MIRA INFORM REPORT

Report Date :

17.10.2013

IDENTIFICATION DETAILS

Name :	GROUP PHARMACEUTICALS LIMITED (w.e.f 21.04.1993)
Formerly Known As :	GROUP PHARMACEUTICALS PRIVATE LIMITED
Registered Office :	W-46, (B) MIDC, Tarapur Industrial Area, Thane – 401506, Maharashtra
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	24.07.1980
Com. Reg. No.:	11-022889
Capital Investment / Paid-up Capital :	Rs. 25.368 Millions
CIN No.: [Company Identification No.]	U24239MH1980PLC022889
TAN No.: [Tax Deduction & Collection Account No.]	MUMG08042G MUMG08531F
PAN No.: [Permanent Account No.]	AAACG8723H
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturing and Marketing a wide range of Pharmaceutical Formulations.
No. of Employees :	150 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (50)

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

Maximum Credit Limit :	USD 709000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a well established and a reputed company having satisfactory track record. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments. Company can be considered normal for 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

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.

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. Rajesh Panchal
Designation :	Deputy General Manager
Contact No.:	91-22-28722695
Date :	16.10.2013

LOCATIONS

Registered Office/ Factory 1 :	W-46 (B), MIDC, Tarapur Industrial Area, Boisar (West), District Thane – 401506, Maharashtra, India
Tel. No.:	91-2525-272108
Fax No.:	91-2525-274036
E-Mail :	rpanchal@grouppharma.in gpltarapur@grouppharma.in
Website :	http://www.grouppharma.in
Location :	Owned
Factory 2:	Plot No. 41, KIADB Industrial Area, Nasigere Village, Kasaba Hobli, Malur District Kolar – 563130, Karnataka, India
Tel No.:	91-8151-234237/ 235220
Fax No.:	91-8151-235084
Email :	malur@grouppharma.in
Corporate/ Head Office :	Devraj Building, A Wing, 4^th Floor, S. V. Road, Goregaon (West), Mumbai – 400062, Maharashtra, India
Tel. No.:	91-22-28722695
Fax No.:	91-22-28724883
E-Mail :	mumbai@grouppharma.in
Sales / Marketing Office :	521/A, 2nd Block, 2nd Main, 2nd Stage, Rajajinagar, Bangalore – 560055, India
Tel. No.:	91-80-23377962/ 23376766
Fax No.:	91-80-23372277
E-Mail :	contact@grouppharma.in
Central Warehouse :	Vrindavan Complex, Khalrapada Boisar, District Thane – 401506, Maharashtra, India

DIRECTORS

As on 06.09.2013

Name :

Mr. Sunil Ravindranath Attavar

Designation :

Whole Time Director

Address :

Plot No.409, 9th Main, Kallyna Nagar, 1st Block, HRBR Layout, Banaswadi, Bangalore – 560043, Karnataka, India

Date of Birth/Age :

28.09.1966

Date of Appointment :

15.09.2011

PAN No.:

ABRPA8487F

DIN No. :

00091347

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	U24239MH1980PLC022889	GROUP PHARMACEUTICALS LIMITED	Whole-time director	15/09/2011	02/04/1990	-	Active	NO
2	U85120MH2000PTC129388	SECURE DENTALREACH PRIVATE LIMITED	Director	27/10/2000	27/10/2000	-	Active	NO

Name :

Mr. Ann Sunil Attavar

Designation :

Whole Time Director

Address :

Plot No.409, 9^th Main Kalyana Nagar, 1^st Block, HRBR Layout Banaswadi, Bangalore – 560043, Karnataka, India

Date of Birth/Age :

10.08.1965

Date of Appointment :

15.09.2011

PAN No.:

AACPA8433F

DIN No. :

00091390

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	U24233MH1993PTC075079	SUGAM LABORATORIES PRIVATE LIMITED	Director	01/11/2004	01/11/2004	-	Active	NO
2	U85120MH2000PTC129388	SECURE DENTALREACH PRIVATE LIMITED	Director	31/05/2005	31/05/2005	-	Active	NO
3	U24239MH1980PLC022889	GROUP PHARMACEUTICALS LIMITED	Whole-time director	15/09/2011	24/06/2006	-	Active	NO

Name :

Mr. Gopal Jagdeshwar Singh

Designation :

Whole Time Director

Address :

Mama Talab, Diprapara, Bilaspur – 495003, Madhya Pradesh, India

Date of Birth/Age :

17.01.1950

Date of Appointment :

15.09.2011

PAN No.:

ANOPS4173M

DIN No. :

