MIRA INFORM REPORT

Report Date :

28.10.2014

IDENTIFICATION DETAILS

Name :	GERDAU STEEL INDIA LIMITED
Formerly Known As :	KALYANI GERDAU STEELS LIMITED (w.e.f 08.10.2008) SJK STEEL PLANT LIMITED (w.e.f. 05.02.2004) SJK STEEL CORPORATION LIMITED (w.e.f. 22.03.1995) TADIPATRI METAL INDIA LIMITED (w.e.f. 20.07.1994 ) SUJANA METAL INDIA LIMITED
Registered Office :	Plot No-75, MLAS and MPS Colony, Road No-10C, Jubilee Hills, Hyderabad -  500033, Andhra Pradesh
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	16.03.1993
Com. Reg. No.:	01-015499
Capital Investment / Paid-up Capital :	Rs. 6703.158 Millions
CIN No.: [Company Identification No.]	U27109AP1993PLC015499
TAN No.: [Tax Deduction & Collection Account No.]	HYDS07829D
PAN No.: [Permanent Account No.]	AACCS8629N
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer and Exporter of Special Steel.
No. of Employees :	1000 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (26)

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

Maximum Credit Limit :	USD 13000000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. The management has failed to file its financial record with government department for the year 2013. As per previous financial record of 2012, the company has not earned income from its operational activities and it has incurred huge accumulated losses. However, as claimed by Mr. Chandrashekhar, Finance Head that due to expansion of manufacturing plant the company has not undertaken any business activities during financial year 2011-12. Further he also claimed that company has restated its business operations from 2012-13 and he also provided sales turnover of Rs. 750.000 Millions for the year 2012-13 and Rs. 7500.000 Millions for the year 2013-14 which is not verified. However, trade relations are fair. Business is active. Payments are reported to be slow. The company can be considered for business dealings with great caution.

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 31-03-2012.

INFORMATION PARTED BY

Name :	Mr. Chandrashekhar
Designation :	Finance Manager
Contact No.:	91-40-23542081
Date :	16.10.2014

LOCATIONS

Registered Office :	Plot No-75, MLAS and MPS Colony, Road No-10C, Jubilee Hills, Hyderabad -  500033, Andhra Pradesh, India
Tel. No.:	91-40-23542081
Fax No.:	91-40-23556913
E-Mail :	ksl@kalyanisteels.com kausik.mandal@gerdau.com srini@kalyanigerdau.com
Website :	www.gerdau.in
Head Office :	304/305, World Trade Centre, Bangalore Brigade Gateway Complex, # 26/1 Dr. Rajkumar Road, Malleswaram (West), Bangalore – 560055, Karnataka, India
Tel. No.:	91-80-30262205
Fax No.:	91-80-30262240
Factory :	Jambulapadu Village, Tadipatri Mandal – 515411, Anathpur District, Andhra Pradesh, India
Tel. No.:	91-8558-220222 / 228 / 372 / 306168
Fax No.:	91-8558-211299 / 688 / 306111

DIRECTORS

As on 28.09.2012

Name :

Mr. Yalamanchili Jithin Kumar

Designation :

Director

Address :

Plot No. 320, New MLA and MPS Colony, Road No. 10 C, Jubilee Hills, Hyderabad – 500033, Andhra Pradesh, India

Date of Birth/Age :

09.06.1955

Qualification :

B Com

Date of Appointment :

30.06.1994

DIN No.:

00099750

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	U27109AP1993PLC015499	GERDAU STEEL INDIA LIMITED	Director	30/06/1994	30/06/1994	-	Active	NO
2	U15122AP2012PLC080584	SATYAVATHI FOODS LIMITED	Director	27/04/2012	27/04/2012	-	Active	NO
3	U13209AP2012PLC079892	SATYAVATHI MINERALS AND METALS LIMITED	Additional director	29/05/2013	29/05/2013	-	Active	NO

Name :

Mr. Yalamanchili Janardhana Rao

Designation :

Director

Address :

Plot No. 299, New MLA and MPS Colony, Road No. 10 C, Jubilee Hills, Hyderabad – 500033, Andhra Pradesh, India

Date of Birth/Age :

09.01.1932

Qualification :

Bachelor of Engineering

Date of Appointment :

29.09.2001

DIN No.:

00099891

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	U27109AP1993PLC015499	GERDAU STEEL INDIA LIMITED	Director	29/09/2001	29/09/2001	-	Active	NO
2	U15122AP2012PLC080584	SATYAVATHI FOODS LIMITED	Director	27/04/2012	27/04/2012	-	Active	NO

Name :

Mr. Anand Shirsat

Designation :

Director

Address :

B II/3, Kamal Residency, Sukhsagar Nagar, Kondhwa BK, Pune – 411038, Maharashtra, India

Date of Birth/Age :

14.08.1965

Qualification :

Bachelor of Science, LLB

Date of Appointment :

28.12.2007

Date of cessation :

