Report Date :

11.08.2014

IDENTIFICATION DETAILS

Name :	G V G PAPER MILLS PRIVATE LIMITED (w.e.f. 17.09.2001)
Formerly Known As :	G V G PAPER MILLS LIMITED (w.e.f. 01.07.1994) G V G PAPER MILLS PRIVATE LIMITED
Registered Office :	168/2, Sikhanda Batcha Street, Gandhi Nagar, Udumalpet – 642154, Tamilnadu
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	25.01.1985
Com. Reg. No.:	18-006888
Capital Investment / Paid-up Capital :	Rs. 30.000 Millions
CIN No.: [Company Identification No.]	U02101TZ1985PTC006888
PAN No.: [Permanent Account No.]	AABCG1438N
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Duplex Board.
No. of Employees :	300 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

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

Maximum Credit Limit :	USD 2500000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Exist
Comments :	Subject is an established company having satisfactory track record. The rating takes into consideration company’s sound financial risk profile and decent profitability levels of the company. Trade relations are fair. Business is active. Payment terms are reported to be usually correct. The company can be considered for business dealings at usual trade terms and condition.

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 – 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.

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	BBB+ = Long Term Rating
Rating Explanation	Having moderate degree of safety regarding timely securing in financial obligation it carry moderate credit risk.
Date	April 2013

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. Madhavan
Designation :	Vice President (Administration)
Contact No.:	91-4252-224113
Date :	09.08.2014

LOCATIONS

Registered Office / Corporate Office:	168/2, Sikhanda Batcha Street, Gandhi Nagar, Udumalpet – 642154, Tamilnadu, India
Tel. No.:	91-4252-224113/224513/224943
Fax No.:	91-4252-225425
E-Mail :	gvgpltd@gmail.com gvgmudt@dataone.in
Branch Office :	140, Mannarsamy Koil Street, Rayapuram, Chennai – 600013, Tamilnadu, India
Tel. No.:	91-44-25950906
Fax No.:	91-44-25961211
Factory :	Mallur, Pushpathur Village, Taluk Palani, District Dindigul, Tamilnadu, India
Tel. No.:	91-4252-252535/252536/252327
Fax No.:	91-4252-252245

DIRECTORS

AS ON 19.09.2013

Name :

Mr. Amarnath Muthuswamy

Designation :

Managing Director

Address :

133-3, Venkatesha Mills, Post Udumalpet, Coibatore – 642128, Tamilnadu, India

Date of Birth/Age :

10.10.1949

Date of Appointment :

25.01.1985

DIN No.:

00088110

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	U17111TZ1980PTC006887	G V G INDUSTRIES PRIVATE LIMITED	Director	11/09/1980	11/09/1980	-	Active	NO
2	U02101TZ1985PTC006888	G V G PAPER MILLS PRIVATE LIMITED	Managing director	25/01/1985	25/01/1985	-	Active	NO
3	U17111TZ1955PTC000012	ANNAMALAIAR MILLS PRIVATE LIMITED	Director	30/05/1990	30/05/1990	-	Active	NO
4	U17119TZ1990PTC002779	SVA SYNTEX PRIVATE LIMITED	Managing director	28/06/1990	28/06/1990	-	Active	NO
5	U17121TZ1991PTC003461	GVG PROCESSORS PRIVATE LIMITED	Director	07/10/1991	07/10/1991	-	Active	NO
6	U21012TZ1981PTC001118	SHRI HARI KRISHNA PAPERS PRIVATE LIMITED	Director	20/02/1995	20/02/1995	-	Active	NO

Name :

Mr. Veluswamy Muthuswamy

Designation :

Director

Address :

133-A, Venkatesha Mills, Post Udumalpet, Coibatore – 642128, Tamilnadu, India

Date of Birth/Age :

09.12.1947

Date of Appointment :

25.01.1985

DIN No.:

00088142

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	U17111TZ1980PTC006887	G V G INDUSTRIES PRIVATE LIMITED	Director	11/09/1980	11/09/1980	-	Active	NO
2	U02101TZ1985PTC006888	G V G PAPER MILLS PRIVATE LIMITED	Director	25/01/1985	25/01/1985	-	Active	NO
3	U17111TZ1955PTC000012	ANNAMALAIAR MILLS PRIVATE LIMITED	Director	03/08/1989	03/08/1989	-	Active	NO
4	U17115TZ1990PTC002695	SREE VISHNULAKSHMI TEXTILES PRIVATE LIMITED	Director	02/05/1990	02/05/1990	07/03/2011	Active	NO
5	U17119TZ1990PTC002779	SVA SYNTEX PRIVATE LIMITED	Director	28/06/1990	28/06/1990	-	Active	NO
6	U17121TZ1991PTC003461	GVG PROCESSORS PRIVATE LIMITED	Director	07/10/1991	07/10/1991	-	Active	NO
7	U17111TZ1989PTC002343	S V P B SPINNERS PRIVATE LIMITED	Director	06/10/1993	06/10/1993	-	Active	NO
8	U21012TZ1981PTC001118	SHRI HARI KRISHNA PAPERS PRIVATE LIMITED	Director	20/02/1995	20/02/1995	-	Active	NO
9	U17111TZ1989PTC002416	ANNAMALAIAR SPINNERS PRIVATE LIMITED	Director	19/08/2004	19/08/2004	-	Active	NO

Name :

Mrs. Padma Amarnath

Designation :

Director

Address :

133-3, Venkatesha Mills, Post Udumalpet, Coibatore – 642128, Tamilnadu, India

Date of Birth/Age :

09.07.1958

Date of Appointment :

28.09.1998

DIN No.:

00088176

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	U17111TZ1989PTC002343	S V P B SPINNERS PRIVATE LIMITED	Director	14/04/1989	14/04/1989	-	Active	NO
2	U17119TZ1990PTC002779	SVA SYNTEX PRIVATE LIMITED	Director	31/12/1993	31/12/1993	-	Active	NO
3	U02101TZ1985PTC006888	G V G PAPER MILLS PRIVATE LIMITED	Director	28/09/1998	28/09/1998	-	Active	NO

Name :

Mr. Vivek Veluswamy

Designation :

Director

Address :

133-A, SV Mills, Post Palani Road, Udumalpet, Coibatore – 642128, Tamilnadu, India

Date of Birth/Age :

21.05.1983

Date of Appointment :

30.08.2006

DIN No.:

00800236

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	U21012TZ1981PTC001118	SHRI HARI KRISHNA PAPERS PRIVATE LIMITED	Director	01/06/2006	01/06/2006	-	Active	NO
2	U02101TZ1985PTC006888	G V G PAPER MILLS PRIVATE LIMITED	Director	30/08/2006	30/08/2006	-	Active	NO
3	U17111TZ1989PTC002343	S V P B SPINNERS PRIVATE LIMITED	Director	23/08/2007	23/08/2007	-	Active	NO

Name :

Mr. Anish Amarnath

Designation :

Additional Director

Address :

133-3, Venkatesha Mills, Post Udumalpet, Coibatore – 642128, Tamilnadu, India

Date of Birth/Age :

03.12.1987

Date of Appointment :

19.01.2011

DIN No.:

03403506

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	U02101TZ1985PTC006888	G V G PAPER MILLS PRIVATE LIMITED	Additional director	19/01/2011	19/01/2011	-	Active	NO
2	U21012TZ1981PTC001118	SHRI HARI KRISHNA PAPERS PRIVATE LIMITED	Director	19/01/2011	19/01/2011	-	Active	NO
3	U17119TZ1990PTC002779	SVA SYNTEX PRIVATE LIMITED	Director	26/09/2012	26/09/2012	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Madhavan
Designation :	Vice President (Administration)

MAJOR SHAREHOLDERS

AS ON 19.09.2013

SHARE HOLDING DETAILS FILE ATTACHED.

Equity Share Break up (Percentage of Total Equity)

AS ON 19.09.2013

Category	Percentage
Directors or relatives of Directors	99.40
Other top fifty shareholders	0.60
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Duplex Board.

