MIRA INFORM REPORT

Report Date :

14.01.2014

IDENTIFICATION DETAILS

Name :	SHREE DURGA SYNTEX PRIVATE LIMITED
Registered Office :	Block No. 129 and 175, Plot No. Z and E, Village: Jolwa, Taluka: Palsana, Surat - 394305, Gujarat
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	10.02.2003
Com. Reg. No.:	04-041979
Capital Investment / Paid-up Capital :	Rs. 274.605 millions
CIN No.: [Company Identification No.]	U17119GJ2003PTC041979
TAN No.: [Tax Deduction & Collection Account No.]	SRTS06723D
PAN No.: [Permanent Account No.]	AABCD8894P
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer, Exporter and Importer of Art Silk Fabrics and Polyester.
No. of Employees :	450 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (30)

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

Maximum Credit Limit :	USD 2600000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. External borrowings of the company seems to be increasing over years. However, trade relations are fair. Business is active. Payments are reported to e 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 – September 30, 2013

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

India’s current account deficit narrowed in the quarter ended September as government measures to curb imports, especially gold, kicked in.  The current account deficit, the excess of a country’s imports of goods and services over exports, narrowed to $ 5.2 billion from $ 21 billion in the year ago period, according to provisional Reserve Bank of India data. Finance Minister P. Chidambaram said the CAD for the year will be less than $ 60 billion or 3 per cent of GDP and the latest data suggests the government may achieve the target.

India was ranked 94^th among the world’s most corrupt nations list. Denmark and New Zealand topped as the cleanest while Somalia emerged as the most corrupt.

India’s services sector activity witnessed a moderate improvement in November over the previous month, even while indicating the fifth successive monthly contraction, according the HSBC survey.

$53 million estimated losses suffered by India due to phishing attacks during the third quarter, according to a study by RSA. India ranks fourth in the list of nations hit by phishing attacks. The US remained at the top of the charts. Phishing is the process of acquiring information such as user names, passwords and credit card details by sending e-mails disguised as official mails.

Rs.4080 million worth of mobile-phone-based transactions by July 2013 compared to Rs.260 million in September, 2012, according to Deloitte report. The number of transactions has shot up from 94000 to 701000.

India aims to earn Rs.400000 million from the bandwidth auction set for January. The merger and acquisition guidelines, cleared by a group of ministers, will be out before the auction begins so that players can make informed decisions on the auctions.

EXTERNAL AGENCY RATING

Rating Agency Name	CARE
Rating	Long term bank facilities: “BB”
Rating Explanation	Have moderate risk of default.
Date	22.07.2013

Rating Agency Name	CARE
Rating	Short term bank facilities: “A4”
Rating Explanation	Have minimal degree of safety and carry very high credit risk.
Date	22.07.2013

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. Manish Jain
Designation :	Account Manager
Contact No.:	91-2622-274477
Date :	13.01.2014

LOCATIONS

Registered Office :	Block No. 129 and 175, Plot No. Z and E, Village: Jolwa, Taluka: Palsana, Surat - 394305, Gujarat, India
Tel. No.:	91-2622-274477 / 274478
Mobile No.:	91-9376885281 (Mr. Manish Jain)
Fax No.:	91-2622-274479
E-Mail :	mcafiling@yahoo.co.in manish_j@shreedurgasyntex.com dlgupta1@yahoo.com shreedurgasyntex@gmail.com
Website :	www.shreedurgasyntex.com
Location :	Owned

DIRECTORS

As on 30.09.2013

Name :

Mr. Bachhraj Begani

Designation :

Managing Director

Address :

6-A, Sai Ashish Society, University Road, Surat - 395001, Gujarat, India

Date of Birth/Age :

05.04.1958

Date of Appointment :

01.11.2012

DIN No. :

00255382

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	U45202GJ2001PTC040145	MAHALAXMI INFRA-CON PRIVATE LIMITED	Director	19/02/2002	19/02/2002	Active	NO
2	U17119GJ2003PTC041800	SEEMA SYNTEX PRIVATE LIMITED	Director	02/01/2003	02/01/2003	Active	NO
3	U17119GJ2003PTC041979	SHREE DURGA SYNTEX PRIVATE LIMITED	Managing director	01/11/2012	20/12/2005	Active	NO

