MIRA INFORM REPORT

Report Date :

13.02.2014

IDENTIFICATION DETAILS

Name :	K.K. SPUN PIPE PRIVATE LIMITED
Registered Office :	7/18A, Ground Floor, Sarvapriya Vihar, New Delhi – 110016
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	09.01.2006
Com. Reg. No.:	55-144590
Capital Investment / Paid-up Capital :	Rs. 48.320 Millions
CIN No.: [Company Identification No.]	U29199DL2006PTC144590
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Concrete Pipes.
No. of Employees :	Not Divulged

RATING & COMMENTS

MIRA’s Rating :

B (34)

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

Maximum Credit Limit :	USD 880000
Status :	Moderate
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Subject it is an established company having moderate track record. Latest financial for the year 2012 and 13 are not available with us. As per previous financial of 2011, profitability of the company seems to be fair. However, trade relations are fair. Business is active. Payment terms are unknown. 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.

EXTERNAL AGENCY RATING

Rating Agency Name	CARE
Rating	Long Term Bank Facilities: “BBB-” (suspended)
Rating Explanation	Moderate degree of safety and moderate credit risk
Date	March 21, 2013

Rating Agency Name	CARE
Rating	Short Term Bank Facilities: “A3”(suspended)
Rating Explanation	Moderate degree of safety and high credit risk.
Date	March 21, 2013

Reason: The Company has not furnished the information.

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.

INFORMATION DECLINED BY

Name :	Mr. Rajesh Roy
Designation :	Accounts Manager
Contact No.:	91-8800954800
Date :	31.01.2014

LOCATIONS

Registered Office :	7/18A, Ground Floor, Sarvapriya Vihar, New Delhi – 110016, India
Tel. No.:	91-11-41828557 / 26851473 / 26510684 / 26851478
Mobile No.:	91-8800954800 (Mr. Rajesh Roy) 91-9871392536 / 9958807694 / 8595181054 (Mr. Kavish Gupta)
Fax No.:	91-11-41828556 / 26851473
E-Mail :	rajesh.roy@kkspunpipes.co.in zoiros.consulting@gmail.com kksp@kkspupipes.com ca_pawanchadha@hotmail.com ccsgupta1997@gmail.com pkg@kkspunpipes.com
Website ;	www.kkspunpipes.com
Area :	1200 Sq. ft.
Location :	Owned
Factory 1:	Tigaon Road, Ballabgarh – 121004, Haryana, India
Factory 2:	Plot No. SPL 3 and 4, RIICO Industrial Area, Tapukara, Alwar – 301707, Rajasthan, India
Factory 3:	Khata No.26, Gata No.437, Village Labpur, Hameet, Tehsil Bilari, District Moradabad – 244001, Uttar Pradesh, India
Factory 4:	Sewage Treatment Plant, Salarpur Road, Deenapur, Varanasi – 221007, Uttar Pradesh, India
Factory 5:	A1 and A2, Growth Center, Jainpur, Industrial Area, Kanpur, Dehal, Uttar Pradesh, India

DIRECTORS

As on 30.09.2013

Name :

Mr. Himanshu Kumar Gupta

Designation :

Director

Address :

7/18A, Sarpirya Vihar, New Delhi – 110 016, India

Date of Birth/Age :

17.02.1981

Qualification :

B. Tech.

Date of Appointment :

09.01.2006

DIN No.:

00822757

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	U29199DL2006PTC144590	K.K.SPUN PIPE PRIVATE LIMITED	Director	09/01/2006	09/01/2006	Active	NO
2	U45201DL2006PTC146667	SAI CONCRETE INFRASTRUCTURE PRIVATE LIMITED	Director	01/03/2007	01/03/2007	Active	NO
3	U74999DL2010PTC197771	JAISHREE WIRES AND FASTNERS PRIVATE LIMITED	Director	07/01/2010	07/01/2010	Active	NO
4	U63040DL2011PTC212125	PHK LOGISTICS PRIVATE LIMITED	Director	03/01/2011	03/01/2011	Active	NO

Name :

