MIRA INFORM REPORT

Report Date :

25.03.2014

IDENTIFICATION DETAILS

Name :	TUSSOR MACHINE TOOLS INDIA PRIVATE LIMITED

Registered Office :	1/247, PSG Foundry Premises, Avinashi Road, Neelambur Post, Coimbatore - 641062, Tamilnadu

Country :	India

Financials (as on) :	31.03.2013

Date of Incorporation :	05.01.2005

Com. Reg. No.:	18-011516

Capital Investment / Paid-up Capital :	Rs.20.000 Millions

CIN No.: [Company Identification No.]	U00292TZ2005PTC011516

TAN No.: [Tax Deduction & Collection Account No.]	CMBT04386E

Legal Form :	Private Limited Liability Company

Line of Business :	Manufacturer and Exporter of Lathes Machines.

No. of Employees :	150 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ca (12)

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Moderate

Payment Behaviour :	Slow

Litigation :	Clear

Comments :	Subject is an established company having moderate track record. There are accumulated losses recorded by the company which has eroded networth of the company. Business is active. Payment terms are slow. The company can be considered for business dealing on a safe and secured 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 – December 1, 2013

Country Name

Previous Rating

(30.09.2013)

Current Rating

(01.12.2013)

India

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

INDIAN ECONOMIC OVERVIEW

State-run banks hired nearly 300000 personnel including more than 94000 officers in the last four years, according to the Indian Banks Association. A study by trade lobby Assocham in September 2013 indicated that banks would need 800000 people in the next six years. It estimated that state-run lenders alone would hire 50000 people in 2013/14.

The Competition Commission of India plans to issue final orders within a broad time-frame of one year in matters where it decides to carry out detailed investigations. The number of complaints received by the watchdog which keeps tabs on unfair trade practices in the marketplace.

The government has detected custom tax evasion totaling around Rs 37920 mn in 14 states until December. Maharashtra topped the list of Rs 14190 mn followed by Andhra Pradesh at Rs 8140 mn, Gujarat Rs 5240 mn, Karnataka Rs 1670 mn and Tamilnadu Rs 1610 mn.

Connaught Place in New Delhi slipped four notches to become the world’s eighth most expensive office locations. London’s West End is the world’s most expensive office market.

There are 4.072 mn number of high value spenders under the scanner of the income tax department. The income tax department has information that they have made cash deposits announcing to Rs 1 mn or more in their savings bank accounts in the current financial year. It plans to check potential evasion before the closing of the financial year on March 31.

Estimated pharmaceutical sales in the country for 2016 is $ 27 bn. It is 14.4 per cent higher than a year ago. The life sciences and health care industry is up against challenges such as quality management, says a recent Deloitte report.

The gross non-performing assets of listed banks rose 35.2 % to Rs 2.43 lakh crore during the first three months of the financial year. In absolute terms, the 40 listed banks added Rs 3386 crore to their gross NPAs in nine months with the State Bank of India leading with the State Bank of India leading with an accretion of Rs 16610 crore.

The inflow of smuggled gold doubled in 2013 following restrictions to curb the supply from official channels to contain the current account deficit. China surpassed India in the demand for gold for the first time in 2013 due to liberalization of gold trading norms by its local governments.

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 (GENERAL DETAILS)

Name :	Mr. V. Saravan Kumar
Designation :	Director
Contact No.:	91-9364597551
Date :	21.03.2014

LOCATIONS

Registered Office/ Factory :	1/247, PSG Foundry Premises, Avinashi Road, Neelambur Post, Coimbatore - 641062, Tamilnadu, India
Tel. No.:	91-422-3200183
Mobile No.:	91-9364597551 (Mr. V. Saravan Kumar)
Fax No.:	Not Available
E-Mail :	nrdroc@gmail.com info@tussorindia.com finanace1@tussorindia.com
Website :	http://www.tussorindia.com

DIRECTORS

As on 30.09.2013

Name :

Mr. Maniraj Vellingiri

Designation :

Director

Address :

156 – E, Thennampalayam, Annur Post, Avinashi, Coimbatore – 641653, Tamilnadu, India

Date of Birth/Age :

12.06.1978

Date of Appointment :

02.04.2013

DIN No.:

02393584

Other Directorship:

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

U74990TZ2008FTC014893

SILVER CRESCENT TECHNICAL ASSISTANCE PRIVATE LIMITED

Director

01/12/2008

Active

U00292TZ2005PTC011516

TUSSOR MACHINE TOOLS INDIA PRIVATE LIMITED

Director

02/04/2013

Active

Name :

Mr. V. Saravan Kumar

Designation :

Director

MAJOR SHAREHOLDERS

As on 30.09.2013

Names of Shareholders		No. of Shares
Tussor S.L., Andorra		199999
Juan Antonio Pinacho		1
Total		200000

Equity Share Break up (Percentage of Total Equity)

As on 30.09.2013

Category	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	99.99
Directors or relatives of Directors	0.01
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Exporter of Lathes Machines.

Exports :
Products :	Lathes Machines
Countries :	USA UK Middle East Asian Country

Imports :
Products :	Raw Material
Countries :	Germany Spain

GENERAL INFORMATION

Suppliers :

Freeze Engineers
Om Shanti Technologies
Airtel
AP Enterprises
Ashutosh D W D
Ace Print Shop
Acme Fasteners Private Limited
Advance Tec
Airtech Private Limited
Aishwaraya Enterprises
Apex Industries
Asia Engineering
Auto - Mech Tools
Axis Technologies
Bearing And Chain Centre
W L Tech Tools
Bearing International
Bhagavathi Timbers
Bhandari Precision Forgings Private Limited
C R Swaminathan
Classic Tooling
Concept and Devices
Cortech Engineer

Customers :

Cri Pumps Private Limited
Deepwel Engineers
Deetee Industries Limited
Excellent Consulting
Fiainger Engineering
Fivebros Forgings Private Limited
Flex0 Tech Products
Indo Vacuum Technologies Private Limited
L and T MHI Boilers Private Limited
Micro Engineers
Minar Industries
Paranthaman Exporters
PSP Industries
RDS Impex and Sales Promotion Private Limited
Sand T Engineers
S M T Asia Company Limited (Thailand)
S Paranthaman Exporters
Shri Nanthini Traders
Sri Yantra Engineering Agencies Private Limited

No. of Employees :

150 (Approximately)

Bankers :

State Bank of India
HSBC Bank Limited

Facilities :

SECURED LOANS	31.03.2013 Rs. In Millions	31.03.2012 Rs. In Millions
Long Term Borrowings
Tussor S. L., Andorra, Spine	35.047	84.857
Total	35.047	84.857


Banking Relations :	--

Auditors :
Name :	N R Doraiswami and Company Chartered Accountants
Address :	Manchillu, 48, Race Cource, Coimbatore – 641018, Tamilnadu, India
PAN No.:	AABFN5721A

Holding Company :	Tussor S.L., Andorra

Other Related Parties :	Metosa, Spain Jonc S.L., Andorra

CAPITAL STRUCTURE

As on 30.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount

200000	Equity Shares	Rs.100/- each	Rs.20.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

200000	Equity Shares	Rs.100/- each	Rs.20.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	20.000	20.000	20.000
(b) Reserves & Surplus	(349.774)	(222.543)	(191.523)
(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)	(329.774)	(202.543)	(171.523)

(3) Non-Current Liabilities
(a) long-term borrowings	35.047	84.857	35.047
(b) Deferred tax liabilities (Net)	0.000	0.000	0.000
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	35.047	84.857	35.047

(4) Current Liabilities
(a) Short term borrowings	0.000	0.000	0.000
(b) Trade payables	157.620	163.197	142.201
(c) Other current liabilities	602.412	465.975	525.513
(d) Short-term provisions	0.000	0.000	0.878
Total Current Liabilities (4)	760.032	629.172	668.592

TOTAL	465.305	511.486	532.116

II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	170.798	194.517	222.749
(ii) Intangible Assets	2.003	1.240	1.405
(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	0.000	0.000
(c) Deferred tax assets (net)	69.158	118.349	103.649
(d) Long-term Loan and Advances	5.561	5.561	5.336
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	247.520	319.667	333.139

