MIRA INFORM REPORT

Report No. :	316211
Report Date :	13.04.2015

IDENTIFICATION DETAILS

Name :	AIRTYME COMMUNICATIONS PRIVATE LIMITED
Registered Office :	26/14, East Patel Nagar, Near Hotel Siddharth, New Delhi – 110008
Tel. No.:	Not Available
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	06.08.2010
Com. Reg. No.:	55-206758
Capital Investment / Paid-up Capital :	Rs. 30.449 Million
CIN No.: [Company Identification No.]	U32109DL2010PTC206758
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	Not Available
Legal Form :	Private Limited Liability Company
Line of Business :	Providing Integrated Supply Chain Solutions for the Wireless Industry and also distributor of Simple Feature Handsets, Multimedia Data Services, Smartphones and USB Modems.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ca (12)

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is a company having moderate track record. The company possesses a moderate financial profile marked by drastic in its revenue base and consecutive losses leading to accumulation of the same in turn resulting into erosion of net worth along with high liabilities, partially mitigated by zero debt capital structure during FY 14. However, business is active. Payment terms are slow. In view of modest scale of operation and deteriorating liquidity an business profile, the company can be considered for business dealings on a safe and secured 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 DECLINED

UNABLE TO CONTACT

LOCATIONS

Registered Office :	26/14, East Patel Nagar, Near Hotel Siddharth, New Delhi – 110008, India
Tel. No. :	Not Available
Fax No. :	Not Available
E-Mail :	itreturns.2006@gmail.com
Website :	www.airtyme.in
US Corporate Headquarters :	380, Rabro Drive, Hauppauge, NY 11788
Tel. No. :	631-952-4800
Fax No. :	531-952-4859

DIRECTORS

As on 30.09.2014

Name :

Mr. Gaurav Narang

Designation :

Additional Director

Address :

M-2, Chitranjan Park, Ground Floor, E.P.D.P. Colony, Delhi – 110019, India

Date of Birth/Age :

24.05.1978

Date of Appointment :

01.09.2010

DIN No. :

00732028

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	Company/ LLP Status	Defaulting status
1	U63040HR2000PTC035543	BEACH AND WOOD TRAVELS PRIVATE LIMITED	Director	04-12-2000	04-12-2000	Active	NO
2	U32109DL2010PTC206758	AIRTYME COMMUNICATIONS PRIVATE LIMITED	Additional director	01-09-2010	01-09-2010	Active	NO

Name :

Ashima Kumar

Designation :

Director

Address :

2, Half Moon Lane, Sands Point, New York – 11050, U.S.A.

Date of Birth/Age :

31.10.1973

Date of Appointment :

06.08.2010

DIN No. :

03166385

Name :

Mr. Parveen Narula

Designation :

Director

Address :

2, Half Moon Lane, Sands Point, New York – 11050, U.S.A.

Date of Birth/Age :

04.06.1975

Date of Appointment :

06.08.2010

DIN No. :

03169296

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2014

Names of Shareholders	No. of Shares	Percentage of Holding
Reliance Communications LLC, U.S.A.	3034947	99.67
Ashima Kumar	5000	0.16
Parveen Narula	5000	0.16
Total	3044947	100.00

Allottees as on 16.12.2014

Names of Allottee	No. of Shares
Reliance Communications LLC, U.S.A.	3683670
Total	3683670

As on 30.09.2014

Equity Share Break up (Percentage of Total Equity)

Category	Percentage of Holding
Bodies corporate	99.67
Directors or relatives of Directors	0.33
Total	100.00

BUSINESS DETAILS

Line of Business :	Providing Integrated Supply Chain Solutions for the Wireless Industry and also distributor of Simple Feature Handsets, Multimedia Data Services, Smartphones and USB Modems.
Brand Names :	--
Agencies Held :	--
Exports :	--
Imports :	--
Terms :	--

PRODUCTION STATUS: NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

Reference:	--
Name of the Person (with Designation):	--
Contact Number:	--
Since How Long Known:	--
Maximum Limit Dealt:	--
Experience :	--
Remarks :	--

Customers :

Reference:	--
Name of the Person (with Designation):	--
Contact Number:	--
Since How Long Known:	--
Maximum Limit Dealt:	--
Experience :	--
Remarks :	--

No. of Employees :

Not Available

Bankers :

Bank Name:	--
Branch:	--
Name of the Person (with Designation):	--
Contact Number:	--
Name of Account Holder:	--
Account Number:	--
Account Since (Date/ Year of A/c Opening):	--
Average Balance Maintained (Optional):	--
Credit Facilities Enjoyed (CC/OD/Term Loan):	--
Account Operation:	--
Remarks: --

Facilities :

