Report Date :

12.08.2014

IDENTIFICATION DETAILS

Name :	NORATEL INDIA POWER COMPONENTS PRIVATE LIMITED (w.e.f. 08.01.2009)
Formerly Known As :	TOROID INDIA PRIVATE LIMITED
Registered Office :	6^th Floor, NILA, Technopark Campus, Kariyavattom, Trivandrum – 695 581, Kerala
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	09.09.1996
Com. Reg. No.:	09-010715
Capital Investment / Paid-up Capital :	Rs.89.515 millions
CIN No.: [Company Identification No.]	U31102KL1996PTC010715
TAN No.: [Tax Deduction & Collection Account No.]	TVDT00619D
PAN No.: [Permanent Account No.]	AAACT8702F
Legal Form :	Private Limited Liability Company
Line of Business :	Subject is into manufacture and sale of Toroidal Transformers, Inductors, Chokes and Current Transformers.
No. of Employees :	350 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (41)

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

Maximum Credit Limit :	USD 374000
Status :	Satisfactory
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. A reserve of the company is low. However, the rating takes into consideration company’s improved operational performance and fair profitability achieved from its operational activities. Trade relations are fair. Business is active. Payment terms are reported to be slow but 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

NEWS

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 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 that 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. Radhakrishnan
Designation :	Accounts Department
Contact No.:	91-471-3048275
Date :	11.08.2014

LOCATIONS

Registered Office/ Factory :	6^th Floor, NILA, Technopark Campus, Kariyavattom, Trivandrum – 695 581, Kerala
Tel. No.:	91-471-3048275
Fax No.:	91-471-3048285
E-Mail :	info@noratel.in
Website :	http://www.noratel.com

DIRECTORS

AS ON 30.09.2013

Name :

Christopher Rudolf Gunther Buser

Designation :

Director

Address :

3, Springhill Road, Framingham, MA 01701-7768, United States of America

Date of Birth/Age :

24.06.1961

Date of Appointment :

31.12.2009

DIN No.:

02208508

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	U51505KL1997PTC011450	TOROID ASIA PRIVATE LIMITED	Director	29-09-2008	01-06-2008	-	Active	NO
2	U31102KL1996PTC010715	NORATEL INDIA POWER COMPONENTS PRIVATE LIMITED	Director	31-12-2009	01-06-2008	-	Active	NO

Name :

Asle Ellef Braathen Tandberg

Designation :

Director

Address :

OST Modumvein, N 3370, Vikersund, Norway

Date of Birth/Age :

30.12.1961

Date of Appointment :

03.03.2006

DIN No.:

00648789

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	U51505KL1997PTC011450	TOROID ASIA PRIVATE LIMITED	Director	03-03-2006	03-03-2006	-	Active	NO
2	U31102KL1996PTC010715	NORATEL INDIA POWER COMPONENTS PRIVATE LIMITED	Director	03-03-2006	03-03-2006	-	Active	NO

Name :

Reidar Kjaer

Designation :

Director

Address :

Skogbrynet 3A, 0283, Oslo, Norway

Date of Birth/Age :

06.02.1956

Date of Appointment :

30.12.2006

DIN No.:

01208516

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	U31102KL1996PTC010715	NORATEL INDIA POWER COMPONENTS PRIVATE LIMITED	Director	30-12-2006	19-12-2006	-	Active	NO
2	U51505KL1997PTC011450	TOROID ASIA PRIVATE LIMITED	Director	19-12-2006	19-12-2006	-	Active	NO

Name :

Mr. Jomy Joseph

Designation :

Managing Director

Address :

TC 9/1550, Vazhathara Chekkalamukku, Sreekaryam, Trivandrum – 695 017, Kerala, India

Date of Birth/Age :

12.05.1975

Date of Appointment :

07.05.2010

DIN No.:

02896748

PAN No.:

AGFPJ7686J

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	U31102KL1996PTC010715	NORATEL INDIA POWER COMPONENTS PRIVATE LIMITED	Managing director	07-05-2010	01-01-2010	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Sreejith N.
Designation :	Secretary
Address :	Room 1, Chandrodayan Attinkuzhi Kulathoor, Trivandrum – 695 581, Kerala, India
Date of Birth/Age :	23.02.1977
Date of Appointment :	22.06.2006
PAN No.:	BDEPS3341E

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2013

Names of Shareholders	No. of Shares
Noratel AS, Norway	8951479
Noratel Sweden AB, Sweden	1
Total	8951480

AS ON 30.09.2013

Equity Share Breakup	Percentage of Holding
Category
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]	100.00

BUSINESS DETAILS

Line of Business :	Subject is into manufacture and sale of Toroidal Transformers, Inductors, Chokes and Current Transformers.
Exports :
Products :	· Finished Goods
Countries :	· Germany · Philippines · UK · Finland
Imports :
Products :	· Raw Materials
Countries :	· Malaysia · UAE · Taiwan · China · Poland · Germany · Sri Lanka