(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	154.355	152.469	162.788
(c) Trade receivables	3.429	11.994	2.421
(d) Cash and cash equivalents	27.095	4.288	11.310
(e) Short-term loans and advances	14.091	3.513	4.112
(f) Other current assets	18.815	19.555	18.346
Total Current Assets	217.785	191.819	198.977

TOTAL	465.305	511.486	532.116

PROFIT & LOSS ACCOUNT

	PARTICULARS			31.03.2013	31.03.2012	31.03.2011
	SALES
		Income		238.722	246.486	179.959
		Other Income		0.307	0.807	0.476
		TOTAL		239.029	247.293	180.435

Less	EXPENSES			289.677	261.745	199.016

	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION			(50.648)	(14.452)	(18.581)

Less	DEPRECIATION/ AMORTISATION			27.391	31.215	35.255

	PROFIT/(LOSS) BEFORE TAX			(78.039)	(45.667)	(53.836)

Less	TAX			49.191	(14.647)	(33.548)

	PROFIT/(LOSS) AFTER TAX			(127.230)	(31.020)	(20.288)

Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD			(222.543)	(191.523)	(171.235)

	BALANCE CARRIED TO THE B/S			(349.773)	(222.543)	(191.523)

	EARNINGS IN FOREIGN CURRENCY
			Export Earnings	62.401	108.612	61.334
	TOTAL EARNINGS			62.401	108.612	61.334

	Earnings Per Share (Rs.)			(636.15)	(155.10)	(101.44)

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	(53.23)	(12.54)	(11.24)

Net Profit Margin (PBT/Sales)	(%)	(32.69)	(18.53)	(29.92)

Return on Total Assets (PBT/Total Assets}	(%)	(19.70)	(11.62)	(12.56)

Return on Investment (ROI) (PBT/Networth)		0.24	0.23	0.31

Debt Equity Ratio (Total Debt /Networth)		(0.11)	(0.42)	(0.20)

Current Ratio (Current Asset/Current Liability)		0.29	0.30	0.30

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	20.000	20.000	20.000
Reserves & Surplus	(191.523)	(222.543)	(349.774)
Net worth	(171.523)	(202.543)	(329.774)

long-term borrowings	35.047	84.857	35.047
Short term borrowings	0.000	0.000	0.000
Total borrowings	35.047	84.857	35.047
Debt/Equity ratio	(0.204)	(0.419)	(0.106)

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	179.959	246.486	238.722
		36.968	-3.150

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	179.959	246.486	238.722
Profit	(20.288)	(31.020)	(127.230)
	(11.27%)	(12.58%)	(53.30%)

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 two years	Yes
12]	Profitability for last two 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	Yes
18]	Major customers	Yes
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	Yes
21]	Market information	----------
22]	Litigations that the firm / promoter involved in	----------
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	----------
26]	Buyer visit details	----------
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	Yes
29]	Last accounts filed at ROC	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

Note:

The registered office of the company has been shifted from S.F. No. 130/1 and 130/2, Neelambur Village, Coimbatore – 641014, Tamilnadu, India to the present address w.e.f. 06.08.2013

OPEARATION:

During the year, the company has achieved a total sales turnover of Rs.238.722 Millions as against Rs.246.486 Millions during the previous financial year. The company has sold 291 lathes during the year as compared to the previous years' figure of 357 lathes.

NOTE: NO CHARGES EXIST FOR THE COMPANY

FIXED ASSETS:

· Land

· Building

· Plant and Machinery

· Computer

· Vehicles

· Furniture and Fixture

CMT REPORT (Corruption, Money Laundering & Terrorism]

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

1] INFORMATION ON DESIGNATED PARTY

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

2] Court Declaration :

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

3] Asset Declaration :

No 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.60.70
UK Pound	1	Rs.100.10
Euro	1	Rs.83.81

INFORMATION DETAILS

Information Gathered by :	SVA

Report Prepared by :	VNT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	2
PAID-UP CAPITAL	1~10	2
OPERATING SCALE	1~10	1
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	2
--PROFITABILIRY	1~10	1
--LIQUIDITY	1~10	1
--LEVERAGE	1~10	1
--RESERVES	1~10	1
--CREDIT LINES	1~10	1
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO

TOTAL		12

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.

MIRA INFORM REPORT

Unit