MIRA INFORM REPORT

Report No. :	317106
Report Date :	11.04.2015

IDENTIFICATION DETAILS

Name :	EMERSON CLIMATE TECHNOLOGIES (INDIA) LIMITED (w.e.f. 25.09.2006)
Formerly Known As :	KIRLOSKAR COPELAND LIMITED
Registered Office :	Plot No. 23, Rajiv Gandhi Infotech Park, Phase Ii, Hinjewadi, Pune – 411057, Maharashtra
Tel. No.:	91-22-666220673
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	19.03.1993
Com. Reg. No.:	11-071223
Capital Investment / Paid-up Capital :	Rs.90.000 Million
CIN No.: [Company Identification No.]	U29192PN1993PLC071223
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	PNEK05318F
PAN No.: [Permanent Account No.]	AAACK7291C
Legal Form :	A Closely Held Public Limited Liability Company.
Line of Business :	The Company is engaged in the manufacture and sale of compressors and related components in the domestic and export markets and trading in compressors in the domestic market procured from its group companies.
No. of Employees :	550 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (53)

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

Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is an established company having fine track record. Financial position of the company seems to be strong and healthy. Trade relation reported to be fair. Business is active. Payment terms are reported to be regular and as per commitment. The company can be considered normal for business dealing 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 – December 31, 2014

Country Name	Previous Rating (30.09.2014)	Current Rating (31.12.2014)
India	A1	A1

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

EXTERNAL AGENCY RATING

Not Available

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 PARTED BY

Name :	Mr. Rajendra
Designation :	Accounts
Contact No.:	91-22-666220673
Date :	10.04.2015

LOCATIONS

Registered Office :	Plot No. 23, Rajiv Gandhi Infotech Park, Phase Ii, Hinjewadi, Pune – 411057, Maharashtra, India
Tel. No.:	91-22-666220673
Fax No.:	Not Divulged
E-Mail :	vineet.duggal@emerson.com raghavendra.kulkarni@emerson.com
Website :	www.emerson.com

DIRECTORS

As on 23.08.2014

Name :

Mr. Ram Rama Krishnan

Designation :

Director

Address :

11107, Ashburv Meadows Dr. Dayton OH, USA 45458

Date of Birth/Age :

12.02.1971

Date of Appointment :

05.07.2011

DIN No. :

03591766

Name :

Mr. Sridar Narayanswami

Designation :

Managing director

Address :

Flat E701 & 701A, Lunkad Skylounge, Kalyani Nagar, Pune – 411038, Maharashtra, India

Date of Birth/Age :

20.07.1973

Date of Appointment :

23.05.2013

DIN No. :

05290172

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	U32107PN1996PTC097677	EMERSON NETWORK POWER (PUNE) PRIVATE LIMITED	Director	13/09/2012	30/01/2012	-	Active	NO
2	U31200DL1991PTC043306	LEROY SOMER INDIA PRIVATE LIMITED	Director	08/11/2012	24/04/2012	-	Active	NO
3	U29192PN1993PLC071223	Emerson Climate Technologies (India) Limited	Managing director	23/05/2013	01/10/2012	-	Active	NO

Name :

Dara Phirozeshaw Mehta

Designation :

Director

Address :

10, South Lands, 177, Colaba Road, Mumbai – 411005, Maharashtra, India

Date of Birth/Age :

13.07.1933

Date of Appointment :

26.02.2002

DIN No. :

00041164

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	L23109GA1967PLC000076	GOA CARBON LIMITED	Director	22/12/2006	25/09/1978	-	Active	NO
2	L24294PN1958PLC011052	FOSECO INDIA LIMITED	Director	08/11/1994	08/11/1994	22/04/2009	Active	NO
3	U74999MH1993PTC071079	EMERSON NETWORK POWER (INDIA) PRIVATE LIMITED	Director	16/03/1995	16/03/1995	-	Active	NO
4	U72300MH1996PTC103206	BLOOMBERG DATA SERVICES (INDIA) PRIVATE LIMITED	Director	10/10/1996	10/10/1996	-	Active	NO
5	U21012DL1999PTC102815	GROLIER INTERNATIONAL PRIVATE LIMITED	Director	15/12/1999	15/12/1999	-	Active	NO
6	U29192PN1993PLC071223	Emerson Climate Technologies (India) Limited	Director	26/02/2002	26/02/2002	-	Active	NO
7	U74999KA1993PLC046003	DME (INDIA) PRIVATE LIMITED	Alternate director	17/11/2003	17/11/2003	-	Active	NO
8	U01120MH1989PLC054377	GLOBAL DOLPHIN DRILLING COMPANY LIMITED	Alternate director	24/09/2004	24/09/2004	31/10/2014	Active	NO
9	U74999HR1985PLC034079	GKN DRIVELINE (INDIA) LIMITED	Director	28/06/2005	28/06/2005	28/06/2013	Active	NO
10	U92120MH2005PTC156063	BLOOMBERG TELEVISION PRODUCTION SERVICES INDIA PRIVATE LIMITED	Director	15/09/2005	15/09/2005	16/03/2007	Active	NO
11	L34102UP1988PLC010141	INSILCO LIMITED	Director	31/12/2005	31/12/2005	-	Active	NO
12	U74899TG1993PTC055249	Polisetty Somasundaram Tobacco Products (India) Private Limited	Alternate director	07/05/2007	07/05/2007	03/04/2008	Active	NO
13	U11202HR2007FTC041948	Howden Air and Gas India Private Limited	Director	06/06/2007	06/06/2007	18/06/2010	Active	NO
14	U93000TG2007FTC055977	Project Experts India Private Limited	Director	17/10/2007	17/10/2007	01/08/2009	Active	NO
15	U17114MH2000PLC126018	REID AND TAYLOR (INDIA) LIMITED	Additional director	14/12/2009	14/12/2009	23/09/2013	Active	NO
16	U74999PN2011FTC154049	RTS Realtime Systems India Private Limited	Director	09/07/2014	09/07/2014	-	Active	NO

