MIRA INFORM REPORT

Report Date :

11.06.2014

IDENTIFICATION DETAILS

Name :	ZENSAR TECHNOLOGIES LIMITED
Registered Office :	Zensar Knowledge Park, Kharadi, Plot No. 4, MIDC Off Nagar Road, Pune-411014, Maharashtra
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	29.03.1963
Com. Reg. No.:	11-012621
Capital Investment / Paid-up Capital :	Rs.435.810 Millions
CIN No.: [Company Identification No.]	L72200PN1963PLC012621
TAN No.: [Tax Deduction & Collection Account No.]	PNEZ01771A
PAN No.: [Permanent Account No.]	AAACF0742K
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.
Line of Business :	Providing Technology and Software Services.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

A (65)

RATING		STATUS	PROPOSED CREDIT LINE
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

Maximum Credit Limit :	USD 30400000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Exist
Comments :	Subject is a well-established and reputed company having fine track record. The rating reflects company’s healthy financial risk profile marked by broad client base, diversified revenue base across geographies and verticals, healthy profitability indicators and strong capital structure. Directors are reported to be experienced and respectable businessmen. Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitment. The company can be considered good for normal business dealings 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.

INDIAN ECONOMIC OVERVIEW

US investment bank Goldman Sachs has upgraded its outlook on Indian markets as it expects positive impact of the election cycle.

India’s economy may grow 4.7 % in the current financial year, lower than the official estimate of 4.9 %, Fitch Rating said. The global rating agency expects the economy to pick up in the next two financial years.

Global ratings agency Standard & Poor said increasing focus by India Inc on lowering debt is likely to improve their credit profiles.

Singapore (1.1 million Indian tourists in 2012), Thailand (one million), the United Arab Emirates ().98 million) and Malaysia ().82 million) emerged as the preferred holidays hotspots for Indians. The total figure is expected to increase to 1.93 million by 2017, according to the latest Eurmonitor international report.

There is a $29.34 bn outward foreign direct investment by domestic companies between April and January of 2013/14 which has seen some signs of recovery according to a Care Ratings report.

There are 264 number of new companies being set up every day on average during 2014. Most of them are registered in Mumbai. India had 1.38 million registered companies at the end of January, 2014.

Twitter like messaging service Weibo Corporation has filed to raise $ 500 million via a US initial public offering. Alibaba, which owns a stake in Weibo is expected to raise about $ 15 billion New York this year in the highest profile Internet IPO since Facebook’s in 2012.

Bharti Airtel has raised Rs.2453.2 crore (350 million Swiss Francs) by selling six-year bonds at a coupon rate of three per cent and maturing in 2020. This is the largest ever bond offering by an Indian company in Swiss Francs. Bharat Petroleum Corporation raised 175 million Swiss Francs by selling five year bonds at 2.98 % coupon rate in February.

Indian Oil Corporation plans to invest Rs 7650 crore in setting up a petrochemical complex at its almost complete Paradip refinery in Odhisha in three to four years. The company board is set to consider the setting up of a 700000 tonne per annum polypropylene plant at an estimated cost at Rs.3150 crore.

Global chief information officers at gathering in Bangalore in April to meet Indian startups at an event called Tech50 Watchout for Little Eye Labs-Facebook type deals in the making.

EXTERNAL AGENCY RATING

Rating Agency Name	ICRA
Rating	Long Term Fund Based Limit = AA
Rating Explanation	High degree of safety and very low credit risk.
Date	14.03.2013

Rating Agency Name	ICRA
Rating	Short Term Fund Based Limit = A1+
Rating Explanation	Very strong degree of safety and lowest credit risk.
Date	14.03.2013

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 DENIED

Management Non-Cooperative (Tel No.: 91-20-66074000)

LOCATIONS

Registered Office :	Zensar Knowledge Park, Kharadi, Plot No. 4, MIDC Off Nagar Road, Pune-411014, Maharashtra, India
Tel. No.:	91-20-66074000
Fax No.:	91-20-66074444
E-Mail :	n.limaye@zensar.com
Website :	http://www.zensar.com

DIRECTORS

As on 31.03.2013

Name :	Mr. H. V. Goenka
Designation :	Chairman
Name :	Mr. P. K. Mohapatra
Designation :	Director
Name :	Mr. John Levack
Designation :	Director
Name :	Dr. Ganesh Natarajan
Designation :	Vice Chairman and Chief Executive Officer
Date of Birth / Age :	55 years
Qualification :	BE(Mech.), P.G.(Ind Engg), Ph.d.
Date of Appointment :	01.03.2001
Name :	Mr. P. K. Choksey
Designation :	Director
Name :	Mr. Venkatesh Kasturirangan
Designation :	Director
Name :	Mr. Arvind Agrawal
Designation :	Director
Name :	Mr. A. T. Vaswani
Designation :	Director
Name :	Mr. Niraj Bajaj
Designation :	Director
Name :	Mr. Manish Dugar
Designation :	Director *

