MIRA INFORM REPORT

Report Date :

22.12.2014

IDENTIFICATION DETAILS

Name :	NITON VALVE INDUSTRIES PRIVATE LIMITED

Registered Office :	D-115, Ghatkopar Industrial Estate, LBS Marg, Mumbai – 400080, Maharashtra

Country :	India

Financials (as on) :	31.03.2013

Date of Incorporation :	14.08.1985

Com. Reg. No.:	11-037156

Capital Investment / Paid-up Capital :	Rs.19.985 Millions

CIN No.: [Company Identification No.]	U27300MH1985PTC037156

TAN No.: [Tax Deduction & Collection Account No.]	Not Available

PAN No.: [Permanent Account No.]	Not Available

Legal Form :	Private Limited Liability Company

Line of Business :	Manufacturer of Industrial Valves.

No. of Employees :	350 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (49)

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

Status :	Satisfactory

Payment Behaviour :	Usually correct

Litigation :	Clear

Comments :	Subject is an established company having satisfactory track record. Management of the company has failed to file its latest financial with the government department for the year 2014. As per available financial of 2013, the company has shown better performance in its revenue profile supported by consistent growth in profit and decent liquidity position of the company. Trade relations are reported as fair. Business is active Payments terms are reported to be usually correct. The company can be considered for business 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 – September 30, 2014

Country Name

Previous Rating

(30.06.2014)

Current Rating

(30.09.2014)

India

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

EXTERNAL AGENCY RATING

Rating Agency Name	CARE
Rating	Long term bank facilities: BBB- (Suspended)
Rating Explanation	Moderate degree of safety it carry moderate credit risk.
Date	25.01.2013

Rating Agency Name	CARE
Rating	Short term bank facilities: A3 (Suspended)
Rating Explanation	Moderate degree of safety it carry higher credit risk.
Date	25.01.2013

REASON FOR SUSPENDED: Company not furnished information required to carry out rating.

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. Yasvi Pandit
Designation :	Finance Manager
Contact No.:	91-22-67969786
Date :	22.12.2014

LOCATIONS

Registered Office / Factory :	D-115, Ghatkopar Industrial Estate, LBS Marg, Mumbai – 400080, Maharashtra, India
Tel. No.:	91-22-67969786/67539800/25008315
Fax No.:	91-22-67969790/25007654
E-Mail :	pandit@nitonvalves.com nitionvalve@vsnl.com
Website :	www.nitonvalves.com www.niton-valve.com
Area :	1000 Sq ft
Location :	Owned

Note: They have 30 Galas located at same Industrial Area

DIRECTORS

As on 29.09.2012

Name :

Mr. Juned Valiullah Shariff

Designation :

Director

Address :

102, Aashiana, Almeda Park, Waterfield Road, Bandra (West), Mumbai – 400050, Maharashtra, India

Date of Birth/Age :

21.01.1977

Date of Appointment :

06.03.1995

DIN No.:

01567134

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	U27300MH1985PTC037156	NITON VALVE INDUSTRIES PVT LTD	Director	06-03-95	06-03-95	-	Active	NO
2	U24110MH1991PTC064080	LANCER VALVE PRIVATE LIMITED	Director	01-11-05	01-11-05	-	Active	NO
3	U29268MH2010PTC201623	VALVINOX S.R.L. INDIA PRIVATE LIMITED	Director	03-04-10	03-04-10	-	Active	NO

Name :

Mr. Valiullah Rehman Shariff

Designation :

Director

Address :

901, Aashiyana Apartment, Plot No. 108, 109 Tps, IV, 1^st Road, Bandra West, Mumbai -- 400050, Maharashtra, India

Date of Birth/Age :

14.08.1947

Date of Appointment :

20.08.1985

DIN No.:

02187252

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	U27300MH1985PTC037156	NITON VALVE INDUSTRIES PVT LTD	Director	20-08-85	20-08-85	-	Active	NO
2	U92000MH1985PTC035989	UNIQUE FILM SERVICES PRIVATE LIMITED	Director	06-05-92	06-05-92	-	Active	NO
3	U24110MH1991PTC064080	LANCER VALVE PRIVATE LIMITED	Director	17-05-95	17-05-95	-	Active	NO
4	U29120MH1972PTC015958	INVENTA VALVE INDUSTRIES BOMBAY PRIVATE LIMITED	Director	17-05-95	17-05-95	-	Active	NO
5	U29268MH2010PTC201623	VALVINOX S.R.L. INDIA PRIVATE LIMITED	Director	03-04-10	03-04-10	-	Active	NO

