MIRA INFORM REPORT

Report Date :

28.10.2013

IDENTIFICATION DETAILS

Name :	ARNEG INDIA PRIVATE LIMITED
Registered Office :	A- 158 Road No.25, MIDC, Wagle Estate, Thane (West) – 400 601, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	21.09.2005
Com. Reg. No.:	11-156238
Capital Investment / Paid-up Capital :	Rs. 261.537 Millions
CIN No.: [Company Identification No.]	U29191MH2005PTC156238
TAN No.: [Tax Deduction & Collection Account No.]	PNEA08954B
PAN No.: [Permanent Account No.]	AAFCA4972K
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of refrigerated cases, central cooling units, cold rooms, food and non- food shelving systems and check- out counters.
No. of Employees :	300 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (26)

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

Maximum Credit Limit :	USD 1100000
Status :	Moderate
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Subject is a subsidiary of “ARNEG SPA, Italy”. It is an established concern having a moderate track record. Management has failed to file the financials of 2012 with the government department. As per the available, the company has incurred continuous losses for past some years. However, trade relations are fair. Business is active. Payments terms are unknown. The company can be considered for business dealings with great 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

India’s current account deficit or CAD in April-June widened to 4.9 % of gross domestic product. High imports of gold and oil led to a worsening of the trade deficit, resulting in CAD jumping to $ 21.8 billion to the latest quarter from $ 16.9 billion in the corresponding quarter of the previous financial year. The government aims to bring down CAD to 3.7 % or $ 70 billion, in 2013/14, from 4.8 % or $ 88.2 billion in 2012/13.

The finance ministry has started preparations for Budget 2014/15. With general elections scheduled to be held by May next year, there will only be an interim budget. The new government will present the fiscal Budget.

The Supreme Court has barred clinical trials for new drugs till a monitoring mechanism is put in place to protect the lives of people on which the drugs are tested.

Mumbai has been named the world’s second most honest city according to a survey on 15 cities worldwide by Readers’ Digest magazine. Finnish capital Helsinki bagged the top spot for the world’s most honest city while Lisbon, the capital of Portugal, proved to be the least honest.  The survey put hundreds of people to test in four continents to find out just how honest they were by dropping wallets and seeing how many would be returned.

3.7 % Growth of the core sector in August, a seven month high. This takes the overall growth in April-August this year to 2.3 % compared with 6.3 % in the corresponding period next financial year.

$19 million Estimated average spending by companies across the globe including India, on social media this year, according to a global study by information technology major Tata Consultancy Services. This will rise to $ 24 million in 2015.

Rising inflation, fewer employment avenues and dwindling earnings are taking a toll on the spending capacity in India. Over 72 % respondents from middle and lower middle income families would be forced to slash their Diwali expenditure by 40 % and on average spend nearly 25 % of their monthly salary on Diwali, according to a survey by Assochem.

Analysts believe the shutdown of the US government would have limited impact in sectors such as IT or tourism that are dependent on Visa clearances.

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 (GENERAL DETAILS)

Name :	Mr. Dhanesh Lolap
Designation :	Manager
Contact No.:	91-2527-645944
Date :	14.10.2013

LOCATIONS

Registered Office / Admin Office :	A-158, Road No 25, MIDC, Wagle Estate, Thane (West) – 400 601, Maharashtra, India
Tel. No.:	91-22-25838041/42/43
Fax No.:	91-22-25838050
E-Mail :	arneg@vsnl.net admin@arnegindia.com
Website :	www.arnegindia.com
Location :	Owned
Head Office / Factory :	Survey No. 29/30, Asangaon (West), Mumbai- Nasik Road, District of Thane –421301, Maharashtra, India
Tel. No.:	91 2527-645944 to 5959
Fax No.:	91 2527-271350

DIRECTORS

As on 30.09.2011

Name :

Mr. Bhupinder Didiar Duggal

Designation :

Director

Address :

Flat No. 1004, Building No. 42, Triveni Society, Pokhran Road No.2, Vasant Vihar, Thane (West), Mahatrashtra, India.

