MIRA INFORM REPORT

Report Date :

08.02.2014

IDENTIFICATION DETAILS

Name :	YOROZU JBM AUTOMOTIVE TAMIL NADU PRIVATE LIMITED
Registered Office :	Plot No. B-5 and B-6, SIPCOT Industrial Park, Vangadu Village, Sriperumbudur Taluk, District Kancheepuram– 602105, Tamilnadu
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	10.02.2011
Com. Reg. No.:	18-079145
Capital Investment / Paid-up Capital :	Rs. 1500.000 Millions
CIN No.: [Company Identification No.]	U34201TN2011FTC079145
TAN No.: [Tax Deduction & Collection Account No.]	CHEY03311A
PAN No.: [Permanent Account No.]	AAACY4647A
Legal Form :	Private Limited Liability Company
Line of Business :	Developing, Manufacturing and Selling of Automotive Parts [Suspension] and also Selling of Production Tooling Die and Equipment.
No. of Employees :	Not Available

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

Maximum Credit Limit :	USD 5300000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. Management of the company has filed its latest financial (i.e. 2013) with the government department but the same is not available with us. As per previous year financial (i.e. 2012), it seems that the company has achieved a sizeable turnover from its first year of operations however incurred a loss. Capital base of the company is good. Trade relations are reported to be improving. Business is active. Payment terms are reported to be slow but correct. The company can be considered for business dealings with some caution.

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 – December 1, 2013

Country Name	Previous Rating (30.09.2013)	Current Rating (01.12.2013)
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

The services sector, the largest contributor to India’s GDP, contracted for the sixth consecutive month in December, as orders dipped. However, hiring has risen.  Direct tax collections rose 12.3 % during the April – December period of the current financial year.  The government has decided to retain 100 per cent foreign direct investment in both greenfield (new) and brown field (existing) pharmaceutical companies, despite concerns over genetic drugs going out of production, if multi-national companies take over domestic ones. In M&A deals, a non-compete clause would not be allowed, except in special circumstances. The Department of Industrial Policy and Promotion plans to release the next edition of its consolidated foreign direct investment policy document on March 31, incorporating changes made in the past year. DIPP compiles all policies related to India’s FDI regime into a single document to make it easy for investors to understand. 185 million estimated number of mobile internet users in India by June 2014, according to a report by the Internet & Mobile Association of India and IMRB International.  India had 110 million mobile internet users with 25 million in rural areas. $3.77 tn estimated global IT spending in 2014, according to research firm Gartner Inc. The growth forecast for this year is cut to 3.1 %from the earlier estimate of 3.5 %. The spending growth forecast for telecom services – a segment that accounts for more than 40 % at total IT spending – from 1.9 per cent to 1.2 per cent is the main reason for this overall IT cut. A Reserve Bank of India committee has recommended setting up a special category of lenders who would cater to small businesses and households, to expand the number of customers with access to banking services. These banks would focus on providing payment services and deposit products.  Indian banks want the free use of automated teller machines to be capped at five transactions in a month including that of the bank in which the account is active. This follows state government order to banks to install security guards at ATM booths after a woman banker was assaulted in Bangalore. The government is likely to present a vote on Account in mid-February. The annual Economic Survey will be tabled later in Parliament along with the full Budget. A full Budget for 2014/15 is likely to be present in July by the new government formed after the General Election. The government will soon launch an internet spy system, called Netra, to detect malafide messages. Security agency will deploy the system to capture dubious voice traffic on applications such as Skype and Google Talk, as well as tweeters.

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 31-03-2012.

