MIRA INFORM REPORT

Report Date :

21.07.2014

IDENTIFICATION DETAILS

Name :	NET ACCESS INDIA LIMITED (w.e.f. 20.03.2013)
Formerly Known As :	NET ACCESS (INDIA) LIMITED
Registered Office :	‘Parry House’, 6^th Floor 43, Moore Street, Chennai – 600001, Tamilnadu
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	05.12.1997
Com. Reg. No.:	18-039545
Capital Investment / Paid-up Capital :	Rs.16.000 Millions
CIN No.: [Company Identification No.]	U74999TN1997PLC039545
TAN No.: [Tax Deduction & Collection Account No.]	CHEN02282A
PAN No.: [Permanent Account No.]	AABCN2037Q
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Provider of IT infrastructure solution services.
No. of Employees :	Not Divulged

RATING & COMMENTS

MIRA’s Rating :

Ba (50)

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

Maximum Credit Limit :	USD 190000
Status :	Satisfactory
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. Rating reflects above average financial risk profile marked by sound liquidity position and improvement in performance of the company. Trade relations re reported to be fair. Business is active. Payments are reported to be regular and as per commitment. The company can be considered 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.

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 31-03-2014.

INFORMATION PARTED BY

Name :	Mr. Mangesh
Designation :	Accounts Executive
Contact No.:	91-44-30415757
Date :	18.07.2014

LOCATIONS

Registered Office :	‘Parry House’, 6^th Floor 43, Moore Street, Chennai – 600001, Tamilnadu, India
Tel. No.:	91-44-30415757
Fax No.:	91-44-25353554
E-Mail :	accounts@ho.netaccess-india.com
Website :	www.netaccess-india.com
Location :	Owned
Locality :	Commercial

DIRECTORS

AS ON 10.05.2013

Name :

Mr. Murugappan Murugappan Muthiah

Designation :

Director

Address :

Coromandel House, No.14, Boat Club Road, Raja Annamalaipuram, Chennai – 600028, Tamilnadu, India

Date of Birth/Age :

12.11.1955

Date of Appointment :

29.07.2000

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 LTD	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	L72200TG1991PLC013134	Cyient Limited	Director	11/08/1997	11/08/1997	-	Active	NO
9	U26919TN1982PLC009622	MURUGAPPA MORGAN THERMAL CERAMICS LTD	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&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. Meka Ram Gopal Apparao

Designation :

Director

Address :

53 Poes Garden, Chennai – 600086, Tamilnadu, India

Date of Birth/Age :

30.08.1946

Date of Appointment :

05.12.1997

DIN No.:

01002591

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	U73100TN1983NPL010490	M.M.MUTHIAH RESEARCH FOUNDATION	Director	27/02/1987	27/02/1987	10/12/2009	Active	NO
2	U52321TN1987PTC014853	COMPUTER ACCESS PRIVATE LIMITED	Director	10/09/1987	10/09/1987	-	Active	NO
3	U74999TN1997PLC039545	NET ACCESS INDIA LIMITED	Director	05/12/1997	05/12/1997	-	Active	NO
4	U73100TN2000PTC045328	IDEA LAB (INDIA) PRIVATE LIMITED	Director	05/07/2000	05/07/2000	-	Active	NO
5	L85110TN1994PLC027366	DR. AGARWAL'S EYE HOSPITAL LIMITED	Director	29/03/2003	29/03/2003	-	Active	NO

Name :

Mr. Sridharan Rangarajan

Designation :

Director

Address :

“Mathura”, No.1, Jeevarathnam Nagar, Main Road, Adyar, Chennai – 600028, Tamilnau, India

Date of Birth/Age :

16.03.1966

Date of Appointment :

17.05.2012

DIN No.:

01814413

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	U29191TN2007PTC065771	Trane Design Centre Private Limited	Director	18/12/2007	18/12/2007	21/07/2008	Amalgamated	NO
2	L29130KA1996PLC048230	TIMKEN INDIA LIMITED	Director	24/04/2009	26/02/2009	01/06/2011	Active	NO
3	U40100TN1985PLC012425	SOUTHERN ENERGY DEVELOPMENT CORPORATION LIMITED	Director	14/05/2012	20/07/2011	-	Active	NO
4	U74999TN1997PLC039545	NET ACCESS INDIA LIMITED	Director	17/05/2012	26/07/2011	-	Active	NO
5	U74899DL1997PLC091417	CIRIA INDIA LIMITED	Director	15/06/2012	17/10/2011	-	Active	NO
6	U26990TN2008PLC069898	CELLARIS REFRACTORIES INDIA LIMITED	Director	30/06/2012	25/10/2011	-	Active	NO
7	U74140TN1972PLC006192	MURUGAPPA MANAGEMENT SERVICES LIMITED	Director	28/09/2012	30/03/2012	31/03/2014	Active	NO

KEY EXECUTIVES

Name :	Mr. Mangesh
Designation :	Accounts Executive

MAJOR SHAREHOLDERS

AS ON 10.05.2013

Names of Shareholders	No. of Shares
Carborundum Universal Limited	1599994
S Dhanvanth Kumar	1
K Srinivasan	1
V Ramesh	1
P Padmanabhan	1
R Narayanan	1
A Narayanan	1
Total	1600000

Equity Share Break up (Percentage of Total Equity)

AS ON 10.05.2013

Category	Percentage
Bodies corporate	100.00

BUSINESS DETAILS

Line of Business :	Provider of IT infrastructure solution services.
Terms :
Selling :	Credit
Purchasing :	Credit

GENERAL INFORMATION

Customers :

End Users

No. of Employees :

Not Divulged

Bankers :

HDFC Bank Limited, Chennai, Tamilnadu, India

Facilities :

SECURED LOANS	31.03.2013 Rs. In Millions	31.03.2012 Rs. In Millions
Long Term Borrowings
Term Loans from Banks	8.374	0.000
Long-term maturities of finance lease obligations	0.829	0.037
Other Loans and Advances	2.504	2.040
Total	11.707	2.077

Banking Relations :	--
Financial Institutions :	Cholamandalam Investment And Finance Company Limited, Dare House, No.2 N S C Bose Road, Parrys, Chennai – 600001, Tamilnadu, India
Auditors :
Name :	Jagannathan and Sarabeswaran Chartered Accountants
Address :	No.7, Old No.35, Luz Avenue, 1^st Floor, 4^th Cross, Mylapore, Chennai, Tamilnadu, India
PAN No.:	AAKPK1077B
Holding Company :	Carborundum Universal Limited
Fellow Subsidiary Company :	Sterling Abrasive Limited
Others :	· Wendt India Limited · Murugappa Morgan Thermal Ceramics Limited · Ciria India Limited

CAPITAL STRUCTURE

AS ON 10.05.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
1600000	Equity Shares	Rs.10/- each	Rs.16.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1600000	Equity Shares	Rs.10/- each	Rs.16.000 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	16.000	16.000	16.000
(b) Reserves & Surplus	33.215	24.015	17.882
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	0.000
Total Shareholders’ Funds (1) + (2)	49.215	40.015	33.882
(3) Non-Current Liabilities
(a) long-term borrowings	11.835	2.077	0.176
(b) Deferred tax liabilities (Net)	3.271	2.583	1.646
(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)	15.106	4.660	1.822
(4) Current Liabilities
(a) Short term borrowings	0.000	0.000	0.000
(b) Trade payables	13.499	14.039	10.012
(c) Other current liabilities	6.660	6.472	7.954
(d) Short-term provisions	5.850	5.811	3.719
Total Current Liabilities (4)	26.009	26.322	21.685
TOTAL	90.330	70.997	57.389
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	32.159	22.842	22.472
(ii) Intangible Assets	0.001	0.001	0.001
(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	0.001	0.001	0.001
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	1.821	1.830	1.840
(e) Other Non-current assets	16.530	13.121	0.000
Total Non-Current Assets	50.512	37.795	24.314
(2) Current assets
(a) Current investments	5.386	2.608	0.192
(b) Inventories	0.404	0.664	0.889
(c) Trade receivables	21.084	13.029	9.471
(d) Cash and cash equivalents	4.481	10.587	7.700
(e) Short-term loans and advances	8.463	6.314	14.823
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	39.818	33.202	33.075
TOTAL	90.330	70.997	57.389

