MIRA INFORM REPORT

Report No. :	318244
Report Date :	22.04.2015

IDENTIFICATION DETAILS

Name :	ARDEE TECHNOLOGIES PRIVATE LIMITED (w.e.f. 30.03.2012)
Formerly Known As :	ARDEE BUSINESS SERVICES PRIVATE LIMITED
Registered Office :	9-30-4, Balaji Nagar, Siripuram, Visakhapatnam – 530 003, Andhra Pradesh
Tel. No.:	91-891-2702852
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	07.10.1987
Com. Reg. No.:	01-007843
Capital Investment / Paid-up Capital :	Rs.14.997 million
CIN No.: [Company Identification No.]	U74140AP1987PTC007843
IEC No.:	Not Available
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 :	Subject is mainly engaged in production of temperature and molten metal quality measuring equipment/ consumables, cored wires and other related products required for the steel industry.
No. of Employees :	Information declined by the Management.

RATING & COMMENTS

MIRA’s Rating :

B (28)

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

Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. The company possesses average financial risk-profile marked by moderate liquidity and inadequate debt-protection measures. Liquidity seems to be under pressure due to company’s huge working capital needs and also due to management’s inability to covert its receivables and inventories into cash at the requisite time. However, trade relations are fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealings 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 – 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

Rating Agency Name	CRISIL
Rating	Long Term Rating: B-
Rating Explanation	Risk prone credit quality and carries very high credit risk.
Date	October 14, 2014

Rating Agency Name	CRISIL
Rating	Short Term Rating: A4+
Rating Explanation	Minimal degree of safety and very high credit risk.
Date	October 14, 2014

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.: 91-661-2401472/ 2400857/ 91-891-2702852)

LOCATIONS

Registered Office :	9-30-4, Balaji Nagar, Siripuram, Visakhapatnam – 530 003, Andhra Pradesh, India
Tel. No. :	91-891-2702852/ 53/ 6662852
Fax No. :	91-891-2755507
E-Mail :	ardee@ardeetechnologies.in siva.patnala@ardeetechnologies.in
Website :	http://www.ardeetechnologies.info
Corporate Office :	Plot No.1, Siripuram, Balaji Nagar, Visakhapatnam – 530 003, Andhra Pradesh, India
Tel. No. :	91-891-2702852/ 2702853
Fax No. :	91-891-27555070
Central Marketing Office - Ardee Group :	BB-8, Civil Township, Rourkela – 769 004, Orissa, India
Tel. No. :	91-661-2660828/ 2660829/ 2660893
Fax No. :	91-661-2400938
Factory 1 :	B-30, Industrial Estate, Kalunga – 770 031, Orissa, India
Tel. No. :	91-661-2660486/ 2660487/ 2660093
Fax No. :	91-661-2660243
Factory 2 :	S-III-18,25 and 26, Industrial Estate, Kalunga – 770 031, Orissa, India
Tel. No. :	91-661-2660828/ 2660829/ 2660893
Factory 3 :	Plot No.77, IDA, Parawada, Visakhapatnam – 530 012, Andhra Pradesh, India
Tel. No. :	91-891-2758300
Factory 4 :	Survey No.33/B, Plot No.1, Village - Savarsai, Taluka - Pen, District - Raigad, Maharashtra, India
Tel. No. :	91-21-43278072
Factory :	Also located at: · Kharsia · Durgapur
INTERNATIONAL OFFICES
Cored Wire Plant :	No.9, Xing Yuan Road, Haihe Industrial Area, Jinnan District, Tianjin, People’s Republic of China – 300350
Tel. No. :	+86-22-88518899/ 88518898
Fax No. :	+86-22-885518897
Calcium Silicide Plant :	Shagedu Economic and Technical Development Zone, Industry Yard, Zhunge Er Qi, E Er Duo Si City, Inner Mongolia – 010410
Tel. No. :	0472 - 2358989
Fax No. :	0472 - 2358989

DIRECTORS

AS ON 06.08.2014

Name :

Mr. Goda Surya Narayan

Designation :

Managing Director

Address :

BB-8, Civil Township, Rourkela – 769 004, Orissa, India

Date of Birth/Age :

13.01.1954

Qualification :

Chemical Engineer

Experience :

38 Years

Date of Appointment :

06.02.2014

DIN No. :

