MIRA INFORM REPORT

Report No. :	309333
Report Date :	23.02.2015

IDENTIFICATION DETAILS

Name :	ARCHON ENGICON LIMITED (w.e.f. 04.10.2013)
Formerly Known As :	ARCHON ENGICON PRIVATE LIMITED
Registered Office :	A/1 Shivam Sundaram Complex, Above ADC Bank, Opposite Haresh Dudhiya, Gurukul Road, Ahmedabad – 380052, Gujarat
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	22.12.2004
Com. Reg. No.:	04-045191
Capital Investment / Paid-up Capital :	Rs. 91.604 Millions
CIN No.: [Company Identification No.]	U45204GJ2004PLC045191
TIN No.:	Not Available
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	AAECA9924A
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of Transmission and Telecom Towers.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (33)

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 :	- (Matter converted to Comp/236/2012)
Comments :	Subject is an established company having moderate track record. Management has reported tight liquidity on the back of high working capital intensive operations during FY14. However, trade relations seem to be fair. Business is active. Payment terms are reported as slow but correct. In view of extensive experience of the promoters, the company can be considered for business dealings with 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 – 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	India Rating and Research
Rating	Fund Based Limits = BB+ (Suspended)
Rating Explanation	Moderate risk of default regarding timely servicing of financial obligations.
Date	17.10.2014

Rating Agency Name	India Rating and Research
Rating	Non Fund Based Working Capital Limits = A4+ (Suspended)
Rating Explanation	Minimal degree of safety and very high credit risk.
Date	17.10.2014

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. Hardik Chatbor
Designation :	Accountant
Contact No.:	91-8155053391
Date :	21.02.2015

LOCATIONS

Registered Office / Corporate Office :	A/1 Shivam Sundaram Complex, Above ADC Bank, Opposite Haresh Dudhiya, Gurukul Road, Ahmedabad – 380052, Gujarat, India
Tel. No.:	91-79-27431072
Mobile No.:	91-8155053391 (Mr. Hardik Chatbor)
Fax No.:	91-79-27431072
E-Mail :	cs@archonengicon.com mahesh@archonengicon.com office@archonengicon.com
Website :	www.archonengicon.com
Location :	Owned
Factory :	Plot No. 1, 2, 3, Navkar Industrial Estate, Near G.E.B. Sub Station, Santej Khatraj, Village Kalol, District Gandhinagar-382721, Gujarat, India
Tel. No.:	91-2764-281202 / 281203
Fax No.:	91-2764-281818
E-Mail :	sanjay@archonengicon.com
Location :	Owned

DIRECTORS

AS ON 30.09.2014

Name :

Mr. Chandrashekhar Balkrishna Panchal

Designation :

Managing Director

Address :

14, Unikpark Society, Jodhpur Satellite, Ahmedabad – 380015, Gujarat, India

Date of Birth/Age :

16.08.1973

Qualification :

B.E.

Date of Appointment :

19.07.2013

PAN No.:

ACIPP5437C

DIN No.:

01231766

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	U45204GJ2004PLC045191	ARCHON ENGICON LIMITED	Managing director	19/07/2013	22/12/2004	-	Active	NO
2	U29244GJ2008PTC055566	SANTHI CRANES PRIVATE LIMITED	Director	28/11/2008	28/11/2008	-	Under Process of Striking off	NO
3	U45209GJ2009PTC056172	VOLT INFRA SERVICES PRIVATE LIMITED	Director	18/02/2009	18/02/2009	31/03/2013	Active	NO
4	U31900GJ2010PTC062563	OHM HIGHLINE PRIVATE LIMITED	Director	11/10/2010	11/10/2010	-	Active	NO
5	L29210GJ1974PLC078700	ARCHON INDUSTRIES LIMITED	Managing director	14/08/2014	13/05/2013	-	Active	NO
6	U30007GJ2003PLC041867	ACCORD INDUSTRIES LIMITED	Additional director	01/05/2014	01/05/2014	-	Active	NO

Name :

Mr. Ajit Raina

Designation :

