MIRA INFORM REPORT

Report Date :

26.09.2013

IDENTIFICATION DETAILS

Name :	SHREE RAMKRISHNA EXPORTS PRIVATE LIMITED
Registered Office :	EE-6011, Bharat Diamond Bourse, G" Block, Bandra Kurla Complex, Bandra (East), Mumbai – 400005, Maharashtra
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	02.04.2012
Com. Reg. No.:	55-229115
Capital Investment / Paid-up Capital :	Rs. 1480.000 Millions
CIN No.: [Company Identification No.]	U36912MH2012PTC229115
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer, Importer and Exporter of Diamonds.
No. of Employees :	3000 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (52)

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

Maximum Credit Limit :	USD 8800000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject was established as a proprietary concern in 1964 and during 1976 it got converted into a partnership concern. In April 2012, the concern got converted unto a private limited. It has a satisfactory track record. It has established market position in the cut and polished diamond industry. The financial position of the company is good. Performance capability is also high. Trade relations are fair. Business is active. Payment terms are usually correct and as per commitment. The company can be considered for business dealing 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.

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.

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	BBB+ = Long Term Rating
Rating Explanation	Moderate degree of safety and moderate credit risk.
Date	03.09.2013

RBI DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

INFORMATION PARTED BY

Name :	Mr. Hitesh
Designation :	Accounts Executive
Contact No.:	91-22-40405555
Date :	24.09.2013

LOCATIONS

Registered Office :	EE-6011, Bharat Diamond Bourse, "G" Block, Bandra Kurla Complex, Bandra (East), Mumbai – 400005, Maharashtra, India
Tel. No.:	91-22-40405555
Fax No.:	91-22-40405500
E-Mail :	law@lemonconsulting.net hitesh.italiya@srkexport.in info@srkexport.in vishal.jodhani@srkexport.in isha.dada@astuteconsulting.com
Website :	http://www.srkexport.com
Location :	Owned
Factory :	'SRK Empire', 99, Vastadevdi Road, Katargam, Surat - 395004, Gujarat, India
Tel. No.:	91-261-4040555
Fax No.:	91-261-4040550
E-Mail :	surat@srkexport.in

DIRECTORS

As on 15.03.2012

Name :	Mr. Govindbhai Laljibhai Dholakia
Designation :	Director
Address :	801-A, Tirupati Apartment, Amar Building, Bhulabhai Desai Road, Mumbai – 400026, Maharashtra, India
Date of Birth/Age :	07.11.1947
DIN No.:	00524146
Name :	Mr. Shreyansh Govindbhai Dholakia
Designation :	Director
Address :	801-A, Tirupati Apartment, Amar Building, Bhulabhai Desai Road, Mumbai – 400026, Maharashtra, India
Date of Birth/Age :	21.05.1987
DIN No.:	00523418
Name :	Mr. Jayantibhai Vashrambhai Narola
Designation :	Director
Address :	54, Kantareshwar Society, Katar Gam Road, Surat – 395004, Gujarat, India
Date of Birth/Age :	05.06.1964
DIN No.:	00587167
Name :	Mrs. Champaben Govindbhai Dholakia
Designation :	Director
Address :	801-A, Tirupati Apartment, Amar Building, Bhulabhai Desai Road, Mumbai – 400026, Maharashtra, India
Date of Birth/Age :	23.09.1954
DIN No.:	00524249
Name :	Mr. Rahul Nagjibhai Dholakia
Designation :	Director
Address :	5, Gayatri Nagar Society, 5, Katargam Road, Surat – 395004, Gujarat, India
Date of Birth/Age :	12.12.1971
DIN No.:	00524017
Name :	Mr. Vashrambhai Bhurabhai Narola
Designation :	Director
Address :	54, Kantareshwar Society, Katar Gam Road, Surat – 395004, Gujarat, India
Date of Birth/Age :	21.03.1942
DIN No.:	00523329
Name :	Mr. Arjan Lalji Dholakiya
Designation :	Director
Address :	8/B, Vallabh Nagar Society ,Varachha Road, Surat – 395006, Gujarat, India
Date of Birth/Age :	01.06.1956
DIN No.:	00523491

