MIRA INFORM REPORT

Report Date :

12.07.2014

IDENTIFICATION DETAILS

Name :	SRIRAM COMPOUNDS PRIVATE LIMITED
Registered Office :	A-15, Flatted Factory Complex, Okhla Phase-II, New Delhi - 110020
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	02.03.2005
Com. Reg. No.:	55-133517
Capital Investment / Paid-up Capital :	Rs. 30.000 Millions
CIN No.: [Company Identification No.]	U24229DL2005PTC133517
TAN No.: [Tax Deduction & Collection Account No.]	MRTS05124A
PAN No.: [Permanent Account No.]	AAICS7859L
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of all types of Organic and Inorganic Compounds, PVC Compounds and Related Products.
No. of Employees :	100 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (42)

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

Status :	Satisfactory
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. As per ROC the date of balance sheet (i.e. financial filed) is shown as 31.03.2013 but the documents related to the financial for the year 2013 are not available from any sources. Mr. Rajesh Jetley, Chief Finance Officer provided general information and also informed that company has achieved sales turnover of Rs.1150.000 Millions in the year 2012-2013, which is not verified. As per available financials of 2012, the company seems to be performing well. Trade relations are reported as fair. Business is active. Payments terms are reported to be slow but correct. The company can be considered normal for business dealing at usual trade terms and conditions.

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 – March 31, 2014

Country Name	Previous Rating (31.12.2013)	Current Rating (31.03.2014)
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

N E W S

The economy grew 4.7 %in 2013/14, marking a second straight year of sub-5 % growth – the worst slowdown in more than a quarter of a century. The data was below an official estimate of 4.9 % annual growth and compared with 4.5 % in the last fiscal year. However, the current account deficit narrowed sharply to $ 32.4 billion at 1.7 % of gross domestic product, in 2013/14 from a record high of $ 98.8 billion or 4.7 %, the year before.A sharp fall in gold imports due to restrictions on overseas purchases and muted import of capital goods helped shrink the current account deficit.

Online retailer Flipkart has acquired fashion portal Myntra as it prepares to battle with the rapidly expanding India arm of the global e-commerce giant Amazon. The company raised $ 210 million from Russian Investment firm DST Global which has also invested in companies like Facebook, Twitter and Alibaba Group.

General Motors will start exporting vehicles from its Talegaon plant near Pune in the second half of 2014. GM was one of the few global carmakers that was using its India plant only for the domestic market.

Google has overtaken Apple as the world’s top brand in terms of value, according to global market research agency Millward Brown. Google’s brand value shot up 40 % in a year to $ 158.84 billion. The top 10 of the 100 slots were dominated by US companies.

Infosys lost another heavy weight when B G Srinivas, a board member put in his papers. He is the third CEO-hopeful to quit after Chairman N R Narayana Murthy’s return to the company – Ashok Vemuri and V Balakrishnan being the other two.While Vemuri went on to lead IGate, Balakrishnan joined politics.

Naresh Goyal – promoted Jet Airways posted biggest quarterly loss – Rs 2153.37 crore – in the three months ended March 31, mainly because it has been offering discounts to passengers to fill planes.

William S Pinckney – Chairman and CEO of Amway India was arrested by the Andhra Pradesh Police in connection with a complaint against the direct selling firm. This is the second time that he has been taken into custody. A year, ago the Kerala Police had arrested Pinckney and two company directors on charges of financial irregularities.

China has told its state-owned enterprises to sever links with American consulting firms after the United States charged five Chinese military officers wih hacking US companies. China’s action which targets consultancies like McKinsey & Co. and the Boston Consulting Group, sterns from fears that the first are providing trade secrets to the US governments.

India has emerged as a country with some of the highest unregistered businesses in the world. Indonesia has the maximum number of shadow businesses, says a study of 68 countries by Imperial College Business School in London.

Pfizer has abandoned its attempt to buy AstraZeneca for nearly $ 118 billion after the latter refused an offer of 55 pounds a share.

