MIRA INFORM REPORT

Report Date :

08.04.2014

IDENTIFICATION DETAILS

Name :	KRITIKA WIRES PRIVATE LIMITED
Registered Office :	1A, Bonfield Lane, Mezanine Floor, Kolkata – 700001, West Bengal
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	31.05.2004
Com. Reg. No.:	21-098699
Capital Investment / Paid-up Capital :	Rs.35.825 Millions
CIN No.: [Company Identification No.]	U27102WB2004PTC098699
TAN No.: [Tax Deduction & Collection Account No.]	CALK04365E
PAN No.: [Permanent Account No.]	AACCK5615N
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer, Supplier and Exporter of a wide range of high quality Galvanized Wire and Industrial Steel Wires.
No. of Employees :	100 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (34)

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

Maximum Credit Limit :	USD 660000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Exist
Comments :	Subject is an established company having a moderate track record. The rating reflects moderate financial risk profile marked by below average operating efficiency and low profitability levels of the company. However, trade relations are fair. Business is active. Payment terms are slow but correct. The company can be considered for business dealing with some caution.

NOTES:

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – December 1, 2013

Country Name	Previous Rating (30.09.2013)	Current Rating (01.12.2013)
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 for the fiscal third quarter ended September 2013 narrowed to $4.2 billion or 0.9 % of the gross domestic product from $31.9 billion or 6.5 % of GDP a year earlier, thanks to a pick-up in exports and moderation in gold imports. Manufacturing activity and new orders in India showed their strongest growth in a year in February. The news comes as a relief after data showed Asia’s third largest economy grew by a slower-than-expected 4.7 % annually in the three months through December. The HSBC Manufacturing Purchasing Managers’ Index which gauges the business activity of India’s factories but not its’ utilities, rose to 52.5 in February, its highest in a year from 51.4 in January. Overall new orders for factory goods which rose to a one-year high of 54.9 contributed to the surge. China has emerged as India’s biggest trading partner in the current financial year replacing the United Arab Emirates and pushing it to the third spot. India-China trade has reached $49.5 billion with a 8.7 % share in India’s total trade. The US comes second at $46 billion with 8.1 % share during the first nine months of the current financial year.

The Reserve Bank of India has granted an additional nine months to the public to exchange currency notes printed before 2005 including Rs.500 and Rs.1,000 denominations, pushing the deadline to January 1, 2015. A day before dates for the Lok Sabha polls were announced, the government decided to hike interest rates on fixed deposit schemes offered by post offices up to 0.2 per cent. The new rates will be effective April, 1. The Supreme Court will resume hearing on March, 11 Nokia’s appeal against a ruling over transferring ownership of its local mobile phones plant which is the subject of a tax dispute to Microsoft Corp.

In the last days of the current Government, another scam has surfaced. The defence ministry has ordered a probe into Hindustan Aeronautics Limited’s contracts from Britain’s Rolls-Royce Holdings worth at least $ 1.2 billion. The Central Bureau of Investigation will look into allegations that over $80 million was paid in kickbacks in a deal signed in 2011. India has asked Boeing Co. to find a solution for problems with state-owned Air India’s 787 Dreamliners. The aircraft has experienced a series of malfunctions since its debut in 2011.

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Long Term Rating: BB
Rating Explanation	Moderate risk of default and high credit risk.
Date	10.10.2013

Rating Agency Name	CRISIL
Rating	Short Term Rating: A4+
Rating Explanation	Minimal degree of safety and very high credit risk.
Date	10.10.2013

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. Sandeep Gupta
Designation :	Assistant Manager (Marketing and Sales)
Contact No.:	91-9339867409
Date :	05.04.2014

LOCATIONS

Registered Office :	1A, Bonfield Lane, Mezanine Floor, Kolkata – 700001, West Bengal, India
Tel. No.:	91-33-22429581/ 22130660
Mobile No.:	91-9339867409/ 9339077328 (Mr. Sandeep Gupta)
Fax No.:	91-33-22426081
E-Mail :	skbhartia@live.com
Location :	Owned
Factory :	Village Bhagwati Parts, Chaturbhuj Kaki, Fankrail, Howrah – 711313, West Bengal, India
Location :	Owned