00091420

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	U24239MH1980PLC022889	GROUP PHARMACEUTICALS LIMITED	Whole-time director	15/09/2011	06/12/1982	-	Active	NO

Name :

Mr. Ranganathan Raghunathan Naranamangalam

Designation :

Director

Address :

BS,1, 2^nd Floor, Guru Paradise, Hindu Colony, 7th Cross, St. Nanganallur, Chennai – 600061, Tamilnadu, India

Date of Birth/Age :

10.05.1938

Date of Appointment :

24.06.2005

PAN No.:

ACRPN1329C

DIN No. :

00156574

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	U24239MH1980PLC022889	GROUP PHARMACEUTICALS LIMITED	Director	24/06/2005	24/06/2005	-	Active	NO
2	U24233MH1993PTC075079	SUGAM LABORATORIES PRIVATE LIMITED	Director	04/04/2012	04/04/2012	-	Active	NO

Name :

Mr. Raghavendra Narayana Rao

Designation :

Director

Address :

506-A, Saraswati Aparttments, SVP Road, Borivali (West), Mumbai – 400103, Maharashtra, India

Date of Birth/Age :

16.04.1950

Date of Appointment :

26.09.2006

PAN No.:

AAAPR9070P

DIN No. :

01326471

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	U17115MH1955PTC009532	ELDEE VELVET &SILK MILLS PRIVATE LIMITED	Director	26/07/1991	26/07/1991	-	Active	NO
2	U29120MH1993PLC117252	ELDEE VELVETS AND INDUSTRIES LIMITED	Director	21/04/1994	21/04/1994	-	Active	NO
3	U24239MH1980PLC022889	GROUP PHARMACEUTICALS LIMITED	Director	26/09/2006	26/09/2006	-	Active	NO

Name :

Mr. Sundaram Rajan

Designation :

Director

Address :

B-5, Surya Nest, #57, 15^th Cross, Malleswaram, Bangalore - 560003, Karnataka, India

Date of Birth/Age :

24.07.1942

Date of Appointment :

08.03.2000

PAN No.:

ABMPR9377E

DIN No. :

02139522

KEY EXECUTIVES

Name :	Mr. Rajesh Panchal
Designation :	Deputy General Manager
Remuneration Committee :	· Mr. Raghavendra Narayana Rao Mr. Sundaram Rajan Mr. Ranganathan Raghunathan Naranamangalam

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 22.06.2012

NOTE: SHAREHOLDING DETAILS FILE ATTACHED

As on 06.09.2013

Equity Share Break up (Percentage of Total Equity)

Category	Percentage of Holding
Directors or relatives of Directors	27.91
Other top fifty shareholders	72.09
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturing and Marketing a wide range of Pharmaceutical Formulations.
Exports :
Products :	Finished Goods
Countries :	· Europe Australia
Imports :
Products :	Raw Materials
Countries :	Australia
Terms :
Selling :	L/C and Credit
Purchasing :	L/C and Credit

GENERAL INFORMATION

Customers :

End users

No. of Employees :

150 (Approximately)

Bankers :

Central Bank of India, Corporate Finance Branch, 1^st Floor, MMO Building, Fort, Mumbai - 400023, Maharashtra, India

Tel. No.: 91-22-22625932

Facilities :

SECURED LOANS	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions)
LONG TERM BORROWINGS
Team Loan CAPEX - from Central Bant of India	57.338	0.000
SHORT TERM BORROWINGS
From Bank Cash Credit loan and o.d against book debts from central bank of india secured by hypothecation of raw material, stock in progress, finished goods and book debts	61.488	20.321
Vehicles Loan secured by hypothecation	0.949	1.572
Total	119.775	21.893

Banking Relations :	--
Auditors :
Name :	G. K. Gadgil and Company Chartered Accountants
Address :	1/72, Gangadhar Nivas, Gokhale Road, (North) Dadar, Mumbai – 400028, Maharashtra, India
Tel. No. :	91-22-27562990
E-Mail :	nileshshindeco@yahoo.co.in
Income-tax PAN of auditor or auditor's firm :	AEUPG0181J
Associates :	· Sugam Pharmaceuticals Private Limited Secure Dental Reach Private Limited Indo Mark Pharmaceuticals Doo, Macedonia

