MIRA INFORM REPORT

Report Date :

12.09.2013

IDENTIFICATION DETAILS

Name :	AVALON TECHNOLOGIES PRIVATE LIMITED

Registered Office :	B–7/8, First Main Road, MEPZ-SEZ, Tambaram, Chennai – 600045, Tamilnadu

Country :	India

Financials (as on) :	31.03.2012

Date of Incorporation :	03.11.1999

Com. Reg. No.:	18-043479

Capital Investment / Paid-up Capital :	Rs.13.015 Millions

CIN No.: [Company Identification No.]	U30007TN1999PTC043479

TAN No.: [Tax Deduction & Collection Account No.]	CHEA07378A

PAN No.: [Permanent Account No.]	AACCA4147K

Legal Form :	Private Limited Liability Company

Line of Business :	Subject is engaged in the business of providing electronic manufacturing services.

No. of Employees :	1500 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (46)

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

Maximum Credit Limit :	USD 2643000

Status :	Satisfactory

Payment Behaviour :	Usually Correct

Litigation :	Clear

Comments :	Subject is an established company having satisfactory track record. The company has seen a better increase in its sales turnover as well as net profitability during 2012. Financial position appears to be decent. However, there appears a drastic increase in the external borrowings of the company. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct. The company can be considered good for normal 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

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 :	B–7/8, First Main Road, MEPZ-SEZ, Tambaram, Chennai – 600045, Tamilnadu, India
Tel. No.:	91-44-22620095-96/42220400/42200524/42220512
Fax No.:	91-44-22620097/22620092/22620097
E-Mail :	avalonl@satyam.net.in tpi@avalontec.com bichatp@avalontec.com info@avalontech.com sales@avalontec.com
Website :	www.avalon.com www.avalontec.com

Overseas Office:	2130, Trade Zone Building, San Jose, Chartered Accountant 95131, U.S.A. Tel No :- 408 957 8885 (Extension 215) Fax No :- 408 957 8886 E-mail :- gerhardmueller@avalontec.com 42618 Christy Street, Fremont, CA 94538, USA. Phone :510-440-0200 Fax :510-440-0201 E-mail :sales@siennagroup.com

DIRECTORS

As on 29.09.2012

Name :

Mr. Thayagath Puthan Vettil Imbichammad

Designation :

Managing Director

Address :

104 Defence Officers Colony, Chennai-600097, Tamilnadu, India

Date of Birth/Age :

09.04.1938

Date of Appointment :

03.11.1999

DIN :

00634769

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	U30007TN1999PTC043479	AVALON TECHNOLOGIES PRIVATE LIMITED	Managing director	03/11/1999	03/11/1999	-	Active	NO
2	U70102KL2002PTC015819	CHERUKAVU LAND DEVELOPMENT PRIVATE LIMITED	Director	07/02/2004	07/02/2004	20/01/2008	Active	NO
3	U72100TN2008PTC068955	AVALON TECHNOLOGY AND SERVICES PRIVATE LIMITED	Director	21/08/2008	21/08/2008	-	Active	NO
4	U72100TN2008PTC068956	SIENNA TECHNOLOGY AND SERVICES PRIVATE LIMITED	Director	21/08/2008	21/08/2008	-	Active	NO
5	U30007KA1997PTC022754	SIENNA ECAD TECHNOLOGIES PRIVATE LIMITED	Director	30/09/2009	04/06/2009	-	Active	NO
6	U31401TN2012PTC089188	ELEAVALON TECHNOLOGIES PRIVATE LIMITED	Director	28/12/2012	28/12/2012	-	Active	NO

Name :

Mr. Pallikadidy Maliyakkal Mariyambicha

Designation :

Director

Address :

104 Defence Officers Colony, Chennai-600097, Tamilnadu, India

Date of Birth/Age :

16.08.1948

Date of Appointment :

03.11.1999

DIN :

00635028

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	U30007TN1999PTC043479	AVALON TECHNOLOGIES PRIVATE LIMITED	Director	03/11/1999	03/11/1999	-	Active	NO
2	U72100TN2008PTC068956	SIENNA TECHNOLOGY AND SERVICES PRIVATE LIMITED	Director	21/08/2008	21/08/2008	-	Active	NO
3	U72100TN2008PTC068955	AVALON TECHNOLOGY AND SERVICES PRIVATE LIMITED	Director	21/08/2008	21/08/2008	-	Active	NO
4	U31401TN2012PTC089188	ELEAVALON TECHNOLOGIES PRIVATE LIMITED	Director	28/12/2012	28/12/2012	-	Active	NO

