MIRA INFORM REPORT

Report Date :

06.12.2014

IDENTIFICATION DETAILS

Name :	PARAMSHAKTI STEELS LIMITED
Registered Office :	304, Ashirwad Building, Ahmedabad Street, Carnac Bunder, Mumbai – 400009, Maharashtra
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	31.05.1995
Com. Reg. No.:	11-167801
Capital Investment / Paid-up Capital :	Rs.38.771 Millions
CIN No.: [Company Identification No.]	U65910MH1995PLC167801
TAN No.: [Tax Deduction & Collection Account No.]	PNEP10040C
PAN No.: [Permanent Account No.]	AAFCS7494A
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer, Trader and Importer of varies iron and steel products which includes HR sheets, HR coils, TMT Bars etc.
No. of Employees :	50 (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 1200000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. Profitability of the company is low. Overall financial position of the company is sound and healthy. However, trade relations are fair. Business is active. Payment terms are reported to be usually correct. The company can be considered for business dealing dealings at usual trade terms and conditions.

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

Verdict Implications : Apex court order may alter coal import dynamics. Traders go slow on talks over coal supply contracts, uncertainty over cancellation of blocks weigh on stocks.

Recent arrest of the Chennai head of the Registrar of Companies, the ministry of corporate affairs arm that ensures that companies file all the information required by the Companies Act is the latest manifestation of a messy fight between a father and his adopted son for the control of Rs 40000 mn business empire. The Central Bureau of Investigation arrested Manumeethi Cholan after he accepted Rs 10 lakhs as bribe from M A M Ramaswamy, a CBI official said.

Central Bureau of Investigation books Electrotherm for cheating Central Bank of Rs 4360 mn.

Infosys maintains revenue guidance. COO Rao says attrition still an area of concern and it would take a few more quarters to bring down levels to 13-15 %.

DHL  to invest Euro 100 mn in India over next 2 years. The firm has chosen India to pilot its e-commerce business model for the Asia-Pacific region.

Blackstone may buy stake in BlueRidge SEZ in line with the fund’s real estate strategy in India.

Kingfisher Airlines Ltd grounded in October 2012 under the weight of heavy debt and accumulated losses, recently approached the Delhi high court for relief in two separate cases. The airline challenged a notice by Punjab & National Bank alleging that It had wilfully defaulted on Rs 7700 mn of loans and sought more time to comply with the requirements under the listing agreements with the Stock Exchanges.

OnMobile likely to sack another 300 employees. The lay-offs follow a spate of senior-level exits over the past two years, starting with of its founder. The overall lay-offs could number around 600 and are driven by the need to cut costs, says a former employee.

EXTERNAL AGENCY RATING

Rating Agency Name	ICRA
Rating	BBB- [Term Loan]
Rating Explanation	Moderate risk of and moderate credit risk.
Date	November 2014

Rating Agency Name	ICRA
Rating	A3 [Non Fund Based Limits]
Rating Explanation	Moderate degree of safety and very higher credit risk.
Date	November 2014

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 (GENERAL DETAILS)

Name :	Mr. Amrish
Designation :	Finance Manager
Contact No.:	91-9970172726
Date :	01.12.2014

LOCATIONS

Registered Office :	304, Ashirwad Building, Ahmedabad Street, Carnac Bunder, Mumbai – 400009, Maharashtra, India
Tel. No.:	91-22-23481153/ 23497828/65602323
Mobile No.:	91-9970172726 (Mr. Amrish)
Fax No.:	91-22-23423814
E-Mail :	info@paramshaktisteels.com ankitchoudhary@paramshaktisteels.com ekchoudhary@paramshaktisteels.com
Area :	25560 Sq. mtrs
Location :	Owned
Factory :	A-5, MIDC Taloja, Village Pendhar, District Raigad, Maharashtra, India
Tel. No.:	91-22-27411936/ 37/ 38/ 39
Fax No.:	91-22-27411934
Location :	Owned

DIRECTORS

As On 31.03.2014

Name :

Mr. Umesh Chunilal Jumani

Designation :

Director

Address :

II Floor, Sunder Jeevan Apartment, 530 Clarke Town, Nagpur – 440004, Maharashtra, India

Date of Birth/Age :

15.12.1967

Qualification :

BSC, MBA

Date of Appointment :

11.03.2005

DIN No.:

00092798

Name :

Mr. Rajendrakumar Choudhary

Designation :

Director

Address :

702, Sinchan Society, New Link Road, Andheri, Mumbai – 400058, Maharashtra, India