LOCATIONS

Registered Office :	Plot No. B-5 and B-6, SIPCOT Industrial Park, Vangadu Village, Sriperumbudur Taluk, District Kancheepuram– 602105, Tamilnadu, India
Tel. No.:	91-44-71158115
Fax No.:	91-44-71158116
E-Mail :	ananthas@yorozu.co.in sm.corporate@lawindia.com aswaroop@jbm.co.in
Website :	http://www.yorozu-corp.co.jp

DIRECTORS

AS ON 06.08.2013

Name :

Mr. Fumihiro Kondo

Designation :

Managing director

Address :

2668-83, Imajuku-cho, Asohi-ku, Yokohama shi, Japan

Date of Birth/Age :

12.03.1969

Date of Appointment :

01.05.2013

DIN No.:

06602777

Name :

Mr. Akihiko Shido

Designation :

Director

Address :

5-9-12, Shimo - Sueyoshi Tsurumi-Ku, Yokohomashi 2208686, Japan

Date of Birth/Age :

30.01.1943

Date of Appointment :

01.08.2012

DIN No.:

03326342

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	Company/ LLP Status	Defaulting status
1	U34201TN2011FTC079145	YOROZU JBM AUTOMOTIVE TAMIL NADU PRIVATE LIMITED	Director	01/08/2012	16/02/2011	Active	NO

Name :

Mr. Anand Swaroop Khandelwal

Designation :

Director

Address :

C - 5A/14, 2^nd Floor, Janakpuri, New Delhi - 110058, India

Date of Birth/Age :

26.06.1956

Date of Appointment :

10.02.2011

DIN No.:

00004816

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	U74899DL1995PLC067432	JBM INTERNATIONAL LIMITED	Director	18/04/1995	18/04/1995	-	Active	NO
2	U34300DL2003PTC123285	NEEL AUTO PRIVATE LIMITED	Nominee director	15/12/2003	15/12/2003	-	Active	NO
3	U45201DL2003PTC120054	SATISH BUILDWELL PRIVATE LIMITED	Director	03/03/2005	03/03/2005	-	Active	NO
4	U45201DL2006PTC144716	SHREEAUMJI BUILDWELL PRIVATE LIMITED	Director	12/01/2006	12/01/2006	-	Active	NO
5	U45201DL2006PTC144715	SHREEAUMJI PROPERTIES PRIVATE LIMITED	Director	12/01/2006	12/01/2006	-	Active	NO
6	U45201DL2006PTC144717	SHREEAUMJI BUILDERS PRIVATE LIMITED	Director	12/01/2006	12/01/2006	-	Active	NO
7	U74899DL2006PTC144712	HICOM INFRASTUCTURE PRIVATE LIMITED	Director	12/01/2006	12/01/2006	-	Active	NO
8	U70109DL2006PTC149250	SHREEAUMJI BUILDTECH PRIVATE LIMITED	Director	27/05/2006	27/05/2006	-	Active	NO
9	U70109DL2006PTC150431	COMTECH INFRASTRUCTURE PRIVATE LIMIED.	Director	30/06/2006	30/06/2006	-	Active	NO
10	U35990DL1995PLC071596	JAYBHARAT BREED LIMITED	Director	30/09/2008	09/12/2006	-	Amalgamated	NO
11	U13203DL2007PLC164433	ANS STEEL TUBES LIMITED	Director	17/06/2013	01/11/2007	-	Active	NO
12	U29220DL2007PTC171360	JBM MA AUTOMOTIVE PRIVATE LIMITED	Director	14/05/2009	12/03/2008	-	Active	NO
13	U45200DL2008PTC178619	JBM PROJECTS & INFRASTRUCTURE PRIVATE LIMITED	Director	27/05/2008	27/05/2008	-	Active	NO
14	U28910DL2008PLC185040	JBM MOTORS LIMITED	Director	19/11/2008	19/11/2008	-	Active	NO
15	U34300TN1998PTC046810	JBM AUTO SYSTEM PRIVATE LIMITED	Director	04/08/2011	23/02/2009	-	Active	NO
16	U80302DL2009PTC190802	JBM CADMIUM PRIVATE LIMITED	Director	02/06/2009	02/06/2009	-	Active	NO
17	U28931DL2008PTC174381	INDO TOOLINGS PRIVATE LIMITED	Director	20/08/2009	01/07/2009	28/01/2013	Active	NO
18	U27100DL2009PLC187584	JBM OGIHARA AUTOMOTIVE INDIA LIMITED	Director	28/07/2010	21/09/2009	-	Active	NO
19	U28900DL2010PLC211731	M J CASTING LIMITED	Director	23/12/2010	23/12/2010	-	Active	NO
20	U34201TN2011FTC079145	YOROZU JBM AUTOMOTIVE TAMIL NADU PRIVATE LIMITED	Director	10/02/2011	10/02/2011	-	Active	NO
21	U74140DL2011PTC227157	JBM CORPORATE SERVICES PRIVATE LIMITED	Director	08/11/2011	08/11/2011	-	Active	NO
22	U28111DL2006PTC155129	ARCELOR NEEL TAILORED BLANK PRIVATE LIMITED	Alternate director	19/06/2012	19/06/2012	-	Active	NO
23	U29253HR2012PTC046397	JBM KANEMITSU PULLEYS PRIVATE LIMITED	Alternate director	17/07/2012	17/07/2012	-	Active	NO
24	U74140DL2007PTC158597	NEEL METAL FANALCA ENVIRONMENT MANAGEMENT PRIVATE LIMITED	Nominee director	20/12/2012	20/12/2012	-	Active	NO
25	U40300DL2013PTC249282	JBM SOLAR PRIVATE LIMITED	Director	11/03/2013	11/03/2013	-	Active	NO
26	U40106DL2013PTC250286	JBM SOLAR POWER PRIVATE LIMITED	Director	04/04/2013	04/04/2013	-	Active	NO
27	U74140DL2003PTC118916	K R CHAWLA CONSULTING PRIVATE LIMITED	Additional director	26/07/2013	26/07/2013	-	Active	NO
28	U70101DL2002PTC117107	HN PROPERTIES PRIVATE LIMITED	Additional director	26/07/2013	26/07/2013	-	Active	NO

