MIRA INFORM REPORT

Report Date :

07.10.2014

IDENTIFICATION DETAILS

Name :	SARAOGI UDYOG PRIVATE LIMITED
Registered Office :	21, Hemant Basu Sarani, Centre Point, 2^nd Floor, Suit No.212, Kolkata – 700001, West Bengal
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	26.04.1996
Com. Reg. No.:	21-079509
Capital Investment / Paid-up Capital :	Rs. 75.071 Millions
CIN No.: [Company Identification No.]	U23109WB1996PTC079509
TAN No.: [Tax Deduction & Collection Account No.]	CALS14220D
PAN No.: [Permanent Account No.]	AACCA2104N
Legal Form :	Private Limited Liability Company
Line of Business :	Trading of Coal and Coke.
No. of Employees :	Not Divulged

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 2620000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. Trade relations are fair. Business is active. Payment termsare reported as usually correct. The company can be considered 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 – 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.

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Long term rating: “BBB”
Rating Explanation	Moderate degree of safety and moderate credit risk.
Date	14.08.2014

Rating Agency Name	CRISIL
Rating	Short term rating : “A3+”
Rating Explanation	Moderate degree of safety and high credit risk.
Date	14.08.2014

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 31-03-2014.

INFORMATION DECLINED BY

Name :	Mr. Anil Kumar Saraogi
Designation :	Director
Contact No.:	91-9831048284
Date :	07.10.2014

LOCATIONS

Registered/ Head Office :	21, Hemant Basu Sarani, Centre Point, 2^nd Floor, Suit No.212, Kolkata – 700 001, West Bengal, India
Tel. No.:	91-33-22138779/ 80/ 81
Mob. No.:	91-9831048284 (Mr. Anil Kumar Saraogi)
Fax No.:	91-33-22435334/ 22138781
E-Mail :	saraogiudyog@eth.net saraogi@cal2.vsnl.net.in
Website :	www.saraogiudyog.com
Field Offices :	Located at: · Haldia (West Bengal) Durgapur (West Bengal) Brijrajnagar (Orissa) Talcher (Orissa)
Branch Office 1 :	NH 5, PO Harianta, PS Tangi, Nirgundi, Cuttack, Orissa, India
Branch Offices :	Also located at: · Cuttack (Orissa) Dhanbad (Jharkhand) Chandrauli (Uttar Pradesh) Raigarh (Chhattisgarh) Vizag (Andhra Pradesh) Paradip (Orissa) Haldia (West Bengal) Dhamra (Orissa)

DIRECTORS

As on 28.08.2013

Name :

Mr. Anil Kumar Saraogi

Designation :

Director

Address :

DL-20, Salt Lake City, Sector II, Kolkata – 700091, West Bengal, India

Date of Birth/Age :

22.09.1963

Date of Appointment :

26.04.1996

PAN No.:

APKPS6564E

DIN No.:

00660641

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	Company/ LLP Status	Defaulting status
1	U65999WB1995PTC070950	SARAOGI VINIYOG PRIVATE LIMITED	Director	06-04-1995	06-04-1995	Active	NO
2	U23109WB1996PTC079509	SARAOGI UDYOG PRIVATE LIMITED	Director	26-04-1996	26-04-1996	Active	NO

Name :

Mr. Ramesh Kumar Saraogi

Designation :

Director

Address :

DL-20, Salt Lake City, Sector II, Kolkata – 700091, West Bengal, India

Date of Birth/Age :

27.10.1960

Date of Appointment :

26.04.1996

PAN No.:

APKPS6829Q

DIN No.:

00660598

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	Company/ LLP Status	Defaulting status
1	U23109WB1995PTC070709	ARIHANT MAFEXCO PVT LTD	Director	31-03-1995	31-03-1995	Active	NO
2	U23109WB1996PTC079509	SARAOGI UDYOG PRIVATE LIMITED	Director	26-04-1996	26-04-1996	Active	NO

KEY EXECUTIVES

Name :	Swati Jain
Designation :	Secretary
Address :	193, Raja Dinendra Street, Kolkata – 700004, West Bengal, India
Date of Birth/Age :	09.01.1986
Date of Appointment :	16.11.2012
PAN No.:	AFLPJ6673G

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 28.08.2013

Names of Shareholders	No. of Shares	Percentage of Holding
Ramesh Kumar Saraogi	537900	7.17
Anil Kumar Saraogi	546500	7.28
Jaishree Saraogi	175500	2.34
Kiran Saraogi	230000	3.06
Rishabh Kumar Saraogi	500	0.01
Duli Chand Saraogi (HUF)	50000	0.67
Arihant Mafexco Private Limited, India	55000	0.73
Saraogi Viniyog Private Limited, India	3159700	42.09
Dugar Construction Private Limited, India	2752000	36.66
Total	7507100	100.00

As on 28.08.2013

Equity Share Break up (Percentage of Total Equity)

Category	Percentage of Holding
Bodies corporate	79.48
Directors or relatives of Directors	19.85
Others	0.67
Total	100.00

BUSINESS DETAILS

Line of Business :

Trading of Coal and Coke.

