MIRA INFORM REPORT

Report Date :

10.09.2014

IDENTIFICATION DETAILS

Name :	TOYO INK INDIA PRIVATE LIMITED
Registered Office :	82, Functional Industrial Estate, Patparganj Industrial Area, Delhi – 110 092
Country :	India
Financials (as on) :	31.12.2012
Date of Incorporation :	03.08.2006
Com. Reg. No.:	55-151575
Capital Investment / Paid-up Capital :	Rs. 1539.300 Millions
CIN No.: [Company Identification No.]	U22219DL2006PTC151575
TAN No.: [Tax Deduction & Collection Account No.]	DELM13911C
PAN No.: [Permanent Account No.]	AACCT5137A
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Seller of printing ink and specialty chemical products.
No. of Employees :	Information declined by the Management.

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 3441000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. The management has filed to file its financial record with government department for the year 2013. As per available financial record of 2012, the company has incurred huge accumulated losses and profitability of the company is under pressure. However, trade relations are fair. Business is active. Payments terms are reported to be slow. The company can be considered for business dealing with some 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

As per the latest IMF study, the total weigh of emerging markets in the GDP of the world on a purchasing power parity basis has seen a sizeable shift. It highlights how as against 51 % in 2005, the emerging economies now account for close to 56 % of the global purchasing power GDP as per the latest survey. And with the emerging economies growing at a faster rate than their developed counterparts, there are every possibility that the their share goes up further in the coming years.  China may surpass the US over the next few years.

Politics and economics are very intricately connected. They tend to influence each other in ways that could be very complex and far-reaching. The prospects of the India’s economy have been seriously compromised due to political corruption. High inflation, poor standard of living are to a great extent a result of rampant corruption in the country. China on the other hand, seems to be facing diametrically opposite challenge. American hedge fund manager Jim Chanos has been keenly following the political and economic development in the dragon economy and has figured out something that is quite worrying. He is of the view that the Chinese economy could be heading toward trouble on account of new Chinese President Xi Jingping’s very aggressive anti-corruption drive. Chanos believes tat many things such as apartment sales, luxury products, etc. were largely bought with dirty money. And it is now beginning to impact consumption. This may indeed be bad news for an economy that is struggling to transition from an investment-driven export-oriented economy to a domestic consumption-driven economy.

A study published by Firstpost has revealed that asset classes like real estate and equities were the biggest beneficiaries of the liberalization policies.  A firm called Ciane Analytics studied returns from assets including equities, gold, fixed deposits, G-Secs and real estate since 1991. Real estate outperformed every other asset classes during the 23-year period with an annualized return of 20 % ! Equities came in second with annualized return of 15.5 % ! However, while these returns may seem mouthwatering, the fact is that the return from equities adjusted for inflation came down to just 7.1 %.

Some brief news are as under

. R-Power to buy Jaypee’s hydro assets

. Investors await justice in NSEL case

. India seeks MFN status from Pakistan ahead of meeting

. Ukrain’s clashes with rebels hinder MH17 crash investigation

. India exploring merger of state-owned hydro PSUs

..Higher costs weigh down profit growth to slowest in 9 quarters

..Wal-Mart to expand wholesale business in India

. GMR group moves to strengthen balance sheet

. Central Bank to sell 4 % stake to Life Insurance Corporation

. Tata Chemicals plans to raise up to Rs 10000 mn.

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

Management non-cooperative

(Tel. No.: 91-12-2935002)

LOCATIONS

Registered Office/ Delhi Depot :	82, Functional Industrial Estate, Patparganj Industrial Area, Delhi – 110 092, India
Tel. No.:	91-11-42058093/ 42147181
Fax No.:	91-11-42147740
E-Mail :	rahul@toyoinkindia.com info@toyoinkindia.co.in
Website :	http://www.toyoinkindia.com
Head Office/ Corporate Office/ Delhi Plant :	Plot No.17, Ecotech-III, Udyog Kendra, District Greater Noida – 201 306, Gautam Budh Nagar, Uttar Pradesh, India
Tel. No.:	91-120-2935002/ 004/ 005
Fax No.:	91-120-2397100
Gujarat Plant :	Plot No.2/23, Dahej D-II, Village: Jolwa, District: Bharuch – 392 130, Gujarat, India
Mumbai Depot :	Building No.8, Shah Industrial Plaza, S. No./H. No.57/1, Village Sativali, Taluka Vasai, District Thane – 401 208, Maharashtra, India
Manufacturing Network :	Located at: · Kerala · Goa · Orissa · Chattishgarh · Jharkhand · Madhya Pradesh · Bihar · Assam · Meghalaya · Arunachal Pradesh · Nagaland · Manipur · Mizoram · Himachal Pradesh · Haryana · Uttaranchal · Uttar Pradesh · Rajasthan
Sales Representatives :	Located at: · Punjab · West Bengal · Gujarat · Maharashtra · Andhra Pradesh · Karnataka · Tamilnadu

