MIRA INFORM REPORT

Report Date :

11.09.2014

IDENTIFICATION DETAILS

Name :	UNITHERM INDUCTOWELD (INDIA) PRIVATE LIMITED
Registered Office :	113, New Rajdhani Enclave, Delhi – 110 092
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	14.10.1992
Com. Reg. No.:	55-050626
Capital Investment / Paid-up Capital :	Rs.2.490 millions
CIN No.: [Company Identification No.]	U31104DL1992PTC050626
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of welding equipment for tube and pipe production.
No. of Employees :	Information declined by the management

RATING & COMMENTS

MIRA’s Rating :

Ba (46)

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

Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having a satisfactory track record. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct. The company can be considered normal for business dealings at usual trade terms and conditions.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – June 1, 2014

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

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

INDIAN ECONOMIC OVERVIEW

N E W S

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 BY

Name :	Mr. Jitendra
Designation :	Account Manager
Contact No.:	91-120-2555005
Date :	08.09.2014

LOCATIONS

Registered Office :	113, New Rajdhani Enclave, Delhi – 110 092, India
Tel. No.:	Not Available
Mobile No.:	91-9811059066 (Mr. Goel)
Fax No.:	Not Available
E-Mail :	info@unithermindia.com accounts@unithermindia.com
Website :	http://www.unithermindia.com
Location :	Owned
Factory :	A-26, Sector 4, Noida – 201 301, Uttar Pradesh, India
Tel. No.:	91-120-2555805/ 2535397/ 2544840
Fax No.:	91-120-2542073

DIRECTORS

As on 30.09.2013

Name :

Mr. Arjan Dolumal Taurani

Designation :

Director

Address :

Daz-A, Adipur, Bhuj – 370 205, Gujarat, India

Date of Birth/Age :

02.02.1936

Date of Appointment :

14.10.1992

DIN No.:

01711515

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	U31104DL1992PTC050626	UNITHERM INDUCTOWELD (INDIA) PRIVATE LIMITED	Director	14/10/1992	14/10/1992	-	Active	NO
2	U13100MP2003PTC016173	KHK PRESSINGS AND FORGING PRIVATE LIMITED	Director	22/10/2003	22/10/2003	-	Active	NO
3	U45400MH2007PTC171139	KIPRA BUILD INDIA PRIVATE LIMITED	Director	24/05/2007	24/05/2007	-	Active	NO

Name :

Mr. Kamal Kant Goel

Designation :

Director

Address :

E-65, Sector-39, Noida – 201 301, Uttar Pradesh, India

Date of Birth/Age :

01.03.1957

Date of Appointment :

14.10.1992

DIN No.:

01713128

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	U31104DL1992PTC050626	UNITHERM INDUCTOWELD (INDIA) PRIVATE LIMITED	Director	14/10/1992	14/10/1992	-	Active	NO
2	U31109DL1996PTC081951	THERMOGEN INDIA PRIVATE LIMITED	Director	13/09/1996	13/09/1996	-	Active	NO
3	U74999DL2000PTC103551	ROLLFORM EQUIPMENT PRIVATE LIMITED	Director	02/02/2000	02/02/2000	-	Active	NO
4	U31908DL2007PTC162545	CNC SAW SHARPENING PRIVATE LIMITED	Director	24/04/2007	24/04/2007	-	Active	NO
5	U25190DL2008PTC181063	EVEREST TUBE PRIVATE LIMITED	Director	18/07/2008	18/07/2008	-	Active	NO
6	U29142DL2012PTC240159	UNITHERM PRIVATE LIMITED	Director	13/08/2012	13/08/2012	-	Active	NO

Name :

Mr. Sudhir Kumar Jain

Designation :

Director

Address :

A-58 Sector – 49, Noida – 201 301, Uttar Pradesh, India

Date of Birth/Age :

23.10.1959

Date of Appointment :

14.10.1992

DIN No.:

01713216

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	U31104DL1992PTC050626	UNITHERM INDUCTOWELD (INDIA) PRIVATE LIMITED	Director	14/10/1992	14/10/1992	-	Active	NO
2	U74999DL2000PTC103551	ROLLFORM EQUIPMENT PRIVATE LIMITED	Director	02/02/2000	02/02/2000	-	Active	NO
3	U31908DL2007PTC162545	CNC SAW SHARPENING PRIVATE LIMITED	Director	24/04/2007	24/04/2007	-	Active	NO
4	U25190DL2008PTC181063	EVEREST TUBE PRIVATE LIMITED	Director	18/07/2008	18/07/2008	-	Active	NO
5	U31109DL1996PTC081951	THERMOGEN INDIA PRIVATE LIMITED	Additional director	22/11/2011	22/11/2011	-	Active	NO
6	U29142DL2012PTC240159	UNITHERM PRIVATE LIMITED	Director	13/08/2012	13/08/2012	-	Active	NO