Mr. Parmod Kumar Gupta

Designation :

Director

Address :

B-4/52, Azad Apartments Hauz Khas, New Delhi – 110016, Delhi, India

Date of Birth/Age :

23.09.1955

Date of Appointment :

09.01.2006

DIN No.:

00824409

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	U29199DL2006PTC144590	K.K.SPUN PIPE PRIVATE LIMITED	Director	09/01/2006	09/01/2006	-	Active	NO
2	U45201DL2006PTC146667	SAI CONCRETE INFRASTRUCTURE PRIVATE LIMITED	Director	22/02/2006	22/02/2006	-	Active	NO
3	U74999DL2010PTC197771	JAISHREE WIRES AND FASTNERS PRIVATE LIMITED	Director	07/01/2010	07/01/2010	-	Active	NO
4	L72900DL1999PLC099103	LUMAX AUTOMOTIVE SYSTEMS LIMITED	Director	30/09/2010	31/08/2010	11/07/2011	Active	NO
5	U63040DL2011PTC212125	PHK LOGISTICS PRIVATE LIMITED	Director	03/01/2011	03/01/2011	-	Active	NO
6	U70200DL2013PTC249952	SANSKRITI PREMIUM RESIDENCES PRIVATE LIMITED	Director	28/03/2013	28/03/2013	21/04/2013	Active	NO

Name :

Mr. Kavish Gupta

Designation :

Director

Address :

7/18A, Sarpirya Vihar, New Delhi – 110 016, India

Date of Birth/Age :

16.12.1986

Date of Appointment :

01.01.2010

DIN No.:

02953533

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	U29199DL2006PTC144590	K.K.SPUN PIPE PRIVATE LIMITED	Director	01/01/2010	01/01/2010	Active	NO
2	U63040DL2011PTC212125	PHK LOGISTICS PRIVATE LIMITED	Director	03/01/2011	03/01/2011	Active	NO

KEY EXECUTIVES

Name :	Mr. Rajesh Roy
Designation :	Accounts Manager

MAJOR SHAREHOLDERS

As on 30.09.2013

Names of Shareholders	No. of Shares
Parmod Kumar Gupta	4062408
Himanshu Kumar Gupta	789211
Pramod Kumar Gupta HUF	491320
Jai Shree Gupta	104201
Kavish Gupta	348715
Sai Concrete Infrastructure Private Limited	97788
Total	5893643

As on 30.09.2013

Equity Share Break up (Percentage of Total Equity)

Category	Percentage of Holding
Bodies corporate	1.66
Directors or relatives of directors	90.01
Other top fifty shareholders	8.33
TOTAL	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Concrete Pipes.
Products :	Pre-Cast Product R.C.C Pipes Box Culverts Jacking Pipe Conical Manholes Sub Pillar Foundation SFRC Drain Covers U Shape Channel Drains Vent Shafts HDPE/PVC Lined RCC pipes Perforated Pipe Fly over wall panel Telecom Products Telecom Poles Telecom Shelters Telecom Tower Prefabricated Steel Telecom Products Plastic Product T -grip HDPE/PVC

PRODUCTION STATUS (AS ON 31.03.2010)

Particulars	Unit	Actual Production
RCC Products (PCS)	Qty. In Nos.	57971
Others (PCS)	Qty. In Nos.	40420
Steel FAB Structure (KGS)	Qty. In Nos.	95580
HDPET Grip Lining (M2)	Qty. In Nos.	4400

GENERAL INFORMATION

Customers :

· L and T

Reliance

Bharti

VSNL

BSNL

Air Tel

GAAR

No. of Employees :

Not Divulged

Bankers :

· Karnataka Bank, Sector 2/C, Faridabad – 121001, Haryana, India

HDFC Bank, HDFC House, Senapati Bapat Marg, Lower Parel (West), Mumbai – 400013, Maharashtra, India

Dena Bank

Kotak Mahindra Bank

ICICI Bank Limited, Landmarkrace Cource Circle, Alkapuri, Baroda – 390015, Gujarat, India

State Bank of India, Delhi, India

HDFC Bank Limited, Delhi, India

Facilities :

