MIRA INFORM REPORT

Report Date :

14.04.2014

IDENTIFICATION DETAILS

Name :	SERVALL ENGINEERING WORKS PRIVATE LIMITED (w.e.f. 03.07.2002)

Formerly Known as :	SERVALL ENGINEERING WORKS LIMITED SERVALL REIHANSAL PRIVATE LIMITED

Registered Office :	10-Z, Bharathi Nagar, 7^th Cross, Sai Baba Colony, Coimbatore-641011, Tamilnadu

Country :	India

Financials (as on) :	31.03.2013

Date of Incorporation :	07.08.1989

Com. Reg. No.:	181-002498

Capital Investment / Paid-up Capital :	Rs.25.465 Millions

CIN No.: [Company Identification No.]	U52110TZ1989PTC002498

TAN No.: [Tax Deduction & Collection Account No.]	CMBS05563F

PAN No.: [Permanent Account No.]	AAECS2949H

Legal Form :	Private Limited Liability Company

Line of Business :	Manufacture of Paper Making Machinery and It’s Spares and Accessories

No. of Employees :	250 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (44)

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 :	Satisfactory

Payment Behaviour :	Usually correct

Litigation :	Clear

Comments :	Subject is an established company having satisfactory track record. There seems slight dip in the profit of the company during financial year 2013 however networth of the company is satisfactory. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct. The company can be considered normal 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

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.

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. Surendra Pondswamay
Designation :	Accounts Executive
Contact No.:	91-42-54308308
Date :	08.04.2014

LOCATIONS

Registered Office / Head Office :	10-Z, Bharathi Nagar, 7^th Cross, Sai Baba Colony, Coimbatore-641011, Tamilnadu, India
Tel. No.:	91-422-4333344
Fax No.:	91-422-4333355
E-Mail :	sermdsof@md3.vsnl.net.in, natarajan@servall.co.in, ho@servall.co.in
Website :	http://www.servall.co.in
Area :	5250 Sq. ft.
Location :	Owned

Factory 1 :	Mettupalayam Road, Kramadai-641104, Coimbatore District, Tamilnadu, India
Tel. No.:	91-4254-308308
Fax No.:	91-4254-308408
E-Mail :	sales@servallengg.com
Area :	75000 Sq. ft
Location :	Owned

Overseas Representatives :	Europe (Germany, Switzerland, Austria, Belgium, Netherlands, France, Poland, Sweden) Mr. Michael Meycke Vertriebsuro, In Der Komm 40, 52391 Vettweisz, Germany Phone: 0049 2424 1826 Fax : 0049 2424 2700 Email ID: M.Meycke-Vertrieb@t-online.de Singapore and Malaysia Chemco Private Limited 15 UBI Crescent, UBI Techpark, Singapore 408575. Phone: 0065 6748 5077 Fax : 0065 6742 1110, 6745 9521 Contact person: Mr. Quek Wan, Director. Email ID: quek_wan@chemco.com.sg clement_ong@chemco.com.sg lucy_tang@chemco.com.sg Philippines M/s. GHV Enterprises P.O.Box 3277, Central Post Office, Manila 1099, Phillipines. Phone: 0063 2454 9639 Fax : 0063 2456 2233 Contact Person: Mr. Ramon S. De Vera Email ID: ramaondevera4@pacific.net.ph Indonesia PT Pacific Tirtapersada JL Gembong 2-16, Block B-10, Surabaya 60141, Indonesia. Phone: 0062 31 3727 999 Fax : 0062 31 3719 999 Contact Person: Mr. Giarta Chaspuri, Technical Director Email ID: ptptsbyi@rad.net.id

DIRECTORS

AS ON 30.09.2013

Name :

Mr. Yarlagada Shivaramprasad

Designation :

Managing Director

Address :

22, West Club Road, Race Course, Coimbatore – 641018, Tamilnadu, India

Date of Birth/Age :