DIRECTORS

(AS ON 28.09.2013)

Name :

Mr. Sanjeev Kumar Binani

Designation :

Director

Address :

19, Jadulal Mullick Road, Kolkata – 700006, West Bengal, India

Date of Birth/Age :

22.07.1967

Date of Appointment :

31.05.2004

PAN No.:

AEDPB1936R

DIN No.:

01149866

Other Directorships:

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	U51909WB1995PTC075661	PRATIKSHA COMMERCIAL PVT LTD	Director	12/02/2004	12/02/2004	10/06/2010	Active	NO
2	U27102WB2004PTC098699	KRITIKA WIRES PRIVATE LIMITED	Director	31/05/2004	31/05/2004	-	Active	NO
3	U65999WB1992PTC057169	MANRO FINANCE & TRADERS PVT LTD	Director	20/03/2006	20/03/2006	03/07/2013	Active	NO
4	U51909WB1995PTC075859	ADITI COMMODITIES PRIVATE LIMITED	Director	07/04/2008	07/04/2008	-	Active	NO

Name :

Mr. Naresh Kumar Agarwal

Designation :

Director

Address :

CF – 307, Salt Lake City, Kolkata – 700064, West Bengal, India

Date of Birth/Age :

09.11.1963

Date of Appointment :

30.09.2008

PAN No.:

ACWPA9873H

DIN No.:

01020334

Other Directorships:

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	U51494WB1995PTC074930	MOHTA AGENCIES PVT LTD	Director	01/12/1997	01/12/1997	-	Active	NO
2	U65993WB1994PTC062001	R A COMPUTECH INVESTMENT & CONSULTANT PVT LTD	Director	18/11/2002	18/11/2002	-	Active	NO
3	U27109WB2003PLC096242	JAI HANUMAN UDYOG LIMITED	Director	23/05/2003	23/05/2003	17/05/2010	Active	NO
4	U40200OR2004PTC007920	ANKITA AIR PRODUCTS PRIVATE LIMITED	Director	31/12/2004	31/12/2004	-	Active	NO
5	U36999WB2005PTC104731	HR BUSINESS PRIVATE LIMITED	Director	12/08/2005	12/08/2005	-	Active	NO
6	U74200WB2006PTC109217	POOJA WELDING PRIVATE LIMITED	Director	31/07/2007	31/07/2007	-	Amalgamated	NO
7	U27102WB2004PTC098699	KRITIKA WIRES PRIVATE LIMITED	Director	30/09/2008	30/09/2008	-	Active	NO
8	U51909WB1995PTC075859	ADITI COMMODITIES PRIVATE LIMITED	Director	01/07/2009	01/07/2009	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Sandeep Gupta
Designation :	Assistant Manager (Marketing and Sales)

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 28.09.2013)

Name of Shareholders	No of Shares
Anil Kumar Mittal	5000
Sanjeev Kumar Binani	5000
Alltime Suppliers Private Limited, India	70000
Santosh Agarwal	160000
Sulochana Garg	770000
Naresh Kumar Agarwal	870000
Naresh Kumar Agarwal (HUF)	40000
R. A. Computech Private Limited, India	485000
Mohta Agencies Private Limited, India	380000
Balaji Electrodes Private Limited, India	260000
Aditi Commodities Private Limited, India	20000
Bluebird Dealers Private Limited, India	280000
Panchshul Merchants Private Limited, India	237500
Total	3582500

(AS ON 22.03.2014)

Name of Allottee	No of Shares Allotted
Panchshul Merchants Private Limited, India	762500
Gunnayak Commercial Private Limited, India	1725000
Total	2487500

(AS ON 30.09.2013)

Equity Shares Break – up

Category	Percentage
Bodies corporate	48.36
Directors or relatives of directors	51.50
Others	0.14
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer, Supplier and Exporter of a wide range of high quality Galvanized Wire and Industrial Steel Wires.
Exports :
Products :	Galvanized Wire and Industrial Steel Wires
Countries :	Bangladesh
Imports :
Products :	Raw Materials
Countries :	China
Terms :
Selling :	Cash and Cheque
Purchasing :	Cash and Cheque