29.03.2013

DIN No.:

00379551

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	U74201PN1994PTC082815	ENGEE SALES AND SERVICES PRIVATE LIMITED	Director	18/11/2004	18/11/2004	27/04/2010	Active	NO
2	U27109AP1993PLC015499	GERDAU STEEL INDIA LIMITED	Director	28/12/2007	18/10/2006	29/03/2013	Active	NO
3	U23109WB2003PLC097375	BHARAT NRE COKE LIMITED	Alternate director	16/11/2009	16/11/2009	23/01/2012	Active	NO

Name :

Mr. Sanjay Vitthal Yewale

Designation :

Director

Address :

F No. 4, Legand Classic, B Block, Gujrath Coly, Meera Medical, Kothrud, Oune – 411029, Maharashtra, India

Date of Birth/Age :

02.06.1965

Date of Appointment :

28.12.2007

Date of cessation :

29.03.2013

DIN No.:

01291359

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	U63011PN2006PTC128496	MUKAND KALYANI LOGISTICS PRIVATE LIMITED	Director	19/05/2006	19/05/2006	-	Active	YES
2	U27109AP1993PLC015499	GERDAU STEEL INDIA LIMITED	Director	28/12/2007	18/10/2006	29/03/2013	Active	NO
3	U14213PN2007PTC129573	LORD GANESHA MINERALS PRIVATE LIMITED	Director	07/02/2007	07/02/2007	-	Active	NO
4	U65993MH1991PTC059776	POINSETTIA INVESTMENT PRIVATE LIMITED	Director	21/06/2008	21/06/2008	-	Active	NO
5	U65993MH1991PTC059774	ACORUS INVESTMENT PRIVATE LIMITED	Director	21/06/2008	21/06/2008	-	Active	NO
6	U65993PN1991PTC059773	ALOCASIA INVESTMENT PRIVATE LIMITED	Director	21/06/2008	21/06/2008	-	Active	NO
7	U65993MH1991PTC059775	KNIPHOFIA INVESTMENT PRIVATE LIMITED	Director	21/06/2008	21/06/2008	-	Active	NO
8	U65993PN1991PTC059772	OLEANDER INVESTMENT PRIVATE LIMITED	Director	21/06/2008	21/06/2008	-	Active	NO
9	U65993PN1991PTC059771	SPREKELIA INVESTMENT PRIVATE LIMITED	Director	21/06/2008	21/06/2008	-	Active	NO
10	U72200MH1995PTC091677	KALYANI SOFTWARE PRIVATE LIMITED	Director	29/08/2011	29/08/2011	-	Active	NO
11	U70101PN1993PLC074993	KALYANI INTERNATIONAL LIMITED	Additional director	25/06/2012	25/06/2012	-	Active	NO
12	U67100PN2012PTC145720	SRV SHRIRAM HOLDINGS PRIVATE LIMITED	Director	13/12/2012	13/12/2012	-	Active	NO
13	U74900PN2013PTC146563	SRV SHRIRAM FOODS PRIVATE LIMITED	Director	12/03/2013	12/03/2013	-	Active	NO
14	U45200PN2013PTC147311	SRV SHRIRAM BUILDERS AND DEVELOPERS PRIVATE LIMITED	Director	09/05/2013	09/05/2013	-	Active	NO

Name :

Mr. Arwind Swarup Mathur

Designation :

Whole-Time Director

Address :

5, Circuit House Area, North – West, East Singhbhum, Jamshedpur – 831001, Jharkhand, India

Date of Birth/Age :

13.07.1951

Qualification :

Bachelor of Engineering

Date of Appointment :

01.04.2012

Date of cessation :

31.12.2013

DIN No.:

01970341

Name :

Mr. Beaudry J. Andre

Designation :

Director

Address :

6025 Beacon Shores, Tampa Fl, 33616, USA

Date of Birth/Age :

28.07.1958

Qualification :

University Degree in Administration

Date of Appointment :

31.07.2010

Date of cessation :

01.03.2014

DIN No.:

02541241

Name :

Mrs. Deppali Agarwal

Designation :

Director

Address :

1503, Wallace Apartments, Wing 1, NaushirBarucha Road, Grant Road (West), Mumbai – 400007, Maharashtra, India

Date of Birth/Age :

07.03.1973

Qualification :

B. Com, MMF

Date of cessation :

25.08.2014

Date of Appointment :

28.09.2011

DIN No.:

05103218

Name :

Mrs. Kalpana Narendra Saindane

Designation :

Director

Address :

A – 262, 26^th Floor, Twin Tower, Near Kirti College, V.S. Marg, Prabhadevi, Mumbai – 400025, Maharashtra, India

Date of Birth/Age :

06.12.1960

Date of Appointment :

17.03.2012

Date of cessation :

11.10.2013

DIN No.:

05230261

Name :

Mr. Marco Antaniomayer Foletto

Designation :

Whole-time Director

Address :