11.11.1964

Date of Appointment :

01.04.2011

DIN No.:

00010734

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	U29230TZ1989PTC002499	TECHNO SPIN PRIVATE LIMITED	Director	07/08/1989	07/08/1989	31/12/2012	Active	NO
2	U52110TZ1989PTC002498	SERVALL ENGINEERING WORKS PRIVATE LIMITED	Managing director	01/04/2011	07/08/1989	-	Active	NO
3	U21012TZ1980PTC000899	DANALAKSHMI PAPER MILLS PRIVATE LIMITED	Director	26/03/1990	26/03/1990	-	Active	NO
4	U02102TZ1984PTC001432	SERVALAKSHMI PAPER AND BOARDS PRIVATE LIMITED	Whole-time director	01/01/2012	26/03/1990	-	Amalgamated	NO
5	L21012TN2005PLC092783	SERVALAKSHMI PAPER LIMITED	Managing director	01/01/2014	12/02/2007	-	Active	NO

Name :

Mr. Rangaswamy Ramswamy

Designation :

Director

Address :

210 (Old No.247B), Alagesan Road, Saibaba Colony, Coimbatore – 641011, Tamilnadu, India

Date of Birth/Age :

12.03.1939

Date of Appointment :

11.05.1999

DIN No.:

00010572

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	U21012TZ1980PTC000899	DANALAKSHMI PAPER MILLS PRIVATE LIMITED	Director	01/01/2014	23/01/1980	-	Active	NO
2	U27310TZ1981PTC001063	MONARCH MACHINE TOOLS PRIVATE LIMITED	Director	05/06/1981	05/06/1981	31/12/2012	Active	NO
3	U45201TZ1984PTC001435	KODAI HILL PROPERTIES PRIVATE LIMITED	Director	04/07/1984	04/07/1984	31/12/2012	Active	NO
4	U02102TZ1984PTC001432	SERVALAKSHMI PAPER AND BOARDS PRIVATE LIMITED	Managing director	01/10/1989	01/10/1989	-	Amalgamated	NO
5	U52110TZ1989PTC002498	SERVALL ENGINEERING WORKS PRIVATE LIMITED	Director	11/05/1999	11/05/1999	-	Active	NO
6	U72200TZ2000PTC009254	SERVALL INFOTECH INDIA PRIVATE LIMITED	Director	21/03/2000	21/03/2000	-	Strike off	NO
7	L21012TN2005PLC092783	SERVALAKSHMI PAPER LIMITED	Whole-time director	01/01/2014	03/11/2005	-	Active	NO

Name :

Mr. Shobana Shivaram Prasad

Designation :

Director

Address :

22, West Club Road, Race Course, Coimbatore – 641018, Tamilnadu, India

Date of Birth/Age :

18.06.1966

Date of Appointment :

01.01.2007

DIN No.:

00010727

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	U27310TZ1981PTC001063	MONARCH MACHINE TOOLS PRIVATE LIMITED	Director	31/03/1987	31/03/1987	-	Active	NO
2	U52110TZ1989PTC002498	SERVALL ENGINEERING WORKS PRIVATE LIMITED	Director	01/01/2007	07/08/1989	-	Active	NO
3	U29230TZ1989PTC002499	TECHNO SPIN PRIVATE LIMITED	Director	07/08/1989	07/08/1989	-	Active	NO
4	U02102TZ1984PTC001432	SERVALAKSHMI PAPER AND BOARDS PRIVATE LIMITED	Whole-time director	01/01/2012	26/03/1990	-	Amalgamated	NO
5	U21012TZ1980PTC000899	DANALAKSHMI PAPER MILLS PRIVATE LIMITED	Director	10/06/2000	10/06/2000	-	Active	NO
6	L21012TN2005PLC092783	SERVALAKSHMI PAPER LIMITED	Director	29/09/2007	12/02/2007	31/03/2010	Active	NO
7	U45201TZ1984PTC001435	KODAI HILL PROPERTIES PRIVATE LIMITED	Director	30/09/2013	31/12/2012	-	Active	NO

