MIRA INFORM REPORT

Report Date :

08.05.2014

IDENTIFICATION DETAILS

Name :	CYMBIO PHARMA PRIVATE LIMITED
Registered Office :	No. 23/4, N H 7, Venkakala, Yelahanka, Bangalore - 560064, Karnataka
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	14.09.1998
Com. Reg. No.:	08-024210
Capital Investment / Paid-up Capital :	Rs.25.000 Millions
CIN No.: [Company Identification No.]	U85110KA1998PTC024210
PAN No.: [Permanent Account No.]	AABCC0047R
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Nutraceuticals Products.
No. of Employees :	40 (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 and Delayed
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. The company has incurred huge accumulated losses, which has eroded the net worth of the company. Liquidity position of the company seems to be under pressure. Business is active. Payment terms are slow but delayed. The company can be considered for business dealings on 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 – 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.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.

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. Subaram
Designation :	Senior Accounts Manager
Contact No.:	91-9008989366
Date :	05.05.2014

LOCATIONS

Registered Office /Factory :	No. 23/4, N H 7, Venkakala Yelahanka Hobli, Yelajanka, Bangalore - 560064, Karnataka, India
Tel. No.:	91-80-28571353 / 28571845 / 28563353
Mobile No.:	91-9008989366 (Mr. Subaram)
Fax No.:	91-80-28461051 / 28563845
E-Mail :	sadyojatha@karlegroup.co marketingcymbio@karlegroup.com http://www.cymbio.co.in vinayakanp@karlegroup.com siyengar@karlegroup.com nagamani@karlegroup.com
Website :	http://www.cymbio.co.in
Corporate Office :	No.151, Industrial Suburb, Yeshvantpur, Bangalore – 560021, Karnataka, India
Tel. No.:	91-80-41285301
Fax No.:	91-80-41285312

DIRECTORS

As on 26.09.2013

Name :

Mr. Sudarshan Karle

Designation :

Director

Address :

261, 4th Main, Mahalaxmi Layout, Bangalore - 560096, Karnataka, India

Date of Birth/Age :

15.12.1953

Date of Appointment :

24.05.2003

DIN No.:

00291428

Other Directorship:

S. No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U45201KA2001PTC028477	LAKESHORE DEVELOPMENTS PRIVATE LIMITED	Director	18/01/2001	18/01/2001	-	Active	NO
2	U85110KA1998PTC024210	CYMBIO PHARMA PRIVATE LIMITED	Director	24/05/2003	24/05/2003	-	Active	NO
3	U24232KA2004PTC035082	BRAIN 'N' BEYOND BIOTECH PRIVATE LIMITED	Director	23/11/2004	23/11/2004	-	Active	NO
4	U18101KA2005PTC035589	KARLE SINGLUN INTERNATIONAL PRIVATE LIMITED	Director	11/02/2005	11/02/2005	-	Strike off	NO
5	U24232KA2006PTC039965	KARLE HEALTH SCIENCES PRIVATE LIMITED	Director	14/07/2006	14/07/2006	-	Active	NO
6	U21014KA2007PTC043518	KARLE PACKAGING PRIVATE LIMITED	Director	01/08/2007	01/08/2007	-	Active	NO
7	U73200KA2007PTC043706	ETI KARLE CLINICAL PRIVATE LIMITED	Director	27/08/2007	27/08/2007	-	Active	NO
8	U45201KA2007PTC044783	KARLE BUSINESS PARK PRIVATE LIMITED	Director	26/12/2007	26/12/2007	-	Active	NO
9	U45201KA2007PTC044782	KARLE TECH PARK PRIVATE LIMITED	Director	26/12/2007	26/12/2007	-	Active	NO
10	U45201KA2008PTC045421	KARLE INFRA PRIVATE LIMITED	Director	27/02/2008	27/02/2008	-	Active	NO
11	U51909KA2008PTC047741	KARLE INTERNATIONAL PRIVATE LIMITED	Director	10/09/2008	10/09/2008	-	Active	NO
12	U45400GA2011PTC006833	KARLE HOMES PRIVATE LIMITED	Director	29/11/2011	29/11/2011	-	Active	NO