Secured Loan	31.03.2011 (Rs. In Millions)	31.03.2010 (Rs. In Millions)
Kotak Mahindra Bank (FLT) Loan	0.000	0.630
Tata Capital Limited Loan	0.000	2.594
ICICI Bank	0.000	0.386
Kotak Mahindra Bank Loan	52.753	17.364
Tata Motors Finance Limited	1.073	0.370
Karnataka Bank Limited C/C	80.332	0.000
HDFC Bank C/C	98.789	0.000
Dena Bank CC A/C	0.000	25.786
HDFC Bank Limited Loan	40.450	17.400
Karnataka Bank Term Loan	26.797	0.000
Karnataka Bank Term Loan	38.746	0.000
Karnataka Bank ILC	45.667	0.000
I and T Finance Limited	12.000	0.000
Dena Bank On Against FDR	0.000	7.900
Hawakey Concrete Products (Buyers Credit)	54.395	0.000
Total	451.002	72.430

Banking Relations :

--

Financial Institution :

· Tata Capital Limited

Tata Motors Finance Limited

Auditors :

Name :

SVANS and Associates

Chartered Accountants

Address :

294, Shyam Niwas, Sector-28, Faridabad – 121008, Haryana, India

Tel. No.:

91-129-4041950

Mobile No.:

91-9810294037

E-Mail :

ssgulati@hotmail.com

gulati.ss@gmail.com

PAN No.:

AAQFS3759Q

Membership :

· CII (Confederation of India Industry)

ISI

FICCI ( Federation India Chambers and Commerce and Industry)

Associates/Subsidiaries :

· K.K. Concrete Technology

K.K. Vertical

P.H.K. Logistic

CAPITAL STRUCTURE

After 30.09.2013

Authorised Capital:

No. of Shares	Type	Value	Amount
8500000	Equity Shares	Rs.10/- each	Rs.85.000 Millions

Issued, Subscribed & Paid-up Capital:

No. of Shares	Type	Value	Amount
6748643	Equity Shares	Rs.10/- each	Rs.67.486 Millions

As on 31.03.2011

Authorised Capital:

No. of Shares	Type	Value	Amount
6500000	Equity Shares	Rs.10/- each	Rs.65.000 Millions

Issued, Subscribed & Paid-up Capital:

No. of Shares	Type	Value	Amount
4832043	Equity Shares	Rs.10/- each	Rs.48.320 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		48.320	40.000	24.018
2] Share Application Money		0.000	0.000	8.366
3] Reserves & Surplus		170.855	62.422	26.119
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		219.175	102.422	58.503
LOAN FUNDS
1] Secured Loans		451.002	72.430	28.315
2] Unsecured Loans		74.773	79.788	25.509
TOTAL BORROWING		525.775	152.218	53.824
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		744.950	254.640	112.327
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		441.320	181.411	84.322
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.347	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	151.677	13.530	16.464
	Sundry Debtors	87.467	113.769	84.542
	Cash & Bank Balances	94.978	56.317	26.618
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	55.708	32.102	17.225
Total Current Assets		389.830	215.718	144.849
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	49.433	66.555	99.266
	Other Current Liabilities	13.153	66.630	10.192
	Provisions	23.658	9.702	7.444
Total Current Liabilities		86.244	142.887	116.902
Net Current Assets		303.586	72.831	27.947
MISCELLANEOUS EXPENSES		0.044	0.051	0.058
TOTAL		744.950	254.640	112.327

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		TOTAL	980.011	473.994	459.006
Less	EXPENSES
		TOTAL	798.682	409.151	408.292
	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		181.329	64.843	50.714
Less	INTEREST		32.562	4.833	2.845
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		148.767	60.010	47.869
Less/ Add	DEPRECIATION/ AMORTISATION		49.112	22.628	25.414
	PROFIT BEFORE TAX		99.655	37.382	22.455
Less	TAX		33.470	9.355	7.444
	PROFIT AFTER TAX		66.185	28.027	15.011
	EARNINGS IN FOREIGN CURRENCY
		Exports	NA	1.822	0.000
	Earnings Per Share (Rs.)		13.69	7.01	6.25

