Report Date :

12.08.2014

IDENTIFICATION DETAILS

Name :	RATHNA PACKAGING INDIA PRIVATE LIMITED
Formerly Known As :	ASIAN PACKAGING
Registered Office :	No. 19, 15th Cross,15th Main, 4th Sector, HSR Layout, Bangalore – 560102, Karnataka
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	30.12.2205
Com. Reg. No.:	08-038098
Capital Investment / Paid-up Capital :	Rs.125.000 Millions
CIN No.: [Company Identification No.]	U21022KA2005PTC038098
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and exporter of flexible packaging and other polythene allied products.
No. of Employees :	Information denied by management

RATING & COMMENTS

MIRA’s Rating :

B (28)

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

Status :	Moderate
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. As per Registrar of Companies the date of balance sheet i.e. financials filed is shown as 31^st March 2013 but the documents related to the financials for the year 2012 and 2013 are not available from any sources. As per available financial 2011, financial position of the company seems to be fair. Trade relations are reported as fair. Business is active. Payment terms are unknown. The company can be considered for business dealings with some cautions.

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	CARE
Rating	Long Term bank Facilities = BB+ (Suspended)
Rating Explanation	Inadequate credit quality and high credit risk.
Date	30.01.2014

Rating Agency Name	CARE
Rating	Short Term bank Facilities = A4+ (Suspended)
Rating Explanation	Minimal degree of safety and carry very high credit risk
Date	30.01.2014

Reason for Suspension: The rating have been suspended as the company has not furnished the information required by CARE for monitoring of the ratings.

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 DENIED

Management Non Co-Operative (Tel No.: 91-80-25720005)

LOCATIONS

Registered Office / Head Office / Corporate Office :	#19, 15th Main, 15th Cross, Sector 4, HSR Layout, Bangalore – 560102, Karnataka, India
Tel. No.:	91-80-25720005
Fax No.:	Not Available
E-Mail :	rathnapackagingipl@yahoo.co.in hr@rathnagroup.in info@rathnagroup.in
Website :	http://www.rathnagroup.in
Manufacturing Unit I :	#55, SIPCOT Industrial Complex, Phase-I, Mookandapalli Post, Hosur - 635126, Tamilnadu, India
Tel. No.:	91-4344-400221 / 278804 / 403900
Fax No.:	91-4344-400225
Manufacturing Unit II :	#852/2A, Aggondapalli Village, Achettipalli Post, Denkanikotta Taluk, Krishnagiri – 635110, Tamilnadu, India
Tel. No.:	91-4347-291177

DIRECTORS

As on 30.09.2013

Name :

Mr. Bodugu Sudhakar

Designation :

Managing Director

Address :

H No.9-1, Kolamasanapalli, Palamaneru, Chittor – 517408, Andhra Pradesh, India

Date of Birth/Age :

25.05.1973

Date of Appointment :

01.11.2011

DIN No.:

01854832

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	U21022KA2005PTC038098	Rathna Packaging India Private Limited	Managing director	01/11/2011	30/12/2005	-	Active	NO
2	U51215KA2006PTC039246	RATHNA BIOTECK PRIVATE LIMITED	Director	05/05/2006	05/05/2006	-	Active	NO
3	U28999TN2005PTC056971	Camtech CNC Private Limited	Director	12/05/2008	12/05/2008	-	Active	NO
4	U21013KA2010PTC053485	Rathna Multi Films Private Limited	Managing director	04/05/2010	04/05/2010	-	Active	NO
5	U45202TN2010PTC076995	NEO HOMES BUILDERS & DEVELOPERS PRIVATE LIMITED	Director	10/03/2012	10/03/2012	-	Active	NO
6	U45205KA2011PTC061392	NEO HEIGHTS BUILDERS & PROMOTERS PRIVATE LIMITED	Director	31/12/2012	31/03/2012	-	Active	NO
7	U55101KA2012PTC065389	GOOSEBERRY HOTELS AND RESORTS PRIVATE LIMITED	Whole-time director	17/08/2012	17/08/2012	-	Active	NO
8	U25200KA2012PTC065763	SAS SKYTECK ENGINEERING PROJECTS PRIVATE LIMITED	Director	05/09/2012	05/09/2012	-	Active	NO

Name :

Bodugu Gangi Reddy

Designation :

Director

Address :

122, Samadanapuram, SIPCOT Housing Hosur, Krishnagiri – 635126, Tamilnadu, India

Date of Birth/Age :

01.07.1940

Date of Appointment :

30.12.2005

DIN No.:

01854981

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	U21022KA2005PTC038098	Rathna Packaging India Private Limited	Director	30/12/2005	30/12/2005	-	Active	NO
2	U51215KA2006PTC039246	RATHNA BIOTECK PRIVATE LIMITED	Director	05/05/2006	05/05/2006	-	Active	NO
3	U21013KA2010PTC053485	Rathna Multi Films Private Limited	Director	04/05/2010	04/05/2010	-	Active	NO

