MIRA INFORM REPORT

Report Date :

21.04.2014

IDENTIFICATION DETAILS

Name :	MEI POWER PRIVATE LIMITED (w.e.f. 08.01.2008) marson’s electrical industries (UNIT OF mei power private limited)
Formerly Known As :	THE MARSON’S ELECTRICAL INDUSTRIES PRIVATE LIMITED
Registered Office :	11^thFloor, Room No. 36, 23A Netaji Subhash Road, Kolkata – 700001, West Bengal
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	05.01.1984
Com. Reg. No.:	21-037064
Capital Investment / Paid-up Capital :	Rs.8.020 Millions
CIN No.: [Company Identification No.]	U31102WB1984PTC037064
TAN No.: [Tax Deduction & Collection Account No.]	CALT00780D
PAN No.: [Permanent Account No.]	AABCT1567H
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Power and Distribution Transformers and Allied Transformers.
No. of Employees :	250 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (46)

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

Maximum Credit Limit :	USD 696000
Status :	Satisfactory
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is a well-established company having satisfactory track record. The company possesses a favorable financial profile marked by decent net worth base. Management has reported a better increases in its sales volume, whereas the net profitability position seems to be merely stagnant during 2013. The ratings also take into consideration drastic deterioration in the cash reserves and non-viable management of expenses which affects the net profitability at the end. Further, the unforeseeable increases in trade receivables may have an impact on the liquidity profile of the company. However, trade relations are fair. Business is active. Payment terms are reported as slow but correct. In view of long standing presence of the subject in the market it 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 – March 31, 2014

Country Name	Previous Rating (31.12.2013)	Current Rating (31.03.2014)
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

US investment bank Goldman Sachs has upgraded its outlook on Indian markets as it expects positive impact of the election cycle.

India’s economy may grow 4.7 % in the current financial year, lower than the official estimate of 4.9 %, Fitch Rating said. The global rating agency expects the economy to pick up in the next two financial years.

Global ratings agency Standard & Poor said increasing focus by India Inc on lowering debt is likely to improve their credit profiles.

Singapore (1.1 million Indian tourists in 2012), Thailand (one million), the United Arab Emirates ().98 million) and Malaysia ().82 million) emerged as the preferred holidays hotspots for Indians. The total figure is expected to increase to 1.93 million by 2017, according to the latest Eurmonitor international report.

There is a $29.34 bn outward foreign direct investment by domestic companies between April and January of 2013/14 which has seen some signs of recovery according to a Care Ratings report.

There are 264 number of new companies being set up every day on average during 2014. Most of them are registered in Mumbai. India had 1.38 million registered companies at the end of January, 2014.

Twitter like messaging service Weibo Corporation has filed to raise $ 500 million via a US initial public offering. Alibaba, which owns a stake in Weibo is expected to raise about $ 15 billion New York this year in the highest profile Internet IPO since Facebook’s in 2012.

Bharti Airtel has raised Rs.2,453.2 crore (350 million Swiss Francs) by selling six-year bonds at a coupon rate of three per cent and maturing in 2020. This is the largest ever bond offering by an Indian company in Swiss Francs. Bharat Petroleum Corporation raised 175 million Swiss Francs by selling five year bonds at 2.98 % coupon rate in February.

Indian Oil Corporation plans to invest Rs 7650 crore in setting up a petrochemical complex at its almost complete Paradip refinery in Odhisha in three to four years. The company board is set to consider the setting up of a 700000 tonne per annum polypropylene plant at an estimated cost at Rs.3150 crore.

Global chief information officers at gathering in Bangalore in April to meet Indian startups at an event called Tech50 Watchout for Little Eye Labs-Facebook type deals in the making.