Date of Birth/Age :

03.06.1968

Date of Appointment :

21.09.2005

DIN No.:

00271876

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	U29190MH2004PTC147402	AMBIENCE AIRCONDITIONING EQUIPMENTS PRIVATE LIMITED	Director	09-07-04	09-07-04	-	Active	NO
2	U29191MH2005PTC156238	ARNEG INDIA PRIVATE LIMITED	Director	21-09-05	21-09-05	-	Active	NO
3	U28900MH1997PTC106962	AMBIENCE AIRCON PRIVATE LIMITED	Director	20-06-13	20-06-13	-	Active	NO

Name :

Mr. Nitin Jaiprakash Chaudhari

Designation :

Director

Address :

Ixora Building, Apartment 1501, Hirandani Meadows Comp. Glayas Alwarys Marg, Off Pokhran Road No 2, Thane – 400607, Maharashtra, India

Date of Birth/Age :

13.03.1959

Date of Appointment :

18.11.2008

DIN No.:

00272077

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	U28900MH1996PTC101497	SNEHAL AC AND R ENGG PRIVATE LIMITED	Director	31-07-96	31-07-96	-	Active	NO
2	U29190MH2004PTC147402	AMBIENCE AIRCONDITIONING EQUIPMENTS PRIVATE LIMITED	Director	18-02-05	18-02-05	-	Active	NO
3	U74920MH2006PTC158771	ADARSH BUILDING TECHNOLOGIES PRIVATE LIMITED	Director	10-01-06	10-01-06	-	Active	NO
4	U31900MH2006PTC159187	ADARSH ELECTRO SYSTEMS PRIVATE LIMITED	Director	23-01-06	23-01-06	-	Active	NO
5	U28112MH2008PTC184653	AIRTECH SERVICES PRIVATE LIMITED	Director	14-07-08	14-07-08	-	Active	NO
6	U29191MH2005PTC156238	ARNEG INDIA PRIVATE LIMITED	Director	18-11-08	18-11-08	-	Active	NO
7	U28900MH1997PTC106962	AMBIENCE AIRCON PRIVATE LIMITED	Additional director	05-03-09	05-03-09	-	Active	NO
8	U74120MH2011PTC221819	UNIDOS ENGINEERING SOLUTIONS PRIVATE LIMITED	Director	10-09-11	10-09-11	-	Active	NO
9	U29253MH2013PTC243395	MONDIAL SOLUTIONS PRIVATE LIMITED	Director	16-05-13	16-05-13	-	Active	NO

Name :

Mr. Daniele Roberto Marzaro

Designation :

Director

Address :

Via Manesso 6-35010, Arsego- Padova, Italy

Date of Birth/Age :

06.10.1967

Date of Appointment :

01.06.2007

DIN No.:

01777219

Name :

Luca Scognamiglio

Designation :

Director

Address :

San Giorgio Delle Pertiche (Pd), Giorgione 6 I. 5, Coniugato, 35010, , Italy

Date of Birth/Age :

08.09.1962

Date of Appointment :

22.12.2008

DIN No.:

03367004

KEY EXECUTIVES

Name :	Mr. Dhanesh Lolap
Designation :	Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2011

Names of Shareholders	No. of Shares
Coldas S.A., Luxembourg	10
Arneg Spa, Italy	18307605
Ambience Air Conditioning Equipments Private Limited, India	7846115
Total	26153730

As on 30.09.2011

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	70.00
Bodies corporate	30.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of refrigerated cases, central cooling units, cold rooms, food and non- food shelving systems and check- out counters.
Exports :
Products :	Finished Goods
Countries :	Europe Italy Asia
Terms :
Selling :	L/C / Credit
Purchasing :	L/C / Credit

GENERAL INFORMATION

Customers :

End Users

No. of Employees :

300 (Approximately)

Bankers :

Not Available

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2011	As on 31.03.2010
Loans taken for vehicles secured	1.608	2.089
Total	1.608	2.089

