MIRA INFORM REPORT

Report Date :

02.10.2013

IDENTIFICATION DETAILS

Name :	ION EXCHANGE ASIA PACIFIC PTE. LTD.
Registered Office :	45, Cantonment Road, 089748
Country :	Singapore
Financials (as on) :	31.03.2013
Date of Incorporation :	12.08.2004
Com. Reg. No.:	200410162-D
Legal Form :	Private Limited
Line of Business :	Manufacture of Water Treatment, Waste Treatment and Oilfield Chemicals; Manufacture and Repair of Water/Waste Water Treatment Equipment.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ca

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Poor
Payment Behaviour :	Slow
Litigation :	Clear

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)
Singapore	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

SINGAPORE - ECONOMIC OVERVIEW

Singapore has a highly developed and successful free-market economy. It enjoys a remarkably open and corruption-free environment, stable prices, and a per capita GDP higher than that of most developed countries. The economy depends heavily on exports, particularly in consumer electronics, information technology products, pharmaceuticals, and on a growing financial services sector. Real GDP growth averaged 8.6% between 2004 and 2007. The economy contracted 0.8% in 2009 as a result of the global financial crisis, but rebounded 14.8% in 2010, on the strength of renewed exports, before slowing to 5.2% in 2011 and 1.3% in 2012, largely a result of soft demand for exports during the second European recession. Over the longer term, the government hopes to establish a new growth path that focuses on raising productivity, which has sunk to an average of about 1.0% in the last decade. Singapore has attracted major investments in pharmaceuticals and medical technology production and will continue efforts to establish Singapore as Southeast Asia's financial and high-tech hub.

Source : CIA

* Adopted abbreviations :	SC - Subject Company (the company enquired by you)
	N/A - Not Applicable

EXECUTIVE SUMMARY

REGISTRATION NO.

:

200410162-D

COMPANY NAME

:

ION EXCHANGE ASIA PACIFIC PTE. LTD.

FORMER NAME

:

N/A

INCORPORATION DATE

:

12/08/2004

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED

LISTED STATUS

:

NO

REGISTERED ADDRESS

:

45, CANTONMENT ROAD, 089748, SINGAPORE.

BUSINESS ADDRESS

:

45, CANTONMENT ROAD, 089748, SINGAPORE.

TEL.NO.

:

65-62241088

FAX.NO.

:

65-63231815

CONTACT PERSON

:

RAJESH SHARMA ( DIRECTOR )

PRINCIPAL ACTIVITY

:

MANUFACTURE OF WATER TREATMENT, WASTE TREATMENT AND OILFIELD CHEMICALS; MANUFACTURE AND REPAIR OF WATER/WASTE WATER TREATMENT EQUIPMENT

ISSUED AND PAID UP CAPITAL

:

1,953,211.00 ORDINARY SHARE, OF A VALUE OF SGD 1,953,211.00

SALES

:

USD 1,600,131 [2013]

NET WORTH

:

USD 240,591 [2013]

STAFF STRENGTH

:

N/A

BANKER (S)

:

UNITED OVERSEAS BANK LIMITED BANK OF INDIA

LITIGATION

:

CLEAR

FINANCIAL CONDITION

:

POOR

PAYMENT

:

POOR

MANAGEMENT CAPABILITY

:

WEAK

COMMERCIAL RISK

:

N/A

CURRENCY EXPOSURE

:

N/A

GENERAL REPUTATION

:

SATISFACTORY

INDUSTRY OUTLOOK

:

MATURE

History/ Background

The SC is a private limited company and is allowed to have a minimum of one and a maximum of forty-nine shareholders. As a private limited company, the SC must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the SC is capable of owning assets, entering into contracts, sue or be sued by other companies. The liabilities of the shareholders are to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the SC is insolvent. The SC is governed by the Companies Act and the company must file its annual returns, together with its financial statements with the Registrar of Companies.

The SC is principally engaged in the (as a / as an) manufacture of water treatment, waste treatment and oilfield chemicals; manufacture and repair of water/waste water treatment equipment.

The immediate and ultimate holding company of the SC is ION EXCHANGE (INDIA) LIMITED, a company incorporated in INDIA.