H – 406, Brigade gateway, No. 26/1, dr. Rajkumar Road, Malleshwaram West, Bangalore – 560055, Karnataka, India

Date of Birth/Age :

24.03.1970

Qualification :

University Degree in Administration

Date of Appointment :

28.09.2012

DIN No.:

05230272

Date of cessation :

22.08.2014

KEY EXECUTIVE

Name :	Mr. Chandrashekhar
Designation :	Finance Manager

MAJOR SHAREHOLDERS

As on 28.09.2012

Names of Equity Shareholders	No. of Shares
Yalamanchili Jithin Kumar	3516606
Y. Uma Rani	598170
Optrex Finexim Private Limited	1512880
Y. Janardhan Rao	402
Y. Suseela Kumari	802
S. K. Gupta	1200
Mala Gupta	1200
Monika Bose	59440
Paramount Sinters Private Limited, India	32000
Power Max India Private Limited, India	99200
Stressed Assets Stabilisation Fund (SASF), India	2767412
Industrial Finance Corporation of India Limited, India	890000
Line Insurance Corporation of India, India	321000
General Corporation of India, India	44802
The New India Assurance Company Limited, India	44802
National Insurance Company Limited, India	30000
The Oriental Insurance Company Limited, India	26880
United India Insurance Company Limited, India	24000
Export Import Bank of India, India	301904
Bank of India, India	430000
Union Bank of India, India	400000
Dena Bank, India	379200
Punjab National Bank, India	340000
Kalyani Investment Company Limited, India	56155556
Corporacion Sinderon, S.A. Y CIA, S.R.C., Espana	1027554866
Total	1095532322

As on 28.09.2012

Names of Preference Shareholders	No. of Shares
Yalamanchili Jithin Kumar	10989394
Y. Uma Rani	1869285
Optrex Finexim Private Limited	4727750
Y. Janardhan Rao	1255
Y. Suseela Kumari	2505
S. K. Gupta	3750
Mala Gupta	3750
Monika Bose	185750
Paramount Sinters Private Limited, India	100000
Power Max India Private Limited, India	310000
Kalyani Investment Company Limited, India	75486111
Total	93679550

As on 25.10.2012

Names of Allottees	No. of Shares
Corporacion Sinderon, S.A. Y CIA, S.R.C., Espana	183609362
Total	183609362

As on 17.01.2013

Names of Allottees	No. of Shares
Gerdau Holding Europa, S.A. Y CIA, S.R.C., Espana	76092169
Total	76092169

As on 15.02.2013

Names of Allottees	No. of Shares
Gerdau Holding Europa, S.A. Y CIA, S.R.C., Espana	260095164
Total	260095164

As on 15.04.2013

Names of Allottees	No. of Shares
Stressed Assets Stabilizatin Fund, India	20000000
Total	20000000

Equity Share Break up (Percentage of Total Equity)

As on 28.09.2012

Category	Percentage
Public Financial companies	0.38
Nationalized or other banks	0.17
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	93.79
Bodies corporate	5.27
Directors or relatives of Directors	0.38
Other top fifty shareholders	0.01
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Special Steel.

Products :

Item Code No.	Product Description
72011000	Pig Iron
72071920	Mildsteel Billets
72249091	Alloysteels Billets

Exports :
Products :	Special Steel
Countries :	Bangladesh Sri Lanka
Imports :
Products :	Raw Material
Countries :	China Brazil Korea Taiwan
Terms :
Selling :	Cash and Advance Payment
Purchasing :	Cash and Advance Payment

PRODUCTION STATUS (As on 31.03.2011)

Particulars	Unit	Licensed Capacity	Installed Capacity
Pig Iron	MTs	250000	250000
Steel Billets	MTs	250000	250000

Note:

1. The Licensed Capacity is as per the acknowledgment bearing number 2824 SIA IMO 2007 Dated 3^rd October 2007 issued by the Ministry Commerce and Industry.

2. Installed capacity is as certified by the management being a technical matter accepted by the auditor in the current year.

GENERAL INFORMATION

No. of Employees :

1000 (Approximately)

Bankers :

· Bank of India, Khairatabad Branch, PTI Building (Ground Floor), A.C. Guards, Hyderabad – 500004, Andhra Pradesh, India

· Dena Bank, M. G. Road, Secunderabad – 500003, Andhra Pradesh, India

· Export Import Bank of India, Center One Building, Floor 21, Wtc Complex Cuffe Parade, Mumbai - 400005, Maharashtra, India

· Punjab National Bank, CMO, Sanathnagar, Erragadda, 999, Hyderabad - 500018, Andhra Pradesh, India

· Standard Chartered Bank

· Deutsche bank

Facilities :

Secured Loans	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
Long Term Borrowings
Term loan from bank	13342.012	14708.720
Total	13342.012	14708.720