EXTERNAL AGENCY RATING

Rating Agency Name	ICRA
Rating	Long – Term Fund Based Limits = BBB- (Suspended)
Rating Explanation	Moderate degree of safety. It carry moderate credit risk
Date	April 2013

Rating Agency Name	ICRA
Rating	Short – Term Fund Based Limits = A3 (Suspended)
Rating Explanation	Moderate degree of safety. It carry higher credit risk
Date	April 2013

Reason for suspended: Inability to carry out rating in absence of requisite information from the company

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. Rajesh Jetley
Designation :	Chief Finance Officer
Contact No.:	91-8800490537
Date :	01.07.2014

LOCATIONS

Registered Office :	A-15, Flatted Factory Complex, Okhla Phase-II, New Delhi – 110020, India
Tel. No.:	Not Available
Mobile No.:	91-8800490537 [Mr. Rajesh Jetley]
Fax No.:	Not Available
E-Mail :	contact@srisol.com shubhgautam@srisol.com
Website :	www.srisol.com
Location:	Owned
Head Office/ Factory :	C-15 and 16, Sector-63, Noida - 201301, Uttar Pradesh, India
Tel No :	91-120-4335717/ 4367780-82
Fax No.:	91-120-4335716
E-Mail :	shubhgautam@srisol.com
Overseas Offices :	Located At: · USA · UK · South Africa

DIRECTORS

As on 30.09.2013

Name :

Mr. Shubh Gautam

Designation :

Director

Address :

106, Southern Avenue, Ballygunge, Kolkata – 700029, West Bengal, India

Date of Birth/Age :

20.05.1968

Date of Appointment :

02.03.2005

DIN No.:

00118539

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	U24231DL1996PTC081957	SRIRAM CHEMPRO PRIVATE LIMITED	Director	13/09/1996	13/09/1996	-	Active	NO
2	U24229DL2005PTC133517	SRIRAM COMPOUNDS PRIVATE LIMITED	Director	02/03/2005	02/03/2005	-	Active	NO
3	U24297DL2005PTC136775	MAXWIN CHEMTECH PRIVATE LIMITED	Director	27/05/2005	27/05/2005	-	Active	NO
4	U25202DL2005PTC136954	GENUINE PLASTIC PRIVATE LIMITED	Director	31/05/2005	31/05/2005	-	Active	NO
5	U45400DL2008PTC179229	TGB REALCON PRIVATE LIMITED	Whole-time director	08/12/2008	08/12/2008	02/08/2010	Active	NO
6	U28113DL2009PTC196052	IMPERIAL FLANGES AND FITTINGS MFG PRIVATE LIMITED	Director	17/11/2009	17/11/2009	-	Active	NO
7	U01401DL1988PLC030784	ANJANI TECHNOPLAST LIMITED	Director	30/09/2010	30/01/2010	-	Active	NO
8	U72900DL2009PTC190619	LUNARMECH TECHNOLOGIES PRIVATE LIMITED	Director	30/09/2011	08/08/2011	-	Active	NO
9	U74140DL2012PTC239392	KREZON SPECIALITIES PRIVATE LIMITED	Director	26/07/2012	26/07/2012	-	Active	NO
10	U70100DL2012PTC240320	SHUBHRASHI KUTIR PRIVATE LIMITED	Managing director	17/08/2012	17/08/2012	-	Active	NO

Name :

Mr. Sharmishtha Sharma

Designation :

Director

Address :

A-29, Sector-19, Gautam Budh Nagar, Noida - 201301, Uttar Pradesh, India

Date of Birth/Age :

02.05.1953

Date of Appointment :

01.01.2008

DIN No.:

00659509

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	U24231DL1996PTC081957	SRIRAM CHEMPRO PRIVATE LIMITED	Director	22/11/2002	22/11/2002	Active	NO
2	U24229DL2005PTC133517	SRIRAM COMPOUNDS PRIVATE LIMITED	Director	01/01/2008	01/01/2008	Active	NO
3	U01403DL2011PTC212854	TIKATHAR AGRO FOODS PRIVATE LIMITED	Director	21/08/2011	21/08/2011	Active	NO
4	U28113DL2009PTC196052	IMPERIAL FLANGES AND FITTINGS MFG PRIVATE LIMITED	Director	01/09/2011	01/09/2011	Active	NO

KEY EXECUTIVES

Name :	Mr. Rajesh Jetley
Designation :	Chief Finance Officer

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

-

BUSINESS DETAILS

Line of Business :

Manufacturer of all types of Organic and Inorganic Compounds, PVC Compounds and Related Products.