Name :

Mr. Pratap Parshuram Chavan

Designation :

Director

Address :

111, Shelford Way, Dayton OH, USA 45429

Date of Birth/Age :

05.04.1954

Date of Appointment :

10.02.2004

DIN No. :

00391752

Name :

Pradipta Sen

Designation :

Director

Address :

304/2, Palms, South City-I, Gurgaon – 122001, Haryana, India

Date of Birth/Age :

07.10.1958

Date of Appointment :

26.07.2006

DIN No. :

00051758

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	U29192MH1997PTC107573	HIROSS INDIA PRIVATE LIMITED	Director	27/03/2001	27/03/2001	05/04/2012	Active	NO
2	U74999MH1993PTC071079	EMERSON NETWORK POWER (INDIA) PRIVATE LIMITED	Director	11/06/2001	11/06/2001	-	Active	NO
3	U30006TN1993PTC025830	CONTROL TECHNIQUES INDIA PRIVATE LIMITED	Director	14/06/2002	14/06/2002	-	Active	NO
4	U31200DL1991PTC043306	LEROY SOMER INDIA PRIVATE LIMITED	Director	15/03/2003	15/03/2003	24/04/2012	Active	NO
5	U29196MH1981PTC024115	EMERSON PROCESS MANAGEMENT (INDIA) PRIVATE LIMITED	Director	30/12/2003	30/12/2003	-	Active	NO
6	U33112GJ1988PTC010464	ADVANCED SYS-TEK PRIVATE LIMITED	Director	22/04/2004	22/04/2004	05/10/2007	Active	NO
7	U40109DL1997FTC085582	EMERSON PROCESS MANAGEMENT POWER AND WATER SOLUTIONS INDIA PRIVATE LIMITED	Director	14/12/2004	14/12/2004	-	Active	NO
8	U29192PN1993PLC071223	Emerson Climate Technologies (India) Limited	Director	26/07/2006	26/07/2006	-	Active	NO
9	U33130PN1999PTC134690	Rosemount Tank Gauging India Private Limited	Director	30/09/2008	12/11/2006	05/04/2012	Active	NO
10	U40200GJ2007PTC049905	Daniel Measurement Solutions Private Limited	Director	07/02/2007	07/02/2007	-	Active	NO
11	U31101KA2000PTC026953	Emerson Industrial Automation Electric Power Generation Private Limited	Director	11/05/2009	12/02/2009	-	Active	NO
12	U93090TN1985PTC024245	Emerson Process Management Chennai Private Limited	Director	30/09/2011	31/03/2011	-	Active	NO
13	L34101PN1961PLC015735	GABRIEL INDIA LIMITED	Additional director	18/09/2014	18/09/2014	-	Active	NO

Name :

Cedric Soenens

Designation :

Nominee director

Address :

4/5, Baan Koon, Floor 5, Soi Pattan Asin, Nanglinchee, Thungma Sa Thorn, Bangkok, Thailand 10120

Date of Birth/Age :

26.03.1970

Date of Appointment :

10.03.2010

DIN No. :

02978097

Name :

Mr. Deepak Takkar

Designation :

Whole-time director

Address :

6, Building 3D, Sidharth Nagar, Aundh, Pune – 411007, Maharashtra India

Date of Birth/Age :

21.08.1959

Date of Appointment :

23.05.2013

PAN No. :

AADPT3058J

DIN No. :

06552360

KEY EXECUTIVES

Name :	Vineet Baldevraj Duggal
Designation :	Secretary
Address :	House No.14, Clover Pinnacle Ridge, Nibm Road, Kondhwa – 411048, Maharashtra, India
Date of Birth/Age :	13.08.1967
Date of Appointment :	27.10.1995
PAN No.:	AANPD1391C

MAJOR SHAREHOLDERS

As on 23.08.2014

Names of Shareholders	No. of Shares
Copeland Corporation LLC, USA	900000
Pradipta Sen	1
Total	900001

As on 23.08.2014

Equity Share Break up (Percentage of Total Equity)

Category	Percentage of Holding
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

The Company is engaged in the manufacture and sale of compressors and related components in the domestic and export markets and trading in compressors in the domestic market procured from its group companies.