Banking Relations :	--
Financial Institutions :	· IFCI Limited, 8th Floor, Taramandal Complex, No, 5-9-13, P.O. Box No. 57, Saifabad, Hyderabad – 500004, Andhra Pradesh, India · International Finance Corporation, 2121 Pennsylvania Avenue, NW, Washington, Dc 20433 USA, Washington - 20433, United States Of America · United India Insurance Company Limited, Investment Department, Ground Floor, 24, Whites House, Chennai - 600014, Tamilnadu, India · National Insurance Company Limited, Everest House, 4^th Floor, 45C, Jawaharlal Nehru Road, Kolkata - 700071, West Bengal, India · General Insurance Corporation of India, "Suraksha", 170, J. Tata Road, Churchgate, Mumbai - 400020, Maharashtra, India · Stressed Assets Stabilization Fund, 9^th Floor, IDBI Tower, WTC Complex, Cuffe Parade, Mumbai - 400005, Maharashtra, India
Auditors :
Name :	Deloitte Haskins and Sells Chartered Accountants
Address :	706, ‘B’ wing, 7^th Floor, ICC Trade Tower, International Convention Centre, Senapati Bapat Marg, Pune – 411016, Maharashtra, India
PAN No.:	AACFD4815A
Holding Company :	Corporation Sidenor, S.A.Y CIA, S.R.C, Spain
Related Parties :	Kalyani Steels Limited, India CIN No.: L27104MH1973PLC016350

CAPITAL STRUCTURE

After 28.09.2012

Authorised Capital : Rs. 20000.000 Millions

Issued, Subscribed & Paid-up Capital : Rs. 16535.225 Millions

As on 28.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
1900000000	Equity Shares	Rs.10/- each	Rs. 19000.000 Millions
100000000	Preference Shares	Rs.10/- each	Rs. 1000.000 Millions
	Total		Rs. 20000.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1095532322	Equity Shares	Rs.10/- each	Rs. 10955.323 Millions
93679550	Preference Shares	Rs.10/- each	Rs. 936.796 Millions
	Total		Rs. 11892.119 Millions

As on 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
600000000	Equity Shares	Rs.10/- each	Rs. 6000.000 Millions
500000000	Preference Shares	Rs.10/- each	Rs. 5000.000 Millions
	Total		Rs. 11000.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
576636200	Equity Shares	Rs.10/- each	Rs. 5766.362 Millions
93679600	Preference Shares	Rs.10/- each	Rs. 936.796 Millions
	Total		Rs. 6703.158 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

SOURCES OF FUNDS	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	6703.158	3699.931
(b) Reserves & Surplus	(5479.612)	(2663.344)
(c) Money received against share warrants	0.000	0.000
(2) Share Application money pending allotment	2032.374	54.678
Total Shareholders’ Funds (1) + (2)	3255.920	1091.265
(3) Non-Current Liabilities
(a) long-term borrowings	13522.012	16009.220
(b) Deferred tax liabilities (Net)	0.000	0.000
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	13.556	6.799
Total Non-current Liabilities (3)	13535.568	16016.019
(4) Current Liabilities
(a) Short term borrowings	0.000	0.000
(b) Trade payables	1482.980	286.216
(c) Other current liabilities	693.560	390.760
(d) Short-term provisions	4.217	3.258
Total Current Liabilities (4)	2180.757	680.234
TOTAL	18972.245	17787.518
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	5838.485	8246.487
(ii) Intangible Assets	32.317	0.000
(iii) Capital work-in-progress	2953.059	1201.833
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	84.947	84.947
(c) Deferred tax assets (net)	0.000	0.000
(d) Long-term Loan and Advances	1060.740	673.082
(e) Other Non-current assets	5811.427	6661.434
Total Non-Current Assets	15780.975	16867.783
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	1519.777	316.911
(c) Trade receivables	0.105	0.371
(d) Cash and cash equivalents	1263.747	465.029
(e) Short-term loans and advances	403.970	131.593
(f) Other current assets	3.671	5.831
Total Current Assets	3191.270	919.735
TOTAL	18972.245	17787.518

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		2510.863
2] Share Application Money		656.283
3] Reserves & Surplus		(1441.878)
4] (Accumulated Losses)		0.000
NETWORTH		1725.268
LOAN FUNDS
1] Secured Loans		14616.756
2] Unsecured Loans		180.000
TOTAL BORROWING		14796.756
DEFERRED TAX LIABILITIES		0.000
TOTAL		16522.024
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		8647.704
Capital work-in-progress		7043.604
INVESTMENT		84.946
DEFERRED TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	246.463
	Sundry Debtors	1.171
	Cash & Bank Balances	554.625
	Other Current Assets	2.478
	Loans & Advances	145.447
Total Current Assets		950.184
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	180.414
	Other Current Liabilities	10.404
	Provisions	13.596
Total Current Liabilities		204.414
Net Current Assets		745.770
MISCELLANEOUS EXPENSES		0.000
TOTAL		16522.024