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. Arun Agarwal
Designation :	Finance Manager
Contact No.:	91-562-2520027 / 28
Date :	10.04.2014

LOCATIONS

Registered Office :	11^th Floor, Room No. 36, 23 A, Netaji Subhash Road, Kolkata – 700001, West Bengal, India
Tel. No.:	91-33-40050326 / 22301968
Fax No.:	Not Available
E-Mail :	info@marsonselctricals.com
Website :	www.marsonselectricals.com
Corporate Office :	1/189, Delhi Gate, Civil Lines, Agra - 282002, Uttar Pradesh, India
Tel. No.:	91-562-2520027 / 2850812
Fax No.:	91-562-2851306
Factory :	Marson’s Electrical Industries, Mathura Road, Artoni, Agra – 282007, Uttar Pradesh, India
Tel. No.:	91-562-2642327 / 2642328 / 2640144
Fax No.:	91-562-2641435
Sales Office :	Located at: Kolkata Delhi Jaipur

DIRECTORS

As on 26.08.2013

Name :

Mr. Bimlesh Kumar Jain

Designation :

Director

Address :

1/189, Delhi Gate, Civil Lines, Agra, India

Date of Birth/Age :

17.01.1953

Date of Appointment :

05.01.1984

PAN No. :

ACMPJ3788Q

DIN No.:

00383164

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	U31102RJ1972PTC001444	WESTERN TRANSFORMER & EQUIPMENT PRIVATE LIMITED	Director	05/04/1979	05/04/1979	-	Active	NO
2	U31102WB1984PTC037064	MEI POWER PRIVATE LIMITED	Director	05/01/1984	05/01/1984	-	Active	NO
3	U03110MP1977PTC001428	BANMORE ELECTRICALS PVT LTD	Director	14/01/1985	14/01/1985	-	Active	NO
4	U74899DL1988PTC033273	FUTURA BUILDERS PRIVATE LIMITED	Director	14/06/1990	14/06/1990	-	Active	NO
5	U74899DL1984PTC017404	MARSONS INDUSTRIES PRIVATE LTD	Director	25/05/1995	25/05/1995	-	Active	NO
6	U40105DL2007PTC168066	SPICE ENERGY PRIVATE LIMITED	Director	05/05/2008	05/05/2008	01/10/2009	Active	NO

Name :

Mr. Nirmal Kumar Jain

Designation :

Whole Time Director

Address :

1/189, Delhi Gate, Civil Lines, Agra, India

Date of Birth/Age :

21.08.1954

Date of Appointment :

01.07.1987

DIN No.:

00383214

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	U03110MP1977PTC001428	BANMORE ELECTRICALS PVT LTD	Director	28/12/1977	28/12/1977	-	Active	NO
2	U31102WB1984PTC037064	MEI POWER PRIVATE LIMITED	Director	01/07/1987	01/07/1987	-	Active	NO
3	U31102RJ1972PTC001444	WESTERN TRANSFORMER & EQUIPMENT PRIVATE LIMITED	Director	18/11/1999	18/11/1999	-	Active	NO
4	U74899DL1984PTC017404	MARSONS INDUSTRIES PRIVATE LTD	Director	04/12/2000	04/12/2000	-	Active	NO

Name :

Mrs. Neetu Jain

Designation :

Whole Time Director

Address :

1/189, Delhi Gate, Civil Lines, Agra, India

Date of Birth/Age :

17.01.1978

Date of Appointment :

25.07.2001

PAN No.:

AAUPJ6641C

DIN No.:

00346737

Name :

Mr. Nitin Jain

Designation :

Whole Time Director

Address :

1/189, Delhi Gate, Civil Lines, Agra, India

Date of Birth/Age :

02.08.1980

Date of Appointment :

25.07.2001

PAN No.:

ABGPJ7319G

DIN No.:

00383348

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	U74899DL1984PTC017404	MARSONS INDUSTRIES PRIVATE LTD	Director	04/12/2000	04/12/2000	-	Active	NO
2	U31102WB1984PTC037064	MEI POWER PRIVATE LIMITED	Director	25/07/2001	25/07/2001	-	Active	NO
3	U31102RJ1972PTC001444	WESTERN TRANSFORMER & EQUIPMENT PRIVATE LIMITED	Director	20/08/2012	20/08/2012	-	Active	NO

Name :

Mr. Swaroop Chand Jain

Designation :

Director

Address :

1/189, Delhi Gate, Civil Lines, Agra, India

Date of Birth/Age :

19.08.1927

Date of Appointment :

15.02.2000

PAN No.:

ACEPJ1393H

DIN No.:

00383083

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	U31102RJ1972PTC001444	WESTERN TRANSFORMER & EQUIPMENT PRIVATE LIMITED	Director	12/07/1972	12/07/1972	-	Active	NO
2	U03110MP1977PTC001428	BANMORE ELECTRICALS PVT LTD	Director	28/12/1977	28/12/1977	-	Active	NO
3	U74899DL1988PTC033273	FUTURA BUILDERS PRIVATE LIMITED	Director	14/06/1990	14/06/1990	-	Active	NO
4	U74899DL1984PTC017404	MARSONS INDUSTRIES PRIVATE LTD	Director	25/05/1995	25/05/1995	-	Active	NO
5	U31300MP1997PTC011547	VARDHAN WIRES PRIVATE LIMITED	Director	08/01/1997	08/01/1997	-	Active	NO
6	U31102WB1984PTC037064	MEI POWER PRIVATE LIMITED	Director	15/02/2000	15/02/2000	-	Active	NO
7	U31102RJ2005PTC021527	MARSONS ENERGY PRIVATE LIMITED	Director	26/10/2005	26/10/2005	25/08/2009	Active	NO

Name :

Mr. Ratan Kumar Jain

Designation :

Director

Address :

1/189, Delhi Gate, Civil Lines, Agra, India

Date of Birth/Age :

11.05.1956

Date of Appointment :

15.02.2000

PAN No.:

ABGPJ7319G

DIN No.:

00383272

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	U74899DL1988PTC033273	FUTURA BUILDERS PRIVATE LIMITED	Director	14/06/1990	14/06/1990	-	Active	NO
2	U31300MP1997PTC011547	VARDHAN WIRES PRIVATE LIMITED	Director	08/01/1997	08/01/1997	-	Active	NO
3	U31102WB1984PTC037064	MEI POWER PRIVATE LIMITED	Director	15/02/2000	15/02/2000	-	Active	NO
4	U31102RJ1972PTC001444	WESTERN TRANSFORMER & EQUIPMENT PRIVATE LIMITED	Director	24/02/2000	24/02/2000	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Arun Agarwal
Designation :	Finance Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 26.08.2013

Names of Shareholders	No. of Shares	%age
Bimlesh Kumar Jain	411766	51.34
Swaroop Chand Jain	83100	10.36
Nitin Jain	162600	20.27
Ratan Kumar Jain	2334	0.29
Usha Jain	23134	2.88
Neetu Jain	21668	2.70
Meghna Jain	96398	12.02
Nirmal Kumar Jain	1000	0.12
Total	802000	100.00

As on 26.08.2013

Equity Share Break up (Percentage of Total Equity)

Category	Percentage of Holding
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Power and Distribution Transformers and Allied Transformers.

Products :

Item Code No. (ITC Code)	Product Description
850431	Transformers and ITS Components
841280	Wind Power Generation

Exports :

Countries :

Ø UK

Ø Ethiopia

Selling :

Cash and Credit

Purchasing :

Cash and Credit

GENERAL INFORMATION

Suppliers :

Apar Industries Limited

Customers :

West Bengal Electricity Board

No. of Employees :

250 (Approximately)

Bankers :

• Canara Bank, Overseas Branch, Sanjay Place, Agra – 282001, Uttar Pradesh, India
• United Bank of India, Main Branch, Freeganj, Agra – 282004, Uttar Pradesh, India
• HDFC Bank Limited, HDFC Bank Housesenapati Bapat Marg, Lower Parel (West), Mumbai - 400013, Maharashtra, India

Facilities :

SECURED LOANS	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
SHORT TERM BORROWINGS
Working capital loans from bank	59.188	58.494
Total	59.188	58.494

Banking Relations :	--
Auditors :
Name :	Prem Pradeep and Company Chartered Accountants
Address :	F-2, Friends Wasan Plaza, Sanjay Place, Agra – 282002, Uttar Pradesh, India
Tel. No. :	91-562-2525540
Mobile No. :	91-9359932092
PAN No. :	AAXPG0792Q
Associates :	Ø Vardhan Wires Private Limited Ø Marsons Energy Private Limited Ø Western Transformer and Equipment Private Limited Ø Banmore Electricals Private Limited

