MIRA INFORM REPORT

Report Date :

01.09.2014

IDENTIFICATION DETAILS

Name :	SHREE VENKETESH PAPER MILLS LIMITED (w.e.f. 02.12.2013)
Formerly Known As :	ANAND TISSUES LIMITED
Registered Office :	16th KM Meerut - Mawana Road, Village Fitkari, Meerut – 250401, Uttar Pradesh
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	17.03.1993
Com. Reg. No.:	20-015198
Capital Investment / Paid-up Capital :	Rs.100.636 Millions
CIN No.: [Company Identification No.]	U27310UP1993PLC015198
PAN No.: [Permanent Account No.]	AABCA1790R
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of Craft Paper.
No. of Employees :	80 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (42)

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

Status :	Satisfactory
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. The rating reflects company’s improved financial risk profile marked by decent capital base and fair profitability levels of the company. 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

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. Ram Agarwal
Designation :	Finance Controller
Contact No.:	91-8057910221
Date :	28.08.2014

LOCATIONS

Registered Office /Factory :	16th KM Meerut - Mawana Road, Village Fitkari, Meerut – 250401, Uttar Pradesh, India
Tel. No.:	Not Available
Mobile No.:	91-8057910221 (Mr. Ram Agarwal)
Fax No.:	Not Available
E-Mail :	shiam_ca@rediffmail.com
Area :	1000 Sq. Yard
Location :	Owned

DIRECTORS

As on 30.09.2013

Name :

Mr. Neeraj Kumar Agarwal

Designation :

Whole Time Director

Date of Appointment :

22.02.2013

DIN No.:

00569057

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	U15122DL2004PTC129816	MOHAN FROZEN FOODS PRIVATE LIMITED	Director	11/10/2004	11/10/2004	05/08/2008	Active	NO
2	U45200DL2007PTC160044	SMRITI BUILDTECH PRIVATE LIMITED	Additional director	02/06/2007	02/06/2007	21/02/2012	Active	NO
3	U45200DL2007PTC160038	SMRITI BUILDWELL PRIVATE LIMITED	Additional director	02/06/2007	02/06/2007	25/02/2013	Active	NO
4	U74999UP2007PTC034283	ISHAAN ENTERTAINMENT PRIVATE LIMITED	Director	17/12/2007	17/12/2007	01/10/2011	Active	NO
5	U27310UP1993PLC015198	SHREE VENKETESH PAPER MILLS LIMITED	Whole-time director	01/08/2012	15/11/2010	-	Active	NO
6	U27310UP1985PTC007279	MOOL CHAND STEELS PRIVATE LIMITED	Director	02/04/2012	02/04/2012	-	Active	NO

Name :

Mr. Sumit Kumar Agarwal

Designation :

Director

Date of Appointment :

22.02.2013

DIN No.:

00445352

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	U51219UR1992PTC014956	RISHAB TRADERS PRIVATE LIMITED	Director	16/01/2003	16/01/2003	21/01/2008	Active	NO
2	U27109DL1981PLC011312	SANGAM STEELS LIMITED	Director	17/10/2005	17/10/2005	01/11/2007	Active	NO
3	U21012UP1980PLC005074	SHREE SIDHBALI PAPER MILLS LIMITED	Director	07/11/2005	07/11/2005	-	Active	NO
4	U72200UP2000PTC025709	CHAUDAHRANA POWERTECH PRIVATE LIMITED	Director	24/03/2008	24/03/2008	09/01/2013	Active	Yes
5	U74999WB2008PTC128319	SHREE SIDHBALI UDYOG PRIVATE LIMITED	Director	07/08/2008	07/08/2008	-	Active	NO
6	U24100UP2009PTC038036	SHRI MAHAKAL CHEMICAL PRIVATE LIMITED	Director	15/12/2009	15/12/2009	24/06/2013	Active	NO
7	U26941JH2004PTC010665	MAA CHHINNMASTIKA CEMENT AND ISPAT PRIVATE LIMITED	Director	01/04/2010	01/04/2010	25/05/2012	Active	NO
8	U24232DL2005PLC148247	AXA PARENTERALS LIMITED	Whole-time director	01/11/2010	01/10/2010	-	Active	NO
9	U27310UP1993PLC015198	SHREE VENKETESH PAPER MILLS LIMITED	Director	22/02/2013	22/02/2013	-	Active	NO