Name :

Mr. Naved Valiullah Shariff

Designation :

Director

Address :

91, Aashiana, Almeda Park, Waterfield Road, Bandra (West), Mumbai – 400050, Maharashtra, India

Date of Birth/Age :

06.05.1979

Date of Appointment :

31.12.2006

DIN No.:

02187265

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	U24110MH1991PTC064080	LANCER VALVE PRIVATE LIMITED	Director	31-12-06	31-12-06	-	Active	NO
2	U27300MH1985PTC037156	NITON VALVE INDUSTRIES PVT LTD	Director	31-12-06	31-12-06	-	Active	NO
3	U29268MH2010PTC201623	VALVINOX S.R.L. INDIA PRIVATE LIMITED	Director	03-04-10	03-04-10	-	Active	NO

Name :

Mrs. Nafisa Valiullah Shariff

Designation :

Director

Address :

901, Aashiyana Apartment, Plot No. 108, 109 Tps, IV, 1^st Road, Bandra West, Mumbai -- 400050, Maharashtra, India

Date of Birth/Age :

05.02.1956

Date of Appointment :

20.08.1985

DIN No.:

02369271

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	U27300MH1985PTC037156	NITON VALVE INDUSTRIES PVT LTD	Director	20-08-85	20-08-85	-	Active	NO
2	U92000MH1985PTC035989	UNIQUE FILM SERVICES PRIVATE LIMITED	Director	06-05-92	06-05-92	-	Active	NO
3	U24110MH1991PTC064080	LANCER VALVE PRIVATE LIMITED	Director	17-05-95	17-05-95	-	Active	NO
4	U29120MH1972PTC015958	INVENTA VALVE INDUSTRIES BOMBAY PRIVATE LIMITED	Director	17-05-95	17-05-95	-	Active	NO
5	U29268MH2010PTC201623	VALVINOX S.R.L. INDIA PRIVATE LIMITED	Director	03-04-10	03-04-10	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Yasvi Pandit
Designation :	Finance Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.2012

Names of Shareholders		No. of Shares
Valiullah Shariff		1138930
Nafisa Shariff		238000
Juned Valiullah Shariff		289820
Naved Valiullah Shariff		251600
Namira Shariff		8925
Nazish Shariff		8925
Zulekha Shariff		19000
Tarannum N Shariff		7600
Kirti Kasliwal		8225
Manisha Saarawgi		8225
Bharti Jain		8225
Sraddha Jain		1050
Arti Kasliwal		8225
Santosh Jain		1750
Total		1998500

Equity Share Break up (Percentage of Total Equity)

As on 29.09.2012

Category	Percentage
Directors or relatives of Directors	98.13
Other top fifty shareholders	1.87
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Industrial Valves.

Products :	Industrial Valves

Brand Names :	Not Available

Agencies Held :	Not Available

Exports :
Products :	Industrial Valves
Countries :	· Gulf Countries · Italy · South America

Imports :
Products :	· Raw Material · Machinery
Countries :	China

Terms :
Selling :	Cash and Credit

Purchasing :	Cash and Credit

PRODUCTION STATUS NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

Reference :

Gujarat Technocrat Limited

Name of the Person :

Mr. Parekh, Sales Officer

Contact No.:

91-22-22821326

Since How Long Known :

Not Divulged

Maximum Limit Dealt :

Not Divulged

Experience :

Payment Behaviour	Market Goodwill	Overall
--	-	-

Remark:

He said feedback will be given by our director Mr. S M Doshi on Marketing.gtc@gmail.com

Customers :

Reference :

Bharat Petroleum Corporation Limited

Name of the Person :

Mr. Radhakrishna, Purchase Officer

Contact No.:

91--2225533293

Since How Long Known :

Not Divulged

Maximum Limit Dealt :

Not Divulged

Experience :

Product Quality	Delivery Behaviour	Overall
--	-	-

Remark:

Not Divulged

No. of Employees :

350 (Approximately)

Bankers :

