MIRA INFORM REPORT

Report Date :

08.04.2014

IDENTIFICATION DETAILS

Name :	KSE ELECTRICALS PRIVATE LIMITED
Registered Office :	33 A, Chowringhee Road, 7^th Floor, Block 9, Kolkata - 700 071, West Bengal
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	15.07.1996
Com. Reg. No.:	21-080466
Capital Investment / Paid-up Capital :	Rs.41.712 Millions
CIN No.: [Company Identification No.]	U51505WB1996PTC080466
TAN No.: [Tax Deduction & Collection Account No.]	CALK03248A
PAN No.: [Permanent Account No.]	AABCK1911C
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Transmission and Distribution Line Hardware’s Cable Terminals, Lugs and Connectors, Earthing and Lightening Protection Materials.
No. of Employees :	Information declined by the management

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

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

Maximum Credit Limit :	USD 1100000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. The company possesses an above average financial profile marked by decent networth base. The power sector has witnessed tremendous growth as a result the management has reported as improvement in its sales volume as well as net profitability during 2013. The ratings also take into consideration the working capital intensive operations. However, the repayment of its majority of debt burden and infusion of funds from the part of promoters may slightly ease the liquidity profile of the company. Trade relations are fair. Business is active. Payment terms are reported as usually correct. In view of established track, the subject 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 – 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 = BBB-
Rating Explanation	Moderate degree of safety and moderate credit risk
Date	09.01.2014

Rating Agency Name	CRISIL
Rating	Short term Rating = A3
Rating Explanation	Moderate degree of safety and higher credit risk
Date	09.01.2014

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 DECLINED

Management Non-Cooperative (91-33-22887600)

LOCATIONS

Registered Office :	33 A, Chowringhee Road, 7^th Floor, Block 9, Kolkata - 700 071, West Bengal, India
Tel. No.:	91-33-22887600 / 01 / 02
Fax No.:	91-33-22887603 / 05
E-Mail :	kselugs@vsnl.com accounts@kse.in
Website :	http://www.kse.in
Factory :	3rd Main Road, 4th Left Lane, National Highway No. 6, P.O. Begri, Howrah - 711 411, West Bengal, India
E-Mail :	factory@kse.in

DIRECTORS

As on 30.09.2013

Name :

Mr. Gautam Banka

Designation :

Director

Address :

4, HO, Chiminh Sarani, Kolkata – 700 071, West Bengal, India

Date of Birth/Age :

05.09.1978

Date of Appointment :

18.08.2000

PAN No.:

ADSPB9407H

DIN No.:

00800600

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U51505WB1999PTC088679	KSE EXPORTS PRIVATE LIMITED	Managing director	21-01-99	21-01-99	Active	NO
2	U51505WB1996PTC080466	KSE ELECTRICALS PRIVATE LIMITED	Director	18-08-00	18-08-00	Active	NO
3	U70101WB1986PTC040694	LYONS PROPERTIES PRIVATE LIMITED	Director	13-01-07	13-01-07	Active	NO

Name :

Mr. Siddharth Banka

Designation :

Director

Address :

4, HO, Chiminh Sarani, Kolkata – 700 071, West Bengal, India

Date of Birth/Age :

05.09.1978

Date of Appointment :

11.04.2007

PAN No.:

AEEPB5465J

DIN No.:

00800647

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U31300WB1999PTC089592	UML ENGINEERS PRIVATE LIMITED	Managing director	10-06-99	10-06-99	Active	NO
2	U51909WB1995PTC068997	MADHULIKA DEALCOMM PRIVATE LIMITED	Director	27-02-07	27-02-07	Active	NO
3	U51505WB1996PTC080466	KSE ELECTRICALS PRIVATE LIMITED	Director	11-04-07	11-04-07	Active	NO

Name :

Mr. Anand Banka

Designation :

Director

Address :

4, HO, Chiminh Sarani, Kolkata – 700 071, West Bengal, India

Date of Birth/Age :

28.02.1983

Date of Appointment :

11.04.2007

PAN No.:

AHXPB8643E

DIN No.:

01314765

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U51505WB1999PTC088679	KSE EXPORTS PRIVATE LIMITED	Director	11-08-05	11-08-05	Active	NO
2	U51505WB1996PTC080466	KSE ELECTRICALS PRIVATE LIMITED	Director	11-04-07	11-04-07	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2013

