MIRA INFORM REPORT

Report Date :

10.10.2014

IDENTIFICATION DETAILS

Name :	BANCO PRODUCTS (INDIA) LIMITED
Registered Office :	Bil, Near Bhaili Railway Station, Padra Road, District Baroda – 391410, Gujarat
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	16.03.1961
Com. Reg. No.:	04-001039
Capital Investment / Paid-up Capital :	Rs.143.037 Millions
CIN No.: [Company Identification No.]	L51100GJ1961PLC001039
TAN No.: [Tax Deduction & Collection Account No.]	BRDB00588A
PAN No.: [Permanent Account No.]	AAACB8630L
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.
Line of Business :	Manufacturer and Seller of Radiators.
No. of Employees :	Not Divulged

RATING & COMMENTS

MIRA’s Rating :

A (62)

RATING		STATUS	PROPOSED CREDIT LINE
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

Maximum Credit Limit :	USD 15610000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Not Available
Comments :	Subject is a well-established and a reputed company having fine track record. The rating reflects company’s healthy financial risk profile marked by adequate liquidity position and decent profitability levels of the company. Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitment. The company can be considered good for normal 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	ICRA
Rating	Long term fund based=A+
Rating Explanation	Adequate degree of safety and low credit risk.
Date	February, 2014

Rating Agency Name	ICRA
Rating	Short term non fund based=A1+
Rating Explanation	Very strong degree of safety and lowest credit risk.
Date	February, 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 DENIED

MANAGEMENT NON CO-OPERATIVE (91-265-2680220)

LOCATIONS

Registered Office / Factory 1 :	Bil, Near Bhaili Railway Station, Padra Road, District Baroda – 391410, Gujarat, India
Tel. No.:	91-265-2680220 / 2680221 / 2680222 / 2680223 / 3097100
Fax No.:	91-265-2680433
E-Mail :	feedback@bancoindia.com mitesh@bancoindia.com sec@bancoindia.com mail@bancoindia.com exports@bancoindia.com imp@bancoindia.com
Website :	http://www.bancoindia.com
Location:	Owned
Factory 2:	At Ankhi, Taluka Jambusar, District Bharuch, Gujarat, India (upto 30.03.2012)
Factory 3:	At Zone No.11, Holding No.1, Birsanagar, Jamshedpur – 831004, India
Other Factory :	Located at · Rudrapur Waghodia (SEZ Unit)
Corporate Office :	Post Box 2562, Sayajigunj, Baroda – 390005, Gujarat, India
Tel No.:	91-265-2680220/1/2/3

DIRECTORS

As on 31.03.2014

Name :	Mr. Vimal K. Patel
Designation :	Chairman and Whole Time Director
Date of Appointment :	15.04.1986
DIN No.:	00161625
Name :	Mr. Mehul Kanubhai Patel
Designation :	Vice - Chairman and Managing Director
Date of Appointment :	08.02.1990
DIN No.:	01772099
Name :	Mr. Samir K. Patel
Designation :	Director
Date of Appointment :	25.09.1983
DIN No.:	00161448
Name :	Mr. Atul G. Shroff
Designation :	Director
Date of Birth/Age :	23.12.1947
Qualification :	Matriculation
Date of Appointment :	15.04.1986
DIN No.:	00019645
Name :	Mr. Ramkisan Devidayal
Designation :	Director
Name :	Mr. Mukesh D Patel
Designation :	Director
Date of Appointment :	27.03.2009
DIN No.:	00009605
Name :	Mr. Sudesh Kumar Duggal
Designation :	Director
Date of Appointment :	23.09.2009
DIN No.:	00566943
Name :	Mr. Shailesh Anantrai Thakker
Designation :	Executive Director and CFO
Date of Appointment :	19.07.2008
DIN No.:	02271833
Name :	Mr. Kiran Kumar Shetty
Designation :	Executive Director
Date of Birth/Age :	10.06.1970
Qualification :	Bachelor of Technology
Date of Appointment :	31.07.2010
DIN No.:	03129699

KEY EXECUTIVES

Name :	Mr. Dinesh Dattatraya Kavthekar
Designation :	Secretary
PAN No.:	ACGPK8852L
Date of Appointment :	22.08.2006
Name :	Ms. Dipti Sharma
Designation :	Account Department