Name :

Mr. Pawankuma Bgani

Designation :

Whole-time Director

Address :

6-A, Sai Ashish Society, University Road, Surat - 395001, Gujarat, India

Date of Birth/Age :

19.02.1981

Date of Appointment :

01.11.2012

DIN No. :

00269687

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	U17119GJ2003PTC041979	SHREE DURGA SYNTEX PRIVATE LIMITED	Whole-time director	01/11/2012	10/02/2003	Active	NO
2	U45202GJ2001PTC040145	MAHALAXMI INFRA-CON PRIVATE LIMITED	Director	17/07/2003	17/07/2003	Active	NO
3	U17119GJ2002PTC040951	RASHMI SAREES PRIVATE LIMITED	Director	03/09/2004	03/09/2004	Active	NO
4	U52321GJ2003PTC042964	PANKAJ FASHIONS PRIVATE LIMITED	Whole-time director	15/11/2012	13/11/2006	Active	NO
5	U17119GJ1998PTC035157	ASHISH FASHIONS PRIVATE LIMITED	Director	12/01/2011	12/01/2011	Active	NO

KEY EXECUTIVES

Name :	Mr. Manish Jain
Designation :	Account Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2013

Names of Shareholders	No. of Shares
Pawan Begani	2479880
Pankaj Begani	92600
Rashmi Begani	71650
Bachhraj Begani	4783150
Manju Dyeing and Printing Mills Private Limited	807600
Begani Dyeing Mills Private Limited, India	923750
Rashmi Poly Fab Private Limited, India	8379800
Rashmi Sarees Private Limited	2470550
Pawan Syntex Private Limited, India	4195600
Seema Syntex Private Limited	421300
Pankaj Fashions Private Limited, India	2525500
Manjudevi Begani	227850
Bachhraj Begani	76300
Seema Begani	5000
Total	27460530

List of Allottees as on 04.12.2013

Names of Allottees	No. of Shares
Bachhraj Begani	977800
Bachhraj Begani	18000
Manjudevi Begani	166000
Pawankumar Begani	130000
Pawan Syntex Private Limited, India	363000
Rashmi Polyfab Private Limited, India	44000
Sapna Devi Begani	32000
Total	1730800

As on 30.09.2013

Equity Share Break up (Percentage of Total Equity)

Category	Percentage of Holding
Bodies corporate	71.83
Directors or relatives of Directors	28.17
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer, Exporter and Importer of Art Silk Fabrics and Polyster.

Products :

Item Code No. (ITC Code)	Product Description
540710	Art Silk Fabrics

Exports :

Products :

100% Polysester Yarn Polyester Chips

Countries :

· Turkey

Singapore

Korea

Srilanka

Imports :

Products :

Machinery Raw Material

Countries :

· Japan

Germany

China

Italy

Terms :

Selling :

L/C, Cash, Advance and Credit

Purchasing :

L/C, Cash, T/T and Credit

GENERAL INFORMATION

Supplier:

Reliance Industries Limited

Customers :

Wholesalers and Manufacturer

No. of Employees :

450 (Approximately)

Bankers :

· Canara Bank, 1^st Floor Trade House, Athugar Street, Nanpura, Surat – 395001, Gujarat, India

Contact Person: Padmavati (Branch Manager)

Tel. No.: 91-261-2465115

Banker Report: Padmavati rated company as good.