* Term 25.07.2012 to 31.05.2013

KEY EXECUTIVES

Name :	Mr. Vivek Gupta
Designation :	Chief Executive and Head, Global Infrastructure Management
Name :	Mr. Nitin Parab
Designation :	Chief Executive and Head, Enterprise Transformation Services
Name :	S. Balasubramaniam
Designation :	Chief Financial Officer
Name :	Mr. Yogesh Patgaonkar
Designation :	Global Head, Human Resources
Name :	Mr. Ajay Bhandari
Designation :	Chief Corporate Development Officer
Name :	Mr. Sanjay Marathe
Designation :	Head-Strategic Services Unit and Chief Technology Officer
Name :	Mr. Harish Gala
Designation :	Head, Enterprise Applications (Oracle and SAP) and Hyderabad Location
Name :	Mrs. Prameela Kalive
Designation :	Head, Strategic Services and Pune Location

SHAREHOLDING PATTERN

As on 31.03.2014

Category of Shareholder	No. of Shares	Percentage of Holding
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Individuals / Hindu Undivided Family	1	0.00
Bodies Corporate	20099092	45.92
Sub Total	20099093	45.92
(2) Foreign
Bodies Corporate	1030922	2.36
Sub Total	1030922	2.36
Total shareholding of Promoter and Promoter Group (A)	21130015	48.28
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	224212	0.51
Financial Institutions / Banks	8687	0.02
Insurance Companies	1500	0.00
Foreign Institutional Investors	5389875	12.31
Sub Total	5624274	12.85
(2) Non-Institutions
Bodies Corporate	895820	2.05
Individuals
Individual shareholders holding nominal share capital up to Rs.0.100 million	4053007	9.26
Individual shareholders holding nominal share capital in excess of Rs.0.100 million	1471480	3.36
Any Others (Specify)	10592898	24.20
Overseas Corporate Bodies	10301294	23.54
Non Resident Indians	291604	0.67
Sub Total	17013205	38.87
Total Public shareholding (B)	22637479	51.72
Total (A)+(B)	43767494	100.00
(C) Shares held by Custodians and against which Depository Receipts have been issued	0	0.00
(1) Promoter and Promoter Group	0	0.00
(2) Public	0	0.00
Sub Total	0	0.00
Total (A)+(B)+(C)	43767494	0.00

Shareholding of securities (including shares, warrants, convertible securities) of persons belonging to the category Promoter and Promoter Group

Name of the Shareholder	No. of Shares	Percentage of Holding
Pedriano Investments Limited	1030922	2.36
Summit Securities Limited	4763576	10.88
Swallow Associates Limited	12048606	27.53
Instant Holdings Limited	110019	0.25
Swallow Associates Limited	5700	0.01
Instant Holdings Limited	3096800	7.08
Chattarpati Investments Limited	45700	0.10
Harsh Vardhan Goenka	1	0.00
Swallow Associates LLP	28691	0.07
Total	21130015	48.28

Shareholding of securities (including shares, warrants, convertible securities) of persons belonging to the category Public and holding more than 1% of the total number of shares

Name of the Shareholder	No. of Shares	Percentage of Holding
Electra Partners Mauritius Limited	10301294	23.54
Fidelity Management and Research Company A/c	3500000	8.00
Ganesh Natarajan	627058	1.43
Fidelity Puritan Trust-Fidelity Low-Priced	733500	1.68
Total	15161852	34.64

Shareholding of securities (including shares, warrants, convertible securities) of persons (together with PAC) belonging to the category “Public” and holding more than 5% of the total number of shares of the company

Name of the Shareholder	No. of Shares	Percentage of Holding
Electra Partners Mauritius Limited	10301294	23.54
Fidelity Management and Research Company A/c	3500000	8.00
Total	13801294	31.53

BUSINESS DETAILS

Line of Business :

Providing Technology and Software Services.

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

Not Available

Facilities :

SECURED LOANS	31.03.2013 Rs. In Millions	31.03.2012 Rs. In Millions
Long Term Borrowings
Finance Lease Obligation	31.786	27.175
Total	31.786	27.175

Banking Relations :	--
Auditors :
Name :	Price Waterhouse Chartered Accountants
Wholly owned subsidiaries:	Zensar Technologies, Inc., USA Zensar Technologies (UK) Limited Zensar Technologies (Singapore) Pte. Limited Zensar Advanced Technologies Limited Zensar Technologies (Shanghai) Company Limited PSI Holding Group Inc. Zensar Technologies IM Inc. (formerly known as Akibia, Inc.) Akibia, B.V. Aquila Technology Corp.
Parties having control (directly or indirectly):	Chattrapati Investments Limited Pedriano Investments Limited Summit Securities Limited Electra Partners Mauritius Limited Instant Holdings Limited Swallow Associates LLP

CAPITAL STRUCTURE

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
47500000	Equity Shares	Rs.10/- each	Rs.475.000 Millions
250000	Preferences Shares	Rs.100/- each	Rs.25.000 Millions
	Total		Rs.500.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
43580988	Equity Shares	Rs.10/- each	Rs.435.810 Millions

Reconciliation of the shares outstanding as at the beginning and at the end of the year

Equity Shares	Number of Shares	Rs. In Millions
At the beginning of the year	43409774	434.098
Add: Shares issued on exercise of Employee Stock Options	171214	1.712
Outstanding at the end of the year	43580988	435.810

Terms/Rights attached to Equity Shares

The Company has only one class of equity shares having a par value of Rs.10 per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting.

In the event of liquidation of the Company, the holder of equity shares will be entitled to receive any of the remaining assets of the Company, after distribution of all preferential amounts. However, no such preferential amounts exist currently. The distribution will be in proportion to the number of equity shares held by the shareholders.