Products :

Item Code No. (ITC Code)	Product Description
84148011	Air or other gas compressors and fans
84185000	Refrigerator, Freezer and other refrigerating or freesing Equipments

Brand Names :

Not Available

Agencies Held :

Not Available

Exports :

Not Divulged

Imports :

Products :

Raw Materials

Countries :

• China
• US

Terms :

Selling :

Cash and Credit

Purchasing :

Cash and Credit

PRODUCTION STATUS = NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

Reference :	Not Divulged
Name of the Person :	Not Divulged
Contact No.:	Not Divulged
Since How Long Known :	Not Divulged
Experience :	Not Divulged
Maximum Limit Dealt :	Not Divulged

Customers :

Reference :	Not Divulged
Name of the Person :	Not Divulged
Contact No.:	Not Divulged
Since How Long Known :	Not Divulged
Experience :	Not Divulged
Maximum Limit Dealt :	Not Divulged

No. of Employees :

550 (Approximately)

Bankers :

• ICICI Bank Limited, Landmark Race Cource Circle, Alkapuri, Baroda – 390015, Gujarat, India
• Ford Credit Kotak Mahindra Limited, Nariman Bhavan, Mumbai – 400021, Maharashtra, India
• City Bank, Powai Branch, Mumbai, Maharashtra, India

Auditors :
Name :	B B S R and Associates Chartered Accountants
Address :	Pune, Maharashtra, India
PAN No.:	AAKFB4397F
Memberships :	Not Available
Collaborators :	Not Available
Holding Company:	Copeland Corporation LLC, USA
Ultimate Holding Company:	Emerson Electric Company
Other Related Party:	Emerson Climate Technologies Inc., United States Emerson Climate Technologies Gmbh, Germany Emerson Electric (Thailand) Limited, Thailand Fusite Division Emerson Electric (Asia) Limited, Hong Kong
Associate:	Emerson Climate Technologies (Suzhou) Company Limited, China Emerson Electric Company (India) Private Limited, India Emerson FZE, United Arab Emirates Clive Samuels And Asso., Inc, United States Emr (Asia) Limited, China Emerson Electric Co. Brasil Limited, Brazil Leroy Somer India Private Limited, India Emerson Network Power (Pune) Private Limited, India Emerson Argentina S. A., Argentina

CAPITAL STRUCTURE

As on 31.03.2014

Authorised Capital:

No. of Shares	Type	Value	Amount
1000000	Equity Shares	Rs.100/-each	Rs.100.000 Million

Issued, Subscribed & Paid-up Capital:

No. of Shares	Type	Value	Amount
900001	Equity Shares	Rs.100/-each	Rs.90.000 Million

FINANCIAL DATA

[all figures are in Rupees Million]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2014	31.03.2013	31.03.2012
I.              EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	90.000	90.000	90.000
(b) Reserves & Surplus	2864.714	2278.388	1637.588
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	0.000
Total Shareholders’ Funds (1) + (2)	2954.714	2368.388	1727.588
(3) Non-Current Liabilities
(a) long-term borrowings	0.000	0.000	0.000
(b) Deferred tax liabilities (Net)	95.806	86.079	77.483
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	82.515	88.955	75.711
Total Non-current Liabilities (3)	178.321	175.034	153.194
(4) Current Liabilities
(a) Short term borrowings	0.000	45.000	90.000
(b) Trade payables	1687.373	1505.494	1373.112
(c) Other current liabilities	150.638	199.191	116.459
(d) Short-term provisions	67.977	116.597	76.959
Total Current Liabilities (4)	1905.988	1866.282	1656.530
TOTAL	5039.023	4409.704	3537.312
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	734.933	695.104	582.348
(ii) Intangible Assets	0.179	3.815	32.913
(iii) Capital work-in-progress	6.793	24.575	8.017
(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)	0.000	0.000	0.000
(d) Long-term Loan and Advances	1017.325	812.594	481.809
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	1759.230	1536.088	1105.087
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	670.871	586.608	460.958
(c) Trade receivables	1266.656	1349.044	1042.922
(d) Cash and cash equivalents	297.873	140.614	273.475
(e) Short-term loans and advances	1042.724	794.942	654.870
(f) Other current assets	1.669	2.408	0.000
Total Current Assets	3279.793	2873.616	2432.225
TOTAL	5039.023	4409.704	3537.312

