MIRA INFORM REPORT

Report No. :	307045
Report Date :	16.02.2015

IDENTIFICATION DETAILS

Name :	KAVI COMMERCIAL COMPANY LIMITED
Registered Office :	Viraj Impex House, 47 P D Mello Road, Mumbai-400009, Maharashtra
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	23.03.1985
Com. Reg. No.:	11-082517
Capital Investment / Paid-up Capital :	Rs. 14.700 Millions
CIN No.: [Company Identification No.]	L99999MH1985PLC082517
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	Not Available
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges. (The Company’s shares are listed on U.P. stock exchange limirted.)
Line of Business :	Subject is engaged in business of trading in Iron & Steel and mainly imports flat steel products
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

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

Status :	Satisfactory
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. The company has incurred operational loss during FY 2013-2014. However, general financial position of the company seems to be decent. Trade relations are fair. Business is active. Payment terms are reported to be slow but correct. The company can be considered for business dealings at usual trade terms and conditions.

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 – December 31, 2014

Country Name	Previous Rating (30.09.2014)	Current Rating (31.12.2014)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

EXTERNAL AGENCY RATING

Rating Agency Name	ICRA
Rating	Fund Based Limit (Cash Credit) = BBB
Rating Explanation	Moderate degree of safety and moderate credit risk.
Date	September 2014

Rating Agency Name	ICRA
Rating	Non -fund Based Limit = A3+
Rating Explanation	Moderate degree of safety and high credit risk.
Date	September 2014

RBI DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2014.

LOCATIONS

Registered Office :	Viraj Impex House, 47, P D Mello Road, Mumbai-400009, Maharashtra, India
Tel. No.:	91-22-61295000
Fax No.:	91-22-61295024
E-Mail :	virajimpex@virajimpex.com
Website :	www.virajimpex.com
Location :	Owned

DIRECTORS

As on 30.09.2014

Name :

Mr. Ratanlal Kaniyalala Didwania

Designation :

Director

Address :

Flat No.20, 10^th Floor, New USha Kiran, 15 Carmichael Road, Mumbai-400026, Maharashtra, India

Date of Birth/Age :

02.08.1935

Date of Appointment :

01.10.2012

DIN No.:

00220820

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	U51900MH1978PTC020237	DIDWANIA IMPORT AND EXPORT COMPANY PRIVATE LIMITED	Whole-time director	22/03/1978	22/03/1978	-	Strike off	NO
2	U27109AS1984PLC002202	ASSAM GALVANIZING INDUSTRIES LIMITED	Whole-time director	02/08/1984	02/08/1984	-	Strike off	NO
3	U70101MH1986PTC041043	NIRBHAY HOLDINGS PRIVATE LIMITED	Whole-time director	07/11/1988	07/11/1988	-	Active	NO
4	L99999MH1985PLC082517	KAVI COMMERCIAL COMPANY LIMITED	Whole-time director	01/10/2012	12/11/1990	-	Active	NO
5	U51900MH1988PTC046416	VIRAJ IMPEX PRIVATE LIMITED	Whole-time director	01/10/2012	06/12/1990	-	Active	NO
6	U29299GJ1992PLC018611	GUJARAT PIPAVAV MARINE ENGINEERS LIMITED	Whole-time director	23/11/1992	23/11/1992	-	Active	NO
7	U31300GJ1980PLC054048	LUMEN MAGNETIC WIRES LIMITED	Managing director	03/04/1998	03/04/1998	-	Active	NO
8	U35110MH1997PLC111092	VINAYAGA MARINE PETRO LIMITED	Whole-time director	01/10/2012	19/01/2004	-	Active	NO
9	U70100MH1999PTC121018	VIRAJ PROPERTIES PRIVATE LIMITED	Whole-time director	03/07/2007	03/07/2007	-	Active	NO

Name :

Mr. Vimal Ratanlal Didwania

Designation :

Director

Address :

Flat No.212, 21^st Floor, Mont Blane Co-Operative Housing Society, Near Shalimar Hotel, Dadi Seth Hill, August Kranti Marg, Mumbai-400036, Maharashtra, India

Date of Birth/Age :

25.10.1955

Date of Appointment :

01.10.2012

DIN No.:

00221021

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	U51900MH1978PTC020237	DIDWANIA IMPORT AND EXPORT COMPANY PRIVATE LIMITED	Whole-time director	22/03/1978	22/03/1978	-	Strike off	NO
2	U70101MH1986PTC041043	NIRBHAY HOLDINGS PRIVATE LIMITED	Whole-time director	07/11/1988	07/11/1988	-	Active	NO
3	L99999MH1985PLC082517	KAVI COMMERCIAL COMPANY LIMITED	Whole-time director	01/10/2012	15/10/1990	-	Active	NO
4	U29299GJ1992PLC018611	GUJARAT PIPAVAV MARINE ENGINEERS LIMITED	Whole-time director	23/11/1992	23/11/1992	-	Active	NO
5	U35110MH1997PLC111092	VINAYAGA MARINE PETRO LIMITED	Managing director	01/10/2012	06/10/1997	-	Active	NO
6	U70100MH1999PTC121018	VIRAJ PROPERTIES PRIVATE LIMITED	Whole-time director	27/07/1999	27/07/1999	-	Active	NO
7	U70102MH1989PTC053323	VIRAJ LAND DEVELOPERS PRIVATE LIMITED	Director	22/04/2010	22/04/2010	-	Active	NO

Name :

Mr. Prakash Ratanlal Didwania

Designation :

Director

Address :

Flat No.20, 10^th Floor, New USha Kiran, 15 Carmichael Road, Mumbai-400026, Maharashtra, India

Date of Birth/Age :

15.06.1960

Date of Appointment :

01.10.2012

DIN No.:

00225978

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	U51900MH1988PTC046416	VIRAJ IMPEX PRIVATE LIMITED	Whole-time director	01/10/2012	07/03/1988	-	Active	NO
2	U70101MH1986PTC041043	NIRBHAY HOLDINGS PRIVATE LIMITED	Whole-time director	07/11/1988	07/11/1988	-	Active	NO
3	L99999MH1985PLC082517	KAVI COMMERCIAL COMPANY LIMITED	Managing director	01/10/2012	15/10/1990	-	Active	NO
4	U70100MH1999PTC121036	RIYA SHRIYA PROPERTIES PRIVATE LIMITED	Whole-time director	28/07/1999	28/07/1999	-	Active	NO

Name :

Mr. Aayush Kailash Didwania

Designation :

Director

Address :

30, Altamount Road, Chapsey Terrace, Mumbai-400026, Maharashtra, India

Date of Birth/Age :

30.11.1986

Date of Appointment :

01.04.2010

DIN No.:

00222740

Name :

Mr. Naresh Champaklal Parekh

Designation :

Director

Address :

605, Gurukripa Co-operative Housing Society, L B S Marg, Gangawadi, Ghatkopar (West), Mumbai-400086, Maharashtra, India

Date of Birth/Age :

15.02.1952

Date of Appointment :

07.10.1992

DIN No.:

01961569

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	U70102MH1989PTC053323	VIRAJ LAND DEVELOPERS PRIVATE LIMITED	Whole-time director	19/01/1991	19/01/1991	22/04/2010	Active	NO
2	L99999MH1985PLC082517	KAVI COMMERCIAL COMPANY LIMITED	Director	07/10/1992	07/10/1992	-	Active	NO
3	U51109WB2008PTC122661	INFINITY VINCOM PRIVATE LIMITED	Director	15/02/2008	15/02/2008	-	Active	NO
4	U29299GJ1992PLC018611	GUJARAT PIPAVAV MARINE ENGINEERS LIMITED	Director	15/07/2009	15/07/2009	-	Active	NO

MAJOR SHAREHOLDERS

As on 30.09.2014

Note: Shareholder details file attached.

As on 30.09.2014

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Bodies corporate	13.61
Directors or relatives of Directors	37.41
Other top fifty shareholders	48.98
Total	100.00

BUSINESS DETAILS

Line of Business :

Subject is engaged in business of trading in Iron & Steel and mainly imports flat steel products

Products :

ITC CODE	PRODUCTS
7208	Hot Rolled Coils / Plates (Non Alloy)
7209	Cold Rolled Coils/Sheet
7225	Hot Rolled Steel Coils/Plates (Alloy)

Brand Names :

Not Available

Agencies Held :

Not Available

Exports :

Not Available

Imports :

Not Available

Terms :

Not Available

PRODUCTION STATUS = NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

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

Customers :

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

No. of Employees :

Not Available

Bankers :

· UCO Bank, Flagship Corporate Branch, 1^st Floor, Mafatlala Centre, Nariman Point, Mumbai-400021, Maharashtra, India

Auditors :
Name :	Bhatt and Mathur Chartered Accountant
Address :	402, Star Manor, Anand Road Extension, Malad (West), Mumbai-400064, Maharashtra, India
PAN No.:	AAAFB5870F
Memberships :	Not Available
Collaborators :	Not Available
Associates :	· Viraj Impex Private Limited CIN No.:- U51900MH1988PTC046416 · Vinayaga Marine Petro Limited CIN No.:- U35110MH1997PLC111092