The board of directors in their meeting on January 21, 2013, declared an interim dividend of Rs.3.50 per equity share. The board of directors in their meeting on April 22, 2013, proposed final dividend of Rs.4.50 per equity share. The total dividend appropriation for the year ended March 31, 2013 amounted to Rs.405.188 Millions including corporate dividend tax of Rs.56.557 Millions.

Details of equity shares held by shareholders holding more than 5% shares:

Name of Shareholder	Number of Shares	% holding
RPG Cellular Investment and Holdings Private Limited	-	-
Electra Partners Mauritius Limited	10301294	23.64%
Summit Securities Limited	4758076	10.92%
Idea Tracom Private Limited	3096800	7.11%
Fidelity Management and Research Company	3499999	8.03%
Swallow Associates LLP*	12048606	27.65%s

* RPG Cellular Investments and Holdings Private Limited has merged with Swallow Associates LLP w.e.f. March 27, 2012

Aggregate number of bonus shares issued, shares issued for consideration other than cash and shares bought back during the period of five years immediately preceeding 31st March, 2013.

Particulars	Number of Shares
Equity shares alloted as fully paid bonus shares by capitalisation of profits transferred from General Reserve	21589818
Equity shares bought back by the company by utilisation of Securities Premium Account and General Reserve	-

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012	31.03.2013
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	435.810	434.098	433.038
(b) Reserves & Surplus	4653.748	3740.256	3236.674
(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)	5089.558	4174.354	3669.712
(3) Non-Current Liabilities
(a) long-term borrowings	31.786	27.175	0.000
(b) Deferred tax liabilities (Net)	0.000	0.000	71.081
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	80.105	86.095	0.000
Total Non-current Liabilities (3)	111.891	113.270	71.081
(4) Current Liabilities
(a) Short term borrowings	0.000	0.000	0.000
(b) Trade payables	232.464	237.501	121.734
(c) Other current liabilities	408.354	545.617	469.224
(d) Short-term provisions	270.991	323.162	251.742
Total Current Liabilities (4)	911.809	1106.280	842.700
TOTAL	6113.258	5393.904	4583.493
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	790.796	860.281	883.161
(ii) Intangible Assets	64.392	58.542	59.300
(iii) Capital work-in-progress	7.720	0.000	45.271
(iv) Intangible assets under development	16.915	27.067	4.658
(b) Non-current Investments	109.132	93.499	70.858
(c) Deferred tax assets (net)	124.227	117.131	100.231
(d) Long-term Loan and Advances	172.245	231.053	355.691
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	1285.427	1387.573	1519.170
(2) Current assets
(a) Current investments	417.366	468.181	246.381
(b) Inventories	0.000	0.000	0.000
(c) Trade receivables	2307.095	2168.983	1435.334
(d) Cash and cash equivalents	534.200	378.829	347.436
(e) Short-term loans and advances	511.067	528.876	564.631
(f) Other current assets	1058.103	461.462	470.541
Total Current Assets	4827.831	4006.331	3064.323
TOTAL	6113.258	5393.904	4583.493

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Revenue from operations	8376.655	7127.430	5776.089
		Other Income	346.494	279.129	142.095
		TOTAL (A)	8723.149	7406.559	5918.184
Less	EXPENSES
		Employee Benefits Expenses	4573.648	4113.640	3431.293
		Other Expenses	2162.289	1659.856	1357.143
		TOTAL (B)	6735.937	5773.496	4788.436
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		1987.212	1633.063	1129.748
Less	FINANCIAL EXPENSES (D)		8.784	10.338	8.597
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		1978.428	1622.725	1121.151
Less/ Add	DEPRECIATION/ AMORTISATION (F)		268.562	250.508	258.805
	PROFIT BEFORE TAX (E-F) (G)		1709.866	1372.217	862.346
Less	TAX (H)		494.605	426.721	(22.422)
	PROFIT AFTER TAX (G-H) (I)		1215.261	945.496	884.768
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		658.664	866.289	907.671
Less	APPROPRIATIONS
		Transfer to General Reserve	1000.000	800.000	750.000
		Proposed Dividend	196.114	173.639	151.563
		Tax on Proposed Dividend	56.557	49.269	24.587
		Interim Dividend	152.517	130.213	0.000
	BALANCE CARRIED TO THE B/S		468.737	658.664	866.289
	EARNINGS IN FOREIGN CURRENCY
		Fees for technical services outside India in connection with development / production of computer software	7739.929	6435.272	5536.668
	TOTAL EARNINGS		7739.929	6435.272	5536.668
	IMPORTS
		Software	4.394	3.069	10.978
		Capital Goods	48.116	35.799	92.530
	TOTAL IMPORTS		52.510	38.868	103.508
	Earnings Per Share (Rs.)
	- Basic		27.93	21.79	20.47
	- Diluted		27.39	21.55	20.10