Name :

Mr. Mahendra Karle

Designation :

Director

Address :

26, Castle Rock Apt, Jaymahal, Bangalore, Karnataka, India

Date of Birth/Age :

01.01.1956

Date of Appointment :

24.05.2003

DIN No.:

00291472

Other Directorship:

S. No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U72200KA2000PTC026636	NCMR TECHNOLOGIES PRIVATE LIMITED	Director	16/03/2000	16/03/2000	05/06/2008	Active	NO
2	U45201KA2001PTC028477	LAKESHORE DEVELOPMENTS PRIVATE LIMITED	Director	18/01/2001	18/01/2001	-	Active	NO
3	U85110KA1998PTC024210	CYMBIO PHARMA PRIVATE LIMITED	Director	24/05/2003	24/05/2003	-	Active	NO
4	U24232KA2004PTC035082	BRAIN 'N' BEYOND BIOTECH PRIVATE LIMITED	Director	23/11/2004	23/11/2004	-	Active	NO
5	U18101KA2005PTC035589	KARLE SINGLUN INTERNATIONAL PRIVATE LIMITED	Director	18/02/2005	18/02/2005	-	Strike off	NO
6	U24232KA2006PTC039965	KARLE HEALTH SCIENCES PRIVATE LIMITED	Director	14/07/2006	14/07/2006	-	Active	NO
7	U21014KA2007PTC043518	KARLE PACKAGING PRIVATE LIMITED	Director	01/08/2007	01/08/2007	-	Active	NO
8	U73200KA2007PTC043706	ETI KARLE CLINICAL PRIVATE LIMITED	Director	27/08/2007	27/08/2007	-	Active	NO
9	U45201KA2007PTC044783	KARLE BUSINESS PARK PRIVATE LIMITED	Director	26/12/2007	26/12/2007	-	Active	NO
10	U45201KA2007PTC044782	KARLE TECH PARK PRIVATE LIMITED	Director	26/12/2007	26/12/2007	-	Active	NO
11	U45201KA2008PTC045421	KARLE INFRA PRIVATE LIMITED	Director	27/02/2008	27/02/2008	-	Active	NO
12	U51909KA2008PTC047741	KARLE INTERNATIONAL PRIVATE LIMITED	Director	10/09/2008	10/09/2008	-	Active	NO
13	U45400GA2011PTC006833	KARLE HOMES PRIVATE LIMITED	Director	29/11/2011	29/11/2011	-	Active	NO

Name :

Mr. Foana Karle

Designation :

Director

Address :

261, 4th Main, Mahalaxmi Layout, Bangalore - 560096, Karnataka, India

Date of Birth/Age :

23.04.1952

Date of Appointment :

24.05.2004

DIN No.:

00291559

Other Directorship:

S. No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U85110KA1998PTC024210	CYMBIO PHARMA PRIVATE LIMITED	Director	24/05/2004	24/05/2004	-	Active	NO
2	U45201KA2008PTC045421	KARLE INFRA PRIVATE LIMITED	Director	30/09/2011	30/09/2011	-	Active	NO

Name :

Ms. Amritha A Karle

Designation :

Director

Address :

38, 30th Cross, Jaynagar, 8th Block, Bangalore, Karnataka, India

Date of Birth/Age :

06.08.1955

Date of Appointment :

07.04.2006

DIN No.:

00291632

Other Directorship:

S. No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
	U27109KA1982PTC004889	GLORIA EXTRUSIONS PRIVATE LIMITED	Director	28/09/1992	28/09/1992	12/05/2009	Active	NO
2	U31109KA1987PTC008444	PARAMOUNT CONNECTOR SYSTEMS PRIVATE LIMITED	Director	11/04/1999	11/04/1999	-	Active	NO
3	U85110KA1998PTC024210	CYMBIO PHARMA PRIVATE LIMITED	Director	07/04/2006	07/04/2006	-	Active	NO

