MIRA INFORM REPORT

Report No. :	353132
Report Date :	11.12.2015

IDENTIFICATION DETAILS

Name :	VALEO INDIA PRIVATE LIMITED (w.e.f. 12.11.2010)

Formerly Known As :	VALEO ENGINEERING CENTER (INDIA) PRIVATE LIMITED

Registered Office :	Block A, Tecci Park, No. 285, Rajiv Gandhi Salai (OMR Road), Sholinganallur, Chennai - 600119, Tamilnadu
Tel. No.:	91-44-66235182

Country :	India

Financials (as on) :	31.03.2015

Date of Incorporation :	29.12.2005

Com. Reg. No.:	18-081914

Capital Investment / Paid-up Capital :	Rs. 3165.247 Million

CIN No.: [Company Identification No.]	U29130TN2005PTC081914

IEC No.:	0506023737

TAN No.: [Tax Deduction & Collection Account No.]	CHEC11087G

PAN No.: [Permanent Account No.]	AACCV1939N

Legal Form :	Private Limited Liability Company.

Line of Business :	Subject is engaged in the business of manufacturing, assembling, sub-assembling, designing, developing, fabrication, distribution of alternators and starter motors. (Registered Activity)

No. of Employees :	Information declined by the management

RATING & COMMENTS

MIRA’s Rating :

B (29)

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

Maximum Credit Limit :	USD 3500000

Status :	Moderate

Payment Behaviour :	Slow

Litigation :	Clear

Comments :	Subject was incorporated on 29^th December, 2005. It is subsidiary of Valeo Bayen S.A.S, France. It is engaged into business of manufacturing of alternators and starter motors. It has moderate track record. The management has brought new capital in year 2014-15 in view of sizeable accumulated. However, business is active. Payment are reported to be slow. In view of continuous 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

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 31-03-2015.

INFORMATION DENIED

Management non co-operative (Tel. No.: 91-44-66235000)

LOCATIONS

Registered Office :	Block A, 4^th Floor, Tecci Park, No. 285, Rajiv Gandhi Salai (OMR Road), Sholinganallur, Chennai - 600119, Tamilnadu, India
Tel. No.:	91-44-22505000 / 66715500 / 66235000
Fax No.:	91-44-22505011
E-Mail :	meenakshisundaram.subra manian@valeo.com
Website :	http://www.valeo.com

Factory :	Engine and Electrical Systems, Gat No. 24, 744 and 745 Village-Lonikand, Taluka Haveli, India

DIRECTORS

As on 30.09.2015

Name :	Mr. Ashok Kumar Belani
Designation :	Managing Director
Address :	Flat No. 1412, Building No. 14, Clover Highland, Near NIBM Road, Pune – 411048, Maharashtra, India
Date of Birth/Age :	01.05.1960
Qualification :	B.E
Date of Appointment :	12.11.2013
DIN No.:	02153002

Name :	Mr. Claude Paul Marie Gislain Leichle
Designation :	Director
Address :	04. Rue De L" Ariego. Roquettes, 31120, France
Date of Birth/Age :	13.12.1948
Date of Appointment :	30.12.2011
DIN No.:	02294104

Name :	Mr. Sanjay Sethi
Designation :	Director
Address :	3157, sector 23, Gurgaon – 122001, Haryana, india
Date of Birth/Age :	10.08.1970
Date of Appointment :	29.09.2014
DIN No.:	02796512

Name :	Mr. Jabbarali Mehabubali Inamdar
Designation :	Additional Director
Address :	Flat No. 201, Pudumjee Park, S. No 989 MH, Near Nana Peth, Pune – 411002, Maharashtra, India
Date of Birth/Age :	02.06.1966
Date of Appointment :	26.06.2014
DIN No.:	06877596

Name :	Mr. Visarankkottai Berchmans Dominicsavio
Designation :	Director
Address :	Flat 2/1, Vsr Casstle, Pillair Koli Street, Thuraipakkam, Chennai – 600097, Tamilnadu, India
Date of Birth/Age :	24.11.1958
Date of Appointment :	29.09.2014
DIN No.:	06932421

KEY EXECUTIVES

Name :	Mrs. S Meenakshi Sundaram
Designation :	Secretary
Address :	No.4.11 Main Road, Nggo Nagar, Tirjsinravur. R.S., Chennai – 602024, Tamilnadu, India
Date of Birth/Age :	20.06.1971
Date of Appointment :	18.09.2009
Pan No.:	AISPS5179E