QUARTERLY RESULTS

Particulars	30.06.2013 (Unaudited)	30.09.2013 (Unaudited)	31.12.2013 (Unaudited)	31.03.2014 (Unaudited)
	1st Quarter	2nd Quarter	3rd Quarter	4th Quarter
Net Sales	2181.500	2441.800	2266.600	2328.100
Total Expenditure	1699.700	1711.600	1706.600	1702.300
PBIDT (Excl OI)	481.800	730.200	560.000	625.800
Other Income	260.100	122.200	68.000	41.600
Operating Profit	741.900	852.400	628.000	667.400
Interest	9.100	1.900	2.200	1.600
Exceptional Items	0.000	0.000	0.000	0.000
PBDT	732.800	850.500	625.800	665.800
Depreciation	72.400	72.900	75.400	74.600
Profit Before Tax	660.400	777.600	550.400	591.200
Tax	199.100	256.200	106.400	145.700
Provisions and contingencies	0.000	0.000	0.000	0.000
Profit After Tax	4.613	521.400	444.000	445.500
Extraordinary Items	0.000	0.000	0.000	0.000
Prior Period Expenses	0.000	0.000	0.000	0.000
Other Adjustments	0.000	0.000	0.000	0.000
Net Profit	461.300	521.400	444.000	445.500

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	13.93	12.77	14.95
Net Profit Margin (PBT/Sales)	(%)	20.41	19.25	14.93
Return on Total Assets (PBT/Total Assets}	(%)	29.20	26.61	19.77
Return on Investment (ROI) (PBT/Networth)		0.34	0.33	0.23
Debt Equity Ratio (Total Debt /Networth)		0.01	0.01	0.00
Current Ratio (Current Asset/Current Liability)		5.29	3.62	3.64

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	433.038	434.098	435.810
Reserves & Surplus	3236.674	3740.256	4653.748
Net worth	3669.712	4174.354	5089.558
long-term borrowings	0.000	27.175	31.786
Short term borrowings	0.000	0.000	0.000
Total borrowings	0.000	27.175	31.786
Debt/Equity ratio	0.000	0.007	0.006

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	5,776.089	7,127.430	8,376.655
		23.395	17.527

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	5,776.089	7,127.430	8,376.655
Profit	884.768	945.496	1,215.261
	15.32%	13.27%	14.51%

LOCAL AGENCY FURTHER INFORMATION

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Rs. In Millions

PARTICULARS	31.03.2013	31.03.2012	31.03.2011
Current maturities of long term debt	651.480	610.560	NA
Total	651.480	610.560	NA

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	No
10]	Designation of contact person	No
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	No
20]	Export / Import details (if applicable)	No
21]	Market information	----------
22]	Litigations that the firm / promoter involved in	Yes
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	Yes

LITIGATION DETAILS:

CASE DETAILS

Presentation Date:- 02/01/2014

Lodging No.:-

WTXAL/30/2014

Filing Date:-

02/01/2014

Petitioner :

THE COMMISSIONER OF WEALTH TAX – 2

Respondent:-

ZENSAR TECHNOLOGIES LIMITED

Petn. Adv.: SURESH KUMAR (I2100)

Bench:- DIVISION

Status:- Pre-Admission

Act :- Wealth Tax Act, 1957 Under Section:- 27A

GENERAL INFORMATION

The Company along with its wholly owned and controlled subsidiaries Zensar Technologies Inc.,Zensar Technologies (UK) Limited, Zensar Technologies (Singapore) Pte. Limited, Zensar Advanced Technologies Limited, Zensar Technologies (Shanghai) Company Limited, PSI Holding Group Inc., Zensar Technologies IM Inc. (formerly known as Akibia, Inc.), Akibia B. V. and Aquila Technology Corp. is engaged in providing a complete range of IT Services and Solutions. The Company's industry expertise spans across Manufacturing, Retail, Media, Banking, Insurance, Healthcare and Utilities

FINANCIAL RESULTS

During the financial year 2012-13, the Company recorded total income of Rs.8723.100 Millions comprising Income from Software Development and Allied Services of Rs.8250.700 Millions, and other income of Rs.472.400 Millions. The Company recorded a net profit of Rs.1215.300 Millions reflecting a growth of 29%.

MANAGEMENT DISCUSSION AND ANALYSIS

Zensar Technologies is a technology partner of choice for global organisations looking to strategically transform, grow, and lead in today's challenging business environment. Backed by a strong track-record of innovation, 6500 + associates and a footprint in more than 20 global locations, Zensar's comprehensive range of software services and solutions enable its 400+ forward-looking customers to cross new thresholds of business performance. Zensar helps them simplify, optimise and accelerate their IT landscape helping them transform their businesses. The Company given its growth in recent times has moved up the NASSCOM listing of Software Service Companies in India by 6 places to # 13 this year. This is reiterated in the Porter's Prize for Best Strategic Management in the Information, Media and Telecom Industries that has been bestowed upon the Company. A noted publication, Dataquest in its Top 200 listing has rated Zensar 20 notches higher in their industry rankings of April 2012.

CURRENT STRENGTH AND FUTURE PROJECTIONS

With a strong focus on continuous innovation, customer sovereignty and people orientation, Zensar has been able to demonstrate extraordinary growth and excellence in business results. In the past year, the Company has been restructured to provide specialised vertical solutions to global corporations across the world. The solutions and domain expertise has helped Zensar generate revenues from the existing customer base and add new customers to the vertical portfolios. The Company's expansion into new age technologies, Social Media, Mobility, Analytics and Cloud Computing are expected to provide significant avenues for growth.

Zensar also rolled out its new and focused verticalised innovative solution strategy during the year and integrated theonsite Data Centre and Information Security services of itsacquired company, Akibia with its Remote Infrastructure Management service line. These moves are in line with the Company's long-term strategy of building specific offerings across various lines of business thus embarking on an ambitious plan to be the next generation global industry player.

