MIRA INFORM REPORT

Report Date :

18.10.2013

IDENTIFICATION DETAILS

Name :	CHAITANYA PACKAGINGS PRIVATE LIMITED
Registered Office :	Tulsi House, D No.6-4-6, 4/5, Arundelpet, Guntur-522002, Andhra Pradesh
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	29.07.1985
Com. Reg. No.:	01-005682
Capital Investment / Paid-up Capital :	Rs. 120.000 Millions
CIN No.: [Company Identification No.]	U74950AP1985PTC005682
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Corrugated Boxes
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (31)

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

Maximum Credit Limit :	USD 680000
Status :	Moderate
Payment Behaviour :	Slow But Correct
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. Sales and profit of the company has dipped in 2012. Reserves of the company appear to be low. However, trade relations reported to be fair. Business is active. Payment terms are reported to be 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.

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 BY

Management non co-operative

LOCATIONS

Registered Office :	Tulsi House, D No.6-4-6, 4/5, Arundelpet, Guntur-522002, Andhra Pradesh, India
Tel. No.:	91-863-2223254 / 2321374 / 2229944 / 3090272
Fax No.:	91-863-2221161
E-Mail :	Varoangopi1@rediffmail.com contact@cpacks.com sales.intl@cpacks.com
Website :	www.cpacks.com

DIRECTORS

AS ON 27.09.2012

Name :	Mr. Ramachandra Prabhu Tulasi
Designation :	Director
Address :	3-28-18/124/1, 2^nd Lane, Rajendra Nagar, Guntur-522006, Andhra Pradesh, India
Date of Birth/Age :	21.06.1947
Date of Appointment :	29.07.1985
PAN No.:	ABCPT4938R
DIN No.:	00058912

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	Company/ LLP Status	Defaulting status
1	U74950AP1985PTC005682	CHAITANYA PACKAGINGS PRIVATE LIMITED	Managing director	29/07/1985	29/07/1985	Active	NO
2	U01112AP1994PTC017615	TULASI SEEDS PRIVATE LIMITED	Whole-time director	01/10/2007	27/05/1994	Active	NO
3	U65992AP1995PTC020399	TULASI RAM CHITS PRIVATE LIMITED	Managing director	19/05/1995	19/05/1995	Active	NO
4	U72200AP2006PTC051406	TULASI TECHNOSOFT PRIVATE LIMITED	Managing director	16/10/2006	16/10/2006	Active	NO
5	U72300AP2007PTC052928	IMPEC SOFT SOLUTIONS PRIVATE LIMITED	Whole-time director	01/06/2011	22/02/2007	Active	NO
6	U74999AP2007PTC055346	DIEHARD DIES PRIVATE LIMITED	Managing director	30/08/2007	30/08/2007	Active	NO
7	U70102AP2008PTC058198	TULASI TOWNSHIPS PRIVATE LIMITED	Managing director	17/03/2008	17/03/2008	Active	NO
8	U17121AP2008PTC058713	TULASI COTTON INDUSTRIES PRIVATE LIMITED	Managing director	17/04/2008	17/04/2008	Active	NO
9	U29248AP2009PTC065511	DONGHAI PACKAGING MACHINERY PRIVATE LIMITED	Director	15/10/2009	15/10/2009	Active	NO
10	U92130AP2011PTC073619	TULASI BROADCASTING NETWORK PRIVATE LIMITED	Managing director	01/01/2013	30/03/2011	Active	NO

Name :	Ms. Tulasi Aruna
Designation :	Director
Date of Birth/Age :	03.10.1957
Date of Appointment :	29.07.1985
PAN No.:	ABBPT6287C
DIN No.:	01168442