00090508

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	U74140AP1987PTC007843	ARDEE TECHNOLOGIES PRIVATE LIMITED	Managing director	06/02/2014	07/10/1987	-	Active	NO
2	U21012AP1998PTC029102	ARDEE BOARDS PRIVATE LIMITED	Director	24/03/1998	24/03/1998	-	Active	NO
3	U29309AP1996PTC025325	ARDEE HI-TECH PRIVATE LIMITED	Director	28/01/2000	28/01/2000	19/02/2008	Active	NO
4	U31500OR2010PTC011619	ARDEE ENVIRONMENT PRIVATE LIMITED	Director	15/02/2010	15/02/2010	-	Active	NO
5	U74999AP2011PTC072668	ARDEE BERRY METAL PRIVATE LIMITED	Director	18/02/2011	18/02/2011	-	Active	NO
6	U31900OR2012PTC014914	ARDEE ELECTRO-NITE PRIVATE LIMITED	Director	08/02/2012	08/02/2012	-	Active	NO

Name :

Mrs. Sunanda Goda

Designation :

Whole-time Director

Address :

QTR No: BB-8, Civil Township, Sundergarh, Rourkela – 769 004, Orissa, India

Date of Birth/Age :

28.05.1960

Date of Appointment :

01.10.2006

DIN No. :

00284191

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	U21012AP1998PTC029102	ARDEE BOARDS PRIVATE LIMITED	Director	26/09/2002	26/09/2002	-	Active	NO
2	U74140AP1987PTC007843	ARDEE TECHNOLOGIES PRIVATE LIMITED	Whole-time director	01/10/2006	01/10/2006	-	Active	NO
3	U31500OR2010PTC011619	ARDEE ENVIRONMENT PRIVATE LIMITED	Director	15/02/2010	15/02/2010	-	Active	NO
4	U74999AP2011PTC072668	ARDEE BERRY METAL PRIVATE LIMITED	Director	18/02/2011	18/02/2011	-	Active	NO
5	U31900OR2012PTC014914	ARDEE ELECTRO-NITE PRIVATE LIMITED	Director	08/02/2012	08/02/2012	-	Active	NO

Name :

Mr. Ramkrishna Mishra

Designation :

Director

Address :

EM-32, Basanti Colony, Rourkela – 769 012, Orissa, India

Date of Birth/Age :

04.04.1957

Date of Appointment :

30.09.2009

DIN No. :

02539882

KEY EXECUTIVES

Name :	ASN Associates
Designation :	Company Secretaries
Address :	D. No.9-29-19/A, Flat No.201, Level-2, “Waltair Heights”, Balaji Nagar, VIP Road, Near Tycoon Hotel, Siripuram, Visakhapatnam – 530 003, Andhra Pradesh, India
Tel. No.:	91-891-2529246
Fax No.:	91-891-2712695
Mobile No.:	91-9949226699
E-Mail :	asn369@yahoo.co.in status369@yahoo.co.in

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 06.08.2014

Names of Shareholders	No. of Shares	Percentage of holding
Goda Surya Narayan	947680	63.19
Rukmini Goda	534020	35.61
Sunanda Goda	18000	1.20
Total	1499700	100.00

AS ON 06.08.2014

Equity Share Break up (Percentage of Total Equity)

Category	Percentage of Holding
Directors or relatives of Directors	100.00

BUSINESS DETAILS

Line of Business :	Subject is mainly engaged in production of temperature and molten metal quality measuring equipment/ consumables, cored wires and other related products required for the steel industry.
Products :	Molten Metal Instrument Accessories Cored Wires
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :	Not Divulged
Imports :	Not Divulged
Terms :
Selling :	Not Divulged
Purchasing :	Not Divulged

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 :

Information declined by the Management.

Bankers :

Banker Name	State Bank of India
Branch Address	Commercial Branch, # 43-29-54/8, 1^st Floor, Balaji Metro Chambers, Dondaparthy, Visakhapatnam – 530 016, Andhra Pradesh, India
Person Name (With Designation)	Not Divulged
Contact Number	Not Divulged
Name of Account Holder	Not Divulged
Account Number	Not Divulged
Account Since (Date/Year of Account Opening)	Not Divulged
Average Balance Maintained (If Possible)	Not Divulged
Credit Facilities Enjoyed (If any)	Not Divulged
Account Operation	Not Divulged
Remarks (If any)	Not Divulged

· Small Industries Development Bank of India, Jeevan Shree Building, Ground Floor, S. No.1109, Plot No.488, Pune University Road, Shivajinagar, Pune – 411 016, Maharashtra, India

· Export-Import Bank of India, Floor 21, Centre One Building, World Trade Centre Complex, Cuffe Parade, Mumbai – 400 005, Maharashtra, India

