MIRA INFORM REPORT

Report Date :

13.11.2014

IDENTIFICATION DETAILS

Name :	MICROLAND LIMITED
Registered Office :	1 B, RMZ, Ecospace Belandur, Outer Ring Road, Bangalore – 560037, Karnataka
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	20.04.1989
Com. Reg. No.:	08-014450
Capital Investment / Paid-up Capital :	Rs.650.137 millions
CIN No.: [Company Identification No.]	U85110KA1989PLC014450
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	Not Available
Legal Form :	A Closely held Public Limited Liability Company
Line of Business :	Providing Infrastructure management and IT enabled services.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (48)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 3100000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. Rating reflects sound financial risk profile marked by improvement in performance of the company and strong liquidity position. Trade relations are reported to be fair. Business is active. Payments are reported to be usually correct. The company can be considered for business dealings at usual 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 – June 1, 2014

Country Name	Previous Rating (31.03.2014)	Current Rating (01.06.2014)
India	A1	A1

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

INDIAN ECONOMIC OVERVIEW

N E W S

Verdict Implications : Apex court order may alter coal import dynamics. Traders go slow on talks over coal supply contracts, uncertainty over cancellation of blocks weigh on stocks.

Recent arrest of the Chennai head of the Registrar of Companies, the ministry of corporate affairs arm that ensures that companies file all the information required by the Companies Act is the latest manifestation of a messy fight between a father and his adopted son for the control of Rs 40000 mn business empire. The Central Bureau of Investigation arrested Manumeethi Cholan after he accepted Rs 10 lakhs as bribe from M A M Ramaswamy, a CBI official said.

Central Bureau of Investigation books Electrotherm for cheating Central Bank of Rs 4360 mn.

Infosys maintains revenue guidance. COO Rao says attrition still an area of concern and it would take a few more quarters to bring down levels to 13-15 %.

DHL  to invest Euro 100 mn in India over next 2 years. The firm has chosen India to pilot its e-commerce business model for the Asia-Pacific region.

Blackstone may buy stake in BlueRidge SEZ in line with the fund’s real estate strategy in India.

Kingfisher Airlines Ltd grounded in October 2012 under the weight of heavy debt and accumulated losses, recently approached the Delhi high court for relief in two separate cases. The airline challenged a notice by Punjab & National Bank alleging that It had wilfully defaulted on Rs 7700 mn of loans and sought more time to comply with the requirements under the listing agreements with the Stock Exchanges.

OnMobile likely to sack another 300 employees. The lay-offs follow a spate of senior-level exits over the past two years, starting with of its founder. The overall lay-offs could number around 600 and are driven by the need to cut costs, says a former employee.

RBI DEFAULTERS’ LIST STATUS

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

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2014.

INFORMATION DECLINED

Name :	Mr. Rahgvendra
Designation :	Commercial Manager
Contact No.:	91-80-39180500
Date :	11.11.2014

LOCATIONS

Registered Office :	1 B, RMZ, Ecospace, Belandur, Outer Ring Road, Bangalore – 560034, Karnataka, India
Tel. No.:	91-80-39180000
Fax No.:	91-80-39180044
E-Mail :	anandhit@microland.net
Website :	http://www.microland.com
Branch 1 :	A201, Phonix House, Senapati Bapat Marg, Lower Parel, Mumbai – 400013, Maharashtra, India
Tel. No.:	91-22-66604132
Fax No.:	91-22-66604135
Branch 2 :	Audi Nivas No.21 (Old No.11), Chinnaith Street, T. Nagar, Chennai – 600017, Tamilnadu, India
Tel. No.:	91-44-42605661 / 2/ 3
Fax No.:	91-44-42605664
Branch 3 :	1735 Technology Dirve, Ste#830, San Jose, CA 95110, California
Tel. No.:	1-408 -5731735/36
Fax No.:	1-408-5731737
Branch 4 :	5800 Ambler Dirve, Sulte#210, Mississauga Ontario, L4W4J4, Canada
Tel. No.:	1-905-3618703
Branch 5 :	103 Canegle Center Suite #300 Princeton, NJ 08540
Tel. No.:	1-408-5731735
Fax No.:	1-408-5731737
Branch 6 :	# 1Bell Street Maidenhead Berkshire SL6 1BU
Tel. No.:	44-1628421847
Fax No.:	44-1628421848
Branch 6 :	401, Block A, Cyberpark Phase 1 Hosur Road, Electronics City, Banglore-560100,Karnataka, India
Tel. No.:	91-80-41993600
Fax No.:	91-80-41103353
Branch 7 :	Micro Polis, #236,92/1A, Konappana Agrahara, Electronic City Phase-1, Banglore-560100, Karnataka, India
Tel. No.:	91-80-39181000
Branch 8 :	Ground Floor, No.6 And 7 Plam Court, Sector 14, 20/4 Surkarli Chowk, Opposite Huda Park, Gurgaon-122001, Haryana, India
Tel. No.:	91-124-3856100
Fax No.:	91-124-3856144

