MIRA INFORM REPORT

Report No. :	308735
Report Date :	20.02.2015

IDENTIFICATION DETAILS

Name :	CHEEMA BOILERS LIMITED
Registered Office :	SCO 523-524, Sector 70, Mohali – 160070, Punjab
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	18.05.1999
Com. Reg. No.:	16-022583
Capital Investment / Paid-up Capital :	Rs. 18.207 Millions
CIN No.: [Company Identification No.]	U29246PB1999PLC022583
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	Not Available
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of steam boilers.
No. of Employees :	1000 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (48)

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

Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Exist
Comments :	Subject is an established company having satisfactory track record. General financial position of the company seems to be sound and healthy. Profitability of the company is fair. Trade relations are fair. Business is active. Payment terms are reported to be usually correct. The company can be considered for business dealings at usual trade terms and condition.

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	CRISIL
Rating	Long Term Rating = BBB-
Rating Explanation	Moderate credit risk
Date	November 19, 2014

Rating Agency Name	CRISIL
Rating	Short Term Rating = A3
Rating Explanation	Moderate degree of safety and high credit risk.
Date	November 19, 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.

INFORMATION PARTED BY

Name :	Mr. Gurubaksh
Designation :	Finance Manager
Contact No.:	91-9779723976
Date :	19.02.2015

LOCATIONS

Registered Office :	SCO 523-524, Sector 70, Mohali – 160070, Punjab, India
Tel. No.:	91-172-5055666
Mobile No.:	91-9779723976 (Mr. Gurubaksh)
Fax No.:	91-172-5090486
E-Mail :	finance@cheemaboilers.com
Website :	http://www.cheemboilers.com
Factory :	Kurali, Punjab, India
Branch :	Located at : · Delhi · Mumbai · Kolkata

DIRECTORS

AS ON 30.09.2014

Name :

Mr. Harjinder Singh Cheema

Designation :

Managing Director

Address :

#1580, Sec-69, Mohali, Punjab, India

Date of Birth/Age :

24.12.1949

Date of Appointment :

18.05.1999

DIN No.:

00121171

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	U31101UP1991PTC013418	CHEEMA ENGINEERING SERVICES PRIVATE LIMITED	Director	14/08/1991	14/08/1991	-	Active	NO
2	U29246PB1999PLC022583	CHEEMA BOILERS LIMITED	Managing director	18/05/1999	18/05/1999	-	Active	NO
3	U74999PB2007PLC030832	CBL INDUSTRIES LIMITED	Director	30/09/2010	26/04/2010	-	Active	NO

Name :

Mr. Balwinder Singh Cheema

Designation :

Whole Time Director

Address :

#2691, Sec-69, Mohali, Punjab, India

Date of Birth/Age :

22.12.1960

Date of Appointment :

18.05.1999

DIN No.:

00121093

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	U31101UP1991PTC013418	CHEEMA ENGINEERING SERVICES PRIVATE LIMITED	Director	14/08/1991	14/08/1991	-	Active	NO
2	U29246PB1999PLC022583	CHEEMA BOILERS LIMITED	Whole-time director	18/05/1999	18/05/1999	-	Active	NO
3	U74999PB2007PLC030832	CBL INDUSTRIES LIMITED	Director	19/01/2007	19/01/2007	-	Active	NO

Name :

Mr. Hardeep Singh Cheema

Designation :

Whole Time Director

Address :

H. No. 22, Sector 69, Mohali, Punjab, India

Date of Birth/Age :

22.12.1960

Date of Appointment :

18.05.1999

DIN No.:

00283033

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	U31101UP1991PTC013418	CHEEMA ENGINEERING SERVICES PRIVATE LIMITED	Director	14/08/1991	14/08/1991	-	Active	NO
2	U29246PB1999PLC022583	CHEEMA BOILERS LIMITED	Whole-time director	18/05/1999	18/05/1999	-	Active	NO

Name :

Mr. Apjinder Singh Cheema

Designation :

Director

Address :

#1411, Sec – 68, Mohali, Punjab, India

Date of Birth/Age :

10.06.1956

Date of Appointment :

18.05.1999

DIN No.:

00121155

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	U31101UP1991PTC013418	CHEEMA ENGINEERING SERVICES PRIVATE LIMITED	Director	14/08/1991	14/08/1991	-	Active	NO
2	U29246PB1999PLC022583	CHEEMA BOILERS LIMITED	Director	18/05/1999	18/05/1999	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Gurubaksh
Designation :	Finance Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2014

