MIRA INFORM REPORT

Report Date :

28.02.2014

IDENTIFICATION DETAILS

Name :	MEL SYSTEMS AND SERVICES LIMITED
Registered Office :	Plot No. 173, Developed Plots Estate For Electronics and Instrument Industries, Perungudi, Chennai - 600096
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	06.09.1990
Com. Reg. No.:	18-019611
Capital Investment / Paid-up Capital :	Rs.12.056 Millions
CIN No.: [Company Identification No.]	U30006TN1990PLC019611
TAN No.: [Tax Deduction & Collection Account No.]	CHEM01641D
PAN No.: [Permanent Account No.]	AAACM4513F
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of electronic components for electronic industry.
No. of Employees :	175 (Approximately)

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 370000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Exist
Comments :	Subject is an established company having moderate track record. The company has incurred loss from its operating activities during the financial year 2013. However, trade relations are fair. Business is active. Payment terms are slow but correct. The company can be considered for business dealing 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 worst is over for India’s economy with gross domestic product likely to expand 5 %to 5.5 % this year and more than 6 % in 2015, according to Moody’s Analytics. Concerns over the rupee and current account deficit are under control, said the agency. Ratings firm Crisil has forecast 6 % growth for 2014/15 up from the estimated 4.8 % for 2013/14.  Total economic growth, infrastructure bottlenecks and lack of transparency and consistency in foreign direct investment policies seem to have taken a toll on India’s attractiveness as an investment destination, says an Ernst & Young survey.  Projects with FDI component fell 16.4 % across the globe in 2012 from the previous year.  The drop in India was steeper at 21 %. State run carrier Air India is doling out free tickets to its 24000 employees, even as it expects to incur a loss of Rs 39000 mn this financial year and has a debt of Rs 350000 mn. 550000 number of jobs generated across India in 2013, a fall of 0.4 % as compared to with a year earlier. The National  Capital Region has a one-fourth share in total jobs created, according to a study by industry lobby group Assochem, Banks, real estate, automobile and telecommunications sectors are showing a rise of job creation. $ 805 mn investments by venture capital firms in India during 2013, registering a drop of about 18 % over the previous year. The Information Technology and IT-Enabled  Services Industry retained its status as the favourable venture capital investors in 2013. Pakistan has temporarily banned gold imports for the second time in six months, as it tries to stem smuggling into India. India’s import duty on gold is 10 % and curbs on purchases have dried up legal imports into what used to be the world’s biggest bullion buyers. The World Gold Council puts the amount smuggled into India at upto 200 tonnes in 2013. The Reserve Bank of India has proposed that unclaimed bank deposits estimated to be about Rs 35000 mn be used for education and awareness among depositors.  According to the plan, deposits that have not been claimed for at least 10 years will be transferred to the scheme.

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Long term rating: BB
Rating Explanation	Moderate risk of default and high credit risk.
Date	06.12.2013

Rating Agency Name	CRISIL
Rating	Short term rating: A4+
Rating Explanation	Minimal degree of safety and very high credit risk.
Date	06.12.2013

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 PARTED BY

Name :	Mr. T Vijiyan
Designation :	Finance Manager
Contact No.:	91-9094841297
Date :	27.02.2014

LOCATIONS

Registered Office / Head Office / Factory 1 :	Plot No. 173, Developed Plots Estate For Electronics and Instrument Industries, Perungudi, Chennai - 600096
Tel. No.:	91-44-24961903/ 24961904
Mobile No.:	91-9094841297 (Mr. T Vijiyan)
Fax No.:	91-44-24960488
E-Mail :	fm@melss.com accounts@melss.com melsschn@melss.com sales@melss.com
Website :	www.melssindia.com www.melss.com
Location :	Owned
Factory 2 :	Plot No. K-22-1B, Sipcot Phase II, Industrial Park, Mambakkam Village, Sriperumbudur, Chennai – 602105, Tamilnadu, India
Branches :	Located at · New Delhi · Mumbai · Bangalore · Kolkata · Secunderabad · Coimbatore

DIRECTORS

As on 19.12.2013

Name :

Mr. Ramachandran Natarajan

Designation :

Managing director

Address :

