MIRA INFORM REPORT

Report No. :	337744
Report Date :	25.08.2015

IDENTIFICATION DETAILS

Name :	DIAMOND POWER TRANSFORMERS LIMITED
Registered Office :	101/ B-7, GIDC Estate, Ranoli, Baroda, Vadodara – 391350, Gujarat
Tel. No.:	91-2662-222497/222493
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	28.12.2007
Com. Reg. No.:	04-052486
Capital Investment / Paid-up Capital :	Rs.100.000 Million
CIN No.: [Company Identification No.]	U31102GJ2007PLC052486
TAN No.: [Tax Deduction & Collection Account No.]	BRDD01888F
PAN No.: [Permanent Account No.]	AACCD8505E
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of Electrical Power and Distribution Transformers.
No. of Employees :	Information declined by the management

RATING & COMMENTS

MIRA’s Rating :

B (30)

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 a wholly owned subsidiary of Diamond Power Infrastructure Limited. It is having moderate track. From the indirect sources we found that the holding company of the subject i.e. DPIL, has reported delays in debt servicing NCD issue, which has effected overall group. However, rating takes into consideration overall decent financials of the company in financial year 2014. Trade relations are fair. Business is active. Payment terms are reported to be slow but correct. The company can be considered for business dealings with some caution. (Note: Partial information has been taken from indirect source i.e. CARE ratings.)

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	CARE
Rating	Long term bank facilities: C (SO) (Suspended)
Rating Explanation	Poor credit quality and limited prospects of recovery.
Date	03.08.2015

Rating Agency Name	CARE
Rating	Short term bank facilities: A4 (Suspended)
Rating Explanation	Minimal degree of safety and very high credit risk.
Date	03.08.2015

Reason for Suspension: Company has not furnished information to “CARE”

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 PARTED BY

Management Non-Co-operative (Tel No.:91-265-3299596) (Tel No.:2662-222497/222493 Continuously Ringing)

LOCATIONS

Registered Office/ Factory :	101/ B-7, GIDC Estate, Ranoli, Baroda, Vadodara – 391350, Gujarat, India
Tel. No.:	91-265-3299596/ 2240593/ 2240496 91-2662-222497/222493
Fax No.:	91-265-2240591
E-Mail :	abhatnagar@dicabs.com dkj@dicabs.com nishant.javlekar@dicabs.com acs@dicabs.com
Website :	http://www.dicabs.com
Location :	Owned
Corporate Office :	Essen House, 5/9-5/10,5/12, BIDC, Gorwa Industrial Estate, Vadodara – 390016, Gujarat, India
Tel. No.:	91-265-2284328/ 2283969/ 3299508/ 2281973
Fax No.:	91-265-2284328/ 2280528
Email :	bhagwan_m@dicabs.com dptl@dicabs.com
Branch Office :	Located at: · Mumbai · Chennai · New Delhi · Bangalore

DIRECTORS

As on 30.09.2014

Name :

Mr. Jayramrao Chandravadan Marathe

Designation :

Director

Address :

B-12, Hariba Park Society, Diwalipura, Vadodara – 390015, Gujarat, India

Date of Birth/Age :

02.05.1948

Qualification :

BE

Date of Appointment :

20.09.2012

DIN No.:

00063195

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	U40106GJ2007PTC049913	Solutions 4 Energy Private Limited	Director	15/11/2007	15/11/2007	-	Active	NO
2	U40100GJ2010PTC061096	S4E GREEN POWER PRIVATE LIMITED	Director	15/06/2010	15/06/2010	-	Active	NO
3	U31102GJ2007PLC052486	DIAMOND POWER TRANSFORMERS LIMITED	Director	20/09/2012	03/03/2011	-	Active	NO
4	U31909GJ1971PLC001966	APEX ELECTRICALS LIMITED	Additional director	31/10/2011	31/10/2011	-	Active	NO
5	U27109RJ2012PTC039237	VIKAS FERRO PRIVATE LIMITED	Director	18/06/2012	18/06/2012	-	Active	NO
6	U29248GJ2014PTC078910	Cool N Care Technologies Private Limited	Director	25/02/2014	25/02/2014	-	Active	NO
7	U31109GJ1996PLC031359	RUBY CABLES LIMITED	Director	05/08/2015	05/08/2015	-	Active	NO

Name :

Mr. Amit Suresh Bhatnagar

Designation :

Director

Address :