PRODUCTION STATUS [AS ON 31.03.2011]:

Particulars	2010-2011
Licensed Capacity	Not Applicable
Installed Capacity	25 lakhs units p.a.
Actual Production	435194

GENERAL INFORMATION

No. of Employees :

350 (Approximately)

Bankers :

Canara Bank, Cantonment Branch, M.G. Road, Spencer Junction, Trivandrum – 695 001, Kerala, India

Facilities :

Packing Credit: Rs.7.600 millions (From Canaral Bank)

Secured Loans	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions)
LONG-TERM BORROWINGS
Rupee Term loans from banks (Vehicle loan from Canara Bank: It is secured by hypothecation of motor vehicle purchased out of the loan.)	0.000	0.355
SHORT-TERM BORROWINGS
Loans repayable on demand from banks	3.698	7.273
Total	3.698	7.628

Notes:

LONG-TERM BORROWINGS

The loan of Rs.0.640 million is repayable in 72 monthly installments commencing from 2 March, 2010 @ Rs.0.011 million for the first 12 months, Rs.0.012 million for the next 24 months, Rs.0.012 million for the next 24 months and Rs.0.012 million for the last 12 months. It is secured by hypothecation of motor vehicle purchased out of the loan. Interest rate is 8.50% for the first 12 months, 9.50% for the next 24 months, 10.00% for the next 24 months and 10.50% for the last 12 months. The Company has prepaid and closed the loan on 13^th March, 2013.

Banking Relations :	--
Auditors :
Name :	Deloitte Haskins and Sells Chartered Accountants
Address :	Wilmont Park Business Centre, Warriam Road, Kochi – 682 016, Kerala, India
Tel. No.:	91-484-2353694
Fax No.:	91-484-2380094
Income-tax PAN of auditor or auditor's firm :	AACFD3771D
Ultimate Holding Company:	Trafo Holding AS, Norway
Holding Company:	Noratel AS, Norway
Fellow Subsidiary Companies:	· Toroid Asia Private Limited, India (CIN No.: U51505KL1997PTC011450) · Noratel UK Limited, United Kingdom · Noratel AG, Germany · Noratel Sweden AB, Sweden · Noratel Spain SL, Spain · Noratel SP Zoo, Poland · Noratel North America Inc., United States · Noratel Lanka (Private) Limited, Sri Lanka · Noratel International (Private) Limited, Sri Lanka · Noratel Germany AG, Germany · Foshan Noratel Electric Company Limited, China

CAPITAL STRUCTURE

AS ON 30.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
8952000	Equity Shares	Rs.10/- each	Rs.89.520 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
8951480	Equity Shares	Rs.10/- each	Rs.89.515 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	89.515	89.515	89.515
(b) Reserves & Surplus	3.937	(19.886)	(39.308)
(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)	93.452	69.629	50.207
(3) Non-Current Liabilities
(a) Long-term borrowings	0.000	0.355	0.455
(b) Deferred tax liabilities (Net)	0.000	0.000	0.000
(c) Other long term liabilities	0.000	0.000	0.000
(d) Long-term provisions	11.780	9.857	7.436
Total Non-current Liabilities (3)	11.780	10.212	7.891
(4) Current Liabilities
(a) Short term borrowings	25.616	38.790	22.373
(b) Trade payables	51.391	37.964	31.093
(c) Other current liabilities	33.783	34.939	71.116
(d) Short-term provisions	4.397	4.449	1.389
Total Current Liabilities (4)	115.187	116.142	125.971
TOTAL	220.419	195.983	184.069
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	29.480	29.066	28.393
(ii) Intangible Assets	1.717	1.730	2.219
(iii) Capital work-in-progress	0.014	0.828	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.000	0.000	0.000
(c) Deferred tax assets (net)	1.887	1.123	0.000
(d) Long-term Loan and Advances	3.275	3.232	5.078
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	36.373	35.979	35.690
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	81.436	76.752	79.456
(c) Trade receivables	60.210	52.536	37.279
(d) Cash and cash equivalents	35.613	27.248	27.600
(e) Short-term loans and advances	6.787	3.468	4.044
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	184.046	160.004	148.379
TOTAL	220.419	195.983	184.069

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Turnover	389.800	355.700	339.200
		Other Income	NA	NA	NA
		TOTAL	NA	NA	NA
Less	EXPENSES
		TOTAL	NA	NA	NA
	PROFIT/ (LOSS) BEFORE TAX		NA	NA	NA
Less	TAX		NA	NA	NA
	PROFIT/ (LOSS) AFTER TAX		23.800	19.400	37.200
	Earnings/ (Loss) Per Share (Rs.)		2.66	2.17	4.16

Particulars	31.03.2014
Sales Turnover (Approximately)	513.500

The above information has been parted by Mr. Radhakrishnan (Accounts Department).

