MIRA INFORM REPORT

Report Date :

14.06.2014

IDENTIFICATION DETAILS

Name :	3F INDUSTRIES LIMITED (w.e.f. 08.08.2012)
Formerly Known As :	FOODS FATS AND FERTILISERS LIMITED
Registered Office :	Tanuku Road, West Godavari District, Tadepallegudem, - 534102, Andhra Pradesh
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	10.05.1960
Com. Reg. No.:	01-000888
Capital Investment / Paid-up Capital :	Rs. 106.167 Millions
CIN No.: [Company Identification No.]	U24120AP1960PLC000888
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of Edible Oil and Allied Products.
No. of Employees :	Not Available

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 5600000
Status :	Satisfactory
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. Financial position of the company is good. Trade relations are reported as fair. Business is active. Payments terms are reported to be regular and as per commitment. The company can be considered normal for 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.

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

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.2,453.2 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	CARE
Rating	Long term bank facilities: “BBB+”
Rating Explanation	Moderate degree of safety. It carry moderate credit risk.
Date	07.02.2014
Rating Agency Name	CARE
Rating	Short term bank facilities: “A2”
Rating Explanation	Strong degree of safety and low credit risk.
Date	07.02.2014

RBI DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

INFORMATION PARTED BY

Name :	Mr. Nagabhushanam
Designation :	Manager
Contact No.:	91-9346911982
Date :	12.06.2014

LOCATIONS

Registered Office/ Factory :	Tanuku Road, West Godavari District, Tadepallegudem, - 534102, Andhra Pradesh, India
Tel. No.:	91-8818-222006
Mobile No.:	91-9346911982 (Mr. Nagabhushanam)
Fax No.:	Not Available
E-Mail :	tpg@ttt.com
Location :	Owned

DIRECTORS

As on: 30.09.2013

Name :	Mr. Goenka Shivbhagwan
Designation :	Whole time Director
Address :	47, Kasturi Avenue MRC Nagar, R. A. Puram, Chennai – 600028, Tamilnadu, India
Date of Birth/Age :	08.06.1938
Qualification :	BCOM
Date of Appointment :	10.05.1960
PAN No.:	AABPG4292P
DIN No.:	00350224
Name :	Mr. Goenka Bharatkumar
Designation :	Whole time Director
Address :	W-149, Greater Kailash – II, New Delhi – 110048, India
Date of Birth/Age :	10.05.1943
Qualification :	Graduate
Date of Appointment :	22.03.1980
PAN No.:	AACPG0206G
DIN No.:	01290474
Name :	Mr. Goenka Sitaram
Designation :	Whole time Director
Address :	Now No. 57, 2^nd Main Road, R. A. Puram Chennai – 600028, Tamilnadu, India
Date of Birth/Age :	14.06.1947
Qualification :	BSC,MBA
Date of Appointment :	09.05.1997
PAN No.:	ACBPG6542Q
DIN No.:	00552269
Name :	Mr. Goenka Sushil
Designation :	Whole time Director
Address :	PB No. 15, Tenuku Road, Tedepelligudem – 1, India
Date of Birth/Age :	10.07.1954
Qualification :	BTECH
Date of Appointment :	09.05.1997
PAN No.:	AACPG5925A
DIN No.:	00533097
Name :	Mr. Goenka Om Prakash
Designation :	Whole time Director
Address :	PB No. 15, Tenuku Road, Tedepelligudem – 1, India
Date of Birth/Age :	12.12.1941
Qualification :	BSC
Date of Appointment :	23.12.2004
PAN No.:	AABPG4291Q
DIN No.:	00533274
Name :	Mr. Saraogi Vinod Kumar
Designation :	Director
Address :	51 A, Chamiere Road, R. A. Puram, Chennai – 600028, Tamilnadu, India
Date of Birth/Age :	12.07.1955
Qualification :	Graduate
Date of Appointment :	25.02.1988
DIN No.:	00496254
Name :	Mr. Jatia Shiv Kumar
Designation :	Director
Address :	B50, Gulmohar Park, New Delhi – 110049, India
Date of Birth/Age :	10.10.1952
Qualification :	Graduate
Date of Appointment :	06.11.1989
DIN No.:	00006187
Name :	Mr. Anand Chordie
Designation :	Director
Address :	22, Kalathipillai St. Sowkarpet, Chennai – 600079, Tamilnadu, India
Date of Birth/Age :	20.10.1948
Date of Appointment :	06.01.2005
DIN No.:	06621377

KEY EXECUTIVES

Name :	Mr. R. Chandra Mouli
Designation :	Secretary
Address :	8/0, V Ramachandran, 135 A, SRP Colony, Mani Road, Jawahar Nagar, Chennai – 600082, Tamilnadu, India
Date of Birth/Age :	20.05.1956
Date of Appointment :	26.04.2000
PAN No.:	AAFPR5453F

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on: 30.09.2013

SHAREHOLDERS DETAILS FILE ATTACHED

Equity Share Break up (Percentage of Total Equity)

As on: 30.09.2013

Category	Percentage
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]	6.39
Directors or relatives of directors	93.60
Other top fifty shareholders	0.01
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Edible Oil and Allied Products.