The major shareholder(s) of the SC are shown as follows :

Name	Address	IC/PP/Loc No	Shareholding	(%)
ION EXCHANGE (INDIA) LIMITED	ION HOUSE, DR. E. MOSES ROAD, MAHALAXMI, MUMBAI 400 011, INDIA.	T04UF1955D	1,953,211.00	100.00
			---------------	------
			1,953,211.00	100.00
			============	=====

+ Also Director

DIRECTORS

DIRECTOR 1

Name Of Subject	:	MR. RAJESH SHARMA
Address	:	32 VIDHANI APT, NARAYAN DABHOLKAR ROAD CUMBALLA HILL, MUMBAI 400006, INDIA.
IC / PP No	:	F0700151
Nationality	:	INDIAN
Date of Appointment	:	14/09/2004

DIRECTOR 2

Name Of Subject	:	ANIL MANOCHA
Address	:	5, JALAN ISHAK, 419321, SINGAPORE.
IC / PP No	:	S2748695I
Nationality	:	SINGAPOREAN
Date of Appointment	:	14/09/2004

DIRECTOR 3

Name Of Subject	:	MAHABIR PRASAD PATNI
Address	:	7A LALA LAJPAT RAI SARANI, CALCUTTA 700020, WEST BENGAL, INDIA.
IC / PP No	:	B1930666
Nationality	:	INDIAN
Date of Appointment	:	14/09/2004

DIRECTOR 4

Name Of Subject	:	ANKUR PATNI
Address	:	P-491 CIT SCHEME XLVII, KEYATALLA LANE, CALCUTTA-700029, INDIA.
IC / PP No	:	A9043138
Nationality	:	INDIAN
Date of Appointment	:	14/09/2004
Remark	:	ALTERNATE DIRECTOR TO MAHABIR PRASAD PATNI

DIRECTOR 5

Name Of Subject	:	DINESH SHARMA
Address	:	E-107/1, NARAINA VIHAR, NEW DELHI - 28, INDIA.
IC / PP No	:	Z1402229
Nationality	:	INDIAN
Date of Appointment	:	14/09/2004
Remark	:	ALTERNATE DIRECTOR TO RAJESH SHARMA

Management

1)	Name of Subject	:	RAJESH SHARMA
	Position	:	DIRECTOR

Auditor

Auditor	:	SINGAPORE ASSURANCE PAC
Auditor' Address	:	N/A

Company Secretaries

1)	Company Secretary	:	ONG LIAN KIN ESTHER
	IC / PP No	:	S1126307J
	Address	:	5, JALAN ISHAK, 419321, SINGAPORE.

BANKING

Banking relations are maintained principally with :

1)

Name

:

UNITED OVERSEAS BANK LIMITED

2)

Name

:

BANK OF INDIA

Encumbrance (S)

Charge No	Creation Date	Charge Description	Chargee Name	Total Charge	Status
C200506814	02/11/2005	N/A	UNITED OVERSEAS BANK LIMITED	N/A	Unsatisfied
C200704918	28/06/2007	N/A	BANK OF INDIA	N/A	Unsatisfied

Legal Check Against SC

* A check has been conducted in our databank againt the SC whether the subject has been involved in any litigation.

No legal action was found in our databank.

No winding up petition was found in our databank.

Payment Record

SOURCES OF RAW MATERIALS:
Local	:	N/A
Overseas	:	N/A

The staff from the registered office refused to disclose any information on the SC's suppliers.

The SC refused to provide any name of trade/service supplier and we are unable to conduct any trade enquiry. However, from financial historical data we conclude that :

OVERALL PAYMENT HABIT
Prompt 0-30 Days	[	]	Good 31-60 Days	[		]	Average 61-90 Days	[	]
Fair 91-120 Days	[	]	Poor >120 Days	[	X	]

Clientele

Local	:	N/A
Overseas	:	N/A

The staff from the registered office refused to disclose any information on the SC's clientele.

Operations

Products manufactured

:

WATER TREATMENT, WASTE TREATMENT AND OILFIELD CHEMICALS

Branch

:

NO

Other Information:

The SC is principally engaged in the (as a / as an) manufacture of water treatment, waste treatment and oilfield chemicals; manufacture and repair of water/waste water treatment equipment.

The staff from the registered office refused to disclose any information on the SC's operation.