CAPITAL STRUCTURE

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
5000000	Equity Shares	Rs.10/- each	Rs.50.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2536790	Equity Shares	Rs.10/- each	Rs. 25.368 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	25.368	25.368	25.368
(b) Reserves & Surplus	152.019	124.444	105.066
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	0.000
Total Shareholders’ Funds (1) + (2)	177.387	149.812	130.434
(3) Non-Current Liabilities
(a) long-term borrowings	88.043	30.725	32.475
(b) Deferred tax liabilities (Net)	1.865	0.240	0.626
(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)	89.908	30.965	33.101
(4) Current Liabilities
(a) Short term borrowings	65.737	25.093	24.344
(b) Trade payables	68.297	42.257	35.508
(c) Other current liabilities	38.383	15.243	14.341
(d) Short-term provisions	0.000	5.897	5.916
Total Current Liabilities (4)	172.417	88.490	80.109
TOTAL	439.712	269.267	243.644
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	184.900	82.769	89.035
(ii) Intangible Assets	2.188	2.895	3.500
(iii) Capital work-in-progress	0.000	0.000	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.101	0.101	0.010
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	4.989	4.694	5.227
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	192.178	90.459	97.772
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	110.501	69.657	62.192
(c) Trade receivables	103.087	82.247	65.563
(d) Cash and cash equivalents	10.996	12.090	11.264
(e) Short-term loans and advances	22.636	14.737	6.811
(f) Other current assets	0.314	0.077	0.042
Total Current Assets	247.534	178.808	145.872
TOTAL	439.712	269.267	243.644

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Revenue from operations (Net of Excise Recovered)	684.870	603.376	543.466
		Revenue from job work	39.337	28.372	29.062
		Other Income	2.441	2.345	3.512
		TOTAL (A)	726.648	634.093	576.040
Less	EXPENSES
		Cost of material consumed	276.225	233.227	215.368
		Purchases of trading goods	109.466	91.895	79.063
		Duties and taxes	36.773	37.658	27.186
		Employee benefits expense	142.211	120.233	110.294
		Operating and Other Expenses	112.978	102.548	92.359
		Loss on sales or Disposal of Assets	0.000	0.031	0.085
		Changes in inventories of finished goods, work-in-progress and stock-in-trade	(13.149)	(8.618)	(2.582)
		TOTAL (B)	664.504	576.974	521.773
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		62.144	57.119	54.267
Less	FINANCIAL EXPENSES (D)		8.364	5.561	6.291
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		53.780	51.558	47.976
Less/ Add	DEPRECIATION/ AMORTISATION (F)		12.880	12.968	13.427
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)		40.900	38.590	34.549
Less	TAX (H)		13.325	13.316	12.188
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)		27.575	25.274	22.361
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		78.613	61.836	49.891
Less	APPROPRIATIONS
		Transfer to general reserve	2.800	2.600	4.500
		Dividend Proposed (inclu. tas)	0.000	5.897	5.916
	BALANCE CARRIED TO THE B/S		103.388	78.613	61.836
	EARNINGS IN FOREIGN CURRENCY		27.496	37.292	28.396
	IMPORTS
		Raw and Trading materials	NA	54.061	47.051
		Capital Goods and Others	NA	0.000	2.757
	TOTAL IMPORTS		NA	54.061	49.808
	Earnings / (Loss) Per Share (Rs.)		10.87	9.96	8.81

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	3.79	3.99	3.88
Net Profit Margin (PBT/Sales)	(%)	5.97	6.40	6.36
Return on Total Assets (PBT/Total Assets}	(%)	9.30	14.34	14.18
Return on Investment (ROI) (PBT/Networth)		0.23	0.26	0.26
Debt Equity Ratio (Total Debt/Networth)		0.87	0.37	0.44
Current Ratio (Current Asset/Current Liability)		1.44	2.02	1.82

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 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	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	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	Yes
34]	External Agency Rating, if available	Yes

