MIRA INFORM REPORT

Report No. :	338620
Report Date :	26.08.2015

IDENTIFICATION DETAILS

Name :	JINDAL MECTEC PRIVATE LIMITED (w.e.f. 10.06.2006)

Formerly Known As :	JINDAL MECTECNO PRIVATE LIMITED (w.e.f. 30.10.2003) K.J. POLYMER PRIVATE LIMITED

Registered Office :	B-29, Sanjay Market, PKT 3, Sector 2, Rohini, New Delhi – 110 085
Tel. No.:	91-11-27512283/ 84

Country :	India

Financials (as on) :	31.03.2014

Date of Incorporation :	03.11.1993

Com. Reg. No.:	55-055919

Capital Investment / Paid-up Capital :	Rs.21.181 million

CIN No.: [Company Identification No.]	U74899DL1993PTC055919

IEC No.:	Not Available

TAN No.: [Tax Deduction & Collection Account No.]	DELJ04449E

PAN No.: [Permanent Account No.]	AAACK1091J

Legal Form :	Private Limited Liability Company

Line of Business :	Subject is engaged in the business of manufacturing of Building Panels and PUF Panels.

No. of Employees :	300 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (42)

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

Maximum Credit Limit :	USD 1288000

Status :	Satisfactory

Payment Behaviour :	Usually Correct

Litigation :	Exist

Comments :	Jindal Mectec Private Limited promoted in 1993 by Mr. Pawan Jindal and his family. It is an established company having satisfactory track record. The ratings take into account company’s experienced management and its long track record in polyurethane foam (PUF) panels business. The company has shown sound financial risk profile, improved capital structure, and comfortable debt protection metrics. However the ratings are constrained by intensely competitive nature of the industry which is reflected in company’s moderate operating margins and low profitability. Trade relations are reported as fair. Business is active. Payment terms are reported to be usually correct. The company can be considered normal for business dealings at usual trade terms and conditions. Note: The company has recorded different figure denoting loss in its director reports and its schedules showing profit for the year 2014. So, we are considering the schedule figure in order to successfully rate the company.

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

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	Not Available
Rating	Not Available
Rating Explanation	Not Available
Date	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 31-03-2013.

INFORMATION PARTED BY

Name :	Mr. S.K. Sharma
Designation :	Accounts Executive
Contact No.:	91-9891909073
Date :	25.08.2015

LOCATIONS

Registered Office :	B-29, Sanjay Market, PKT 3, Sector 2, Rohini, New Delhi – 110 085, India
Tel. No.:	91-11-27512283/ 84
Mobile No.:	91-9891909073 (Mr. S.K. Sharma)
Fax No.:	91-11-27513541
E-Mail :	sales@jindalbrothers.in sk.sharma@jindalbrothers.in
Website :	www.jindalbrothers.in
Location :	Owned

Head Office/ Factory 1/ CMO :	Old Manesar Road, Village Narsinghpur, Gurgaon – 122 001, Haryana, India
Tel. No.:	91-124-4086401/ 2/ 3/ 4393200
Fax No.:	91-124-4030807
E-Mail :	jindalmectecno@jindalbrothers.in

Factory 2 :	Village-Souri, Swarghat Road, Tehsil Nalagarh, Baddi, District Solan – 174 101, Himachal Pradesh, India
Tel. No.:	91-1795-220819/820
Fax No.:	91-1795-220818

DIRECTORS

AS ON 30.09.2014

Name :

Mr. Pawan Jindal

Designation :

Managing Director

Address :

H. No.704, Sector-15, Part-II, Gurgaon – 122 002, Haryana, India.

Date of Birth/Age :

03.01.1952

Date of Appointment :

01.08.2012

DIN No.:

00159997

PAN No.:

AALPJ7460J

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	U74899DL1993PTC055919	JINDAL MECTEC PRIVATE LIMITED	Managing director	01-08-2012	03-11-1993	-	Active	NO
2	U18101HR2005PTC035809	ADINATH FURNISHING PRIVATE LIMITED	Director	25-07-2005	25-07-2005	10-03-2012	Active	NO
3	U74900DL2009PTC189371	JINDAL HOME DECOR PRIVATE LIMITED	Director	15-04-2009	15-04-2009	-	Active	NO
4	U29199DL2005PTC132833	JINDALJYOTI PREFAB PRIVATE LIMITED	Director	28-03-2014	28-03-2014	-	Active	NO

Name :

Mr. Shiv Kumar Sharma

Designation :