Name :

Mr. Kyung Seon Cho

Designation :

Director

Address :

26, Castle Rock Apt, Jaymahal, Bangalore, Karnataka, India

Date of Birth/Age :

22.03.1966

Date of Appointment :

24.05.2004

DIN No.:

02687809

Other Directorship:

S. No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U85110KA1998PTC024210	CYMBIO PHARMA PRIVATE LIMITED	Director	24/05/2004	24/05/2004	-	Active	NO
2	U45201KA2008PTC045421	KARLE INFRA PRIVATE LIMITED	Director	30/09/2011	30/09/2011	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Subaram
Designation :	Senior Accounts Manager

MAJOR SHAREHOLDERS

As on 26.09.2013

Names of Shareholders	No. of Shares
K C Ajith	2965
Sudhir B Chellappa	8625
K C Ashok	317547
Jayashree Sharma	15890
K R Chandrasekhar	18975
Lalitha Chandrasekhar	1875
Balakrishna	10800
Sunil Kumar	94373
Sudarshan Karle	1014474
Mahendra Karle	1014476
Total	2500000

Equity Share Break up (Percentage of Total Equity)

As on 26.09.2013

Category	Percentage
Directors or relatives of Directors	95.44
Other	4.56
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Exporter of Nutraceuticals Products.
Exports :
Products :	Nutraceuticals Products
Countries :	USA
Terms :
Selling :	Cash and Advance Payment
Purchasing :	Cash and Advance Payment

GENERAL INFORMATION

No. of Employees :

40 (Approximately)

Bankers :

State Bank of India

Facilities :

SECURED LOANS	31.03.2013 Rs. In Millions	31.03.2012 Rs. In Millions
Long Term Borrowings
From Bank
Term loan from State Bank of India	0.000	6.996
Short Term Borrowings
From Bank
Cash credit facility from State Bank of India	3.001	1.367
Total	3.001	8.363

Notes:

Long Term Borrowings

Security: The above term loan is secured by hypothecation of fixed assets and personal guarantee of the directors.

Terms of repayments: The above term loans is repayable in 30 monthly instalment of varying amounts commencing from along with interest @ 14.00% p.a.

Short Term Borrowings

Security: The above term loan is secured by hypothecation of inventories, book debts and personal guarantee of the directors.

Terms of repayments: The above term loans is repayable on demand by the banks.

Banking Relations :	--
Auditors :
Name :	K. V. Radhakrishna and Company Chartered Accountants
Address :	No.12, Narang Chambers, Narasimha Raja Road, Bangalore – 560002, Karnataka, India
Tel. No.:	91-80-22218957 / 58
E-Mail :	kvradhakrishna@vsnl.net kvradhakrishna@dataone.in
PAN No.:	ABGPV9177J
Enterprises over which key management personnel and their relatives exercise significant influence :	Karle International Private Limited L T Karle and Company J and F International Brain and Beyond Biotech Private Limited ETI Karle Private Limited Karle Health Science Private Limited Karle Infra Projects

