MIRA INFORM REPORT

Report No. :	335719
Report Date :	10.08.2015

IDENTIFICATION DETAILS

Name :	ASIAN PEROXIDES LIMITED
Registered Office :	Leelavati Building, 69, Armenian St., Chennai – 600001, Tamilnadu
Tel. No.:	91-44-25226569/25268803
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	21.04.1986
Com. Reg. No.:	18-012930
Capital Investment / Paid-up Capital :	Rs.324.550 Million
IEC No.:	0488033217
CIN No.: [Company Identification No.]	U24117TN1986PLC012930
TAN No.: [Tax Deduction & Collection Account No.]	CHEA00539A
PAN No.: [Permanent Account No.]	AAACA6213G
Legal Form :	A Closely Held Pubic Limited Liability Company
Line of Business :	Manufacturer of Hydrogen Peroxide.
No. of Employees :	Information declined by the management

RATING & COMMENTS

MIRA’s Rating :

B (27)

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

Maximum Credit Limit :	USD 1600000
Status :	Moderate
Payment Behaviour :	Slow but Correct
Litigation :	Exist
Comments :	Subject is an established company having moderate track record. The company possesses moderate operational performance and it has incurred huge losses from its operational activities. Rating further constrained on account of company’s moderate financial risk profile marked by low reserves and leverage capital structure of the company. However, trade relations are reported as fair. Payments are reported to be slow but correct. In view of operational losses, 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 – March 31, 2015

Country Name	Previous Rating (31.12.2014)	Current Rating (31.03.2015)
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	ICRA
Rating	Long-term, fund-based facilities=B+
Rating Explanation	Risk-prone-credit-quality and carries very high credit risk.
Date	November 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 31-03-2013.

INFORMATION DENIED BY

Name :	Mr. Srinivas
Designation :	System Department
Contact No.:	91-80-46042242
Date :	07.08.2015

LOCATIONS

Registered Office :	Leelavati Building, 69, Armenian St., Chennai – 600001, Tamilnadu, India
Tel. No.:	91-44-25226569/25268803
Fax No.:	91-44-25229600
E-Mail :	sdewan@apl.in mani@apl.in
Website :	http://www.apl.in
Head Office :	Old No.44, New No.91, Begum-ispahani-complex, Armenian Street, 2^nd Floor, Chennai – 600001, Tamilnadu, India
Tel. No.:	91-91-44-25241462
Fax No.:	91-44-25241462
Factory :	GNT Road, MM Mudi (B.O) Kotapolur (P.O) District – Nellore – 524123, Telangana, India
Tel. No.:	91-8623-270191
Fax No.:	91-8623-242111
E-Mail :	jaishankar.k@apl.in kpkchennai@yahoo.co.in

DIRECTORS

As on 23.06.2014

Name :

Mr. Shiv K Dewan

Designation :

Managing Director

Address :

No. 8, Nawab Habibullah Avenue Cross, Street Off: Anderson Road, Nungambakkam, Chennai – 600006, Tamilnadu, India

Date of Birth/Age :

12.02.1945

Date of Appointment :

30.12.2002

PAN No.:

AACPD4029Q

Date of Signing :

01.07.2014

DIN No.:

00814776

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	U24117TN1986PLC012930	ASIAN PEROXIDES LIMITED	Managing director	01/07/2014	21/04/1986	-	Active	NO
2	U65993TN1988PLC083659	S R HOLDINGS LIMITED	Director	01/06/1988	01/06/1988	-	Active	NO
3	U33209TN1994PLC029666	APL PEROXY CHEMICALS LIMITED	Director	25/06/1995	25/06/1995	-	Active	NO
4	U24119TN2002PLC048448	CHEMASIA INDUSTRIES LIMITED	Director	12/02/2002	12/02/2002	-	Active	NO
5	U24112TN2005PLC056450	AKSHAYA PURE CHEMICALS AND LOGISTICS LIMITED	Director	30/05/2005	30/05/2005	-	Strike off	NO
6	U65191TN1995PTC033566	APL CAPITAL PRIVATE LIMITED	Director	07/09/2009	07/09/2009	-	Strike off	NO

Name :

Mr. Roopa Dewan

Designation :

Director

Address :

No. 8, Nawab Habibullah Avenue Cross, Street Off: Anderson Road, Nungambakkam, Chennai – 600006, Tamilnadu, India

Date of Birth/Age :

30.06.1951

Date of Appointment :

30.12.2002

Date of Signing :

08.09.1996

DIN No.:

01025838

Name :

Mr. Rakesh Singh Sikand

Designation :

Director

Address :

1, East Canal Road, Dehradun – 248001, Uttarkhand, India

Date of Birth/Age :

