MIRA INFORM REPORT

Report Date :

06.01.2014

IDENTIFICATION DETAILS

Name :	ADCOAL RESOURCES PTE. LTD.
Registered Office :	105, Cecil Street, 06-01, Octagon, The, 069534
Country :	Singapore
Financials (as on) :	31.03.2013
Date of Incorporation :	12.12.2007
Com. Reg. No.:	200722878-E
Legal Form :	Private Limited
Line of Business :	Trading of Coal
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba

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

Status :	Satisfactory
Payment Behaviour :	No complaints
Litigation :	Clear

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, 2013

Country Name	Previous Rating (30.06.2013)	Current Rating (30.09.2013)
Singapore	A1	A1

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

SINGAPORE - ECONOMIC OVERVIEW

Singapore has a highly developed and successful free-market economy. It enjoys a remarkably open and corruption-free environment, stable prices, and a per capita GDP higher than that of most developed countries. The economy depends heavily on exports, particularly in consumer electronics, information technology products, pharmaceuticals, and on a growing financial services sector. Real GDP growth averaged 8.6% between 2004 and 2007. The economy contracted 0.8% in 2009 as a result of the global financial crisis, but rebounded 14.8% in 2010, on the strength of renewed exports, before slowing to 5.2% in 2011 and 1.3% in 2012, largely a result of soft demand for exports during the second European recession. Over the longer term, the government hopes to establish a new growth path that focuses on raising productivity, which has sunk to an average of about 1.0% in the last decade. Singapore has attracted major investments in pharmaceuticals and medical technology production and will continue efforts to establish Singapore as Southeast Asia's financial and high-tech hub.

Source : CIA

EXECUTIVE SUMMARY

REGISTRATION NO.	:	200722878-E
COMPANY NAME	:	ADCOAL RESOURCES PTE. LTD.
FORMER NAME	:	N/A
INCORPORATION DATE	:	12/12/2007
COMPANY STATUS	:	EXIST
LEGAL FORM	:	PRIVATE LIMITED
LISTED STATUS	:	NO
REGISTERED ADDRESS	:	105, CECIL STREET, 06-01, OCTAGON, THE, 069534, SINGAPORE.
BUSINESS ADDRESS	:	105 CECIL STREET, 06-01 THE OCTAGON, 069534, SINGAPORE.
TEL.NO.	:	65-68279633
FAX.NO.	:	65-68279601
CONTACT PERSON	:	R PREMNATH ( MANAGING DIRECTOR )
PRINCIPAL ACTIVITY	:	TRADING OF COAL
ISSUED AND PAID UP CAPITAL	:	70,250.00 ORDINARY SHARE, OF A VALUE OF SGD 70,256.00
SALES	:	USD 29,617,519 [2013]
NET WORTH	:	USD 103,765 [2013]
STAFF STRENGTH	:	N/A
LITIGATION	:	CLEAR
FINANCIAL CONDITION	:	STABLE
PAYMENT	:	PROMPT
MANAGEMENT CAPABILITY	:	AVERAGE
COMMERCIAL RISK	:	LOW
CURRENCY EXPOSURE	:	MODERATE
GENERAL REPUTATION	:	SATISFACTORY
INDUSTRY OUTLOOK	:	AVERAGE GROWTH

HISTORY / BACKGROUND

The Subject is a private limited company and is allowed to have a minimum of one and a maximum of forty-nine shareholders. As a private limited company, the Subject must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the Subject is capable of owning assets, entering into contracts, sue or be sued by other companies. The liabilities of the shareholders are to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the Subject is insolvent. The Subject is governed by the Companies Act and the company must file its annual returns, together with its financial statements with the Registrar of Companies.

The Subject is principally engaged in the (as a / as an) trading of coal.

The immediate and ultimate holding company of the Subject is ADAM & COAL RESOURCES PVT. LTD., a company incorporated in INDIA.