The strength of Zensar is the energy of their teams. Focused HR initiatives have contained attrition at a low and the motivation levels of teams at a high. The Company launched the iZen initiative to instill higher leadership capabilities in all their managers and will ensure that the capabilities and motivation of their associates remains the strength of Zensar in all geographies.

Zensar has been chosen by SAP, Oracle, Microsoft and Google, as their partner in many key markets and the organisation is in process of redefining the strategic imperatives for their business in the years ahead and looks to the future with great confidence. We are on track to become a significant player in both Infrastructure Management and Application Services globally and have seen excellent business in the USA, South Africa and Middle East reflecting the inherent strength of their new Vertical go-to-market strategy Additionally, in this year Zensar received accolades from all segments of the industry– the Company retained its position amongst India's top 20 software companies by NASSCOM and was also listed in the 2011 Global Service 100 and IAOP Global Outsourcing 100 list.

INDUSTRY OUTLOOK 2012 – 13

In the face of a volatile economic environment, 2012 recorded a steady growth for technology and related services sector, with worldwide spending of USD 1.9 Trillion and a growth rate of 4.8 percent over 2011. BPM services with 4.9 percent (slightly above industry average) contributed majorly to the growth, followed by IT services and packaged software each with 3.3 percent growth. IT, BPM services and software products continued to lead, accounting for over USD 1 Trillion which is 58 per cent of the total IT spend. IT hardware with growth rate of near 7 percent touched USD 797 Billion and accounted for the remaining 42 percent of the worldwide technology spend in 2012.

In line with growth in global IT spend, the global sourcing market also grew to USD 124-130 Billion, showing growth of 9percent over 2011 which is nearly twice the growth of global IT spend. APAC spend grew 6 percent, nearly 1.6 times faster than mature geographies. IT spends of Americas remained steady at 5 percent and EMEA recorded a minimal growth of 1 percent over 2011. The impact was also visible on the vertical spending with emerging verticals driving incremental growth in 2012. While BFSI and manufacturing segment remained the two largest verticals in terms of total share in IT spending with more than 40 percent share, emerging verticals like healthcare, retail, government and utilities contributed 30 per cent of total IT spend in 2012.

Lingering concerns about the global economy also impacted contracts demonstrating volume decline of nearly 13 percent, however the Average Contract Value (ACV) remained fairly steady at USD 21 Billion largely due to a number of megadeals in BPM. In terms of regional contracts, APAC was the sole market to have registered significant growth over 2011, with near 55 percent (value terms) and increased its share in total contract value to 15 percent. The EMEA contracts declined 13 percent and the Americas by about 2.5 percent.

FUTURE OUTLOOK

The global economy is set to improve 2013 onwards, with global GDP expected to increase by 3.5 percent in 2013 and further by 4.1 percent in 2014. Simultaneously, the growing importance of the BRIC economies in world trade means that these markets are maturing from just being sources of cheap labour to sources of innovation. Five major technology changes are expected to open new opportunities for service providers – smart computing that are expected to drive industry-specific solutions, Software-as-a-Service (SaaS) to play a dominant role, social technologies empowering all elements of an industry's value chain including suppliers, employees, customers, and business partners, mobility lending access to anytime, anywhere information and analytics giving real-time intelligence. Another mega trend is around buyers of technology - the expanding role of IT means that the stakeholder has expanded beyond CIOs; employees now are influencing corporate tech adoption and IT's role is also shifting from a reactive back-end support operation to a proactive enabler of innovation.

UNAUDITED FINANCIAL RESULTS FOR THE THREE QUARTER AND YEAR ENDED 31^ST MARCH 2014

(Rs. In Millions)

Particulars	Quarter Ended ( Unaudited)		Year Ended ( Unaudited)
	31.03.2014	31.12.2013	31.03.2014
1. Income from operations
a) Net sales/ Income from operation (net of excise duty)	2279.000	2239.900	9084.800
b) Other operating income	49.100	26.700	133.200
Total income from Operations(net)	2328.100	2266.600	9218.000
2.Expenditure
a) Purchase of traded goods	18.400	13.000	69.300
b) Employee benefit expenses	1181.500	1249.400	4858.500
c) Depreciation and amortisation expense	74.600	75.400	295.300
c) Other expenses	413.600	444.200	1802.600
Total expenses	1688.100	1782.000	7025.700
3. Profit from operations before other income and financial costs	640.000	484.600	2192.300
4. Other income	(47.200)	68.000	402.100
5. Profit from ordinary activities before finance costs	592.800	552.600	2594.400
6. Finance costs	1.600	2.200	14.800
7. Net profit/(loss) from ordinary activities after finance costs but before exceptional items	591.200	550.400	2579.600
8. Exceptional item	0.000	0.000	0.000
9. Profit from ordinary activities before tax Expense:	591.200	550.400	2579.600
10.Tax expenses	145.700	106.400	707.400
11.Net Profit / (Loss) from ordinary activities after tax (9-10)	445.500	444.000	1872.200
12.Extraordinary Items (net of tax expense)	000	0.000	0.000
13.Net Profit / (Loss) for the period (11 -12)	445.500	444.000	1872.200
14.Paid-up equity share capital (Nominal value Rs.10/- per share)	437.700	437.700	437.700
15. Reserve excluding Revaluation Reserves as per balance sheet of previous accounting year
16. Earnings per share
Basic	10.19	10.16	42.88
Diluted	9.95	9.96	42.07