State Bank of India, MID Corporate Group, Commercial Branch, Paramsiddhi Complex, Ellisbridge, Ahmedabad - 380006, Gujarat, India

· Bank of Baroda, Corporate Branch

Central Bank, Corporate Branch

Facilities :

Total Facility Including Fund and Non-fund : Rs. 3000.000 Millions

SECURED LOANS	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
LONG TERM BORROWINGS
Rupee term loans from banks (Secured by Equitable Mortgage of land and building of the company and hypothecation of plant and machinery of the company)	1041.979	85.379
SHORT TERM BORROWINGS
Loans repayable on demand from banks (Secured by Hypothecation of Stock and Book Debts)	176.947	171.365
Total	1218.926	256.744

Banking Relations :	--
Auditors :
Name :	Shah Kailash and Associates Chartered Accountants
Address :	505, 21st Century Business Center, Near World Trade Center, Ring Road, Surat – 395002, Gujarat, India
Income-tax PAN of auditor or auditor's firm :	AARFS9519F
Enterprises which are owned, or have significant influence of or are partners with Key management personnel and their relatives:	· Pankaj Fashions Private Limited CIN No.: U52321GJ2003PTC042964 Rashmi Polyfab Private Limited CIN No.: U17119GJ2002PTC040789 Begani Dyeing Mills Private Limited CIN No.: U17119GJ1988PTC011083

CAPITAL STRUCTURE

After 30.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
35,000,000	Equity Shares	Rs.10/- each	Rs. 350.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
29,191,330	Equity Shares	Rs.10/- each	Rs. 291.913 Millions

As on 30.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
35,000,000	Equity Shares	Rs.10/- each	Rs. 350.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
27,460,530	Equity Shares	Rs.10/- each	Rs. 274.605 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	274.605	205.808	201.371
(b) Reserves & Surplus	341.020	193.779	83.621
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	43.270	0.000	0.000
Total Shareholders’ Funds (1) + (2)	658.895	399.587	284.992
(3) Non-Current Liabilities
(a) long-term borrowings	1183.054	115.604	106.590
(b) Deferred tax liabilities (Net)	32.131	8.054	9.217
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	1215.185	123.658	115.807
(4) Current Liabilities
(a) Short term borrowings	177.200	171.885	152.848
(b) Trade payables	99.611	97.878	20.745
(c) Other current liabilities	115.607	92.204	69.905
(d) Short-term provisions	50.403	60.238	50.387
Total Current Liabilities (4)	442.821	422.205	293.885
TOTAL	2316.901	945.450	694.684
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	1410.535	283.106	308.692
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	1.618	92.634	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	11.083	11.082	11.182
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	64.494	129.822	88.960
(e) Other Non-current assets	15.673	12.686	1.121
Total Non-Current Assets	1503.403	529.330	409.955
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	186.275	156.498	127.091
(c) Trade receivables	115.396	92.378	106.478
(d) Cash and cash equivalents	300.547	87.272	6.761
(e) Short-term loans and advances	211.280	79.973	44.399
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	813.498	416.121	284.729
TOTAL	2316.901	945.450	694.684

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income	1711.335	1456.969	1135.079
		Other Income	4.932	9.789	2.389
		TOTAL	1716.267	1466.758	1137.468
Less	EXPENSES
		TOTAL	1531.364	1302.760	984.877
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		184.903	164.047	152.591
Less/ Add	DEPRECIATION/ AMORTISATION		50.081	43.928	42.586
	PROFIT/ (LOSS) BEFORE TAX		134.822	120.119	110.005
Less	TAX		51.052	38.157	37.491
	PROFIT/ (LOSS) AFTER TAX		83.770	81.962	72.514
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		93.855	83.621	NA
Less	APPROPRIATIONS
		Proposed Dividend	4.553	10.091	5.048
		Tax on Dividend	0.773	1.637	0.838
		Transfer to Reserves	60.000	60.000	NA
	BALANCE CARRIED TO THE B/S		112.299	93.855	NA
	EARNINGS IN FOREIGN CURRENCY		USD 20513.19	USD 81402.35	0.000
	Earnings / (Loss) Per Share (Rs.)		3.05	3.98	3.60

Expected Sales (2013-2014) : Rs. 3000.000 Millions

The above information has been parted by Mr. Manish Jain (Account Manage).