Current Investigation

Latest fresh investigations carried out on the SC indicated that :

Telephone Number Provided By Client	:	N/A
Current Telephone Number	:	65-62241088
Match	:	N/A
Address Provided by Client	:	SINGAPORE
Current Address	:	45, CANTONMENT ROAD, 089748, SINGAPORE.
Match	:	NO

Other Investigations

We contacted one of the staff from the SC's registered office and she only provided limited information on the SC.

The address provided is incomplete.

She refused to disclose the SC's number of employees.

We found contact number for the SC at 63341088 and 65158997 in its webpage at www.ieiasiapacific.com. However they are invalid.

Financial Analysis

Profitability
Turnover	:	Increased	[	16.37%	]
Profit/(Loss) Before Tax	:	Decreased	[	<98.38%>	]
Return on Shareholder Funds	:	Unfavourable	[	<5.20%>	]
Return on Net Assets	:	Unfavourable	[	0.90%	]
The higher turnover could be attributed to the favourable market condition and the SC could be gaining the market share progressively.The SC could be more efficient in controlling its operating costs and had managed to reduce its losses during the year. The SC's unfavourable returns on shareholders' funds indicate the management's inefficiency in utilising its assets to generate returns.
Working Capital Control
Stock Ratio	:	Nil	[	0 Days	]
Debtor Ratio	:	Unfavourable	[	291 Days	]
Creditors Ratio	:	Unfavourable	[	241 Days	]
As the SC is a service oriented company, the SC does not need to keep stocks. The SC's debtors ratio was high. The SC should tighten its credit control and improve its collection period. The unfavourable creditors' ratio could be due to the SC taking advantage of the credit granted by its suppliers. However this may affect the goodwill between the SC and its suppliers and the SC may inadvertently have to pay more for its future supplies.
Liquidity
Liquid Ratio	:	Favourable	[	1.09 Times	]
Current Ratio	:	Unfavourable	[	1.09 Times	]
A minimum liquid ratio of 1 should be maintained by the SC in order to assure its creditors of its ability to meet short term obligations and the SC was in a good liquidity position. Thus, we believe the SC is able to meet all its short term obligations as and when they fall due.
Solvency
Interest Cover	:	Unfavourable	[	0.15 Times	]
Gearing Ratio	:	Unfavourable	[	1.15 Times	]
The SC's interest cover was low. If its profits fall or when interest rate rises, it may not be able to meet all its interest payment. The SC was highly geared, thus it had a high financial risk. The SC was dependent on loans to finance its business needs. In times of economic downturn and / or high interest rate, the SC will become less profitable and competitive than other firms in the same industry, which are lowly geared. This is because the SC has to service the interest and to repay the loan, which will erode part of its profits. The profits will fluctuate depending on the SC's turnover and the interest it needs to pay.
Overall Assessment :
The higher turnover had helped to reduce the SC's losses. The SC was in good liquidity position with its total current liabilities well covered by its total current assets. With its current net assets, the SC should be able to repay its short term obligations. If there is a fall in the SC's profit or any increase in interest rate, the SC may not be able to generate sufficient cash-flow to service its interest. The SC's gearing level was high and its going concern will be in doubt if there is no injection of additional shareholders' funds in times of economic downturn and / or high interest rates.
Overall financial condition of the SC : POOR