DIRECTORS

As on 31.03.2014

Name :

Mr. Kar Pradeep

Designation :

Chairman

Address :

862C, 13^th Main Koramangala 3, Bangalore – 560034, Karnataka, India

Date of Birth/Age :

11.03.1958

Date of Appointment :

01.04.2011

DIN No.:

00129501

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	U85110KA1989PLC014450	MICROLAND LIMITED	Managing director	01/04/2011	01/09/1989	-	Active	NO
2	U65910KA1994PTC015396	MICROLAND INVESTMENTS PRIVATE LIMITED	Director	22/03/1994	22/03/1994	-	Active	NO
3	U22190KA1997FTC022250	Brillio Technologies Private Limited	Director	17/06/1997	17/06/1997	30/06/2007	Active	NO
4	U72200KA2000PTC027065	ITSPACE .COM PRIVATE LIMITED	Director	12/05/2000	12/05/2000	-	Strike off	NO
5	U93090KA2001NPL028969	YPO BANGALORE CHAPTER	Director	02/05/2001	02/05/2001	20/09/2009	Active	NO
6	U64200MH2009PTC195060	Telstra Telecommunications Private Limited	Director	28/09/2010	13/11/2009	-	Active	NO

Name :

Mr. Christopher Caldwell

Designation :

Director

Address :

C/o. R Ratilal and Company Currimjee Building, 111, M G Road, Fort, Mumbai – 400023, Maharashtra, India

Date of Birth/Age :

02.12.1972

Date of Appointment :

20.08.2007

DIN No.:

01548752

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	U85110KA1989PLC014450	MICROLAND LIMITED	Nominee director	20/08/2007	12/06/2007	-	Active	NO
2	U72300KA2010PTC061797	Concentrix Technologies (India) Private Limited	Director	19/12/2011	17/12/2010	08/09/2014	Active	NO

Name :

Mr. Gandhi R. Pravin

Designation :

Director

Address :

29, Leonie Hill, 19-40, Horizon Towers West, Singapore – 219228

Date of Birth/Age :

29.06.1944

Date of Appointment :

07.09.2004

DIN No.:

00694153

Name :

Mr. Sawhney Rajesh

Designation :

Director

Address :

A/402 The IVY Residential Complex, Sushant Lok Phase 1, Gurgaon -122001, Haryana, India

Date of Birth/Age :

02.02.1966

Date of Appointment :

08.02.2013

DIN No.:

01519511

Name :

Mr. Malik Deepak

Designation :

Director

Address :

91, Navjivan Vihar, New Delhi – 110017, Delhi, India

Date of Birth/Age :

14.11.1967

Date of Appointment :

01.09.2006

DIN No.:

00662141

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

SHAREHOLDING DETAILS FILE ATTACHED

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Venture capital	7.55
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	47.91
Bodies corporate	3.23
Directors or relatives of Directors	29.31
Other top fifty shareholders	8.89
Others	3.11
Total	100.00

BUSINESS DETAILS

Line of Business :	Providing Infrastructure management and IT enabled services.
Exports :	Not Available
Imports :	Not Available
Terms :	Not Available

GENERAL INFORMATION

Suppliers :

Not Available

Customers :

Not Available

No. of Employees :

Not Available

Bankers :

• Axis Bank Limited , Credit Management Centre, No.41, 1st Floor, Seshadri Road, Anandrao Circle, Bangalore – 560009, Karnataka, India

Facilities :

