MIRA INFORM REPORT

Report Date :

02.08.2014

IDENTIFICATION DETAILS

Name :	ALP AEROFLEX INDIA PRIVATE LIMITED
Registered Office :	Anbros House, 25/31, East Patel Nagar, Delhi - 110008
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	27.05.2011
Com. Reg. No.:	55-220003
Capital Investment / Paid-up Capital :	Rs.125.000 Millions
CIN No.: [Company Identification No.]	U74140DL2011PTC220003
TIN No.:	05012954569
PAN No.: [Permanent Account No.]	AAJCA4974F
Legal Form :	Private Limited Liability Company
Line of Business :	The Company is engaged in manufacturing EPDM Insulation Sheets, Tubes and accessories for the refrigeration and air conditioning.
No. of Employees :	100 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (30)

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

Maximum Credit Limit :	USD 682000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is a joint venture of ALP Overseas Private Limited, India and Eastern Polymer Industries, Thailand, it is a company having moderate track. The company possesses an acceptable financial profile marked by adequate capitalization as a result of capital infusion by the promoters along with low reserve and working capital intensity stemming from large receivable and inventory. Management has reported a sufficient turnover and net profitability during FY 2014 resulting into recovering accumulated losses of the previous year. The ratings also take into consideration, the susceptibility of operating margins to sharp movement in input raw material cast. However, trade relations are improving. Business is active. Payment terms are reported as slow but correct. In view of infancy, the company can be considered for business dealings with caution.

NOTES:

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

HENKEL RATING

HENKEL’s Rating :

400 (High risk) 450 (Very high risk)

Credit Rating	Henkel Rating (Customer Risk Assesment- CRA)
Mira Inform	Risk Category	Credit Limit	Description
Aaa	100	Inter Company, credit limit not required	Very low risk (blue ships)
Aa	200, 201	(120% of Gross Annualised Sales/365)*Credit Term.	Low risk
A	300, 301	(100% of Gross Annualised Sales/365)*Credit Term.	Moderate risk
Ba	350	(90% of Gross Annualised Sales/365)*Credit Term.	Significant risk
B	400	(80% of Gross Annualised Sales/365)*Credit Term.	High risk
	450		Very high risk
Ca or C	500*	NIL/ Legal/ Bad/No Transaction	Doubtful accounts
	007*	NIL	Small unrated customers
	009*	NIL	Inactive customers
	999*	Initially First Invoice vales, CRA will be done and based on report the CL would get revised.	New customer

ECGC Country Risk Classification List – June 1, 2014

Country Name	Previous Rating (31.03.2014)	Current Rating (01.06.2014)
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

N E W S

As per the latest IMF study, the total weigh of emerging markets in the GDP of the world on a purchasing power parity basis has seen a sizeable shift. It highlights how as against 51 % in 2005, the emerging economies now account for close to 56 % of the global purchasing power GDP as per the latest survey. And with the emerging economies growing at a faster rate than their developed counterparts, there are every possibility that the their share goes up further in the coming years.  China may surpass the US over the next few years.

Politics and economics are very intricately connected. They tend to influence each other in ways that could be very complex and far-reaching. The prospects of the India’s economy have been seriously compromised due to political corruption. High inflation, poor standard of living are to a great extent a result of rampant corruption in the country. China on the other hand, seems to be facing diametrically opposite challenge. American hedge fund manager Jim Chanos has been keenly following the political and economic development in the dragon economy and has figured out something that is quite worrying. He is of the view that the Chinese economy could be heading toward trouble on account of new Chinese President Xi Jingping’s very aggressive anti-corruption drive. Chanos believes tat many things such as apartment sales, luxury products, etc. were largely bought with dirty money. And it is now beginning to impact consumption. This may indeed be bad news for an economy that is struggling to transition from an investment-driven export-oriented economy to a domestic consumption-driven economy.

A study published by Firstpost has revealed that asset classes like real estate and equities were the biggest beneficiaries of the liberalization policies.  A firm called Ciane Analytics studied returns from assets including equities, gold, fixed deposits, G-Secs and real estate since 1991. Real estate outperformed every other asset classes during the 23-year period with an annualized return of 20 % ! Equities came in second with annualized return of 15.5 % ! However, while these returns may seem mouthwatering, the fact is that the return from equities adjusted for inflation came down to just 7.1 %.