Name :

Mr. Kunhammad Bicha

Designation :

Director

Address :

1092 Yarwood Court Sanjose, California, U.S.A.

Date of Birth/Age :

12.04.1968

Date of Ceasing :

03.11.1999

DIN :

00819707

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	U30007TN1999PTC043479	AVALON TECHNOLOGIES PRIVATE LIMITED	Director	03/11/1999	03/11/1999	-	Active	NO
2	U72200TN2002PTC049632	EMANTRAS INTERACTIVE TECHNOLOGIES PRIVATE LIMITED	Director	20/09/2002	20/09/2002	-	Active	NO
3	U30007KA1997PTC022754	SIENNA ECAD TECHNOLOGIES PRIVATE LIMITED	Director	30/09/2009	04/06/2009	-	Active	NO
4	U72100TN2008PTC068955	AVALON TECHNOLOGY AND SERVICES PRIVATE LIMITED	Additional director	16/08/2013	16/08/2013	-	Active	NO

Name :

Mr. Srinivasan Bhaskar

Designation :

Director

Address :

1092 Yarwood Court Sanjose, California, U.S.A.

Date of Birth/Age :

03.06.1966

Date of Appointment :

03.11.1999

DIN :

02561215

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	U30007TN1999PTC043479	AVALON TECHNOLOGIES PRIVATE LIMITED	Director	03/11/1999	03/11/1999	-	Active	NO
2	U72200TN2002PTC049632	EMANTRAS INTERACTIVE TECHNOLOGIES PRIVATE LIMITED	Director	20/09/2002	20/09/2002	-	Active	NO
3	U30007KA1997PTC022754	SIENNA ECAD TECHNOLOGIES PRIVATE LIMITED	Director	30/09/2009	04/06/2009	-	Active	NO
4	U72100TN2008PTC068955	AVALON TECHNOLOGY AND SERVICES PRIVATE LIMITED	Additional director	16/08/2013	16/08/2013	-	Active	NO

Name :

Mr. Sareday Seshu Kumar

Designation :

Director

Address :

3, 3^rd Main Road, Indira Nagar, Adyar,Chennai-600020, Tamilnadu, India

Date of Birth/Age :

28.01.1969

Date of Appointment :

01.09.2001

DIN :

01646703

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	U30007TN1999PTC043479	AVALON TECHNOLOGIES PRIVATE LIMITED	Director	01/09/2001	01/09/2001	-	Active	NO
2	U72200TN2002PTC049632	EMANTRAS INTERACTIVE TECHNOLOGIES PRIVATE LIMITED	Managing director	20/09/2002	20/09/2002	-	Active	NO
3	U30007KA1997PTC022754	SIENNA ECAD TECHNOLOGIES PRIVATE LIMITED	Director	30/09/2009	04/06/2009	-	Active	NO

Name :

Mr. Anand Kumar

Designation :

Whole Time Director

Address :

3, Gajapathy Road, Kilpauk, Chennai – 600010, Tamilnadu, India

Date of Birth/Age :

14.10.1967

Date of Appointment :

01.04.2006

DIN :

00818724

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	U30007TN1999PTC043479	AVALON TECHNOLOGIES PRIVATE LIMITED	Director	01/04/2006	01/04/2006	-	Active	NO
2	U30007KA1997PTC022754	SIENNA ECAD TECHNOLOGIES PRIVATE LIMITED	Director	30/09/2009	04/06/2009	-	Active	NO

Name :

Mr. Shamil Bicha Maliyakal

Designation :

Whole Time Director

Address :

104 Defence, Chennai – 600097, Tamilnadu, India

Date of Birth/Age :

13.08.1974

Date of Appointment :

01.04.2006

DIN :

01854618

MAJOR SHAREHOLDERS

As on 29.09.2012

Names of Shareholders		No. of Shares
Thayagath Puthan Vettil Imbichammad		62500
Pallikadidy Maliyakkal Mariyambicha		1250
Srinivasan Bhaskar		50000
Sareday Seshu Kumar		11250
Anand Kumar		5150
Total		130150

Equity Share Break up (Percentage of Total Equity)

As on 29.09.2012

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Subject is engaged in the business of providing electronic manufacturing services.