Products :

Item Code No. (ITC Code)	Product Description
27011910	Coal Briquettes Ovoids and Similar Solid Fuels Manufactured From Coal

GENERAL INFORMATION

No. of Employees :

Not Divulged

Bankers :

· Central Bank of India (Lead Bank), Red Cross Place Branch, 4 & 4/1 Red Cross Place, Kolkata - 700001, West Bengal, India

ICICI Bank Limited, R.N. Mukherjee Road, Kolkata, West Bengal, India

Standard Chartered Bank, N.S. Road Branch, Kolkata, West Bengal, India

Facilities :

SECURED LOANS	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
SHORT TERM BORROWINGS
Working capital loans from banks (Working capital loan from banks are secured by hypothecation of inventories, book debts, cetrtain immovable properties, personal guarantee of directors and corporate guarantee.)	21.716	52.355
Total	21.716	52.355

Banking Relations :	--
Auditors :
Name :	R. Tulsian and Company Chartered Accountants
Address :	7/1C, Jatindra Mohan Avenue, Kolkata- 700006, West Bengal, India
Tel. No. :	91-33-25431785/ 2270/ 2271
Fax No. :	91-33-25432270
E-Mail :	tulsian_tax@hotmail.com
Website :	www.itaxplanner.com
Income-tax PAN of auditor or auditor's firm :	AAGFR4955B
Company under common Control :	Saraogi Viniyog Private Limited CIN No.: U65999WB1995PTC070950
Wholly Owned Subsidiary :	Saraogi Global Pte. Limited

CAPITAL STRUCTURE

As on 28.08.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
7,620,000	Equity Shares	Rs.10/- each	Rs. 76.200 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
7,507,100	Equity Shares	Rs.10/- each	Rs. 75.071 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	75.071	70.071	60.071
(b) Reserves & Surplus	580.626	478.956	341.998
(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)	655.697	549.027	402.069
(3) Non-Current Liabilities
(a) long-term borrowings	0.000	0.000	0.000
(b) Deferred tax liabilities (Net)	0.020	0.043	0.556
(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)	0.020	0.043	0.556
(4) Current Liabilities
(a) Short term borrowings	21.716	52.355	62.843
(b) Trade payables	1443.982	1479.399	1223.799
(c) Other current liabilities	53.875	89.550	56.990
(d) Short-term provisions	35.680	77.340	49.673
Total Current Liabilities (4)	1555.253	1698.644	1393.305
TOTAL	2210.970	2247.714	1795.930
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	16.723	16.297	13.642
(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	3.011	0.170	0.170
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	2.949	1.408	1.159
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	22.683	17.875	14.971
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	134.747	373.177	716.287
(c) Trade receivables	1232.972	842.552	507.528
(d) Cash and cash equivalents	577.970	669.419	386.190
(e) Short-term loans and advances	242.530	344.610	170.886
(f) Other current assets	0.068	0.081	0.068
Total Current Assets	2188.287	2229.839	1780.959
TOTAL	2210.970	2247.714	1795.930

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income	6106.390	4413.363	3748.07
		Other Income	46.420	42.955	44.64
		TOTAL (A)	6152.810	4456.318	3792.710
Less	EXPENSES
		TOTAL (B)	5990.040	4333.317	3682.23
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		162.770	123.001	110.480
Less	FINANCIAL EXPENSES (D)		69.596	44.413	40.079
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		93.174	78.588	70.401
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.915	0.972	0.729
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)		92.259	77.616	69.672
Less	TAX (H)		30.362	25.752	24.174
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)		61.897	51.864	45.498
Less	APPROPRIATIONS
		Proposed Dividend	5.255	4.905	3.004
	EARNINGS IN FOREIGN CURRENCY		59.849	0.000	NA
	Earnings / (Loss) Per Share (Rs.)		8.25	7.40	7.45

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	1.01	1.16	1.20
Net Profit Margin (PBT/Sales)	(%)	1.51	1.76	1.86
Return on Total Assets (PBT/Total Assets}	(%)	4.18	3.45	3.88
Return on Investment (ROI) (PBT/Networth)		0.14	0.14	0.17
Debt Equity Ratio (Total Debt/Networth)		0.03	0.10	0.16
Current Ratio (Current Asset/Current Liability)		1.41	1.31	1.28

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	60.071	70.071	75.071
Reserves & Surplus	341.998	478.956	580.626
Net worth	402.069	549.027	655.697
long-term borrowings	0.000	0.000	0.000
Short term borrowings	62.843	52.355	21.716
Total borrowings	62.843	52.355	21.716
Debt/Equity ratio	0.156	0.095	0.033

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	3748.070	4413.363	6106.390
		17.750	38.361

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	3748.070	4413.363	6106.390
Profit	45.498	51.864	61.897
	1.21%	1.18%	1.01%

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	Yes
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	No
20]	Export / Import details (if applicable)	No
21]	Market information	-----
22]	Litigations that the firm / promoter involved in	-----
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