Singapore Economic/ Industry Outlook

Major Economic Indicators :	2008	2009	2010	2011	2012
Population (Million)	4.84	4.98	5.08	5.18	5.31
Gross Domestic Products ( % )	1.5	<0.8>	14.5	4.9	1.3
Consumer Price Index	6.6	0.6	2.8	5.2	4.6
Total Imports (Million)	450,892.6	356,299.3	423,221.8	459,655.1	474,554.0
Total Exports (Million)	476,762.2	391,118.1	478,840.7	514,741.2	510,329.0
Unemployment Rate (%)	2.2	3.2	2.2	2.1	2.0
Tourist Arrival (Million)	10.12	9.68	11.64	13.17	14.37
Hotel Occupancy Rate (%)	81.0	75.8	85.6	86.5	86.4
Cellular Phone Subscriber (Million)	1.31	1.37	1.43	1.50	1.52
Registration of New Companies (No.)	25,327	26,414	29,798	32,317	31,892
Registration of New Companies (%)	<2.2>	4.3	12.8	8.5	<1.3>
Liquidation of Companies (No.)	10,493	22,393	15,126	19,005	17,218
Liquidation of Companies (%)	13.7	113.4	<32.5>	25.6	9.4
Registration of New Businesses (No.)	24,850	26,876	23,978	23,494	24,788
Registration of New Businesses (%)	0.36	8.15	<10.78>	2.02	5.51
Liquidation of Businesses (No.)	21,150	23,552	24,211	23,005	22,489
Liquidation of Businesses (%)	<0.8>	11.4	2.8	<5>	<2.2>
Bankruptcy Orders (No.)	2,326	2,058	1,537	1,527	1,748
Bankruptcy Orders (%)	<15.9>	<11.5>	<25.3>	<0.7>	14.5
Bankruptcy Discharges (No.)	1,500	3,056	2,252	1,391	1,881
Bankruptcy Discharges (%)	<7.7>	103.7	<26.3>	<38.2>	35.2
INDUSTRIES ( % of Growth ) :
Agriculture
Production of Principal Crops	<0.32>	3.25	<0.48>	4.25	3.64
Fish Supply & Wholesale	<6.31>	<1.93>	<10.5>	12.10	<0.5>
Manufacturing *	74.6	71.5	92.8	100.0	100.3
Food, Beverages & Tobacco	94.8	90.4	96.4	100.0	103.5
Textiles	180.1	145.9	122.1	100.0	104.0
Wearing Apparel	334.6	211.0	123.3	100.0	92.1
Leather Products & Footwear	128.2	79.5	81.8	100.0	98.6
Wood & Wood Products	132.0	101.4	104.0	100.0	95.5
Paper & Paper Products	101.0	95.4	106.1	100.0	97.4
Printing & Media	118.2	100.9	103.5	100.0	93.0
Crude Oil Refineries	113.1	96.4	95.6	100.0	99.4
Chemical & Chemical Products	84.5	80.3	97.6	100.0	100.5
Pharmaceutical Products	43.7	49.1	75.3	100.0	109.7
Rubber & Plastic Products	120.1	101.2	112.3	100.0	96.5
Non-metallic Mineral	96.5	91.9	92.5	100.0	98.2
Basic Metals	109.8	92.6	102.2	100.0	90.6
Fabricated Metal Products	101.3	90.8	103.6	100.0	104.3
Machinery & Equipment	65.0	57.3	78.5	100.0	112.9
Electrical Machinery	81.7	86.8	124.1	100.0	99.3
Electronic Components	93.1	85.2	113.6	100.0	90.6
Transport Equipment	102.0	96.0	94.0	100.0	106.3
Construction	45.90	<36.9>	14.20	20.50	28.70
Real Estate	<11.2>	1.4	21.3	25.4	31.9
Services
Electricity, Gas & Water	<1.3>	1.70	4.00	7.00	6.30
Transport, Storage & Communication	11.60	3.90	12.80	7.40	5.30
Finance & Insurance	<5.9>	<16.4>	<0.4>	8.90	0.50
Government Services	17.40	4.50	9.70	6.90	6.00
Education Services	0.50	0.10	<0.9>	<1.4>	0.30
* Based on Index of Industrial Production (2011 = 100)
(Source : Department of Statistics)