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	0.000	17.639	178.766
		Other Income	40.409	118.813	75.647
		TOTAL (A)	40.409	136.452	254.413
Less	EXPENSES
		Cost of materials consumed	358.668	51.490
		Employee benefit expense	207.514	112.963	502.160
		Other expenses	427.143	376.083
		Exceptional Items	1832.224	0.000
		Changes in inventories of finished goods, work-in-progress and stock-in-trade	(336.012)	(55.033)
		TOTAL (B)	2489.537	485.503	502.160
Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		(2449.128)	(349.051)	(247.747)
Less	FINANCIAL EXPENSES (D)		448.381	462.959	357.793
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		(2897.509)	(812.010)	(605.540)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		344.023	414.549	436.784
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)		(3241.532)	(1226.559)	(1042.324)
Less	TAX (H)		1.851	(5.093)	0.000
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)		(3243.383)	(1221.466)	(1042.324)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(5834.777)	(4613.311)	(3570.987)
	BALANCE CARRIED TO THE B/S		(9078.160)	(5834.777)	(4613.311)
	IMPORTS
		Capital Goods	135.821	331.356	857.762
		Raw Materials	1065.473	0.000	0.000
	TOTAL IMPORTS		1201.294	331.356	857.762
	Earnings / (Loss) Per Share (Rs.)		(9.39)	(4.95)	(7.51)

Note: The Company has started its manufacturing activity from December 2012.

Particulars	31.03.2014	31.03.2013
Sales Turnover (Approximately)	7500.000	750.000

The above information has been parted by Mr. Chandrashekhar.

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	(8026.39)	(895.16)	(409.70)
Net Profit Margin (PBT/Sales)	(%)	0.00	(6953.68)	(583.06)
Return on Total Assets (PBT/Total Assets}	(%)	(20.34)	(7.97)	(10.86)
Return on Investment (ROI) (PBT/Networth)		(1.00)	(1.12)	(0.60)
Debt Equity Ratio (Total Debt /Networth)		4.15	14.67	8.58
Current Ratio (Current Asset/Current Liability)		1.46	1.35	4.65

FINANCIAL ANALYSIS

[All figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2011	31.03.2012
	(Rs. In Millions)	(Rs. In Millions)
Share Capital	3699.931	6703.158
Reserves & Surplus	(2663.344)	(5479.612)
Share Application money pending allotment	54.678	2032.374
Net worth	1091.265	3255.920
long-term borrowings	16009.22	13522.012
Short term borrowings	0.000	0.000
Total borrowings	16009.220	13522.012
Debt/Equity ratio	14.670	4.153

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2010	31.03.2011	31.03.2012
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	254.413	136.452	40.409
		(46.366)	(70.386)

NET PROFIT MARGIN

Net Profit Margin	31.03.2010	31.03.2011	31.03.2012
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	254.413	136.452	40.409
Profit	(1042.324)	(1221.466)	(3243.383)
	(409.70%)	(895.16%)	(8026.39%)

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 five 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	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