GENERAL INFORMATION

No. of Employees :

1500 (Approximately)

Bankers :

State Bank of India, Leather International Branch, M V J Tower, Kilpauk, Chennai – 600010, Tamilnadu, India
ICICI Bank Limited
Barclays Bank PLC, 20/21, Kamaraj Salai, Kanchipuram-631501, Tamilnadu, India
IndIsInd Bank Limited
Standard Chartered Bank, Chennai, Tamilnadu, India
Bank of India
Axis Bank, CBB, Karumithu Nilayam, No. 192, Anna Salai, Chennai – 600002, Tamilnadu, India

Facilities :

Secured Loans	31.03.2012 Rs. In Millions	31.03.2011 Rs. In Millions
Long Term Borrowings
Loans and advances from others (Secured by Letter of Credit issued by ICICI Bank)	22.823	18.632
Short Term Borrowings
Rupee term loans from banks (First pari passu charge on the entire stock, consumable stores and spares and such other movables including book debts, bills, outstanding monies and receivables both present and future. Second pari passu charge on the entire fixed assets of the company excluding plant and machinery proposed to be purchased out of Capex facility granted by ICICI Bank. Second pari passu charge over the existing super structure/buildings constructed or to be constructed on the leased land situated in B7 and B8, MPEZ, Phase II, Tambaram, Chennai.)	754.320	596.506
Total	777.143	615.138


Banking Relations :	--

Financial Institutions:	3i Infotech Trusteeship Services Limited 3^rd to 6^th Floor, International InfoTech Park, Tower No. 5, Vashi Railway Station Complex, Vashi Navi Mumbai – 400703, Maharashtra, India

Auditors :
Name :	Varma and Varma Chartered Accountants
Address :	Sreela Terrace, 105, 1^st Main Road, Gandhi Nagar, Adyar, Chennai-600020, Tamilnadu, India
Tel No.:	91-44-24452239/ 24423496
Fax No.:	91-44-24454234
Email :	chennai@varmaandvarma.com
PAN No.:	AANPS1927M

Associates :	Sienna Corporation, United States

Enterprise over which key management personnel or their relatives are able to exercise significant influence :	· Sienna Technology and Services Private Limited CIN No.: U72100TN2008PTC068956 · Avalon Technology and Services Private Limited CIN No.: U72100TN2008PTC068955 · Sienna E Card Technologies Private Limited CIN No.: U30007KA1997PTC022754

CAPITAL STRUCTURE

As on 29.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount

200000	Equity Shares	Rs. 100/- each	Rs. 20.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

130150	Equity Shares	Rs. 100/- each	Rs. 13.015 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	13.015	13.015
(b) Reserves & Surplus	647.750	501.654
(c) Money received against share warrants	0.000	0.000
	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000
Total Shareholders’ Funds (1) + (2)	660.765	514.669

(3) Non-Current Liabilities
(a) long-term borrowings	22.823	18.632
(b) Deferred tax liabilities (Net)	5.084	0.000
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	67.880	4.245
Total Non-current Liabilities (3)	95.787	22.877

(4) Current Liabilities
(a) Short term borrowings	754.320	596.506
(b) Trade payables	269.922	305.085
(c) Other current liabilities	28.040	48.530
(d) Short-term provisions	54.524	23.851
Total Current Liabilities (4)	1106.806	973.972

TOTAL	1863.358	1511.518

II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	313.653	186.177
(ii) Intangible Assets	24.064	3.518
(iii) Capital work-in-progress	13.125	44.044
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	0.000	0.000
(c) Deferred tax assets (net)	0.000	2.770
(d) Long-term Loan and Advances	16.183	10.367
(e) Other Non-current assets	0.000	0.000
Total Non-Current Assets	367.025	246.876

(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	460.476	410.148
(c) Trade receivables	939.545	736.555
(d) Cash and cash equivalents	42.458	55.027
(e) Short-term loans and advances	53.854	62.912
(f) Other current assets	0.000	0.000
Total Current Assets	1496.333	1264.642

TOTAL	1863.358	1511.518

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		13.015
2] Share Application Money		0.000
3] Reserves & Surplus		426.517
4] (Accumulated Losses)		0.000
NETWORTH		439.532
LOAN FUNDS
1] Secured Loans		509.146
2] Unsecured Loans		0.000
TOTAL BORROWING		509.146
DEFERRED TAX LIABILITIES		0.000

