MIRA INFORM REPORT

Report Date :

26.04.2014

IDENTIFICATION DETAILS

Name :	MACO CORPORATION (INDIA) PRIVATE LIMITED
Registered Office :	2/5, Sarat Bose Road, “Sukhsagar Building”, 7^th Floor, Kolkata – 700020, West Bengal
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	11.04.2002
Com. Reg. No.:	21-094503
Capital Investment / Paid-up Capital :	Rs.25.892 Millions
CIN No.: [Company Identification No.]	U36900WB2002PTC094503
TAN No.: [Tax Deduction & Collection Account No.]	CALM04075B
PAN No.: [Permanent Account No.]	AACCM8740L
Legal Form :	Private Limited Liability Company
Line of Business :	Trader and Importer of Industrial Equipments Machineries
No. of Employees :	270 (Approximately) (Office and Factory)

RATING & COMMENTS

MIRA’s Rating :

Ba (54)

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

Maximum Credit Limit :	USD 3500000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is an established company having good track record. Financial position of the company is decent. Trade relation reported to be fair. Business is active. Payment terms are reported to be regular and as per commitment. The company can be considered normal for business dealing 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.

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Short term Rating “A2”
Rating Explanation	Strong degree of safety and low credit risk
Date	February 18, 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. Dilip
Designation :	Accounts Department
Contact No.:	91-33-28352337
Date :	12.04.2014

LOCATIONS

Registered Office :	2/5, Sarat Bose Road, Sukhsagar Building, 7^th Floor, Kolkata – 700020, West Bengal, India
Tel. No.:	91-33-24758371 / 8500 / 24543200 / 3281
Mobile No.:	91-9323994922 (Mr. Ketan Patel)
Fax No.:	91-33-24543269
E-Mail :	macobom@macocorporation.com kolkata@macocorporation.com
Website :	http://www.macorporation.com
Corporate Office :	701/702, Midas Sahar Plaza, Andheri Kurla Road, Andheri East, Mumbai – 400059, Maharashtra, India
Tel. No.:	91-22-28352337 / 28220352
Fax No.:	91-22-28632375
Godown :	Palaspe Phata, Panvel, Maharashtra, India
Branches :	Located At : Delhi Baroda Hyderabad Chennai Calcutta

DIRECTORS

As on: 30.09.2013

Name :

Mr. Nagesh M. Patel

Designation :

Director

Address :

25/A, Sarat Bose Road, Kolkata – 700020, West Bengal, India

Date of Birth/Age :

25.12.1960

Date of Appointment :

11.04.2002

PAN No.:

AFKPP9345Q

Voter ID No.:

00443530

DIN No.:

WB/23/446/126710

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	U74140WB1992PTC055887	MACO MARKETING PVT LTD	Director	07/07/1992	07/07/1992	-	Active	NO
2	U32109WB1997PTC085878	KOPPERN MACO SERVICES PRIVATE LIMITED	Managing Director	12/02/1998	12/02/1998	-	Active	NO
3	U36900WB2002PTC094503	MACO CORPORATION (INDIA) PRIVATE LIMITED	Director	11/04/2002	11/04/2002	-	Active	NO
4	U51109WB1995PTC072747	AASHIYANA GOODS PVT LTD	Managing Director	07/02/2003	07/02/2003	-	Active	NO
5	U74140WB1977PTC031198	PROGRESSIVE CONSULTANCY SERVICES PVT LTD	Director	10/12/2004	10/12/2004	-	Active	NO
6	U74999WB2006PTC107090	IMS MACO SERVICES PVT LTD	Director	05/01/2006	05/01/2006	-	Active	NO
7	U28910GJ2006PTC047476	AMUL CRANKCASE PRIVATE LIMITED	Director	10/01/2006	10/01/2006	31/12/2011	Active	NO
8	U50200WB2006PTC112088	SIBRE BRAKES (INDIA) PRIVATE LIMITED	Director	12/12/2006	12/12/2006	-	Active	NO
9	U72400WB2007PTC114535	SUNAG IT & CONSULTANCY SERVICES PRIVATE LIMITED	Director	24/03/2007	24/03/2007	-	Active	NO
10	U74210WB2009PTC138751	METALOCK MACO ENGINEERING (INDIA) PRIVATE LIMITED	Director	07/10/2009	07/10/2009	-	Active	NO
11	U27320WB2011PTC162379	Maco Almamat Private Limited	Director	06/05/2011	06/05/2011	-	Active	NO
12	U93000WB2013NPL192028	CLASSICA FLAT OWNERS WELFARE ASSOCIATION	Director	08/04/2013	08/04/2013	-	Active	NO
13	U27109WB2002PTC094237	DESMET REAGENT PRIVATE LIMITED	Director	30/04/2013	30/04/2013	-	Active	NO