GENERAL INFORMATION

Customers :

· West Bengal Electricity Bord

· L and T

· Godrej

· IL and FS Engineering Infrastructure Construction

No. of Employees :

100 (Approximately)

Bankers :

· State Bank of India

SME Branch, Bhowanipore, ‘Premlata’, 2^nd Floor, 39 Shakespeare Sarani, Kolkata – 700017, West Bengal, India

Facilities :

Cash Credit – Rs.210.000 Millions/ Term Loans – Rs.50.000 Millions

Secured Loans	31.03.2013	31.03.2012
	(Rs. In Millions)
Long Term Borrowings
Term loans from banks (Factory Land, Shed, Building, Plant and Machinery, Furniture and Fixture)	28.000	39.990
Short Term Borrowings
Working capital loans from banks	179.449	84.925
Total	207.449	124.915

Banking Relations :	--
Auditors :
Name :	S. K. Bhartia and Associates Chartered Accountants
Address :	39, Strand Road, 4^th Floor, Room No.75, Kolkata – 700001, West Bengal, India
PAN No.:	ADUPB4014G
Associates/Subsidiaries :	· Plastic Electrical India Limited Kolkata, West Bengal, India
Other Related Parties :	· Classic Electrodes (India) Limited, India · Alltime Suppliers Private Limited, India

CAPITAL STRUCTURE

(AS ON 28.09.2013)

Authorised Capital:

No. of Shares	Type	Value	Amount
8000000	Equity Shares	Rs.10/- each	Rs.80.000 Millions

Issued, Subscribed & Paid-up Capital:

No. of Shares	Type	Value	Amount
6070000	Equity Shares	Rs.10/- each	Rs.60.700 Millions

(AS ON 31.03.2013)

Authorised Capital:

No. of Shares	Type	Value	Amount
8000000	Equity Shares	Rs.10/- each	Rs.80.000 Millions

Issued, Subscribed & Paid-up Capital:

No. of Shares	Type	Value	Amount
3582500	Equity Shares	Rs.10/- each	Rs.35.825 Millions

FINANCIAL DATA

[All figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	35.825	33.450	30.650
(b) Reserves & Surplus	129.773	113.296	85.024
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	19.000
Total Shareholders’ Funds (1)+(2)	165.598	146.746	134.674
(3) Non-Current Liabilities
(a) long-term borrowings	99.815	110.461	103.930
(b) Deferred tax liabilities (Net)	6.291	0.661	0.000
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	106.106	111.122	103.930
(4) Current Liabilities
(a) Short term borrowings	179.449	84.925	98.878
(b) Trade payables	107.468	65.199	124.958
(c) Other current liabilities	39.885	25.300	7.995
(d) Short-term provisions	4.056	0.890	0.874
Total Current Liabilities (4)	330.858	176.314	232.705
TOTAL	602.562	434.182	471.309
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	166.400	186.442	175.586
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	3.749	0.000	16.084
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.200	0.200	0.200
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	0.100	0.000	0.000
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	170.449	186.642	191.870
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	70.663	90.618	97.283
(c) Trade receivables	326.433	127.345	145.384
(d) Cash and cash equivalents	11.200	4.637	7.405
(e) Short-term loans and advances	23.434	24.850	29.292
(f) Other current assets	0.383	0.090	0.075
Total Current Assets	432.113	247.540	279.439
TOTAL	602.562	434.182	471.309

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Revenue from Operations	1060.000 (Approx.)	768.139	349.494
		Other Income	NA	15.911	0.167
		TOTAL (A)	NA	784.050	349.661
Less	EXPENSES
		Increase/(Decrease) in Stock	NA	(12.479)	(32.970)
		Cost of materials Consumed	NA	604.322	358.101
		Purchases of Stock in Trade	NA	134.004	13.091
		Benefits to Employee	NA	3.062	1.498
		Administrative and Other Expenses	NA	2.899	0.909
		TOTAL (B)	NA	731.808	340.629
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		NA	52.242	9.032
Less	FINANCIAL EXPENSES (D)		NA	27.200	7.928
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		NA	25.042	1.104
Less/ Add	DEPRECIATION/ AMORTISATION (F)		NA	20.371	6.228
	PROFIT BEFORE TAX (E-F) (G)		NA	4.671	(5.124)
Less	TAX (H)		NA	1.600	(0.320)
	PROFIT AFTER TAX (G-H) (I)		7.853	3.071	(4.804)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		1.245	(1.826)	2.978
	BALANCE CARRIED TO THE B/S		9.098	1.245	(1.826)
	Earnings Per Share (Rs.)		2.19	0.92	--

Expected Sales (2013-14): Rs.1250.000 Millions

The above information has been parted by Mr. Sandeep Gupta.