Bank Name	State Bank of India
Branch	Ghatkopar Branch, Mumbai, Maharashtra, India
Person Name (With Designation)	Not Divulged
Contact Number	Not Divulged
Name of Account Holder	Not Divulged
Account Number	Not Divulged
Account Since (Date/Year of Account Opening)	Not Divulged
Average Balance Maintained (If Possible)	Not Divulged
Credit Facilities Enjoyed (If any)	Not Divulged
Account Operation	Not Divulged
Remarks (If any)	Not Divulged

Bank Name	Axis Bank Limited
Branch	Ghatkopar Branch, Mumbai, Maharashtra, India
Person Name (With Designation)	Mr. Prakash
Contact Number	91-22-24253078
Name of Account Holder	Niton Valve Industries Private Limited
Account Number	Not Divulged
Account Since (Date/Year of Account Opening)	Not Divulged
Average Balance Maintained (If Possible)	Not Divulged
Credit Facilities Enjoyed (If any)	Rs.220.000 Millions
Account Operation	Satisfactory
Remarks (If any)	It’s a satisfactory account, no negative feedback for them it’s a good company.

Auditors :
Name :	GPS and Associates Chartered Accountants
Address :	A-1, Sindhi Niwas, Sitaladevi Temple Road, Mahim, Mumbai – 400016, Maharashtra, India
PAN N Income-tax PAN of auditor or auditor's firm :	AADFG4422H

Memberships :	Not Available

Collaborators :	Not Available

Subsidiary Companies:	· Valvinox SRL India Private Limited · Valvinox SRL - Italy

Associated Companies:	· Lancer Valve Private Limited · Unique Film Services Private Limited · Inventa Valve Industries(Bombay) Private Limited

CAPITAL STRUCTURE

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount

2000000	Equity Shares	Rs.10/- each	Rs. 20.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

1998500	Equity Shares	Rs.10/- each	Rs. 19.985 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	19.985	19.985	19.985
(b) Reserves & Surplus	430.849	356.429	288.185
(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)	450.834	376.414	308.170

(3) Non-Current Liabilities
(a) long-term borrowings	8.000	10.996	7.780
(b) Deferred tax liabilities (Net)	32.066	19.490	32.832
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	0.000	0.285	0.000
Total Non-current Liabilities (3)	40.066	30.771	40.612

(4) Current Liabilities
(a) Short term borrowings	6.348	30.422	26.202
(b) Trade payables	225.417	187.221	150.115
(c) Other current liabilities	31.657	24.414	22.867
(d) Short-term provisions	4.619	0.216	22.259
Total Current Liabilities (4)	268.041	242.273	221.443

TOTAL	758.941	649.458	570.225

II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	181.999	156.244	148.906
(ii) Intangible Assets	13.126	14.825	9.958
(iii) Capital work-in-progress	1.921	4.525	19.209
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	102.780	101.832	24.781
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	41.271	18.368	10.167
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	341.097	295.794	213.021

(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	23.077	42.511	29.488
(c) Trade receivables	318.471	268.164	196.584
(d) Cash and cash equivalents	35.531	14.199	45.106
(e) Short-term loans and advances	33.590	28.773	86.026
(f) Other current assets	7.175	0.017	0.000
Total Current Assets	417.844	353.664	357.204

TOTAL	758.941	649.458	570.225

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2013	31.03.2012	31.03.2011
	SALES
	Income	923.506	737.082	501.850
	Other Income		13.418	9.459
	TOTAL (A)	923.506	750.500	511.309

Less	EXPENSES
	Cost of Materials Consumed		428.846	257.687
	Other Manufacturing and Operating Expenses	792.733	79.584	66.136
	Employees benefits expense		48.976	43.396
	Administrative and other expenses		78.029	58.510
	TOTAL (B)	792.733 (Including Financial Expenses and Depreciation)	635.435	425.729

Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (C)		115.065	85.580

Less	FINANCIAL EXPENSES (D)		8.027	5.512

	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		107.038	80.068

Less/ Add	DEPRECIATION/ AMORTISATION (F)		11.138	8.968

	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)	130.773	95.900	71.100

Less	TAX (I)	56.353	27.657	42.257

	PROFIT/ (LOSS) AFTER TAX (G-I) (J)	74.420	68.243	28.843

	EARNINGS IN FOREIGN CURRENCY
	F.O.B. Value of Exports	NA	9.478	3.676
	TOTAL EARNINGS	NA	9.478	3.676