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	90145693	22/09/2012 *	133,750,000.00	CENTRAL BANK OF INDIA	CORPORATE FINANCE BRANCH, 1ST FLOOR, MMO BUILDING, FORT, MUMBAI - 400023, MAHARASHTRA, INDIA	B60011277
2	90143823	27/03/2002	55,000,000.00	CENTRAL BANK OF INDIA	CORPORATE FINANCE BRANCH, 1ST FLOOR, MMO BUILDING, FORT, MUMBAI - 400023, MAHARASHTRA, INDIA	-
3	90142099	04/08/2001 *	35,000,000.00	CENTRAL BANK OF INDIA	DOCUMENTATION CELL; BOMBAY MAIN OFFICE, M.G ROAD, MUMBAI - 400023, MAHARASHTRA, INDIA	-
4	90141865	04/08/2001 *	5,000,000.00	CENTRAL BANK OF INDIA	DOCUMENTATION CELL; BOMBAY MAIN OFFICE, M.G ROAD, MUMBAI - 400023, MAHARASHTRA, INDIA	-
5	90141821	12/07/1999 *	1,700,000.00	CENTRAL BANK OF INDIA	DOCUMENTATION CELL; BOMBAY MAIN OFFICE, M.G ROAD, MUMBAI - 400023, MAHARASHTRA, INDIA	-
6	90140584	15/09/1995 *	21,355,000.00	CENTRAL BANK OF INDIA	DOCUMENTATION CELL; BOMBAY MAIN OFFICE, M.G ROAD, MUMBAI - 400023, MAHARASHTRA, INDIA	-
7	90141683	02/11/1996 *	12,555,000.00	CENTRAL BANK OF INDIA	DOCUMENTATION CELL; BOMBAY MAIN OFFICE, M.G ROAD, MUMBAI - 400023, MAHARASHTRA, INDIA	-
8	90140577	10/05/1990	21,355,000.00	CENTRAL BANK OF INDIA	DOCUMENTATION CELL; BOMBAY MAIN OFFICE, M.G ROAD, MUMBAI - 400023, MAHARASHTRA, INDIA	-
9	90141590	04/08/2001 *	1,700,000.00	CENTRAL BANK OF INDIA	DOCUMENTATION CELL; BOMBAY MAIN OFFICE, M.G ROAD, MUMBAI - 400023, MAHARASHTRA, INDIA	-

* Date of charge modification

UNSECURED LOANS

PARTICULARS	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions)
LONG TERM BORROWINGS
Deposits Security Deposit from stockists	10.505	9.005
Loans and Advance from related parties Usecured loan from related parties	19.100	19.100
Other Loans and Advances Unsecured loans from others	1.100	2.620
SHORT TERM BORROWINGS
Usecured from directors	3.300	3.200
Total	34.005	33.925

PERFORMANCE FOR THE YEAR

The Company's sales registered a growth of 13.5% during the year compared to the previous financial year, and the profit before interest and depreciation improved from Rs. 57.200 Millions In 2011-12 to Rs.62.100 Millions. The increase in the profit is Insignificant due to steep increase in the cost of raw and packing materials and increased inveatment in selling and distribution expenses. The continuing increase in fuel prices and fall in the value of Indian currency contributed to increase in the cost of materials and other inputs, and hence the profit margins are adversely affected.

OUTLOOK FOR THE CURRENT YEAR:

The sale of Group’s branded products in the first quarter of the Current Financial Year 2013-2014 increased marginally compared to the sales during the corresponding period of the previous financial year. The growth in the sales of dental products has been satisfactory. Their key Dental products like SHY NM, GLODENT, AMFLOR, ACLAIM, FRESHCLOR and ANABEL continue to show reasonable growth and the company proposes to invest in the growth and expansion of Dental and Oral Hygiene.

Consequent upon the Central Government's Orders fixing die ceiling prices of pharmaceutical products and the announcement of the new DPCO, some products of the Company would come under the purview of the Order, thus eroding the margins. The Company is initiating required measures to compensate the reduction in margins.

The Company has extended its operations to cover dental materials consumables and equipments.

The competition from other large-scale companies is stiff and the Management is working hard to meet the challenges by strengthening its internal capabilities, planned rationalization of market coverage and introduction of new products.

TARAPUR AND MALUR PLANTS

Continuous updating of technology, innovation and quality control and upgradation of the Plant have been the hallmark of the Company, Measuring up to the international standards of quality management, the Company's Malur and Tarapur Plants have been certified as conforming to Quality Management Systems as per DIN EN ISO 9001:2008 and EN ISO 13485 respectively. As stated in the last year's report the Companys. In compliance with the requirements of the Drugs and Cosmetics regulations, has completed the construction and erection of the new cosmetics Plant at a capital cost of Rs.111.500 Millions. The commercial production commenced during the last week of March, 2013

FIXED ASSETS

v Tangible Assets

Land

Building and Flats

Plant and Machinery

Ancillary Equipments

Storage Tank – ETP Plant

Furniture and Fixtures

Partitions and Fittings

Electrical Installation

Office Equipments

Laboratory Equipments

Moulds and Dies

Block and Designs

Vehicles

Computer Equipments

v Intangible Assets

Information Technology and Software

Technical Know-how, Formulae

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.61.69
UK Pound	1	Rs.98.59
Euro	1	Rs.83.67

INFORMATION DETAILS

Information Gathered by :	PLK
Report Prepared by :	MRI

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	6
--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	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		50

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.