Name :

Mr. Ramesh Vithaldas Patel

Designation :

Director

Address :

15A, Madhav Chatterjee Lane, Kolkata – 700020, West Bengal, India

Date of Birth/Age :

13.06.1947

Date of Appointment :

11.04.2002

PAN No.:

AFHPP9018D

Voter ID No.:

02412325

DIN No.:

WB/23/146/306423

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	U24299WB1998PTC086620	SUNAG ENGINEERING PVT LTD	Director	23/02/1998	23/02/1998	-	Active	NO
2	U36900WB2002PTC094503	MACO CORPORATION (INDIA) PRIVATE LIMITED	Director	11/04/2002	11/04/2002	-	Active	NO
3	U74140WB1992PTC055887	MACO MARKETING PVT LTD	Director	22/04/2004	22/04/2004	-	Active	NO
4	U51109WB1995PTC072747	AASHIYANA GOODS PVT LTD	Director	23/04/2004	23/04/2004	-	Active	NO
5	U74140WB1977PTC031198	PROGRESSIVE CONSULTANCY SERVICES PVT LTD	Director	10/12/2004	10/12/2004	-	Active	NO

Name :

Mr. Ketan R. Patel

Designation :

Director

Address :

15A, Madhav Chatterjee Lane, Kolkata – 700020, West Bengal, India

Date of Birth/Age :

16.01.1973

Date of Appointment :

01.10.2004

Voter ID No.:

WB/23/146/306425

DIN No.:

06425681

Name :

Mr. Dhirajlal Hitesh Vasa

Designation :

Director

Address :

75A, Bakul Bagan Road, Kolkata – 700025, West Bengal, India

Date of Birth/Age :

18.03.1962

Date of Appointment :

01.10.2004

PAN No.:

ABQPV2591L

DIN No.:

00435289

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	U32109WB1997PTC085878	KOPPERN MACO SERVICES PRIVATE LIMITED	Director	12/11/1997	12/11/1997	27/04/2009	Active	NO
2	U24299WB1998PTC086620	SUNAG ENGINEERING PVT LTD	Director	26/06/1998	26/06/1998	-	Active	NO
3	U27109WB2002PTC094237	DESMET REAGENT PRIVATE LIMITED	Managing Director	22/04/2002	22/04/2002	-	Active	NO
4	U36900WB2002PTC094503	MACO CORPORATION (INDIA) PRIVATE LIMITED	Director	01/10/2004	01/10/2004	-	Active	NO
5	U50200WB2006PTC112088	SIBRE BRAKES (INDIA) PRIVATE LIMITED	Director	12/12/2006	12/12/2006	-	Active	NO
6	U72400WB2007PTC114535	SUNAG IT & CONSULTANCY SERVICES PRIVATE LIMITED	Director	24/03/2007	24/03/2007	-	Active	NO
7	U74210WB2009PTC138751	METALOCK MACO ENGINEERING (INDIA) PRIVATE LIMITED	Director	07/10/2009	07/10/2009	26/03/2010	Active	NO