KEY RATIOS

PARTICULARS	31.03.2013	31.03.2012	31.03.2011
Debt Equity Ratio (Total Debt/Networth)	0.27	0.56	0.45
Current Ratio (Current Asset/Current Liability)	1.60	1.38	1.18

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2011	31.03.2012	31.03.2013
	(INR in Mlns.)	(INR in Mlns.)	(INR in Mlns.)
Share Capital	89.515	89.515	89.515
Reserves & Surplus	(39.308)	(19.886)	3.937
Share Application money pending allotment	0.000	0.000	0.000
Net worth	50.207	69.629	93.452
Long-term borrowings	0.455	0.355	0.000
Short term borrowings	22.373	38.790	25.616
Total borrowings	22.828	39.145	25.616
Debt/Equity ratio	0.455	0.562	0.274

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2011	31.03.2012	31.03.2013
	(INR in Mlns)	(INR in Mlns)	(INR in Mlns)
Turnover	339.200	355.700	389.800
		4.864	9.587

NET PROFIT MARGIN

Net Profit Margin	31.03.2011	31.03.2012	31.03.2013
	(INR in Mlns)	(INR in Mlns)	(INR in Mlns)
Turnover	339.200	355.700	389.800
Profit	37.200	19.400	23.800
	10.97%	5.45%	6.11%

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	--
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]	PAN of Proprietor/Partner/Director, if available	Yes
32]	Date of Birth 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	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions)
SHORT-TERM BORROWINGS
Loans repayable on demand from banks	21.918	31.517
Total	21.918	31.517

Notes:

SHORT-TERM BORROWINGS

(A) Details of short-term borrowing counter-guaranteed by the holding company: Loan repayable on demand from a bank (Note (a) below): Packing Credit Loan from The Hongkong and Shanghai Banking Corporation Limited Note (a): Packing Credit Loan in Foreign Currency and Buyer's Credit facility availed from The Hongkong and Shanghai Banking Corporation Limited is secured by way of Standby Letter of Credit from Fokus Bank, Norway, which is guaranteed by the holding company Noratel AS, Norway, to cover the entire limit of USD 800,000/- and two months interest.

INDEX OF CHARGES:

S. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10029314	13/11/2006	1,850,000.00	CANARA BANK	CONTONMENT BRANCH, M.G. ROAD, TRIVANDRUM, KERALA - 695039, INDIA	A08085177
2	10029316	13/11/2006	2,000,000.00	CANARA BANK	CONTONMENT BRANCH, M.G. ROAD, TRIVANDRUM, KERALA -695001, INDIA	A08085557
3	90023993	13/11/2006 *	8,000,000.00	CANARA BANK	CONTONMENT BRANCH, M.G. ROAD, TRIVANDRUM, KERALA -695001, INDIA	-
4	80013377	28/11/2000 *	265,000.00	CANARA BANK	CONTONMENT BRANCH, M.G. ROAD, TRIVANDRUM, KERALA -695039, INDIA	-
5	80013380	02/11/2001 *	700,000.00	CANARA BANK	CONTONMENT BRANCH, M.G. ROAD, TRIVANDRUM, KERALA -695039, INDIA	-
6	90023938	13/11/2006 *	3,000,000.00	CANARA BANK	CONTONMENT BRANCH, M.G. ROAD, TRIVANDRUM, KERALA -695039, INDIA	-
7	80013374	13/11/2006 *	8,000,000.00	CANARA BANK	CONTONMENT BRANCH, M.G. ROAD, TRIVANDRUM, KERALA -695039, INDIA	-
8	90023935	13/11/2006 *	8,000,000.00	CANARA BANK	CONTONMENT BRANCH, M.G. ROAD, TRIVANDRUM, KERALA -695039, INDIA	-
9	80013376	08/07/1999 *	3,000,000.00	CANARA BANK	CONTONMENT BRANCH, M.G. ROAD, TRIVANDRUM, KERALA -695001, INDIA	-

* Date of charge modification

CORPORATE INFORMATION

Subject is 100% subsidiary of Noratel Group based in Norway. The Company is into manufacture and sale of Toroidal Transformers, Inductors, Chokes and Current Transformers. Registered office and manufacturing facility of the Company is located at Technopark, Trivandrum, Kerala. The Company caters to both domestic and international markets. Technical competence and quality of the products make the Company the first choice supplier to most demanding OEM companies.

FIXED ASSETS:

· Buildings

· Plant and Equipment

· Furniture and Fixtures

· Vehicles

· Office Equipment

· Leasehold Improvements

· Computer Software

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 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] 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.102.54
Euro	1	Rs.81.87

INFORMATION DETAILS

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

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	4
--RESERVES	1~10	4
--CREDIT LINES	1~10	4
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		41

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.