Name :

Mr. Anil Munish Kumar Arjan Taurani

Designation :

Director

Address :

D-A-2-41, Adipur, Kutch – 370 205, Gujarat, India

Date of Birth/Age :

12.11.1968

Date of Appointment :

14.10.1992

DIN No.:

01724937

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	U31104DL1992PTC050626	UNITHERM INDUCTOWELD (INDIA) PRIVATE LIMITED	Director	14/10/1992	14/10/1992	-	Active	NO
2	U13100MP2003PTC016173	KHK PRESSINGS AND FORGING PRIVATE LIMITED	Director	22/10/2003	22/10/2003	-	Active	NO
3	U45400MH2007PTC171139	KIPRA BUILD INDIA PRIVATE LIMITED	Director	24/05/2007	24/05/2007	-	Active	NO

Name :

Mrs. Anita Jain

Designation :

Director

Address :

A-58 Sector – 49, Noida – 201 301, Uttar Pradesh, India

Date of Birth/Age :

29.11.1967

Date of Appointment :

01.04.2009

DIN No.:

01760141

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	U31109DL1996PTC081951	THERMOGEN INDIA PRIVATE LIMITED	Director	13/09/1996	13/09/1996	-	Active	NO
2	U31104DL1992PTC050626	UNITHERM INDUCTOWELD (INDIA) PRIVATE LIMITED	Director	01/04/2009	01/04/2009	-	Active	NO

Name :

Mrs. Sunayna Goel

Designation :

Director

Address :

113, New Rajdhani Enclave, Delhi – 110 092, India

Date of Birth/Age :

20.01.1963

Date of Appointment :

28.04.1996

DIN No.:

02361465

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	U31104DL1992PTC050626	UNITHERM INDUCTOWELD (INDIA) PRIVATE LIMITED	Director	28/04/1996	28/04/1996	-	Active	NO
2	U74999DL2000PTC103551	ROLLFORM EQUIPMENT PRIVATE LIMITED	Director	24/11/2003	24/11/2003	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Jitendra
Designation :	Account Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2013

Names of Shareholders	No. of Shares
Kamal Kant Goel	99600
Sudhir Kumar Jain	44820
Arjan Dolumal Taurani	104330
Anil Munish Kumar Arjan Taurani	250
Total	249000

As on 30.09.2013

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of welding equipment for tube and pipe production.
Products :	· Solid State HF Welders · Vacuum Tube HF Welders · Electron Tubes · Motion Control Systems · Special Purpose Control Systems · Distribution Panels · Tube and Pipe Manufacturing Solutions · Spares/Consumables · Seam Normalizers · Solid State HF Induction Heaters

GENERAL INFORMATION

No. of Employees :

Information declined by the management

Bankers :

Canara Bank, F-19, Connaught Circus, New Delhi – 110 001, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2013	As on 31.03.2012
LONG TERM BORROWINGS
Term Loans
From Banks (Secured against hypothecation of company vehicles and also guaranteed by Directors)	0.209	0.174
Total	0.209	0.174

Banking Relations :	---
Auditors :
Name :	Madan Dogra and Associates Chartered Accountants
Address :	B-46, 2^nd Floor, Flat No.3, Kalkaji, New Delhi – 110 019, India
Tel. No.:	91-11-26429777 / 26289778
E-Mail :	dogra_madan@hotmaill.com
PAN No.:	AALFM9204H

CAPITAL STRUCTURE

As on 30.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
250000	Equity Shares	Rs.10/- each	Rs.2.500 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
249000	Equity Shares	Rs.10/- each	Rs.2.490 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	2.490	2.490	2.490
(b) Reserves & Surplus	60.234	50.243	36.506
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	0.364
Total Shareholders’ Funds (1) + (2)	62.724	52.733	39.360
(3) Non-Current Liabilities
(a) long-term borrowings	0.209	0.174	1.081
(b) Deferred tax liabilities (Net)	0.000	0.000	0.000
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	0.209	0.174	1.081
(4) Current Liabilities
(a) Short term borrowings	2.645	3.294	5.036
(b) Trade payables	8.461	11.396	13.739
(c) Other current liabilities	17.922	15.065	22.452
(d) Short-term provisions	24.012	21.828	14.981
Total Current Liabilities (4)	53.040	51.583	56.208
TOTAL	115.973	104.490	96.649
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	4.272	4.848	5.927
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.000	0.000	0.000
(c) Deferred tax assets (net)	0.329	0.242	0.051
(d) Long-term Loan and Advances	0.000	0.000	0.000
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	4.601	5.090	5.978
(2) Current assets
(a) Current investments	20.070	19.186	4.508
(b) Inventories	31.739	28.219	34.825
(c) Trade receivables	16.621	12.160	15.263
(d) Cash and cash equivalents	7.563	4.574	3.515
(e) Short-term loans and advances	4.465	3.472	2.851
(f) Other current assets	30.914	31.789	29.709
Total Current Assets	111.372	99.400	90.671
TOTAL	115.973	104.490	96.649

