MIRA INFORM REPORT

Report Date :

10.10.2013

IDENTIFICATION DETAILS

Name :	CAMBATA AVIATION PRIVATE LIMITED
Registered Office :	T9 and T9 A, 3^rd Floor, Vasant Square Mall, Vasant Kunj, New Delhi – 110070
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	17.02.1954
Com. Reg. No.:	55-238906
Capital Investment / Paid-up Capital :	Rs.222.677 Millions
CIN No.: [Company Identification No.]	U63013DL1954PTC238906
TAN No.: [Tax Deduction & Collection Account No.]	DELC06027A
Legal Form :	Private Limited Liability Company
Line of Business :	Subject is engaged in the business of providing Ground Handling and Cargo Handling Services.
No. of Employees :	Not Divulged

RATING & COMMENTS

MIRA’s Rating :

B (30)

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

Maximum Credit Limit :	USD 1200000
Status :	Moderate
Payment Behaviour :	Slow but Correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. External borrowing of the company has increased rating takes into consideration susceptibility of company’s operation to adverse judgment passed by supreme court regarding ground handing policy and changes in government policies. However, trade relations are fair. Business is active. Payment terms are slow but correct. The company can be considered for business dealing with some caution.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – 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

We are living in a world where volatility and uncertainty have become the New Normal. We saw a change of government in countries like Tunisia, Egypt, Libya and Vietnam. Once powerful countries in Europe are now fighting for bankruptcy. We have taken growth in the developing part of the world for granted but economic growth in China and India has begun to slow. Companies that were synonymous with their product categories just a few years ago are now no longer in existence. Kodak, the inventor of the digital camera had to wind up its operations, HMV, the British entertainment retailing company and Borders, once the second largest bookstore have shut down due to their inability to evolve their business models with the changing time. Readers’ Digest, Thomson Register are no more !

There is another megatrend happening. The World order is changing as economic power shifts from West to East. According to McKinsey study, it took Britain more than 100 years to double its economic output per person during its industrial revolution and the US later took more than 50 years to do the same. More than a century later, China and India have doubled their GDP per capital in 12 and 18 years respectively. By 2020, emerging Asia will become the world’s largest consuming block, overtaking North America.

The years after the outbreak of the global financial crisis, the world economy continues to remain fragile. The Indian economy demonstrated remarkable resilience in the initial years of the contagion but finally lost ground last year. GDP growth slowed down. Currency has been weakening. There is a marked deceleration in agriculture, industry and services. Dampening sentiment led to a cut-back in investment as well as private consumption expenditure.  Inflation remained at high levels fuelled by the pressure from the food and fuel sectors. The large fiscal and current account deficit s continued to cause grave concern. It is imperative that India regains its growth trajectory of 8-9 % sooner than later. This is crucially important given the need to create gainful livelihood opportunities for the millions living in poverty as also the large contingent of young people joining the job market every year.

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Long term rating : BB
Rating Explanation	Inadequate credit quality and high credit risk.
Date	09 May 2013

Rating Agency Name	CRISIL
Rating	Short term rating : A4+
Rating Explanation	Minimal degree of safety and very high credit risk.
Date	09 May 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.

INFORMATION DECLINED

Management Non – Cooperative (91-11-40000260/25653271)

LOCATIONS

Registered Office :	T9 and T9 A, 3^rd Floor, Vasant Square Mall, Vasant Kunj, New Delhi – 110070, India
Tel. No.:	91-11-40000263
Fax No.:	91-11-40000263
E-Mail :	bkumar@cambataavia.com
Branch Office:	Delhi Indira Gandhi International Airport, Line Maintenance Block A, New Delhi, India Tel No.:91-11-25653271 E-mail:infodel@cambataavia.com Chennai Anna International Airport, 12 A/14, Second Floor, Chennai, Tamilnadu, India Tel No.: 91-44-22560277 E-mail:infomaa@cambataavia.com Ahmedabad S. V. P International Airport, Room No: 3, Visitors Area, International Terminal Building, Terminal 11, Ahmedabad Tel No.: 91-79-22858082 E-mail:infoamd@cambataavia.com
Commercial Office:	Cambata Building, 5th Floor, East Wing, M. Karve Road, Opposite Churchgate Station, Mumbai, Maharashtra, India Tel No.: 91-22-61321205 E-mail:infoco@cambataavia.com Mumbai Chhatrapati Shivaji International Airport, 2nd Floor, Room No:272/269, Mumbai, Maharashtra, India Tel No.: 91-22 26810900 E-mail:infobom@cambataavia.com Pune Lohegaon Airport, Civil Enclave, Next to Jet Airways Counter, Pune, Maharashtra, India Mobile No.: +91 9820631598 E-mail:infopnq@cambataavia.com