25.09.1952

Date of Appointment :

27.05.2010

DIN No.:

02843011

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	U24117TN1986PLC012930	ASIAN PEROXIDES LIMITED	Director	27/05/2010	07/12/2009	-	Active	NO

Name :

Ms. Ahna Dewan

Designation :

Director

Address :

No.8, Nawab Habibullah Avenue Cross, Street Off: Anderson Road, Chennai, 600006, Tamilnadu, India

Date of Birth/Age :

09.10.1974

Date of Appointment :

25.05.2011

DIN No.:

00814827

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	U63090TN1996PTC034135	APL LOGISTICS PRIVATE LIMITED	Director	07/04/1997	07/04/1997	-	Strike off	NO
2	U65993TN1988PLC083659	S R HOLDINGS LIMITED	Director	30/03/2004	30/03/2004	-	Active	NO
3	U24117TN1986PLC012930	ASIAN PEROXIDES LIMITED	Director	25/05/2011	29/09/2010	-	Active	NO
4	U24119TN2002PLC048448	CHEMASIA INDUSTRIES LIMITED	Director	14/11/2011	01/03/2011	-	Active	NO

Name :

Mr. Gustaaf Maria Justina Goor

Designation :

Director

Address :

Grossauheim, Gleiwitzer Strasse 1, Hanau, 63457, Germany

Date of Birth/Age :

23.04.1948

Date of Appointment :

23.05.2012

DIN No.:

05189674

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	U24117TN1986PLC012930	ASIAN PEROXIDES LIMITED	Director	23/05/2012	12/12/2011	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Srinivas
Designation :	System Department
Name :	Mr. Shiv K Dewan
Designation :	Chairman

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

SHAREHOLDERS DETAILS FILE ATTACHED

As on 23.06.2014

Category	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	53.00
Bodies corporate	28.00
Directors or relatives of Directors	18.00
Other top fifty shareholders	1.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Hydrogen Peroxide.

Products :

• Pulp and, Paper bleaching
• Textile bleaching,
• Chemical synthesis
• Water/ waste and effluent treatment 
• Mining / Metallurgy
• Electronics
• Rocket propulsion
• Food and hygiene
• Cosmetics

ITC Code	Product Description
28470000	Hydrogen Peroxide W/N Solidified with Urea

Brand Names :

Not Available

Agencies Held :

Not Available

Exports :

Not Divulged

Imports :

Not Divulged

Terms :

Not Divulged

PRODUCTION STATUS NOT AVAILABLE

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
		2014	2014	2014
Hydrogen Peroxide	MT	NA	18,000	5334

GENERAL INFORMATION

Suppliers :

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

Customers :

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

No. of Employees :

Information declined by the management

Bankers :

Bank Name	State Bank of India
Branch	Commercial Branch, 232, NSC Bose Road, Chennai – 600001, Tamilnadu, 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

Facilities :

Secured Loan	31.03.2014 (Rs. in Million)	31.03.2013 (Rs. in Million)
Long-term Borrowings
Rupee term loans from banks	71.027	0.000
Short-term borrowings
Loans repayable on demand from banks	148.233	216.767
Total	219.260	216.767

Auditors :
Name :	Mani and Sridharan Chartered Accountants
Address :	Flat D-2, 1st Floor, Parsns Apartments, 109 G.N. Chetty Road, T. Nagar, Chennai – 600017, Tamilnadu, India
PAN N Income-tax PAN of auditor or auditor's firm :	AAAFM2117L
Memberships :	Not Available
Collaborators :	Not Available
Subsidiaries :	Chemasia Industries Limited
Associates:	APL Capital (Mauritius) Limited S R Holdings Limited India (U65993TN1988PLC083659)

CAPITAL STRUCTURE

As on 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
55000000	Equity Shares	Rs.10/- each	Rs.550.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
32454985	Equity Shares	Rs.10/- each	Rs.324.550 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	324.550	283.195	173.075
(b) Reserves & Surplus	227.344	290.029	308.103
(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)	551.894	573.224	481.178
(3) Non-Current Liabilities
(a) long-term borrowings	71.027	0.000	72.325
(b) Deferred tax liabilities (Net)	0.000	21.025	7.941
(c) Other long term liabilities	297.574	180.744	46.018
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	368.601	201.769	126.284
(4) Current Liabilities
(a) Short term borrowings	148.233	216.767	191.896
(b) Trade payables	28.550	35.784	38.896
(c) Other current liabilities	111.373	109.240	187.217
(d) Short-term provisions	7.859	8.122	4.819
Total Current Liabilities (4)	296.015	369.913	422.828
TOTAL	1216.510	1144.906	1030.290
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	368.325	407.141	461.990
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	261.360	106.969	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.090	0.090	0.090
(c) Deferred tax assets (net)	25.426	0.000	0.000
(d) Long-term Loan and Advances	209.023	209.860	213.921
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	864.224	724.060	676.001
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	271.073	311.360	262.538
(c) Trade receivables	34.763	47.886	42.459
(d) Cash and cash equivalents	3.860	8.571	9.028
(e) Short-term loans and advances	40.101	50.270	38.243
(f) Other current assets	2.489	2.759	2.021
Total Current Assets	352.286	420.846	354.289
TOTAL	1216.510	1144.906	1030.290

