MIRA INFORM REPORT

Report No. :	352968
Report Date :	08.12.2015

IDENTIFICATION DETAILS

Name :	GLOSTER CABLES LIMITED (w.e.f. 20.07.2004)
Formerly Known As :	GLOSTER CABLES PRIVATE LIMITED
Registered Office :	No. 183/184, (5-3-370 To 372A) 2^nd Floor, above Mody Motors, Rashtrapathi Road, Secunderabad – 500003, Telangana
Tel. No.:	91-40-27534985
Country :	India
Financials (as on) :	31.03.2015
Date of Incorporation :	13.03.1995
Com. Reg. No.:	36-019694
Capital Investment / Paid-up Capital :	Rs.322.900 Million
CIN No.: [Company Identification No.]	U31300TG1995PLC019694
IEC No.:	0902007955
TAN No.: [Tax Deduction & Collection Account No.]	HYDCO00548C
PAN No.: [Permanent Account No.]	AAACC8377R
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturing PVC insulated power, control and Domestic cables. (Registered activity)
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 an established company incorporated in the year 1995, having moderate track. The company has been incurring losses from its operations, which has resulted in partial erosion of the networth base since 2013. Further, its leveraged capital structure leads to moderate financial risk profile. Trade relations are fair. Business is active. Payment terms are reported to be slow but correct. In view of high debt level along with 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	CRISIL
Rating	Long-term Rating = (B)
Rating Explanation	Risk-prone credit quality and carries very high credit risk.
Date	June 26, 2014

Rating Agency Name	CRISIL
Rating	Short-term Rating = (A4)
Rating Explanation	Minimal degree of safety and very high credit risk.
Date	June 26, 2014

Note: Reason for Suspension:- Absence of adequate information

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 31-03-2015.

INFORMATION DECLINED BY

Name :	Mr. Raghuveera Prasad
Designation :	Vice President Finance
Contact No.:	91-40-27534985
Date :	07.12.2015

LOCATIONS

Registered Office :	No. 183/184, (5-3-370 To 372A) 2^nd Floor, above Mody Motors, Rashtrapathi Road, Secunderabad – 500003, Telangana, India
Tel. No.:	91-40-27534985
Fax No.:	Not Available
E-Mail :	apmodi@yahoo.com

DIRECTORS

As on 28.05.2015

Name :

Mr. Ashish Pramod Modi

Designation :

Managing Director

Address :

1-8-165, Prenderghast Raod, Secunderabad - 500003, Telangana, India

Date of Appointment :

01.04.2013

DIN No.:

00011575

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	U31300TG1995PLC019694	GLOSTER CABLES LIMITED	Managing director	01/04/2013	01/04/1996	-	Active	NO
2	U21119TG1996PTC024462	PREMIER ELECTRICAL AND CONSTRUCTIONS PRIVATE LIMITED	Director	28/06/1996	28/06/1996	07/12/2011	Active	NO
3	U50400TG1997PTC027733	FORTUNE MOTORS PRIVATE LIMITED	Director	11/08/1997	11/08/1997	-	Active	NO
4	U72200TG1999PTC032910	ELOGIC SOLUTIONS (INDIA) PRIVATE LIMITED	Director	26/11/1999	26/11/1999	-	Active	NO
5	U27320TG1996PLC025215	AV ALLOYS LIMITED	Director	29/09/2003	29/09/2003	08/01/2013	Active	NO
6	U70102TG2004PTC042687	Modi & Modi Financial Services Private Limited	Director	18/02/2004	18/02/2004	-	Active	NO
7	U35911TG2004PTC044015	VIBRANT AUTOMOBILES INDIA PRIVATE LIMITED	Director	18/01/2005	18/01/2005	01/10/2013	Active	NO
8	U45200TG2009PTC065884	eLogic Design solution (India) Private Limited	Director	20/11/2009	20/11/2009	-	Active	NO
9	U50404TG2010PTC069206	VIBRANT CARS PRIVATE LIMITED	Director	02/07/2010	02/07/2010	20/12/2012	Active	NO
10	U50404TG2009PTC064270	Harmony Motors Private Limited	Director	01/08/2012	01/08/2012	-	Active	NO
11	U50100TG2013PTC087284	FORTUNE AUTOMOBILES (INDIA) PRIVATE LIMITED	Director	26/04/2013	26/04/2013	-	Active	NO