Names of Shareholders	No. of Shares
Harjinder Singh Cheema	112623
Gurinder Kaur	133400
Sandeep Singh Cheema	25350
Guramrit Kaur	32400
Balwinder Singh Cheema	132897
Harsimran Singh	25575
Amandeep Kaur	1000
Sukhwant Kaur	144300
Apjinder Singh Cheema	150587
Palvinder Kaur	101660
Upneet Kaur	27525
Iqbal Singh	24000
Hardeep Singh Cheema	150508
Teginder Kaur	116866
Satbir Singh	36400
Amarjeet Kaur	52636
Cheema Engineering Services Private Limited, India	393375
CBL World Hotels Limited	119600
Creative Capital Services Limited	10000
RDP Finance Private Limited	20000
Aglow Financial Services Private Limited	10000
Total	1820702

AS ON 30.09.2014

Equity Share Break up (Percentage of Total Equity)

Category	Percentage of Holding
Bodies corporate	30.37
Directors or relatives of Directors	69.63
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of steam boilers.
Products :	Not Available
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :
Countries :	· Pakistan · Nigeria · Vietnam · Srilanka · Nepal
Imports :	Not Available
Terms :
Selling :	Cash and Cheque
Purchasing :	Cash and Cheque

GENERAL INFORMATION

Suppliers :

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

Customers :

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

No. of Employees :

1000 (Approximately)

Bankers :

Banker Name	State Bank of India
Branch Address	Special Commercial Branch, Chandigarh, Punjab, India
Person Name (With Designation)	Mr. Sanjay K Jain (Manager)
Contact Number	91-8146177411
Name of Account Holder	Cheema Boilers Limited
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)	Fund and Non-fund Rs. 280.000 Millions
Account Operation	Satisfactory
Remarks (If any)	Mr. Sanjay informed they have satisfactory track record with bankers.

· HDFC Bank Limited, HDFC Bank House, Senapati Bapat Marg, Lower Parel West, Mumbai – 400013, Maharashtra, India

· State Bank of India. SCO – 147- 149, Phase – VII, Mohali, Punjab, India

· State Bank of India, S.S.I. Branch, Phase VII, Mohali, Punjab, India

Facilities :

SECURED LOANS	31.03.2014 (Rs. in Millions)	31.03.2013 (Rs. in Millions)
LONG TERM BORROWINGS
Rupee term loan from others	18.846	33.896
Rupee term loan from bank	13.505	28.933
SHORT TERM BORROWINGS
Working Capital loans from banks	276.999	227.107
Total	309.350	289.936

Financial Institution :	TATA Capital Limited, One Forbes, Dr. V B Gandhi Marg, Fort, Mumbai – 400001, Maharashtra, India
Auditors :
Name :	Data Singla and Company Chartered Accountants
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
100,000,00	Equity Shares	Rs. 10/- each	Rs. 100.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
18,207,00	Equity Shares	Rs. 10/- each	Rs. 18.207 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	18.207	18.207	18.207
(b) Reserves & Surplus	690.184	664.548	637.297
(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)	708.391	682.755	655.504
(3) Non-Current Liabilities
(a) long-term borrowings	200.743	269.104	348.305
(b) Deferred tax liabilities (Net)	43.992	38.460	31.931
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	7.074	4.060	6.349
Total Non-current Liabilities (3)	251.809	311.624	386.585
(4) Current Liabilities
(a) Short term borrowings	276.999	227.107	257.442
(b) Trade payables	119.080	113.059	128.281
(c) Other current liabilities	250.789	212.007	180.705
(d) Short-term provisions	12.788	11.827	2.628
Total Current Liabilities (4)	659.656	564.000	569.056
TOTAL	1619.856	1558.379	1611.145
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	545.270	555.374	554.808
(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	0.000	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	4.495	4.674	3.763
(e) Other Non-current assets	0.075	0.116	0.158
Total Non-Current Assets	549.840	560.164	558.729
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	651.231	618.108	693.426
(c) Trade receivables	311.555	273.964	271.972
(d) Cash and cash equivalents	20.862	17.479	14.944
(e) Short-term loans and advances	86.368	88.664	72.074
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	1070.016	998.215	1052.416
TOTAL	1619.856	1558.379	1611.145