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2015

Names of Shareholders		No. of Shares
Valeo Bayen S.A.S., France		316104420
Valeo Finance S.A.S., France		402600
Equipment 11, France		17705
Total		316524725

As on 30.09.2014

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	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Subject is engaged in the business of manufacturing, assembling, sub-assembling, designing, developing, fabrication, distribution of alternators and starter motors. (Registered Activity)

Products :

Item Code No. (ITC Code)	Product Description
85114000	Starters, Alternators - Unit of Measurement

Brand Names :

Not Available

Agencies Held :

Not Available

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 of India
HDFC Bank Limited
Axis Bank Limited

Facilities :

Secured Loan	31.03.2015 (Rs. in Million)	31.03.2014 (Rs. in Million)
Long-term Borrowings
Rupee Term loan from Bank	0.000	33.333

Total	0.000	33.333

Auditors :
Name :	S R B C and Company Chartered Accountants
Address :	6^th and 7^th floor, “A” Block, Tidel Park, (Module 601, 701 and 702) No 4, Rajiv Gandhi Sala, Taramani, Chennai – 600113, Tamilnadu, India
PAN No.:	ACHFS9117R

Memberships :	--

Collaborators :	--

Holding Company :	Valeo Bayen, France

Ultimate Holding Company :	Valeo S.A, France

Fellow subsidiaries:	Connaught Electronics Limited, Ireland Valeo Automotive Korea Limited, Korea, Republic of Valeo Electrical Systems Korea Limited, Korea, Republic Of Valeo Management (Beijing) Company, Limited, China Valeo Management (Shanghai) Company Limited, China Valeo Auto Parts Trading (Shanghai) Company, Limited, China Valeo Service India Auto Parts Private Limited, India (U50100TN2012PTC084043) Valeo S.P.A, Italy

Associate:	Amalgamations Valeo Clutch Private Limited, India (U29130TN1997PTC037909) D A V Tunisie Tunisia Foshan Ichikoh Vals Companympany Limited, China Niles (Thailand) Company Limited, Thailand Niles Company Limited, Japan Pt Valeo A C Indonesia, Indonesia Shanghai Valeo Automotive Electrical Systems Company Limited, China Valeo Auto Lighting Company Limited, China Valeo Autoklimatizace K.S., Czech Republic Valeo Autosystemy Sp Z.O.O, Poland Valeo Automotive (Thailand) Company Limited, Thailand Valeo Compressor North America, Inc, United States Valeo Compressor (Changchun) Company, Limited, Thailand Valeo Compressor, France, France Valeo Eclairage Signalisa, France Valeo Electric And Electronic Systems Sp Z.O.O, Poland Valeo Electrical Systems Inc, France Valeo Embrayages, France Valeo Engine And Electrical Systems, France Valeo Equipements Electriques Moteur, France Valeo Espana Sa, Spain Valeo Etudes Electroniques, France Valeo Friction Materials India Private Limited, India (U29309TN1997PTC038508) Valeo Frizioni, Italy Valeo Iluminacion Sa, Spain Valeo Interior Controls (Shenzhen) Company, Limited, China Valeo Interior Controls, France Valeo Japan Company Limited, Japan Valeo Management Services, France Valeo Otomotiv Sistemleri Endustrisi A S, Turkey Valeo Powertrain Systems Business, France Valeo Pyeonghwa Company Limited, Republic of Valeo Schalter and Sensoren Gmbh, Germany Valeo Securite Habitacle, France Valeo Security Systems, France Valeo Siam Thermal Systems Comapny Limited, Thailand Valeo Sicherheitssysteme Gmbh, Germany Valeo Sistemas Automotivos Limiteda, Brazil Valeo Sistemas Electricos S.A. De C.V, Mexico Valeo Systemes D Essuyage, France Valeo Systemes De Controle Moteur, France Valeo Systemes Electriques, France Valeo Systemes Thermiques, France Valeo Termico Servicios S De R.L. De C.V, France Valeo Thermal Systems Japan Corporation, Japan Valeo Thermal Sales (Thailand) Company Limited, Thailand Valeo Transmission, France Valeo Unisia Transmission, Japan Valeo Front End Module Inc, United States Valeo Vision S.A.S, France Valeo Wiper Systems Gmbh, Germany Vec P2 Ams Division, France Taizhou Valeo Wenling Auto Co Limited, China Valeo Comfort & Driving Assistance, France Valeo Engine Cooling Inc, France Valeo Klimasysteme Gmbh, Germany Valeo Lighting Hubei Technical Centre Co Limited, China Valeo Materriaux De Friction, France Valeo Sistemas Automotrices De Mexico S De Cv, Mexico Valeo Vision System, France Valeo Vymeniky Tepla K.S., Czech Republic