CAPITAL STRUCTURE

As on 26.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Shares	Rs.10/- each	Rs.100.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2500000	Equity Shares	Rs.10/- each	Rs.25.000 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	25.000	25.000	25.000
(b) Reserves & Surplus	(100.747)	(106.442)	(110.507)
(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)	(75.747)	(81.442)	(85.507)
(3) Non-Current Liabilities
(a) long-term borrowings	109.541	120.953	112.972
(b) Deferred tax liabilities (Net)	0.000	0.000	0.000
(c) Other long term liabilities	0.541	0.541	3.428
(d) long-term provisions	0.571	0.221	0.221
Total Non-current Liabilities (3)	110.653	121.715	116.621
(4) Current Liabilities
(a) Short term borrowings	3.001	1.367	0.000
(b) Trade payables	7.697	6.785	2.301
(c) Other current liabilities	12.679	0.579	3.916
(d) Short-term provisions	0.205	0.000	0.000
Total Current Liabilities (4)	23.582	8.731	6.217
TOTAL	58.488	49.004	37.331
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	33.841	22.973	24.689
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.000	0.000	0.001
(c) Deferred tax assets (net)	0.796	2.320	4.199
(d) Long-term Loan and Advances	1.915	3.362	0.874
(e) Other Non-current assets	0.000	0.000	2.546
Total Non-Current Assets	36.552	28.655	32.309
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	20.401	16.980	3.319
(c) Trade receivables	0.090	0.067	0.359
(d) Cash and cash equivalents	0.774	0.215	0.737
(e) Short-term loans and advances	0.383	2.340	0.000
(f) Other current assets	0.288	0.747	0.607
Total Current Assets	21.936	20.349	5.022
TOTAL	58.488	49.004	37.331

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
SALES
	Income	91.224	76.257	18.840
	Other Income	NA	NA	0.068
	TOTAL	NA	NA	18.908
EXPENSES		NA	NA	NA
PROFIT/(LOSS) BEFORE TAX		NA	NA	NA
TAX		NA	NA	NA
PROFIT/(LOSS) AFTER TAX		5.695	4.065	(8.908)
PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(122.735)	(126.800)	(117.892)
BALANCE CARRIED TO THE B/S		(117.040)	(122.735)	(126.800)
EARNINGS IN FOREIGN CURRENCY		82.776	73.412	11.200
Earnings Per Share (Rs.)		2.28	NA	NA

Particulars	31.03.2014
Sales Turnover (Approximately)	24.000
	(Due to market down)

The above information has been parted by Mr. Subaram

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	NA	NA	(47.11)
Debt Equity Ratio (Total Debt /Networth)		(1.49)	(1.50)	(1.32)
Current Ratio (Current Asset/Current Liability)		0.93	2.33	0.81

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	25.000	25.000	25.000
Reserves & Surplus	(110.507)	(106.442)	(100.747)
Net worth	(85.507)	(81.442)	(75.747)
long-term borrowings	112.972	120.953	109.541
Short term borrowings	0.000	1.367	3.001
Total borrowings	112.972	122.320	112.542
Debt/Equity ratio	(1.321)	(1.502)	(1.486)

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	18.840	76.257	91.224
		304.761	19.627

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	18.840	76.257	91.224
Profit	(8.908)	4.065	5.695
	(47.28%)	5.33%	6.24%

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 four years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	Yes
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)	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	No

UNSECURED LOANS:

Particulars	31.03.2013 Rs. In Millions	31.03.2012 Rs. In Millions
Long Term Borrowings
Loans and advances from director and related parties	109.541	113.957
Total	109.541	113.957

Notes:

Terms of Repayment: There are no repayment terms.

Rate of Interest: Bo specific rate of interest is agreed to except in the case of a particular loan with carrying interest of 12%.

INDEX OF CHARGE:

Sr. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	90192054	23/03/2002 *	20,500,000.00	STATE BANK OF INDIA	S. S. I. Branch, Kumara Park, Bangalore, Karnataka, India	-
2	90200372	23/03/2002 *	20,500,000.00	STATE BANK OF INDIA	S. S. I. Branch, Kumara Park, Bangalore, Karnataka, India	-

*Date of modification Charges

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.60.05
UK Pound	1	Rs.101.32
Euro	1	Rs.83.43

INFORMATION DETAILS

Information Gathered by :	SVA
Analysis Done by :	KAR
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	2
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	2
--PROFITABILIRY	1~10	--
--LIQUIDITY	1~10	2
--LEVERAGE	1~10	2
--RESERVES	1~10	--
--CREDIT LINES	1~10	--
--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.