Name :

Mr. Narender Jain

Designation :

Director

Date of Appointment :

22.02.2013

DIN No.:

05114845

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	U74120UP2011PTC047405	GAJRAULA ROLLER FLOUR MILLS PRIVATE LIMITED	Director	14/11/2011	14/11/2011	-	Active	NO
2	U27310UP1993PLC015198	SHREE VENKETESH PAPER MILLS LIMITED	Director	22/02/2013	22/02/2013	-	Active	NO

Name :

Mr. Anant Jain

Designation :

Director

Date of Appointment :

22.02.2013

DIN No.:

06478093

KEY EXECUTIVES

Name :	Mrs. Namrata Jain
Designation :	Secretary
Address :	C-801, Surobhi Park Apartment, Nagras Road, Anrok, Pune – 411007, Maharashtra, India
Date of Appointment :	01.08.2013
PAN No.:	AKPPJ3126R
Name :	Mr. Ram Agarwal
Designation :	Finance Controller

MAJOR SHAREHOLDERS

As on 30.09.2013

SHAREHOLDING DETAILS FILE ATTACHED

Equity Share Break up (Percentage of Total Equity)

As on 30.09.2013

Category	Percentage
Bodies corporate	81.15
Directors or relatives of Directors	18.85
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Craft Paper.
Imports :
Products :	Waste Paper
Countries :	· Dubai · USA
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

GENERAL INFORMATION

No. of Employees :

80 (Approximately)

Bankers :

Punjab National Bank, E.K. Road, Meerut - 250001, Uttar Pradesh, India

Facilities :

SECURED LOANS	31.03.2013 Rs. In Millions	31.03.2012 Rs. In Millions
Long Term Borrowings
Term loans from banks	111.568	125.972
Short Term Borrowings
Working capital loans from banks	105.016	104.012
Total	216.584	229.984

Banking Relations :	--
Auditors :
Name :	Shiam and Company Chartered Accountants
Address :	33/46 A, 1st Floor, Agarwal Market, Arya Samaj Road, Muzaffarnagar - 251001, Uttar Pradesh, India
PAN No.:	AACFS9134R

CAPITAL STRUCTURE

After 30.09.2013

Authorised Capital : Rs.112.500 Millions

Issued, Subscribed & Paid-up Capital : Rs.105.381 Millions

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
10250000	Equity Shares	Rs.10/- each	Rs.102.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
10063600	Equity Shares	Rs.10/- each	Rs.100.636 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	100.636	100.636	74.795
(b) Reserves & Surplus	63.779	59.014	13.902
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	13.950	0.800	9.705
Total Shareholders’ Funds (1) + (2)	178.365	160.450	98.402
(3) Non-Current Liabilities
(a) long-term borrowings	116.568	131.922	84.439
(b) Deferred tax liabilities (Net)	14.662	14.576	10.944
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	131.230	146.498	95.383
(4) Current Liabilities
(a) Short term borrowings	105.016	104.012	77.158
(b) Trade payables	11.981	3.053	3.917
(c) Other current liabilities	34.822	23.370	40.844
(d) Short-term provisions	0.614	0.242	0.692
Total Current Liabilities (4)	152.433	130.677	122.611
TOTAL	462.028	437.625	316.396
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	269.287	182.152	166.668
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.599	104.345	24.846
(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)	19.586	6.110	5.066
(d) Long-term Loan and Advances	2.831	1.914	0.618
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	292.303	294.521	197.198
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	74.111	55.439	53.289
(c) Trade receivables	63.605	65.006	44.582
(d) Cash and cash equivalents	18.630	2.930	9.199
(e) Short-term loans and advances	13.379	19.729	12.128
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	169.725	143.104	119.198
TOTAL	462.028	437.625	316.396