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.06.2014

Category of Shareholder	Total No. of Shares	% of Total No. of Shares
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Individuals / Hindu Undivided Family	18072763	25.27
Any Others (Specify)	3567269	4.99
Persons Acting in Concert	3567269	4.99
Sub Total	21640032	30.26
(2) Foreign
Bodies Corporate	26909960	37.63
Sub Total	26909960	37.63
Total shareholding of Promoter and Promoter Group (A)	48549992	67.88
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	690556	0.97
Financial Institutions / Banks	6290	0.01
Any Others (Specify)	2589640	3.62
Foreign Bodies Corporate	2589640	3.62
Sub Total	3286486	4.60
(2) Non-Institutions
Bodies Corporate	2427519	3.39
Individuals
Individual shareholders holding nominal share capital up to Rs. 0.100 Million	10311468	14.42
Individual shareholders holding nominal share capital in excess of Rs. 0.100 Million	2170962	3.04
Any Others (Specify)	4772223	6.67
Clearing Members	744245	1.04
Directors & their Relatives & Friends	592634	0.83
Non Resident Indians	3434544	4.80
Trusts	800	0.00
Sub Total	19682172	27.52
Total Public shareholding (B)	22968658	32.12
Total (A)+(B)	71518650	100.00
(C) Shares held by Custodians and against which Depository Receipts have been issued	0	0.00
(1) Promoter and Promoter Group	0	0.00
(2) Public	0	0.00
Sub Total	0	0.00
Total (A)+(B)+(C)	71518650	0.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Seller of Radiators.

GENERAL INFORMATION

No. of Employees :

Not Divulged

Bankers :

· State Bank of India - Industrial Finance Branch Lead Bank, Mid Corporate Group Industrial Finance Branch, Marble Arch, Race Course Circle, Vadodara - 390007, Gujarat, India

Tel. No.: 91-265-2339905

HDFC Bank Limited, HDFC Bank Housesenapati Bapat Marg, Lower Parel (West), Mumbai - 400013, Maharashtra, India

Standard Chartered Bank, Abhijeet II, Ground Floor, Near Mithakali Six Roads, Ahmedabad - 380006, Gujarat, India

Bank of Baroda

Facilities :

SECURED LOANS	31.03.2014 (Rs. In Millions)	31.03.2013 (Rs. In Millions)
LONG TERM BORROWINGS
Foreign currency secured term loan from bank*	372.673	487.451
current portion of long-term borrowing	(165.632)	(149.985)
Indian rupees secured term loan from bank #	60.400	100.000
current portion of long-term borrowing	(50.650)	(50.000)
SHORT TERM BORROWINGS
Loans repayable on demand from Banks
Cash credit facility from banks	36.829	25.124
Short-term loan from banks	200.000	235.000
Foreign currency loan-buyer’s credit	0.000	80.000
Foreign currency loan-packing credit	0.000	38.031
Total	453.620	765.621

NOTE :

LONG TERM BORROWINGS

* Foreign currency term loan carries interest@ 3M LIBOR plus 2%. The loan is repayable within 4 years on quarterly installments. The loan is secured by hypothecation of specific movable assets of the company by way of first charge.

# Indian rupees term loan outstanding of Rs. 50.000 Millions from bank carries interest base rate plus 105 bps p.a. The loan is repayable within 2 years on quarterly installments, from the date of loan, viz. 30^th January 2013. The loan is secured by hypothecation of specific movable assets of the company by way of first charge.

# Indian rupees term loan outstanding of Rs. 10.400 Millions from bank carries interest base rate plus 100 bps p.a. The loan is repayable within 5 years including moratorium of 12 months from the date of 1^st disbursement with repayment in 16 equal quarterly installments thereafter. The loan is secured 1^st Exclusive charges on specific plant and Machinery of the company.

SHORT TERM BORROWINGS

i) Cash credit loans are secured against first charge on pari passu basis by way of hypothecation of the current assets both present and future in favour of participating scheduled banks

ii) Short term loans from bank carries interest rate @ 10 % to 12% p.a. during the year.

iii) Foreign currency buyer credit and packing credits are repayable within 90 to 180 days and carries interest @ LIBOR plus 2% to 3%.

Banking Relations :	--
Auditors :
Name :	Shah and Company Chartered Accountants
Address :	Shah and Company Chartered Accountants, Maker Bhavan No. 218, New Marine Line, Mumbai, Maharashtra, India
PAN.:	AABFS2985F
Subsidiary companies :	· Banco Gaskets (India) Limited – 100% Lake Mineral (Mauritius) Limited - 100% Nederlandse Radiateuren Fabriek Limited -100%
Indirect subsidiary company	Kilimanjaro Biochem Limited
Associates- under common control :	Banco Aluminium Limited

CAPITAL STRUCTURE

As on 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
152000000	Equity Shares	Rs.2/- each	Rs.304.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
71519000	Equity Shares	Rs.2/- each	Rs.143.037 Millions

Reconciliation of the number of shares outstanding at the beginning and at the end of the reporting period

Particulars	31st March 2014
	No. of Share (In Millions)
Balance at the beginning of the year	71.519
Addition during the year	--
Deletion during the year	--
Balance at the end of the year	71.519
	Share Capital (Rs. in Millions)
Balance at the beginning of the year	143.037
Addition during the year	--
Deletion during the year	--
Balance at the end of the year	143.037

Aggregate number of bonus shares issued, shares issued for consideration other than cash and shares bought back during the period of five years immediately preceding the reporting date.