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	Company/ LLP Status	Defaulting status
1	U74950AP1985PTC005682	CHAITANYA PACKAGINGS PRIVATE LIMITED	Director	29/07/1985	29/07/1985	Active	NO
2	U01112AP1994PTC017615	TULASI SEEDS PRIVATE LIMITED	Director	24/05/1994	24/05/1994	Active	NO
3	U65992AP1995PTC020399	TULASI RAM CHITS PRIVATE LIMITED	Director	19/05/1995	19/05/1995	Active	NO
4	U01100AP2004PTC044352	HARI HARA AGRI BIOTECH PRIVATE LIMITED	Director	07/10/2004	07/10/2004	Active	NO
5	U74999AP2007PTC055346	DIEHARD DIES PRIVATE LIMITED	Director	30/08/2007	30/08/2007	Active	NO
6	U17121AP2008PTC058713	TULASI COTTON INDUSTRIES PRIVATE LIMITED	Director	17/04/2008	17/04/2008	Active	NO
7	U29248AP2009PTC065511	DONGHAI PACKAGING MACHINERY PRIVATE LIMITED	Director	15/10/2009	15/10/2009	Active	NO

Name :	Mr. Yogeshchandra Tulasi
Designation :	Director
Address :	3-28-18/124/1, 2^nd Lane, Rajendra Nagar, Guntur-522006, Andhra Pradesh, India
Date of Birth/Age :	20.09.1977
Date of Appointment :	02.11.1995
PAN No.:	ABBPT6254H
DIN No.:	00058932

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	Company/ LLP Status	Defaulting status
1	U74950AP1985PTC005682	CHAITANYA PACKAGINGS PRIVATE LIMITED	Managing director	01/10/2007	02/11/1995	Active	NO
2	U01112AP1994PTC017615	TULASI SEEDS PRIVATE LIMITED	Managing director	01/10/2007	27/03/1997	Active	NO
3	U01100AP2004PTC044352	HARI HARA AGRI BIOTECH PRIVATE LIMITED	Director	07/10/2004	07/10/2004	Active	NO
4	U72200AP2006PTC051406	TULASI TECHNOSOFT PRIVATE LIMITED	Director	16/10/2006	16/10/2006	Active	NO
5	U72300AP2007PTC052928	IMPEC SOFT SOLUTIONS PRIVATE LIMITED	Director	22/02/2007	22/02/2007	Active	NO
6	U74999AP2007PTC055346	DIEHARD DIES PRIVATE LIMITED	Director	30/08/2007	30/08/2007	Active	NO
7	U70102AP2008PTC058198	TULASI TOWNSHIPS PRIVATE LIMITED	Director	17/03/2008	17/03/2008	Active	NO
8	U17121AP2008PTC058713	TULASI COTTON INDUSTRIES PRIVATE LIMITED	Director	17/04/2008	17/04/2008	Active	NO
9	U29248AP2009PTC065511	DONGHAI PACKAGING MACHINERY PRIVATE LIMITED	Managing director	15/10/2009	15/10/2009	Active	NO
10	U92130AP2011PTC073619	TULASI BROADCASTING NETWORK PRIVATE LIMITED	Director	30/03/2011	30/03/2011	Active	NO

Name :	Mr. Krishna Chaitanya Tulasi
Designation :	Director
Date of Birth/Age :	21.06.1978
Date of Appointment :	31.08.2004
PAN No.:	ABCPT4962B
DIN No.:	02329783

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	Company/ LLP Status	Defaulting status
1	U01112AP1994PTC017615	TULASI SEEDS PRIVATE LIMITED	Additional director	03/10/2003	03/10/2003	Active	NO
2	U74950AP1985PTC005682	CHAITANYA PACKAGINGS PRIVATE LIMITED	Director	31/08/2004	31/08/2004	Active	NO
3	U72200AP2006PTC051406	TULASI TECHNOSOFT PRIVATE LIMITED	Director	16/10/2006	16/10/2006	Active	NO
4	U72300AP2007PTC052928	IMPEC SOFT SOLUTIONS PRIVATE LIMITED	Managing director	01/06/2011	01/06/2011	Active	NO
5	U92130AP2011PTC073619	TULASI BROADCASTING NETWORK PRIVATE LIMITED	Managing director	01/01/2013	01/01/2013	Active

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 27.09.2012

Names of Shareholders	No. of Shares
Ramachandra Prabhu Tulasi	922100
Tulasi Aruna	32100
Yogeshchandra Tulasi	157500
Krishna Chaitanya Tulasi	47500
Tulasi Ram Chits Private Limited	16000
Vuyyuru Surya Kantamma	2000
Jidugu Babu Rao	4800
T Satyavathi Devi	2400
S Sambasiva Roa	6000
V Mani Kumari	2000
J Govindamma	1600
Tulasi Lakshmi Kanthasree	3000
Tulasi Shruthi	3000
TOTAL	1200000