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10350087	27/03/2012	2,051,835.00	UNITED INDIA INSURANCE COMPANY LIMITED	INVESTMENT DEPARTMENT, GROUND FLOOR, 24, WHITES HOUSE, CHENNAI - 600014, TAMIL NADU, INDIA	B37706785
2	10349784	27/03/2012	2,451,279.00	NATIONAL INSURANCE COMPANY LIMITED	EVEREST HOUSE, 4TH FLOOR, 45C, JAWAHARLAL NEHRU ROAD, KOLKATA - 700071, WEST BENGAL, INDIA	B37621943
3	10353517	27/03/2012	4,310,290.00	GENERAL INSURANCE CORPORATION OF INDIA	"SURAKSHA", 170, J. TATA ROAD, CHURCHGATE, MUMBAI - 400020, MAHARASHTRA, INDIA	B38876017
4	10351677	27/03/2012	28,923,190.00	EXPORT-IMPORT BANK OF INDIA	CENTER ONE BUILDING, FLOOR 21, WTC COMPLEX CUFFE PARADE, MUMBAI - 400005, MAHARASHTRA, INDIA	B38204541
5	10349779	27/03/2012	43,736,846.00	PUNJAB NATIONAL BANK	CMO, SANATHNAGAR,, ERRAGADDA, 999, HYDERABAD - 500018, ANDHRA PRADESH, INDIA	B37620119
6	10351870	27/03/2012	53,100,000.00	BANK OF INDIA	KHAIRATABAD BRANCH, GROUND FLOOR, P.T.I. BUILDING, A. C. GUARDS, MASAB TANK, HYDERABAD - 500004, ANDHRA PRADESH, INDIA	B38271763
7	10349774	27/03/2012	258,837,784.00	STRESSED ASSETS STABILIZATION FUND	9TH FLOOR, IDBI TOWER,, WTC COMPLEX, CUFFE PARADE, MUMBAI - 400005, MAHARASHTRA, INDIA	B37619046
8	10352339	27/03/2012	1,120,500,000.00	INTERNATIONAL FINANCE CORPORATION	2121 PENNSYLVANIA AVENUE, NW, WASHINGTON, DC 2043 3 USA, WASHINGTON, - 20433, UNITED STATES OF AMERICA	B38441572
9	10255903	26/11/2010	5,223,000.00	NATIONAL INSURANCE COMPANY LIMITED	EVEREST HOUSE, 4TH FLOOR, 45C, JAWAHARLAL NEHRU ROAD, KOLKATA - 700071, WEST BENGAL, INDIA	B01544279
10	10254038	26/11/2010	41,123,000.00	UNITED INDIA INSURANCE COMPANY LIMITED	INVESTMENT DEPARTMENT, GROUND FLOOR, 24, WHITES HOUSE, CHENNAI - 600014, TAMIL NADU, INDIA	B00583971
11	10254408	26/11/2010	70,683,000.00	GENERAL INSURANCE CORPORATION OF INDIA	"SURAKSHA", 170, J. TATA ROAD, CHURCHGATE, MUMBAI - 400020, MAHARASHTRA, INDIA	B00833046
12	10255644	26/11/2010	328,880,000.00	EXPORT-IMPORT BANK OF INDIA	CENTER ONE BUILDING, FLOOR 21, WTC COMPLEX CUFFE PARADE, MUMBAI - 400005, MAHARASHTRA, INDIA	B01448612
13	10254036	26/11/2010	562,773,000.00	PUNJAB NATIONAL BANK	CMO, SANATHNAGAR, ERRAGADDA, 999, HYDERABAD - 500018, ANDHRA PRADESH, INDIA	B00582874
14	10254053	26/11/2010	718,121,000.00	BANK OF INDIA	KHAIRATABAD BRANCH, GROUND FLOOR, P.T.I. BUILDING, A. C. GUARDS, MASAB TANK, HYDERABAD - 500004, ANDHRA PRADESH, INDIA	B00583484
15	10254654	26/11/2010	3,493,437,000.00	STRESSED ASSETS STABILIZATION FUND	9TH FLOOR, IDBI TOWER,, WTC COMPLEX, CUFFE PARADE, MUMBAI - 400005, MAHARASHTRA, INDIA	B00999532
16	10153308	25/02/2009	349,350,000.00	AXIS BANK LIMITED	1262/B,STERLING PLAZA,JANGLI MAHARAJ ROAD, DECCAN GYMKHANNA, PUNE, MAHARASHTRA - 411004, INDIA	A60659083
17	10127881	26/11/2010 *	1,300,000,000.00	BANK OF INDIA	KHAIRATABAD BRANCH, PTI BUILDING (GROUND FLOOR), A.C. GUARDS, HYDERABAD - 500004, ANDHRA PRADESH, INDIA	B01799253
18	10106334	19/06/2008	650,000,000.00	AXIS BANK LIMITED	1262/B STERLING PLAZA JANGLI MAHARAJ ROAD, DECCAN GYMKHANA, PUNE - 411004, MAHARASHTRA, INDIA	A39971072
19	10095240	18/03/2008	909,522,809.00	PUNJAB NATIONAL BANK	CMO, SANATH NAGAR, ERRAGADDA,, HYDERABAD, ANDHRA P RADESH - 500018, INDIA	A35474022
20	10072263	28/09/2007	1,166,205,900.00	BANK OF INDIA	KHAIRATABAD BRANCH, A.C. GUARDS,, POST BOX NO.53, HYDERABAD, ANDHRA PRADESH - 500004, INDIA	A25309725
21	80066360	29/03/2004	6,000,000.00	NATIONAL INSURANCE COMPANY LIMITED	3, , MIDDLETON STREET,, KOLKATA, WEST BENGAL - 70 0071, INDIA	-
22	80066352	29/03/2004	8,000,000.00	UNITED INDIA INSURANCE COMPANY LIMITED	24,, WHITES ROAD, MADRAS, TAMIL NADU - 600014, IN DIA	-