DIRECTORS

AS ON 29.06.2013

Name :

Mr. Bodi Singh Kampani

Designation :

Managing Director

Address :

B-601, Shangrila Apartment, 7 Bunglows, Andheri (West), Mumbai – 400 058, Maharashtra

Date of Birth/Age :

28.03.1952

Date of Appointment :

29.10.2007

DIN No.:

00046415

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	L24223WB1947PLC015202	DIC INDIA LIMITED	Whole-time director	30-10-2001	30-10-2001	02-04-2007	Active	NO
2	U91110MH1953NPL009087	ALL INDIA PRINTING INK MANUFACTURERS ASSOCIATION LIMITED	Director	16-09-2005	16-09-2005	-	Active	NO
3	U22219DL2006PTC151575	TOYO INK INDIA PRIVATE LIMITED	Managing director	29-10-2007	01-06-2007	-	Active	NO
4	U74900DL2007PTC168260	TOYO INK BUSINESSNETWORK INDIA PRIVATE LIMITED	Director	15-10-2008	11-10-2007	-	Active	NO
5	U24233GJ2013PTC075468	HEUBACH TOYO COLOUR PRIVATE LIMITED	Additional director	21-08-2013	21-08-2013	-	Active	NO

Name :

Shingo Nishikaze

Designation :

Whole-time Director

Address :

2-3-13, Kyobashi Chuo-Ward Tokyo, Japan 1048377

Date of Birth/Age :

13.06.1961

Date of Appointment :

12.03.2012

DIN No.:

05239862

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	U74900DL2007PTC168260	TOYO INK BUSINESSNETWORK INDIA PRIVATE LIMITED	Additional director	12-03-2012	12-03-2012	-	Active	NO
2	U22219DL2006PTC151575	TOYO INK INDIA PRIVATE LIMITED	Whole-time director	12-03-2012	12-03-2012	-	Active	NO
3	U24233GJ2013PTC075468	HEUBACH TOYO COLOUR PRIVATE LIMITED	Director	05-06-2013	05-06-2013	-	Active	NO

Name :

Takashi Imaizumi

Designation :

Director

Address :

22-92, Vmegaoka, Aobaku Yokohama, Japan 2270052

Date of Birth/Age :

24.08.1966

Date of Appointment :

25.06.2012

DIN No.:

05239877

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	U22219DL2006PTC151575	TOYO INK INDIA PRIVATE LIMITED	Director	25-06-2012	08-05-2012	-	Active	NO
2	U74900DL2007PTC168260	TOYO INK BUSINESSNETWORK INDIA PRIVATE LIMITED	Additional director	25-05-2012	25-05-2012	-	Active	NO

Name :

Hiroyuki Kawashima

Designation :

Additional Director

Address :

4-9-2, Nangai Higashimurayama City, Tokyo

Date of Birth/Age :

22.06.1958

Date of Appointment :

01.07.2013

DIN No.:

06715618

KEY EXECUTIVES

Name :	Mr. Rahul Prasad
Designation :	Secretary
Address :	Flat No.115, United India Apartment, Mayur Vihar, Phase I (Extension), Delhi – 110 091, India
Date of Birth/Age :	13.07.1975
Date of Appointment :	07.02.2012
PAN No.:	ALXPP2706L

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 29.06.2013

Names of Shareholders	No. of Shares
Toyo Ink SC Holdings Company Limited, Japan	153920000
Toyo Ink Pan Pacific Pte Limited, Singapore	10000
Total	153930000

AS ON 25.10.2013

Names of Allottee	No. of Shares
Toyo Ink SC Holdings Company Limited, Japan	65100000
Total	65100000

AS ON 29.06.2013

Equity Share Breakup	Percentage of Holding
Category
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Seller of printing ink and specialty chemical products.