Particulars	31st March 2014
	(Rs. In Millions)
Equity shares of Rs. 2 each allotted as fully paid up bonus shares by capitalising general reserve	--
Equity shares of Rs. 2 each allotted as fully paid up in terms of amalgamation without payment being received in cash.	9.945

Share in the company held by each shareholder holding more than 5% shares specifying the no. of shares

Particulars	31st March 2014
	No. in Lacs (Holding in %)
Vimal K.Patel	55.73 (7.79%)
Samir K.Patel	50.17 (7.01%)
Mehul K.Patel	56.15 (7.85%)
Overseas Pearl Limited	269.10 (37.63%)

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	143.037	143.037	143.037
(b) Reserves & Surplus	3760.028	3224.518	3022.842
(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)	3903.065	3367.555	3165.879
(3) Non-Current Liabilities
(a) long-term borrowings	216.791	387.466	458.672
(b) Deferred tax liabilities (Net)	94.864	103.412	81.432
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	15.419	14.542	7.067
Total Non-current Liabilities (3)	327.074	505.420	547.172
(4) Current Liabilities
(a) Short term borrowings	703.429	969.762	553.417
(b) Trade payables	371.962	277.801	338.933
(c) Other current liabilities	362.268	332.827	259.966
(d) Short-term provisions	31.230	154.117	209.283
Total Current Liabilities (4)	1468.889	1734.507	1361.599
TOTAL	5699.028	5607.482	5074.650
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	1227.302	1241.611	926.867
(ii) Intangible Assets	15.169	17.591	7.058
(iii) Capital work-in-progress	66.970	24.189	22.069
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	1978.323	1806.462	1297.137
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	431.128	498.405	494.527
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	3718.892	3588.258	2747.658
(2) Current assets
(a) Current investments	3.325	8.537	20.863
(b) Inventories	757.711	922.787	758.443
(c) Trade receivables	931.919	904.560	781.972
(d) Cash and cash equivalents	63.548	20.114	85.765
(e) Short-term loans and advances	223.633	163.226	679.949
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	1980.136	2019.224	2326.992
TOTAL	5699.028	5607.482	5074.650

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Revenue from operations	4472.235	4457.133	5541.603
		Other Income	336.648	96.016	301.641
		TOTAL	4808.883	4553.149	5843.244
Less	EXPENSES
		Cost of Materials Consumed	2442.761	2626.996	3175.504
		Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	44.120	(55.387)	28.006
		Employees benefits expense	257.031	248.844	253.230
		Other expenses	928.647	973.768	1227.374
		Exceptional items	0.000	0.000	(3.951)
		TOTAL	3672.559	3794.221	4680.163
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		1136.324	758.928	1163.081
Less	FINANCIAL EXPENSES		142.177	117.953	79.530
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		994.147	640.975	1083.551
Less/ Add	DEPRECIATION/ AMORTISATION		165.171	157.379	152.709
	PROFIT/ (LOSS) BEFORE TAX		828.976	483.596	930.842
Less	TAX		164.879	135.085	206.525
	PROFIT/ (LOSS) AFTER TAX		664.097	348.511	724.317
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		2082.180	1944.283	1514.437
Add	REVERSAL OF EXCEES DIVIDEND DISTRIBUTION TAX PROVISION		18.926	0.000	0.831
Less	APPROPRIATIONS
		Transfer to General Reserve	70.000	60.000	87.500
		Dividend	3.646	21.879	29.005
		Tax on Dividend	0.094	0.000	0.000
		Interim dividend paid during the year	121.582
		Proposed Dividend	21.456	128.735	178.797
	BALANCE CARRIED TO THE B/S		2548.425	2082.180	1944.283
	EARNINGS IN FOREIGN CURRENCY
		Exports at FOB Value	146.739	1281.656	1275.136
		Interest on loans	35.828	24.963	22.900
		Others- Tooling	5.301	6.189	2.562
	TOTAL EARNINGS		187.868	1312.808	1300.598
	IMPORTS
		Raw Materials	904.073	1014.405	996.603
		Stores & Spares	16.034	24.943	30.236
		Capital Goods	32.675	69.203	78.545
	TOTAL IMPORTS		952.782	1108.551	1105.384
	Earnings / (Loss) Per Share (Rs.)		9.29	4.87	10.07