Banking Relations :	---
Auditors :
Name :	Asit Mehta and Associates Chartered Accountants
Address :	501-4, Midas Chambers, Near Fun Republic Multiplex , Off Andheri Link Road , Andheri (West), Mumbai 400053, Maharashtra, India
Tel. No.:	91-22-26740294 / 26740296 / 26740298
Fax No.:	91-22-26740298
E-Mail :	asitmehta@vsnl.com
PAN No.:	AAOFA3603M
Holding Company :	Arneg Spa, Italy

CAPITAL STRUCTURE

As on 30.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
32000000	Equity Shares	Rs.10/- each	Rs.320.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
26153730	Equity Shares	Rs.10/- each	Rs.261.537 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		261.537	261.537	261.537
2] Share Application Money		35.675	0.000	0.000
3] Reserves & Surplus		0.000	0.000	0.000
4] (Accumulated Losses)		(20.222)	(16.633)	(5.242)
NETWORTH		276.990	244.904	256.295
LOAN FUNDS
1] Secured Loans		1.608	2.089	2.513
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		1.608	2.089	2.513
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		278.598	246.993	258.808
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		213.669	218.770	225.130
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		5.038	5.086	0.061
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	42.637	46.532	53.551
	Sundry Debtors	21.459	16.983	30.621
	Cash & Bank Balances	4.020	4.585	1.063
	Other Current Assets	1.152	1.238	1.306
	Loans & Advances	15.795	17.272	21.007
Total Current Assets		85.063	86.610	107.548
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	16.574	57.777	69.008
	Other Current Liabilities	8.598	5.696	4.826
	Provisions	0.000	0.000	0.097
Total Current Liabilities		25.172	63.473	73.931
Net Current Assets		59.891	23.137	33.617
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		278.598	246.993	258.808

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	81.378	36.233	60.444
		Other Income	NA	NA	NA
		TOTAL	NA	NA	NA
Less	EXPENSES
		Office Expenses
		Administrative Expenses	NA	NA	NA
		Advertising Expenses
		TOTAL	NA	NA	NA
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		3.410	(9.483)	(0.539)
Less/ Add	DEPRECIATION/ AMORTISATION		6.951	6.933	6.692
	PROFIT / (LOSS) BEFORE TAX		(3.541)	(16.416)	(7.231)
Less	TAX		0.048	(5.025)	(0.027)
	PROFIT / (LOSS) AFTER TAX		(3.589)	(11.391)	(7.204)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(16.632)	(5.241)	1.963
	BALANCE CARRIED TO THE B/S		(20.221)	(16.632)	(5.241)
	Earnings / (Loss) Per Share (Rs.)		(0.14)	(0.44)	(0.27)

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
Net Profit Margin (PBT/Sales)	(%)	(4.35)	(45.31)	(11.96)
Return on Total Assets (PBT/Total Assets}	(%)	(1.19)	(5.38)	(2.17)
Return on Investment (ROI) (PBT/Networth)		(0.01)	(0.07)	(0.03)
Debt Equity Ratio (Total Debt /Networth)		0.01	0.01	0.01
Current Ratio (Current Asset/Current Liability)		3.38	1.36	1.45

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	No
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	No
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	No

OPERATIONS

During the current year, the Company had posted a gross profit of Rs. 3.410 Millions (Previous Year Loss Rs. 9.483 Millions) which had resulted in a Net Loss of Rs. 3.589 Millions (Previous Year Loss Rs. 11.391 Millions). The Directors are confident of better performance for the coming years.

INDEX OF CHARGES: NO CHARGES EXIST FOR THE COMPANY

FIXED ASSETS

• Land
• Building
• Plant machinery
• Office equipments
• Computer equipments
• Other equipments
• Furniture fixtures
• Vehicles

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 records 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.61.63
UK Pound	1	Rs.99.94
Euro	1	Rs.85.14

INFORMATION DETAILS

Information Gathered by :	PLK
Report Prepared by :	NTH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	2
--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	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		26

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.