Particulars	Quarter Ended ( Unaudited)		Year Ended ( Unaudited)
	31.03.2014	31.12.2013	31.03.2014
A. Particulars of shareholding
1. Public Shareholding
- Number of shares	22637479	22611412	22637479
- Percentage of shareholding	51.72%	51.74%	51.72%
2. Promoters and Promoters group Shareholding-
a) Pledged /Encumbered
Number of shares	-	-	-
Percentage of shares (as a % of total shareholding of the promoter and promoter group)	-	-	-
Percentage of shares (as a % of total share capital of the company)	-	-	-
b) Non Encumbered
Number of shares	21130015	21092007	21130015
Percentage of shares (as a % of total shareholding of the promoter and promoter group)	100.00%	100.00%	100.00%
Percentage of shares (as a % of total share capital of the company)	48.28%	48.26%	48.28%
B. Investor Complaints
Pending at the beginning of the quarter	Nil
Receiving during the quarter	50
Disposed of during the quarter	50
Remaining unreserved at the end of the quarter	Nil

Particulars	Quarter Ended ( Unaudited)		Year Ended ( Unaudited)
	31.03.2014	31.12.2013	31.03.2014
Segment Revenue (net of inter segment revenue)
Application Management Services	4101.900	3858.100	15466.400
Infrastructure Management Services	1325.000	1365.100	5270.800
Products & Licences	598.500	696.900	2418.800
Net Sales / Income From Operations	6025.400	5920.100	23156.000
Segment Results Profit / (Loss) before tax and interest from each segment
Application Management Services	928.300	684.700	2974.800
Infrastructure Management Services	77.700	118.100	389.200
Products & Licences	0.800	16.700	45.200
Total	1006.800	819.500	3409.200
Less: Interest and finance cost	21.000	26.200	102.800
Less: Unallocable expenditure net of unallocable income	271.000	101.900	(92.100)
Total Profit before Tax	714.800	691.400	3398.500

Notes:

1. Effective April 01, 2013, the Company has reorganised its business into multiple reporting units and realigned the internal financial reporting system. In the context of AS-17, Segment Reporting, the Company has identified the following business segments:

Application Management Services

Infrastructure Management Services Products & Licenses

The above change is with effect from April 01, 2013, and accordingly previous periods/year segment data is regrouped.

2. Segment Capital Employed

Fixed assets used in the Company's business or liabilities contracted have not been identified to each of the reportable segments, as the fixed assets and the support services are used interchangeably between segments. Accordingly, no disclosure relating to total segment assets and liabilities has been made.

SOURCES OF FUNDS	31.03.2014
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	437.700
(b) Reserves & Surplus	6,005.000
(c) Money received against share warrants	0.000
(2) Share Application money pending allotment	0.000
Total Shareholders’ Funds (1) + (2)	6,442.700
(3) Non-Current Liabilities
(a) long-term borrowings	26.800
(b) Deferred tax liabilities (Net)	0.000
(c) Other long term liabilities	0.000
(d) long-term provisions	85.600
Total Non-current Liabilities (3)	112.400
(4) Current Liabilities
(a) Short term borrowings	0.000
(b) Trade payables	203.900
(c) Other current liabilities	467.100
(d) Short-term provisions	372.800
Total Current Liabilities (4)	1,043.800
TOTAL	7,598.900
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	850.300
(ii) Intangible Assets	0.000
(iii) Capital work-in-progress	0.000
(iv) Intangible assets under development	0.000
(b) Non-current Investments	96.600
(c) Deferred tax assets (net)	176.000
(d) Long-term Loan and Advances	243.600
(e) Other Non-current assets	0.000
Total Non-Current Assets	1,366.500
(2) Current assets
(a) Current investments	1,478.400
(b) Inventories	2,745.400
(c) Trade receivables	556.300
(d) Cash and cash equivalents	405.000
(e) Short-term loans and advances	1,047.300
(f) Other current assets	0.000
Total Current Assets	6,232.400
TOTAL	7,598.900

Notes:

1. The above financial results were reviewed and recommended by the Audit Committee and taken on record by the Board of Directors at its meeting held on 22^nd April 2014.

2. The Statutory Auditors have carried out the Audit for the year ended March 31, 2014.

3. Other Income (Net) for the quarter and year ended March 31, 2014 includes foreign exchange gain/(loss) of Rs.(88.800) Millions and Rs.173.300 Millions respectively.(Corresponding previous period: net gain/(loss) of Rs. (25.800) Millions and Rs.144.200 Millions). Other Income (Net) for the quarter ended December 31, 2013 includes foreign exchange gain/(loss) of Rs.(41.400) Millions.

4. During the quarter and year ended 31st March 2014, the Company issued 27,122 and 48,530 equity shares respectively, pursuant to the exercise of stock options by certain employees under the "2002 ESOP" and 36,953 and 1,37,976 equity shares under "2006 ESOP" stock option plan.

5. The Company vide a Board resolution dated October 22, 2013 has resolved to liquidate its subsidiary company in Japan, Zensar Advanced Technologies Limited, with effect from March 31, 2014. Accordingly, the subsidiary has ceased its operations effective March, 31 2014 and is in the process of completing the liquidation formalities. The impact on account of this closure on the operations of the Company is not material.

6. The figures for the fourth quarter are the balancing figures between the audited figures in respect of the full financial year and published to date figures upto the third quarter of the current financial year.