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2014	31.03.2013	31.03.2012
	SALES
	Income	329.174	321.718	424.252
	Other Income	2.375	2.108	6.926
	TOTAL (A)	331.549	323.826	431.178
Less	EXPENSES
	Cost of Materials Consumed	210.262	276.966	240.125
	Purchases of Stock-in-Trade	0.000	0.000	0.000
	Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	26.046	(62.623)	(35.800)
	Employees benefits expense	36.140	81.537	60.670
	Other expenses	125.214	93.990	176.479
	Exceptional Items	27.942	0.000	0.000
	TOTAL (B)	425.604	389.870	441.474
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (C)	(94.055)	(66.044)	(10.296)
Less	FINANCIAL EXPENSES (D)	39.796	46.819	60.856
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)	(133.851)	(112.863)	(71.152)
Less	DEPRECIATION/ AMORTISATION (F)	41.453	45.006	53.559
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)	(175.304)	(157.869)	(124.711)
Less	TAX (H)	(46.451)	13.084	(37.806)
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)	(128.853)	(170.953)	(86.905)
	EARNINGS IN FOREIGN CURRENCY
	Foreign Earning	5.473	18.893	16.325
	TOTAL EARNINGS	5.473	18.893	16.325
	Earnings / (Loss) Per Share (Rs.)	(4.46)	(9.81)	(5.67)

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Particulars	31.03.2014	31.03.2013	31.03.2012
Current Maturities of Long term debt	0.000	0.000	44.132
Cash generated from operations	NA	NA	NA
Net cash flows from (used in) operations	78.450	(29.158)	40.239
Net cash flow from operating activity	76.370	(30.955)	18.924

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT / Sales)	(%)	(39.14)	(53.14)	(20.48)
Operating Profit Margin (PBIDT/Sales)	(%)	(28.57)	(20.53)	(2.43)
Return on Total Assets (PBT/Total Assets}	(%)	(18.86)	(15.21)	(12.11)
Return on Investment (ROI) (PBT/Networth)		(0.32)	(0.28)	(0.26)
Debt Equity Ratio (Total Debt /Networth)		0.40	0.38	0.64
Current Ratio (Current Asset/Current Liability)		1.19	1.14	0.84

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	173.075	283.195	324.550
Reserves & Surplus	308.103	290.029	227.344
Net worth	481.178	573.224	551.894
long-term borrowings	72.325	0.000	71.027
Short term borrowings	191.896	216.767	148.233
Total borrowings	308.353	216.767	219.260
Debt/Equity ratio	0.641	0.378	0.397

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	424.252	321.718	329.174
		(24.168)	2.318

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	424.252	321.718	329.174
Profit	(86.905)	(170.953)	(128.853)
	(20.48%)	(53.14%)	(39.14%)

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check list by info agents	Available in Report (Yes/No)
1	Year of establishment	Yes
2	Constitution of the entity -Incorporation details	Yes
3	Locality of the entity	Yes
4	Premises details	No
5	Buyer visit details	--
6	Contact numbers	Yes
7	Name of the person contacted	Yes
8	Designation of contact person	Yes
9	Promoter’s background	Yes
10	Date of Birth of Proprietor / Partners / Directors	Yes
11	Pan Card No. of Proprietor / Partners	Yes
12	Voter Id Card No. of Proprietor / Partners	No
13	Type of business	Yes
14	Line of Business	Yes
15	Export/import details (if applicable)	No
16	No. of employees	No
17	Details of sister concerns	Yes
18	Major suppliers	No
19	Major customers	No
20	Banking Details	Yes
21	Banking facility details	Yes
22	Conduct of the banking account	--
23	Financials, if provided	Yes
24	Capital in the business	Yes
25	Last accounts filed at ROC, if applicable	Yes
26	Turnover of firm for last three years	Yes
27	Reasons for variation <> 20%	--
28	Estimation for coming financial year	No
29	Profitability for last three years	Yes
30	Major shareholders, if available	Yes
31	External Agency Rating, if available	Yes
32	Litigations that the firm/promoter involved in	--
33	Market information	--
34	Payments terms	No
35	Negative Reporting by Auditors in the Annual Report	No

Madras High Court

Case Status Information Systems

Case Status: Pending

Status Of: COMPANY PETITION 313 OF 2015

Litigants: LINDE INDIA LIMITED Vs. ASIAN PEROXIDES LIMITED

Pet’s Adv: M/S. P. GIRIDHARAN

Res;s Adv:

Case Updated On: Thursday, July 16, 2015

Category:

OPERATIONS

Hydrogen Peroxide production for the 12 month period under review was 3,330 MT. This represents 19% of installed capacity.