Share Capital History

Date	Issue & Paid Up Capital
02/01/2014	SGD 70,256.00

The major shareholder(s) of the Subject are shown as follows :

Name	Address	IC/PP/Loc No	Shareholding	(%)
ADAM & COAL RESOURCES PVT. LTD.	10, 3RD, MAIN ROAD, R. A PURAM, CHENNAI, 600028, INDIA.	IN011138	70,250.00	100.00
			---------------	------
			70,250.00	100.00
			============	=====

+ Also Director

DIRECTORS

DIRECTOR 1

Name Of Subject	:	SUNITHA D/O N. S. JAKSHAN
Address	:	14, JALAN DERMAWAN, POPULAR ESTATE, 668959, SINGAPORE.
IC / PP No	:	S6802078F
Nationality	:	SINGAPOREAN
Date of Appointment	:	15/01/2008

DIRECTOR 2

Name Of Subject	:	R PREMNATH
Address	:	14, JALAN DERMAWAN, POPULAR ESTATE, 668959, SINGAPORE.
IC / PP No	:	S2180611J
Nationality	:	SINGAPOREAN
Date of Appointment	:	12/12/2007

DIRECTOR 3

Name Of Subject	:	TONY ADAM
Address	:	1402, FICUS GROVE, 72, MRC NAGAR MAIN ROAD, MARC NAGAR, CHENNAI, 600028, INDIA.
IC / PP No	:	Z1760001
Nationality	:	INDIAN
Date of Appointment	:	06/03/2010

MANAGEMENT

1)	Name of Subject	:	R PREMNATH
	Position	:	MANAGING DIRECTOR

2)	Name of Subject	:	LAURENT
	Position	:	STAFF

AUDITOR

Auditor	:	GOH NGIAP SUAN & CO
Auditor' Address	:	336, SMITH STREET, 06- 308, NEW BRIDGE CENTRE, 050336, SINGAPORE.

COMPANY SECRETARIES

1)	Company Secretary	:	SER LIP JING
	IC / PP No	:	S0821712B
	Address	:	538, UPPER CROSS STREET, 06-268, 050538, SINGAPORE.

BANKING

No Banker found in our databank.

ENCUMBRANCE (S)

No encumbrance was found in our databank at the time of investigation.

LEGAL CHECK AGAINST SUBJECT

* A check has been conducted in our databank againt the Subject whether the subject has been involved in any litigation.

No legal action was found in our databank.

No winding up petition was found in our databank.

PAYMENT RECORD

SOURCES OF RAW MATERIALS:
Local	:	N/A
Overseas	:	N/A

The Subject refused to disclose its suppliers.

The Subject refused to provide any name of trade/service supplier and we are unable to conduct any trade enquiry. However, from financial historical data we conclude that :

OVERALL PAYMENT HABIT
Prompt 0-30 Days	[	X	]	Good 31-60 Days	[	]	Average 61-90 Days	[	]
Fair 91-120 Days	[		]	Poor >120 Days	[	]

CLIENTELE

Local	:	YES
Domestic Markets	:	SINGAPORE
Overseas	:	YES
Export Market	:	WORLDWIDE
Credit Term	:	N/A
Payment Mode	:	CHEQUES TELEGRAPHIC TRANSFER (TT)

OPERATIONS

Goods Traded

:

COAL

Branch

:

NO

Other Information:

The Subject is principally engaged in the (as a / as an) trading of coal.

The Subject refused to disclose its operation.

CURRENT INVESTIGATION

Latest fresh investigations carried out on the Subject indicated that :

Telephone Number Provided By Client	:	N/A
Current Telephone Number	:	65-68279633
Match	:	N/A
Address Provided by Client	:	105 CECIL STREET, 06-01 THE OCTAGON SINGAPORE 069534
Current Address	:	105 CECIL STREET, 06-01 THE OCTAGON, 069534, SINGAPORE.
Match	:	YES

Other Investigations

On 27th December 2013 we contacted one of the staff from the Subject and he only provided limited information.

He refused to disclose the Subject's number of employees.