Facilities :

SECURED LOANS	31.03.2014 (Rs. In Million)	31.03.2013 (Rs. In Million)
LONG TERM BORROWINGS
From Banks
Vehicle Loans	0.424	1.299
Export-Import Bank of India	86.198	0.000
From Others
Vehicle Loans	0.431	0.539
Life Insurance Corporation of India	0.000	3.750
SHORT TERM BORROWINGS
From Banks
Loans repayable on demand
Cash Credit	216.091	219.087
Standby line of credit	0.000	30.000
Book Overdraft	1.483	0.000
Other than loans repayable on demand
Buyer’s credit	42.532	20.312
Total	347.159	274.987

Banking Relations :	--
Auditors :
Name :	B.S.R.R. and Company Chartered Accountants
Address :	Reliance Humsafar, IV Floor, Road No.11, Banjara Hills, Hyderabad – 500 034, Telangana, India
Tel. No. :	91-40-30465000
Fax No. :	91-40-30465299
PAN No.:	AAKFB1884H
Memberships :	Not Available
Collaborators :	Not Available
Wholly Owned Subsidiary Companies :	Ardee Business Services (Tianjin) Private Limited Ardee Business Services (Inner Mongolia) Private Limited Ardee Business Services (Tianjin) Trading Private Limited
Other Related Parties :	Jyoti Paper Products Ardee Environment Private Limited Ardee Business Software Solutions Ardee Hi-Tech Private Limited Ardee Boards Private Limited Keystone Sensors LLC

CAPITAL STRUCTURE

AS ON 06.08.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
1500000	Equity Shares	Rs.10/- each	Rs.15.000 million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1499700	Equity Shares	Rs.10/- each	Rs.14.997 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	14.997	14.997	14.997
(b) Reserves & Surplus	298.040	282.226	272.181
(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)	313.037	297.223	287.178
(3) Non-Current Liabilities
(a) Long-term borrowings	107.787	25.572	28.010
(b) Deferred tax liabilities (Net)	31.364	25.074	19.514
(c) Other long term liabilities	0.000	0.000	0.000
(d) Long-term provisions	4.411	7.443	6.385
Total Non-current Liabilities (3)	143.562	58.089	53.909
(4) Current Liabilities
(a) Short term borrowings	260.106	269.399	261.384
(b) Trade payables	87.756	219.262	155.969
(c) Other current liabilities	48.268	30.685	25.335
(d) Short-term provisions	0.610	0.270	0.196
Total Current Liabilities (4)	396.740	519.616	442.884
TOTAL	853.339	874.928	783.971
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	196.752	163.316	165.067
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	14.249	46.640	28.599
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	130.931	40.196	40.196
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	44.996	43.864	24.206
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	386.928	294.016	258.068
(2) Current assets
(a) Current investments	0.063	0.063	0.063
(b) Inventories	198.604	230.252	163.891
(c) Trade receivables	167.968	250.928	240.064
(d) Cash and cash equivalents	18.892	24.171	53.420
(e) Short-term loans and advances	80.344	74.381	67.254
(f) Other current assets	0.540	1.117	1.211
Total Current Assets	466.411	580.912	525.903
TOTAL	853.339	874.928	783.971

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Revenue from Operations	772.394	899.379	855.856
		Other Income			4.252
		TOTAL	772.394	899.379	860.108
Less	EXPENSES
		Cost of materials consumed	NA	NA	608.261
		Increase/ Decrease in finished goods	NA	NA	16.799
		Employee benefit expense	NA	NA	74.049
		Other expenses	NA	NA	81.667
		TOTAL	NA	NA	780.776
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		NA	NA	79.332
Less	FINANCIAL EXPENSES		NA	NA	45.078
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		NA	NA	34.254
Less/ Add	DEPRECIATION/ AMORTISATION		NA	NA	10.358
	PROFIT/ (LOSS) BEFORE TAX		22.104	15.604	23.896
Less	TAX		6.290	5.559	1.764
	PROFIT/ (LOSS) AFTER TAX		15.814	10.045	22.132
	IMPORTS
		Raw Materials	274.477	422.451	358.780
		Capital Goods	4.267	1.634	6.135
	TOTAL IMPORTS		278.744	424.085	364.915
	Earnings / (Loss) Per Share (Rs.)		10.54	6.70	14.76