No. 3A, Coral Sands 54 B, Beach Road, Kalakshetra Colony, Besant Nagar, Chennai – 60028, Tamilnadu, India

Date of Birth/Age :

18.06.1950

Date of Appointment :

01.04.2009

DIN No.:

00067297

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	U64202TN2000PTC045143	NETFULFILMENT AND & SERVICES PRIVATE LIMITED	Director	07/06/2000	07/06/2000	15/04/2010	Active	NO
2	U30006TN1990PLC019611	MEL SYSTEMS AND SERVICES LIMITED	Managing director	01/04/2009	01/04/2001	-	Active	NO
3	U29196TN2002PLC049505	MELSS AUTOMATION LIMITED	Director	16/09/2002	16/09/2002	-	Amalgamated	NO

Name :

Mr. Murugappan Murugappan Muthiah

Designation :

Director

Address :

Coromandel House New No. 14, Old No. 12, Boat Club Road, Raja Annamalipuram, Chennai – 600028, Tamilnadu, India

Date of Birth/Age :

12.11.1955

Date of Appointment :

07.09.1990

DIN No.:

00170478

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	U65993TN1942PTC003659	AMBADI INVESTMENTS PRIVATE LIMITED	Director	03/03/1979	03/03/1979	-	Active	NO
2	U93090TN1982NPL009388	A M M MEDICAL FOUNDATION	Director	16/11/1983	16/11/1983	-	Active	NO
3	U73100TN1983NPL010490	M.M.MUTHIAH RESEARCH FOUNDATION	Director	29/11/1983	29/11/1983	-	Active	NO
4	U30006TN1990PLC019611	MEL SYSTEMS AND SERVICES LIMITED	Director	07/09/1990	07/09/1990	-	Active	NO
5	L65990MH1945PLC004558	MAHINDRA AND MAHINDRA LIMITED	Director	28/08/1992	28/08/1992	-	Active	NO
6	U29259GJ1979PLC003467	STERLING ABRASIVE LIMITED	Director	28/10/1995	28/10/1995	22/04/2009	Active	NO
7	L29224TN1954PLC000318	CARBORUNDUM UNIVERSAL LIMITED	Director	17/10/1996	17/10/1996	-	Active	NO
8	L72200AP1991PLC013134	INFOTECH ENTERPRISES LIMITED	Director	11/08/1997	11/08/1997	-	Active	NO
9	U26919TN1982PLC009622	MURUGAPPA MORGAN THERMAL CERAMICS LIMITED	Director	24/06/1998	24/06/1998	-	Active	NO
10	U73100TN2000PTC045328	IDEA LAB (INDIA) PRIVATE LIMITED	Director	05/07/2000	05/07/2000	-	Active	NO
11	U74999TN1997PLC039545	NET ACCESS INDIA LIMITED	Director	29/07/2000	29/07/2000	-	Active	NO
12	L85110KA1980PLC003913	WENDT INDIA LIMITED	Director	29/01/2001	29/01/2001	-	Active	NO
13	L35921TN1949PLC002905	TUBE INVESTMENTS OF INDIA LIMITED	Director	27/03/2002	27/03/2002	-	Active	NO
14	L24120AP1961PLC000892	COROMANDEL INTERNATIONAL LIMITED	Director	15/07/2004	15/07/2004	23/01/2007	Active	NO
15	U65993MH1996PLC211198	L AND T MUTUAL FUND TRUSTEE LIMITED	Additional director	18/10/2006	18/10/2006	14/08/2008	Active	NO
16	U28991TN2001FTC047397	BORGWARNER MORSE TEC INDIA PRIVATE LIMITED	Director	26/01/2007	26/01/2007	30/09/2008	Active	NO
17	U93090TN1982NPL009389	MURUGAPPA EDUCATIONAL AND MEDICAL FOUNDATION	Director	30/09/2010	30/08/2010	-	Active	NO
18	U74140TN1994PLC029257	CHOLAMANDALAM MS RISK SERVICES LIMITED	Director	27/07/2012	27/01/2012	-	Active	NO
19	U65993TN1977PLC070246	MURUGAPPA HOLDINGS LIMITED	Director	28/07/2012	09/02/2012	-	Active	NO
20	U65990TN2008PTC066257	NEW AMBADI ESTATES PRIVATE LIMITED	Director	27/07/2012	26/03/2012	-	Active	NO
21	U29142TN1990PLC020023	PARRY ENTERPRISES INDIA LIMITED	Director	26/07/2013	20/07/2012	-	Active	NO
22	L29130TZ1972PLC000649	SHANTHI GEARS LIMITED	Director	24/07/2013	03/09/2012	-	Active	NO
23	U73100TN2006NPL059651	IIT MADRAS RESEARCH PARK	Director	31/08/2013	31/08/2013	-	Active	NO