Director

Address :

3A/606, Rang Rasayan, Sector-13, Rohini, New Delhi – 110 085, India

Date of Birth/Age :

29.04.1963

Date of Appointment :

02.11.1997

DIN No.:

00160089

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	U74899DL1993PTC055919	JINDAL MECTEC PRIVATE LIMITED	Director	02-11-1997	02-11-1997	-	Active	NO
2	U63030MH2012PTC225648	DOLPHIN EXPRESS PRIVATE LIMITED	Director	02-01-2012	02-01-2012	-	Active	NO

Name :

Mr. Gaurav Jindal

Designation :

Director

Address :

H No.704, Sector-15, Part-II, Gurgaon – 122 002, Haryana, India

Date of Birth/Age :

27.09.1988

Date of Appointment :

30.09.2013

DIN No.:

01606125

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	U34300DL2005PTC132465	ADHUNIK AUTOMOTIVES PRIVATE LIMITED	Director	16-06-2007	16-06-2007	16-08-2013	Active	NO
2	U74899DL1993PTC055919	JINDAL MECTEC PRIVATE LIMITED	Director	30-09-2013	30-04-2010	-	Active	NO
3	U29199DL2005PTC132833	JINDALJYOTI PREFAB PRIVATE LIMITED	Director	28-03-2014	28-03-2014	-	Active	NO

Name :

Mr. Saurabh Jindal

Designation :

Director

Address :

H No.704, Sector-15, Part-II, Gurgaon – 122 002, Haryana, India

Date of Birth/Age :

05.06.1982

Date of Appointment :

30.09.2013

DIN No.:

00160281

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	U17214HP2005PTC028535	JINDAL PADDINGS PRIVATE LIMITED	Director	10-06-2005	10-06-2005	16-08-2013	Active	NO
2	U74899DL1993PTC055919	JINDAL MECTEC PRIVATE LIMITED	Director	30-09-2013	02-04-2012	-	Active	NO

KEY EXECUTIVES

Name :	Mr. S.K. Sharma
Designation :	Accounts Executive

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2014

Names of Shareholders		No. of Shares
Pawan Jindal		419350
Meena Jindal		86500
Saurabh Jindal		413100
Gaurav Jindal		364260
Jindal Jyoti Prefab Private Limited, India		600000
Jindal Finlease Private Limited, India		183000
Sarvpriya Agro Private Limited, India		200000
Daya Engineering Works Poles Private Limited, India		100
Sudesh Thakur		100
Total		2266410

AS ON 30.09.2014

Equity Share Break up (Percentage of Total Equity)

Category	Percentage of holding
Bodies corporate	43.00
Directors or relatives of Directors	57.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Subject is engaged in the business of manufacturing of Building Panels and PUF Panels.

Products :

Description of product or service

ITC code

PUF / Building Panel

73089090

Brand Names :

Not Available

Agencies Held :

Not Available

Exports :

Not Available

Imports :

Products :

Chemicals
Door Sheet

Countries :

Korea
Italy

Terms :

Selling :

Cash and Credit

Purchasing :

Cash and Credit

PRODUCTION STATUS: NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

Reference :

Bhushan Steel Limited

Name of the Person :

Not Divulged

Contact No.:

Not Divulged

Since How Long Known :

Not Divulged

Maximum Limit Dealt :

Not Divulged

Experience :

Payment Behaviour	Market Goodwill	Overall
Not Divulged	Not Divulged	Not Divulged

Remark:

Not Divulged

Customers :

Others (Direct Users)

Reference :

Micon International Limited

Name of the Person :

Not Divulged

Contact No.:

Not Divulged

Since How Long Known :

Not Divulged

Maximum Limit Dealt :

Not Divulged

Experience :

Product Quality	Delivery Behaviour	Overall
Not Divulged	Not Divulged	Not Divulged

Remark:

Not Divulged

No. of Employees :

300 (Approximately)

Bankers :

Banker Name	Canara Bank
Branch Address	Prime Corporate Branch-CP, 2^nd Floor, World Trade Tower, Barakhamba Lane, New Delhi – 110 001, India
Person Name (With Designation)	Not Divulged
Contact Number	91-11-23413381 (Continuously Ringing)
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 LOANS	31.03.2014 (Rs. In Million)	31.03.2013 (Rs. In Million)
LONG TERM BORROWINGS
Rupee term loans from banks (Secured by bank and other financial institutions)	126.773	45.540
SHORT-TERM BORROWINGS
Loans repayable on demand from banks (Cash Credit)	415.653	422.897
Total	542.426	468.437