6, Green Park Society, Nizampura, Vadodara – 390002, Gujarat, India

Date of Birth/Age :

12.02.1970

Qualification :

MBA

Date of Appointment :

02.09.2011

DIN No.:

00775880

Name :

Mr. Sumit Suresh Bhatnagar

Designation :

Director

Address :

6, Green Park Society, Nizampura, Vadodara – 390002, Gujarat, India

Date of Birth/Age :

20.10.1972

Qualification :

MBA

Date of Appointment :

28.12.2007

DIN No.:

00776129

Name :

Mr. Suresh Narain Bhatnagar

Designation :

Director

Address :

6, Green Park Society, Nizampura, Vadodara – 390002, Gujarat, India

Date of Birth/Age :

10.09.1941

Qualification :

BE

Date of Appointment :

28.12.2007

DIN No.:

01661444

MAJOR SHAREHOLDERS

As on 30.09.2014

Names of Shareholders	No. of Shares
Diamond Power Infrastrecture Limited, India	9960000
Amit Suresh Bhatnagar	19980
Sumit Suresh Bhatnagar	19980
Mona Bhatnagar	10
Richa Bhatnagar	10
Madhurilata Bhatnagar	10
S.N. Bhatnagar ( HUF)	10
Total	10000000

As on 30.09.2014

Category	Percentage
Bodies corporate	99.60
Directors or relatives of Directors	0.40
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Electrical Power and Distribution Transformers.

Products :

Products Description	Item Code No.
Transformers	85049010

Brand Names :

Not Available

Agencies Held :

Not Available

Exports :

Not Available

Imports :

Not Available

Terms :

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
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	Axis Trustee Services Limited
Branch	Axis House, 2^nd Floor, Bombay Dyeing Mills Compond, Pandurang Budhkar Marg, Worli, Mumbai – 400025, Maharashtra, 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

· Corporation Bank

· Bank of Baroda

· Axis Bank Limited

· Bank of India

Facilities :

Secured Loan	31.03.2014 (Rs. in Million)	31.03.2013 (Rs. in Million)
Long-term Borrowings
Other loans and Advances	0.440	0.000
Loans from Banks	0.000	25.000
Term loan from Others	0.000	310.000
Loan taken from vehicle	0.000	0.999
Total	0.440	335.999

Financial Institute:	SICOM Limited, Solitaire Corporate Park, Building No. 4, Guru, Hargovindji Road, Andheri (East), Mumbai - 400093, Maharashtra, India
Auditors :
Name :	R. A. Amin and Company Chartered Accountants
Address :	5 , F F, Avishkar, Old Padra Road, Vadodara – 390015, Gujarat, India
PAN N Income-tax PAN of auditor or auditor's firm :	ADMPA0240P
Memberships :	--
Collaborators :	--
Holding and Associates Company:	Diamond Power Infrastructure Limited, India (L31300GJ1992PLC018198) Diamond Projects Limited Diamond Infosystems Limited

CAPITAL STRUCTURE

As on 30.09.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Shares	Rs.10/- each	Rs.100.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Shares	Rs.10/- each	Rs.100.000 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	100.000	100.000	100.000
(b) Reserves & Surplus	568.693	508.066	471.251
(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)	668.693	608.066	571.251
(3) Non-Current Liabilities
(a) long-term borrowings	68.987	354.569	320.679
(b) Deferred tax liabilities (Net)	0.175	0.175	0.000
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	69.162	354.744	320.679
(4) Current Liabilities
(a) Short term borrowings	737.829	487.256	299.655
(b) Trade payables	274.157	156.263	140.479
(c) Other current liabilities	351.095	112.029	105.338
(d) Short-term provisions	33.726	21.783	87.789
Total Current Liabilities (4)	1396.807	777.331	633.261
TOTAL	2134.662	1740.141	1525.191
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	121.227	129.058	132.793
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	65.794	36.458	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	104.000	104.000	0.000
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	148.182	174.416	18.129
(e) Other Non-current assets	0.016	0.000	0.000
Total Non-Current Assets	439.219	443.932	150.922
(2) Current assets
(a) Current investments	11.819	0.000	0.000
(b) Inventories	605.692	445.837	409.229
(c) Trade receivables	869.896	667.273	637.449
(d) Cash and cash equivalents	94.327	92.378	139.212
(e) Short-term loans and advances	113.709	90.721	188.379
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	1695.443	1296.209	1374.269
TOTAL	2134.662	1740.141	1525.191