Name :

Rathna Reddy

Designation :

Director

Address :

Kolamasanapalli, Palamaneru, Chittor – 517408, Andhra Pradesh, India

Date of Birth/Age :

01.07.1947

Date of Appointment :

30.12.2005

DIN No.:

02674222

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	U21022KA2005PTC038098	RATHNA PACKAGING INDIA PRIVATE LIMITED	Director	30/12/2005	30/12/2005	-	Active	NO
2	U51215KA2006PTC039246	RATHNA BIOTECK PRIVATE LIMITED	Managing director	05/05/2006	05/05/2006	-	Active	NO
3	U21013KA2010PTC053485	RATHNA MULTI FILMS PRIVATE LIMITED	Director	04/05/2010	04/05/2010	-	Active	NO

Name :

B. Geetha

Designation :

Director

Address :

Kolamasanapalli, Palamaneru, Chittor – 517408, Andhra Pradesh, India

Date of Birth/Age :

09.08.1979

Date of Appointment :

01.04.2006

DIN No.:

02674245

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	U21022KA2005PTC038098	Rathna Packaging India Private Limited	Director	30/06/2007	01/04/2006	-	Active	NO
2	U51215KA2006PTC039246	RATHNA BIOTECK PRIVATE LIMITED	Director	05/05/2006	05/05/2006	-	Active	NO
3	U21013KA2010PTC053485	Rathna Multi Films Private Limited	Director	04/05/2010	04/05/2010	-	Active	NO
4	U55101KA2012PTC065389	GOOSEBERRY HOTELS AND RESORTS PRIVATE LIMITED	Director	17/08/2012	17/08/2012	-	Active	NO

MAJOR SHAREHOLDERS

As on 30.09.2013

Names of Shareholders	No. of Shares	% of Holding
Bodugu Sudhakar	512500	41.00
Bodugu Gangi Reddy	118750	9.50
Rathna Reddy	118750	9.50
B. Geetha	500000	40.00
Total	1250000	100.00

Equity Share Break up (Percentage of Total Equity)

As on 30.09.2013

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and exporter of flexible packaging and other polythene allied products.

GENERAL INFORMATION

Customers :

· Naga Limited

· Christy Friedgrams

· Aachi Masala

· Lotte

· Savorit Limited

· BOSCH

· ITC

· 3 M India

· Carburandom

· HUL

· TVS

· Sundaram

· Nilgiris

· Wipro

No. of Employees :

Information denied by management

Bankers :

· ICICI Bank Limited, No.1, Cenotaph Road, Teynampet, Chennai - 600018, Tamilnadu, India

· State Bank of India, No. 26/A, Electronic City Branch, Hosur Road, Bangalore - 560100, Karnataka, India

Facilities :

SECURED LOANS	31.03.2011 Rs. In Millions	31.03.2010 Rs. In Millions
Term loan
From banks and financial institutions	23.271	14.755
Cash Credit – SBI Electronic city branch	99.394	30.880
Total	122.665	45.635

Banking Relations :	--
Financial Institutions :	Siemens Financial Services Private Limited, 130, Pandurang Budhkar Marg, Worli, Mumbai - 400018, Maharashtra, India
Auditors :
Name :	S. Batrayasamy and Company Chartered Accountants
Address :	75/5A, Anna Nagar, Old Telephone Exchange Road, Hosur, Krishnagiri – 635109, Tamilnadu, India
Tel. No.:	91-4344-222893
E-Mail :	sbetraya@yahoo.co.in
PAN No.:	AEKPB5841E

CAPITAL STRUCTURE

As on 30.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
1500000	Equity Shares	Rs.100/- each	Rs.150.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1250000	Equity Shares	Rs.100/- each	Rs.125.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		43.000	16.950	16.950
2] Share Application Money		14.125	0.000	0.000
3] Reserves & Surplus		27.844	11.837	5.523
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		84.969	28.787	22.473
LOAN FUNDS
1] Secured Loans		122.665	45.635	10.893
2] Unsecured Loans		16.909	8.866	8.630
TOTAL BORROWING		139.574	54.501	19.523
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		224.543	83.288	41.996
APPLICATION OF FUNDS
		86.393	37.009	22.104
FIXED ASSETS [Net Block]		0.000	0.000	0.000
Capital work-in-progress
		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERRED TAX ASSETS
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	65.601	21.184	9.178
	Sundry Debtors	125.970	69.357	32.056
	Cash & Bank Balances	5.778	0.000	4.176
	Other Current Assets	0.000	1.818	1.408
	Loans & Advances	26.389	13.172	7.956
Total Current Assets		223.738	105.531	54.774
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	74.516	57.990	32.748
	Other Current Liabilities	0.000	0.000	0.000
	Provisions	11.163	1.371	2.261
Total Current Liabilities		85.679	59.361	35.009
Net Current Assets		138.059	46.170	19.765
MISCELLANEOUS EXPENSES		0.091	0.109	0.127
TOTAL		224.543	83.288	41.996

