MIRA INFORM REPORT

Report Date :

30.07.2014

IDENTIFICATION DETAILS

Name :	THERMOTECH SYSTEMS LIMITED
Registered Office :	Plot No. 2608, Phase 4, GIDC, Vatva, Ahmedabad - 382445, Gujarat
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	04.07.1995
Com. Reg. No.:	04-26596
Capital Investment / Paid-up Capital :	Rs. 10.000 Million
CIN No.: [Company Identification No.]	U26933GJ1995PLC026596
TAN No.: [Tax Deduction & Collection Account No.]	AHMT00213D
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of Industrial Heating Equipments and Heating Systems.
No. of Employees :	Information declined by the management

RATING & COMMENTS

MIRA’s Rating :

Ba (43)

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

Maximum Credit Limit :	USD 160000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. General financial position of the company seems to be sound and healthy. Trade relations are fair. Business is active. Payment terms are reported to be usually correct. The company can be considered for business dealings at usual trade terms and condition.

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 DENIED BY

Name :	Mr. Rakesh K Shah
Designation :	Director
Contact No.:	91- 9824037271
Date :	19.07.2014

LOCATIONS

Registered Office / Factory :	Plot No. 2608, Phase 4, GIDC, Vatva, Ahmedabad-382445, Gujarat, India
Tel. No.:	91-79-25840233/ 25842387
Mobile No. :	91- 9824037271 (Mr. Rakesh K Shah)
Fax No.:	91-79-25841634
E-Mail :	thermotech@icenet.net ketanrm@hotmail.com
Website :	http://www.thermotechsystems.com
Location :	Owned

DIRECTORS

As on 28.09.2013

Name :

Mr. Kanubhai Jethalal Shah

Designation :

Chairman and Managing Director

Address :

8, Ghanshyam Baug Society, Uttamnagar, Maninagar, Ahmedabad-380008, Gujarat, India

Date of Birth/Age :

09.09.1939

Date of Appointment :

04.07.1995

DIN No.:

00996831

Name :

Mr. Rajnibhai Jethalal Shah

Designation :

Managing Director

Address :

14, Mangalvilla Apartments, Vadnagra Patidar Society, Rambaug Maninagar, Ahmedabad-380008, Gujarat, India

Date of Birth/Age :

13.09.1949

Date of Appointment :

04.07.1995

DIN No.:

00038744

Name :

Mr. Rakeshbhai Kanubhai Shah

Designation :

Whole Time Director

Address :

4^th Floor, Utsav Complex, Patel Bhuvan, Maninagar, Ahmedabad-380008, Gujarat, India

Date of Birth/Age :

22.04.1963

Date of Appointment :

01.04.2005

DIN No.:

01355664

Name :

Mr. Kinjal Rajnibhai Shah

Designation :

Whole Time Director

Address :

4, Mangalya Bunglows, Nr. IBP Petrol Pump, JAfdish Park, Rambaug, Maninagar, Ahmedabad-380008, Gujarat, India

Date of Birth/Age :

02.01.1980

Date of Appointment :

01.04.2005

DIN No.:

01355609

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	U26933GJ1995PLC026596	THERMOTECH SYSTEMS LIMITED	Whole-time director	01/05/2014	01/04/2005	-	Active	NO
2	U23100GJ2005PTC047089	W2W OILTECH PRIVATE LIMITED	Director	17/11/2005	17/11/2005	04/01/2014	Strike off	NO

Name :

Mr. Mahendrabhai Chandulal Shah

Designation :

Whole Time Director

Address :

49, Deepmala Bunglows, Ghodasar, Maninagar, Ahmedabad-380008, Gujarat, India

Date of Birth/Age :

04.06.1957

Date of Appointment :

01.04.2005

DIN No.:

01355631

Name :

Mr. Jigneshbhai Mahendrabhai Shah

Designation :

Whole Time Director

Address :

43, Deepmala Bunglows, Ghodasar, Maninagar, Ahmedabad-380008, Gujarat, India

Date of Birth/Age :

13.03.1980

Date of Appointment :

01.04.2005

DIN No.:

01355654

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 28.09.2013

Names of Shareholders	No. of Shares
Kanubhai Jethalal Shah	152510
Rakeshbhai Kanubhai Shah	122970
Premilaben Kanubhai Shah	15010
Gitaben Rakeshbhai Shah	30510
Rajnibhai Jethalal Shah	125480
Prafulaben Rajnibhai Shah	39010
Ripal Rajnibhai Shah	5010
Mahendrabhai Chandulal Shah	85500
Jignesh Mahendrabhai Shah	76500
Kinjal Rajnikant Shah	155500
Rakeshbhai kanubhai Shah (HUF)	10000
Sarikaben bhadreshbhai Shah	66000
Ripalben Kinjalbhai Shah	70000
Ripalben Pritnbhai Shah	5000
Pankajben Mahendrabhai Shah	21500
Mahendrabhai Chandulala Shah (HUF)	10000
Jagneshbhai Mahendrabhai Shah (HUF)	6500
Kanubhai Jethalal Shah (HUF)	3000
Total	1000000

As on 28.09.2013

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Industrial Heating Equipments and Heating Systems.

Products :

Product Description	ITC Code
Thermic Fluid Heater	8514
Steam Boiler	8402
Hot Air/ Water Generator	8402

PRODUCTION STATUS (As on 31.03.2011)

Particulars	Actual Production
Thermic Fluid Heater, Steam Boiler and Hot Air/Water Generator.	106

GENERAL INFORMATION

No. of Employees :

Information declined by the management

Bankers :

· Bank of Baroda, Vatva Industrial State, G.I.D.C Vatva Phase Iv,, Ahmedabad - 382445, Gujarat, India

· ING Vysya Bank Limited, P.B.No.4038,Chanakya Building, Near Dinesh Hall, Off Ashram Road,, Ahmedabad - 380009, Gujarat, India

· HDFC Bank Limited, HDFC Bank House, Senapati Bapat Marg, Lower Parel West, Mumbai-400013, Maharashtra, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2013	As on 31.03.2012
LONG TERM BORROWING
Term Loan/WCTL From ING Vysya Bank Limited	1.896	4.336
HDFC Bank	0.365	0.000
SHORT TERM BORROWING
From HDFC Bank	0.000	0.000
From ING Vysya Bank	20.844	30.000
Total	23.105	34.336

Banking Relations :	---
Auditors :
Name :	K.R. Majmudar and Associates Chartered Accountants
Address :	312, Tulsi Complex, Mithakhali Six Roads, Navrangpura, Ahmedabad-380009, Gujarat, India
PAN No :	ABDPM0180F

CAPITAL STRUCTURE

As on 28.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
1000000	Equity Shares	Rs.10/- each	Rs.10.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1000000	Equity Shares	Rs.10/- each	Rs.10.000 Million

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	10.000	5.600	5.600
(b) Reserves & Surplus	32.295	25.355	19.779
(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)	42.295	30.955	25.379
(3) Non-Current Liabilities
(a) long-term borrowings	22.759	15.389	12.039
(b) Deferred tax liabilities (Net)	2.365	2.094	1.634
(c) Other long term liabilities	5.533	10.047	4.464
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	30.657	27.530	18.137
(4) Current Liabilities
(a) Short term borrowings	20.844	29.999	11.021
(b) Trade payables	29.048	34.384	49.384
(c) Other current liabilities	23.436	46.247	17.956
(d) Short-term provisions	4.740	3.038	2.277
Total Current Liabilities (4)	78.068	113.668	80.638
TOTAL	151.020	172.153	124.154
II. ASSETS
(1) Non-current assets
(a) Fixed Assets	0.000	0.000	0.000
(i) Tangible assets	39.360	25.705	25.361
(ii) Intangible Assets	0.521	0.646	0.000
(iii) Capital work-in-progress	0.000	0.000	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.000	3.000	8.000
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	0.892	0.359	0.383
(e) Other Non-current assets	4.241	6.238	4.164
Total Non-Current Assets	45.014	35.948	37.908
(2) Current assets
(a) Current investments	5.500	5.000	0.018
(b) Inventories	46.483	60.693	46.564
(c) Trade receivables	26.260	25.618	21.426
(d) Cash and cash equivalents	4.042	22.293	6.617
(e) Short-term loans and advances	23.721	22.601	11.621
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	106.006	136.205	86.246
TOTAL	151.020	172.153	124.154