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income		157.235	124.810
		Other Income		2.206	0.448
		TOTAL (A)		159.441	125.258
Less	EXPENSES
		Raw Material Consumed		104.181	87.949
		Change in inventories of finished goods, work-in-progress and stock-in-trade		0.336	(1.052)
		Employee Benefits Expenses		17.488	14.640
		Other Expenses		14.880	12.105
		TOTAL (B)	NA	136.885	113.642
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)			22.556	11.616
Less	FINANCIAL EXPENSES (D)			0.215	0.315
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)			22.341	11.301
Less/ Add	DEPRECIATION/ AMORTISATION (F)			2.182	1.842
	PROFIT BEFORE TAX (E-F) (G)		NA	20.159	9.459
Less	TAX (H)		NA	6.422	3.023
	PROFIT AFTER TAX (G-H) (I)		9.991	13.737	6.436
	EARNINGS IN FOREIGN CURRENCY
		Export of Goods (F.O.B.)	5.603	11.705	16.604
		Export of Services	0.000	0.000	0.063
	TOTAL EARNINGS		5.603	11.705	16.667
	Earnings Per Share (Rs.)		40.12	55.17	25.85

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	NA	8.62	5.14
Net Profit Margin (PBT/Sales)	(%)	NA	12.82	7.58
Return on Total Assets (PBT/Total Assets}	(%)	NA	19.34	9.79
Return on Investment (ROI) (PBT/Networth)		NA	0.38	0.24
Debt Equity Ratio (Total Debt /Networth)		0.05	0.07	0.16
Current Ratio (Current Asset/Current Liability)		2.10	1.93	1.61

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2011	31.03.2012	31.03.2013
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Share Capital	2.490	2.490	2.490
Reserves & Surplus	36.506	50.243	60.234
Share Application money pending allotment	0.364	0.000	0.000
Net worth	39.360	52.733	62.724
long-term borrowings	1.081	0.174	0.209
Short term borrowings	5.036	3.294	2.645
Total borrowings	6.117	3.468	2.854

LOCAL AGENCY FURTHER INFORMATION

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

UNSECURED LOAN

Rs. In Millions

Particular	As on 31.03.2013	As on 31.03.2012
SHORT TERM BORROWINGS
Repayable on demand
From Directors	2.645	3.294
Total	2.645	3.294

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10206586	24/02/2010	1,000,000.00	CANARA BANK	F-19,, CONNAUGHT CIRCUS, NEW DELHI, DELHI - 110001, INDIA	A80583735
2	10151085	23/03/2009	700,000.00	CANARA BANK	F-19,, CONNAUGHT CIRCUS, NEW DELHI, DELHI - 110001, INDIA	A60222452
3	10125233	16/09/2008	6,000,000.00	CANARA BANK	F-19,, CONNAUGHT CIRCUS, NEW DELHI, DELHI - 110001, INDIA	A48014690
4	90058668	08/09/2004 *	2,000,000.00	CANARA BANK	F-19,, CONNAUGHT CIRCUS, NEW DELHI, DELHI - 110001, INDIA	-
5	90058241	19/03/2012 *	5,000,000.00	CANARA BANK	F-19,, CONNAUGHT CIRCUS, NEW DELHI, DELHI - 110001, INDIA	B37718921
6	80048496	26/08/2008 *	11,000,000.00	CANARA BANK	F-19,, CONNAUGHT CIRCUS, NEW DELHI, DELHI - 110001, INDIA	A46182465
7	80048497	23/08/2008 *	11,000,000.00	CANARA BANK	F-19,, CONNAUGHT CIRCUS, NEW DELHI, DELHI - 110001, INDIA	A46183497

* Date of charge modification

FIXED ASSETS

• Land and Building
• Plant and Equipment
• Furniture and Fixture
• Furniture and Fixture (Temporary Structure)
• Vehicles
• Office Equipment (Computer and Computer Software)
• Office Equipment (Other than Computer and Computer 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.
UK Pound	1	Rs.
Euro	1	Rs.

INFORMATION DETAILS

Information Gathered by :
Analysis Done by :
Report Prepared by :	NTH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--CREDIT LINES	1~10	5
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		46

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
--	NB	New Business	--

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