Auditors :
Name :	Goyal Mahajan and Associates Chartered Accountants
Address :	SCF-50, 1^st Floor, Leela Bhawan, Patiala – 147 001, Punjab, India.
Income-tax PAN of auditor or auditor's firm :	AAAFG7375A

Memberships :	Not Available

Collaborators :	Not Available

Associates/Subsidiaries :	Not Available

CAPITAL STRUCTURE

AS ON 30.09.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
5000000	Equity Shares	Rs.10/- each	Rs.50.000 million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2266410	Equity Shares	Rs.10/- each	Rs.22.664 million

AS ON 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
5000000	Equity Shares	Rs.10/- each	Rs.50.000 million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2118100	Equity Shares	Rs.10/- each	Rs.21.181 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	21.181	21.181	21.181
(b) Reserves & Surplus	429.629	369.622	296.984
(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)	450.810	390.803	318.165

(3) Non-Current Liabilities
(a) Long-term borrowings	327.828	226.654	287.221
(b) Deferred tax liabilities (Net)	21.710	21.935	22.068
(c) Other long term liabilities	8.711	7.663	3.775
(d) Long-term provisions	5.784	3.210	1.398
Total Non-current Liabilities (3)	364.033	259.462	314.462

(4) Current Liabilities
(a) Short term borrowings	415.653	422.897	398.441
(b) Trade payables	413.320	358.384	286.578
(c) Other current liabilities	250.403	372.693	328.619
(d) Short-term provisions	5.674	8.629	6.463
Total Current Liabilities (4)	1085.050	1162.603	1020.101

TOTAL	1899.893	1812.868	1652.728

II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	489.619	479.452	469.875
(ii) Intangible Assets	0.316	0.435	0.170
(iii) Capital work-in-progress	15.189	15.747	15.736
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.591	0.716	0.591
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	58.309	4.111	1.579
(e) Other Non-current assets	0.000	0.000	1.177
Total Non-Current Assets	564.024	500.461	489.128

(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	764.802	716.961	673.958
(c) Trade receivables	445.872	481.527	385.304
(d) Cash and cash equivalents	46.408	32.701	31.128
(e) Short-term loans and advances	78.787	81.218	73.210
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	1335.869	1312.407	1163.600

TOTAL	1899.893	1812.868	1652.728

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Turnover	2000.000 (Approximately)	1632.700	1407.400
		Other Income	NA	NA	NA
		TOTAL	NA	NA	NA

Less	EXPENSES
		TOTAL	NA	NA	NA

	PROFIT/ (LOSS) BEFORE TAX		NA	73.700	50.900

Less	TAX		NA	0.948	(0.523)

	PROFIT/ (LOSS) AFTER TAX		60.121	72.752	51.423

	Earnings / (Loss) Per Share (Rs.)		28.38	34.35	24.28

Particulars

31.03.2015

Sales Turnover (Approximately)

2090.000

Expected Sales (2015-2016): Rs.2500.000 million

The above information has been parted by Mr. S.K. Sharma (Accounts Executive).

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Particulars	31.03.2014	31.03.2013	31.03.2012
Current maturities of long-term borrowings	NA	NA	129.226
Cash generated from operations	NA	NA	NA
Net cash flows from (used in) operations	82.324	73.701	31.128
Net cash flows from (used in) operating activities	82.324	73.701	31.128

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Return on Total Assets (PBT/Total Assets}	(%)	NA	4.10	3.11

Return on Investment (ROI) (PBT/Networth)		NA	0.19	0.16

Debt Equity Ratio (Total Debt/Networth)		1.65	1.66	2.16

Current Ratio (Current Asset/Current Liability)		1.23	1.13	1.14

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

DEBT EQUITY RATIO

Particulars	31.03.2012	31.03.2013	31.03.2014
	(INR in Million)	(INR in Million)	(INR in Million)
Share Capital	21.181	21.181	21.181
Reserves & Surplus	296.984	369.622	429.629
Money received against share warrants	0.000	0.000	0.000
Share Application money pending allotment	0.000	0.000	0.000
Net worth	318.165	390.803	450.810

Long Term borrowings	287.221	226.654	327.828
Short Term borrowings	398.441	422.897	415.653
Total borrowings	685.662	649.551	743.481
Debt/Equity ratio	2.155	1.662	1.649