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT/Sales)	(%)	NA	NA	2.59
Operating Profit Margin (PBDIT/ Sales)	(%)	NA	NA	9.27
Return on Total Assets (PBT/Total Assets}	(%)	3.12	1.98	3.34
Return on Investment (ROI) (PBT/Networth)		0.07	0.05	0.08
Debt Equity Ratio (Total Debt/Networth)		1.18	0.99	1.01
Current Ratio (Current Asset/Current Liability)		1.18	1.12	1.19

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	(INR in Million)	(INR in Million)	(INR in Million)
Share Capital	14.997	14.997	14.997
Reserves & Surplus	272.181	282.226	298.040
Net worth	287.178	297.223	313.037
Long Term borrowings	28.010	25.572	107.787
Short Term borrowings	261.384	269.399	260.106
Total borrowings	289.394	294.971	367.893
Debt/Equity ratio	1.008	0.992	1.175

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	(INR in Million)	(INR in Million)	(INR in Million)
Total Income	860.108	899.379	772.394
		4.566	(14.119)

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(INR in Million)	(INR in Million)	(INR in Million)
Total Income	860.108	899.379	772.394
Profit	22.132	10.045	15.814
	2.57%	1.12%	2.05%

LOCAL AGENCY FURTHER INFORMATION

P0

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	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	Yes

COMPANY OVERVIEW:

Ardee Technologies Private Limited was formed as a partnership firm named "Ardee Enterprises” in the year ended 31^st March 1975. The partnership firm was converted into private limited Company named Ardee Business Services Private Limited during the year 1987. The name has been changed to Ardee Technologies Private Limited during the year 2011-2012. The Company deals mainly production of temperature and molten metal quality measuring equipment/ consumables, cored wires and other related products required for the steel industry.

WORKING RESULTS:

The company's revenue during 2014 was Rs.772.394 million and Net profit was Rs.15.814 million as against Rs.899.379 million and Rs.10.045 million respectively in 2013.

Reducing the sales turnover of the company's sales was one of the several steps undertaken by the management to arrest the trend of sliding profits. The focus was on improving margins, which this year showed significant results. The company hopes to continue this trend of improved profitability.

The profit before tax improved due to several factors –

- reducing or eliminating sales of lower margin products,

- reducing the credit periods to customers,

- reducing manpower costs and over heads,

- reduced office expenses,

- reducing and eliminating the non-moving stocks by reworking them into different products.

UNSECURED LOANS

PARTICULARS	31.03.2014 (Rs. In Million)	31.03.2013 (Rs. In Million)
LONG TERM BORROWINGS
From Banks	1.694	0.000
From Others
Non-Banking Financial Companies	1.532	0.000
Director	4.508	6.984
Department of Scientific and Industrial Research (DSIR)	13.000	13.000
Total	20.734	19.984

INDEX OF CHARGES

S. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10544146	12/01/2015	50,000,000.00	SMALL INDUSTRIES DEVELOPEMENT BANK OF INDIA - SIDBI	JEEVAN SHREE BUILDING, GROUND FLOOR, S. NO. 1109, PLOT NO. 488, PUNE UNIVERSITY ROAD, SHIVAJINAGAR, PUNE, MAHARASHTRA - 411016, INDIA	C40956641
2	10501168	18/02/2014	167,400,000.00	EXPORT-IMPORT BANK OF INDIA	FLOOR 21, CENTRE ONE BUILDING, WORLD TRADE CENTRE COMPLEX, CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA	C05679063
3	10052276	22/02/2007	1,115,000.00	HDFC BANK LIMITED	HDFC BANK HOUSE, SENAPATI BAPAT MARG, LOWER PAREL (WEST), MUMBAI, MAHARASHTRA - 400013, INDIA	A13368519
4	90122173	24/12/2014 *	355,000,000.00	STATE BANK OF INDIA	COMMERCIAL BRANCH, # 43-29-54/8, 1ST FLOOR, BALAJI METRO CHAMBERS, DONDAPARTHY, VISAKHAPATNAM, ANDHRA PRADESH - 530016, INDIA	C41939422
5	90123560	18/12/2004 *	7,500,000.00	STATE BANK OF INDIA	OVERSEAS BRANCH, VISAKHAPATNAM, ANDHRA PRADESH, INDIA	-

* Date of charge modification

FIXED ASSETS

· Land

· Buildings

· Plant and Equipments (including electricals and fittings)

· Furniture and Fixtures

· Vehicles

· Office Equipments

· Computers

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.62.92
UK Pound	1	Rs.93.57
Euro	1	Rs.67.34

INFORMATION DETAILS

Information Gathered by :	PRT
Analysis Done by :	SUC
Report Prepared by :	SMN

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
-- PROFITABILITY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	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		28

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.