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2014	31.03.2013	31.03.2012
	SALES
	Income	6878.301	7035.815	5084.301
	Other Income	316.749	391.703	316.855
	TOTAL	7195.050	7427.518	5401.156
Less	EXPENSES
	Cost of Materials Consumed	4346.014	4619.563	3357.365
	Purchases of Stock-in-Trade	74.451	102.005	44.259
	Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(17.722)	(73.272)	112.921
	Employees benefits expense	367.986	331.821	252.633
	Other expenses	1470.542	1401.152	1145.564
	TOTAL	6241.271	6381.269	4912.742
Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION	953.779	1046.249	488.414
Less	FINANCIAL EXPENSES	4.059	9.448	6.754
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION	949.720	1036.801	481.660
Less/ Add	DEPRECIATION/ AMORTISATION	112.316	117.654	115.712
	PROFIT/ (LOSS) BEFORE TAX	837.404	919.147	365.948
Less	TAX	251.078	278.348	0.000
	PROFIT/ (LOSS) AFTER TAX	586.326	640.799	365.948
	EARNINGS IN FOREIGN CURRENCY	3931.234	4180.682	0.000
	Earnings / (Loss) Per Share (Rs.)	651.47	712.00	406.61

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin PAT / Sales	(%)	8.52	9.11	7.20
Operating Profit Margin (PBDIT/Sales)	(%)	13.86	14.87	9.61
Return on Total Assets (PBT/Total Assets}	(%)	16.64	20.96	10.37
Return on Investment (ROI) (PBT/Networth)		0.28	0.39	0.21
Debt Equity Ratio (Total Liability/Networth)		0.00	0.02	0.05
Current Ratio (Current Asset/Current Liability)		1.72	1.54	1.47

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Share Capital	90.000	90.000	90.000
Reserves & Surplus	1637.588	2278.388	2864.714
Net worth	1727.588	2368.388	2954.714
long-term borrowings	0.000	0.000	0.000
Short term borrowings	90.000	45.000	0.000
Total borrowings	90.000	45.000	0.000
Debt/Equity ratio	0.052	0.019	0.000

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Sales	5084.301	7035.815	6878.301
		38.383	(2.239)

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Sales	5084.301	7035.815	6878.301
Profit	365.948	640.799	586.326
	7.20%	9.11%	8.52%

LOCAL AGENCY FURTHER INFORMATION

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

NO CHARGES EXIST FOR COMPANY

GENERAL INFORMATION ABOUT COMPANY

Emerson Climate Technologies (India) Limited is a 100% subsidiary of Copeland Corporation LLC, USA (‘the holding Company’). The holding company is a wholly owned subsidiary of Emerson Electric Co., USA (‘the ultimate holding company’). The Company is engaged in the manufacture and sale of compressors and related components in the domestic and export markets and trading in compressors in the domestic market procured from its group companies. The Company also renders after sales services in the domestic market and acts as a commission agent in India for other group companies. The Company is headquartered in Pune with manufacturing location in Atit and Chakan, and Research and development facility at Karad. In addition the Company has 5 regional offices across India.

OPERATIONS AND DIVIDEND

During 2013-14 your company took significant initiatives to grow business. We set up a Cold Chain and Distribution Centre at Chakan to serve growing Indian cold market. The Company made significant progress in expanding its participation in Commercial Air- Conditioning market in India through new products and new customer accounts. Saudi Arabia, the largest country sourcing products from us is going through energy regulations and transitioning to environmental friendly refrigerants. Your company developed products to suit these requirements in a record time and is actively engaged in qualifying these with key OEM customers.

Sales and other income of the Company for the year 2013-2014 were Rs.7195.050 Million as compared to Rs.7427.520 Million in 2012-13. Profit before tax was at Rs.837.400 Million for the year 2013-2014 as compared to Rs.919.150 Million for the year 2012-13.

UNSECURED LOANS

PARTICULAR	31.03.2014 (Rs. in Million)	31.03.2013 (Rs. in Million)
SHORT TERM BORROWINGS
Intercorporate Borrowing	0.000	45.000
Total	0.000	45.000

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.62.36
UK Pound	1	Rs.91.60
Euro	1	Rs.66.48

INFORMATION DETAILS

Information Gathered by :	KMN
Analysis Done by :	RAS
Report Prepared by :	PNM

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILITY	1~10	7
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	7
--RESERVES	1~10	7
--CREDIT LINES	1~10	5
--MARGINS	-5~5	---
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--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		53

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.