Names of Shareholders	No. of Shares
Kumkum Banka	647976
Gautam Banka	669600
Siddharth Banka	762400
Anand Banka	595650
Nicky Banka	400000
Namrata Banka	196000
Rashmi Banka	447000
Gautam Banka (HUF)	30924
Siddharth Banka (HUF)	60000
Janki Das Hanumam Bux	300
Amit Agarwal	300
Sabita Agarwal	300
KSE Enterprise Solutions Private Limited, India	383250
Total	4193700

As on 30.09.2013

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Bodies corporate	9.14
Directors or relatives of Directors	90.84
Other top fifty shareholders	0.02
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Exporter of Transmission and Distribution Line Hardware’s Cable Terminals, Lugs and Connectors, Earthing and Lightening Protection Materials.
Products :	· Cu. Lugs - Tubular · Cu. Connectors · Alum. Lugs  · Alum. Connectors · Bimetallic Lugs  · Cu. Soldering Lugs · Custom Made Terminals · Shear Head Terminals · Over Head Transmission Hardwares · Cu. and Alum. Busbars · Copper Terminals · Snap On Terminals

GENERAL INFORMATION

No. of Employees :

Information declined by the management

Bankers :

· The Bank of Rajasthan Limited, Chowringhee Road Branch, 31, Chowringhee Road, Kolkata – 700 016, West Bengal, India

· State Bank of India, Overseas Branch, Samriddhi Bhavan, 1 Strand Road, Kolkata - 700 001, West Bengal, India

· ICICI Bank Limited Regional Office-Kolkata, 2B, Gorky Terrace, Infront of Park Nursing Home, Kolkata - 700017, West Bengal, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2013	As on 31.03.2012
Long-term borrowings
Rupee term loans from banks	0.484	8.826
Term loans from others	0.000	0.051
Short-term borrowings
Rupee term loans from banks	222.314	0.000
Loans repayable on demand from banks	0.000	212.956
Total	222.798	221.833

Banking Relations :	---
Auditors :
Name :	R Tulsian and Company Chartered Accountants
Address :	7/1 C, Jatindra Mohan Avenue, Kolkata - 700 006, West Bengal, India
Tel. No.:	91-33-25431785 / 2270 / 2271
Fax No.:	91-33-25432270
E-Mail :	tulsian_tax@hotmail.com
PAN No.:	AAGFR4955B
Company Under Common Control :	KSE Exports Private Limited

CAPITAL STRUCTURE

As on 30.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
5000000	Equity Shares	Rs.10/- each	Rs.50.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
4193700	Equity Shares	Rs.10/- each	Rs.41.937 Millions

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
5000000	Equity Shares	Rs.10/- each	Rs.50.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
4171200	Equity Shares	Rs.10/- each	Rs.41.712 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	41.712	13.128	11.850
(b) Reserves & Surplus	245.756	230.401	182.742
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	3.400	10.300	0.000
Total Shareholders’ Funds (1) + (2)	290.868	253.829	194.592
(3) Non-Current Liabilities
(a) long-term borrowings	37.734	66.553	114.255
(b) Deferred tax liabilities (Net)	19.741	16.773	11.044
(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)	57.475	83.326	125.299
(4) Current Liabilities
(a) Short term borrowings	222.314	212.956	197.667
(b) Trade payables	227.449	270.200	238.811
(c) Other current liabilities	0.000	0.000	0.000
(d) Short-term provisions	10.506	5.939	10.726
Total Current Liabilities (4)	460.269	489.095	447.204
TOTAL	808.612	826.250	767.095
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	194.576	185.140	145.115
(ii) Intangible Assets	4.760	5.637	2.980
(iii) Capital work-in-progress	0.000	0.000	18.831
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.000	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	1.575	1.536	1.536
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	200.911	192.313	168.462
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	223.607	156.660	168.196
(c) Trade receivables	253.590	394.909	290.068
(d) Cash and cash equivalents	14.249	15.225	9.119
(e) Short-term loans and advances	116.255	67.143	131.250
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	607.701	633.937	598.633
TOTAL	808.612	826.250	767.095

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income	1255.401	1077.359	1149.507
		Other Income	21.963	25.441	27.426
		TOTAL (A)	1277.364	1102.800	1176.933
Less	EXPENSES
		Variation in Stocks	(45.803)	2.679	33.791
		Other expenses	1228.917	1015.525	1056.145
		TOTAL (B)	1183.114	1018.204	1089.936
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		94.250	84.596	86.997
Less	FINANCIAL EXPENSES (D)		39.951	40.555	32.093
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		54.299	44.041	54.904
Less/ Add	DEPRECIATION/ AMORTISATION (F)		10.521	8.933	6.310
	PROFIT BEFORE TAX (E-F) (G)		43.778	35.108	48.594
Less	TAX (H)		15.368	11.722	15.492
	PROFIT AFTER TAX (G-H) (I)		28.410	23.386	33.102
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		111.978	88.592	55.490
	BALANCE CARRIED TO THE B/S		140.388	111.978	88.592
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	639.573	324.025	232.525
	TOTAL EARNINGS		639.573	324.025	232.525
	Earnings Per Share (Rs.)
	Basic		21.64	17.81	27.93
	Diluted		20.43	17.14	27.93