Industry Analysis

INDUSTRY :	MANUFACTURING
The manufacturing sector contracted by 1.1% in the fourth quarter of 2012, led by declines in the electronics and precision engineering clusters. These clusters were weighed down by weak global demand for semiconductors and semiconductor-related equipment. For the whole year of 2012, the manufacturing sector grew by 0.1%, significantly lower than the 7.8% recorded in 2011 when the sector was boosted by a surge in the growth of the biomedical manufacturing cluster.
Output of the biomedical manufacturing cluster grew by 2.4% in the fourth quarter. The expansion was driven by the medical technology segment which grew by a healthy 9.2%, benefitting from robust export demand for medical devices. The pharmaceuticals segment also grew by a modest 1.1%. For 2012, the biomedical manufacturing cluster expanded by 9.9%.
Output of the transport engineering cluster expanded by 4.9% in the fourth quarter. The aerospace segment grew by 6.2%, supported by higher demand for repair jobs from commercial airlines. Similarly, the marine & offshore engineering segment expanded by 5.0%, on the back of higher contributions from oil rig projects and oilfield equipment components. In the year 2012, the transport engineering cluster surged by 11%.
The output of the precision engineering cluster shrank by 1.3% in the fourth quarter. The decline was led by the 5.3% contraction in the machinery & systems segment, which saw weak export demand for semiconductor-related equipment. On the other hand, the precision modules & components segment grew by 2.9%, supported by higher production of optical instruments & photographic equipment and electronic connectors. In 2012, the precision engineering cluster expanded by 1.3%.
The general manufacturing cluster's output grew by 1.2% in the fourth quarter, driven by the 6.4% growth in the miscellaneous industries segment. The segment's growth was supported by higher production of batteries and constructionrelated materials. By contrast, the printing and food, beverages & tobacco segments declined by 6.4% and 1.3% respectively. For 2012, the general manufacturing cluster grew by 2.0%.
The chemicals cluster's output grew by 7.7% in the fourth quarter. The petrochemicals and petroleum segments registered growth of 9.3% and 6.3% respectively, partly due to the low base from plant shutdowns in end of 2011. The specialty chemicals segment also expanded by 8.0% on the back of higher regional demand. For the year 2012, the chemicals cluster declined by 0.4%, primarily due to weak regional demand for specialty chemicals in the second and third quarter of 2012.
Output of the electronics cluster contracted by 10% in the fourth quarter, led by the semiconductors and computer peripherals segments which contracted by 13% and 15% respectively. By contrast, the data storage segment grew by 7.8%, mainly due to the low base in end of 2011 when floods in Thailand had disrupted the supply chain for data storage products. For the whole of 2012, the electronics cluster contracted by 11%.
OVERALL INDUSTRY OUTLOOK : MATURE

Credit Risk Evaluation & Recommendation

Incorporated in 2004, the SC is a Private Limited company, focusing on manufacture of water treatment, waste treatment and oilfield chemicals; manufacture and repair of water/waste water treatment equipment. Having been in business for more than 5 years, the SC has established a remarkable clientele base for itself which has contributed to its business growth. Presently, issued and paid up capital of the SC stand at SGD1,953,211.

Overall, we regard that the SC's management capability is weak. Without capable management, the SC is unlikely to be successful and often contribute to unacceptable levels of accountability. Weak management can affect productivity, profitability, sales growth and ultimately can result in the failure of a business.

Despite the higher turnover, the SC suffered pre-tax losses which reflected a highly competitive business environment. The SC has generated an unfavourable return on shareholders' funds indicating that the management was inefficient in utilising its funds to generate return. The SC is in good liquidity position with its current liabilities well covered by it current assets. Hence, it has sufficient working capital to meet its short term financial obligations. The high gearing ratio clearly implied that the SC was supported by more debt than equity. Thus, the SC is exposed to high financial risk.

Without a strong assets backing, the SC may face difficulties in getting loans for its future expansion and continued growth.

The poor payment habit may affect the goodwill between the SC and its suppliers and the SC may inadvertently have to pay more for its future supplies.

The industry has reached its optimum level and is generally stable. It is saturated and very competitive. Thus, the SC's growth prospect is very much depends on its capacity in sustaining its performance in the market.

Based on the above unfavourable condition, we regard granting credit to the SC to be quite risky. Hence, credit is not recommended.

PROFIT AND LOSS ACCOUNT

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH SINGAPORE FINANCIAL REPORTING STANDARDS.

ION EXCHANGE ASIA PACIFIC PTE. LTD.

Financial Year End	2013-03-31	2012-03-31
Months	12	12
Consolidated Account	Company	Company
Audited Account	YES	YES
Unqualified Auditor's Report (Clean Opinion)	YES	YES
Financial Type	FULL	FULL
Currency	USD	USD
TURNOVER	1,600,131	1,374,992
Other Income	276,761	<150,680>
	----------------	----------------
Total Turnover	1,876,892	1,224,312
Costs of Goods Sold	<1,323,370>	<1,525,672>
	----------------	----------------
Gross Profit	553,522	<301,360>
	----------------	----------------
PROFIT/(LOSS) FROM OPERATIONS	<12,505>	<771,208>
	----------------	----------------
PROFIT/(LOSS) BEFORE TAXATION	<12,505>	<771,208>
	----------------	----------------
PROFIT/(LOSS) AFTER TAXATION	<12,505>	<771,208>
	----------------	----------------
RETAINED PROFIT/(LOSS) BROUGHT FORWARD
As previously reported	<1,223,941>	<452,733>
	----------------	----------------
As restated	<1,223,941>	<452,733>
	----------------	----------------
PROFIT AVAILABLE FOR APPROPRIATIONS	<1,236,446>	<1,223,941>
	----------------	----------------
RETAINED PROFIT/(LOSS) CARRIED FORWARD	<1,236,446>	<1,223,941>
	=============	=============
INTEREST EXPENSE (as per notes to P&L)
Bank overdraft	14,665	7,431
	----------------	----------------
	14,665	7,431

BALANCE SHEET

ION EXCHANGE ASIA PACIFIC PTE. LTD.