The single contributing factor to low productivity has been the non availability and poor quality of power from the grid. Besides the scheduled 7 to 10 days power holiday every month, there were high incidence of unscheduled power interruptions during Q2. Being a continuous process industry, such power outages result in loss of production and higher unit costs.

The operation of the Plants are power sensitive, quality of power is critical to prevent unnecessary trips of the plants resulting in loss of production and wastage of hydrogen gas. The last three consecutive years, (Year 2011-12, 2012-13, and 2013-14) the Company faced the

This very unsatisfactory power situation, the worst in its 27 years of operation. Due to power crises the company forced to operate only one line and the capacity of utilization is at 19% for the year 2013-2014

During 2013-14, the high depreciation of the Indian rupee, resulted in the increase in cost of Naptha, the raw material to produce Hydrogen gas, to historical heights through the year, average cost up by as much as 20% over the previous years.

The above two factors resulted in low productivity of plant operations, wasteful expenditure on Naptha and power and consequent losses of Rs.70.000 Million for the year 2013-14.

Looking Forward 2014-15

Asian Market

There low production resulted in imports making inroads into the country to meet the growing domestic demand.

The recent levels of imports were reportedly almost double their usual monthly volume.

The market remains very competitive. Some new capacity has been built in Bangladesh, Pakistan South Korea and Thailand mean that availability is more than ample. Producers have thus looked to move additional volumes into neighboring markets with the result that low priced material is also a feature of the Indian market. Consumption levels remain reasonable, but the tonnage available is in excess of this and so the availability of

low priced import material seeking a home remains an issue.

The Company has initiated various measures to counter the threat of imports and reagin its domestic market share.

Signed a 15 year BOO Agreement with BOC-Linde, for a 2000NM3 hydrogen gas generating plant using LNG/NG feedstock. The facility to be built on Companys land leased for 15 years and gas to be supplied over the boundary. The facility will be operational by August 2014, This feedstock will eliminate the volatility of cost and reduce hydrogen gas cost by about 20%-30%. The two Company owned Naptha based plants

will be decommissioned.

The Company has during this downtime, further automated its plant, modified facilities to greater energy saving and most important changed the chemicals for higher performance, increase in capacity by about 30%. The company made a breakthrough in developing the higher performing chemicals last year.

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	90307861	21/12/2012 *	43,000,000.00	CITY UNION BANK LIMITED	Old no 154, New No 319, Thambu Chetty Street, Chennai, Tamil Nadu - 600001, INDIA	B67912477
2	90306312	28/11/1995 *	118,800,000.00	STATE BANK OF INDIA	COMMERCIAL BRANCH, 232; N. S. C. BOSE ROAD, MADRAS, Tamil Nadu - 600001, INDIA	-
3	90304655	30/03/1993 *	9,000,000.00	ANZ GRINDLAYS BANK	19; RAJAJI SALAI, MADRAS, Tamil Nadu - 600001, INDIA	-
4	90304302	21/11/2013 *	352,100,000.00	State Bank of India	Commercial Branch, No.232 NSC Bose Road, Chennai, Tamil Nadu - 600001, INDIA	B90685710
5	90304300	23/02/1990 *	7,500,000.00	BRIDLAYS BANK	19; RAJAJI SALAI, MADRAS, Tamil Nadu - 600001, INDIA	-

CONTINGENT LIABILITIES:

(Rs. in million)

PARTICULARS	31.03.2014	31.03.2013
Bank Guarantees	18.422	31.707
Customs Duty, Excise Duty and Income Tax demands under Appeal	98.474	132.322

FIXED ASSETS

• Land
• Buildings
• Factory building
• Plant and equipment
• Factory equipments
• Furniture and fixtures
• Vehicles
• Motor vehicles

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.63.80
UK Pound	1	Rs.98.92
Euro	1	Rs.69.65

INFORMATION DETAILS

Information Gathered by :	PRT
Analysis Done by :	KAR
Report Prepared by :	SUD

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILITY	1~10	-
--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		27

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.