7. The Board of Directors at their meeting held on January 21, 2014 have declared an Interim Dividend of Rs.4.00 per Equity Share. In addition, the Board of Directors at their meeting held on April 22, 2014 have recommended a Final Dividend of Rs.6.00 per Equity Share, subject to the approval of shareholders.

8. Figures for the previous periods/year have been regrouped wherever necessary.

INDEX OF CHARGE:

Sr. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10290541	03/08/2011 *	2,272,720,000.00	Standard Chartered Bank	Crescenzo, 3 A/F, Plot No C 38 And 39,G Block, Bandra Kurla Complex, Mumbai, Maharashtra - 400051, India	B18441386
2	10130485	11/04/2012 *	150,000,000.00	The Royal Bank of Scotland N.V. (Formerly ABN Amro Bank N.V.)	327, M. G. Road, Camp, Pune, Maharashtra - 411001, India	B38180832
3	90084119	11/05/1994	16,500,000.00	UNION BANK OF INDIA	Industrial Finance Branch, Union Bank Bhawan; 1st Floor; 239; Backbay R., Bombay, Maharashtra - 400021, India	-
4	90082397	14/04/1994	38,248,064.00	INDIAN OVERSEAS BANK	762; Anna Salai, Madras, Tamil Nadu - 600002, India	-
5	90084104	31/03/1994	29,500,000.00	State Bank Of Travancore	Free Press Journal Marg, Nariman Point, Mumbai - 400021 Maharashtra, India	-
6	90089889	20/10/1993	30,000,000.00	UNION BANK OF INDIA	Industrial Finance Branch, Union Bank Bhawan; 239 ; V. Bhavan Marg N. Point, Mumbai - 400021 Maharashtra, India	-
7	90089834	07/04/1993 *	19,500,000.00	STATE BANK OF INDIA	Industrial Finance Branch; Killick House, Charanj IT Rai Marg; Fort, Mumbai - 400001 Maharashtra, India	-
8	90083936	19/01/1993	10,000,000.00	UNITED BANK OF INDIA	25; Sir P. M. Road, Bombay, Maharashtra - 400001, India	-
9	90089812	08/01/1993	16,500,000.00	STATE BANK OF IRAVANCORE	III Fres Press House; 11th Floor, Nariman Point, Mumbai - 400021, Maharashtra, India	-
10	90082371	10/08/1992	56,843,875.00	INDIAN OVERSEAS BANK	762; Anna Salai, Madras, Tamil Nadu - 600002, India	-
11	90089655	21/05/1991	30,500,000.00	STATE BANK OF INDIA	Commercial Branch, Justice G. N. Vaidya Marg, Bombay, Maharashtra - 400023, India	-
12	90089572	23/08/1990 *	36,500,000.00	STATE BANK OF INDIA	Commercial Branch, Justice G. N. Vaidya Marg, Bombay, Maharashtra - 400023, India	-
13	90082333	19/05/1989	56,285,640.00	INDIAN OVERSEAS BANK	762; Anna Salai, Madras, Tamil Nadu - 600002, India	-
14	90083524	16/03/1988	4,300,000.00	INDUSTRIAL DEVELOPMENT BANK OF INDIA	Nariman Bhawan; 227; Vinay K., Shah Marg; Nariman Point, Bombay, Maharashtra - 400021, India	-
15	90087589	24/03/1998 *	38,248,064.00	BANK OF MAHARASHTRA	Lokmangal; 1501, Shivajinagar, Pune, Maharashtra - 411005, India	-
16	90083424	03/03/1986	219,840.00	CITI BANK N. A.	293; Dr. D. N. Road, Bombay, Maharashtra - 400081, India	-
17	90089301	04/02/1986	987,000.00	BANK OF INDIA	70/80; M. G. Road, Bombay, Maharashtra - 400023, India	-
18	90089295	17/12/1985	4,620,000.00	BANK OF INDIA	Commercial Branch, Justice G. N. Vaidya Marg, Bombay, Maharashtra - 400023, India	-
19	90083417	29/09/1989 *	6,780,000.00	The Industrial Credit And Investment	163; Backbay Reclamation, Bombay, Maharashtra - 400020, India	-
20	90083310	18/08/1983 *	3,750,000.00	Life Insurance Corporation of India	Yogaksheme, Jeevan Bima Marg, Bombay, Maharashtra - 400021, India	-
21	90083301	18/08/1983 *	3,750,000.00	STATE BANK OF INDIA	Bombay Samachar Marg, Bombay, Maharashtra - 400023, India	-
22	90083291	18/08/1983 *	3,750,000.00	General Insurance Corporation Of India	Industrial Assurance Bldg., Churchgate, Bombay, MAharashtra - 400020, India	-
23	90083270	18/08/1983 *	3,750,000.00	The Industrial Credit and Investment Co. Of India Limited	163; Backbay Reclamation, Bombay, Maharashtra - 411020, India	-
24	90083262	24/10/1980	6,960,000.00	STATE BANK OF INDIA	Commercial Branch, Bank Street, Bombay, Maharashtra - 400023, India	-
25	90083259	04/10/1980	5,500,000.00	STATE BANK OF INDIA	Commercial Branch, Bank Street, Bombay, Maharashtra - 400023, India	-
26	90087533	28/05/1980	1,900,000.00	STATE BANK OF INDIA	Commercial Branch, Bank Street, Bombay, Maharashtra - 400023, India	-
27	90083235	07/04/1994 *	30,000,000.00	STATE BANK OF INDIA	Industrial Finance Branch, Killick House; Charanj IT Rai Marg, Bombay, Maharashtra - 411001, India	-
28	90089148	25/08/1978	5,500,000.00	STATE BANK OF INDIA	Bombay Samachar Marg, Mumbai - 400023, Maharashtra - India	-