Name :

Mr. Nirupa Sriramulu

Designation :

Director

Address :

207, Tea Estate Compound, Race Course, Coimbatore – 641018, Coimbatore – 641018, Tamilnadu, India

Date of Birth/Age :

23.03.1969

Date of Appointment :

07.08.1989

DIN No.:

00010442

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	U52110TZ1989PTC002498	SERVALL ENGINEERING WORKS PRIVATE LIMITED	Director	07/08/1989	07/08/1989	-	Active	NO
2	U02102TZ1984PTC001432	SERVALAKSHMI PAPER AND BOARDS PRIVATE LIMITED	Director	01/01/2007	26/03/1990	-	Amalgamated	NO
3	U21012TZ1980PTC000899	DANALAKSHMI PAPER MILLS PRIVATE LIMITED	Whole-time director	01/01/2012	10/06/2000	-	Active	NO
4	U72200TZ2000PTC009254	SERVALL INFOTECH INDIA PRIVATE LIMITED	Director	25/01/2001	25/01/2001	-	Strike off	NO
5	L21012TN2005PLC092783	SERVALAKSHMI PAPER LIMITED	Director	29/09/2007	12/02/2007	31/03/2010	Active	NO
6	U45201TZ1984PTC001435	KODAI HILL PROPERTIES PRIVATE LIMITED	Director	30/09/2013	31/12/2012	-	Active	NO

Name :

Mr. Duraisamynaidu Muthusamy

Designation :

Director

Address :

Danalakshmi Paper Mills (P) Limited, Vilampatti, Nilakottai – 624219, Tamilnadu, India

Date of Birth/Age :

11.09.1949

Date of Appointment :

09.09.2000

DIN No.:

00010588

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	Company/ LLP Status	Defaulting status
1	U21012TZ1980PTC000899	DANALAKSHMI PAPER MILLS PRIVATE LIMITED	Director	01/07/2010	01/04/1992	Active	NO
2	U52110TZ1989PTC002498	SERVALL ENGINEERING WORKS PRIVATE LIMITED	Director	09/09/2000	09/09/2000	Active	NO
3	L21012TN2005PLC092783	SERVALAKSHMI PAPER LIMITED	Director	29/09/2007	12/02/2007	Active	NO
4	U02102TZ1984PTC001432	SERVALAKSHMI PAPER AND BOARDS PRIVATE LIMITED	Director	29/09/2010	13/02/2010	Amalgamated	NO

KEY EXECUTIVES

Name :	Mr. Surendra Pondswamay
Designation :	Accounts Executive

MAJOR SHAREHOLDERS

AS ON 30.09.2013

Names of Shareholders	No. of Shares
Shobana S. Prasad	1428944
Jagenberg Papier Technikm GMBH, Germany	351829
Nirupa Sriramaulu	262112
Shobana S Prasad for Master Sriman Ram Prasad Y. Shivaramprasad	456948
Y Shivaram Prasad	46517
Mr. B. Sriramalu	100
Total	2546450

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	13.82
Directors or relatives of Directors	86.18
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacture of Paper Making Machinery and It’s Spares and Accessories

Products :

· Newsprint

· Writing and Printing Grades

· Brown / Kraft Varieties

· Folding Box Boards

Product Name	Item Code
Paper Machinery	843920 00
Machinery for Making Paper or Paper Board	843920 00
Machinery for Making Pulp of Fibrous Cellulosic Material	843910 00

Exports :

Products :

Finish Goods

Countries :

· Germany

· Holland

· Sweden

· Indonesia

· Italy

· Malaysia

· Turkey

Imports :

Products :

Raw Material

Countries :

· Germany or Sweden (50%)

· Singapore or Japan or UK or Canada (50%)