KEY EXECUTIVES

Name :	Mr. Dilip
Designation :	Accounts Department

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on: 30.09.2013

Names of Shareholders	No. of Shares
Maganlal Ambavi Tilva	657500
Nagesh Maganlal Patel	481650
Prafulla Nagesh Tilva	460550
Ramesh V. Patel	35750
Pravinaben Manaharlal	45650
Kanku Nagesh Tilva	1500
Ketan Patel	15000
Meera Patel	2500
Narshidas Chetia (HUF)	6000
Savitaben N Patel	4000
Narsidas Chetia	6000
Tarun Chetia	4000
Jamnadas Chagan Patel	100
Sunny Satish Patel	22500
Satish V. Patel	50000
Maganlal Ambavi Tilva (HUF)	306140
Nagesh Maganlal Patel (HUF)	154160
	25000
Bipin G. Patel	15000
Sonam Patel	20000
Pratik Patel	20000
Shila Patel	10000
Anjana Ramesh Patel	25000
Marendra Patel	45207
Tulsi Nagesh Patel	100000
Tulsi Narendra Patel	44000

Equity Share Break up (Percentage of Total Equity)

As on: 30.09.2013

Category	Percentage
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]	3.45
Directors or relatives of directors	96.55
Total	100.00

BUSINESS DETAILS

Line of Business :	Trader and Importer of Industrial Equipments Machineries
Products :	Steel Units Drive Units Oil And Gas Products Refinery Products Mining Tools Machine Tools Railway Products Access Equipment, Etc.
Imports :
Products :	Raw Materials
Countries :	USA
Terms :
Selling :	Cash and Advance
Purchasing :	Cash and Advance

GENERAL INFORMATION

No. of Employees :	270 (Approximately) (Office and Factory)
Bankers :	· HDFC Bank, J B Nagar, Andheri, Mumbai, Maharashtra, India. · Union Bank of India, M G Road Branch, 134/4, Mahatma Gandhi Road, Kolkata – 700007, West Bengal, India. · ABN Amro Bank, 18A, Brabourne Road Branch, Kolkata, West Bengal, India.
Banking Relations :	--
Auditors :
Name :	D. K. Madia and Company Chartered Accountants
Address :	29 - A, Weston Street, Kolkata – 700012, West Bengal, India
Tel. No.:	91-33-22119907
PAN No.:	ADKPM6230D
Related Party :	Sunag Engineering Private Limited CIN No.: U24299WB1998PTC086620
Associates and Joint Venture Companies :	· IMS Maco Services Private limited CIN No : U74999WB2006PTC107090 · Sibre Brakes (India) Private Limited CIN No : U50200WB2006PTC112088 · Metalock Maco Engineering (India) Private Limited CIN No : U74210WB2009PTC138751 · Aashiyana Goods Private Limited CIN No : U51109WB1995PTC072747 · Progressive Consultancy Services (Private) Limited · Maco Marketing Private Limited CIN No : U74140WB1992PTC055887 · Koppern Maco Services Private Limited CIN No : U32109WB1997PTC085878

CAPITAL STRUCTURE

As on: 30.09.2013

Authorised Capital:

No. of Shares	Type	Value	Amount
50,000,00	Equity Shares	Rs.10/- each	Rs.50.000 Millions

Issued, Subscribed & Paid-up Capital:

No. of Shares	Type	Value	Amount
25,892,07	Equity Shares	Rs.10/- each	Rs.25.892 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	25.892	25.892	25.892
(b) Reserves & Surplus	847.567	614.134	456.948
(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)	873.459	640.026	482.840
(3) Non-Current Liabilities
(a) long-term borrowings	0.000	0.000	0.000
(b) Deferred tax liabilities (Net)	0.716	0.323	0.025
(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)	0.716	0.323	0.025
(4) Current Liabilities
(a) Short term borrowings	38.158	35.047	46.021
(b) Trade payables	411.496	71.486	42.206
(c) Other current liabilities	26.294	127.725	58.396
(d) Short-term provisions	103.855	72.680	221.920
Total Current Liabilities (4)	579.803	306.938	368.543
TOTAL	1,453.978	947.287	851.408
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	53.267	47.459	34.293
(ii) Intangible Assets	0.000	0.000	0.000
(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	61.865	125.274	115.474
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	31.885	25.243	26.384
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	147.017	197.976	176.151
(2) Current assets
(a) Current investments	100.000	47.500	0.000
(b) Inventories	224.135	104.785	81.133
(c) Trade receivables	578.660	234.491	165.262
(d) Cash and cash equivalents	130.653	173.006	134.852
(e) Short-term loans and advances	273.513	189.529	294.010
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	1,306.961	749.311	675.257
TOTAL	1,453.978	947.287	851.408

