MIRA INFORM REPORT

Report Date :

10.09.2013

IDENTIFICATION DETAILS

Name :	SIVA WINDTURBINE INDIA PRIVATE LIMITED
Registered Office :	12 A, Kandampalayam, Perundurai, Erode – 638052, Tamilnadu
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	28.02.2005
Com. Reg. No.:	18-011636
Capital Investment / Paid-up Capital :	Rs.9.395 millions
CIN No.: [Company Identification No.]	U40108TZ2005PTC011636
IEC No.:	3205009461
TAN No.: [Tax Deduction & Collection Account No.]	CMBS08883A
PAN No.: [Permanent Account No.]	ABBFS8561N AAKCS5249G
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Alloy Steel Casting, Moulded Plastic and Wind Power Electric Generators.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (43)

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

Maximum Credit Limit :	USD 75000
Status :	Satisfactory
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. The company is improving its performance marked by increase in the net profitability during 2012. Short term external borrowings have tremendously increased, signifying huge working capital requirements. However, trade relations are fair. Business is active. Payment terms are reported as usually correct. The company can be considered 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.

LOCATIONS

Registered Office :	12 A, Kandampalayam, Perundurai, Erode – 638052, Tamilnadu, India
Tel. No.:	91-4294-220017 / 220137/ 221184
Mobile No.:	91-9965545566 (Mr. Velumani)
Fax No.:	91-4294-220137
E-Mail :	mani@sivapolymers.com vm@sivawind.com vk@sivawind.com info@sivapolymers.com karumandlbr@erosco.iobnet.co.in
Website :	http://www.sivapolymers.com
Area :	17750 sq. ft
Location :	Owned

DIRECTORS

As on 29.09.2012

Name :

Mr. Vadiappan Velumani

Designation :

Director

Address :

12 A, Kandampalayam, Perundurai, Erode – 638052, Tamilnadu, India

Date of Birth/Age :

24.11.1962

Qualification :

B. B. A.

Date of Appointment :

28.02.2005

DIN No.:

00047593

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	U31200TZ1999PTC008999	SIVA ELECTRIC GENERATION PRIVATE LIMITED	Managing director	09-09-99	09-09-99	-	Active	NO
2	U85110TZ2001PTC009644	LOTUS SCAN CENTRE PRIVATE LIMITED	Director	22-04-02	22-04-02	-	Active	NO
3	U85195TZ2002PTC010255	ANGIO MED TEK (ERODE) PRIVATE LIMITED	Director	15-07-02	15-07-02	-	Active	NO
4	U02710TZ1995PTC006240	DHANDAPANI STEEL PRIVATE LIMITED	Director	29-03-03	29-03-03	-	Active	NO
5	U40108TZ2005PTC011636	SIVA WINDTURBINE INDIA PRIVATE LIMITED	Managing director	28-02-05	28-02-05	-	Active	NO
6	U40108TZ2005PTC011637	SIVA GREEN ENERGY INDIA PRIVATE LIMITED	Managing director	28-02-05	28-02-05	-	Active	NO
7	U40108TZ2004PTC011242	ABI ANANDHAN WIND FARMS PRIVATE LIMITED	Director	01-07-09	01-07-09	-	Under Process of Striking off	NO
8	U74900KA2009PTC050944	CAE TECHNOLOGY INDIA PRIVATE LIMITED	Director	15-09-09	15-09-09	24-05-11	Active	NO

Name :

Mrs. Velumani Kumudha

Designation :

Director

Address :

12 A, Kandampalayam, Perundurai, Erode – 638052, Tamilnadu, India

Date of Birth/Age :

27.12.1967

Qualification :

B. Com.

Date of Appointment :

28.02.2005

DIN No.:

00047484

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	U31200TZ1999PTC008999	SIVA ELECTRIC GENERATION PRIVATE LIMITED	Director	09-09-99	09-09-99	-	Active	NO
2	U40108TZ2005PTC011636	SIVA WINDTURBINE INDIA PRIVATE LIMITED	Director	28-02-05	28-02-05	-	Active	NO
3	U40108TZ2005PTC011637	SIVA GREEN ENERGY INDIA PRIVATE LIMITED	Director	28-02-05	28-02-05	-	Active	NO
4	U40108TZ2004PTC011242	ABI ANANDHAN WIND FARMS PRIVATE LIMITED	Director	01-07-09	01-07-09	-	Under Process of Striking off	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.2012

Names of Shareholders	No. of Shares
VadiappanVelumani	505000
VelumaniKumudha	5000
Siva Electric Generation Private Limited, India	209500
V. Varunkumar	220000
Total	939500

As on 29.09.2012

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Bodies corporate	22.30
Directors or relatives of Directors	77.70
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Alloy Steel Casting, Moulded Plastic and Wind Power Electric Generators.