Products :

ITC CODE NO.	PRODUCT DESCRIPTIONS
3901.90.00	Polyolefin Compound
3208.90.90	Surface Coating

Exports :

Products :

Finished Goods

Countries :

· Europe

· Africa

· USA

Imports :

Products :

Raw Material

Countries :

USA

Terms :

Selling :

LC and Credit

Purchasing :

LC and Credit

GENERAL INFORMATION

Customers :

End Users

No. of Employees :

100 (Approximately)

Bankers :

· Syndicate Bank, B - 117, SME Branch, Sector - 18, Noida - 201301, Uttar Pradesh, India

· Kotak Mahindra Bank Limited

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2012	As on 31.03.2011
LONG-TERM BORROWINGS
Term Loans From Bank
- Rupee Loans	0.000	1.236
SHORT-TERM BORROWINGS
Loans Repayable on Demand - Rupee Loans Cash Credit	98.225	61.017
Total	98.225	62.253
NOTES: LONG-TERM BORROWINGS a) Kotak Mahindra Bank: The term loan from Kotak Mahindra Bank is secured by hypothecation of vehicle financed and personal guarantee of a director. SHORT-TERM BORROWINGS a) Syndicate Bank: The cash credit limit from syndicate bank is secured by hypothecation of stocks, book debts, plant and machinery, equitable mortgage of land at Valsad unit and certain land and buildings in the name of a director and a firm in which a director is a partner and personal guarantee of two directors and guarantee of a partnership firm in which a director is a partner and a company in which a director is a director. The cash credit is repayable on demand and carries interest rate of Base Rate Plus 2 %., i.e. 13.75%.

Banking Relations :	---
Auditors :
Name :	Santosh Dixit and Company Chartered Accountants
Address :	209, Vardhman Plaza, LSC, Ghazipur, Delhi – 110096, India
Tel. No.:	91-11-22247186/ 22234177
Mobile No.:	91-9811053518
Fax No.:	91-11-22247186
E-Mail :	santoshdixit@vsnl.com
PAN No.:	ACCPD0033C

CAPITAL STRUCTURE

As on 30.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
3200000	Equity Shares	Rs.10/- each	Rs.32.000 Millions

Issued, Subscribed & Paid-up Capital :

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

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	30.000	30.000
(b) Reserves & Surplus	68.029	42.392
(c) Money received against share warrants	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000
Total Shareholders’ Funds (1) + (2)	98.029	72.392
(3) Non-Current Liabilities
(a) long-term borrowings	98.225	62.253
(b) Deferred tax liabilities (Net)	2.118	2.854
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	0.000	0.000
Total Non-current Liabilities (3)	100.343	65.107
(4) Current Liabilities
(a) Short term borrowings	99.369	80.388
(b) Trade payables	189.448	113.984
(c) Other current liabilities	15.242	13.972
(d) Short-term provisions	8.637	6.138
Total Current Liabilities (4)	312.696	214.482
TOTAL	511.068	351.981
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	169.602	70.869
(ii) Intangible Assets	0.000	0.000
(iii) Capital work-in-progress	0.000	9.066
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000
(d) Long-term Loan and Advances	2.727	2.727
(e) Other Non-current assets	0.000	0.000
Total Non-Current Assets	172.329	82.662
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	47.606	14.998
(c) Trade receivables	212.553	184.850
(d) Cash and cash equivalents	13.941	15.124
(e) Short-term loans and advances	59.625	48.524
(f) Other current assets	5.014	5.823
Total Current Assets	338.739	269.319
TOTAL	511.068	351.981

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		30.000
2] Share Application Money		0.000
3] Reserves & Surplus		26.235
4] (Accumulated Losses)		0.000
NETWORTH		56.235
LOAN FUNDS
1] Secured Loans		94.526
2] Unsecured Loans		25.549
TOTAL BORROWING		120.075
DEFERRED TAX LIABILITIES		0.000
TOTAL		176.310
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		38.083
Capital work-in-progress		0.000
INVESTMENT		0.000
DEFERRED TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	23.351
	Sundry Debtors	139.704
	Cash & Bank Balances	8.512
	Other Current Assets	0.000
	Loans & Advances	50.628
Total Current Assets		222.195
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	73.359
	Other Current Liabilities	4.668
	Provisions	6.100
Total Current Liabilities		84.127
Net Current Assets		138.068
MISCELLANEOUS EXPENSES		0.159
TOTAL		176.310