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	NA	0.39	(1.37)
Net Profit Margin (PBT/Sales)	(%)	NA	0.61	(1.47)
Return on Total Assets (PBT/Total Assets}	(%)	NA	1.08	(1.13)
Return on Investment (ROI) (PBT/Networth)		NA	0.03	(0.04)
Debt Equity Ratio (Total Debt/Networth)		1.69	1.33	1.51
Current Ratio (Current Asset/Current Liability)		1.31	1.40	1.20

FINANCIAL ANALYSIS

[All figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2011	31.03.2012	31.03.2013
	(INR in Mlns.)	(INR in Mlns.)	(INR in Mlns.)
Share Capital	30.650	33.450	35.825
Reserves & Surplus	85.024	113.296	129.773
Shares Application Money Pending Allotment	19.000	0.000	0.000
Net worth	134.674	146.746	165.598
long-term borrowings	103.930	110.461	99.815
Short term borrowings	98.878	84.925	179.449
Total borrowings	202.808	195.386	279.264
Debt/Equity ratio	1.506	1.331	1.686

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

------------------------------------------------------------------------------------------------------------------------------

CALCUTTA HIGH COURT

CASE STATUS INFORMATION SYSTEMS

Case Status     :   Pending

Status of COMPANY PETITIONS (CP) 486 of 2013

RE: GENERAL CEMENT PRODUCTS PRIVATE LIMITED - AND VS. KRITIKA WIRES PRIVATE LIMITED

Pet's Adv.        :   PRASHANT AGARWAL                   

Res's Adv.       :   --

Court No.

8

Last Listed on

Monday, March 03, 2014

Category           :   NO CATEGORY MENTIONED

CONNECTED APPLICATION (S) No Connected Application

CONNECTED MATTER (S) No Connected Matter

Case Updated on:   Saturday, March 01, 2014 

------------------------------------------------------------------------------------------------------------------------------

UNSECURED LOANS

Particulars	31.03.2013	31.03.2012
	(Rs. In Millions)
Long Term Borrowings
Loans repayable on demand from others	71.815	70.471
Total	71.815	70.471

CONTINGENT LIABILITIES

Particulars	31.03.2013	31.03.2012
	(Rs. In Millions)
Contingent Liabilities are not recognised but disclosed by way of Notes while Contingent assets are neither recognised nor disclosed.
Guarantees	12.987	7.435
Total	12.987	7.435

INDEX OF CHARGES:

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10397652	03/06/2013 *	293,000,000.00	State Bank of India	SME BRANCH: BHOWANIPORE, 'PREMLATA', 2ND FLOOR, 3  9, SHAKESPEARE SARANI, KOLKATA, WEST BENGAL - 700017, INDIA	B77948495
2	80041400	09/12/2011 *	200,000,000.00	BANK OF BARODA	INDIA EXCHANGE BRANCH, 4, INDIA EXCHANGE PLACE, KOLKATA, WEST BENGAL - 700001, INDIA	B28352292

* Date of charge modification

FIXED ASSETS:

· Land

· Buildings

· Residential, Office, Factory Building

· Plant and Equipment

· Furniture and Fixtures

· Vehicles

· Motor Vehicles

· Office Equipment

· Computer

· Other Equipments

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.59.95
UK Pound	1	Rs.99.36
Euro	1	Rs.82.15

INFORMATION DETAILS

Information Gathered by :	PRT
Analysis Done by :	KAR
Report Prepared by :	NIT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	4
--RESERVES	1~10	4
--CREDIT LINES	1~10	4
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	YES
--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		34

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.