PRODUCTION STATUS (As on 31.03.2011)

Particulars	Unit	Actual Production
Wind Electric Generators	Nos	12

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

Indian Overseas Bank, KC Palayam Branch, No.11, Bhavani Road, Perundurai – 638052, Tamilnadu, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2012	As on 31.03.2011
Short Term Borrowings
From Bank ‐ CC	32.782	23.460
From Banks	3.154	0.000
From Others (Vehicle Loan) (secured by hypothecation of Vehicle)	0.038	0.000
Total	37.196	23.460

Banking Relations :	--
Auditors :
Name :	G. T. and Associates Chartered Accountants
Address :	137, SKC Road, II Floor, Sri MaruthiIllam, Opposite M. L. A. Office, Erode – 638001, Tamilnadu, India
PAN No :	AAEFG0163G
Related Party :	Siva Electric Generation Private Limited
Fellow Subsidiaries :	Siva Green Energy India Private Limited
Enterprises over which key management personnel are able to exercise significant influence :	· Sri CV Plastics · Sri Siva Polymers · Dhandapani steel Private Limited

CAPITAL STRUCTURE

As on 29.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
1600000	Equity Shares	Rs.10/- each	Rs.16.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
939500	Equity Shares	Rs.10/- each	Rs.9.395 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	9.395	9.395
(b) Reserves & Surplus	3.039	1.859
(c) Money received against share warrants	0.000	0.000
(2) Share Application money pending allotment	6.350	5.525
Total Shareholders’ Funds (1) + (2)	18.784	16.779
(3) Non-Current Liabilities
(a) long-term borrowings	6.783	11.615
(b) Deferred tax liabilities (Net)	0.324	0.229
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	0.000	0.000
Total Non-current Liabilities (3)	7.107	11.844
(4) Current Liabilities
(a) Short term borrowings	37.196	23.460
(b) Trade payables	9.140	28.007
(c) Other current liabilities	12.939	13.576
(d) Short-term provisions	0.822	0.409
Total Current Liabilities (4)	60.097	65.452
TOTAL	85.988	94.075
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	5.236	5.377
(ii) Intangible Assets	6.184	6.568
(iii) Capital work-in-progress	0.000	0.000
(iv) Intangible assets under development	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	11.420	11.945
(2) Current assets
(a) Current investments
(b) Inventories	35.546	26.815
(c) Trade receivables	15.474	28.934
(d) Cash and cash equivalents	7.558	7.068
(e) Short-term loans and advances	10.407	8.686
(f) Other current assets	5.583	10.627
Total Current Assets	74.568	82.130
TOTAL	85.988	94.075

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		2.195
2] Share Advance pending allotment of shares		2.200
3] Reserves & Surplus		1.671
4] (Accumulated Losses)		0.000
NETWORTH		6.066
LOAN FUNDS
1] Secured Loans		0.000
2] Unsecured Loans		0.000
TOTAL BORROWING		0.000
DEFERRED TAX LIABILITIES		0.542
TOTAL		6.608
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		11.950
Capital work-in-progress		0.000
INVESTMENT		0.000
DEFERREX TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	5.954
	Sundry Debtors	19.255
	Cash & Bank Balances	1.646
	Other Current Assets	1.066
	Loans & Advances	7.174
Total Current Assets		35.095
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	40.413
	Other Current Liabilities	0.000
	Provisions	0.115
Total Current Liabilities		40.529
Net Current Assets		(5.434)
MISCELLANEOUS EXPENSES		0.092
TOTAL		6.608

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	93.778	116.028	110.083
		Other Income	7.908	1.575	1.435
		TOTAL (A)	101.686	117.603	111.518
Less	EXPENSES
		Intangible Assets written off	1.511	2.797	2.186
		Preliminary Expenses Written off	0.006	0.005	0.005
		Other Expenditure	94.352	113.661	107.389
		TOTAL (B)	95.869	116.463	109.58
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		5.817	1.140	1.938
Less	FINANCIAL EXPENSES (D)		3.111	0.078	0.221
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		2.706	1.062	1.717
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.849	0.894	0.997
	PROFIT BEFORE TAX (E-F) (G)		1.857	0.168	0.720
Less	TAX (H)		0.676	(0.020)	(0.004)
	PROFIT AFTER TAX (G-H) (I)		1.181	0.188	0.724
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	69.174	36.508	17.927
	TOTAL EARNINGS		69.174	36.508	17.927
	TOTAL VALUE IMPORTS		6.696	2.543	3.362
	Earnings Per Share (Rs.)		1.26	0.20	3.30

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	1.16	0.16	0.65
Net Profit Margin (PBT/Sales)	(%)	1.98	0.14	0.65
Return on Total Assets (PBT/Total Assets}	(%)	2.16	0.18	1.53
Return on Investment (ROI) (PBT/Networth)		0.15	0.01	0.12
Debt Equity Ratio (Total Debt /Networth)		3.54	3.12	0.00
Current Ratio (Current Asset/Current Liability)		1.24	1.25	0.87

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	Yes
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	No

OPERATIONS:

During the year the company has produced and Sold 9 Nos of Wind Electric Generators. The sales turnover for the year was Rs.93.778 Millions.

UNSECURED LOAN

Rs. In Millions

Particular	As on 31.03.2012	As on 31.03.2011
Long Term Borrowings
Loans and advances from related parties From Share Holders (The above loan has either been brought in pursuant to the terms of sanction of loan by bankers or to augment working capital and retained as unsecured loan)	6.783	11.615
Short Term Borrowings
Holding Company	1.222	0.000
Total	8.005	11.615

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10328093	18/09/2012 *	49,600,000.00	INDIAN OVERSEAS BANK	KC PALAYAM BRANCH, NO.11, BHAVANI ROAD, PERUNDURAI – 638052, TAMILNADU, INDIA	B61930988

* Date of charge modification

FIXED ASSETS

· Land

· Computer

· Cranes and Components

· Handling Equipment

· Factory Building

· Monorail and Trolley

· Mould

· Molding Box

· Pattern Dyes

· Tools and Equipment

· Car – Innova

· Cell Jammer Unit

· Cell Phone

· Air conditioner

· Furniture

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 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.65.96
UK Pound	1	Rs.102.91
Euro	1	Rs.86.58

INFORMATION DETAILS

Report Prepared by :

VRN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	4
--RESERVES	1~10	5
--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		43

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

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.