Date of Birth/Age :

26.11.1950

Qualification :

B. Com

Date of Appointment :

01.05.2005

DIN No.:

00716687

Name :

Mr. Sidharth Madanlal Bagrecha

Designation :

Director

Address :

Suyog Residency, Flat No. 502, 5^th Floor, Near Adventist Hospital, Salisubury Park, Gultekdi, Pune-411037, Maharashtra, India

Date of Birth/Age :

15.11.1975

Date of Appointment :

03.09.2014

DIN No.:

02213309

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	U92140PN2007PTC131159	MANGO STUDIOS AND PRODUCTION PRIVATE LIMITED	Director	28/08/2008	01/08/2008	-	Active	NO
2	U45200PN2010PTC136721	PLAYTOR PAUD HOMES PRIVATE LIMITED	Director	18/02/2011	18/02/2011	26/12/2013	Active	NO
3	U45200PN2010PTC136637	CROSSROADS PROPERTIES PRIVATE LIMITED	Director	18/02/2011	18/02/2011	30/08/2011	Active	NO
4	U60231MH2012PTC232781	B.G.Transport Private Limited	Director	30/06/2012	30/06/2012	15/09/2014	Active	NO
5	U27100MH2012PTC234236	MAXIMUS MERCANTILE PRIVATE LIMITED	Director	07/08/2012	07/08/2012	-	Active	NO
6	U70102JH2011PTC014682	AASTHA SYNERGY PROPERTIES PRIVATE LIMITED	Director	07/01/2013	07/01/2013	09/12/2013	Active	NO
7	U27101PN2008PTC131771	MARUTI STRIPS AND FERRO ALLOYS PRIVATE LIMITED	Director	01/06/2013	01/06/2013	15/03/2014	Active	NO
8	U65910MH1995PLC167801	PARAMSHAKTI STEELS LIMITED	Director	03/09/2014	08/04/2014	-	Active	NO
9	U65921KA1996PTC020352	ASUTI TRADING PRIVATE LIMITED	Additional director	09/10/2014	09/10/2014	-	Active	NO

Name :

Mr. Vinod Ramniwas Garg

Designation :

Director

Address :

1102, Rameshwarm Apartment, EC TV Tower Lane, Dadar, Mumbai-400028, Maharashtra, India

Date of Birth/Age :

05.06.1956

Date of Appointment :

03.09.2014

DIN No.:

00152665

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	L27106MH1984PLC238266	JSW ISPAT STEEL LIMITED	Whole-time director	21/04/2008	21/04/1998	16/04/2011	Amalgamated	NO
2	U40105MH2009PTC193717	VIBRANT GLOBAL VIDYUT PRIVATE LIMITED	Director	01/07/2009	01/07/2009	27/03/2014	Active	NO
3	U27100MH2011PTC220040	INTERFER - VIBRANT STEEL PRIVATE LIMITED	Director	22/07/2011	22/07/2011	-	Active	NO
4	U24233MH2010PTC208064	VIBRANT GLOBAL SALT PRIVATE LIMITED	Director	29/09/2012	11/01/2012	-	Active	NO
5	U51909MH2003PTC141769	VIBRANT GLOBAL TRADING PRIVATE LIMITED	Director	29/09/2012	31/01/2012	-	Active	NO
6	U65900MH1995PLC093924	VIBRANT GLOBAL CAPITAL LIMITED.	Managing director	01/03/2013	01/05/2012	-	Active	NO
7	U45201MH2006PTC163487	VIBRANT GLOBAL INFRAPROJECT PRIVATE LIMITED	Director	29/09/2012	01/05/2012	27/03/2014	Active	NO
8	U27205MH2013PTC250291	PRECISION ISPAT PRIVATE LIMITED	Director	22/11/2013	22/11/2013	-	Active	NO
9	U65910MH1995PLC167801	PARAMSHAKTI STEELS LIMITED	Director	03/09/2014	08/04/2014	-	Active	NO
10	U65990MH2014PTC256555	VIBRANT GLOBAL HOUSING FINANCE PRIVATE LIMITED	Director	25/07/2014	25/07/2014	-	Active	NO
11	U72900MH2014PTC257548	ALLYIS INDIA PRIVATE LIMITED	Director	25/08/2014	25/08/2014	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Amrish
Designation :	Finance Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As On 31.03.2014