FINANCIAL ANALYSIS

Profitability
Turnover	:	Increased	[	335.21%	]
Profit/(Loss) Before Tax	:	Increased	[	618.85%	]
Return on Shareholder Funds	:	Favourable	[	1,335.64%	]
Return on Net Assets	:	Favourable	[	820.17%	]
The increase in turnover could be due to the Subject adopting an aggressive marketing strategy.The higher profit could be attributed to the increase in turnover. Generally the Subject was profitable. The favourable return on shareholders' funds and return on net assets indicate that the Subject's management was efficient in utilising the assets to generate returns.
Working Capital Control
Stock Ratio	:	Nil	[	0 Days	]
Debtor Ratio	:	Favourable	[	29 Days	]
Creditors Ratio	:	Favourable	[	29 Days	]
As the Subject is a service oriented company, the Subject does not need to keep stocks. The favourable debtors' days could be due to the good credit control measures implemented by the Subject. The Subject had a favourable creditors' ratio where the Subject could be taking advantage of the cash discounts and also wanting to maintain goodwill with its creditors.
Liquidity
Liquid Ratio	:	Favourable	[	1.02 Times	]
Current Ratio	:	Unfavourable	[	1.02 Times	]
A minimum liquid ratio of 1 should be maintained by the Subject in order to assure its creditors of its ability to meet short term obligations and the Subject was in a good liquidity position. Thus, we believe the Subject is able to meet all its short term obligations as and when they fall due.
Solvency
Interest Cover	:	Favourable	[	698.27 Times	]
Gearing Ratio	:	Unfavourable	[	1.15 Times	]
The interest cover showed that the Subject was able to service the interest. The favourable interest cover could indicate that the Subject was making enough profit to pay for the interest accrued. The Subject was highly geared, thus it had a high financial risk. The Subject was dependent on loans to finance its business needs. In times of economic downturn and / or high interest rate, the Subject will become less profitable and competitive than other firms in the same industry, which are lowly geared. This is because the Subject has to service the interest and to repay the loan, which will erode part of its profits. The profits will fluctuate depending on the Subject's turnover and the interest it needs to pay.
Overall Assessment :
Generally, the Subject's performance has improved with higher turnover and profit. The Subject was in good liquidity position with its total current liabilities well covered by its total current assets. With its current net assets, the Subject should be able to repay its short term obligations. With the favourable interest cover, the Subject could be able to service all the accrued interest without facing any difficulties. The Subject's gearing level was high and its going concern will be in doubt if there is no injection of additional shareholders' funds in times of economic downturn and / or high interest rates.
Overall financial condition of the Subject : STABLE