Products :

ITC Code	Product Descriptions
506064271	Commercial Printing Ink

PRODUCTION STATUS (AS ON 31.12.2011):

Particulars	Unit	Licensed Capacity	Installed Capacity*	Actual Production
Printing ink	Kgs	N.A.	4,815,000	1,908,156

*Installed capacity is as certified by the management and has not been verified by the auditors, it being a technical matter.

GENERAL INFORMATION

No. of Employees :

Information declined by the Management.

Bankers :

Not Available

Facilities :

Secured Loans	31.12.2012 (Rs. in Millions)	31.12.2011 (Rs. in Millions)
Long Term Borrowings
Rupee term loan from banks	0.184	0.693
	0.184	0.693

Banking Relations :	--
Auditors :
Name :	BSR and Associates Chartered Accountants
Address :	Building No.10, 8th Floor, Tower-B, DLF Cyber City, Phase-II, Gurgaon – 122 002, Haryana, India
Income-tax PAN of auditor or auditor's firm :	AADFB6889R
Holding Company :	Toyo Ink SC Holdings Company Limited, Japan (formerly known as Toyo Ink Mfg. Company Limited, Japan)
Subsidiary Company :	Toyo Ink Businessnetwork India Private Limited (formerly known as Technova Toyo Ink Private Limited) (CIN No.: U74900DL2007PTC168260)
Fellow Subsidiary :	· Toyo Chem Ink Pte. Limited · Toyo Ink Company Limited · Toyo Chem SDN BHD · Toyo Ink (Thailand) Company Limited · Toyo Ink Coating (Thailand) Company Limited · Toyo Ink Europe (Paris) S.A.S. · Toyo Ink Asia Limited · Toyo Ink Europe S.A. · Toyo Chem Speciality Chemical Limited · Toyo Morton Limited · Toyo Ink (Middle East) Ftz · PT. Toyo Ink Indonesia

CAPITAL STRUCTURE

AFTER 29.06.2013

Authorised Capital : Rs. 2800.000 Millions

Issued, Subscribed & Paid-up Capital : Rs. 2744.954 Millions

AS ON 29.06.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
160000000	Equity Shares	Rs.10/- each	Rs.1600.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
153930000	Equity Shares	Rs.10/- each	Rs.1539.300 millions

AS ON 31.12.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
95000000	Equity Shares	Rs.10/- each	Rs.950.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
94630000	Equity Shares	Rs.10/- each	Rs.946.300 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.12.2012	31.12.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	1539.300	946.300
(b) Reserves & Surplus	(408.558)	(356.023)
(c) Money received against share warrants	0.000	0.000
(2) Share Application money pending allotment	0.000	3.700
Total Shareholders’ Funds (1) + (2)	1130.742	593.977
(3) Non-Current Liabilities
(a) long-term borrowings	45.796	0.693
(b) Deferred tax liabilities (Net)	0.000	0.000
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	0.964	0.106
Total Non-current Liabilities (3)	46.760	0.799
(4) Current Liabilities
(a) Short term borrowings	0.000	0.000
(b) Trade payables	183.459	166.407
(c) Other current liabilities	26.116	280.765
(d) Short-term provisions	1.139	0.337
Total Current Liabilities (4)	210.714	447.509
TOTAL	1388.216	1042.285
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	690.927	445.106
(ii) Intangible Assets	0.000	0.000
(iii) Capital work-in-progress	1.500	0.497
(iv) Intangible assets under development	3.937	3.937
(b) Non-current Investments	8.847	9.455
(c) Deferred tax assets (net)	0.000	0.000
(d) Long-term Loan and Advances	0.000	0.000
(e) Other Non-current assets	135.570	103.133
Total Non-Current Assets	840.781	562.128
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	194.430	173.250
(c) Trade receivables	220.031	188.226
(d) Cash and cash equivalents	65.236	86.016
(e) Short-term loans and advances	67.449	32.041
(f) Other current assets	0.289	0.624
Total Current Assets	547.435	480.157
TOTAL	1388.216	1042.285