Secured Loan	Rs. In Millions 31.03.2014	Rs. In Millions 31.03.2013
LONG TERM BORROWING
Long term maturities of finance lease obligations	1.900	3.800
Total	1.900	3.800

Banking Relations :	--
Auditors :
Name :	Price Waterhouse Chartered Accountant
Address :	The Millenia, 5^th Floor, Tower D, 1 and 2 Murphy Road, Ulsoor, Bangalore – 560008, Karnataka, India
Associates :	Collabera Solutions Private Limited (Formerly GCI Solutions India Private Limited) CMP Information Limited P R Newswire KPIT Cummins Info systems Limited Tech Web, NY, USA UBM India Private Limited

CAPITAL STRUCTURE

After 30.09.2014

Authorised Capital : Rs.750.000 millions

Issued, Subscribed & Paid-up Capital : Rs.650.137 millions

As on 30.09.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
220000000	Equity Shares	Rs.1/- each	Rs.220.000 Millions
53000000	Non Cumulative Convertible Preference Shares	Rs.10/- each	Rs.530.000 Millions
	Total		Rs.750.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
140300000	Equity Shares	Rs.1/- each	Rs.140.300 Millions
50980000	0.01% Non Cumulative Convertible / Redeemable Series Preference Shares	Rs.10/- each	Rs.509.800 Millions
	Total		Rs.650.100Millions

As on 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
220000000	Equity Shares	Rs.1/- each	Rs.220.000 Millions
53000000	Non Cumulative Convertible Preference Shares	Rs.10/- each	Rs.530.000 Millions
	Total		Rs.750.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
139999550	Equity Shares	Rs.1/- each	Rs.139.999 Millions
50984968	0.01% Non Cumulative Convertible / Redeemable Series Preference Shares	Rs.10/- each	Rs.509.849 Millions
	Total		Rs.649.849 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2014	31.03.2013	31.03.2012
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	650.100	649.800	649.400
(b) Reserves & Surplus	448.500	81.500	(150.500)
(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)	1098.600	731.300	498.900
(3) Non-Current Liabilities
(a) long-term borrowings	1.900	3.800	1.200
(b) Deferred tax liabilities (Net)	0.000	0.000	0.000
(c) Other long term liabilities	16.900	16.300	14.600
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	18.800	20.100	15.800
(4) Current Liabilities
(a) Short term borrowings	0.000	0.000	88.800
(b) Trade payables	98.000	51.700	26.600
(c) Other current liabilities	505.500	311.500	268.400
(d) Short-term provisions	36.300	29.100	23.200
Total Current Liabilities (4)	639.800	392.300	407.000
TOTAL	1757.200	1143.700	921.700
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	46.100	30.400	25.500
(ii) Intangible Assets	7.200	12.200	6.400
(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	5.700	5.700	5.700
(c) Deferred tax assets (net)	54.800	56.500	0.000
(d) Long-term Loan and Advances	213.100	277.600	306.400
(e) Other Non-current assets	238.700	141.900	69.200
Total Non-Current Assets	565.600	524.300	413.200
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	0.000	0.000	0.000
(c) Trade receivables	450.100	340.000	192.200
(d) Cash and cash equivalents	328.200	100.300	132.800
(e) Short-term loans and advances	78.200	41.000	47.200
(f) Other current assets	335.100	138.100	136.300
Total Current Assets	1191.600	619.400	508.500
TOTAL	1757.200	1143.700	921.700

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Income	3447.100	2423.900	1836.800
		Other Income	43.200	21.800	28.000
		TOTAL (A)	3490.300	2445.700	1864.800
Less	EXPENSES
		Employees benefits expense	2002.200	1640.300	1374.700
		Other expenses	880.200	561.600	444.300
		Total	2882.400	2201.900	1819.000
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		607.900	243.800	45.800
Less	FINANCIAL EXPENSES (D)		37.800	29.100	29.000
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		570.100	214.700	16.800
Less/ Add	DEPRECIATION/ AMORTISATION (F)		28.900	29.600	40.100
	PROFIT BEFORE TAX (E-F) (G)		541.200	185.100	-23.300
Less	TAX (I)		174.200	(46.400)	0.000
	PROFIT AFTER TAX (G-I) (J)		367.000	231.500	(23.300)
	Earnings Per Share (Rs.)		1.92	---	---