AS ON 27.09.2012

Equity Shares Break Up	Percentage of Holding
Directors or relatives of Directors	100.00
TOTAL	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Corrugated Boxes

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· Union Bank of India, Guntur Main Branch, P B No.131, Guntur-522003, Andhra Pradesh, India

· Indian Bank, D No.10-1-1, 1^st Lane, Ambasivapet, Naaz Centre, Guntur-522001, Andhra Pradesh, India

· Karnataka, Bank Limited, Guntur, Andhra Pradesh, India

· Axis Bank Limited, 1^st Floor, P R Plaza, 11-1-1, Naaz Centre, Guntur-522001, Andhra Pradesh, India

Facilities :

Secured Loan	Rs. In Millions 31.03.2012	Rs. In Millions 31.03.2011
Long Term Borrowings
Term Loans From Banks	11.401	15.116
Term Loans From Others	0.519	0.797
Borrowings from Government Semi-Government Bodies	88.220	48.230
Short Term Borrowings
Working Capital Loans From Banks	38.040	39.195
TOTAL	138.180	103.338

Banking Relations :	--
Financial Institution :	Andhra Pradesh State Financial Corporation, #5-9-194, Chirag Ali Lane, P B No.165, Hyderabad-500001, Andhra Pradesh, India
Auditors :
Name :	V Rao and Gopi Chartered Accountant
Address :	26-1-77, Ahalya Mansion, Nnagarampalem, Guntur-522004, Andhra Pradesh, India
PAN No.:	AABFV7509V
Related Parties :	· Tulasi Seeds Private Limited CIN No.:- U01112AP1994PTC017615 · Tulasi Technosoft Private Limited CIN No.:- U72200AP2006PTC051406 · Tulsi Cotton Industries Private Limited CIN No.:- U17121AP2008PTC058713 · Tulasi Digital Studios · Vamsy Trade Links

CAPITAL STRUCTURE

AS ON 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
1500000	Equity Shares	Rs.10/- each	Rs. 150.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1200000	Equity Shares	Rs.10/- each	Rs. 120.000 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	120.000	120.000
(b) Reserves & Surplus	51.986	37.693
(c) Money received against share warrants	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000
Total Shareholders’ Funds (1) + (2)	171.986	157.693
(3) Non-Current Liabilities
(a) long-term borrowings	359.903	414.190
(b) Deferred tax liabilities (Net)	5.698	4.672
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	0.000	0.000
Total Non-current Liabilities (3)	365.601	418.862
(4) Current Liabilities
(a) Short term borrowings	38.040	39.195
(b) Trade payables	48.583	155.400
(c) Other current liabilities	3.146	3.792
(d) Short-term provisions	6.198	7.563
Total Current Liabilities (4)	95.967	205.950
TOTAL	633.554	782.505
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	88.447	94.069
(ii) Intangible Assets	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000
(b) Non-current Investments	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000
(d) Long-term Loan and Advances	0.000	0.000
(e) Other Non-current assets	0.000	0.000
Total Non-Current Assets	88.447	94.069
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	284.784	258.688
(c) Trade receivables	120.022	77.241
(d) Cash and cash equivalents	53.242	272.042
(e) Short-term loans and advances	87.059	80.465
(f) Other current assets	0.000	0.000
Total Current Assets	545.107	688.436
TOTAL	633.554	782.505

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		50.000
2] Share Application Money		0.000
3] Reserves & Surplus		23.510
4] (Accumulated Losses)		0.000
NETWORTH		73.510
LOAN FUNDS
1] Secured Loans		76.274
2] Unsecured Loans		386.071
TOTAL BORROWING		462.345
DEFERRED TAX LIABILITIES		2.820
TOTAL		538.675
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		92.778
Capital work-in-progress		0.000
INVESTMENT		0.000
DEFERREX TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	221.252
	Sundry Debtors	117.039
	Cash & Bank Balances	37.084
	Other Current Assets	0.000
	Loans & Advances	242.989
Total Current Assets		618.364
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	162.725
	Other Current Liabilities	0.000
	Provisions	9.742
Total Current Liabilities		172.467
Net Current Assets		445.897
MISCELLANEOUS EXPENSES		0.000
TOTAL		538.675

