MIRA INFORM REPORT

Report Date :

12.04.2014

IDENTIFICATION DETAILS

Name :	REGENT GRANITO (INDIA) LIMITED
Registered Office :	P O Hajipur, Near Sabar Dairy, N.H. 8 Himatnagar – 383120, Gujarat
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	10.10.2003
Com. Reg. No.:	04-043039
Capital Investment / Paid-up Capital :	Rs. 84.000 Millions
CIN No.: [Company Identification No.]	U26933GJ2003PLC043039
TAN No.: [Tax Deduction & Collection Account No.]	AHMR02678E/ AHMR02372G
PAN No.: [Permanent Account No.]	AACCR5441B
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer and Exporter of Vitrified Tiles.
No. of Employees :	600 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (32)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 1103824
Status :	Moderate
Payment Behaviour :	Slow but Correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. The rating takes into consideration RGIL’S moderate financial risk profile marked by thin profitability margins. 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.

Country Risk Classification List – December 1, 2013

Country Name	Previous Rating (30.06.2013)	Current Rating (30.09.2013)
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

State-run banks hired nearly 300000 personnel including more than 94000 officers in the last four years, according to the Indian Banks Association. A study by trade lobby Assocham in September 2013 indicated that banks would need 800000 people in the next six years. It estimated that state-run lenders alone would hire 50000 people in 2013/14.

The Competition Commission of India plans to issue final orders within a broad time-frame of one year in matters where it decides to carry out detailed investigations. The number of complaints received by the watchdog which keeps tabs on unfair trade practices in the marketplace.

The government has detected custom tax evasion totaling around Rs 37920 mn in 14 states until December. Maharashtra topped the list of Rs 14190 mn followed by Andhra Pradesh at Rs 8140 mn, Gujarat Rs 5240 mn, Karnataka Rs 1670 mn and Tamilnadu Rs 1610 mn.

Connaught Place in New Delhi slipped four notches to become the world’s eighth most expensive office locations. London’s West End is the world’s most expensive office market.

There are 4.072 mn number of high value spenders under the scanner of the income tax department. The income tax department has information that they have made cash deposits announcing to Rs 1 mn or more in their savings bank accounts in the current financial year. It plans to check potential evasion before the closing of the financial year on March 31.

Estimated pharmaceutical sales in the country for 2016 is $ 27 bn. It is 14.4 per cent higher than a year ago. The life sciences and health care industry is up against challenges such as quality management, says a recent Deloitte report.

The gross non-performing assets of listed banks rose 35.2 % to Rs 2.43 lakh crore during the first three months of the financial year. In absolute terms, the 40 listed banks added Rs 3386 crore to their gross NPAs in nine months with the State Bank of India leading with the State Bank of India leading with an accretion of Rs 16610 crore.

The inflow of smuggled gold doubled in 2013 following restrictions to curb the supply from official channels to contain the current account deficit. China surpassed India in the demand for gold for the first time in 2013 due to liberalization of gold trading norms by its local governments.

EXTERNAL AGENCY RATING

Rating Agency Name	CARE
Rating	Long Term Borrowings BB
Rating Explanation	Moderate risk of default and high Credit Risk.
Rating	Short Term Borrowings A4
Rating Explanation	Minimal degree of safety and very high credit risk.
Date	10.03.2014

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 PARTED BY

Name :	Mr. P C Patel
Designation :	Director
Contact No.:	91-9377764122
Date :	03.04.2014

LOCATIONS

Registered Office / Factory 1 :	P O Hajipur, Near Sabar Dairy, N.H. 8 Himatnagar – 383120, Gujarat, India
Tel. No.:	91-2772-226247/248
Fax No.:	91-2772-226259/468
E-Mail :	pcpatel@regentgranite.com
Website :	http://www.regentgranito.com

DIRECTORS

AS ON 30.09.2013

Name :

Mr. Kacharabhai Rajabhai Patel

Designation :

Managing Director

Address :

At – Rampur Nava, Post Ganthiyol, Ta-Idar, District – Sabarkantha, Rampur Nava – 383 410, Gujarat, India

Date of Birth/Age :

15.04.1966

Date of Appointment :

01.09.2009

Qualification

S.S.C

PAN No.:

AFZPP6291G

DIN No.:

00075029

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	U26999GJ2002PTC041112	CLASSIC MICROTECH PRIVATE LIMITED	Director	13-08-02	13-08-02	-	Active	NO
2	U24230GJ1995PTC025502	NEON PHARMACEUTICAL PRIVATE LIMITED	Managing director	10-10-03	10-10-03	02-07-10	Active	NO
3	U26933GJ2003PLC043039	REGENT GRANITO (INDIA) LIMITED	Managing director	01-09-09	10-10-03	-	Active	NO
4	U26914GJ2008PTC052518	RICASIL CERAMIC INDUSTRIES PRIVATE LIMITED	Director	02-01-08	02-01-08	-	Active	NO
5	U26933GJ2010PTC062398	SEAZONE GRANITO PRIVATE LIMITED	Director	23-09-10	23-09-10	23-12-11	Active	NO
6	U24100GJ2011PLC065904	SHAILON BIOTECH LIMITED	Director	14-06-11	14-06-11	-	Active	NO
7	U26933GJ2012PTC069878	FARRON CERAMICS PRIVATE LIMITED	Director	16-04-12	16-04-12	-	Active	NO
8	U26999GJ2012PTC071353	OZONE CERAMIC PRIVATE LIMITED	Director	30-07-12	30-07-12	-	Active	NO

Name :

Mr. Tejas Sureshchandra Gandhi

Designation :

Whole Time Director

Address :

C – 202, Chinmay Tower, Abhishek Row House, Vishrnu Bunglow, Memnagar, Ahmedabad – 380 052, Gujarat, India

Date of Birth/Age :

04.03.1972

Date of Appointment :

01.07.2011

Qualification

B.COM

PAN No.:

ABQPG3298R

DIN No.:

00048130

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	U24230GJ1995PTC025502	NEON PHARMACEUTICAL PRIVATE LIMITED	Whole-time director	16-01-06	16-01-06	02-07-10	Active	NO
2	U26933GJ2003PLC043039	REGENT GRANITO (INDIA) LIMITED	Whole-time director	01-07-11	16-01-06	-	Active	NO
3	U52100GJ2008PTC052862	SUMERU TRADELINK PRIVATE LIMITED	Director	08-02-08	08-02-08	-	Active	NO
4	U74999DL1990NPL038848	INDIAN COUNCIL OF CERAMIC TILES AND SANITARYWARE	Director	13-03-08	13-03-08	-	Active	NO
5	U51430GJ2009PTC056790	REGENT BUILDMART PRIVATE LIMITED	Director	01-05-09	01-05-09	-	Active	NO
6	U52190GJ2009PTC056788	REGENT RETAIL PRIVATE LIMITED	Director	01-05-09	01-05-09	-	Active	NO

Name :

Mr. Ramanbhai Keshabhai Patel

Designation :

Whole Time Director

Address :

At – Narsinhpura, Post – Kukadiya, Tauka- Idar, District – Sabarkantha, Narshinpura – 383 430, Gujarat, India

Date of Birth/Age :

01.06.1951

Date of Appointment :

01.09.2009

Qualification

S.S.C

PAN No.:

ABYPP7377A

DIN No.:

00048159

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	U24230GJ1995PTC025502	NEON PHARMACEUTICAL PRIVATE LIMITED	Whole-time director	10-10-03	10-10-03	02-07-10	Active	NO
2	U26933GJ2003PLC043039	REGENT GRANITO (INDIA) LIMITED	Whole-time director	01-09-09	10-10-03	-	Active	NO
3	U26914GJ2008PTC052518	RICASIL CERAMIC INDUSTRIES PRIVATE LIMITED	Director	02-01-08	02-01-08	-	Active	NO
4	U26933GJ2012PTC069878	FARRON CERAMICS PRIVATE LIMITED	Director	16-04-12	16-04-12	-	Active	NO

Name :

Mr. Shantilal Ramabhai Patel

Designation :

Director

Address :

Hajipura, Himatnagar, Sabarkantha, Himatnagar – 383 120, Gujarat, India

Date of Birth/Age :

11.09.1954

Date of Appointment :

15.04.2008

DIN No.:

02260031

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	U26933GJ2003PLC043039	REGENT GRANITO (INDIA) LIMITED	Director	15-04-08	15-04-08	-	Active	NO
2	U26914GJ2007PTC050078	SINOMA CERAMICS PRIVATE LIMITED	Director	28-09-11	28-09-11	-	Active	NO

Name :

Mr. Deepak Kumar Keshubhai Patel

Designation :

Director

Address :

Laxmimanpura Goral, Idar, Sabarkantha - 383430, Gujarat, India

Date of Birth/Age :

01.07.1978

Date of Appointment :