PROFIT & LOSS ACCOUNT

	PARTICULARS			31.03.2011	31.03.2010	31.03.2009
	SALES
		Income			315.500	150.800
		Other Income			26.848	NA
		TOTAL (A)		652.287	342.348	NA
Less	EXPENSES
		TOTAL (B)		601.972	320.864	NA
	PROFIT/(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)			50.315	21.484	14.427
Less	FINANCIAL EXPENSES (D)			13.613	4.456	4.449
	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)			36.702	17.028	9.978
Less	DEPRECIATION/ AMORTISATION (F)			12.692	6.827	4.263
	PROFIT/(LOSS) BEFORE TAX (E-F) (G)			24.010	10.201	5.714
Less	TAX (H)			8.004	3.887	1.576
	PROFIT/(LOSS) AFTER TAX (G-H) (I)			16.006	6.314	4.139
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD			11.837	5.523	1.384
	BALANCE CARRIED TO THE B/S			27.843	11.837	5.523
	EARNINGS IN FOREIGN CURRENCY
			Export Earnings	346.716	175.795	88.679
	TOTAL EARNINGS			346.716	175.795	88.679
	IMPORTS
			Raw Materials	1.692	5.458	0.000
	TOTAL IMPORTS			1.692	5.458	0.000
	Earnings Per Share (Rs.)			12.80	NA	NA

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	2.45	1.84	NA
Net Profit Margin (PBT/Sales)	(%)	NA	3.23	3.79
Return on Total Assets (PBT/Total Assets}	(%)	10.73	9.67	10.43
Return on Investment (ROI) (PBT/Networth)		0.28	0.35	0.25
Debt Equity Ratio (Total Debt /Networth)		1.64	1.89	0.87
Current Ratio (Current Asset/Current Liability)		2.61	1.78	1.56

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2009	31.03.2010	31.03.2011
	Rs. In Millions	Rs. In Millions	Rs. In Millions
Share Capital	16.950	16.950	43.000
Reserves & Surplus	5.523	11.837	27.844
Share Application money pending allotment	0.000	0.000	14.125
Net worth	22.473	28.787	84.969
Secured Loans	10.893	45.635	122.665
Unsecured Loans	8.630	8.866	16.909
Total borrowings	19.523	54.501	139.574
Debt/Equity ratio	0.869	1.893	1.643

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2010	31.03.2011
	Rs. In Millions	Rs. In Millions
Total Income	342.348	652.287
		90.533

NET PROFIT MARGIN

Net Profit Margin	31.03.2010	31.03.2011
	Rs. In Millions	Rs. In Millions
Total Income	342.348	652.287
Profit	6.314	16.006
	1.84%	2.45%

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	No
9]	Name of person contacted	No
10]	Designation of contact person	No
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	No
17]	Major suppliers	No
18]	Major customers	Yes
19]	Payments terms	No
20]	Export / Import details (if applicable)	No
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	No
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:

During the year, the company has earned a profit of Rs.16.006 Millions for the financial year ended 31^st March 2011.

UNSECURED LOANS:

Particulars	31.03.2011 Rs. In Millions	31.03.2010 Rs. In Millions
From directors	0.279	6.717
From others	16.630	2.149
Total	16.909	8.866

INDEX OF CHARGE:

Sr. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10481110	09/06/2014 *	170,000,000.00	Axis Bank Limited	Corporate Banking Branch, Express Building, Second Floor, No.1, Queen's Road, Bangalore, Karnataka - 560001, India	C06806822
2	10365463	26/06/2012	6,000,000.00	Siemens Financial Services Private Limited	130, Pandurang Budhkar Marg, Worli, Mumbai, Maharashtra - 400018, India	B43623800
3	10357903	23/05/2012	37,310,000.00	Siemens Financial Services Private Limited	130, Pandurang Budhkar Marg,, Worli, Mumbai, Maharashtra - 400018, India	B40509457
4	10262669	23/06/2014 *	259,200,000.00	State Bank of India	No. 26/A, Electronic City Branch, Hosur Road, Bangalore, Karnataka - 560100, India	C11324522

*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 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.61.12
UK Pound	1	Rs.102.54
Euro	1	Rs.81.87

INFORMATION DETAILS

Information Gathered by :	NYA
Analysis Done by :	RAS
Report Prepared by :	VNT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		28

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.