SINGAPORE ECONOMIC / INDUSTRY OUTLOOK

Major Economic Indicators :	2008	2009	2010	2011	2012
Population (Million)	4.84	4.98	5.08	5.18	5.31
Gross Domestic Products ( % )	1.5	<0.8>	14.5	4.9	1.3
Consumer Price Index	6.6	0.6	2.8	5.2	4.6
Total Imports (Million)	450,892.6	356,299.3	423,221.8	459,655.1	474,554.0
Total Exports (Million)	476,762.2	391,118.1	478,840.7	514,741.2	510,329.0
Unemployment Rate (%)	2.2	3.2	2.2	2.1	2.0
Tourist Arrival (Million)	10.12	9.68	11.64	13.17	14.37
Hotel Occupancy Rate (%)	81.0	75.8	85.6	86.5	86.4
Cellular Phone Subscriber (Million)	1.31	1.37	1.43	1.50	1.52
Registration of New Companies (No.)	25,327	26,414	29,798	32,317	31,892
Registration of New Companies (%)	<2.2>	4.3	12.8	8.5	<1.3>
Liquidation of Companies (No.)	10,493	22,393	15,126	19,005	17,218
Liquidation of Companies (%)	13.7	113.4	<32.5>	25.6	9.4
Registration of New Businesses (No.)	24,850	26,876	23,978	23,494	24,788
Registration of New Businesses (%)	0.36	8.15	<10.78>	2.02	5.51
Liquidation of Businesses (No.)	21,150	23,552	24,211	23,005	22,489
Liquidation of Businesses (%)	<0.8>	11.4	2.8	<5>	<2.2>
Bankruptcy Orders (No.)	2,326	2,058	1,537	1,527	1,748
Bankruptcy Orders (%)	<15.9>	<11.5>	<25.3>	<0.7>	14.5
Bankruptcy Discharges (No.)	1,500	3,056	2,252	1,391	1,881
Bankruptcy Discharges (%)	<7.7>	103.7	<26.3>	<38.2>	35.2
INDUSTRIES ( % of Growth ) :
Agriculture
Production of Principal Crops	<0.32>	3.25	<0.48>	4.25	3.64
Fish Supply & Wholesale	<6.31>	<1.93>	<10.5>	12.10	<0.5>
Manufacturing *	74.6	71.5	92.8	100.0	100.3
Food, Beverages & Tobacco	94.8	90.4	96.4	100.0	103.5
Textiles	180.1	145.9	122.1	100.0	104.0
Wearing Apparel	334.6	211.0	123.3	100.0	92.1
Leather Products & Footwear	128.2	79.5	81.8	100.0	98.6
Wood & Wood Products	132.0	101.4	104.0	100.0	95.5
Paper & Paper Products	101.0	95.4	106.1	100.0	97.4
Printing & Media	118.2	100.9	103.5	100.0	93.0
Crude Oil Refineries	113.1	96.4	95.6	100.0	99.4
Chemical & Chemical Products	84.5	80.3	97.6	100.0	100.5
Pharmaceutical Products	43.7	49.1	75.3	100.0	109.7
Rubber & Plastic Products	120.1	101.2	112.3	100.0	96.5
Non-metallic Mineral	96.5	91.9	92.5	100.0	98.2
Basic Metals	109.8	92.6	102.2	100.0	90.6
Fabricated Metal Products	101.3	90.8	103.6	100.0	104.3
Machinery & Equipment	65.0	57.3	78.5	100.0	112.9
Electrical Machinery	81.7	86.8	124.1	100.0	99.3
Electronic Components	93.1	85.2	113.6	100.0	90.6
Transport Equipment	102.0	96.0	94.0	100.0	106.3
Construction	45.90	<36.9>	14.20	20.50	28.70
Real Estate	<11.2>	1.4	21.3	25.4	31.9
Services
Electricity, Gas & Water	<1.3>	1.70	4.00	7.00	6.30
Transport, Storage & Communication	11.60	3.90	12.80	7.40	5.30
Finance & Insurance	<5.9>	<16.4>	<0.4>	8.90	0.50
Government Services	17.40	4.50	9.70	6.90	6.00
Education Services	0.50	0.10	<0.9>	<1.4>	0.30
* Based on Index of Industrial Production (2011 = 100)

INDUSTRY ANALYSIS

INDUSTRY :	TRADING
The wholesale and retail trade sector contracted by 1.5% in the fourth quarter of 2012, extending the 0.2% decline in the preceding quarter. For the whole of 2012, the sector declined by 0.7%, reversing the 1.6% growth in 2011. The sector was weighed down primarily by the wholesale trade segment. In 2012, the wholesale trade segment contracted by 1.0%, a reversal from the 1.4% growth in 2011. Growth of the retail trade segment also moderated to 2.0%, from 3.2% in the year 2011.
The domestic wholesale trade index grew by 1.2% in the fourth quarter of 2012, an improvement from the 5.4% decline in the third quarter. This was partly due to an increase in the sales of chemicals & chemical products and ship chandlers & bunkering. For the full year of 2012, the domestic wholesale trade index contracted by 2.2%, extending the 1.7% decline in 2011. The foreign wholesale trade index grew by 8.6% in the fourth quarter, an increase from the 6.6% growth in the third quarter. The expansion was partly due to resilient sales of petroleum & petroleum products. For the whole of 2012, the foreign wholesale trade index expanded by 9.1%, faster than the 4.3% increase in 2011.
In the fourth quarter of 2012, retail sales volume declined by 2.0%, extending the 0.3% decline in the third quarter. Excluding motor vehicles, retail sales volume grew by 0.4%, a slight moderation compared to the 1.5% gain in the third quarter of 2012. The sales volume of motor vehicles fell by 11% in the fourth quarter of 2012, after contracting by 6.1% in the third quarter. The sales of several discretionary items also declined in the fourth quarter. Besides, the sales of optical goods & books in 2012 fell by 3.6%, while the sales of telecommunications apparatus & computers declined by 1.4%.
For 2012 as a whole, retail sales volume grew by 1.3%, compared to the 2.0% expansion in 2011. Excluding motor vehicle sales, the increase in retail sales volume also moderated from 5.4% in 2011 to 1.7% in 2012. Medical goods & toiletries registered the largest increase (9.3%) in sales, followed by telecommunications apparatus & computers (6.9%). By contrast, the sales of watches & jewellery (-2.2%) and optical goods & books (-3.6%) declined.
OVERALL INDUSTRY OUTLOOK : AVERAGE GROWTH