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)	Yes
16	No. of employees	Yes
17	Details of sister concerns	No
18	Major suppliers	Yes
19	Major customers	Yes
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 four 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	No
32	Litigations that the firm/promoter involved in	Yes
33	Market information	--
34	Payments terms	Yes
35	Negative Reporting by Auditors in the Annual Report	No

LITIGATION DETAILS:

IN THE HIGH COURT OF DELHI AT NEW DELHI

CO.PET. 101/2015 AND CO. APPLN. NOS.520-521/2015

SARVPRIYA TUBES PRIVATE LIMITED ..... Petitioner

Through Mr. Mukesh Sukhija, Advocate.

versus

JINDAL MECTEC PRIVATE LIMITED ..... Respondent

Through

CORAM: HON'BLE MR. JUSTICE SUDERSHAN KUMAR MISRA O R D E R % 02.03.2015 This petition seeks winding up of Jindal Mectec Private Limited, inter alia, on the ground that the said company has failed to pay Rs.10.853 million to the petitioner, that is due and payable towards the supply of ERW pipes / Galvanized Joists / Steel tubes / GI pipes as per the statement of accounts stated to have been maintained by the petitioner company.

It is stated that all material supplied to the respondent company were against proper invoices that have been duly acknowledged; and further, no dispute has been raised at any stage with regard to either quality or quantity of the material and bills raised in respect thereof.

It is also stated that a notice of winding up under Section 434 of the Companies Act, 1956 has been duly served at the registered office of the company but the respondent has not bothered even to reply the same.

Issue notice to the respondent to show cause as to why the company be not wound up, returnable on 24.09.2015.

UNSECURED LOANS

PARTICULARS	31.03.2014 (Rs. In Million)	31.03.2013 (Rs. In Million)
LONG TERM BORROWINGS
Loans and advances from directors	201.055	181.114
Total	201.055	181.114

CONTINGENT LIABILITIES:

PARTICULARS

31.03.2014

(Rs. In Million)

31.03.2013

(Rs. In Million)

Bank Guarantee

139.135

105.173

VAT under Protest

1.177

INDEX OF CHARGES

S. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10460043	29/04/2015 *	45,320,000.00	CANARA BANK	PRIME CORPORATE BRANCH, CONNAUGHT PLACE, 2^ND FLOOR, WORLD TRADE TOWER, BARAKHAMBA LANE, NEW DELHI, DELHI - 110001, INDIA	C52187838
2	10454709	03/10/2013	1,147,700,000.00	CANARA BANK	PRIME CORPORATE, CONNAUGHT PLACE BRANCH, WORLD TRADE CENTRE, BARAKHAMBA LANE, NEW DELHI, DELHI - 110 001, INDIA	B87419404
3	10452957	11/10/2013 *	30,000,000.00	SMALL INDUSTRIAL DEVELOPMENT BANK OF INDIA	GURGAON BRANCH OFFICE, UDYOG MINAR (GROUND FLOOR), VANJIYA NIKUNJ, UDYOG VIHAR, PHASE-V, GURGAON, HARYANA - 122016, INDIA	B89483283
4	10424330	29/04/2015 *	100,000,000.00	CANARA BANK	PRIME CORPORATE BRANCH, CONNAUGHT PLACE, 2^ND FLOOR, WORLD TRADE TOWER, BARAKHAMBA LANE, NEW DELHI, DELHI - 110001, INDIA	C52187325
5	80007878	14/07/2015 *	450,000,000.00	CANARA BANK	PRIME CORPORATE BRANCH-CP, 2^ND FLOOR, WORLD TRADE TOWER, BARAKHAMBA LANE, NEW DELHI, DELHI - 110001, INDIA	C59691824
6	80007876	14/07/2015 *	500,000,000.00	CANARA BANK	PRIME CORPORATE BRANCH-CP, 2^ND FLOOR, WORLD TRADE TOWER, BARAKHAMBA LANE, NEW DELHI, DELHI - 110001, INDIA	C59692459

* Date of charge modification

FIXED ASSETS

Tangible Assets

· Land

· Buildings

· Plant and Machinery

· Office Equipment

· Computer

· Vehicles

Intangible Assets

· Computer Software

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.66.71
UK Pound	1	Rs.105.10
Euro	1	Rs.77.11

INFORMATION DETAILS

Information Gathered by :	KMN

Analysis Done by :	KAS

Report Prepared by :	SMN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILITY	1~10	3
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	4
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	YES
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		42

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	--

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.

MIRA INFORM REPORT

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