CAPITAL STRUCTURE

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
802000	Equity Shares	Rs.10/- each	Rs.8.020 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	8.020	8.020	8.020
(b) Reserves & Surplus	165.941	142.367	123.114
(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)	173.961	150.387	131.134
(3) Non-Current Liabilities
(a) long-term borrowings	5.350	15.800	23.687
(b) Deferred tax liabilities (Net)	3.977	4.076	4.402
(c) Other long term liabilities	3.263	4.682	0.000
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	12.590	24.558	28.089
(4) Current Liabilities
(a) Short term borrowings	59.188	65.044	58.199
(b) Trade payables	288.768	159.366	199.978
(c) Other current liabilities	7.484	35.083	2.383
(d) Short-term provisions	2.803	2.797	2.157
Total Current Liabilities (4)	358.243	262.290	262.717
TOTAL	544.794	437.235	421.940
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	38.343	34.789	37.375
(ii) Intangible Assets	0.710	0.746	0.783
(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	0.008	0.008	0.008
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	1.688	0.953	0.953
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	40.749	36.496	39.119
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	88.782	66.675	66.154
(c) Trade receivables	261.944	131.360	148.405
(d) Cash and cash equivalents	105.442	165.979	133.274
(e) Short-term loans and advances	47.470	36.384	34.676
(f) Other current assets	0.407	0.341	0.312
Total Current Assets	504.045	400.739	382.821
TOTAL	544.794	437.235	421.940

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income		947.523	929.865
		Other Income		13.340	10.920
		TOTAL	1067.607	960.863	940.785
Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses
		TOTAL	1021.451	921.189	903.664
			(Including Financial Expenses)
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		46.156	39.674	37.121
Less/ Add	DEPRECIATION/ AMORTISATION		3.670	3.691	3.240
	PROFIT/ (LOSS) BEFORE TAX		42.486	35.983	33.881
Less	TAX		14.055	11.872	11.215
	PROFIT/ (LOSS) AFTER TAX		28.431	24.111	22.666
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		1.732	1.781	1.843
Less	APPROPRIATIONS
		Interim Dividend	2.005	2.005	1.604
		Corporate tax on interim Dividend	0.325	0.325	0.266
		Proposed Dividend	2.005	2.005	1.604
		Corporate tax on proposed Dividend	0.325	0.325	0.254
		General Reserve	23.000	19.500	19.000
	BALANCE CARRIED TO THE B/S		2.503	1.732	1.781
	EARNINGS IN FOREIGN CURRENCY		NA	468.798	291.087
	Earnings / (Loss) Per Share (Rs.)		35.45	30.06	28.26

	31.03.2014
Sales Turnover (Approximately)	1150.000

The above information has been parted by Mr. Arun Agarwal

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	2.66	2.51	2.41
Net Profit Margin (PBT/Sales)	(%)	NA	3.80	3.64
Return on Total Assets (PBT/Total Assets}	(%)	7.80	8.23	8.03
Return on Investment (ROI) (PBT/Networth)		0.24	0.24	0.26
Debt Equity Ratio (Total Debt/Networth)		0.37	0.54	0.62
Current Ratio (Current Asset/Current Liability)		1.41	1.53	1.46

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	8.020	8.020	8.020
Reserves & Surplus	123.114	142.367	165.941
Net worth	131.134	150.387	173.961
long-term borrowings	23.687	15.800	5.350
Short term borrowings	58.199	65.044	59.188
Total borrowings	81.886	80.844	64.538
Debt/Equity ratio	0.624	0.538	0.371

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	940.785	960.863	1067.607
		2.134	11.109

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	940.785	960.863	1067.607
Profit	22.666	24.111	28.431
	2.41%	2.51%	2.66%

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

UNSECURED LOANS

PARTICULAR	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
LONG TERM BORROWINGS
Loans and advance from others	5.350	15.800
SHORT TERM BORROWINGS
Loans and advance from related parties	0.000	6.550
Total	5.350	22.350

INDEX OF CHARGES

.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	90253229	25/10/2010 *	410,000,000.00	UNITED BANK OF INDIA	MAIN BRANCH, FREEGANJ, AGRA, Uttar Pradesh - 282004, INDIA	A98024532

* Date of charge modification

FIXED ASSETS

œ Land

œ Buildings

œ Plant and Equipment

œ Furniture and Fixtures

œ Vehicles

œ Office Equipment

œ Computer 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.60.38
UK Pound	1	Rs.101.63
Euro	1	Rs.83.57

INFORMATION DETAILS

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

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	4
--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	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		46

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.