DIRECTORS

As on 02.11.2012

Name :

Mr. Shiavax Nelson Cambata

Designation :

Director

Date of Appointment :

01.09.1983

DIN No.:

02369861

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	U63013DL1954PTC238906	CAMBATA AVIATION PRIVATE LIMITED	Director	01/09/1983	01/09/1983	-	Active	NO
2	U62100MH1961PTC012087	CAMBATA HELICOPTERS PRIVATE LIMITED	Director	26/08/1987	26/08/1987	-	Active	NO
3	U92110MH1943PTC004067	EROS THEATRE AND RESTAURANT PRIVATE LIMITED	Director	26/10/1987	26/10/1987	-	Active	NO
4	U14290MH1931PTC001664	HIRDAGARH COLLIERIES PRIVATE LIMITED	Director	26/10/1987	26/10/1987	-	Active	NO
5	U51410MH1923PTC001075	SHIAVAX C CAMBATA AND COMPANY PRIVATE LIMITED	Director	26/10/1987	26/10/1987	-	Active	NO
6	U51100MH1948PTC006222	CAMBATA INDUSTRIES PRIVATE LIMITED	Director	26/10/1987	26/10/1987	-	Active	NO
7	U63000MH2008PTC189236	MENZIES CAMBATA KRYSTAL (MUMBAI) HANDLING PRIVATE LIMITED	Director	30/12/2008	30/12/2008	-	Strike off	NO
8	U63013DL2009PTC186549	CAMBATA AVIATION (DELHI) PRIVATE LIMITED	Director	09/01/2009	09/01/2009	-	Active	NO
9	U92110MH1973PTC016412	SUVARNA FILM ENTERPRISES PRIVATE LIMITED	Additional director	05/04/2010	05/04/2010	-	Active	NO

Name :

Mr. Yezdi Sam Cooper

Designation :

Director

Date of Appointment :

21.12.2009

DIN No.:

02675962

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	U63013DL1954PTC238906	CAMBATA AVIATION PRIVATE LIMITED	Director	21/12/2009	02/07/2009	-	Active	NO

Name :

Mr. Geoffrey Hardy Field

Designation :

Additional director

Date of Appointment :

21.06.2011

DIN No.:

02752097

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	U63013DL2009PTC186549	CAMBATA AVIATION (DELHI) PRIVATE LIMITED	Additional director	26/08/2009	26/08/2009	-	Active	NO
2	U63000MH2008PTC189236	MENZIES CAMBATA KRYSTAL (MUMBAI) HANDLING PRIVATE LIMITED	Director	25/05/2010	26/08/2009	-	Strike off	NO
3	U63013DL1954PTC238906	CAMBATA AVIATION PRIVATE LIMITED	Additional director	21/06/2011	21/06/2011	-	Active	NO

Name :

Mr. Albetr Kersi Cambata

Designation :

Director

Address:

Bath Alum Route 1 Mill Borro, Virginia 024460, USA

Date of Birth:

03.01.1955

Date of Appointment :

1509.1974

Name :

Mr. Nelson Kersi Cambata

Designation :

Director

Address:

Bath Alum Route 1 Mill Borro, Virginia 024460, USA

Date of Birth:

26.10.1957

Date of Appointment :

01.09.1983

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 02.11.2012

Names of Shareholders	No. of Shares
Cambata Kersi	6933
Albert Kersi Cambata	38749
Nelson Kersi Cambata	143659
Bruce Kersi Cambata	33333
Burjor N Nicholson	01
Eros Theatre and Restaurant Private Limited, India	01
Cambata Helicopters Private Limited, India	01
Total	222677

As on 26.06.2013

Names of Allottees	No. of Shares
Srosh Contractor	39119
Yezdi Sam Cooper	39119
Total	78238

Equity Share Break up (Percentage of Total Equity)

As on 02.11.2012

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Subject is engaged in the business of providing Ground Handling and Cargo Handling Services.