CAPITAL STRUCTURE

As on 30.09.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
1750000	Equity Shares	Rs.10/- each	Rs. 17.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1470000	Equity Shares	Rs.10/- each	Rs. 14.700 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

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	14.700	14.700	14.700
(b) Reserves & Surplus	165.698	170.773	171.560
(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)	180.398	185.473	186.260
(3) Non-Current Liabilities
(a) long-term borrowings	5.000	49.099	54.755
(b) Deferred tax liabilities (Net)	0.000	0.000	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)	5.000	49.099	54.755
(4) Current Liabilities
(a) Short term borrowings	0.000	0.000	0.000
(b) Trade payables	255.708	452.809	538.250
(c) Other current liabilities	12.677	14.693	12.634
(d) Short-term provisions	0.000	0.000	0.000
Total Current Liabilities (4)	268.385	467.502	550.884
TOTAL	453.783	702.074	791.899
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	8.415	9.093	10.007
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	41.683	46.783	46.783
(c) Deferred tax assets (net)	4.693	1.994	0.027
(d) Long-term Loan and Advances	9.844	9.110	7.968
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	64.635	66.980	64.785
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	99.869	325.375	199.388
(c) Trade receivables	114.700	90.404	238.355
(d) Cash and cash equivalents	163.043	205.625	256.222
(e) Short-term loans and advances	0.494	0.324	0.868
(f) Other current assets	11.042	13.366	32.281
Total Current Assets	389.148	635.094	727.114
TOTAL	453.783	702.074	791.899

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2014	31.03.2013	31.03.2012
	SALES
	Income	919.918	1007.255	1036.896
	Other Income	17.633	17.583	21.294
	TOTAL (A)	937.551	1024.838	1058.190
Less	EXPENSES
	Purchases of Stock-in-Trade	707.593	1140.262	1155.219
	Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	225.504	(125.988)	(112.723)
	Employees benefits expense	0.955	1.098	0.839
	Other expenses	6.024	6.417	7.404
	TOTAL (B)	940.076	1021.789	1050.739
Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (C)	(2.525)	3.049	7.451
Less	FINANCIAL EXPENSES (D)	4.570	4.889	3.400
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)	(7.095)	(1.840)	4.051
Less/ Add	DEPRECIATION/ AMORTISATION (F)	0.678	0.915	0.167
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)	(7.773)	(2.755)	3.884
Less	TAX (I)	(2.699)	(1.969)	1.383
	PROFIT/ (LOSS) AFTER TAX (G-I) (J)	(5.074)	(0.786)	2.501
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD (K)	170.773	171.559	169.058
	Balance Carried to the B/S (J+K+L-M)	165.699	170.773	171.559
	Earnings / (Loss) Per Share (Rs.)	(3.45)	(0.54)	1.70

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT/Sales)	(%)	(0.55)	(0.08)	0.24
Operating Profit Margin (PBDIT / Sales)	(%)	(0.27)	0.30	0.72
Return on Total Assets (PBT/Total Assets}	(%)	(1.91)	(0.42)	0.52
Return on Investment (ROI) (PBT/Networth)		(0.04)	(0.01)	0.02
Debt Equity Ratio (Total Debt /Networth)		0.03	0.26	0.29
Current Ratio (Current Asset/Current Liability)		1.45	1.36	1.32

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Share Capital	14.700	14.700	14.700
Reserves & Surplus	171.560	170.773	165.698
Net worth	186.260	185.473	180.398
long-term borrowings	54.755	49.099	5.000
Short term borrowings	0.000	0.000	0.000
Total borrowings	54.755	49.099	5.000
Debt/Equity ratio	0.294	0.265	0.028

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	1036.896	1007.255	919.918
		(2.859)	(8.671)

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	1036.896	1007.255	919.918
Profit	2.501	(0.786)	(5.074)
	0.24%	(0.08%)	(0.55%)

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check List by Info Agents	Available in Report (Yes / No)
1]	Year of Establishment	Yes
2]	Locality of the firm	Yes
3]	Constitutions of the firm	Yes
4]	Premises details	No
5]	Type of Business	Yes
6]	Line of Business	Yes
7]	Promoter's background	Yes
8]	No. of employees	No
9]	Name of person contacted	No
10]	Designation of contact person	No
11]	Turnover of firm for last three years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	-----
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	No
20]	Export / Import details (if applicable)	No
21]	Market information	-----
22]	Litigations that the firm / promoter involved in	-----
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	-----
26]	Buyer visit details	-----
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	Yes
29]	Last accounts filed at ROC	Yes
30]	Major Shareholders, if available	Yes
31]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

NOTE

Registered office has been shifted from 87/B, Broach Street, Nooruddin Chamber, 4^th Floor, Masjid (East), Mumbai-400009, Maharashtra, India, India to the present address w.e.f. 16.03.2010.