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	4.88	5.59	6.38
Net Profit Margin (PBT/Sales)	(%)	7.88	8.24	9.69
Return on Total Assets (PBT/Total Assets}	(%)	5.85	14.27	16.09
Return on Investment (ROI) (PBT/Networth)		0.20	0.30	0.39
Debt Equity Ratio (Total Debt/Networth)		2.06	0.72	0.91
Current Ratio (Current Asset/Current Liability)		1.84	0.99	0.97

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	Yes
17]	Major suppliers	Yes
18]	Major customers	No
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	Yes
21]	Market information	-----
22]	Litigations that the firm / promoter involved in	-----
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	Yes
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

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10450179	19/08/2013	3,354,000,000.00	CANARA BANK	1ST FLOOR, TRADE HOUSE, ATHUGAR STREET, NANPURA, SURAT - 395001, GUJARAT, INDIA	B85432797
2	10450176	17/08/2013	3,354,000,000.00	CANARA BANK	1ST FLOOR, TRADE HOUSE, ATHUGAR STREET, NANPURA, SURAT - 395001, GUJARAT, INDIA	B85431591
3	10425767	06/05/2013	680,000,000.00	CANARA BANK	1ST FLOOR, TRADE HOUSE, ATHUGAR STREET, NANPURA, SURAT - 395001, GUJARAT, INDIA	B75150326
4	10418050	09/03/2013	250,000,000.00	STATE BANK OF INDIA	MID CORPORATE GROUP, COMMERCIAL BRANCH, PARAMSIDDHI COMPLEX, ELLISBRIDGE, AHMEDABAD - 380006, GUJARAT, INDIA	B72675887
5	10400276	24/01/2013	1,592,000,000.00	CANARA BANK	1ST FLOOR, TRADE HOUSE, ATHUGAR STREET, NANPURA, SURAT - 395001, GUJARAT, INDIA	B67010595
6	10358475	24/01/2013 *	2,246,100,000.00	CANARA BANK	1ST FLOOR, TRADE HOUSE, ATHUGAR STREET, NANPURA, SURAT - 395001, GUJARAT, INDIA	B67009928
7	10358088	31/05/2012	1,050,000,000.00	CANARA BANK	NANPURA BRANCH, NANPURA, SURAT - 395002, GUJARAT, INDIA	B40589772
8	10336291	24/12/2011	550,000,000.00	CANARA BANK	NANPURA BRANCH, SURAT - 395002, GUJARAT, INDIA	B32427585
9	10031892	10/11/2012 *	2,696,100,000.00	CANARA BANK	1ST FLOOR, TRADE HOME, ATHUGAR STREET, NANPURA, SURAT - 395001, GUJARAT, INDIA	B64472293

* Date of charge modification

UNSECURED LOANS

PARTICULAR	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
LONG TERM BORROWINGS
Loans and advances from others	141.075	30.225
SHORT TERM BORROWINGS
Loans repayable on demand from banks	0.253	0.520
Total	141.328	30.745

CHANGE OF ADDRESS

The registered office of the company has been shifted from 6-B, Sai Ashish Society, University Road, Surat – 385017, Gujarat, India to the present address w.e.f. 09.03.2012.

PERFORMANCE DURING THE YEAR and FUTURE OUTLOOK:

During the year, the company has achieved turnover of Rs. 1711.335 Millions as against turnover of Rs. 1456.969 Millions in previous year. The company has earned net profit after tax of Rs. 83.770 Millions during the year. During the year, Company has commenced its Continuous Processing (CP) Plant and setting of Fully Draw Yarn (FDY) Plant is in advance stage. The Company will be able to optimize its operational performance on completion of its FDY Plant. Company will continue to improve its performance at health rate for coming years and reward its shareholders for their faith in the company.

FIXED ASSETS

v Tangible Assets

Land

Buildings

Plant and Equipment

Furniture and Fixtures

Vehicles

Motor Vehicles

Office Equipment

Computer Equipments

Other Equipments

Leasehold Improvements

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.61.52
UK Pound	1	Rs.101.48
Euro	1	Rs.84.11

INFORMATION DETAILS

Information Gathered by :	HNA
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	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--CREDIT LINES	1~10	3
--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		30

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.