Names of Shareholders	No. of Shares
Rajendra Choudhary	686575
Ankit Choudhary	106200
Kusum Choudhary	199225
Umesh Jumani	8700
Kaml Kothari	112500
Manish Waghmare	5000
Vimal Kumar Agarwal	319900
Lakshmidevi Bagrodia	445000
Rajendra Bagrodia	501000
Shree Concrete Private Limited, India	375000
Rukmani Concrete Private Limited, India	379000
Concrete Udyog Limited, India	370000
Malwa Concrete Udyog Private Limited, India	369000
TOTAL	3877100

As On 31.03.2014

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	38.50
Directors or relatives of directors	25.82
Other top fifty shareholders	35.68
TOTAL	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer, Trader and Importer of varies iron and steel products which includes HR sheets, HR coils, TMT Bars etc.

Products :

Products Description	Item Code No.
Hot Rolled Coils/ Sheet	72082600

Exports :

Not Available

Imports :

Products :

HR Sheets and Coils

Countries :

· Iran

· China

Terms :

Selling :

Cash and Credit [30 and 60 Days]

Purchasing :

Cash and Credit [30 and 60 Days]

GENERAL INFORMATION

Suppliers :

Not Divulged

Customers :

Wholesalers, Retailers and End Users

No. of Employees :

50 (Approximately)

Bankers :

Bank of India, Andheri Mid Corporate Branch, 1st Floor, M. D. I. Building, 28, S. V. Road, Andheri (W), Mumbai - 400058, Maharashtra, INDIA

Facilities :

Secured Loan	As on 31.03.2014 [Rs. in Millions]	As on 31.03.2013 [Rs. in Millions]
Long Term Borrowings
Term loans from banks	38.264	54.493
Other loans and advances	1.840	3.220
Short Term Borrowings
Working capital loans from banks	311.571	411.338
TOTAL	351.675	469.051

Auditors :
Name :	Hansaria and Associates Chartered Accountants
Address :	B-414, Yashwant Shopping Center, Carter Road No:7, Borivali (East), Mumbai-400066, Maharashtra, India
Tel. No.:	91-22-28647519 / 28637675 / 28090413
Mobile No.:	91-9892157484
Fax No.:	91-22-28647519
E-Mail :	sunilhansaria@gmail.com sunil@hansaria.com
PAN No:	AAJPH9214J
Other Related Parties :	· Truevalue Engineering Private Limited CIN No.: U74210MH1999PTC122998 · Rajendra Kumar and Company

CAPITAL STRUCTURE

As On 31.03.2014

Authorised Capital :

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

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
3877100	Equity Shares	Rs.10/- each	Rs.38.771 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2014	31.03.2013	31.03.2012
I. EQUITY AND LIABILITIES
(1) Shareholders' Funds
(a) Share Capital	38.771	38.771	38.771
(b) Reserves & Surplus	391.027	367.842	353.281
(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)	429.798	406.613	392.052
(3) Non-Current Liabilities
(a) Long-term borrowings	242.775	250.213	139.061
(b) Deferred tax liabilities (Net)	8.768	9.807	9.017
(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)	251.543	260.020	148.078
(4) Current Liabilities
(a) Short term borrowings	311.571	411.338	281.319
(b) Trade payables	930.380	686.958	829.457
(c) Other current liabilities	4.698	16.545	46.190
(d) Short-term provisions	4.500	4.500	3.600
Total Current Liabilities (4)	1251.149	1119.341	1160.566
TOTAL	1932.490	1785.974	1700.696
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	232.591	247.907	254.911
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.000	4.586	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	1.225	23.615	13.938
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	0.000	0.000	0.000
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	233.816	276.108	268.849
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	328.788	494.044	322.295
(c) Trade receivables	898.024	644.612	684.673
(d) Cash and cash equivalents	130.913	97.075	97.480
(e) Short-term loans and advances	340.949	274.135	327.399
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	1698.674	1509.866	1431.847
TOTAL	1932.490	1785.974	1700.696