Name :

Mr. Pramod Manglik

Designation :

Alternate director

Address :

AA-19, 3^rd Street, Anna Nagar, Chennai – 600040, Tamilnadu, India

Date of Birth/Age :

10.05.1954

Date of Appointment :

19.02.2013

DIN No.:

02743788

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	Company/ LLP Status	Defaulting status
1	U28910TN2000PTC049876	NEEL INDUSTRIES PRIVATE LIMITED	Director	30/09/2009	28/07/2009	Active	NO
2	U34300TN1998PTC046810	JBM AUTO SYSTEM PRIVATE LIMITED	Whole-time director	27/09/2010	02/01/2010	Active	NO
3	U34201TN2011FTC079145	YOROZU JBM AUTOMOTIVE TAMIL NADU PRIVATE LIMITED	Alternate director	19/02/2013	09/05/2012	Active	NO
4	U27100DL2009PLC187584	JBM OGIHARA AUTOMOTIVE INDIA LIMITED	Director	30/09/2013	10/11/2012	Active	NO

KEY EXECUTIVES

Name :	Mr. V Anantha Subramanian
Designation :	Secretary
Address :	3-257, VOC Street, Karapakkam, Chennai – 600097, Tamilnadu, India
Date of Birth/Age :	25.03.1985
Date of Appointment :	09.05.2012
PAN No.:	BAYPS0340C

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 06.08.2013

Names of Shareholders	No. of Shares
Yorozu Corporation, Japan	140000000
JBM Auto System Private Limited, India	10000000
Total	150000000

AS ON 06.08.2013

Equity Share Breakup	Percentage of Holding
Category
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]	93.33
Bodies corporate	6.67
Total	100.00

BUSINESS DETAILS

Line of Business :

Developing, Manufacturing and Selling of Automotive Parts [Suspension] and also Selling of Production Tooling Die and Equipment.