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT/Sales)	(%)	10.65	9.55	(1.27)
Operating Profit Margin (PBITD/Sales)	(%)	17.64	10.06	2.49
Return on Total Assets (PBT/Total Assets}	(%)	31.90	17.12	(2.54)
Return on Investment (ROI) (PBT/Networth)		0.49	0.25	(0.05)
Debt Equity Ratio (Total Liability/Networth)		0.00	0.01	0.18
Current Ratio (Current Asset/Current Liability)		1.86	1.58	1.25

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Share Capital	649.400	649.800	650.100
Reserves & Surplus	(150.500)	81.500	448.500
Net worth	498.900	731.300	1098.600
long-term borrowings	1.200	3.800	1.900
Short term borrowings	88.800	0.000	0.000
Total borrowings	90.000	3.800	1.900
Debt/Equity ratio	0.180	0.005	0.002

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	1836.800	2423.900	3447.100
		31.963	42.213

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	1836.800	2423.900	3447.100
Profit	(23.300)	231.500	367.000
	(1.27%)	9.55%	10.65%

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check List by Info Agents	Available in Report (Yes / No)
1]	Year of Establishment	Yes
2]	Locality of the firm	Yes
3]	Constitutions of the firm	Yes
4]	Premises details	No
5]	Type of Business	Yes
6]	Line of Business	Yes
7]	Promoter's background	Yes
8]	No. of employees	No
9]	Name of person contacted	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last three years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	----
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	No
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	No
20]	Export / Import details (if applicable)	No
21]	Market information	----
22]	Litigations that the firm / promoter involved in	No
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	No
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

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10210825	04/09/2014 *	180,000,000.00	AXIS BANK LIMITED	CORPORATE BANKING BRANCH, EXPRESS BUILDING, SECON  D FLOOR, NO.1, QUEEN'S ROAD, BANGALORE, Karnataka - 560001, INDIA	C22858641
2	90196918	05/10/1995	55,000,000.00	THE INDUSTRIAL CREDIT AND INVESTMENT COR. OF INDIA  LD.	163; BACKBAY RECLAMATION, BOMBAY, Maharashtra - 400020, INDIA	-
3	90198661	18/07/1994 *	6,450,000.00	STATE BANK OF INDIA	COMMERCIAL BRANCH, N. S. C. BOSE ROAD, MADRAS, Tamil Nadu - 600001, INDIA	-
4	90199860	18/07/1994 *	6,450,000.00	STATE BANK OF INDIA	COMMERCIAL BRANCH, N.S.C BOSE ROAD, MADRAS, Tamil  Nadu - 600001, INDIA	-

Fixed Assets :

• Leasehold Improvements
• Machinery
• Data Processing Systems
• Furniture and Fixtures
• Office Equipment
• Electrical Equipment
• Vehicles

COMPANY OVERVIEW :

The Company witnessed splendid all round performance in the financial year 2013-14. Revenues grew by 42% over the previous year and the EBIDTA of the Company was at 17.6% of revenues, with a growth of 149% over the previous year.

It is the second year in a row that the company has achieved growth rates far in excess of the Industry and has significantly improved its profitability as well.

The portfolio of services and the delivery capability were widened during the year setting the platform for a sustained growth in future as well.

It is gladdening to note that the business of the Company has grown across the geographies and service lines.

Revenue Contribution from US and Europe has been 42% and 34% respectively with the rest coming from the Indian and Middle East Market

The company continued to receive special mention from the Research and Analyst Reports of the Industry. Some of such mentions were:

a. “Major Contender” in the Everest Infrastructure PEAK Matrix Report 2013

b. “Emerging Player” in the Everest Cloud PEAK Matrix Report 2013

c. In Top 20 Most Promising Cloud Services Companies in North America – CIO Review, Sept 2013

d. Ranked 6th in the 2013 “Top Global Infrastructure Management Vendors”– GS100 Ranking 2013

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 records 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. 61.35
UK Pound	1	Rs. 97.52
Euro	1	Rs. 76.48

INFORMATION DETAILS

Information Gathered by :	DPA
Analysis Done by :	SUM
Report Prepared by :	JYTK

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	6
--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
TOTAL		48

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.