Products :

ITC Code	Products or Services
15119090	Refined Ricebran Oil
15162091	Vanaspathi
38231190	Stearic Acid

Terms :

Selling :

L/C and Credit

Purchasing :

L/C and Credit

GENERAL INFORMATION

Customers :

Retailers and End Users

No. of Employees :

Not Divulged

Bankers :

· Standard Chartered Bank, No.19, Rajaji Salai, Chennai - 600001, Tamil Nadu, India

· State Bank of Hyderabad, Industrial Finance Branch, #45, Second Line Beach, Chennai - 600001, Tamil Nadu, India

· Axis Bank Limited, Karumuthu Nilayam, Ground Floor, 192, Anna Salai, Chennai - 600002, Tamil Nadu, India

· Industrial Development Bank of India, IDBI Tower Cuffe Parade, Colaba, Mumbai - 400005, Maharashtra, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2013	As on 31.03.2012
Long term borrowings
Term loans	865.935	676.578
Other loans and advances	0.514	0.618
Short term borrowings
Term loans from banks	0.000	200.000
Working capital loans from banks	40.566	0.000
Loans repayable on demand	0.000	76.346
Other loans and advances	0.000	93.833
Total	907.015	1047.375

Banking Relations :	--
Auditors :
Name :	Brahmayya and Company Chartered Accountants
Address :	33-25-33/B, Surya Rao Pet, Vijayawada, India
PAN No.:	AADFB8032G
Subsidiaries :	· VIATION energy Private Limited · Asia Pacific Commodities Limited · 3F Oil Palm Agrotech Private Limited · 3F Ghana limited · Ceylone Specialty Fats Private Limited · Chakranemi Infrastructure Private Limited · 3F Ghana trading limited · 3F Benin Ssarl · 3F Mali Sarl · 3F Ghana Commodities Limited
Fellow Subsidiary company:	Parker International Pte. Limited

CAPITAL STRUCTURE

As on: 30.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
13000000	Equity Shares	Rs.10/- each	Rs. 130.000 Millions

Issued, Subscribed :

No. of Shares	Type	Value	Amount
10616725	Equity Shares	Rs.10/- each	Rs. 106.167 Millions

Paid-up Capital :

No. of Shares	Type	Value	Amount
9656725	Equity Shares	Rs.10/- each	Rs. 96.567 Millions

As on: 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
13000000	Equity Shares	Rs.10/- each	Rs. 130.000 Millions

Issued, Subscribed & Paid-up Capital:

No. of Shares	Type	Value	Amount
10616725	Equity Shares	Rs.10/- each	Rs. 106.167 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	106.167	106.167	106.167
(b) Reserves & Surplus	1294.366	1132.214	1007.873
(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)	1400.533	1238.381	1114.040
(3) Non-Current Liabilities
(a) long-term borrowings	1181.131	940.871	476.242
(b) Deferred tax liabilities (Net)	268.972	193.658	199.220
(c) Other long term liabilities	20.339	23.207	20.240
(d) long-term provisions	253.613	207.896	237.658
Total Non-current Liabilities (3)	1724.055	1365.632	933.360
(4) Current Liabilities
(a) Short term borrowings	363.107	661.129	347.191
(b) Trade payables	2527.121	2265.098	1180.214
(c) Other current liabilities	432.683	296.496	219.378
(d) Short-term provisions	87.784	85.581	60.019
Total Current Liabilities (4)	3410.695	3308.304	1806.802
TOTAL	6535.283	5912.317	3854.202
I. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	2431.306	1046.107	977.433
(ii) Intangible Assets	3.134	4.180	5.225
(iii) Capital work-in-progress	194.098	703.208	60.059
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	418.755	362.656	330.281
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	374.611	425.001	421.611
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	3421.904	2541.152	1794.609
(2) Current assets
(a) Current investments	0.000	36.358	0.000
(b) Inventories	1882.523	1204.021	1000.476
(c) Trade receivables	230.428	300.064	340.515
(d) Cash and cash equivalents	256.022	1279.088	150.738
(e) Short-term loans and advances	732.337	546.633	565.919
(f) Other current assets	12.069	5.001	1.945
Total Current Assets	3113.379	3371.165	2059.593
TOTAL	6535.283	5912.317	3854.202

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2013	31.03.2012	31.03.2011
	SALES
	Income	9001.131	5932.410	5436.786
	Other Income	80.419	72.974	51.525
	TOTAL (A)	9081.550	6005.384	5488.311
Less	EXPENSES
	Cost of Materials Consumed	5770.152	3567.392	3158.362
	Purchases of Stock-in-Trade	1904.225	1008.806	673.519
	Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(425.955)	(40.999)	116.069
	Employees benefits expense	204.255	181.362	179.234
	Other expenses	1083.179	891.015	874.293
	Exceptional items	5.667	0.000	0.000
	TOTAL (B)	8541.523	5607.576	5001.477
Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (C)	540.027	397.808	486.834
Less	FINANCIAL EXPENSES (D)	199.452	128.069	120.926
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)	340.575	269.739	365.908
Less/ Add	DEPRECIATION/ AMORTISATION (F)	99.710	80.624	75.866
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)	240.865	189.115	290.042
Less	TAX (H)	78.714	64.774	129.213
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)	162.151	124.341	160.829
	EARNINGS IN FOREIGN CURRENCY
	F.O.B. Value of Exports	24.112	17.477	18.019
	TOTAL EARNINGS	24.112	17.477	18.019
	Earnings / (Loss) Per Share (Rs.)	0.00	11.71	17.21