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income	271.215	202.022	154.229
		Other Income	0.777	0.797	0.832
		TOTAL (A)	271.992	202.819	155.061
Less	EXPENSES
		Office Expenses	189.465	133.365	110.820
		Administrative Expenses	7.174	4.939	3.522
		Advertising Expenses	58.691	50.554	33.008
		TOTAL (B)	255.330	188.858	147.350
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		16.662	13.961	7.711
Less	FINANCIAL EXPENSES (D)		4.940	4.459	2.736
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		11.722	9.502	4.975
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1.787	1.627	1.472
	PROFIT BEFORE TAX (E-F) (G)		9.935	7.875	3.503
Less	TAX (H)		2.414	1.974	1.003
	Excess Depreciation Written Back		0.000	0.185	0.000
	PROFIT AFTER TAX (G-H) (I)		7.521	5.900	2.500
Less	APPROPRIATIONS
		Transfer to General Reserve	1.000	0.300	0.300
		Dividend	0.500	0.280	0.280
		Tax on Dividend	0.081	0.045	0.047
	BALANCE CARRIED TO THE B/S		1.581	0.625	0.627
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	118.424	36.449	4.860
	TOTAL EARNINGS		118.424	36.449	4.860
	IMPORTS
		Raw Materials	13.334	7.601	2.428
	TOTAL IMPORTS		13.334	7.601	2.428
	Earnings Per Share (Rs.)		7.52	NA	NA

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	2.77	2.91	1.61
Net Profit Margin (PBT/Sales)	(%)	3.66	3.90	2.27
Return on Total Assets (PBT/Total Assets}	(%)	6.58	4.66	3.02
Return on Investment (ROI) (PBT/Networth)		0.23	0.25	0.14
Debt Equity Ratio (Total Debt /Networth)		1.03	1.47	0.91
Current Ratio (Current Asset/Current Liability)		1.36	1.20	1.07

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	5.600	5.600	10.000
Reserves & Surplus	19.779	25.355	32.295
Net worth	25.379	30.955	42.295
long-term borrowings	12.039	15.389	22.759
Short term borrowings	11.021	29.999	20.844
Total borrowings	23.060	45.388	43.603
Debt/Equity ratio	0.909	1.466	1.031

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	154.229	202.022	271.215
		30.988	34.250

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	154.229	202.022	271.215
Profit	2.500	5.900	7.521
	1.62%	2.92%	2.77%

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	No
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	No
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	No
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 LOAN

(Rs. In Million)

Particulars	As on 31.03.2013	As on 31.03.2012
LONG TERM BORROWING
Loans and Advances from Related Parties
Geetaben R Shah	0.030	0.027
Jigneshbhai M Shah	0.708	0.813
Jigneshbhai M Shah (H.U.F)	0.000	0.002
Kanubhai J. Shah (H.U.F)	0.509	0.273
Kanubhai J. Shah (Promoter Director)	1.836	1.075
Kinjalbhai R. Shah	1.552	1.918
Kinjalbhai R. Shah (H.U.F.)	0.204	0.000
Mahendrabhai C. Shah (H.U.F.)	0.000	0.000
Mahendrabhai C. Shah (Promoter Director)	2.032	1.632
Pankajben M. Shah	0.261	0.002
Prafulaben R. Shah	2.427	1.084
Premilaben R. Shah	0.445	0.027
Rajnibhai J. Shah (H.U.F.)	0.771	0.521
Rajnibhai J. Shah (Promoter Director)	1.519	0.952
Rakeshbhai K. Shah	1.722	1.617
Rakeshbhai K. Shah (H.U.F.)	1.130	1.024
Ripalben Kinjalbhai Shah	0.233	0.023
Riplalben Pritenbhai Shah	0.000	0.002
Sneha Jigneshbhai Shah	0.052	0.000
Bhagwati Enterprise-Security Deposit	5.000	0.000
Sarikaben B Shah	0.066	0.060
Total	20.497	11.053

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10456824	08/10/2013	72,113,000.00	BANK OF BARODA	VATVA INDUSTRIAL ESTATE, G.I.D.C VATVA PHASE-IV,  AHMEDABAD, Gujarat - 382445, INDIA	B88218805
2	10441569	08/08/2013	72,113,000.00	BANK OF BARODA	VATVA INDUSTRIAL STATE, GIDC VATVA PHASE IV,, AHM  EDABAD, Gujarat - 382445, INDIA	B81438798

* Date of charge modification

FIXED ASSETS

· Land

· Factory Building

· Office Building

· Furniture and Fixture

· Plant and Machinery

· Office Equipment

· Computer

· Electrical Installation

· Laboratory Equipment

· 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.60.23
UK Pound	1	Rs.102.86
Euro	1	Rs.81.44

INFORMATION DETAILS

Information Gathered by :	PDT
Analysis Done by :	KAR
Report Prepared by :	ARI

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	5
--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	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		43

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.