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Income	4508.625	3309.347	4154.416
		Other Income	14.658	22.351	22.331
		TOTAL (A)	4523.283	3331.698	4176.747
Less	EXPENSES
		Purchases of Stock-in-Trade	4080.033	3321.183	3479.062
		Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	165.256	(171.749)	522.475
		Employees benefits expense	8.088	10.071	9.999
		Other expenses	28.227	31.234	29.881
		TOTAL (B)	4281.604	3190.739	4041.417
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		241.679	140.959	135.330
Less	FINANCIAL EXPENSES (D)		181.924	97.278	97.625
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		59.755	43.681	37.705
Less/ Add	DEPRECIATION/ AMORTISATION (F)		27.629	23.621	15.285
	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		32.126	20.060	22.420
Less	TAX (H)		8.941	5.499	7.950
	PROFIT / (LOSS) AFTER TAX (G-H) (I)		23.185	14.561	14.470
	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		136.750	122.190	107.780
	BALANCE CARRIED TO THE B/S		159.935	136.750	122.250
	EARNINGS IN FOREIGN CURRENCY		0.000	0.000	0.000
	IMPORTS		0.000	0.000	744.074
	Earnings / (Loss) Per Share (Rs.)		5.98	3.76	3.83

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT/Sales)	(%)	0.51	0.44	0.35
Operating Profit Margin (PBITD/Sales)	(%)	5.36	4.26	3.26
Return on Total Assets (PBT/Total Assets}	(%)	1.66	1.14	1.33
Return on Investment (ROI) (PBT/Networth)		0.07	0.05	0.06
Debt Equity Ratio (Total Debt/Networth)		1.29	1.63	1.07
Current Ratio (Current Asset/Current Liability)		1.36	1.35	1.23

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Share Capital	38.771	38.771	38.771
Reserves & Surplus	353.281	367.842	391.027
Net worth	392.052	406.613	429.798
long-term borrowings	139.061	250.213	242.775
Short term borrowings	281.319	411.339	311.571
Total borrowings	420.380	661.552	554.346
Debt/Equity ratio	1.072	1.627	1.290

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	4154.416	3309.347	4508.625
		(20.341)	36.239

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	4154.416	3309.347	4508.625
Profit	14.470	14.560	23.185
	0.35%	0.44%	0.51%

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 three years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	--
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	Yes
21]	Market information	--
22]	Litigations that the firm / promoter involved in	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]	PAN of Proprietor/Partner/Director, if available	No
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	Yes

UNSECURED LOAN

Unsecured Loan	As on 31.03.2014 [Rs. in Millions]	As on 31.03.2013 [Rs. in Millions]
Long Term Borrowings
Other loans and advances	202.671	192.500
TOTAL	202.671	192.500

INDEX OF CHARGES:

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10524842	17/09/2014	750,000,000.00	UNION BANK OF INDIA	Mid-Corporate Branch, S T. Road,2nd Floor,, 24,Apeejay Surendra House, Baroda Street Masjid (E), Mumbai, Maharashtra - 400009, INDIA	C28378339
2	10406247	08/02/2013	150,000,000.00	YES BANK LIMITED	9TH FLOOR, NEHRU CENTRE, DISCOVERY OF INDIA,, DR. ANNIE BESANT ROAD, WORLI,, MUMBAI, Maharashtra -  400018, INDIA	B68808138
3	10230644	26/03/2012 *	312,500,000.00	STATE BANK OF INDIA	STERLING CENTRE BRANCH,DR ANNIE BESANT ROAD, OPP  ATRIA MALL,WORLI, MUMBAI, Maharashtra - 400018, INDIA	B38554390
4	10230643	29/05/2010	262,500,000.00	STATE BANK OF INDIA	SANTACRUZ (WEST) BRANCH,7,SURYODAYA BLDG.,, JUHU ROAD,, MUMBAI, Maharashtra - 400054, INDIA	A89817308
5	10139066	17/01/2009	300,000,000.00	ICICI BANK LIMITED	LANDMARKRACE COURCE CIRCLE, ALKAPURI, BARODA, Gujarat - 390015, INDIA	A55067888
6	10120459	05/10/2011 *	450,000,000.00	ICICI BANK LIMITED	LANDMARKRACE COURCE CIRCLE, ALKAPURI, BARODA, Gujarat - 390015, INDIA	B24463671
7	10047307	18/02/2014 *	1,587,500,000.00	Bank of India	Andheri Mid Corporate Branch, 1st Floor, M.D.I.  Building, 28, S. V. Road, Andheri (W), Mumbai, Maharashtra - 400058, INDIA	C06197172

FIXED ASSETS:

· Land Freehold

· Building

· Office Premises

· Plant and Machinery

· Electrical Installation

· Office Equipment

· Computer

· Motor Car and Motor Cycle

· Furniture and Fixtures

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.61.85
UK Pound	1	Rs.96.72
Euro	1	Rs.76.53

INFORMATION DETAILS

Information Gathered by :	DPA
Analysis Done by :	SUM
Report Prepared by :	JYTK

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--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	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		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.