	IMPORTS
	Raw Materials	NA	42.994	0.138
	TOTAL IMPORTS	NA	42.994	0.138

	Earnings / (Loss) Per Share (Rs.)	37.24	34.15	14.43

Particulars

31.03.2014

Sales Turnover (Approximately)

750.000

Expected Sales (2014-2015): Rs.850.000 Millions

The above information has been parted by Mr. Yasvi Pandit

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
Net Profit Margin (PAT / Total Income)	(%)	8.06	9.09	5.64

Operating Profit Margin (PBIDT/Sales)	(%)	NA	15.61	17.05

Return on Total Assets (PBT/Total Assets}	(%)	19.99	17.66	13.51

Return on Investment (ROI) (PBT/Networth)		0.29	0.25	0.23

Debt Equity Ratio (Total Debt /Networth)		0.03	0.11	0.11

Current Ratio (Current Asset/Current Liability)		1.56	1.46	1.61

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	19.985	19.985	19.985
Reserves & Surplus	288.185	356.429	430.849
Net worth	308.170	376.414	450.834

long-term borrowings	7.780	10.996	8.000
Short term borrowings	26.202	30.422	6.348
Total borrowings	33.982	41.418	14.348
Debt/Equity ratio	0.110	0.110	0.032

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)
Total Income	511.309	750.500	923.506
		46.780	23.052

NET PROFIT MARGIN

Net Profit Margin	31.03.2011	31.03.2012	31.03.2013
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Total Income	511.309	750.500	923.506
Profit	28.843	68.243	74.420
	5.64%	9.09%	8.06%

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	Yes
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	Yes
18]	Major customers	Yes
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	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	No

FINANCIAL HIGHLIGHTS

The company has earned a net profit after tax is Rs. 74.420 Millions during the year.

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10370004	23/06/2012	8,500,000.00	THE SARASWAT CO-OPERATIVE BANK LIMITED	RASEC BRANCH, ISHAN ARCADE,3RD FLOOR, OPP. GAONDEVI TEMPLE, NAUPADA, THANE, MAHARASHTRA - 400602, INDIA	B45486248
2	10332735	31/12/2011	5,518,000.00	THE SARASWAT CO-OPERATIVE BANK LIMITED	RASEC BRANCH, ISHAN ARCADE OPP. GAONDEVI TEMPLE, THIRD FLOOR, NAUPADA, THANE(W), MUMBAI, MAHARASH TRA - 400602, INDIA	B30899207
3	10277130	25/08/2014 *	220,000,000.00	AXIS BANK LIMITED	AXIS HOUSE, GR. FLR., WADIA INTERNATIONAL CENTER, PANDURANG BUDHKAR MARG, WORLI, MUMBAI, MAHARASHTRA - 400025, INDIA	C21446935
4	10276547	09/03/2011	3,500,000.00	THE SARASWAT CO-OPERATIVE BANK LIMITED	RASEC BRANCH, ISHAN ARCADE, OPP. GAMDEVI TEMPLE, THIRD FLOOR, NAUPADA THANE (WEST), THANE, MAHARA SHTRA - 400602, INDIA	B09420894
5	10168310	30/03/2012 *	46,500,000.00	CITIBANK N. A.	TRENT HOUSE, 2ND FLOOR, G BLOCK, PLOT NO.C60, BAN DRA KURLA COMPLEX, BANDRA (E), MUMBAI, MAHARASHTRA - 400051, INDIA	B37074747
6	90214904	07/09/2002	200,000.00	FIAT SUNDARAM AUTO FINANCE LIMITED	NO - 21; PATULLOS ROAD, CHENNAI, TAMIL NADU - 6000 02, INDIA	-

* Date of charge modification

FIXED ASSETS

Tangible Assets

· Land

· Flats

· Factory Premises

· Office Building

· Plant and Machinery

· Electrical Installation

· Tools

· Furniture and Fixtures

· Office Equipments

· Computers

· Vehicles

· Patterns and Dies

Intangible Assets

· Technical Know How Fees

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.63.07
UK Pound	1	Rs.98.73
Euro	1	Rs.77.46

INFORMATION DETAILS

Information Gathered by :	HNA

Analysis Done by :	DIV

Report Prepared by :	KVT

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
--PROFITABILITY	1~10	6
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--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	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		49

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.

MIRA INFORM REPORT

INDEX OF CHARGES

Unit