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2014	31.03.2013	31.03.2012
	SALES
	Income	5032.914	3667.618	2778.529
	Other Income	11.696	85.323	2.414
	TOTAL (A)	5044.610	3752.941	2780.943
Less	EXPENSES
	Cost of Materials Consumed	4623.317	3469.060	2463.229
	Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(153.966)	(72.428)	(209.859)
	Employees benefits expense	91.430	24.100	14.673
	Other expenses	274.440	199.499	203.134
	TOTAL (B)	4835.221	3620.231	2471.177
Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (C)	209.389	132.710	309.766
Less	FINANCIAL EXPENSES (D)	108.355	63.734	46.663
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)	101.034	68.976	263.103
Less/ Add	DEPRECIATION/ AMORTISATION (F)	10.408	11.161	10.599
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)	90.626	57.815	252.504
Less	TAX (H)	30.000	21.000	80.880
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)	60.626	36.815	171.624
	Earnings / (Loss) Per Share (Rs.)	6.06	5.78	25.25

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	0.000
Cash generated from operations	NA	NA	NA
Net cash flow from operating activity	NA	NA	NA

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT / Sales)	(%)	1.20	1.00	6.18
Operating Profit Margin (PBIDT/Sales)	(%)	4.16	3.62	11.15
Return on Total Assets (PBT/Total Assets}	(%)	4.61	3.61	16.56
Return on Investment (ROI) (PBT/Networth)		0.14	0.10	0.44
Debt Equity Ratio (Total Debt /Networth)		1.21	1.38	1.09
Current Ratio (Current Asset/Current Liability)		1.21	1.67	2.17

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	100.000	100.000	100.000
Reserves & Surplus	471.251	508.066	568.693
Net worth	571.251	608.066	668.693
long-term borrowings	320.679	354.569	68.987
Short term borrowings	299.655	487.256	737.829
Total borrowings	620.334	841.825	806.816
Debt/Equity ratio	1.086	1.384	1.207

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	2778.529	3667.618	5032.914
		31.999	37.226

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	2778.529	3667.618	5032.914
Profit	171.624	36.815	60.626
	6.18%	1.00%	1.20%

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	No
8	Designation of contact person	No
9	Promoter’s background	Yes
10	Date of Birth of Proprietor / Partners / Directors	Yes
11	Pan Card No. of Proprietor / Partners	No
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

DIAMOND INDUSTRY – INDIA

- From time immemorial, India is well known in the world as the birthplace for diamonds.  It is difficult to trace the origin of diamonds but history says that in the remote past, diamonds were mined only in India. Diamond production in India can be traced back to almost 8^th Century B.C.  India, in fact, remained undisputed leader till 18^th Century when Brazilian fields were discovered in 1725 followed by emergence of S. Africa, Russia and Australia.

- The achievement of the Indian diamond industry was possible only due to combination of the manufacturing skills of the Indian workforce and the untiring and unflagging efforts of the Indian diamantaires, supported by progressive Government policies.

- The area of study of family owned diamond businesses derives its importance from the huge conglomerate of family run organizations which operate in the diamond industry since many generations.

- Some of the basic traits of family run business enterprises include spirit of entrepreneurship, mutual trust lowers transaction costs, small, nimble and quick to react, information as a source of advantage and philanthropy.

- Family owned diamond businesses need to improve on many fronts including higher standard of corporate governance, long-term performance – focused strategies, modern management and technology.

- Utmost caution is to be exercised while dealing with some medium and large diamond traders which are usually engaged in fictitious import – export, inter-company transactions, financially assisted by banks. In the process, several public sector banks lost several hundred million rupees. They mostly diverted borrowed money for diamond business into real estate and capital markets.

- Excerpts from Times of India dated 30^th October 2010 is as under –

- Gem & Jewellery Export Promotion Council in its statistical data has shown the export of polished diamonds to have increase by 28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in February, 2012, India exported $ 1.84 billion worth of polished diamonds in February 2013. A senior executive of GJEPC said, “Export of cut and polished diamonds started falling month-wise after the imposition of 2 % of import duty on the polished diamonds. But February, 2013 has given a new ray of hope to the industry as the export of polished diamonds has actually increased by 28 %. It means the industry  is on the track of recovery and round tripping of diamonds has stopped completely.” Demand has started coming from the US, the UK, Japan and China. India’s polished diamond export is expected to cross $ 21 bn in 2013-14.