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10519052	05/09/2014	2,910,000,000.00	CENTRAL BANK OF INDIA	KOLKATA MAIN BRANCH, 33, NETAJI SUBHAS ROAD, KOLKATA, WEST BENGAL - 700001, INDIA	C19921089
2	10311190	09/09/2014 *	3,290,000,000.00	CENTRAL BANK OF INDIA	KOLKATA MAIN BRANCH, 33, NETAJI SUBHAS ROAD, KOLKATA, WEST BENGAL - 700001, INDIA	C19922905
3	90244532	23/09/2011 *	2,000,000,000.00	CENTRAL BANK OF INDIA (LEAD BANK)	RED CROSS PLACE BRANCH, 4 & 4/1 RED CROSS PLACE, KOLKATA, WEST BENGAL - 700001, INDIA	B22945711

* Date of charge modification

REVIEW OF OPERATIONS:

The Indian coal industry, one of the largest in terms of reserve base and production level, has gained significant momentum in the past few years. Mainly dominated by PSUs like Coal India Ltd, which contributes over 75% of the countrys total coal production, the industry has attracted government concern and investments. However, India has not been able to minimize its coal deficit despite huge resource base, and still depends on imports. As per their latest estimations, carried out in recent research report, the overall coal imports are anticipated to cross the 160 Million Metric Tons-mark in near future.

BUSINESS OPERATIONS:

Though India has the fourth-largest proven coal reserves in the world, Indian coal is of poor quality. Nearly 83 percent of the Indian coal is of non-coking variety with high ash content. During the year under review they have placed considerable emphasis on imports instead of their own conversion from coal to coke, due to high cost of coking coal which they had taken-up under an agreement with The Durgapur Projects Limited, an undertaking of the West Bengal Government for usage of its manufacturing facilities. The Company has played a major role in the market and is one of the leading facility providers to the industry having edge over its competitors which is well reflected in the turnover of the company and its profitability. During the year under review, there has been major exchange fluctuations that resulted to reduce the profitability and other risk factors, but the company has been able to combat the grim scenario of the economy. They believe the company is extremely well positioned to

drive growth and create sustained value for all its stakeholders.

Since during the concerned year, the company focused on International trade and imports, bank assistance in the form of sufficient L/C limits. To facilitate opening of L/Cs the company had to forward margins in the form of Fixed deposits with the banks which resulted in an Interest Income of Rs. 415 lakhs. Though the resultant interest income of 415 lakhs pertains to facilitate trade operations of the company, it is disclosed as non-operating income i.e. other income as per the Generally Accepted principles of Accounts.

The Company suffered exchange fluctuation loss to the tune of Rs. 1,532 lakhs which includes the unexpired foreign currency transactions valued as per AS-11. Though the said fluctuation loss pertains to Import of goods and is in the nature of the Purchase Cost to the Company, but the Other Expenses major of foreign exchange fluctuation amount are duly compensated in their sales price hence the Net Profit is not affected.

Their performance during the year has been extremely good on the back of some strategic initiatives. They have expanded their presence in eastern India and have now gone global by setting up their own 100% subsidiary in Singapore to spread their foot prints on an international level. The Financials results of WOS has achieved Turnover US$ 8.04Million and Company achieved Net profit of US$ 0.13Million.

FINANCIAL OBLIGATIONS:

The Company has managed to repay the unsecured loan liability thereby reducing the interest pressure on the profits of the company. The company has been regular in the payment of interest and/ or repayment of loans to financial institutions and/or banks during the year.

CONTINGENT LIABILITIES:

PARTICULARS	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
Bank Guarantee from Central Bank of India	103.700	117.968
L/C opened by Central Bank of India	334.813	486.100
Service Tax Liability arises for which an appeal is made after payment of Rs. 0.631 Million	1.473	1.473
W.B.S.T (A.Y.2005-06 with Appellate Tribunal W.B.)	2.106	2.106
C.S.T (A.Y.2005-06 with Appellate Tribunal W.B.)	2.241	2.241
C.S.T. (A.Y. 2008-09 with Commissioner Appeals W.B.)	2.001	2.001
VAT (A.Y. 2008-09 with Commissioner Appeals W.B.)	0.006	0.006
C.S.T. (A.Y. 2009-10 with Commissioner Appeals W.B.)	0.903	0.000
C.S.T. (A.Y. 2010-11 with Commissioner Appeals W.B.)	28.469	0.000
VAT (A.Y. 2010-11 with Commissioner Appeals W.B.)	0.322	0.000

FIXED ASSETS

Tangible Assets

· Land

Buildings

Furniture and Fixtures

Vehicles

Motor Vehicles

Office Equipment

Computer Equipments

Other Equipments

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.61.75
UK Pound	1	Rs.100.07
Euro	1	Rs.77.95

INFORMATION DETAILS

Information Gathered by :	NYA
Analysis Done by :	SUB
Report Prepared by :	MRI

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
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	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--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		47

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	--

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.