SOURCES OF FUNDS		31.12.2010
SHAREHOLDERS FUNDS
1] Share Capital		671.300
2] Share Application Money		275.000
3] Reserves & Surplus		45.700
4] (Accumulated Losses)		(244.485)
NETWORTH		747.515
LOAN FUNDS
1] Secured Loans		1.965
2] Unsecured Loans		0.000
TOTAL BORROWING		1.965
DEFERRED TAX LIABILITIES		0.000
TOTAL		749.480
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		455.066
Capital work-in-progress		26.854
INVESTMENT		22.688
DEFERRED TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	68.992
	Sundry Debtors	92.228
	Cash & Bank Balances	36.472
	Other Current Assets	0.183
	Loans & Advances	96.864
Total Current Assets		294.739
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	45.767
	Other Current Liabilities	3.741
	Provisions	0.359
Total Current Liabilities		49.867
Net Current Assets		244.872
MISCELLANEOUS EXPENSES		0.000
TOTAL		749.480

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.12.2012	31.12.2011	31.12.2010
	SALES
		Income (Gross)	747.334	576.242	248.343
		Other Income	NA	NA	NA
		TOTAL	NA	NA	NA
Less	EXPENSES
		TOTAL	NA	NA	NA
	NET PROFIT/ (LOSS)		(52.534)	(157.239)	(80.284)
	EARNINGS IN FOREIGN CURRENCY
	TOTAL EARNINGS		84.733	155.223	NA
	IMPORTS
		Raw Materials	89.083	50.518	15.287
		Capital Goods	8.699	7.589	0.000
		Stores & Spares	0.039	0.000	0.116
	TOTAL IMPORTS		97.821	58.107	15.403

KEY RATIOS

PARTICULARS	31.12.2012	31.12.2011	31.12.2010
Debt Equity Ratio (Total Debt/Networth)	0.04	0.00	0.00
Current Ratio (Current Asset/Current Liability)	2.60	1.07	5.91

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.12.2011	31.12.2012
	(Rs. In Millions)	(Rs. In Millions)
Share Capital	946.300	1539.300
Reserves & Surplus	(356.023)	(408.558)
Share Application money pending allotment	3.700	0.000
Net worth	593.977	1130.742
long-term borrowings	0.693	45.796
Short term borrowings	0.000	0.000
Total borrowings	0.693	45.796
Debt/Equity ratio	0.001	0.041

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.12.2010	31.12.2011	31.12.2012
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	248.343	576.242	747.334
		132.035	29.691

NET PROFIT MARGIN

Net Profit Margin	31.12.2010	31.12.2011	31.12.2012
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	248.343	576.242	747.334
Profit	(80.284)	(157.239)	(52.534)
	(32.33%)	(27.29%)	(7.03%)

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	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	No
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	No
30]	Major Shareholders, if available	Yes
31]	PAN of Proprietor/Partner/Director, if available	No
32]	Date of Birth of Proprietor/Partner/Director, if available	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

UNSECURED LOANS

Particulars	31.12.2012 (Rs. in Millions)	31.12.2011 (Rs. in Millions)
Long Term Borrowings
Other external commercial borrowings	45.613	0.000
	45.613	0.000

Notes:

· The registered office of the company has been shifted from A-288, Okhla Industrial Area, Phase – I, New Delhi – 110 020 to the present w.e.f. 16.12.2013.

· No Charges Exist for Company.

FINANCIAL HIGHLIGHTS:

During the year, the company has increased its sales to a considerable extent as compared to previous year figure. The net loss for the period has also decreased from Rs. 157.239 Millions to Rs. 52.534 Millions.

The response in the market of Offset & Liquid printing ink products is very encouraging. In view of this, during the year the company commenced production of Gravure Inks from its new factory at the existing premises at Greater Noida factory.

During the year, the company was allotted land by Gujarat Industrial Development Corporation at Dahej-II, Bharuch, Gujarat, admeasuring land around 95,000 Sq. Mtrs. The company has planned to construct the factory in Dahej in four phasesviz., Offset, Liquid Inks and Plastic Colorant. The tentative date of commencement of production from this factory is from the year June, 2014.

The end of the next financial year the company will be in a much better financial position in terms of sales and loss.

FIXED ASSETS:

· Land

· Building

· Plant and Machinery

· Office Equipments

· Computers

· Vehicles

· Furniture and fixtures

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.60.76
UK Pound	1	Rs.100.72
Euro	1	Rs.80.55

INFORMATION DETAILS

Information Gathered by :	SVA
Analysis Done by :	KAR
Report Prepared by :	ASH

SCORE & RATING EXPLANATIONS

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