Name :

Mr. Srinivasan Ranganathapuram Vaidyanathan

Designation :

Director

Address :

New No. 11, Old No. 10, Anandam Colony South, Canal Bank Road, Mandavelo, Chennai – 600028, Tamilnadu, India

Date of Birth/Age :

06.07.1946

Date of Appointment :

06.12.2003

DIN No.:

00629803

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	U64202TN2000PTC045143	NETFULFILMENT AND SERVICES PRIVATE LIMITED	Director	15/09/2000	15/09/2000	-	Active	NO
2	U29196TN2002PLC049505	MELSS AUTOMATION LIMITED	Director	06/12/2003	06/12/2003	-	Amalgamated	NO
3	U30006TN1990PLC019611	MEL SYSTEMS AND SERVICES LIMITED	Director	06/12/2003	06/12/2003	-	Active	NO

Name :

Mr. Eswaran Ramanathan

Designation :

Director

Address :

3D, Gayahri A

Date of Birth/Age :

29.08.1941

Date of Appointment :

07.09.1990

DIN No.:

02188663

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	U30006TN1990PLC019611	MEL SYSTEMS AND SERVICES LIMITED	Director	07/09/1990	07/09/1990	-	Active	NO
2	U29196TN2002PLC049505	MELSS AUTOMATION LIMITED	Director	29/08/2002	29/08/2002	-	Amalgamated	NO

KEY EXECUTIVES

Name :	Mr. T Vijiyan
Designation :	Finance Manager
Name :	R Sridharan and Associates
Designation :	Company Secretaries
Address :	New No. 5, (Old No.12), Sivasailam Street, T Nagar, Chennai – 600017, Tamilnadu, India
Tel No.:	91-44-42166988/43502997/42555587
Fax No.:	91-44-42137082
Email:	sribhav@aryes.in sridharan.r@aryes.in

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 19.12.2013

SHAREHOLDING DETAIL FILE ATTACHED

Equity Share Break up (Percentage of Total Equity)

As on 19.12.2013

Category	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	2.28
Directors or relatives of Directors	46.08
Other top fifty shareholders	51.64
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of electronic components for electronic industry.
Imports :
Products :	Electronic components
Countries :	· Taiwan · UK
Terms :
Selling :	Cash and Credit
Purchasing :	L/C, Cash and Credit

GENERAL INFORMATION

Suppliers :

· Bharat Deep Traders

· Ctis Solution

Customers :

Government company

· Electronic Corporation of India

· Bhel

No. of Employees :

175 (Approximately)

Bankers :

State Bank of India, Sme Branch, 65-A, Gst Road, Guindy, Chennai - 600032,

Tamil Nadu, India

Facilities :

Cash and Credit : Rs. 90.000 Millions [From State Bank of India]

LC: Rs.45.000 Millions

BG: Rs.50.000 Millions

Secured Loan	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions)
Long-term Borrowings
Term Loan from bank	2.999	11.741
Short-term borrowings
From Bank	106.502	51.910
From Other	0.836	0.000
Total	110.337	63.651

Banking Relations :	--
Auditors :
Name :	Shanker Giri and Prabhakar Chartered Accountants
Address :	Guhalaya, Flat B-7, No. 262 (Old 179), Royapettah High Road, Mylapore, Chennai – 600004, Tamilnadu, India
Tel. No.:	91-44-24992982/24991345
Fax No.:	91-44-24997317
PAN N Income-tax PAN of auditor or auditor's firm :	AAAFS9658H