GENERAL INFORMATION

No. of Employees :

Not Divulged

Bankers :

• Sundaram Finance Limited, 21 Patullos Road, Chennai - 600002, Tamil Nadu, India
• Yes Bank Limited, 9th Floor, Nehru Centre, Discovery of India, Dr. Annie Besant Road, Worli, Mumbai - 400018, Maharashtra, India
• Oriental Bank of Commerce, Andheri West Branch, 212 Manubharti S.V Road, Andheri West, Mumbai – 400058, Maharashtra, India

Facilities :

Secured Loan	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
Long-term Borrowings
Long-term maturities of finance lease obligations	9.643	0.000
Short-term borrowings
Loans repayable on demand from banks (Overdraft / Cash credit facility has been secured against Bank Deposits, Current Assets and Fixed Assets of the Company. Gurantee given by Mr. Nelson Cambata.)	121.402	55.074
Total	131.045	55.074

Banking Relations :
	L and T Finance Limited, L and T House, Ballard Estate,, Mumbai - 400001, Maharashtra, India
Auditors :
Name :	Narendra V. Mehta and Company Chartered Accountants
Address :	Flat No. 15, 4^th Floor, Akash Deep Building Dongursi Road, Teenbatti Walkeshwar, Mumbai, Maharashtra, India
PAN N Income-tax PAN of auditor or auditor's firm :	ABCPM9918J
Associates:	Suvarna Film Enterprises Private Limited, India CIN: U92110MH1973PTC016412 Eros Theatre And Restaurant Private Limited, India CIN: U92110MH1943PTC004067 Cambata Industries Private Limited, India CIN: U51100MH1948PTC006222 Shiavaxc Cambata And Company Private Limited, India CIN: U51410MH1923PTC001075 Hirda Garh Collieries Private Limited, India CIN: U14290MH1931PTC001664 Galaxy Aviation Private Limited, India CIN: U29299MH1996PTC101651 Cambata Helicopters Private Limited, India CIN: U62100MH1961PTC012087 Aviation Solutions Limited, United States Cambata Aviation (Delhi) Private Limited, India CIN: U63013DL2009PTC186549

CAPITAL STRUCTURE

As on 02.11.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
310000	Equity Shares	Rs.1000/- each	Rs. 310.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
300915	Equity Shares	Rs.1000/- each	Rs. 300.915 Millions

As on 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
250000	Equity Shares	Rs.1000/- each	Rs. 250.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
222677	Equity Shares	Rs.1000/- each	Rs. 222.677 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	222.677	222.677
(b) Reserves & Surplus	84.660	30.446
(c) Money received against share warrants	0.000	0.000
(2) Share Application money pending allotment	0.000	50.306
Total Shareholders’ Funds (1) + (2)	307.337	303.429
(3) Non-Current Liabilities
(a) long-term borrowings	770.894	725.258
(b) Deferred tax liabilities (Net)	0.000	0.000
(c) Other long term liabilities	31.449	27.692
(d) long-term provisions	111.709	92.366
Total Non-current Liabilities (3)	914.052	845.316
(4) Current Liabilities
(a) Short term borrowings	121.402	55.074
(b) Trade payables	147.909	134.182
(c) Other current liabilities	213.443	252.014
(d) Short-term provisions	49.860	61.737
Total Current Liabilities (4)	532.614	503.007
TOTAL	1754.003	1651.752
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	349.243	301.824
(ii) Intangible Assets	6.894	0.000
(iii) Capital work-in-progress	12.766	0.500
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	41.671	0.171
(c) Deferred tax assets (net)	44.616	55.836
(d) Long-term Loan and Advances	456.853	465.276
(e) Other Non-current assets	0.000	0.000
Total Non-Current Assets	912.043	823.607
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	0.000	0.000
(c) Trade receivables	410.150	385.173
(d) Cash and cash equivalents	289.638	231.016
(e) Short-term loans and advances	134.125	196.861
(f) Other current assets	8.047	15.095
Total Current Assets	841.960	828.145
TOTAL	1754.003	1651.752

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		222.677
2] Share Application Money		0.000
3] Reserves & Surplus		21.881
4] (Accumulated Losses)		0.000
NETWORTH		244.558
LOAN FUNDS
1] Secured Loans		39.473
2] Unsecured Loans		395.921
TOTAL BORROWING		435.394
DEFERRED TAX LIABILITIES		0.000
TOTAL		679.952
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		275.043
Capital work-in-progress		0.000
INVESTMENT		0.004
DEFERREX TAX ASSETS		57.020
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.000
	Sundry Debtors	343.438
	Cash & Bank Balances	213.822
	Other Current Assets	0.000
	Loans & Advances	450.541
Total Current Assets		1007.801
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	161.031
	Other Current Liabilities	274.618
	Provisions	224.267
Total Current Liabilities		659.916
Net Current Assets		347.885
MISCELLANEOUS EXPENSES		0.000
TOTAL		679.952