Name :

Mr. Saurabh Bangur

Designation :

Director

Address :

16, Alipore Road, Kolkata - 700027, West Bengal, India

Date of Appointment :

01.04.2000

DIN No.:

00236894

Name :

Mr. Rajesh Bothra

Designation :

Director

Address :

AE-663, Salt Lake City, Kolkata - 700064, West Bengal, India

Date of Appointment :

18.06.2014

DIN No.:

00441728

Name :

Mr. Vinay Rathi

Designation :

Whole-Time Director

Address :

10/1/E,Diamond Harbour Road, Kolkata - 700027, West Bengal, India

Date of Birth / Age :

01.01.1970

Date of Appointment :

01.04.2013

DIN No.:

00482344

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	U51909WB1996PTC077825	TOUCHSTONE COMMERCIAL PVT LTD	Director	12/06/2003	12/06/2003	-	Active	NO
2	U51909TG1996PTC068862	QUICKER MARKETING PVT LTD	Director	14/11/2003	14/11/2003	29/01/2008	Active	NO
3	U31300TG1995PLC019694	GLOSTER CABLES LIMITED	Whole-time director	01/04/2013	13/11/2012	-	Active	NO
4	U65923WB1996PTC081414	SURESHOT FINCON PRIVATE LIMITED	Director	24/09/2014	05/02/2014	-	Active	NO

Name :

Mr. Prabhat Kumar Dhandhania

Designation :

Director

Address :

Gardenia Homes, 227/1A, A.J.C. Bose Road, 2nd Floor, Flat No. 2A, Kolkata - 700020, West Bengal, India

Date of Birth / Age :

07.02.1963

Date of Appointment :

15.09.2010

DIN No.:

00914610

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	U72200WB1988PLC044271	MERRILL FINANCIALS LTD	Director	28/04/1988	28/04/1988	-	Active	NO
2	L67120WB1994PLC066816	SUN FUND MANAGEMENT LTD	Director	26/12/1994	26/12/1994	-	Active	NO
3	U70101WB1995PTC071451	MERRILL PROPERTIES PVT.LTD.	Director	09/05/1995	09/05/1995	-	Active	NO
4	U70101WB1995PTC076186	MANTADHARI TEA ESTATES PRIVATE LIMITED	Director	27/12/1995	27/12/1995	-	Active	NO
5	U65993WB1994PTC062524	MERRILL PLAZA PVT. LTD.	Director	27/12/1995	27/12/1995	13/06/2014	Active	NO
6	U27310WB1986PTC041371	SAAR CASTING PRIVATE LIMITED	Director	19/08/1996	19/08/1996	19/11/2010	Active	NO
7	U24249WB1980PLC032673	ASIATIC GASES LTD	Director	03/04/1998	03/04/1998	-	Active	NO
8	U65993WB1993PTC057477	GROW 'N' GROW INVESTMENTS & HOLDINGS PVT LTD	Director	11/06/2007	11/06/2007	-	Active	NO
9	U31300TG1995PLC019694	GLOSTER CABLES LIMITED	Director	15/09/2010	21/04/2010	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Raghuveera Prasad
Designation :	Vice President Finance
Name :	Mr. Raghu Veer Prasad
Designation :	Secretary
Address:	G3- A Block, Sai Durga Avenue, Nizampet Panchayati, Nizampet Village PO, Hyderabad - 500090, Telangana, India
Date of Appointment :	02.03.2015
PAN No.:	AARPV6845M
Name :	Mr. Shyam Sunder Kalya
Designation :	Chief Finance Officer
Address:	Flat No 302, Bajrangbali Tower, Cetaral Spine, Vidhyadhar Nagar, Jaipur - 302023, Rajasthan, India
Date of Appointment :	02.03.2015
PAN No.:	ABOPK9055A

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 28.09.2015

SHAREHOLDER DETAILS FILE ATTACHED

Equity Share Break up (Percentage of Total Equity)

As on 28.09.2015

Category	Percentage
Bodies corporate	67.13
Directors or relatives of Directors	32.87
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturing PVC insulated power, control and Domestic cables. (Registered activity)

Products :

Item Code No.	Product Description
85439000	PVC Insulated Power

Brand Names :

