63.03
UK Pound	1	Rs.102.04
Euro	1	Rs.84.92

INFORMATION DETAILS

Report Prepared by :

VNT

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	6
--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	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		47

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.