KEY EXECUTIVES

Name :	Mr. Hitesh
Designation :	Accounts Executive

MAJOR SHAREHOLDERS

As on 20.03.2012

Names of Shareholders	No. of Shares
Champaben Govindbhai Dholakia	3000000
Govindbhai Laljibhai Dholakia	1000000
Arjanbhai Lalji Dholakiya	1000000
Jayantibhai Vashrambhai Narola	1500000
Rahulbhai Nagjibhai Dholakia	1500000
Vashrambhai Bhurabhai Narola	1000000
Shreyansh Govindbhai Dholakia	1000000
Total	10000000

As on 04.08.2012

Names of Allottees	No. of Shares
Govindbhai Laljibhai Dholakia	51895800
Arjanbhai Lalji Dholakiya	16679800
Champaben Govindbhai Dholakia	13966900
Vashrambhai Bhurabhai Narola	2129900
Jayantibhai Vashrambhai Narola	20761100
Rahulbhai Nagjibhai Dholakia	18120900
Shreyansh Govindbhai Dholakia	6445600
Total	130000000

As on 11.04.2012

Names of Allottees	No. of Shares
Govindbhai Laljibhai Dholakia	2400000
Arjanbhai Lalji Dholakiya	1200000
Champaben Govindbhai Dholakia	800000
Vashrambhai Bhurabhai Narola	800000
Jayantibhai Vashrambhai Narola	1200000
Rahulbhai Nagjibhai Dholakia	800000
Shreyansh Govindbhai Dholakia	800000
Total	8000000

BUSINESS DETAILS

Line of Business :	Manufacturer, Importer and Exporter of Diamonds.
Exports :
Products :	Finished Goods
Countries :	· Far East · USA · Australia
Imports :
Products :	Raw Material
Countries :	· Belgium · Israel
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

GENERAL INFORMATION

Customers :

Retailers and End Users

No. of Employees :

3000 (Approximately)

Bankers :

• Bank of India, Bharat Diamond Bourse Br.,D-2/D-4, Ground Floor, West Core, "G" Block, B.K.C, Bandra (East), Mumbai - 400051, Maharashtra, India

· HDFC Bank Limited, HDFC Bank House, Senapati Bapat Marg, Lower Parel (West), Mumbai - 400013, Maharashtra, India

· Standard Chartered Bank, Abhijeet II, Ground Floor, Near Mithkali Six Road, Ahmedabad – 380006, Gujarat, India

· State Bank of India, Diamond Branch, Bharat Diamond Bourse, Tower No. D-3, ground Floor, Bandra Kurla Complex, Mumbai – 400051, Maharashtra, India

Facilities :

SECURED LOANS	31.03.2013 Rs. In Millions
Short Term Borrowings
From Bank
Post-shipment credit finance	3274.589
Pre-shipment credit finance	2724.399
Rupee Loans
Pre-shipment credit finance	8.500
Total	6007.488

Working capital loans are secured against

Primary

First ranking pari passu charge over the entire current assets of the borrower, both present and future, including the stocks of raw materials, semi-finished and finished goods, stores and spares lot relating to plant and machinery (Consumables stores & spares), bills receivable and book debts, excluding such as sets as may be permitted by the said Banks from time to time.

Collateral

a. Immovable properties of the Company situated at Mumbai and Surat

b. immovable properties of the Directors of the company situated at Mumbai and Surat

c. Cash Collateral with State Bank of India and Bank of India d} Investment in SBI Mutual Fund

Guarantee

a. Personal Guarantee of all the Directors of the Company

b. Personal Guarantee of Mrs. Jinal Dholakia

c. Corporate Guarantee of Shree Ram Diamex Private Limited

Foreign currency loans carry interest rate ranging from Libor plus 2 % to 3 5% per annum and Rupee loans carry interest rate @ 11 75% per annum.

The aforesaid loans are repayable within the range of 30 days to 180 days

Banking Relations :	--
Auditors :
Name :	Suresh Surana and Associates Chartered Accountants
Address :	Mumbai, Maharashtra, India
Subsidiaries :	· Ramkrishna Gold Private limited · Shree Ramkrishna Gems Private limited
Enterprises In which Key management personnel or their relatives have significant influence :	· The Jewelry Company · Sahajanand Diamonds · Shree Ram Diamex Private limited · Goldi Green Technologies Private limited · Jewel Goldi (India) · Shree Ramkrishna Charitable Trust · Prabhuruday Jivdaya Trust · Dholakia Charitable Trust · Matushri Santokben Laljibhai Dholakia Chantable Trust · Shree Ramkrishna Welfare Trust · Swa. Fulima Nathubhai Naroia Charitabie Trust · Traffic Education Trust · Lokseva Trust SDA Diamond Hospital and Medical Research