Products :

Product Description	ITC Code
Paper	4802

Exports :
Products :	Duplex Board
Countries :	· Sri Lanka · Egypt
Imports :
Products :	Raw Material
Countries :	· US · UK · Europe · Sri Lanka

GENERAL INFORMATION

No. of Employees :

300 (Approximately)

Bankers :

• The Lakshmi Vilas Co-operative Bank Limited, Tamilnadu, India
• The Karur Vysya Bank Limited, 2/3 Kalpana Road, Udamalpet, Coimbatore – 642126, Tamilnadu, India
• Lakshmi Vilas Bank Limited, 100 Palani Road, Udumalpet, Coimbatore – 642126, Tamilnadu -, India

Facilities :

From The Lakshmi Vilas Co-operative Bank Limited

Cash Credit = Rs. 150.000 Millions

Letter of Credit = Rs. 61.500 Millions

From The Karur Vysya Bank Limited

Cash Credit = Rs. 90.000 Millions

Letter of Credit = Rs. 25.000 Millions

Secured Loans :	As on 31.03.2013 Rs. in Millions	As on 31.03.2012 Rs. in Millions
LONG TERM BORROWING
Rupee term Loan from Bank	279.371	0.000
Other loans and advances	0.284	0.000
SHORT TERM BORROWING
Working Capital Loans from Bank	18.878	34.233
Total	298.533	34.233

Banking Relations :	--
Auditors :
Name :	A.Arjunaraj and Company Chartered Accountants
Address :	D No. 64,65, Bharathi Road, Ramnagar, Coimbatore – 641001, India
PAN No.:	ADDPA3928K
Associates:	Shri Hari Krishna Papers (Private) Limited, India CIN No. : U21012TZ1981PTC001118
Related Parties :	GVG Investments Private Limited, India SVA Syntex Private Limited, India Annamalaiar Spinners Private Limited, India

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

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	30.000	30.000	20.000
(b) Reserves & Surplus	578.524	502.055	438.643
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	0.000
(3) Deferred Government Grants	2.733	2.944	0.155
Total Shareholders’ Funds (1) + (2) + (3)	611.257	534.999	458.798
(4) Non-current liabilities
(a) long-term borrowings	283.607	3.750	8.268
(b) Deferred tax liabilities (Net)	62.934	66.753	68.840
(c) Other long term liabilities	2.873	3.400	3.128
(d) long-term provisions	0.000	0.000	1.424
Total Non-current Liabilities (4)	349.414	73.903	81.660
(5) Current liabilities
(a) Short term borrowings	18.878	34.233	21.063
(b) Trade payables	137.566	102.993	81.999
(c) Other current liabilities	66.746	38.775	31.773
(d) Short-term provisions	5.369	6.082	5.778
Total Current Liabilities (5)	228.559	182.083	140.613
TOTAL	1189.230	790.985	681.071
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	790.772	304.569	323.037
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.610	66.974	0.672
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	2.350	2.350	2.350
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	14.556	10.992	10.174
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	808.288	384.885	336.233
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	118.762	188.672	102.561
(c) Trade receivables	108.889	47.428	75.367
(d) Cash and cash equivalents	84.451	68.648	119.118
(e) Short-term loans and advances	61.545	88.687	33.880
(f) Other current assets	7.295	12.665	13.912
Total Current Assets	380.942	406.100	344.838
TOTAL	1189.230	790.985	681.071

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
	Revenue from operations		1553.800 (Approximately)	1305.500 (Approximately)	NA
	Other Income		NA	NA	NA
	TOTAL		NA	NA	NA
Less	EXPENSES		NA	NA	NA
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		170.010	129.895	116.813
Less	FINANCIAL EXPENSES		41.421	19.207	19.196
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		128.589	110.688	97.617
Less/ Add	DEPRECIATION/ AMORTISATION		130.153	26.209	24.334
	PROFIT BEFORE TAX, EXTRA ORDINARY ITEMS		(1.564)	84.479	73.283
Add	EXTRA ORDINARY ITEMS		100.500	0.000	0.000
	PROFIT BEFORE TAX		98.936	84.479	73.283
Less	TAX		17.237	15.209	20.524
	PROFIT AFTER TAX		81.699	69.270	52.759
	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		100.576	62.165	39.988
	APPROPRIATIONS
		Proposed Dividend	4.500	5.041	4.747
		Proposed Corporate Dividend Tax	0.730	0.818	0.788
		Transfer to General Reserve	25.000	25.000	25.000
	BALANCE CARRIED TO THE B/S		152.045	100.576	62.212
	EARNINGS IN FOREIGN CURRENCY		234.868	111.954	NA
	Earnings Per Share (Rs.)		27.23	23.09	NA

Particulars	31.03.2014
Sales Turnover (Approximately)	2850.000

The above information has been parted by Mr. Madhavan.