CAPITAL STRUCTURE

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
3000000	Equity Shares	Rs.10/- each	Rs. 30.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1205620	Equity Shares	Rs.10/- each	Rs. 12.056 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	12.056	12.056	6.028
(b) Reserves & Surplus	80.068	122.319	73.189
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.576	0.000
Total Shareholders’ Funds (1) + (2)	92.124	134.951	79.217
(3) Non-Current Liabilities
(a) long-term borrowings	2.999	11.741	0.000
(b) Deferred tax liabilities (Net)	0.000	9.877	1.212
(c) Other long term liabilities	0.000	1.633	0.000
(d) long-term provisions	1.188	2.112	0.927
Total Non-current Liabilities (3)	4.187	25.363	2.139
(4) Current Liabilities
(a) Short term borrowings	111.883	51.910	21.577
(b) Trade payables	70.945	86.383	61.492
(c) Other current liabilities	40.354	48.207	16.485
(d) Short-term provisions	0.983	0.022	16.713
Total Current Liabilities (4)	224.165	186.522	116.267
TOTAL	320.476	346.836	197.623
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	118.776	123.739	18.225
(ii) Intangible Assets	1.114	1.488	0.873
(iii) Capital work-in-progress	0.000	0.000	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.000	0.000	2.750
(c) Deferred tax assets (net)	6.817	0.000	0.000
(d) Long-term Loan and Advances	4.787	6.104	4.641
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	131.494	131.331	26.489
(2) Current assets
(a) Current investments	0.100	0.100	1.550
(b) Inventories	35.810	32.804	21.235
(c) Trade receivables	127.008	153.831	138.452
(d) Cash and cash equivalents	12.974	16.872	7.730
(e) Short-term loans and advances	9.338	8.912	1.607
(f) Other current assets	3.752	2.986	0.560
Total Current Assets	188.982	215.505	171.134
TOTAL	320.476	346.836	197.623

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income	312.163	412.613	266.495
		Other Income	13.044	3.443	4.794
		TOTAL (A)	325.207	416.056	271.289
Less	EXPENSES
		Cost of material consumed	138.088	151.804	48.507
		Purchase of stock in trade	80.342	91.134	88.418
		Changes in inventories	3.444	(9.710)	0.366
		Employee benefit expenses	74.112	86.516	44.417
		Other Expenses	52.847	58.727	36.301
		TOTAL (B)	348.833	378.471	218.009
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		(23.626)	37.585	53.280
Less	FINANCIAL EXPENSES (D)		18.433	19.422	5.274
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		(42.059)	18.163	48.006
Less/ Add	DEPRECIATION/ AMORTISATION (F)		7.669	7.576	2.121
	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		(49.728)	10.587	45.885
Less	TAX (H)		(16.693)	5.442	15.384
	PROFIT / (LOSS) AFTER TAX (G-H) (I)		(33.035)	5.145	30.501
	EARNINGS IN FOREIGN CURRENCY
		FOB value of Export	32.140	36.145	3.527
	TOTAL EARNINGS		32.140	36.145	3.527
	IMPORTS
		Raw Materials	34.042	33.514	19.030
		Bought out goods	65.862	78.219	0.100
	TOTAL IMPORTS		99.904	111.733	19.130
	Earnings / (Loss) Per Share (Rs.)		(27.00)	4.27	50.60

Expected Sales (2013-2014): Rs.500.000 Millions

The above information has been parted by Mr. T Vijiyan (Finance Manager)

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	(10.16)	1.24	11.24
Net Profit Margin (PBT/Sales)	(%)	(15.93)	2.57	17.22
Return on Total Assets (PBT/Total Assets}	(%)	(15.85)	3.05	23.55
Return on Investment (ROI) (PBT/Networth)		(0.54)	0.08	0.58
Debt Equity Ratio (Total Debt /Networth)		1.25	0.47	0.27
Current Ratio (Current Asset/Current Liability)		0.84	1.16	1.47

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	6.028	12.056	12.056
Reserves & Surplus	73.189	122.319	80.068
Net worth	79.217	134.375	92.124
long-term borrowings	0.000	11.741	2.999
Short term borrowings	21.577	51.910	111.883
Total borrowings	21.577	63.651	114.882
Debt/Equity ratio	0.272	0.474	1.247