Terms :

Selling :

L/C and Credit

Purchasing :

L/C and Credit

PRODUCTION STATUS

Particulars	Unit	Actual Production
Paper Machinery / Parts	Qty	205
	sets	41
Pulp Mill Equipments	Nos	9
Finished House Equipments	Nos	15
Others	Nos	166
Drying Cylinders	Nos	113
Graded C. I. Castings	Kgs.	62544.08

GENERAL INFORMATION

Suppliers :

· Siemens Limited, Coimbatore/Siemens, Germany

· Festo Controls Limited, Coimbatore

· Shanthi Gears Limited, Coimbatore

Customers :

· Tamilnadu Newsprint Limited, Trichy District, Tamilnadu, India

· Sri Venkatesa Paper and Boards Limited, Udumalpet, Tamilnadu, India

· Shreyans Paper Mills Limited, Punjab, India

No. of Employees :

250 (Approximately)

Bankers :

· State Bank of India, Commercial Branch, 1443, Trichy Road, P. B. No. 3902, Coimbatore-641012, Tamilnadu, India

· Indian Overseas Bank, Ramalinga Nagar Branch, Saibaba Colony, Coimbatore-641012, Tamilnadu, India

Facilities :

SECURED LOANS	31.03.2013 Rs. In Millions	31.03.2012 Rs. In Millions
Long Term Borrowings
Indian Overseas bank (All the above loans are personally guaranteed by Managing Director)	24.035	36.789
Long term maturities of finance lease oblications
Hire Purchase loans : (Secured by Hypothication of Specific Assets) (Rate of interest 10.75%)	2.528	4.143
Less : Unmatured financial charges	(0.191)	(0.388)

Short Term Borrowings
From Banks
Cash Credit	95.037	119.476
Packing Credit	13.404	0.000
Buyers Credit	5.835	15.626
Bills Discounted (All the above loans are Secured by 1st charge on the Current Assets and 2nd charge on the Fixed Assets of the Company on Pari Passu basis and also personally guaranteed by Managing Director) (Rate of Interest 15.3%)	0.000	13.844

Total	140.648	189.490


Banking Relations :	--

Auditors :
Name :	S. Krishnamoorthy Company Chartered Accountants
Address :	Kanapathy Towers, 3^rd Floor, No.1391/A-1, Sathy Road, Ganapathy, Coimbatore – 641006, Tamilnadu, India
PAN No.:	AALFS4188C

Associates/Subsidiaries :	· Danalakshmi Paper Mills Private Limited · Vijayalakshmi Paper Mills · Servalakshmi Paper and Boards Private Limited · Techno Spin Private Limited · Servalakshmi Paper Private Limited

CAPITAL STRUCTURE

AS ON 30.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount

3000000	Equity Shares	Rs.10/- each	Rs.30.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

2546450	Equity Shares	Rs.10/- each	Rs.25.465 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	25.465	25.465	25.465
(b) Reserves & Surplus	140.450	139.288	137.519
(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)	165.915	164.753	162.984

(3) Non-Current Liabilities
(a) long-term borrowings	26.372	40.544	68.590
(b) Deferred tax liabilities (Net)	24.348	25.195	26.638
(c) Other long term liabilities	98.723	26.621	3.829
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	149.443	92.360	99.057

(4) Current Liabilities
(a) Short term borrowings	114.277	148.946	111.891
(b) Trade payables	76.575	89.606	32.090
(c) Other current liabilities	82.205	120.643	214.820
(d) Short-term provisions	6.251	4.371	2.991
Total Current Liabilities (4)	279.308	363.566	361.792

TOTAL	594.666	620.679	623.833

II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	174.060	190.077	208.007
(ii) Intangible Assets	0.352	0.352	0.352
(iii) Capital work-in-progress	0.000	0.000	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	136.932	136.932	136.932
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	0.735	0.795	0.818
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	312.079	328.156	346.109