Some brief news are as under

. R-Power to buy Jaypee’s hydro assets

. Investors await justice in NSEL case

. India seeks MFN status from Pakistan ahead of meeting

. Ukrain’s clashes with rebels hinder MH17 crash investigation

. India exploring merger of state-owned hydro PSUs

..Higher costs weigh down profit growth to slowest in 9 quarters

..Wal-Mart to expand wholesale business in India

. GMR group moves to strengthen balance sheet

. Central Bank to sell 4 % stake to Life Insurance Corporation

. Tata Chemicals plans to raise up to Rs 10000 mn.

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 31-03-2014.

INFORMATION PARTED BY

Name :	Mr. Virendra Kumar
Designation :	Accounts and Finance Manager
Contact No.:	91-124-4731500
Date :	31.07.2014

LOCATIONS

Registered Office :	Anbros House, 25/31, East Patel Nagar, Delhi – 110008, India
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	renuka@alpoverseas.com
Website :	http://www.alpgroup.in
Head Office / Corporate Office :	Plot No. 32, Sector-18 Huda, Gurgaon-122015, Haryana, India
Tel. No.:	91-124-4731500 / 1600
Fax No.:	91-124-4731598
Factory 1 :	C-10, Sector-1 Noida- 201301, Uttar Pradesh, India
Tel. No.:	91-120-2539455 / 3867890 to 894
Fax No.:	91-120-3867899
Factory 2 :	Opposite PG Collage, Bilaspur Road, Rudrapur, District Udham Singh Nagar - 263153, Uttarakhand India
Factory 3 :	34 KM, Chandigarh-Ambala Highway, Larlu, District Sas Nagar, Mohali - 140501, Punjab India

DIRECTORS

As on 24.06.2013

Name :

Mr. Iqbal Singh Anand

Designation :

Director

Address :

G-8B, Pushpanjali Farms, Bijawasan , New Delhi – 110061, India

Date of Birth/Age :

05.02.1949

Date of Appointment :

27.05.2011

DIN No.:

00023075

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	U25190DL1983PLC017070	ALP NISHIKAWA COMPANY LIMITED	Whole-time director	01/04/2014	07/12/1983	-	Active	NO
2	U15203CH1991PTC011712	ANBROS MANAGEMENT SERVICES PRIVATE LIMITED	Director	10/03/1996	10/03/1996	-	Active	NO
3	U65993DL1988PTC033873	ANBROS H0LDINGS PRIVATE LIMITED	Director	07/06/1996	07/06/1996	-	Active	NO
4	U51503DL1985PLC020192	ANNAPURNA INDUSTRIAL RESOURCES LIMITED	Director	19/03/1999	19/03/1999	26/04/2013	Amalgamated	NO
5	U30007DL2000PTC103701	ALP CORPORATE SERVICES PRIVATE LIMITED	Director	10/02/2000	10/02/2000	-	Active	NO
6	U25202DL2004PTC130759	ALP PLASTICS PRIVATE LIMITED	Director	24/11/2004	24/11/2004	-	Active	NO
7	U74999DL2007PTC161995	ISA ESTATES PRIVATE LIMITED	Director	13/04/2007	13/04/2007	-	Active	NO
8	U40101HP2007PTC030737	ANBROS POWER PROJECTS PRIVATE LIMITED	Director	03/05/2007	03/05/2007	-	Strike off	NO
9	U51109DL1999PTC099092	AJAX INDUSTRIAL PRODUCTS PRIVATE LIMITED	Director	22/02/2010	22/02/2010	-	Active	NO
10	U74140DL2011PTC218585	ALP POLYMER PARK PRIVATE LIMITED	Director	04/05/2011	04/05/2011	-	Active	NO
11	U74140DL2011PTC220003	ALP AEROFLEX INDIA PRIVATE LIMITED	Director	27/05/2011	27/05/2011	-	Active	NO
12	U70200DL2012PTC233179	SKA ESTATES PRIVATE LIMITED	Director	20/03/2012	20/03/2012	18/01/2014	Active	NO
13	U51909HR2013PTC048216	Genesis Ecotech Private Limited	Director	29/01/2013	29/01/2013	-	Active	NO

Name :

Mr. Tejbir Singh Anand

Designation :

Director

Address :

G-8B, Pushpanjali Farms, Bijawasan , New Delhi – 110061, India

Date of Birth/Age :

22.04.1977

Date of Appointment :

27.05.2011

DIN No.:

00038356

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	U74900DL1996PTC080083	ALP OVERSEAS PRIVATE LIMITED	Managing director	01/04/2012	01/01/1999	-	Active	NO
2	U51109DL1999PTC099092	AJAX INDUSTRIAL PRODUCTS PRIVATE LIMITED	Director	31/03/1999	31/03/1999	-	Active	NO
3	U30007DL2000PTC103701	ALP CORPORATE SERVICES PRIVATE LIMITED	Director	22/05/2000	22/05/2000	-	Active	NO
4	U74999DL2007PTC161995	ISA ESTATES PRIVATE LIMITED	Director	13/04/2007	13/04/2007	-	Active	NO
5	U40101HP2007PTC030738	GTP POWER PROJECTS PRIVATE LIMITED	Director	03/05/2007	03/05/2007	-	Strike off	NO
6	U74140DL2011PTC218585	ALP POLYMER PARK PRIVATE LIMITED	Director	04/05/2011	04/05/2011	-	Active	NO
7	U74140DL2011PTC220003	ALP AEROFLEX INDIA PRIVATE LIMITED	Director	27/05/2011	27/05/2011	-	Active	NO
8	U25190DL1983PLC017070	ALP NISHIKAWA COMPANY LIMITED	Director	02/09/2011	02/09/2011	-	Active	NO
9	U25202DL2004PTC130759	ALP PLASTICS PRIVATE LIMITED	Director	25/04/2013	25/04/2013	-	Active	NO
10	U51909HR2013PTC048216	Genesis Ecotech Private Limited	Additional director	04/06/2014	04/06/2014	-	Active	NO

Name :

Lucsapol Singsoowong

Designation :

Director

Address :

2-92, Laksi Janwattana, 14, Bangkok, Thailand – 10210, Thailand

Date of Birth/Age :

29.11.1978

Date of Appointment :

27.05.2011

DIN No.:

03501952

Name :

Mr. Pawandeep Singh Anand

Designation :

Director

Address :

H-5/2, Model Town, Delhi - 110009, India

Date of Birth/Age :

22.04.1977

Date of Appointment :

11.08.2012

DIN No.:

00023193

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	U15203CH1991PTC011712	ANBROS MANAGEMENT SERVICES PRIVATE LIMITED	Director	28/02/1996	28/02/1996	-	Active	NO
2	U65993DL1988PTC033873	ANBROS H0LDINGS PRIVATE LIMITED	Director	12/04/1996	12/04/1996	-	Active	NO
3	U51503DL1985PLC020192	ANNAPURNA INDUSTRIAL RESOURCES LIMITED	Director	19/03/1999	19/03/1999	26/04/2013	Amalgamated	NO
4	U30007DL2000PTC103701	ALP CORPORATE SERVICES PRIVATE LIMITED	Director	22/05/2000	22/05/2000	-	Active	NO
5	U25190DL1983PLC017070	ALP NISHIKAWA COMPANY LIMITED	Managing director	01/04/2014	01/10/2005	-	Active	NO
6	U25202DL2004PTC130759	ALP PLASTICS PRIVATE LIMITED	Director	25/04/2013	01/02/2010	-	Active	NO
7	U74140DL2011PTC220003	ALP AEROFLEX INDIA PRIVATE LIMITED	Director	11/08/2012	01/08/2011	-	Active	NO
8	U74140DL2011PTC218585	ALP POLYMER PARK PRIVATE LIMITED	Director	25/04/2013	25/04/2013	-	Active	NO
9	U51109DL1999PTC099092	AJAX INDUSTRIAL PRODUCTS PRIVATE LIMITED	Director	25/04/2013	25/04/2013	-	Active	NO

Name :

Pawat Vitoorapakorn

Designation :

Director

Address :

33/5, Muban Laddawanm Sri Nakarin Road, Banekew, Banepee, Samutpakran, Thailand – 10540, Thailand

Date of Birth/Age :

19.07.1951

Date of Appointment :

27.05.2011

DIN No.:

03501964

KEY EXECUTIVES

Name :	Mrs. Himadri Pathak
Designation :	Secretary
Address :	B-137, Delhi Administrative Falts, Timarpur, New Delhi, India
Date of Birth/Age :	28.06.1988
Date of Appointment :	24.06.2013
PAN No.:	BDPPP7840C

MAJOR SHAREHOLDERS

As on 31.03.2014

Names of Shareholders	No. of Shares
ALP Overseas Private Limited, India	7500000
Aeroflex Company Limited, Thailand	5000000
Total	12500000

As on 21.04.2014

Names of Shareholders	No. of Shares
ALP Overseas Private Limited, India	664500
Aeroflex Company Limited, Thailand	1800000
Total	2464500

Equity Share Break up (Percentage of Total Equity)