23	90136885	29/03/2004	10,000,000.00	GENERAL INSURANCE CORPORATION OF INDIA	SURAKSHA, 170; J. TATA ROAD, MUMBAI, MAHARASHTRA - 400020, INDIA	-
24	80066359	23/03/2004	9,210,000.00	INDUSTRIAL DEVELOPMENT BANK OF INDIA	IDBI TOWER, WTC COMPLEX, CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA	-
25	90138484	29/03/2004 *	360,000,000.00	INDUSTRIAL DEVELOPMENT BANK OF INDIA	D. NO. 5-9-89/1&2, CHAPEL ROAD; PB. NO. 370, HYDERABAD - 500001, ANDHRA PRADESH, INDIA	-
26	90138464	29/03/2004 *	165,500,000.00	PUNJAB NATIONAL BANK	SANATHNAGAR, HYDERABAD, ANDHRA PRADESH, INDIA	-
27	90138459	23/10/2003	214,500,000.00	BANK OF INDIA	KHAIRATABAD BRANCH, PTI BUILDING; A C GUARDS, HYDERABAD - 500004, ANDHRA PRADESH, INDIA	-
28	90138432	29/03/2004 *	10,500,000.00	NATIONAL INSURANCE COMPANY LIMITED	3.; MIDDLETON STREET, KOLKATA - 700071, WEST BENGAL, INDIA	-
29	90138429	29/03/2004 *	10,500,000.00	THE ORIENTAL BANK OF COMMERCE	ORIENTAL HOUSE; PB NO. 7037, A-25/27; ASAF ALI RO AD, NEW DELHI - 110002, INDIA	-
30	80066349	10/05/2003	203,225,000.00	BANK OF INDIA	KHARITABAD BRANCH, PTI BUILDING, AC GUARDS, HYDERABAD - 500004, ANDHRA PRADESH, INDIA	-
31	90140263	29/03/2004 *	207,000,000.00	BANK OF INDIA	KHAIRATABAD BRANCH, PTI BUILDING; A.C. GUARDS, HYDERABAD - 500004, ANDHRA PRADESH, INDIA	-
32	90138424	29/03/2004 *	17,500,000.00	GENERAL INSURANCE CORPORATION OF INDIA	SURAKSHA, 170; J.TATA ROAD, MUMBAI - 400020, MAHARASHTRA, INDIA	-
33	90138418	29/03/2004 *	124,000,000.00	EXPORT-IMPORT BANK OF INDIA	CENTRE ONE BUILDING, FLOOR 21; WORLD TRADE CENTRE; CUFFE PARADE, MUMBAI - 400005, MAHARASHTRA, INDIA	-
34	90138414	17/03/2003	151,510,000.00	PUNJAB NATIONAL BANK	SANATHNAGAR, HYDERABAD, ANDHRA PRADESH, INDIA	-
35	90138386	19/08/2004 *	24,903,000.00	PUNJAB NATIONAL BANK	SANATHNAGAR, HYDERABAD, ANDHRA PRADESH, INDIA	-
36	80066348	31/03/2001	87,500,000.00	BANK OF INDIA	KHARITABAD BRANCH, PTI BUILDING, AC GUARDS,, HYDERABAD, ANDHRA PRADESH - 500004, INDIA	-
37	90138244	19/08/2004 *	68,000,000.00	PUNJAB NATIONAL BANK	SANATHNAGAR, HYDERABAD, ANDHRA PRADESH, INDIA	-
38	80066346	23/03/2000	31,607,000.00	BANK OF INDIA	KHAIRTABAD BRANCH, PTI BUILDING, AC GUARDS, HYDERABAD - 500004, ANDHRA PRADESH, INDIA	-
39	90138186	29/03/2004 *	30,000,000.00	GENERAL INSURANCE CORPORATION OF INDIA	SURAKSHA, 170; J.TATA ROAD, MUMBAI - 400020, MAHARASHTRA, INDIA	-
40	90138050	10/06/1998	500,000,000.00	BANK OF INDIA	KHAIRATABAD BRANCH, HYDERABAD - 500004, ANDHRA PRADESH, INDIA	-
41	90138019	19/08/2004 *	200,000,000.00	PUNJAB NATIONAL BANK	SANATHNAGAR, HYDERABAD, ANDHRA PRADESH, INDIA	-
42	90138007	19/12/1997 *	150,000,000.00	EXPORT-IMPORT BANK OF INDIA	CENTRE ONE, WORLD TRADE CENTRE; CUFFE PARADE, MUMBAI - 400005, MAHARASHTRA, INDIA	-
43	90138000	19/12/1997 *	500,000,000.00	THE INDUSTRIAL FINANCE CORPORATION OF INDIA LIMITED	IFCI TOWER; 61; NEHRU PLACE, P.B. NO. 4499, NEW DELHI - 110019, INDIA	-
44	90137996	24/11/1997 *	450,000,000.00	INDUSTRIAL DEVELOPMENT BANK OF INDIA	IDBI TOWER, CUFFE PARADE, MUMBAI - 400005, MAHARASHTRA, INDIA	-
45	90137924	24/03/1997 *	200,000,000.00	BANK OF INDIA	KHAIRATABAD BRANCH, HYDERABAD - 500004, ANDHRA PRADESH, INDIA	-
46	90137868	19/06/1996	400,000,000.00	BANK OF INDIA	KHAIRATABAD BRANCH, HYDERABAD, ANDHRA PRADESH, INDIA	-
47	90137863	03/06/1996	6,000,000.00	ASIAN FINANCE AND INVESTMENT CORPORATION LIMITED	80; RAFFLES PLACE, 50-01; UDB PLAZA 1, SINGAPORE	-
48	90137822	24/03/1997 *	50,000,000.00	GENERAL INSURANCE CORPORATION OF INDIA	SURAKSHA, 170; J. TATA ROAD; CHURCHGATE, MUMBAI - 400021, MAHARASHTRA, INDIA	-
49	90137775	24/03/1997 *	400,000,000.00	INDUSTRIAL DEVELOPMENT BANK OF INDIA	IDBI TOWERS, CUFFE PARADE; COLABA, MUMBAI - 400005, MAHARASHTRA, INDIA	-