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Income	1189.556	1037.746	1440.988
		Other Income	3.111	2.214	18.542
		TOTAL (A)	1192.667	1039.960	1459.530
Less	EXPENSES
		Cost of Materials Consumed	760.940	613.511	924.737
		Purchases of Stock-in-Trade	0.000	1.386	102.587
		Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(33.571)	2.196	(37.149)
		Employees benefits expense	153.542	116.974	103.522
		Other expenses	201.292	191.512	230.213
		TOTAL (B)	1082.203	925.579	1323.910
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		110.464	114.381	135.620
Less	FINANCIAL EXPENSES (D)		44.912	50.352	41.318
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		65.552	64.029	94.302
Less/ Add	DEPRECIATION/ AMORTISATION (F)		23.831	23.422	18.391
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)		41.721	40.607	75.911
Less	TAX (H)		13.417	13.831	11.996
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)		28.304	26.776	63.915
	EARNINGS IN FOREIGN CURRENCY
		F.O.B. Value of Export	64.439	11.586	18.634
	TOTAL EARNINGS		64.439	11.586	18.634
	IMPORTS
		Raw Materials	2.688	1.708	0.900
	TOTAL IMPORTS		2.688	1.708	0.900
	Earnings / (Loss) Per Share (Rs.)		15.55	14.71	35.10

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin PAT / Sales	(%)	2.37	2.58	4.43
Operating Profit Margin (PBDIT/Sales)	(%)	9.27	11.02	9.41
Return on Total Assets (PBT/Total Assets}	(%)	2.58	2.61	4.71
Return on Investment (ROI) (PBT/Networth)		0.06	0.06	0.12
Debt Equity Ratio (Total Liability/Networth)		0.67	0.73	0.92
Current Ratio (Current Asset/Current Liability)		1.62	1.77	1.85

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	18.207	18.207	18.207
Reserves & Surplus	637.297	664.548	690.184
Net worth	655.504	682.755	708.391
long-term borrowings	348.305	269.104	200.743
Short term borrowings	257.442	227.107	276.999
Total borrowings	605.747	496.211	477.742
Debt/Equity ratio	0.924	0.727	0.674

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	1440.988	1037.746	1189.556
		(27.984)	14.629

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	1440.988	1037.746	1189.556
Profit	63.915	26.776	28.304
	4.44%	2.58%	2.38%

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	No
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	No
20]	Export / Import details (if applicable)	Yes
21]	Market information	----------------
22]	Litigations that the firm / promoter involved in	Yes
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	No

LITIGATION DETAILS:

HIGH COURT OF PUNJAB AND HARYANA

CHNDIGARH

Case Details For Case CM-24048-CII-2009
Diary Number	407060	District	UT-CHANDIGARH
Category	-	Main Case Detail	ITA-662-2009
Party Detail	CIT CHANDIGARH V/S M/S CHEEMA BOILERS LTD. MOHALI
Advocate Name	URVASHI DHUGGA	List Type	ORDINARY
Status	PENDING	Next date
Case Listing Details
No Listing Data Available
Judgment Details For Case: CM-24048-CII-2009  Party Detail: CIT CHANDIGARH V/S M/S CHEEMA BOILERS LIMITED MOHALI
Order Date	Order Type	Bench	Judgment Link
No Judgment/Order Found.

UNSECURED LOANS

PARTICULAR	31.03.2014 (Rs. in Millions)	31.03.2013 (Rs. in Millions)
LONG TERM BORROWINGS
Other loans and advances	38.831	42.928
Rupee term loan from others	126.128	157.819
Rupee term loan from banks	3.433	2.158
Loans and advance from directors	0.000	3.370
Total	168.392	206.275

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10307661	27/07/2011	13,500,000.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI, Maharashtra - 400013, INDIA	B21175708
2	10302613	08/07/2011	75,000,000.00	TATA CAPITAL LIMITED	ONE FORBES, DR V B GANDHI MARG,FORT, MUMBAI, Maharashtra - 400001, INDIA	B18962092
3	10218840	12/12/2011 *	61,400,000.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI, Maharashtra - 400013, INDIA	B31705932
4	10218841	12/12/2011 *	88,000,000.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI, Maharashtra - 400013, INDIA	B31611627
5	10046658	26/04/2013 *	400,000,000.00	STATE BANK OF INDIA	Specialised Commercial Branch, SCO 103-106, SECTOR 17, CHANDIGARH, Chandigarh - 160017, INDIA	B75729186
6	90175664	17/01/2005	18,500,000.00	STATE BANK OF INDIA	S.S.I BRANCH PHASE VII, MOHALI, Punjab, INDIA	-

* Date of charge modification

FIXED ASSETS

· Land

· Buildings

· Plant and Equipment

· Furniture and Fixture

· Vehicles

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. 62.25
UK Pound	1	Rs. 95.57
Euro	1	Rs. 71.01

INFORMATION DETAILS

Information Gathered by :	GYT
Analysis Done by :	KAR
Report Prepared by :	JYO

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILITY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--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		48

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.