CREDIT RISK EVALUATION & RECOMMENDATION

Incorporated in 2007, the Subject is a Private Limited company, focusing on trading of coal. Having been in business for more than 5 years, the Subject has established a remarkable clientele base for itself which has contributed to its business growth. Having strong support from its holding company has enabled the Subject to remain competitive despite the challenging business environment.

Over the years, the Subject has penetrated into both the local and overseas market. The Subject has positioned itself in the global market and is competing in the industry. Its stable clientele base will enable the Subject to further enhance its business in the near term. Overall, we regard that the Subject's management capability is average. This indicates that the Subject has greater potential to improve its business performance and raising income for the Subject

We noted that both the turnover and profits have increased compared to the previous year. The higher profit could be due to increase in turnover and better control over its operating costs. Based on the higher profitability, the Subject has generated a favourable return based on its existing shareholders' funds which indicated that the management was efficient in utilising its funds to generate income. The Subject is in good liquidity position with its current liabilities well covered by it current assets. Hence, it has sufficient working capital to meet its short term financial obligations. The high gearing ratio clearly implied that the Subject was supported by more debt than equity. Thus, the Subject is exposed to high financial risk.

Having a strong assets backing, the Subject possesses latent assets as collateral for further financial extension. Hence, it has good chance of getting loans if the needs arises.

We regard that the Subject's overall payment habit is prompt. The Subject had a favourable creditors' ratio as evidenced by its favourable collection days.

The industry shows an upward trend and this trend is very likely to sustain in the near terms. Hence, the Subject is expected to benefit from the favourable outlook of the industry.

Based on the above condition, we recommend credit be granted to the Subject promptly.

PROFIT AND LOSS ACCOUNT

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH SINGAPORE FINANCIAL REPORTING STANDARDS.

Financial Year End	2013-03-31	2012-03-31
Months	12	12
Consolidated Account	Company	Company
Audited Account	YES	YES
Unqualified Auditor's Report (Clean Opinion)	YES	YES
Financial Type	FULL	FULL
Currency	USD	USD
TURNOVER	29,617,519	6,805,296
Other Income	4,073	3,875
	----------------	----------------
Total Turnover	29,621,592	6,809,171
	----------------	----------------
PROFIT/(LOSS) FROM OPERATIONS	1,698,532	241,660
SHARE OF PROFITS/(LOSSES) OF ASSOCIATED COMPANIES	14,652	<3,337>
	----------------	----------------
PROFIT/(LOSS) BEFORE TAXATION	1,713,184	238,323
Taxation	<327,259>	<19,725>
	----------------	----------------
PROFIT/(LOSS) AFTER TAXATION	1,385,925	218,598
	----------------	----------------
RETAINED PROFIT/(LOSS) BROUGHT FORWARD
As previously reported	315,246	96,648
	----------------	----------------
As restated	315,246	96,648
	----------------	----------------
PROFIT AVAILABLE FOR APPROPRIATIONS	1,701,171	315,246
DIVIDENDS - Ordinary (paid & proposed)	<1,647,695>	-
	----------------	----------------
RETAINED PROFIT/(LOSS) CARRIED FORWARD	53,476	315,246
	=============	=============
INTEREST EXPENSE (as per notes to P&L)
Hire purchase	2,457	187
	----------------	----------------
	2,457	187
	=============	=============