CAPITAL STRUCTURE

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
20000000	Equity Shares	Rs. 10/- each	Rs. 200.000 Millions
130000000	6% Cumulative Redeemable Preference Shares	Rs. 10/- each	Rs. 1300.000 Millions
	Total		Rs. 1500.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
18000000	Equity Shares	Rs. 10/- each	Rs. 180.000 Millions
130000000	6% Cumulative Redeemable Preference Shares	Rs. 10/- each	Rs. 1300.000 Millions
	Total		Rs. 1480.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	1480.000
(b) Reserves & Surplus	1462.473
(c) Money received against share warrants	0.000
(2) Share Application money pending allotment	0.000
Total Shareholders’ Funds (1) + (2)	2942.473
(3) Non-Current Liabilities
(a) long-term borrowings	832.424
(b) Deferred tax liabilities (Net)	4.479
(c) Other long term liabilities	0.000
(d) long-term provisions	0.000
Total Non-current Liabilities (3)	836.903
(4) Current Liabilities
(a) Short term borrowings	6007.488
(b) Trade payables	3123.211
(c) Other current liabilities	35.571
(d) Short-term provisions	0.000
Total Current Liabilities (4)	9166.270
TOTAL	12945.646
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	1201.996
(ii) Intangible Assets	0.000
(iii) Capital work-in-progress	0.000
(iv) Intangible assets under development	0.000
(b) Non-current Investments	59.461
(c) Deferred tax assets (net)	0.000
(d) Long-term Loan and Advances	613.240
(e) Other Non-current assets	13.343
Total Non-Current Assets	1888.040
(2) Current assets
(a) Current investments	107.695
(b) Inventories	6761.151
(c) Trade receivables	3606.327
(d) Cash and cash equivalents	294.542
(e) Short-term loans and advances	283.638
(f) Other current assets	4.253
Total Current Assets	11057.606
TOTAL	12945.646

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013
	SALES
		Income	30665.394
		Other Income	112.370
		TOTAL (A)	30777.764
Less	EXPENSES
		Cost of material consumed	29564.796
		Purchases of traded goods	7.033
		Changes in inventories of finished goods and stock-in-trade	(2231.636)
		Employee benefit expenses	69.854
		Other Expenses	1690.576
		TOTAL (B)	29100.623
Less	PROFIT/(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		1677.142
Less	FINANCIAL EXPENSES (D)		345.528
	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		1331.614
Less/ Add	DEPRECIATION/ AMORTISATION (F)		136.222
	PROFIT/(LOSS) BEFORE TAX (E-F) (G)		1195.392
Less	TAX (H)		398.888
	PROFIT/(LOSS) AFTER TAX (G-H) (I)		796.504
	EARNINGS IN FOREIGN CURRENCY
		F.O.B. value of export	29637.984
	TOTAL EARNINGS		29637.984
	IMPORTS
		Raw Materials (Rough Diamond)	29190.676
		Stores & Spares	2.051
		Capital Goods	118.302
	TOTAL IMPORTS		29311.029
	Earnings Per Share (Rs.)		44.25

KEY RATIOS

PARTICULARS		31.03.2013
PAT / Total Income	(%)	2.58
Net Profit Margin (PBT/Sales)	(%)	3.89
Return on Total Assets (PBT/Total Assets}	(%)	10.23
Return on Investment (ROI) (PBT/Networth)		0.41
Debt Equity Ratio (Total Debt /Networth)		2.32
Current Ratio (Current Asset/Current Liability)		1.21

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 one year	Yes
12]	Profitability for last one year	Yes
13]	Reasons for variation <> 20%	-----------
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	Yes
21]	Market information	----------
22]	Litigations that the firm / promoter involved in	----------
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	----------
26]	Buyer visit details	----------
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	Yes
29]	Last accounts filed at ROC	Yes
30]	Major Shareholders, if available	Yes
31]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

DIAMOND INDUSTRY – INDIA

- From time immemorial, India is well known in the world as the birthplace for diamonds.  It is difficult to trace the origin of diamonds but history says that in the remote past, diamonds were mined only in India. Diamond production in India can be traced back to almost 8^th Century B.C.  India, in fact, remained undisputed leader till 18^th Century when Brazilian fields were discovered in 1725 followed by emergence of S. Africa, Russia and Australia.

- The achievement of the Indian diamond industry was possible only due to combination of the manufacturing skills of the Indian workforce and the untiring and unflagging efforts of the Indian diamantaires, supported by progressive Government policies.