As on 24.06.2013

Category	Percentage
Bodies corporate	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	The Company is engaged in manufacturing EPDM Insulation Sheets, Tubes and accessories for the refrigeration and air conditioning.
Exports :
Products :	PDM Insulation Sheets, Tubes and accessories
Countries :	Sri Lanka
Imports :
Products :	Raw Material
Countries :	· China · Thailand · Germany · Korea
Terms :
Selling :	Cash and Advance Payment
Purchasing :	Cash and Advance Payment

GENERAL INFORMATION

No. of Employees :

100 (Approximately)

Bankers :

ING Vysya Bank Limited, Sector-18, Noida - 201301, Uttar Pradesh, India

Facilities :

Cash Credit = Rs.60.000 Millions (From ING Vysya Bank Limited)

LC = Rs.15.000 Millions (From ING Vysya Bank Limited)

SECURED LOANS	31.03.2014 Rs. In Millions	31.03.2013 Rs. In Millions
Long Term Borrowings
Loans taken for vehicles	0.627	1.298
Short Term Borrowings
Loans repayable on demand from banks	38.842	0.000
Total	39.469	1.298

Banking Relations :	--
Auditors :
Name :	MNV and Company Chartered Accountants
Address :	A-22, Green Park, Main Aurobindo Marg, New Delhi, India
PAN No.:	AATFM1994L
Holding Company :	· ALP Overseas Private Limited CIN No.: U74900DL1996PTC080083
Associates :	· Genesis Ecotech Private Limited CIN No.: U51909HR2013PTC048216

CAPITAL STRUCTURE

After 31.03.2014

Authorised Capital : Rs.170.000 Millions

Issued, Subscribed & Paid-up Capital : Rs.170.000 Millions

As on 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
15000000	Equity Shares	Rs.10/- each	Rs.150.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
12500000	Equity Shares	Rs.10/- each	Rs.125.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

FINANCIAL DETAILS FILE ATTACHED

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	Rs. In Millions	Rs. In Millions	Rs. In Millions
Share Capital	50.000	65.000	125.000
Reserves & Surplus	(6.397)	(5.554)	0.512
Share Application money pending allotment	0.000	0.000	45.000
Net worth	43.603	59.446	170.512
long-term borrowings	0.000	1.298	0.627
Short term borrowings	0.000	0.000	38.842
Total borrowings	0.000	1.298	39.469
Debt/Equity ratio	0.000	0.022	0.231

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	Rs. In Millions	Rs. In Millions	Rs. In Millions
Sales	88.656	248.405	336.136
		180.190	35.318

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	Rs. In Millions	Rs. In Millions	Rs. In Millions
Sales	88.656	248.405	336.136
Profit	(6.398)	0.843	6.066
	(7.22%)	0.34%	1.80%

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	No

NATURE OF OPERATIONS

The Company was incorporated on May 27, 2011 under the Indian Companies Act, 1956; the Company is engaged in manufacturing EPDM Insulation Sheets, Tubes and accessories for the refrigeration and air conditioning.

FINANCIAL RESULTS AND PERFORMANCE

During the year the turnover of the Company is Rs.336.136 Millions (Rupees Thirty Three Crore Sixty One Lacs Thirty Six Thousand Seventy Two only) as against Rs.248.405 Millions (Rupees Twenty Four Crore Eighty Four Lacs Four Thousand Five Hundred Six only) for the previous year. The directors are continuously looking for avenues for future growth of the Company.

Further, the net profits of the Company as on 31st March, 2014 is amounted to Rs.6.066 Millions (Sixty Lacs Sixty Five Thousand Eight Hundred Sixty only) as against Rs.0.843 Million in the previous year.

INDEX OF CHARGE:

Sr. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10452897	14/08/2013	75,000,000.00	ING Vysya Bank Limited	Sector-18, Noida, Noida, Uttar Pradesh - 201301, India	B86591914

*Date of modification CHARGES

FIXED ASSETS:

· Land

· Building

· Plant and Machinery

· Computer

· Vehicles

· Furniture and Fixture

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 records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

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

3] Asset Declaration :

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

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

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

Charges or investigation registered against subject: None

7] Criminal Records

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

8] Affiliation with Government :

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

9] Compensation Package :

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

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

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

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

CONTRAVENTION

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

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.60.85
UK Pound	1	Rs.102.69
Euro	1	Rs.81.46

INFORMATION DETAILS

Information Gathered by :	SVA
Analysis Done by :	SUB
Report Prepared by :	VNT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		30

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.