Enterprises which are owned, or have significant influence of or are partners with Key management personnel and their relatives:	Valeo Lighting Systems India Private Limited, India (U51505TN2008PTC101183)

Others Related Parties:	Valeo Service, France, France Valeo Thermique Moteur, France Valeo THS TPT, France Valeo Switches And Detection System, France

Significant Influence :	· Valeo Lighting Systems India Private Limited (CIN No.: U51505DL2008PTC179801) · Priti Suri and Associates

CAPITAL STRUCTURE

As on 30.09.2015

Authorised Capital :

No. of Shares	Type	Value	Amount

317000000	Equity Shares	Rs.10/- each	Rs.3170.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

316524725	Equity Shares	Rs.10/- each	Rs.3165.247 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	3165.247	1449.247	1189.247
(b) Reserves & Surplus	(1947.761)	(1808.351)	(1398.669)
(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)	1217.486	(359.104)	(209.422)

(3) Non-Current Liabilities
(a) long-term borrowings	0.000	33.333	166.666
(b) Deferred tax liabilities (Net)	0.000	0.000	0.000
(c) Other long term liabilities	0.461	0.461	0.000
(d) long-term provisions	22.381	1.917	36.111
Total Non-current Liabilities (3)	22.842	35.711	202.777

(4) Current Liabilities
(a) Short term borrowings	893.991	787.913	677.503
(b) Trade payables	798.768	1257.239	711.867
(c) Other current liabilities	160.096	302.531	219.773
(d) Short-term provisions	87.548	88.838	39.583
Total Current Liabilities (4)	1940.403	2436.521	1648.726

TOTAL	3180.731	2113.128	1642.081

II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	465.659	472.244	364.538
(ii) Intangible Assets	30.599	45.605	53.582
(iii) Capital work-in-progress	729.001	26.262	61.225
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.000	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	595.309	123.093	82.052
(e) Other Non-current assets	1.428	1.428	1.427
Total Non-Current Assets	1821.996	668.632	562.824

(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	506.993	445.998	296.394
(c) Trade receivables	642.557	500.952	322.262
(d) Cash and cash equivalents	85.343	17.891	41.791
(e) Short-term loans and advances	110.774	464.581	391.762
(f) Other current assets	13.068	15.074	27.048
Total Current Assets	1358.735	1444.496	1079.257

TOTAL	3180.731	2113.128	1642.081

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2015	31.03.2014	31.03.2013
	SALES
	Gross Income	4090.727	3189.134
	Other Income	NA	NA
	TOTAL	NA	NA	NA

Less	EXPENSES	NA	NA	NA

	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION	72.791	(217.420)	NA

Less	FINANCIAL EXPENSES	81.784	77.331	NA

	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION	(8.993)	(294.751)	(484.823)

Less/ Add	DEPRECIATION/ AMORTISATION	130.417	100.912	157.922

	EXCEPTIONAL ITEMS	0.000	(14.018)	(286.300)

	PRIOR PERIOD ITEMS	0.000	0.000	(5.658)

	PROFIT/ (LOSS) BEFORE TAX	(139.410)	(409.681)	(934.703)

Less	TAX	0.000	0.000	291.954

	PROFIT/ (LOSS) AFTER TAX	(139.410)	(409.681)	(934.703)

	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD	(2895.801)	(2486.119)	(1551.416)

	Balance Carried to the B/S	(3035.211)	(2895.801)	(2486.119)

	EARNINGS IN FOREIGN CURRENCY
	F.O.B. Value of Exports	112.451	36.068	5.408
	TOTAL EARNINGS	112.451	36.068	5.408

	IMPORTS
	Traded Goods	378.202	148.024	189.121
	Raw material and components	1087.550	1012.392	1200.738
	Capital Goods	331.684	100.176	61.802
	TOTAL IMPORTS	1797.436	1260.592	1451.661

	Earnings / (Loss) Per Share (Rs.)	(0.44)	(1.29)	(2.95)