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income	197.322	159.597	122.030
		Other Income	0.679	1.193	0.356
		TOTAL (A)	198.001	160.790	122.386
Less	EXPENSES
		Cost of Materials Consumed	15.164	9.690	8.383
		Employee Benefits Expenses	62.934	52.153	38.065
		Other Expenses	92.321	75.790	55.748
		TOTAL (B)	170.419	137.633	102.196
	PROFIT/(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		27.582	23.157	20.190
Less	FINANCIAL EXPENSES (D)		0.075	0.072	0.217
	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		27.507	23.085	19.973
Less	DEPRECIATION/ AMORTISATION (F)		5.306	3.965	2.853
	PROFIT/(LOSS) BEFORE TAX (E-F) (G)		22.201	19.120	17.120
Less	TAX (H)		7.151	6.130	5.592
	PROFIT/(LOSS) AFTER TAX (G-H) (I)		15.050	12.990	11.528
	Earnings Per Share (Rs.)		9.41	8.12	7.00

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	7.60	8.08	9.42
Net Profit Margin (PBT/Sales)	(%)	11.25	11.98	14.03
Return on Total Assets (PBT/Total Assets}	(%)	24.58	26.93	29.83
Return on Investment (ROI) (PBT/Networth)		0.45	0.48	0.51
Debt Equity Ratio (Total Debt /Networth)		0.24	0.05	0.01
Current Ratio (Current Asset/Current Liability)		1.53	1.26	1.53

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	16.000	16.000	16.000
Reserves & Surplus	17.882	24.015	33.215
Net worth	33.882	40.015	49.215
long-term borrowings	0.176	2.077	11.835
Short term borrowings	0.000	0.000	0.000
Total borrowings	0.176	2.077	11.835
Debt/Equity ratio	0.005	0.052	0.240

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	122.030	159.597	197.322
		30.785	23.638

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	122.030	159.597	197.322
Profit	11.528	12.990	15.050
	9.45%	8.14%	7.63%

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	No
9]	Name of person contacted	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last three years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	-----------
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	No
21]	Market information	----------
22]	Litigations that the firm / promoter involved in	----------
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	----------
26]	Buyer visit details	----------
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	Yes
29]	Last accounts filed at ROC	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	No

UNSECURED LOANS:

Particulars	31.03.2013 Rs. In Millions	31.03.2012 Rs. In Millions
Long Term Borrowings
Deposits from Others	0.128	0.000
Total	0.128	0.000

INDEX OF CHARGE:

Sr. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10409864	06/02/2013	8,600,000.00	CHOLAMANDALAM INVESTMENT AND FINANCE COMPANY LIMITED	DARE HOUSE, NO. 2 N S C BOSE ROAD, PARRYS, CHENNAI, TAMIL NADU - 600001, INDIA	B70035175

FIXED ASSETS:

· Land

· Building

· Plant and Machinery

· Computer

· Vehicles

· Furniture and Fixture

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.60.33
UK Pound	1	Rs.103.18
Euro	1	Rs.81.58

INFORMATION DETAILS

Information Gathered by :	PLK
Analysis Done by :	SUM
Report Prepared by :	NKT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	6
--RESERVES	1~10	5
--CREDIT LINES	1~10	6
--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		50

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.