UNSECURED LOAN

(Rs. In Million)

Particulars	As on 31.03.2014	As on 31.03.2013
LONG TERM BORROWING
Intercorporate Deposits	5.000	49.099
Total	5.000	49.099

BUSINESS REVIEW

The Company deals in the flat steel product viz. prime/stock lot flat products like Hot Rolled, Cold Rolled Coils/Sheets/Plates, Non Alloy Steel Rod, M.S.Billets etc.

Company’s sales were down by 8.67% during the F.Y. 2013-14 as compared to previous F.Y. 2012-13 and the margin of the Company was also hit mainly due to depreciation of the local currency and volatility in the steel prices F.Y 2013-14. During the F.Y.2013-14, rupee has depreciated against US$ due to Europe’s financial crisis, which led to higher costs for imports.

Persistent slowdown in demand from key end-user industries kept the consumption growth muted during F.Y. 2013-14.

Steel industry mainly derives its demand from other sectors like infrastructure, aviation, engineering, construction, automobile, pipes and tubes etc. Thus its intense integration with other important segments makes it a strategic focus area for the Government as well.

India Ratings & Research (Ind-Ra) anticipates that growth is likely to gain momentum in 2014 on the back of the recovery of the economic growth and expected infrastructure push by the Indian government. The World Steel Association (WSA) release s Short Range Outlook (SRO) for 2014 and 2015 ,world steel forecasts that global apparent steel use will increase by 3.10% to 1,527 MT in 2014 following growth of 3.6% in 2013.In 2015, it is forecast that world steel demand will grow further by 3.3% and will reach 1,576 Mt..

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	80002330	03/07/2010 *	650,000,000.00	UCO BANK	FLAGSHIP CORPORATE BRANCH, 1ST FLOOR, MAFATLAL CENTRE, NARIMAN POINT,, MUMBAI, Maharashtra - 400021, INDIA	A89062707

* Date of charge modification

FIXED ASSETS

· Building

· Motor Vehicles

· Land

· Furniture and Fixtures

· Computer

Press Release

UP Stock Exchange starts winding up process

The process of winding up of Kanpur-based defunct Uttar Pradesh Stock Exchange (UPSE) has now started.

The Exchange, inaugurated on August 27, 1982 by then union finance minister Pranab Mukherjee, eventually lost in the race of technology to its more successful and glamorous cousins viz. Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) in the new millennium.

For the past several years, no trading had taken place on its platform. The companies listed on UPSE were also listed on other exchanges to comply with statutory requirements.

On November 3, UPSE Managing Director B K Nadhani had notified its listed companies either to file for voluntary delisting or opt direct listing with other stock exchange within 30 days.

The formal closure was imminent after UPSE could not meetthe stipulation set by Securities and Exchange Board of India (Sebi) for the regional stock exchanges in the country about net worth of Rs 100 crore and turnover of Rs 1,000 crore.

"Similar fate awaits most of the other regional stock exchanges as well, barring probably the Calcutta Stock Exchange," a somber sounding UPSE Brokers' Association president Sushil Kumar Kanodia told Business Standard.

UPSE mentioned that companies failing to comply with its notice would be subjected to action under relevant rules/regulations and Sebi's circular dated May 30, 2012. "The Exchange shall not be responsible for any consequences due to non-compliance on the part of the company," the notice reads.

"Since the exchange has been non-functional, most of our members had already been engaged in broking on other trading platforms," Nadhani informed.

UPSE had been the only stock exchange in Uttar Pradesh and always held a landmark and prestigious position in the industrial town of Kanpur in its days of yore.

About 600 companies were listed on the Exchange till its last days, a trickle down from over 800 firms earlier.

UPSE had fiercely contested the Sebi directive in the court and even tried to reach out to the Member of Parliaments, political parties and regional stock exchanges.

However, nothing worked out for it and finally in June 2014, UPSE board and shareholders approved the decision to shut down its operations.

UPSE would soon float a Voluntary Retirement Scheme (VRS) for its on-roll employees.

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.62.13
UK Pound	1	Rs.95.72
Euro	1	Rs.71.05

INFORMATION DETAILS

Analysis Done by :	SUM
Report Prepared by :	ART

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILITY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--CREDIT LINES	1~10	5
--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	YES
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		45

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.