Not Divulged

Agencies Held :

Not Divulged

Exports :

Not Divulged

Imports :

Not Divulged

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	Syndicate Bank
Branch	R. P. Road Branch, R P Road, Secunderabad - 500003, 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
Bank Name	State Bank of India
Branch	Commercial Branch, Patny Circle, Secunderabad, Andhra Pradesh, India

Facilities :

Secured Loan	31.03.2015 (Rs. in Million)	31.03.2014 (Rs. in Million)
Long-term Borrowings
Term loans from banks	181.300	204.591
Short-term borrowings
Working capital loans from banks	327.100	327.206
Loans repayable on demand from banks	8.688	11.090
Total	517.088	542.887

Auditors :
Name :	Anandam and Company Chartered Accountants
Address :	7A, Surya towers, Sardar Patel Road, Secunderabad - 500003,Telangana, India
PAN N Income-tax PAN of auditor or auditor's firm :	AACFM8791J
Memberships :	Not Available
Collaborators :	Not Available
Enterprises which are owned, or have significant influence of or are partners with Key management personnel and their relatives:	Premier Engg Corp Modi and Modi Financial Services (P) Limited Sureshot Fincon (P) Limited Rathi Industries Touchstone Commercial (P) Limited Orbit Udyog(P) Limited

CAPITAL STRUCTURE

As on 28.09.2015

Authorised Capital :

No. of Shares	Type	Value	Amount
32500000	Equity Shares	Rs.10/- each	Rs.325.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
32290000	Equity Shares	Rs.10/- each	Rs.322.900 Million

FINANCIAL DATA

[all figures are in Rupees Million]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2015	31.03.2014	31.03.2013
I.              EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	322.900	322.900	235.500
(b) Reserves & Surplus	(125.091)	(122.663)	(105.490)
(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)	197.809	200.237	130.010
(3) Non-Current Liabilities
(a) long-term borrowings	357.001	379.117	288.462
(b) Deferred tax liabilities (Net)	8.240	8.464	0.000
(c) Other long term liabilities	0.000	0.000	9.347
(d) long-term provisions	4.788	5.670	4.496
Total Non-current Liabilities (3)	370.029	393.251	302.305
(4) Current Liabilities
(a) Short term borrowings	335.788	338.295	410.614
(b) Trade payables	397.237	325.159	321.459
(c) Other current liabilities	147.465	137.224	141.761
(d) Short-term provisions	0.428	0.407	0.642
Total Current Liabilities (4)	880.918	801.085	874.476
TOTAL	1448.756	1394.573	1306.791
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	297.885	315.148	327.957
(ii) Intangible Assets	20.043	21.069	22.084
(iii) Capital work-in-progress	0.000	0.063	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.000	0.000	0.156
(c) Deferred tax assets (net)	98.314	101.957	94.718
(d) Long-term Loan and Advances	66.451	65.693	65.300
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	482.693	503.930	510.215
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	392.536	372.676	327.135
(c) Trade receivables	486.125	450.358	400.176
(d) Cash and cash equivalents	59.326	34.730	37.139
(e) Short-term loans and advances	23.782	23.170	28.360
(f) Other current assets	4.294	9.709	3.766
Total Current Assets	966.063	890.643	796.576
TOTAL	1448.756	1394.573	1306.791

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2015	31.03.2014	31.03.2013
	SALES
	Revenue from Operations	1801.721	1795.071	2352.639
	Other Income	3.727	9.690	5.753
	TOTAL (A)	1805.448	1804.761	2358.392
Less	EXPENSES
	Cost of Materials Consumed	1395.062	1377.753	1869.539
	Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(39.059)	(11.258)	6.101
	Employees benefits expense	92.219	82.854	90.277
	Expenditure on production, transportation and other expenditure pertaining to exploration and production activities	1.258	1.635	0.493
	Prior period items before tax	0.236	3.843	2.436
	Other expenses	239.438	267.896	303.070
	TOTAL (B)	1689.154	1722.723	2271.916
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (C)	116.294	82.038	86.476
Less	FINANCIAL EXPENSES (D)	115.393	130.473	133.706
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)	0.901	-48.435	-47.230
Less/ Add	DEPRECIATION/ AMORTISATION (F)	25.313	24.227	22.687
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)	(24.412)	(72.662)	(69.917)
Less	TAX (H)	(7.239)	(22.613)	(20.373)
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)	(17.173)	(50.049)	(49.544)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD (K)	(122.663)	(105.490)	(55.441)
	Balance Carried to the B/S (J+K+L-M)	(125.091)	(122.663)	(105.490)
	Earnings / (Loss) Per Share (Rs.)	(0.61)	(2.13)	(2.27)