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	654.637	699.833	594.888
		Other Income
		TOTAL (A)	654.637	699.833	594.888
Less	EXPENSES
		Cost of Material Consumed	586.213	624.755	532.976
		Purchase of Stock In Trade
		Employee benefits expenses
		TOTAL (B)	586.213	624.755	532.976
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		68.424	75.078	61.912
Less	FINANCIAL EXPENSES (D)		39.504	47.026	39.333
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		28.920	28.052	22.579
Less/ Add	DEPRECIATION/ AMORTISATION (F)		7.245	6.495	5.265
	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		21.675	21.557	17.314
Less	TAX (H)		6.355	5.522	3.575
	PROFIT / (LOSS) AFTER TAX (G-H) (I)		15.320	16.035	13.739
	Earnings / (Loss) Per Share (Rs.)		12.77	--	--

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	2.34	2.29	2.31
Return on Total Assets (PBT/Total Assets}	(%)	3.42	2.75	2.43
Return on Investment (ROI) (PBT/Networth)		0.13	0.14	0.24
Debt Equity Ratio (Total Debt /Networth)		2.31	2.88	6.29
Current Ratio (Current Asset/Current Liability)		5.68	3.34	3.59

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

Unsecured Loan	Rs. In Millions 31.03.2012	Rs. In Millions 31.03.2011
Long Term Borrowings
Term Loans From Others	254.490	0.000
Intercorporate Borrowings	0.000	344.773
Deferred Sales Tax Loan	5.273	5.274
TOTAL	259.763	350.047

VIEW INDEX OF CHARGES

S. No	Charge ID	Date of Charge Creation /Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN
1	10382304	10/09/2012	50,000,000.00	Andhra Pradesh State Financial Corporation	# 5-9-194, CHIRAG ALI LANE, P. B. NO: 165, HYDERABAD, ANDHRA PRADESH - 500001, INDIA	B60386562
2	10312798	03/10/2011	50,000,000.00	Andhra Pradesh State Financial Corporation	# 5-9-194, CHIRAG ALI LANE, P. B. NO: 165, HYDERABAD, ANDHRA PRADESH - 500001, INDIA	B23438534
3	10240488	25/08/2010	50,000,000.00	Andhra Pradesh State Financial Corporation	# 5-9-194, CHIRAG ALI LANE, P. B. NO: 165, HYDERABAD, ANDHRA PRADESH - 500001, INDIA	A94763927
4	10177573	31/08/2013 *	377,400,000.00	Axis Bank Limited	1st FLOOR, P. R. PLAZA, 11-1-1, NAAZ CENTRE, GUNTUR, ANDHRA PRADESH - 522001, INDIA	B85226306
* Date of charge modification

OPERATIONS AND PROSPECTS

The year 2011-12 performance was up to the level, in terms of profit, sales and income this was on account of commencement of production by Automatic plant and increased export orders as against previous year. This was on account of the conditions prevailing in the market, as the company even though observed prudent commercial practices while manufacturing corrugated boxes and making sales, the price of product due to heavy competition in the market.

FUTURE OUTLOOK

The board is confident of achieving better results in the current financial year, in view of the improving market conditions and the company’s strategically developed net-work in various areas. During the current year the directors got the orders of the export oriented tobacco boxes which will increase the turnover of the turnover of the company as well as profit. The directors are confident in achieving targeted/estimated turnover of Rs.630.000 Millions during the current financial year in view of increased capacity. The directors have pleasure to informing that the company is getting bulk orders from new customers as well as by retaining regular customers.

FIXED ASSETS

· Motor vehicles

· Furniture and Fixtures

· Other Equipments

· Computer Equipments

· Building,

· Land

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. 61.58
UK Pound	1	Rs. 98.51
Euro	1	Rs. 83.49

INFORMATION DETAILS

Information Gathered by :	NAY
Report Prepared by :	DPT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
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	4
--RESERVES	1~10	3
--CREDIT LINES	1~10	4
--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		31

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.