--

Banking Relations :	--
Auditors :
Name :	PNG and Company Chartered Accountants
Address :	309 S-524, Vikas Marg, Shakarpur, New Delhi – 110092, India
Tel. No. :	91-11-43026623
Income-tax PAN of auditor or auditor's firm :	AAKFP0537F
Memberships :	--
Collaborators :	--
Holding Company :	Reliance Communications, LLC

CAPITAL STRUCTURE

After 30.09.2014

Authorised Capital : Rs. 140.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
6728617	Equity Shares	Rs.10/- each	Rs. 67.286 Million

As on 30.09.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
3,050,000	Equity Shares	Rs.10/- each	Rs. 30.500 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
3,044,947	Equity Shares	Rs.10/- each	Rs. 30.449 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	30.449	19.040	19.040
(b) Reserves & Surplus	(123.738)	(98.288)	24.885
(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)	(93.289)	(79.248)	43.925
(3) Non-Current Liabilities
(a) Long-term borrowings	0.000	0.000	0.000
(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	1.508	0.722
Total Non-current Liabilities (3)	0.000	1.508	0.722
(4) Current Liabilities
(a) Short term borrowings	0.000	0.000	0.000
(b) Trade payables	103.104	92.558	136.637
(c) Other current liabilities	1.048	1.953	3.120
(d) Short-term provisions	0.079	3.734	2.453
Total Current Liabilities (4)	104.231	98.245	142.210
TOTAL	10.942	20.505	186.857
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	8.211	13.349	18.812
(ii) Intangible Assets	0.000	0.233	0.467
(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)	0.000	1.129	2.669
(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	8.211	14.711	21.948
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	0.013	0.062	114.940
(c) Trade receivables	0.059	0.091	8.754
(d) Cash and cash equivalents	0.243	2.765	38.102
(e) Short-term loans and advances	0.990	2.876	3.113
(f) Other current assets	1.426	0.000	0.000
Total Current Assets	2.731	5.794	164.909
TOTAL	10.942	20.505	186.857

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Income	16.098	121.626	177.771
		Other Income	0.095	1.546
		TOTAL (A)	16.193	123.172
Less	EXPENSES
		Purchases of Stock-in-Trade	5.460	68.778
		Changes in Inventories	0.050	114.877
		Employees Benefits Expenses	11.827	30.562
		Administrative and Selling Expenses	17.744	24.809
		TOTAL (B)	35.081	239.026	NA
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		(18.888)	(115.854)
Less	FINANCIAL EXPENSES (D)		0.000	0.000
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		(18.888)	(115.854)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		5.373	5.711
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)		(24.261)	(121.565)	(94.505)
Less	TAX (H)		1.189	1.608	0.000
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)		(25.450)	(123.173)	(94.505)
	EARNINGS IN FOREIGN CURRENCY		10.338	NA	6.274
	IMPORTS
		Purchases	4.335	65.440	242.209
	TOTAL IMPORTS		4.335	65.440	242.209
	Earnings / (Loss) Per Share (Rs.)		(8.36)	(64.09)	(49.63)

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT/Sales)	(%)	(158.09)	(101.27)	(53.16)
Operating Profit Margin (PBDIT/Sales)	(%)	(117.33)	(95.25)	NA
Return on Total Assets (PBT/Total Assets}	(%)	(221.72)	(627.40)	(51.31)
Return on Investment (ROI) (PBT/Networth)		0.26	1.53	(2.15)
Debt Equity Ratio (Total Debt/Networth)		0.00	0.00	0.00
Current Ratio (Current Asset/Current Liability)		0.03	0.06	1.16

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	19.040	19.040	30.449
Reserves & Surplus	24.885	(98.288)	(123.738)
Net worth	43.925	(79.248)	(93.289)
Long-term Borrowings	0.000	0.000	0.000
Short-term Borrowings	0.000	0.000	0.000
Total borrowings	0.000	0.000	0.000
Debt/Equity ratio	0.000	0.000	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	177.771	121.626	16.098
		(31.583)	(86.764)

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	177.771	121.626	16.098
Profit/ (Loss)	(94.505)	(123.173)	(25.450)
	(53.16%)	(101.27%)	(158.09%)

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	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

FIXED ASSETS

· Computer

· Furniture and Fittings

· Machinery and Equipment

· Vehicles

· Leasehold Improvements

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 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.62.37
UK Pound	1	Rs.91.60
Euro	1	Rs.66.49

INFORMATION DETAILS

Information Gathered by :	PRT
Analysis Done by :	SUB
Report Prepared by :	MRI

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	2
OPERATING SCALE	1~10	1
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	1
--PROFITABILITY	1~10	1
--LIQUIDITY	1~10	1
--LEVERAGE	1~10	1
--RESERVES	1~10	1
--CREDIT LINES	1~10	1
--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		12

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.