BALANCE SHEET

ASSETS EMPLOYED:
FIXED ASSETS	148,949	120,940
LONG TERM INVESTMENTS/OTHER ASSETS
Associated companies	-	26,517
	----------------	----------------
TOTAL LONG TERM INVESTMENTS/OTHER ASSETS	-	26,517
	----------------	----------------
TOTAL LONG TERM ASSETS	148,949	147,457
CURRENT ASSETS
Trade debtors	2,369,084	-
Other debtors, deposits & prepayments	25,209	26,873
Cash & bank balances	347,523	332,690
	----------------	----------------
TOTAL CURRENT ASSETS	2,741,816	359,563
	----------------	----------------
TOTAL ASSET	2,890,765	507,020
	=============	=============
CURRENT LIABILITIES
Trade creditors	2,321,129	-
Other creditors & accruals	2,820	15,792
Hire purchase & lease creditors	13,742	21,444
Provision for taxation	343,893	20,260
	----------------	----------------
TOTAL CURRENT LIABILITIES	2,681,584	57,496
	----------------	----------------
NET CURRENT ASSETS/(LIABILITIES)	60,232	302,067
	----------------	----------------
TOTAL NET ASSETS	209,181	449,524
	=============	=============
SHARE CAPITAL
Ordinary share capital	50,289	50,289
	----------------	----------------
TOTAL SHARE CAPITAL	50,289	50,289
RESERVES
Retained profit/(loss) carried forward	53,476	315,246
	----------------	----------------
TOTAL RESERVES	53,476	315,246
	----------------	----------------
SHAREHOLDERS' FUNDS/EQUITY	103,765	365,535
LONG TERM LIABILITIES
Lease obligations	105,416	83,989
	----------------	----------------
TOTAL LONG TERM LIABILITIES	105,416	83,989
	----------------	----------------
	209,181	449,524
	=============	=============

FINANCIAL RATIO

ADCOAL RESOURCES PTE. LTD.

TYPES OF FUNDS
Cash	347,523	332,690
Net Liquid Funds	347,523	332,690
Net Liquid Assets	60,232	302,067
Net Current Assets/(Liabilities)	60,232	302,067
Net Tangible Assets	209,181	449,524
Net Monetary Assets	<45,184>	218,078
BALANCE SHEET ITEMS
Total Borrowings	119,158	105,433
Total Liabilities	2,787,000	141,485
Total Assets	2,890,765	507,020
Net Assets	209,181	449,524
Net Assets Backing	103,765	365,535
Shareholders' Funds	103,765	365,535
Total Share Capital	50,289	50,289
Total Reserves	53,476	315,246
LIQUIDITY (Times)
Cash Ratio	0.13	5.79
Liquid Ratio	1.02	6.25
Current Ratio	1.02	6.25
WORKING CAPITAL CONTROL (Days)
Stock Ratio	0	0
Debtors Ratio	29	0
Creditors Ratio	29	0
SOLVENCY RATIOS (Times)
Gearing Ratio	1.15	0.29
Liabilities Ratio	26.86	0.39
Times Interest Earned Ratio	698.27	1,275.45
Assets Backing Ratio	1.00	1.00
PERFORMANCE RATIO (%)
Operating Profit Margin	5.78	3.50
Net Profit Margin	4.68	3.21
Return On Net Assets	820.17	53.06
Return On Capital Employed	769.61	50.64
Return On Shareholders' Funds/Equity	1,335.64	59.80
Dividend Pay Out Ratio (Times)	1.19	0.00
NOTES TO ACCOUNTS
Contingent Liabilities	0	0

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.62.41
UK Pound	1	Rs.102.54
Euro	1	Rs.85.20

INFORMATION DETAILS

Report Prepared by :

NNA

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	----

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%)

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.