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
PAT / Total Income	(%)	13.81	7.65	12.40
Net Profit Margin (PBT/Sales)	(%)	18.54	10.85	16.80
Return on Total Assets (PBT/Total Assets}	(%)	22.69	12.80	24.79
Return on Investment (ROI) (PBT/Networth)		0.21	0.14	0.29
Debt Equity Ratio (Total Debt/Networth)		0.24	0.40	0.32
Current Ratio (Current Asset/Current Liability)		1.35	1.16	1.71

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	143.037	143.037	143.037
Reserves & Surplus	3022.842	3224.518	3760.028
Net worth	3165.879	3367.555	3903.065
long-term borrowings	458.672	387.466	216.791
Short term borrowings	553.417	969.762	703.429
Total borrowings	1012.089	1357.228	920.220
Debt/Equity ratio	0.320	0.403	0.236

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)
Revenue from operations	5541.603	4457.133	4472.235
		(19.570)	0.339

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Revenue from operations	5541.603	4457.133	4472.235
Profit	724.317	348.511	664.097
	13.07%	7.82%	14.85%

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	No
10]	Designation of contact person	No
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	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

UNSECURED LOANS

PARTICULAR	31.03.2014 (Rs. In Millions)	31.03.2013 (Rs. In Millions)
SHORT TERM BORROWINGS
Loans repayable on demand from Banks
Foreign currency loan-packing credit	41.600	124.580
Foreign currency loan-buyer’s credit	0.000	37.027
Short-term loan from banks	425.000	430.000
Total	466.600	591.607

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10479692	31/01/2014	100,000,000.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI, Maharashtra - 400013, INDIA	B97045553
2	10475866	22/01/2014	30,000,000.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI, Maharashtra - 400013, INDIA	B95605309
3	10403548	22/01/2013	100,000,000.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI, Maharashtra - 400013, INDIA	B68333483
4	10308542	02/09/2011	240,000,000.00	CITIBANK N.A	1st Floor, Pelican Building, Opposite Race Course  Towers, Gotri Road, Vadodara, Gujarat - 390007, INDIA	B21718382
5	10298321	19/06/2012 *	664,300,000.00	STANDARD CHARTERED BANK	ABHIJEET II, GROUND FLOOR, NEAR MITHAKALI SIX ROADS, AHMEDABAD, Gujarat - 380006, INDIA	B42111518
6	80023456	21/06/2012 *	650,000,000.00	STATE BANK OF INDIA - LEAD BANK	MID CORPORATE GROUP INDUSTRIAL FINANCE BRANCH, MARBLE ARCH, RACE COURSE CIRCLE, VADODARA, Gujarat -  390007, INDIA	B42009746

* Date of charge modification

CORPORATE INFORMATION

Subject is a public company domiciled in India and incorporated under the Companies Act, 1956. Equity shares of the company are listed on two stock exchanges in India. The Company is engaged in manufacturing and selling of radiators. The company caters to both domestic and international market

CONTINGENT LIABILITIES:

PARTICULARS	31.03.2014 (Rs. In Millions)	31.03.2013 (Rs. In Millions)
Service tax and excise duty demand	32.964	26.144
Sales tax	4.138	4.806
Letter of credit outstanding	23.490	12.554
Counter guarantees given to the banks in respect of various Guarantees issued by the banks to third parties	176.209	286.116
Claims from employees and former employees amount uncertainable	--	--
Other claims against the company not acknowledged as debts amount uncertainable	--	--

NOTE:

The company is contesting the demands and the management, including its tax advisor, believes that its position is likely to be upheld in the appellate process. No tax expenses have been accrued in the financial statements for the demands raised as above. The management believes that the ultimate outcome of this proceeding will not have a material adverse effect on the company’s financial position and result of operations.

FIXED ASSETS

v Tangible Assets

œ Leasehold Land

œ Freehold Land

œ Buildings

œ Plant and Equipment’s

œ Furniture and Fixtures

œ Vehicles

œ Office Equipment

v Intangible Assets

œ Software

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.61.04
UK Pound	1	Rs.98.63
Euro	1	Rs.77.74

INFORMATION DETAILS

Information Gathered by :	GYT
Analysis Done by :	KAR
Report Prepared by :	ANK

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	7
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	7
--PROFITABILIRY	1~10	7
--LIQUIDITY	1~10	7
--LEVERAGE	1~10	7
--RESERVES	1~10	7
--CREDIT LINES	1~10	7
--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	YES
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		62

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.