(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	90.733	156.778	120.615
(c) Trade receivables	108.265	94.458	46.213
(d) Cash and cash equivalents	7.069	19.108	11.332
(e) Short-term loans and advances	74.858	21.132	98.493
(f) Other current assets	1.662	1.047	1.071
Total Current Assets	282.587	292.523	277.724

TOTAL	594.666	620.679	623.833

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income	449.692	378.670	226.742
		Other Income	NA	NA	NA
		TOTAL (A)	NA	NA	NA

Less	EXPENSES
		TOTAL (B)	NA	NA	NA

Less	PROFIT/(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		44.703	47.714	38.737

Less	FINANCIAL EXPENSES (D)		25.000	27.192	17.465

	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		19.703	20.522	21.272

Less	DEPRECIATION/ AMORTISATION (F)		17.346	18.505	18.582

	PROFIT/(LOSS) BEFORE TAX (E-F) (G)		2.357	2.017	2.690

Less	TAX (H)		1.003	0.056	(0.576)

	PROFIT/(LOSS) AFTER TAX (G-H) (I)		1.354	1.961	3.266

Add	PRIOR YEAR ADJUSTMENTS		0.000	0.000	1.856

Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		75.827	73.866	68.744

	BALANCE CARRIED TO THE B/S		77.181	75.827	73.866

	EARNINGS IN FOREIGN CURRENCY		221.985	43.013	25.502

	Earnings Per Share (Rs.)		0.53	NA	NA

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
Net Profit Margin (PBT/Sales)	(%)	0.52	0.53	1.19

Return on Total Assets (PBT/Total Assets}	(%)	0.51	0.42	0.55

Return on Investment (ROI) (PBT/Networth)		0.01	0.01	0.02

Debt Equity Ratio (Total Debt /Networth)		0.85	1.15	1.11

Current Ratio (Current Asset/Current Liability)		1.01	0.80	0.77

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	25.465	25.465	25.465
Reserves & Surplus	137.519	139.288	140.450
Net worth	162.984	164.753	165.915

long-term borrowings	68.590	40.544	26.372
Short term borrowings	111.891	148.946	114.277
Total borrowings	180.481	189.490	140.649
Debt/Equity ratio	1.107	1.150	0.848

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	226.742	378.670	449.692
		67.005	18.756

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	226.742	378.670	449.692
Profit	3.266	1.961	1.354
	1.44%	0.52%	0.30%

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	Yes
17]	Major suppliers	Yes
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	----------
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	----------
26]	Buyer visit details	----------
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	Yes
29]	Last accounts filed at ROC	Yes
30]	Major Shareholders, if available	Yes
31]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

OPERATIONS:

Net sales during the year was Rs.449.692 Millions (Previous year Rs.378.670 Millions) Export turnover has gone up from Rs.43.013 Millions to Rs.22.199 Millions. Net profit before tax was Rs.2.357 Millions.

INDEX OF CHARGE:

Sr. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	90001061	09/11/2010 *	288,000,000.00	INDIAN OVERSEAS BANK	N.S.R.ROAD, RAMALINGA NAGAR BRANCH,, SAIBABA COLONY, COIMBATORE, TAMIL NADU - 641011, INDIA	B02406551
2	90003553	12/12/2013 *	90,600,000.00	STATE BANK OF INDIA	MID-CORPORATE GROUP, COMMERCIAL BRANCH, 1443, TRICHY ROAD, P.B.NO.3902, COIMBATORE, TAMIL NADU - 641018, INDIA	B95026472

* Date of charge modification

FIXED ASSETS:

· Goodwill

· Land

· Buildings

· Plant and Machinery

· Furniture and Fittings

· Electrical Fitting

· Vehicles

· Temporary Wooden Structures

· Office Appliances

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 :	HTL

Analysis Done by :	DIV

Report Prepared by :	NKT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO

TOTAL		44

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.