- The banking sector has started exercising restraint while following prudent risk management norms when lending money to gems and jewellery sector. This follows the implementation of Basel III accord – a global voluntary regulatory standard on bank capital adequacy, stress testing and market liquidity.

PERFORMANCE

For the Financial Year 2013-14, the Company has earned total income of Rs.5044.610 Million (against last year's Rs.3752.941 Million) against which, the Company has incurred total expenditure of Rs.4835.220 Million (against last year's Rs.3620.231 Million) makes the Profit of Rs.60.626 Million (against last year's Rs.36.815 Million). Company's earnings per share is increased 3.68 (for last year) to 6.06 (for current year).

UNSECURED LOAN

PARTICULARS	31.03.2014 (Rs. in Million)	31.03.2013 (Rs. in Million)
Long-term Borrowings
Loans and advances from others	68.547	0.000
Short-term borrowings
Loans repayable on demand from banks	402.829	404.734
Deposits from others	335.000	82.522
Loans and Advances from related parties	0.000	18.570
Total	806.376	505.826

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10468970	19/12/2013	950,000,000.00	Axis Trustee Services Limited	Axis House, 2nd Flr, Bombay Dyeing Mills Compound, Pandurang Budhkar Marg, Worli,, Mumbai, Maharashtra - 400025, INDIA	B93031334
2	10423300	30/04/2013	50,000,000.00	Indian Overseas Bank	MID Corporate Branch, 202,203,204, 1st floor,, Earth Complex, Near Malhar Point, Old Padra Road, Vadodara, Gujarat - 390007, INDIA	B74251273
3	10422640	31/03/2015 *	1,146,000,000.00	Indian Overseas Bank	MID Corporate Branch, 202,203,204, 1st floor,, Earth Complex, Near Malhar Point, Old Padra Road, Vadodara, Gujarat - 390007, INDIA	C51507929
4	10420637	29/03/2013	50,000,000.00	Indian Overseas Bank	MID CORPORATE BRANCH, 202,203,204, 1ST FLOOR,, EARTH COMPLEX, OLD PADRA ROAD,, VADODARA, Gujarat -  390007, INDIA	B73438285
5	10420640	29/03/2013	50,000,000.00	Indian Overseas Bank	MID CORPORATE BRANCH, 202,203,204, 1ST FLOOR,, EARTH COMPLEX, OLD PADRA ROAD,, VADODARA, Gujarat -  390007, INDIA	B73438806
6	10350687	22/04/2013 *	10,000,000.00	SICOM LIMITED	SOLITAIRE CORPORATE PARK, BUILDING NO. 4, GURU, HARGOVINDJI ROAD, ANDHERI (EAST), Mumbai, Maharashtra - 400093, INDIA	B76845338
7	10350691	22/04/2013 *	100,000,000.00	SICOM LIMITED	SOLITAIRE CORPORATE PARK, BUILDING NO. 4, GURU, HARGOVINDJI ROAD, ANDHERI (EAST), Mumbai, Maharashtra - 400093, INDIA	B76846021
8	10350695	22/04/2013 *	200,000,000.00	SICOM LIMITED	SOLITAIRE CORPORATE PARK, BUILDING NO. 4, GURU, HARGOVINDJI ROAD, ANDHERI (EAST), Mumbai, Maharashtra - 400093, INDIA	B76846690
9	10337371	22/02/2012	400,000,000.00	UCO BANK	MID CORPORATE BRANCH, 14-17 EARTH COMPLEX,, AKSHAR CHOWK, OLD PADRA RAOD, VADODARA, Gujarat - 390020, INDIA	B32873614
10	10285262	24/03/2011	500,000,000.00	INDIAN OVERSEAS BANK	P.B. NO. 596 MEHTA POLE, MANDVI, VADODARA, Gujarat - 390006, INDIA	B10407567

FIXED ASSETS

• Land
• Buildings
• Factory building
• Plant and equipment
• Factory equipments
• Other plant and equipment
• Furniture and fixtures
• Vehicles
• Motor vehicles
• Office equipment
• Computer equipments
• Other equipments

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 records 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.66.70
UK Pound	1	Rs.105.10
Euro	1	Rs.77.10

INFORMATION DETAILS

Information Gathered by :	SUP
Analysis Done by :	KIN
Report Prepared by :	SUD

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	4
--PROFITABILITY	1~10	4
--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		30

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.