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	2.22	2.12	2.81
Net Profit Margin (PBT/Sales)	(%)	3.49	3.26	4.23
Return on Total Assets (PBT/Total Assets}	(%)	5.41	4.25	6.49
Return on Investment (ROI) (PBT/Networth)		0.15	0.14	0.25
Debt Equity Ratio (Total Debt /Networth)		0.89	1.10	1.60
Current Ratio (Current Asset/Current Liability)		1.32	1.30	1.34

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2011	31.03.2012	31.03.2013
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Share Capital	11.850	13.128	41.712
Reserves & Surplus	182.742	230.401	245.756
Share Application money pending allotment	0.000	10.300	3.400
Net worth	194.592	253.829	290.868
long-term borrowings	114.255	66.553	37.734
Short term borrowings	197.667	212.956	222.314
Total borrowings	311.922	279.509	260.048
Debt/Equity ratio	1.603	1.101	0.894

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2011	31.03.2012	31.03.2013
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	1149.507	1077.359	1255.401
		(6.276)	16.526

NET PROFIT MARGIN

Net Profit Margin	31.03.2011	31.03.2012	31.03.2013
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	1149.507	1077.359	1255.401
Profit	33.102	23.386	28.410
	2.88%	2.17%	2.26%

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	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	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

REVIEW OF OPERATIONS:

The Power Sector across the world including India has witnessed tremendous growth and your company has taken benefit of the situation by up scaling its operation into the Main Stream Activities which included New Market Development, New Product Range, Expansion in the Plant and Modernatization of Office Facilities. The Company admirably reported Net Sales of 1255.401 Million Rupees during the financial year ended March 31, 2012 as compared to 1077.358 Million Rupees during the previous financial year.

OPERATION AND FUTURE OUTLOOK:

The Company has made forays into new markets thereby strengthening its position into the Global Market. The Company Order Book stands to the tune of Rs. 600.000 Millions from the overseas market. The Directors are hopeful of multiplying the gross turnover of the Company during the ensuing financial year.

Our performance during the year has been extremely good on the back of some strategic initiatives. They have expanded our presence in Global Market. The Company enjoys a rich heritage. They are focused on building on this platform by putting in place all the ingredients for a strong future.

UNSECURED LOAN

Rs. In Millions

Particular	As on 31.03.2013	As on 31.03.2012
Long-term borrowings
Loans repayable on demand from others	3.027	5.284
Intercorporate borrowings	34.001	52.170
Deposits from others	0.222	0.222
Total	37.250	57.676

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10450925	20/09/2013	498,000,000.00	STATE BANK OF INDIA (LEAD BANK)	OVERSEAS BRANCH, KOLKATA, SAMRIDDHI BHAVAN, BLOCK -A, 1, STRAND ROAD, KOLKATA, WEST BENGAL - 700001,  INDIA	B85686244
2	10402033	28/05/2013 *	130,000,000.00	ICICI BANK LIMITED	REGIONAL OFFICE-KOLKATA, 2B, GORKY TERRACE, INFRONT OF PARK NURSING HOME, KOLKATA, WEST BENGAL - 70  0017, INDIA	B76350370
3	10197068	20/09/2013 *	498,000,000.00	STATE BANK OF INDIA (LEAD BANK)	OVERSEAS BRANCH, KOLKATA, SAMRIDDHI BHAVAN, BLOCK -A, 1, STRAND ROAD, KOLKATA, WEST BENGAL - 700001,  INDIA	B85695039

* Date of charge modification

FIXED ASSETS

· Plant and Machinery

· Dies and Moulds

· Stores Equipments

· Factory Development

· Stores Development

· Factory Furniture

· Stores Furniture

· Electrical Fitting – Factory

· Electrical Fitting – Stores

· Tools and Implement

· Office Equipments

· Software

· Computer

· Office Development

· Office Furniture

· Car

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.59.95
UK Pound	1	Rs.99.36
Euro	1	Rs.82.15

INFORMATION DETAILS

Information Gathered by :	PDT
Analysis Done by :	SUB
Report Prepared by :	NTH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--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		47

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	--

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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.