15.04.2008

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2013

NAME OF SHAREHOLDERS	NOS. OF SHARES
Kacharabhai Rajabhai Patel	153725
Ramanbhai Keshabhai Patel	87500
Hasmukhbhai Mohanbhai Patel	161865
Kamleshbhai Dahyabhai Patel	31000
Amichandbhai Punjabhai Patel	82000
Ashvinbhai Amrutbhai Patel	43000
Amrutbhai Dhanabhai Patel	15750
Amrutbhai Parshotambhai Patel	83000
Amrutbhai Pashabhai Patel	51000
Bhaveshbhai Dhulabhai Patel	82000
Bhikhabhai Ranchodbhai Patel	159130
Chandubhai Parshotambhai Patel	72000
Dahyabhai Bhagabhai Patel	83000
Dharmendrabhai Shaimtubhai Patel	58360
Dineshbhai Ramanbhai Patel	38100
Dipakbhaijaychandbhai Patel	81000
Hasmukhbhai Pashabhai Patel	31800
Jasvantbhai Dahyabhaipatel	30000
Jasubhai Ramabhai Patel	122000
Jayntibhai Parshotambhai Patel	24800
Jivabhai Bhagabhai Patel	72000
Jivabhai Shavabhai Patel	82000
Kacharabhai Amrutbhai Patel	32000
Lakhuben Ramanbhai Patel	25000
Maheshbhai Sankabhai Patel	82000
Mukeshbhai Kodarbhai Patel	22500
Mukeshkumar Babubhai Patel	25200
Nagindas Jummabhai Gandhi	82000
Narayanbhai Kalabhai Patel	81000
Narayanbhai Manganbhai Patel	82000
Nareshbhai Dahyabhai Patel	21000
Narsinhbhai Pashabhai Patel	55150
Pashabhai Kamabhai Patel	41000

AS ON 30.09.2013

Equity Shares Break Up	Percentage of Holding
Bodies corporate	3.41
Directors or relatives of Directors	30.99
Other top fifty shareholders	65.60
TOTAL	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Vitrified Tiles.

Products :

Item Code No. (ITC Code)	69071010
Product Description	Vitrified Tiles

Exports :

Products :

Vitrified Tiles.

Terms :

Selling :

Cheque, Cash, Credit (30 days)

Purchasing :

Cheque, Cash, Credit (30 days)

PRODUCTION STATUS (AS ON 31.03.2011)

Particulars	Unit	Licensed Capacity	Installed Capacity
Vitrified Tiles	(Sq. Mtr)	14000 Per day	14000 Per Day

Particulars	Unit	Production (Qty)
Vitrified Tiles	Box	2424170

GENERAL INFORMATION

Customers :	Wholesalers, Retailers, and End Users
No. of Employees :	6z00 (Approximately)
Bankers :	State Bank of India, Commercial Branch, 3^rd Floor, Paramsiddhi Complex, Opposite V.S. Hospital, Ellisbridge, Ahmedabad – 380 006, Gujarat, India

Facilities :

Secured Loan	31.03.2013 (Rs. In millions)	31.03.2012 (Rs. In millions)
Term Loan from Bank	67.418	110.542
Loans Repayable on Demand from Bank	385.699	316.620
Total	453.117	427.162

Banking Relations :	--
Auditors :
Name :	K.K. Patel and Associates Chartered Accountants
Address :	F-51, 2^nd Floor, Akash Ganga Complex, Near S.T. Stand, Himatnagar – 383 001, Gujarat, India
Tel. No.:	91-2772-240499
Mobile No.:	91-9898044121
E-Mail :	kamleshpatel74@hotmail.com
PAN No.:	AGPPP6687D
Associates:	Swiso Impex Seazone Granito Private Limited Classic Microtech Private Limited Sonata Ceramica Private Limited