ASSETS EMPLOYED:
FIXED ASSETS	-	111
LONG TERM INVESTMENTS/OTHER ASSETS
Subsidiary companies	55,002	55,002
Associated companies	49,000	50,154
	----------------	----------------
TOTAL LONG TERM INVESTMENTS/OTHER ASSETS	104,002	105,156
	----------------	----------------
TOTAL LONG TERM ASSETS	104,002	105,267
CURRENT ASSETS
Trade debtors	1,273,765	1,026,551
Other debtors, deposits & prepayments	141,123	329,773
Short term deposits	206,724	205,651
Cash & bank balances	17,396	32,245
Others	5,476	13,380
	----------------	----------------
TOTAL CURRENT ASSETS	1,644,484	1,607,600
	----------------	----------------
TOTAL ASSET	1,748,486	1,712,867
	=============	=============
CURRENT LIABILITIES
Trade creditors	874,656	1,082,220
Other creditors & accruals	357,260	759,590
Bank overdraft	275,979	142,406
	----------------	----------------
TOTAL CURRENT LIABILITIES	1,507,895	1,984,216
	----------------	----------------
NET CURRENT ASSETS/(LIABILITIES)	136,589	<376,616>
	----------------	----------------
TOTAL NET ASSETS	240,591	<271,349>
	=============	=============
SHARE CAPITAL
Ordinary share capital	1,477,037	952,592
	----------------	----------------
TOTAL SHARE CAPITAL	1,477,037	952,592
RESERVES
Retained profit/(loss) carried forward	<1,236,446>	<1,223,941>
	----------------	----------------
TOTAL RESERVES	<1,236,446>	<1,223,941>
	----------------	----------------
SHAREHOLDERS' FUNDS/EQUITY	240,591	<271,349>
	----------------	----------------
	240,591	<271,349>
	=============	=============

FINANCIAL RATIO

ION EXCHANGE ASIA PACIFIC PTE. LTD.

TYPES OF FUNDS
Cash	224,120	237,896
Net Liquid Funds	<51,859>	95,490
Net Liquid Assets	136,589	<376,616>
Net Current Assets/(Liabilities)	136,589	<376,616>
Net Tangible Assets	240,591	<271,349>
Net Monetary Assets	136,589	<376,616>
BALANCE SHEET ITEMS
Total Borrowings	275,979	142,406
Total Liabilities	1,507,895	1,984,216
Total Assets	1,748,486	1,712,867
Net Assets	240,591	<271,349>
Net Assets Backing	240,591	<271,349>
Shareholders' Funds	240,591	<271,349>
Total Share Capital	1,477,037	952,592
Total Reserves	<1,236,446>	<1,223,941>
LIQUIDITY (Times)
Cash Ratio	0.15	0.12
Liquid Ratio	1.09	0.81
Current Ratio	1.09	0.81
WORKING CAPITAL CONTROL (Days)
Stock Ratio	0	0
Debtors Ratio	291	273
Creditors Ratio	241	259
SOLVENCY RATIOS (Times)
Gearing Ratio	1.15	<0.52>
Liabilities Ratio	6.27	<7.31>
Times Interest Earned Ratio	0.15	<102.78>
Assets Backing Ratio	0.16	<0.28>
PERFORMANCE RATIO (%)
Operating Profit Margin	<0.78>	<56.09>
Net Profit Margin	<0.78>	<56.09>
Return On Net Assets	0.90	281.47
Return On Capital Employed	0.42	592.34
Return On Shareholders' Funds/Equity	<5.20>	284.21
Dividend Pay Out Ratio (Times)	0.00	0.00
NOTES TO ACCOUNTS
Contingent Liabilities	0	0

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.62.36
UK Pound	1	Rs.101.20
Euro	1	Rs.84.54

INFORMATION DETAILS

Report Prepared by :

NIT

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	--

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%)

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.