FIXED ASSETS:

· Leasehold

· Freehold

· Buildings

· Improvement to Leasehold

· Premises

· Plant and Machinery

· Furniture, Fixture and Office Equipment

· Motor Vehicles

· Data Processing

· Equipment –Own Use

· Software Including Courseware

NEWS:

ZENSAR TECHNOLOGIES BAGS DEALS WORTH RS 1800.000 MILLIONS

IT firm Zensar Technologies BSE 2.17 % today said it has bagged deals worth over Rs.1800.000 Millions this month from the US market.

"It has been a good start to the calender year. All the new deals signed so far are in North America and span all Zensar services in the areas of ERP, application management and infrastructure management," Zensar

Technologies Vice Chairman and CEO Ganesh Natarajan said in a statement.

The US market accounts for close to 60 per cent of the exports of Indian IT services players.

The new deals signed include one with an access equipment manufacturer, while another is a large vendor consolidation agreement with a billion-dollar network equipment vendor.

"Our strategies for new client acquisition in the US region have begun to show significant traction helping provide the necessary boost to sales," Zensar Chief Executive and Head (Enterprise Transformation Business) Nitin Parab said.

The client acquisition in the US has been buoyant in all three verticals that Zensar is focusing on including manufacturing, retail and insurance, he added.

"The order book for the year ahead looks robust and we hope to further close some significant deals in the pipeline in the coming months," he said.

ZENSAR REVENUES UP 12.8% IN THIRD QUARTER

Zensar Technologies today announced its third Quarter results, reporting revenues of Rs.5920.100 Millions, a growth of 12.8% over the same quarter previous year of Rs.5247.800 Millions . The PAT is at Rs.507.100 Millions, a 4.1% increase over the same quarter previous year of Rs.487.000 Millions. The profit growth has been impacted due to currency fluctuations during the period.

The Infrastructure Management business of the company, which has been restructured over the last few quarters, has shown a sharp increase in dollar revenues of over 12% on a sequential quarter basis. The company reported 12 new customer wins in the quarter including over 27 million dollars of new business in IM.

Zensar’s focus on Continental Europe is also paying dividends. The territory has recorded robust growth of 11.1% over the same quarter previous year

Vivek Gupta, Chief Executive of Global Infrastructure Management business at Zensar Technologies said, “The Quarter has been upbeat with several new client additions, with the company’s focus on cloud, security and multi-vendor services reaping results. We have a robust pipeline and are confident of good conversion in 2014.”

Business Highlights

The new wins this Quarter include Infrastructure management services for

• a centralized government banking system
• a large payment processing company
• a producer of computer servers
• a large multinational engineering and electronics conglomerate corporation
• a significant multinational corporation selling telepresence and voice communication solutions
• a leader in providing comprehensive serialized data warehousing, traceability, and information management solutions

Zensar closes multi-million dollars in first month of 2014

US MARKETS SET FOR SIGNIFICANT GROWTH

Zensar Technologies, a leading software services and infrastructure provider has recorded significant wins amounting to over Rs.1800.000 Millions at the start of calendar year 2014

.

Dr. Ganesh Natarajan, Vice Chairman and CEO, Zensar Technologies said, “It has been a good start to the calendar year. All the new deals signed so far are in North America and span all Zensar services in the areas of ERP, Application Management and Infrastructure Management. US, Europe and Africa will continue to be key growth markets for Zensar.”

The new deals won include a leading manufacturer of access equipment, specialty vehicles and truck bodies partnering with them on their transformation initiatives; legacy transformation initiatives for a large energy company delivering top-quality, competitively priced solutions that helps utilities and retail energy suppliers, a multi-year maintenance and infrastructure contract for a leading North American real estate major, and a large biomedical laboratory instruments manufacturer.

The company has also closed a large vendor consolidation deal with a significant multibillion dollar network equipment manufacturer making Zensar the single vendor to run an end-to-end portfolio that includes strategy, development, operations and quality assurance services, with the assurance of future business in driving key collaboration strategies for the company. The engagement moved from the existing support portfolio to an end-to-end services scenario as also involving future roadmap exercises. In this strategic consolidation, the complete program was reduced by seven vendors to just one partner.

Nitin Parab, Chief Executive and Head,  Enterprise Transformation Business, Zensar said, “Our strategies for new client acquisition in the US region have begun to show significant traction helping provide the necessary boost to sales. The client acquisition in the US has been buoyant in all three verticals that we are focusing on including Manufacturing, Retail and Insurance. The order book for the year ahead looks robust and we hope to further close some significant deals in the pipeline in the coming months.”

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.59.06
UK Pound	1	Rs.99.36
Euro	1	Rs.80.62

INFORMATION DETAILS

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

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	7
PAID-UP CAPITAL	1~10	7
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	7
--PROFITABILIRY	1~10	8
--LIQUIDITY	1~10	7
--LEVERAGE	1~10	7
--RESERVES	1~10	8
--CREDIT LINES	1~10	7
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	YES
--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	YES
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		65

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.