- The area of study of family owned diamond businesses derives its importance from the huge conglomerate of family run organizations which operate in the diamond industry since many generations.

- Some of the basic traits of family run business enterprises include spirit of entrepreneurship, mutual trust lowers transaction costs, small, nimble and quick to react, information as a source of advantage and philanthropy.

- Family owned diamond businesses need to improve on many fronts including higher standard of corporate governance, long-term performance – focused strategies, modern management and technology.

- Utmost caution is to be exercised while dealing with some medium and large diamond traders which are usually engaged in fictitious import – export, inter-company transactions, financially assisted by banks. In the process, several public sector banks lost several hundred million rupees. They mostly diverted borrowed money for diamond business into real estate and capital markets.

- Excerpts from Times of India dated 30^th October 2010 is as under –

- Gem and Jewellery Export Promotion Council in its statistical data has shown the export of polished diamonds to have increase by 28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in February, 2012, India exported $ 1.84 billion worth of polished diamonds in February 2013. A senior executive of GJEPC said, “Export of cut and polished diamonds started falling month-wise after the imposition of 2 % of import duty on the polished diamonds. But February, 2013 has given a new ray of hope to the industry as the export of polished diamonds has actually increased by 28 %. It means the industry is on the track of recovery and round tripping of diamonds has stopped completely.” Demand has started coming from the US, the UK, Japan and China. India’s polished diamond export is expected to cross $ 21 bn in 2013-14.

- The banking sector has started exercising restraint while following prudent risk management norms when lending money to gems and jewellery sector. This follows the implementation of Basel III accord – a global voluntary regulatory standard on bank capital adequacy, stress testing and market liquidity.

UNSECURED LOANS:

Particulars	31.03.2013 Rs. In Millions
Long Term Borrowings
Loans and advances from related parties
Interest free unsecured loans from directors	832.424
Total	832.424

Note:

The loans from directors and/or their relatives are either fully subordinated to the creditors of the Company and non-repayable (except with the prior approval of the creditors to the extent of Rs 825000000) or the Company has the right to convert the outstanding loan into share capital The conversion is subject to compliance with applicable regulatory provisions by giving appropriate notice to the concerned directors, and/or their relatives, and fulfillment it specified conditions In view of the aforesaid commitment made by the directors, the Company confirms that the said loans can be treated as equivalent to capital.

NOTE: CURRENT MATURITY OF LONG TERM BORROWINGS DETAIL NOT AVAILABLE

INDEX OF CHARGE:

Sr .No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10439741	03/07/2013	550,000,000.00	Bank of India	Bharat Diamond Bourse Branch, D-2/D-4, West Core, Ground Floor, G-Block, BKC, Bandra (E), Mumbai, Maharashtra - 400051, INDIA	B80733769
2	10367137	02/07/2012	100,000,000.00	Bank of India	Bharat Diamond Bourse Br. D-2/D-4, Ground Floor, West Core, G Block, Bandra Kurla Complex, Bandra (E), Mumbai, Maharashtra - 400051, INDIA	B44364800
3	10363802	02/06/2012	780,000,000.00	Bank of India	Bharat Diamond Bourse Br. D-2/-4, Ground Floor, West Core, G Block, Bandra Kurla Complex, Bandra (E) , Mumbai, Maharashtra - 400051, INDIA	B42933507
4	10353037	15/01/2013 *	8,650,000,000.00	Bank of India	Bharat Diamond Bourse Br.,D-2/D-4, Ground Floor, West Core, "G" Block, B.K.C, Bandra (E), Mumbai, Maharashtra - 400051, INDIA	B67398909

* Date of modification charge

CORPORATE INFORMATION

The Company is a Private Limited Company incorporated in India under the provisions of the Companies Act. 1956 on 2 April 2012 by conversion of Partnership firm (Shree Ramkrishna Export), having its registered office at EE-6011, Bharat Diamond Bourse. G Block, Bandra Kurla Complex, Bandra (East), Mumbai - 400005. The Company is engaged in the business of import, export and manufacturing of cut and polished diamonds.

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. 62.70
UK Pound	1	Rs.100.27
Euro	1	Rs. 84.46

INFORMATION DETAILS

Information Gathered by :	PDT
Report Prepared by :	VNT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	7
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	7
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	7
--RESERVES	1~10	6
--CREDIT LINES	1~10	5
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		52

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.