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
Return on Total Assets (PBT/Total Assets}	(%)	8.34	11.71	10.81
Return on Investment (ROI) (PBT/Networth)		0.16	0.16	0.16
Debt Equity Ratio (Total Debt /Networth)		0.49	0.45	0.40
Current Ratio (Current Asset/Current Liability)		1.67	2.23	2.45

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	20.000	30.000	30.000
Reserves & Surplus	438.643	502.055	578.524
Deferred Government Grants	0.155	2.944	2.733
Net worth	458.798	534.999	611.257
long-term borrowings	8.268	3.750	283.607
Short term borrowings	21.063	34.233	18.878
Total borrowings	29.331	37.983	302.485
Debt/Equity ratio	0.064	0.071	0.495

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	No
20]	Export / Import details (if applicable)	Yes
21]	Market information	------
22]	Litigations that the firm / promoter involved in	Yes
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

LITIGATION DETAILS

CHENNAI COURT
CASE STATUS INFORMATION SYSTEM

Case Status:	Pending
Status Of:	TAX CASE APPEAL
Case No.:	593
Year :	2013
Petitioner :	COMMISSIONER OF INCOME TAX
Respondent :	M/S GVG PAPER MILLS PPRIVATE LIMITED
Pet's Advocate :	M/S.N.V.BALAJI
Res's Advocate :	CHENNAI
Category :	NO CATEGORY MENTIONED
	Last Listed on: No Date Mentioned
Case Updated on :	April 9, 2014

No Connected Application(s)

No Connected Matter(s)

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10356880	25/02/2013 *	265,000,000.00	THE KARUR VYSYA BANK LIMITED	2/3 KALPANA ROAD, UDUMALPET, COIMBATORE, TAMILNADU - 642126, INDIA	B71226310
2	10256525	16/12/2010	2,500,000.00	TAMILNADU INDUSTRIAL INVESTMENT CORPORATION LIMITED	NO.692, ANNA SALAI, NANDANAM, CHENNAI, TAMILNADU - 600035, INDIA	B01494558
3	10049274	23/04/2007	18,000,000.00	THE TAMILNADU INDUSTRIAL INVESTMENT CORPORATION LIMITED	NO.9,SPENCER COMPOUND, THIRUVALLUVAR SALAI, DINDUGAL, TAMILNADU - 624003, INDIA	A14416721
4	10154062	31/03/2006	5,000,000.00	THE TAMILNADU INDUSTRIAL INVESTMENT CORPORATION LIMITED	NO.9 SPENCER COMPOUND, THIRUVALLUVAR SALAI, DINDI  GUL, TAMILNADU - 624003, INDIA	A01005289
5	80012571	03/04/2014 *	401,500,000.00	LAKSHMI VILAS BANK LIMITED	100 PALANI ROAD, UDUMALPET, TAMILNADU - 642126, INDIA	C14438907

* Date of charge modification

UNSECURED LOANS:

Particulars	As on 31.03.2013 Rs. in Millions	As on 31.03.2012 Rs. in Millions
LONG TERM BORROWING
Loan repayable on demand from Bank	3.952	3.750
Total	3.952	3.750

FIXED ASSETS:

• Land
• Building
• Plant and Equipment
• Factory Equipment
• Other Plant and Equipment
• Vehicles

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. 61.56
UK Pound	1	Rs. 103.50
Euro	1	Rs. 82.41

INFORMATION DETAILS

Information Gathered by :	SVA
Analysis Done by :	KAR
Report Prepared by :	SNT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION		0
--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	5
--MARGINS	-5~5	----
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	YES
--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		47

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.