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	6.75	5.91	3.27
Return on Total Assets (PBT/Total Assets}	(%)	11.99	9.41	9.80
Return on Investment (ROI) (PBT/Networth)		0.45	0.36	0.38
Debt Equity Ratio (Total Liability/Networth)		2.39	1.49	0.92
Current Ratio (Current Asset/Current Liability)		4.52	1.51	1.24

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	No
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	Yes
19]	Payments terms	No
20]	Export / Import details (if applicable)	No
21]	Market information	--
22]	Litigations that the firm / promoter involved in	--
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	--
26]	Buyer visit details	--
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	Yes
29]	Last accounts filed at ROC	No
30]	Major Shareholders, if available	Yes
31]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10467398	21/12/2013	17,401,828.00	ICICI BANK LIMITED	LANDMARKRACE COURCE CIRCLE, ALKAPURI, BARODA - 390015, GUJARAT, INDIA	B92466713
2	10466996	05/12/2013	3,635,100.00	ICICI BANK LIMITED	LANDMARKRACE COURCE CIRCLE, ALKAPURI, BARODA - 390015, GUJARAT, INDIA	B91851741
3	10395209	31/12/2012	14,271,000.00	KOTAK MAHINDRA BANK LIMITED	36-38A, NARIMAN BHAVAN, 227,D, NARIMAN POINT, MUMBAI - 400021, MAHARASHTRA, INDIA	B65244501
4	10391927	12/11/2012	469,000.00	STATE BANK OF INDIA	SME BRANCH, SHAHDARA, DELHI - 110032, INDIA	B64122039
5	10378577	30/08/2012	10,830,380.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL (WEST), MUMBAI - 400013, MAHARASHTRA, INDIA	B58929175
6	10371289	13/08/2012	13,400,000.00	L & T FINANCE LIMITED	L&T HOUSE,, BALLARD ESTATE, MUMBAI - 400001, MAHARASHTRA , INDIA	B55934541
7	10304334	12/08/2011	45,000,000.00	KOTAK MAHINDRA BANK LIMITED	36-38A, NARIMAN BHAVAN, 227,D, NARIMAN POINT, MUMBAI - 400021, MAHARASHTRA, INDIA	B19674670
8	10305022	25/06/2013 *	1,111,700,000.00	STATE BANK OF INDIA	SME BRANCH, FIRST FLOOR, SHAHDARA, NEW DELHI - 110032, INDIA	B80667223
9	10307328	05/08/2011	32,644,080.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL (WEST), MUMBAI - 400013, MAHARASHTRA, INDIA	B21031893
10	10277887	28/03/2011	6,300,000.00	KOTAK MAHINDRA BANK LIMITED	36-38A, NARIMAN BHAVAN, 227,D, NARIMAN POINT, MUMBAI - 400021, MAHARASHTRA, INDIA	B09808478

* Date of charge modification

CHANGE OF ADDRESS

The registered office of the company has been shifted from B-4/52 Azad Appttshauz Khas, New Delhi-110006, India to the present address w.e.f.15.01.2009

UNSECURED LOANS

PARTICULAR	31.03.2011 (Rs. In Millions)	31.03.2010 (Rs. In Millions)
From Directors and ITS Firms	0.530	79.788
L and T Mobilisation Advance	74.243	0.000
Total	74.773	79.788

FIXED ASSETS:

• Air Conditioner
• CCTV
• Cellphone
• Fax Machine
• Office Equipments
• Submersible Pump
• Water Filter
• Weighing Scale
• Crane
• Generator
• Machinery and Mould
• Furniture
• Car
• Scooter / Motor Cycle
• Truck
• Computer
• Land
• Telephone Equipments
• Building

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 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.62.12
UK Pound	1	Rs.102.25
Euro	1	Rs.84.72

INFORMATION DETAILS

Information Gathered by :	HTL
Report Prepared by :	MRI

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	4
--RESERVES	1~10	3
--CREDIT LINES	1~10	4
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		34

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.