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	887.950	687.661	572.943
		Other Income	1.150	9.028	NA
		TOTAL (A)	889.100	696.689	NA
Less	EXPENSES
		TOTAL (B)	824.032	650.040	NA
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		65.068	46.649	NA
Less	FINANCIAL EXPENSES (D)		14.522	10.795	NA
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		50.546	35.854	NA
Less/ Add	DEPRECIATION/ AMORTISATION (F)		16.816	9.687	NA
	PROFIT BEFORE TAX (E-F) (G)		33.730	26.167	NA
Less	TAX (H)		8.093	10.010	NA
	PROFIT AFTER TAX (G-H) (I)		25.637	16.157	12.835
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		42.392	26.235	13.400
	BALANCE CARRIED TO THE B/S		68.029	42.392	26.235
	Earnings Per Share (Rs.)		8.55	5.39	NA

Particulars	31.03.2013
Sales Turnover (Approximately)	1150.000

The above information has been parted by Mr. Rajesh Jetley

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	2.88	2.32	NA
Net Profit Margin (PBT/Sales)	(%)	3.80	3.81	NA
Return on Total Assets (PBT/Total Assets}	(%)	6.64	7.69	NA
Return on Investment (ROI) (PBT/Networth)		0.34	0.36	NA
Debt Equity Ratio (Total Debt /Networth)		2.02	1.97	2.14
Current Ratio (Current Asset/Current Liability)		1.08	1.26	2.64

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2011	31.03.2012
	(Rs. In Millions)	(Rs. In Millions)
Share Capital	30.000	30.000
Reserves & Surplus	42.392	68.029
Net worth	72.392	98.029
long-term borrowings	62.253	98.225
Short term borrowings	80.388	99.369
Total borrowings	142.641	197.594
Debt/Equity ratio	1.970	2.016

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2010	31.03.2011	31.03.2012
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	572.943	687.661	887.950
		20.023	29.126

NET PROFIT MARGIN

Net Profit Margin	31.03.2010	31.03.2011	31.03.2012
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	572.943	687.661	887.950
Profit	12.835	16.157	25.637
	2.24%	2.35%	2.89%

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	No
15]	Capital in the business	Yes
16]	Details of sister concerns	No
17]	Major suppliers	No
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	----------------------
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

NOTE:

The registered office of the company has been shifted from 209, Vardhaman Plaza, LSC Main Road, Ghazipur, Delhi-110092, India to the present w.e.f.15.04.2013.

UNSECURED LOAN

Rs. In Millions

Particular	As on 31.03.2013	As on 31.03.2012
LONG-TERM BORROWINGS
From Other
- From Related Parties (Interest Free)	99.369	80.388
TOTAL	99.369	80.388

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10348651	31/01/2014 *	550,000,000.00	SYNDICATE BANK	B - 117, SME BRANCH, SECTOR - 18, NOIDA - 201301, UTTAR PRADESH, INDIA	B95343984
2	10097872	31/05/2011 *	60,000,000.00	SYNDICATE BANK	SME BRANCH, SECTOR - 18, NOIDA, NOIDA - 201301, UTTAR PRADESH, INDIA	B15022072
3	10097873	31/01/2014 *	550,000,000.00	SYNDICATE BANK	B - 117, SME BRANCH, SECTOR - 18, NOIDA - 201301, UTTAR PRADESH, INDIA	B95344032

* Date of charge modification

FIXED ASSETS

· Land Free Hold

· Building (Residential)

· Building (Commercial)

· Plant and Machinery

· Office and Other Equipments

· Electrical Installation

· Computers

· Furniture and Fixtures

· Vehicles

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.60.19
UK Pound	1	Rs.103.15
Euro	1	Rs.81.87

INFORMATION DETAILS

Information Gathered by :	HET
Analysis Done by :	DIV
Report Prepared by :	NTH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	4
--RESERVES	1~10	5
--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	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		42

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.