* Date of charge modification

UNSECURED LOANS:

Particulars	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
Long Term Borrowings
Loans and advances from director	180.000	180.000
Other loans and advances	0.000	1120.500
Total	180.000	1300.500

PROJECT STATUS:

Company has already commissioned the Sinter plant and Captive power plant in Aug/2012. Modernization of Blast Furnace is done and ready for production. SMS (Steel Melting Shop) modernization is almost done and getting ready for production by Oct/2012. New Rolling Mill is getting ready for production by Dec/2012. Board is pleased to inform that company has planned to start production of Blast Furnace and SMS in Oct/2012 along with sinter plant and captive power plant followed with Rolling Mill production in Dec/2012.

FINANCIAL RESULTS:

The plant was under shut down during the year to enable the completion of phase-I capex program.

During the year, the Company has achieved other income of Rs 40.409 Million and has made a loss of Rs. 3243.383 Million which is inclusive of Rs 1832.224 Million on account of exceptional items.

FIXED ASSETS:

• Land
• Building
• Plant and Equipment
• Furniture and fixture
• Vehicle
• Office Equipment

ARTICLES:

BRAZIL'S GERDAU BUYS OUT KALYANI STAKE IN TADIPATRI STEEL PLANT

18 March 2013

Brazilian steel company Gerdau has acquired virtually full ownership of what was so far Kalyani Gerdau, a steel plant at Tadipatri in Anantapur district of Andhra Pradesh, and announced today that the company's name would be changed from Kalyani Gerdau to Gerdau.

The Tadipatra plant is the first in Asia for Geradu, known for its 'long steel' products.

In 2007, Gerdau entered into a joint venture with Karnataka-based Kalyani Steels Limited to acquire SJK Steel Plant Limited, with an equal partnership of 45 per cent each. The remaining 10-per cent stake was been held between the previous owner and financial institutions.

By acquiring Kalyani's share, Gerdau now owns 99.5 per cent of the Tadipatri unit.

Gerdau director Visweswaran said, "With the expansion of the equity base, the shareholding of the FIs and the previous owner of the unit has declined to 0.5 per cent".

The plant has an installed capacity of 300,000 tonnes for special steels, mainly focused on the automotive industry; and has also recently started operations of its blast furnace, melt shop, sinter plant, power plant and rolling mill.

''This is a new and very important chapter in Gerdau's history.  As we begin our 112th year of business, the start of the production of special steel in India represents our expansion to an important country, with an impressive cultural richness, good economic prospective and very dedicated people," Gerdau's chief executive officer André B Gerdau Johannpeter said in a press release.

Arvind Mathur, the company's executive director in India, said this move would pave way for Gerdau to cater for the Indian domestic market while improving overall standards in the quality of steels manufactured in the country.

GERDAU ACQUIRES KALYANI'S STAKE IN TADIPATRI STEEL PLANT

Brazilian company Gerdau, a leading producer of long steel in the American subcontinent, on Monday announced majority ownership of its first plant in Asia at Tadipatri in Anantapur district of Andhra Pradesh and change of the unit's name from Kalyani Gerdau to Gerdau.

In 2007, Gerdau entered into a joint venture with Karnataka-based Kalyani Steels Limited to acquire SJK Steel Plant Limited with an equal partnership of 45% holding to form a joint venture. The remaining 10 % stake had been held by the previous owner and financial institutions. Gerdau acquired Kalyani's share and thus now holds a majority stake in the steel unit.

According to Gerdau director Visweswaran, the Brazilian company now holds about 99.5% stake in the Tadipatri unit. Speaking to Business Standard he said”With the expansion of the equity base, the shareholding of the FIs and the previous owner of the unit declined to 0.5%".

Other than having an installed capacity of 300,000 tonnes of special steels, mainly focused on the automotive market, the plant has recently started operations of its blast furnace, melt shop, sinter plant, power plant and rolling mill.

“This is a new and very important chapter in Gerdau’s history.  As we begin our 112th year of business, the start of the production of special steel in India represents our expansion to an important country, with an impressive cultural richness, good economic prospective and very dedicated people," Gerdau’s CEO, André B. Gerdau Johannpeter, stated in a press release.

Arvind Mathur, the company's Executive Director in India seemed much positive about the ventuer and expressed that this move would pave way for Gerdau to come to India and cater to the domestic market to the benefit of its customers and improve over all standards in quality of steels manufactured in the country

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. 61.22
UK Pound	1	Rs. 98.52
Euro	1	Rs. 97.75

INFORMATION DETAILS

Information Gathered by :	SVA
Analysis done by :	KAR
Report Prepared by :	SNT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	---
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--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		26

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.