Products/ Services :

ITC Code No.	Product Descriptions
87089900	Parts and Accessories of the Motor Vehicles of Headings

GENERAL INFORMATION

No. of Employees :	Not Available
Bankers :	Not Available

Banking Relations :	--
Auditors :
Name :	S R B C and Company Chartered Accountants
Address :	6th and 7th Floor - "A" Block, Tidel Park, (Module 601, 701 and 702), No. 4, Rajiv Gandhi Salai, Taramani, Chennai – 600113, Tamilnadu, India
Income-tax PAN of auditor or auditor's firm :	ABSFS4151K
Holding Company :	Yorozu Corporation, Japan

CAPITAL STRUCTURE

AS ON 06.08.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
200,000,000	Equity Shares	Rs. 10/- each	Rs. 2000.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
150,000,000	Equity Shares	Rs. 10/- each	Rs. 1500.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		10.02.2011 to 31.03.2012
SHAREHOLDERS FUNDS
1] Share Capital		1500.000
2] Share Application Money		0.000
3] Reserves & Surplus		0.000
4] (Accumulated Losses)		(171.388)
NETWORTH		1328.612
LOAN FUNDS
1] Secured Loans		0.000
2] Unsecured Loans		1189.922
TOTAL BORROWING		1189.922
DEFERRED TAX LIABILITIES		0.000
TOTAL		2518.534
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		1022.095
Capital work-in-progress		786.692
INVESTMENT		0.000
DEFERRED TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	122.403
	Sundry Debtors	209.030
	Cash & Bank Balances	759.835
	Other Current Assets	1.661
	Loans & Advances	168.883
Total Current Assets		1261.812
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	513.251
	Other Current Liabilities	28.322
	Provisions	10.492
Total Current Liabilities		552.065
Net Current Assets		709.747
MISCELLANEOUS EXPENSES		0.000
TOTAL		2518.534

PROFIT & LOSS ACCOUNT

	PARTICULARS		10.02.2011 to 31.03.2012
	SALES
		TOTAL	233.237
Less	EXPENSES
		TOTAL	404.625
	PROFIT/ (LOSS) BEFORE TAX		(171.388)
Less	TAX		0.000
	PROFIT/ (LOSS) AFTER TAX		(171.388)
	Earnings/ (Loss) Per Share (Rs.)		(1.14)

KEY RATIOS

PARTICULARS		10.02.2011 to 31.03.2012
PAT / Total Income	(%)	(73.48)
Return on Total Assets (PBT/Total Assets}	(%)	(7.50)
Return on Investment (ROI) (PBT/Networth)		0.13
Debt Equity Ratio (Total Debt/Networth)		0.90
Current Ratio (Current Asset/Current Liability)		2.29

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

INDEX OF CHARGES: NO CHARGES EXIST FOR COMPANY

UNSECURED LOANS

UNSECURED LOANS	31.03.2012 (Rs. In Millions)
Other external commercial borrowings	1189.922
Total	1189.922

CHANGE OF ADDRESS:

The Registered office of the company has been shifted from No. 5C, East Ellaiamman Koil Street, Kottur, Chennai – 600085, Tamilnadu, India to the present w.e.f.23.11.2011.

BACKGROUND

The Company incorporated on February 10, 2011 as a Private limited company. The Company was incorporated in the State of Tamil Nadu, India. The Company is a subsidiary of Yorozu Corporation, Japan (‘YCJ’). YC Japan holds 93.33% of the share capital of the Company. The Company is engaged in developing, manufacturing and sale of automotive parts [suspension]. The Company is also engaged in sale of production tooling die and equipment.

FIXED ASSETS:

· Land

Building

Office building

Plant machinery

Office equipments

Computer equipments

Furniture fixtures

Computer software

Knowhow

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. 62.31
UK Pound	1	Rs. 101.78
Euro	1	Rs. 84.68

INFORMATION DETAILS

Report Prepared by :

BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	4
--RESERVES	1~10	2
--CREDIT LINES	1~10	2
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTERS
--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.