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2011	31.03.2012	31.03.2013
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	266.495	412.613	312.163
		54.830	(24.345)

NET PROFIT MARGIN

Net Profit Margin	31.03.2011	31.03.2012	31.03.2013
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	266.495	412.613	312.163
Profit	30.501	5.145	(33.035)
	11.45%	1.25%	(10.58%)

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check List by Info Agents	Available in Report (Yes / No)
1]	Year of Establishment	Yes
2]	Locality of the firm	Yes
3]	Constitutions of the firm	Yes
4]	Premises details	No
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	Yes
15]	Capital in the business	Yes
16]	Details of sister concerns	No
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	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]	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

LITIGATION DETAILS

CHENNAI COURT
CASE STATUS INFORMATION SYSTEM

Case Status:	Pending
Status Of:	APPLICATION
Case No.:	1031
Year :	2013
Petitioner :	M/S. AUTOSYS ENGINEERING PVT.
Respondent :	M/S. MEL SYSTEMS AND SERVICES
Pet's Advocate :	M/S.SURANA AND SURANA
Res's Advocate :	M/S.S.VENKATESAN
Category :	Declaration
	Last Listed on: No Date Mentioned
Case Updated on :	Jan 7 2014

OPERATIONS

The company has achieved a turnover, including commission and other income of Rs.325.207 Millions during the financial year ended 31^st March, 2013 as against a turnover Rs.416.056 Millions in the previous year. The company incurred a loss of rs.49.728 Millions as against a net profit before tax of Rs.10.587 Millions in the previous year. The main reason for incurring loss during the year was due to a drastic drop in the sales of the automation and control division and the strategic electronic division. The also had to incur additional expenses in completing a number of projects of the ACD which were unbudgeted, after providing for deferred tax asset of Rs.16.693 Millions during the year, the net loss for the year was Rs. 33.035 Millions

NOTE ON AMALGAMATION

During the year the company has acquired the balance 115210 shares of erstwhile subsidiary Melss Automation Limited and the deficit arising out of acquisition amounting to Rs.9.217 Millions has been adjusted against general reserves and 10 equity shares of Rs.10/- has been issued for the balance 20 equity shares 20 Equity shares of the subsidiary as specified in the scheme of amalgamation.

UNSECURED LOAN

PARTICULARS	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions)
Short-term borrowings
From directors	4.545	0.000
Total	4.545	0.000

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10423180	30/03/2013	243,400,000.00	STATE BANK OF INDIA	SME BRANCH, 65-A, GST ROAD, GUINDY, CHENNAI, TAMIL NADU - 600032, INDIA	B74217316
2	10337062	25/01/2012	161,200,000.00	STATE BANK OF INDIA	SME, GUINDY, G.S.T ROAD, GUINDY, CHENNAI, TAMIL NADU - 600032, INDIA	B32746877
3	90289728	25/01/2012 *	161,200,000.00	STATE BANK OF INDIA	SME, GUINDY, G.S.T ROAD, GUINDY, CHENNAI, TAMIL NADU - 600032, INDIA	B32645046
4	90283670	25/09/2012 *	138,500,000.00	STATE BANK OF INDIA	SME BRANCH,65-A,G.S.T ROAD, GUINDY, CHENNAI, TAMIL NADU - 600032, INDIA	B62092051

* Date of charge modification

CONTINGENT LIABILITIES:

(Rs. in millions)

PARTICULARS	31.03.2013
Guarantees issued by bankers	36.784
Letter of credit issued by bankers	16.182
Income tax demand under appeal	0.526
Total	53.492

FIXED ASSETS

Tangible Assets

· Freehold Land

· Leasehold Land

· Building

· Plant and Machinery

· Office Equipments

· Computers

· Lab Equipments

· Furniture and Fixtures

· Air Conditioner

· Electrical Installation and Fitting

· Vehicles

Intangible Assets

· Computer Software

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.61.94
UK Pound	1	Rs.103.31
Euro	1	Rs.85.11

INFORMATION DETAILS

Information Gathered by :	HNA
Report Prepared by :	KVT

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	--
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	4
--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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--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.