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Particulars	31.03.2015	31.03.2014	31.03.2013
Current Maturities of Long term debt	0.000	133.333	133.333
Cash generated from operations	NA	NA	NA
Net cash flows from (used in) operations	(961.224)	(153.846)	(70.435)
Net cash flow from operating activity	(893.231)	(87.091)	(521.357)

KEY RATIOS

PARTICULARS		31.03.2015	31.03.2014	31.03.2013
Net Profit Margin (PAT / Sales)	(%)	(3.41)	(12.85)	NA

Operating Profit Margin (PBIDT/Sales)	(%)	1.78	(6.82)	NA

Return on Total Assets (PBT/Total Assets}	(%)	(5.69)	(18.96)	(59.13)

Return on Investment (ROI) (PBT/Networth)		(0.11)	1.10	4.46

Debt Equity Ratio (Total Debt /Networth)		0.73	(2.66)	(4.67)

Current Ratio (Current Asset/Current Liability)		0.70	0.59	0.65

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	1189.247	1449.247	3165.247
Reserves & Surplus	(1398.669)	(1808.351)	(1947.761)
Money received against share warrants	0.000	0.000	0.000
Share Application money pending allotment	0.000	0.000	0.000
Net worth	(209.422)	(359.104)	1217.486

long-term borrowings	166.666	33.333	0.000
Short term borrowings	677.503	787.913	893.991
Current Maturities of Long-Term Debts	133.333	133.333	0.000
Total borrowings	977.502	954.579	893.991
Debt/Equity ratio	(4.668)	(2.658)	0.734

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2014	31.03.2015
	(Rs. In Million)	(Rs. In Million)
Gross Income	3189.134	4090.727
		28.271

NET PROFIT MARGIN

Net Profit Margin	31.03.2014	31.03.2015
	(Rs. In Million)	(Rs. In Million)
Gross Income	3189.134	4090.727
Profit/ (Loss)	(409.678)	(139.410)
	(12.85%)	(3.41%)

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 two 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	--
33	Market information	--
34	Payments terms	No
35	Negative Reporting by Auditors in the Annual Report	No

CORPORATE INFORMATION

The Company was incorporated on December 29, 2005. The Company is engaged in the business of providing design and simulation services to its group companies across the globe. With effect from April 1, 2010, Valeo Engine Electrical Systems India Private Limited ('VEESIL') was amalgamated into the Company which is engaged in the business of manufacturing, assembling, sub-assembling, designing, developing, fabrication, distribution of alternators and starter motors. The Company has also commenced dealing in air conditioning units (HVAC), trading of compresso

COMPANY PERFORMANCE:

Despite a challenging macroeconomic environment and intense competitive landscape, the Company’s working results for the year ended March 31, 2015 are encouraging.

The Company’s total revenue increased to Rs.4090.000 Million in the current year from Rs.3190.000 Million in the previous year. This year the company have incurred loss of Rs.139.000 Million against Rs.410.000 Million incurred in last year. EBITDA was Rs.70.000 Million against –Rs.210.000 Million of last year, which shows we are in the positive direction. This was achieved due to material management, savings in overhead expenses , effective cost control, improved productivity , new business profitability and Forex impact.

The future outlook seems to be better for the range of product offered by the company. The demand for the company’s product expects to go up in 2015-16 with a moderate growth rate in line with growth of passenger car and commercial vehicle segment. The current economic scenario is expected to improve with stable political situation in the country and pick-up global automotive industry.

UNSECURED LOAN

PARTICULARS	31.03.2015 (Rs. in Million)	31.03.2014 (Rs. in Million)
Long-term Borrowings
Term loans from Others	893.991	787.913

Total	893.991	787.913

INDEX OF CHARGES

NO CHARGES EXIST FOR THE COMPANY

CONTINGENT LIABILITIES:

(Rs. in million)

PARTICULARS	31.03.2015	31.03.2014
Claims against the Company not acknowledged as debts in respect of sales tax matters	192.634	28.160

FIXED ASSETS

· Plant and Equipment

· Other plant and Equipment

· Furniture and Fixtures

· Vehicles

· Office Equipment

· Computer Equipments

· 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.66.79
UK Pound	1	Rs.101.36
Euro	1	Rs.73.46

INFORMATION DETAILS

Information Gathered by :	PRT

Analysis Done by :	KIN

Report Prepared by :	SUD

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	3
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		29

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.

MIRA INFORM REPORT

INDEX OF CHARGES

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