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income
		Other Income
		TOTAL	2382.000	2219.200	2034.600
Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses
		TOTAL	2293.900	2206.900	2081.300
	PROFIT / (LOSS) BEFORE TAX		88.100	12.300	(46.700)
Less	TAX		33.900	3.700	(52.600)
	PROFIT / (LOSS) AFTER TAX		54.200	8.600	(99.300)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		30.500	21.900	121.200
	BALANCE CARRIED TO THE B/S		84.700	30.500	21.900
	Earnings / (Loss) Per Share (Rs.)		243.40	NA	NA

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	2.28	0.39	(2.30)
Return on Total Assets (PBT/Total Assets}	(%)	5.32	0.77	(3.64)
Return on Investment (ROI) (PBT/Networth)		0.29	0.04	(0.19)
Debt Equity Ratio (Total Debt /Networth)		2.90	2.57	1.78
Current Ratio (Current Asset/Current Liability)		1.58	1.65	1.53

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	No
9]	Name of person contacted	No
10]	Designation of contact person	No
11]	Turnover of firm for last three years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	--
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	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

REVIEW OF OPERATIONS:

The performance of the company during the year was excellent as compared to the previous year as the revenues have grown up by 8% on account of new airlines clients being added to the business, growth in cargo businesses, additional introduction of cargo freighters, exchange fluctuations etc., and the Board is confident of achieving better results over the forthcoming years.

On 3^rd September 2012, Bureau of Civil Aviation Security has issued an order cancelling the security clearance of the Company as against which the Company has filed a writ petition before the Hon’ble High Court-Delhi Challenging the said order of BCAS. The Hon’ble High Court of Delhi has granted an interim stay of the BCAS order till 3^rd December 2012 and the matter is still sub-judice.

COMPANY OVERVIEW

Cambata Aviation Private Limited, incorporated in the year 1954, has its presence of over six decades in aviation industry. CAPL is a pioneer in providing ground handling services, operating at major international airports across India Mumbai, Delhi, Chennai, Ahmedabad and Pune airports providing entire range of ground handling and cargo handling services.

CAPL has been awarded, contracts for a period of ten years to provide ground handling services at Mumbai and Delhi airports effective from November 2010 and April 2010 respectively. Further CAPL is permitted to carry on its ground handling operation at Chennai, Pune and Ahmedabad airports on the back drop of the Honorable Supreme Court’s order dated 26th July, 2011, wherein the honorable supreme court has issued a direction stating that the existing Ground Handlers at Chennai, Pune and Ahmedabad airports can continue to provide Ground Handling Services until the Special Leave Petition filed by the Federation of Indian Airlines as against the new Ground Handling Policy issued by the Ministry of Civil Aviation is disposed-off. As on the Balance Sheet date the matter which is still under sub-judice.

UNSECURED LOAN

PARTICULARS	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
Long-term Borrowings
Loans and advances from related parties	761.250	725.258
Total	761.250	725.258

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10446070	22/07/2013	752,094.00	SUNDARAM FINANCE LIMITED	21 PATULLOS ROAD, CHENNAI, TAMIL NADU - 600002, IN DIA	B83576868
2	10372468	24/08/2012	26,000,000.00	L AND T FINANCE LIMITED	L ANDT HOUSE, BALLARD ESTATE, MUMBAI, MAHARASHTRA - 400001, INDIA	B56356785
3	10367470	07/07/2012	78,700,000.00	L AND T FINANCE LIMITED	L&T HOUSE, BALLARD ESTATE, MUMBAI, MAHARASHTRA - 400001, INDIA	B44498152
4	10356842	30/03/2012	2,096,176.00	SUNDARAM FINANCE LIMITED	21 PATULLOS ROAD, CHENNAI, TAMIL NADU - 600002, INDIA	B40035545
5	10429608	26/03/2012	712,576.00	SUNDARAM FINANCE LIMITED	21 PATULLOS ROAD, CHENNAI, TAMIL NADU - 600002, IN DIA	B44365070
6	10292830	20/12/2011 *	180,000,000.00	ORIENTAL BANK OF COMMERCE	ANDHERI (W) BRANCH, G1 AND 2 BHARAT APARTMENT, 9 C.D. BARFIWALA MARG, ANDHERI (W), MUMBAI, MAHARASHTRA - 400058, INDIA	B33111840

Note: * Date of charge modification

FIXED ASSETS

Tangible assets

• Buildings
• Plant and equipment
• Furniture and fixtures
• Vehicles
• Office equipment
• Computer equipments
• Other equipments

Intangible assets

• Computer software

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.61.92
UK Pound	1	Rs.99.45
Euro	1	Rs.83.92

INFORMATION DETAILS

Information Gathered by :	PLK
Report Prepared by :	KVT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	4
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	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		30

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
--	NB	New Business	--

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.