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2013	31.03.2012	31.03.2011
	SALES
	Income		920.225	670.733
	Other Income		23.361	16.611
	TOTAL (A)	NA	943.586	687.344
Less	EXPENSES
	Cost of Materials Consumed
	Purchases of Traded Goods & Services		546.065	376.744
	(Increase) / Decrease in Inventories		(23.652)	(24.704)
	Employees benefits expense		73.783	61.791
	Other expenses		104.116	62.247
	TOTAL (B)	NA	700.312	476.078
Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (C)	344.496	243.274	211.266
Less	FINANCIAL EXPENSES (D)	2.010	8.348	4.473
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)	342.486	234.926	206.793
Less/ Add	DEPRECIATION/ AMORTISATION (F)	4.985	3.812	4.438
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)	337.501	231.114	202.355
Less	TAX (H)	104.068	73.928	67.606
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)	233.433	157.186	134.749
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD (K)	613.689	456.503	321.754
	BALANCE CARRIED TO THE B/S	847.122	613.689	456.503
	Earnings / (Loss) Per Share (Rs.)	90.16	60.71	52.04

Particulars	31.03.2014
Sales Turnover (Approximately)	1100.000

The above information has been parted by Mr. Dilip

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	NA	16.66	19.60
Net Profit Margin (PBT/Sales)	(%)	NA	25.11	30.17
Return on Total Assets (PBT/Total Assets}	(%)	24.24	28.12	27.50
Return on Investment (ROI) (PBT/Networth)		0.39	0.36	0.42
Debt Equity Ratio (Total Debt/Networth)		0.04	0.05	0.10
Current Ratio (Current Asset/Current Liability)		2.25	2.44	1.83

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	25.892	25.892	25.892
Reserves & Surplus	456.948	614.134	847.567
Net worth	482.840	640.026	873.459
long-term borrowings	0.000	0.000	0.000
Short term borrowings	46.021	35.047	38.158
Total borrowings	46.021	35.047	38.158
Debt/Equity ratio	0.095	0.055	0.044

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	No
18]	Major customers	No
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	Yes

OPERATIONS

The Company has achieved a profit of Rs.233.433 Millions. However, the Directors are looking forward to better prospects in coming years.

UNSECURED LOANS

(Rs. In Millions)

Particulars	As on 31.03.2013	As on 31.03.2012
Short Term Borrowings
Other loans and advances	38.158	35.047
Total	38.158	35.047

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10122707	03/09/2008	70,000,000.00	UNION BANK OF INDIA	M G ROAD BRANCH, 134/4, MAHATMA GANDHI ROAD, KOLKATA, West Bengal - 700007, INDIA	A45933546
2	10031848	24/01/2013 *	572,200,000.00	UNION BANK OF INDIA	M G ROAD BRANCH, 134/4, MAHATMA GANDHI ROAD, KOLKATA, West Bengal - 700007, INDIA	B67660662
3	90370827	08/02/2005 *	20,000,000.00	UNION BANK OF INDIA	M.G. ROAD BRANCH, 134/ 4 M.G. ROAD, CALCUTTA, West Bengal, INDIA	-

* Date of charge modification

FIXED ASSETS

• Land
• Office Building
• Air Conditioner
• Motor Vehicle
• Office Equipments
• IT Equipments
• Furniture and Fixtures

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 judgment 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.61.12
UK Pound	1	Rs.102.71
Euro	1	Rs.84.52

INFORMATION DETAILS

Information Gathered by :	SVA
Analysis Done by :	SMT
Report Prepared by :	VNK

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	7
--LIQUIDITY	1~10	7
--LEVERAGE	1~10	6
--RESERVES	1~10	6
--CREDIT LINES	1~10	5
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	YES
--OTHER ADVERSE INFORMATION	YES/NO	YES
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	YES
--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		54

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.