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Particulars	31.03.2015	31.03.2014	31.03.2013
Current Maturities of Long term debt	42.450	28.939	23.683
Cash generated from operations	NA	NA	NA
Net cash flows from (used in) operations	168.343	10.267	233.237
Net cash flow from operating activity	167.473	9.974	232.761

KEY RATIOS

PARTICULARS		31.03.2015	31.03.2014	31.03.2013
Net Profit Margin (PAT / Sales)	(%)	(0.95)	(2.79)	(2.11)
Operating Profit Margin (PBIDT/Sales)	(%)	6.45	4.57	3.68
Return on Total Assets (PBT/Total Assets}	(%)	(1.81)	(5.62)	(5.77)
Return on Investment (ROI) (PBT/Networth)		(0.12)	(0.36)	(0.54)
Debt Equity Ratio (Total Debt /Networth)		3.72	3.73	5.56
Current Ratio (Current Asset/Current Liability)		1.10	1.11	0.91

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

DEBT EQUITY RATIO

Particular	31.03.2013	31.03.2014	31.03.2015
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Share Capital	235.500	322.900	322.900
Reserves & Surplus	(105.490)	(122.663)	(125.091)
Net worth	130.010	200.237	197.809
long-term borrowings	288.462	379.117	357.001
Short term borrowings	410.614	338.295	335.788
Current Maturities Of Long-Term Debts	23.683	28.939	42.450
Total borrowings	722.759	746.351	735.239
Debt/Equity ratio	5.559	3.727	3.717

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2013	31.03.2014	31.03.2015
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Sales	2352.639	1795.071	1801.721
		(23.700)	0.370

NET PROFIT MARGIN

Net Profit Margin	31.03.2013	31.03.2014	31.03.2015
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Sales	2352.639	1795.071	1801.721
Profit	(49.544)	(50.049)	(17.173)
	(2.11%)	(2.79%)	(0.95%)

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	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

BRIEF DESCRIPTION OF THE COMPANY’S WORKING DURING THE YEAR

For the year, the company could achieve a Total Revenue of Rs 2099.457 Million (Rs.1805.448 Million in previous year) which is 16.28 % higher than the previous year. The Company could register EBITDA of Rs.138.452 Million (Rs. 98.934 Million in previous year) which is 39.94% higher than the previous year.

The Company had suffered a Net loss of Rs.1.621 Million (Rs.17.173 Million in previous year) and made a cash profit of Rs. 32.717 Million in the year.

UNSECURED LOAN

Unsecured Loan	31.03.2015 (Rs. in Million)	31.03.2014 (Rs. in Million)
Long-term Borrowings
Deferred payment liabilities	25.668	30.590
Loans and advances from related	84.454	75.363
Other loans and advances, others	65.579	68.572
Total	175.701	174.525

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10015706	27/06/2006	20,000,000.00	SYNDICATE bANK	R P ROAD BRANCH 8-1-384,385 & 468, SECUNDERABAD, Andhra Pradesh - 500003, INDIA	A03187127
2	90116365	06/02/2014 *	896,100,000.00	Syndicate Bank	R.P.ROAD BRANCH, R P ROAD,, SECUNDERABAD, Andhra  Pradesh - 500003, INDIA	B97659429
3	90116364	21/07/2009 *	85,654,000.00	Syndicate Bank	R P Road Branch, R P Road, Secunderabad, Andhra Pradesh - 500003, INDIA	A69218543

FIXED ASSETS

• Land
• Buildings
• Factory building
• Plant and equipment
• Factory equipments
• Furniture and fixtures
• Vehicles
• Ships vessels
• Office equipment
• Computer 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.66.62
UK Pound	1	Rs.100.65
Euro	1	Rs.72.40

INFORMATION DETAILS

Information Gathered by :	DPA
Analysis Done by :	KIN
Report Prepared by :	SUJ

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILITY	1~10	2
--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	NO
--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.