TOTAL		948.678

APPLICATION OF FUNDS

FIXED ASSETS [Net Block]		216.497
Capital work-in-progress		0.000

INVESTMENT		0.000
DEFERRED TAX ASSETS		3.110

CURRENT ASSETS, LOANS & ADVANCES
	Inventories	355.603
	Sundry Debtors	532.710
	Cash & Bank Balances	18.885
	Other Current Assets	0.000
	Loans & Advances	54.796
Total Current Assets		961.994
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	194.718
	Other Current Liabilities	17.957
	Provisions	20.248
Total Current Liabilities		232.923
Net Current Assets		729.071

MISCELLANEOUS EXPENSES		0.000

TOTAL		948.678

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
SALES
	Income
	Other Income
	TOTAL	1960.729	1739.743	1190.628

EXPENSES
	Office Expenses
	Administrative Expenses
	Advertising Expenses
	TOTAL	1880.561	1643.127	1022.860

PROFIT/(LOSS) BEFORE TAX		109.113	96.616	77.209

TAX		27.921	21.479	18.081

PROFIT/(LOSS) AFTER TAX		81.192	75.137	59.128

EARNINGS IN FOREIGN CURRENCY
	FOB Value of Export		1663.548	1116.260
	Interest		12.225	10.459
TOTAL EARNINGS		1644.447	1675.773	1126.719

IMPORT VALUE		NA	1092.876	772.757

Earnings/(Loss) Per Share (Rs.)		623.83	577.31	454.00

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	4.14	4.32	4.97

Return on Total Assets (PBT/Total Assets}	(%)	7.21	7.58	6.55

Return on Investment (ROI) (PBT/Networth)		0.17	0.19	0.17

Debt Equity Ratio (Total Debt /Networth)		0.04	0.09	0.16

Current Ratio (Current Asset/Current Liability)		1.35	1.38	4.13

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	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

INDEX OF CHARGE:

Sr .No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10397511	17/12/2012	440,000,000.00	AXIS BANK LIMITED	CBB, KARUMUTHU NILAYAM, NO.192, ANNA SALAI, CHENNAI, Tamil Nadu - 600002, INDIA	B66069477
2	10350556	01/03/2012	276,000,000.00	BANK OF INDIA	Chennai MID Corporate Branch,826/6, ANNA SALAI, TARAPORE TOWERS, IV FLOOR, CHENNAI, Tamilnadu - 600002, INDIA	B37835337
3	10342195	29/02/2012	250,000,000.00	Standard Chartered Bank	19, Rajaji Salai,, Chennai, Tamil Nadu - 600001, INDIA	B35030923
4	10337056	06/03/2012 *	600,000,000.00	ICICI BANK LIMITED	LANDMARKRACE COURCE CIRCLE, ALKAPURI, BARODA, Gujarat - 390015, INDIA	B38378337
5	10108262	12/03/2009 *	105,000,000.00	3i Infotech Trusteeship Services Limited	3rd to 6th floor, International Infotech Park, Tower No.5, Vashi Railway Station Complex, Vashi, Navi Mumbai, Maharashtra - 400703, INDIA	A59253278
6	10091275	03/01/2011 *	556,100,000.00	3i Infotech Trusteeship Services Limited	3rd to 6th floor, International Infotech Park, Tower No.5, Vashi Railway Station Complex, Vashi, Navi Mumbai, Maharashtra - 400703, INDIA	B02507598

* Date of charge modification

OPERATIONAL REVIEW:

During the year the Company has achieved a turnover of Rs. 1960.729 Millions as compared to the last year of Rs. 1739.743 Millions and resulted with a Net Profit after tax of Rs.81.192 Millions as compared to the last years' Net Profit of Rs. 75.137 Millions.

FIXED ASSETS:

Leasehold Building
Machinery
Air Conditioner
Computers
Cycle
Electrical Fittings
Furniture and Fittings
Vehicles
Office Equipment
Fire Protection Equipment
Weighing Machine

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. 63.90
UK Pound	1	Rs. 100.47
Euro	1	Rs. 84.65

INFORMATION DETAILS

Report Prepared by :

VNT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--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	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		46

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.

MIRA INFORM REPORT

729.071

4.14

7.21

0.17

0.04

1.35

Unit