CAPITAL STRUCTURE

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
8500000	Equity Shares	Rs.10/- each	Rs.85.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
8400000	Equity Shares	Rs.10/- each	Rs.84.000 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	84.000	84.000	84.000
(b) Reserves & Surplus	191.956	186.381	171.593
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	0.000
Total Shareholders’ Funds (1) + (2)	275.956	270.381	255.593
(3) Non-Current Liabilities
(a) long-term borrowings	180.348	225.278	127.442
(b) Deferred tax liabilities (Net)	33.045	28.638	22.256
(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)	213.393	253.916	149.698
(4) Current Liabilities
(a) Short term borrowings	385.700	316.620	243.249
(b) Trade payables	278.600	203.126	161.146
(c) Other current liabilities	82.625	33.994	58.448
(d) Short-term provisions	2.500	25.893	19.00
Total Current Liabilities (4)	749.425	579.633	481.843
TOTAL	1238.774	1103.930	887.134
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	389.537	405.052	265.799
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000	56.903
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.030	0.030	0.030
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	8.424	7.827	16.702
0(e) Other Non-current assets	0.000	0.000	0.000
T0otal Non-Current Assets	397.991	412.909	339.434
(2) Current assets
(a) Current investments	24.037	13.680	12.968
(b) Inventories	545.651	448.398	290.472
(c) Trade receivables	208.472	187.503	191.449
(d) Cash and cash equivalents	13.595	18.630	24.247
(e) Short-term loans and advances	49.028	22.810	28.564
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	840.783	691.021	547.700
TOTAL	1238.774	1103.930	887.134

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income	1381.548	1307.748	1230.710
		Other Income	4.509	5.312	4.100
		TOTAL (A)	1386.057	1313.060	1234.810
Less	EXPENSES
		Cost of material consumed	284.993	377.575	314.446
		Purchase of Stock-in-trade	302.770	143.161	58.491
		Changes in inventories of finished goods, work-in-progress and stock-in-trade	(109.650)	(124.525)	60.922
		Employee benefit	51.132	57.417	47.140
		Other expenses	728.284	738.572	624.811
		TOTAL (B)	1257.529	1192.200	1105.810
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		128.528	120.860	129.000
Less	FINANCIAL EXPENSES (D)		74.098	57.971	39.719
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		54.430	62.889	89.281
Less/ Add	DEPRECIATION/ AMORTISATION (F)		41.928	42.488	41.913
	PROFIT BEFORE TAX (E-F) (G)		12.502	20.401	47.368
Less	TAX (H)		6.928	5.612	17.601
	PROFIT AFTER TAX (G-H) (I)		5.574	14.789	29.767
	Earnings Per Share (Rs.)		0.66	1.76	3.54

Expected Sales (2013-2014) : Rs.150.000 Millions

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	0.40	1.13	2.40
Net Profit Margin (PBT/Sales)	(%)	0.90	1.56	3.85
Return on Total Assets (PBT/Total Assets}	(%)	1.01	1.85	5.71
Return on Investment (ROI) (PBT/Networth)		0.04	0.08	0.18
Debt Equity Ratio (Total Debt /Networth)		2.05	2.00	1.45
Current Ratio (Current Asset/Current Liability)		1.12	1.19	1.14

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	84.000	84.000	84.000
Reserves & Surplus	171.593	186.381	191.956
Net worth	255.593	270.381	275.956
long-term borrowings	127.442	225.278	180.348
Short term borrowings	243.249	316.620	385.700
Total borrowings	370.691	541.898	566.048
Debt/Equity ratio	1.450	2.004	2.051

YEAR ON YEAR GROWTH

Year on Year Growth	31.03.2011	31.03.2012	31.03.2013
	(INR in Mlns)	(INR in Mlns)	(INR in Mlns)
Sales	1230.710	1307.748	1381.548
		6.260	5.643

NET PROFIT MARGIN

Net Profit Margin	31.03.2011	31.03.2012	31.03.2013
	(INR in Mlns)	(INR in Mlns)	(INR in Mlns)
Sales	1230.710	1307.748	1381.548
Profit	17.601	14.789	5.574
	1.43%	1.13%	0.40%

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	No
15]	Capital in the business	Yes
16]	Details of sister concerns	No
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	Yes
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

NOTE:

The registered office address of the company has been shifted from C - 304, Ganesh Meridian, Opposite Amiraj Farm, Near Gujarat High Court, S. G Highway, Ahmedabad - 380061, Gujarat to present address

UNSECURED LOAN:

Particulars	31.03.2013 (Rs. In millions)	31.03.2012 (Rs. In millions)
Loans and Advances from Director	9.409	7.279
Loans and Advances from Others	103.522	107.457
Total	112.931	114.736

FIXED ASSETS:

· Factory Building

· Plant and Machinery

· Gasifier

· Computer

· Furniture and Fixture

· Vehicle

· Office Equipments

· Electric Installation

· Land

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.60.27
UK Pound	1	Rs.101.10
Euro	1	Rs.83.74

INFORMATION DETAILS

Information Gathered by :	JML
Analysis Done by :	KAR
Report Prepared by :	SDA

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	3
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--CREDIT LINES	1~10	4
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		32

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.