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income	302.096	319.102	161.170
		Other Income	0.694	1.163	0.112
		TOTAL (A)	302.790	320.265	161.282
Less	EXPENSES
		Cost of Materials Consumed	183.631	188.04	59.531
		Changes in Inventories of finished goods, work-in-progress and stock-in-trade	(7.421)	2.808	(6.094)
		Employee Benefits Expenses	7.784	6.982	5.996
		Other Expenses	45.905	64.262	50.354
		TOTAL (B)	229.899	262.092	109.787
	PROFIT/(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		72.891	58.173	51.495
Less	FINANCIAL EXPENSES (D)		31.915	26.558	23.098
	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		40.976	31.615	28.397
Less	DEPRECIATION/ AMORTISATION (F)		36.164	24.818	26.169
	PROFIT/(LOSS) BEFORE TAX (E-F) (G)		4.812	6.797	2.228
Less	TAX (H)		0.047	3.632	0.724
	PROFIT/(LOSS) AFTER TAX (G-H) (I)		4.765	3.165	1.504
	Earnings Per Share (Rs.)		0.47	0.31	0.20

Particulars	31.03.2014
Sales Turnover (Approximately)	320.000

The above information has been parted by Mr. Ram Agarwal

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	1.57	0.99	0.93
Net Profit Margin (PBT/Sales)	(%)	1.59	2.13	1.38
Return on Total Assets (PBT/Total Assets}	(%)	1.09	2.08	0.78
Return on Investment (ROI) (PBT/Networth)		0.03	0.04	0.02
Debt Equity Ratio (Total Debt /Networth)		1.24	1.47	1.64
Current Ratio (Current Asset/Current Liability)		1.11	1.10	0.97

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	74.795	100.636	100.636
Reserves & Surplus	13.902	59.014	63.779
Share Application money pending allotment	9.705	0.800	13.950
Net worth	98.402	160.450	178.365
long-term borrowings	84.439	131.922	116.568
Short term borrowings	77.158	104.012	105.016
Total borrowings	161.597	235.934	221.584
Debt/Equity ratio	1.642	1.470	1.242

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2011	31.03.2012	31.03.2013
	Rs. In Millions	Rs. In Millions	Rs. In Millions
Sales	161.170	319.102	302.096
		97.991	(5.329)

NET PROFIT MARGIN

Net Profit Margin	31.03.2011	31.03.2012	31.03.2013
	Rs. In Millions	Rs. In Millions	Rs. In Millions
Sales	161.170	319.102	302.096
Profit	1.504	3.165	4.765
	0.93%	0.99%	1.58%

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	Yes
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 four 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	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

UNSECURED LOANS:

Particulars	31.03.2013 Rs. In Millions	31.03.2012 Rs. In Millions
Long Term Borrowings
Loans and advances from directors	3.000	0.000
Loans and advances from others	2.000	5.950
Total	5.000	5.950

REVIEW OF OPERATION

During the year, the Company has a turnover of Rs.319.828 Millions as against of Rs.336.206 Millions. The net profit for the year has been Rs.4.765 Millions as against Rs.3.165 Millions during the previous financial year. The Directors are continuously looking for avenues for future growth of the Company in paper industry.

INDEX OF CHARGE:

Sr. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10465993	19/11/2013	75,000,000.00	Punjab National Bank	E.K. Road, Meerut, Uttar Pradesh - 250001, India	B91895862
2	10340830	16/02/2012	75,000,000.00	Punjab National Bank	E.K. Road, Meerut, Uttar Pradesh - 250001, India	B34414912
3	10309954	03/10/2011	1,000,000.00	PUNJAB NATIONAL BANK	Retail Asset Branch, E.K. Road, Meerut, Uttar Pradesh - 250001, India	B22446785
4	10280438	21/03/2011	25,000,000.00	Punjab National Bank	E.K. Road, Meerut, Uttar Pradesh - 250001, India	B10766285
5	10184685	26/05/2011 *	78,150,000.00	Punjab National Bank	E.K. Road, Meerut, Uttar Pradesh - 250001, India	B14317838
6	10123228	04/08/2009 *	262,700,000.00	Punjab National Bank	E.K. Road, Meerut, Uttar Pradesh - 250001, India	A68790336
7	90270645	19/11/2013 *	126,000,000.00	Punjab National Bank	E.K. Road, Meerut, Uttar Pradesh - 250001, India	B91896878

*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.60.47
UK Pound	1	Rs.100.15
Euro	1	Rs.79.65

INFORMATION DETAILS

Information Gathered by :	HNA
Analysis Done by :	KAR
Report Prepared by :	VNT

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	5
--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		42

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.