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	1.79	2.07	2.93
Net Profit Margin (PBT/Sales)	(%)	2.68	3.19	5.33
Return on Total Assets (PBT/Total Assets}	(%)	4.07	3.90	8.37
Return on Investment (ROI) (PBT/Networth)		0.17	0.15	0.26
Debt Equity Ratio (Total Debt/Networth)		1.10	1.29	0.74
Current Ratio (Current Asset/Current Liability)		0.91	1.02	1.14

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	106.167	106.167	106.167
Reserves & Surplus	1007.873	1132.214	1294.366
Net worth	1114.040	1238.381	1400.533
long-term borrowings	476.242	940.871	1181.131
Short term borrowings	347.191	661.129	363.107
Total borrowings	823.433	1602.000	1544.238
Debt/Equity ratio	0.739	1.294	1.103

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	5436.786	5932.410	9001.131
		9.116	51.728

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	5436.786	5932.410	9001.131
Profit	160.829	124.341	162.151
	2.96%	2.10%	1.80%

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check List by Info Agents	Available in Report (Yes / No)
1]	Year of Establishment	Yes
2]	Locality of the firm	Yes
3]	Constitutions of the firm	Yes
4]	Premises details	No
5]	Type of Business	Yes
6]	Line of Business	Yes
7]	Promoter's background	Yes
8]	No. of employees	Yes
9]	Name of person contacted	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last three years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	--
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	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	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

UNSECURED LOAN

(Rs. In Millions)

Particulars	As on 31.03.2013	As on 31.03.2012
Long term borrowings
Deferred payment liabilities	184.342	60.057
Deposits	130.340	113.951
Other loans and advances	0.000	89.667
Short term borrowings
Deposits	189.875	171.906
Loans and advances from related parties	132.666	119.044
Total	637.223	554.625

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10444963	27/08/2013	660,270,000.00	STANDARD CHARTERED BANK	19, RAJAJI SALAI, CHENNAI, TAMIL NADU - 600001, INDIA	B83032680
2	10444965	27/08/2013	660,270,000.00	STANDARD CHARTERED BANK	19, RAJAJI SALAI, CHENNAI, TAMIL NADU - 600001, INDIA	B83033134
3	10379706	15/02/2013 *	450,000,000.00	AXIS BANK LIMITED	KARIMUTHU NILAYAM, GROUND FLOOR, 192, ANNA SALAI,  CHENNAI, TAMIL NADU - 600002, INDIA	B72514482
4	10243028	27/09/2010	146,190,000.00	STANDARD CHARTERED BANK	19, RAJAJI SALAI, CHENNAI, TAMIL NADU - 600001, INDIA	A95917399
5	10214413	11/11/2013 *	680,000,000.00	STANDARD CHARTERED BANK	NO.19, RAJAJI SALAI, CHENNAI, TAMIL NADU - 600001, INDIA	B89360911
6	10207546	28/05/2013 *	770,000,000.00	AXIS BANK LIMITED	KARUMUTHU NILAYAM, GROUND FLOOR,, 192, ANNA SALAI, CHENNAI, TAMIL NADU - 600002, INDIA	B76517929
7	10206649	28/05/2013 *	500,000,000.00	ING VYSYA BANK LIMITED	185, ANNA SALAI, NEAR TVS, CHENNAI, TAMIL NADU - 600002, INDIA	B76517101
8	10091332	26/02/2008	50,000,000.00	AP STATE FINANCIAL CORPORATION	D.NO.5-9-194, CHIRAG ALI LANE, HYDERABAD, ANDHRA PRADESH - 500001, INDIA	A33223900
9	10050531	24/04/2007	150,000,000.00	ANDHRA BANK	MOUNT ROAD BRANCH, 95, MOUNT ROAD, CHENNAI, TAMIL  NADU - 600002, INDIA	A14734495
10	10045317	28/05/2013 *	1,613,000,000.00	STATE BANK OF HYDERABAD	INDUSTRIAL FINANCE BRANCH, #45, SECOND LINE BEACH, CHENNAI, TAMIL NADU - 600001, INDIA	B76822154

* Date of charge modification

FIXED ASSETS

· Land

· Buildings

· Plant and equipment

· Factory equipment’s

· Furniture and fixtures

· Vehicles

· Motor vehicles

· Office equipment

· Computer equipment’s

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. 59.48
UK Pound	1	Rs. 100.93
Euro	1	Rs. 80.71

INFORMATION DETAILS

Information Gathered by :	PLK
Analysis Done by :	DIV
Report Prepared by :	DPH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	7
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--CREDIT LINES	1~10	5
--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.