Director

Address :

I-F/157, G F Lajpat Nagar, Fly Over Delhi, New Delhi – 110024, India

Date of Birth/Age :

19.03.1951

Date of Appointment :

25.08.2012

DIN No.:

06364536

Name :

Mr. Sunil Mishra

Designation :

Whole-Time Director

Address :

Plot No-1074, Sector-2/D, Gandhinagar – 382002, Gujarat, India

Date of Birth/Age :

08.08.1963

Date of Appointment :

19.07.2013

DIN No.:

06634784

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	U45204GJ2004PLC045191	ARCHON ENGICON LIMITED	Director	01/11/2014	19/07/2013	-	Active	NO
2	U30007GJ2003PLC041867	ACCORD INDUSTRIES LIMITED	Additional director	01/05/2014	01/05/2014	-	Active	NO

Name :

Mr. Devendra Singh

Designation :

Additional Director

Address :

Flat No 498, DDA SFS, PKT 2, Sector 9, Dwarka, New Delhi - 110075, India

Date of Birth/Age :

14.11.1948

Date of Appointment :

30.09.2014

DIN No.:

00764878

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	U55101DL2005PTC138163	TIGER INFRAPROJECTS PRIVATE LIMITED	Director	30/06/2005	30/06/2005	-	Active	NO
2	U22300DL2008PTC181643	SIGNATURE INFOTAINMENT PRIVATE LIMITED	Director	01/08/2008	01/08/2008	-	Active	NO
3	U45204GJ2004PLC045191	ARCHON ENGICON LIMITED	Director	30/09/2014	14/12/2013	-	Active	NO
4	L29210GJ1974PLC078700	ARCHON INDUSTRIES LIMITED	Director	30/09/2014	31/01/2014	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Nareshkumar Natavarlal Prajapati
Designation :	Secretary
Address :	14, Janakpuri Society, Khed Tesia Road, Himatnagar, Sabarkantha – 383001, Gujarat, India
Date of Birth/Age :	04.08.1981
Date of Appointment :	01.08.2013
PAN No.:	APPPP8370J
Name :	Mr. D. B. Gaggar
Designation :	V. P. Finance
Name :	Mr. Hardik Chatbor
Designation :	Accountant

MAJOR SHAREHOLDERS

AS ON 30.09.2014

Names of Shareholders	No. of Shares
Chandrashekhar Balkrishna Panchal	6012500
Chandrikaben Balkrushna Joitaram	1000
Hiren Shamjibhai Patel	2762500
Panchal Nehal C	190000
Panchal Balkrushna Joitaram	1600
Pintu Samjibhai Patel	100
Roshni Hiren Patel	192700
Total	9160400

Equity Share Break up (Percentage of Total Equity)

AS ON 30.09.2014

Category	Percentage
Bodies corporate	67.74
Directors or relatives of Directors	32.26
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Transmission and Telecom Towers.
Products :	Not Available
Brand Names :	--
Agencies Held :	--
Exports :	Not Available
Imports :	Not Available
Terms :
Selling :	Not Available
Purchasing :	Not Available

PRODUCTION STATUS – NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

Not Available

Customers :

Not Available

No. of Employees :

Not Available

Bankers :

• State Bank of India, Industrial Finance Branch, 1st Floor, Neptune Tower Annexe, Ashram Road, Ahmedabad - 380009, Gujarat, India
• Bank of Baroda, Usmanpura Branch, Usmanpura, Ahmedabad - 380013, Gujarat, India
• HDFC Bank Limited, HDFC Bank House Senapati Bapat Marg, Lower Parel West, Mumbai - 400013, Maharashtra, India

Facilities :

SECURED LOANS	31.03.2014 Rs. In Millions	31.03.2013 Rs. In Millions
LONG TERM BORROWINGS
Rupee term loans from others	40.088	34.698
Loans taken for fixed assets	2.246	2.366
SHORT TERM BORROWINGS
Rupee term loans from banks	0.000	9.368
Rupee term loans from others	19.730	10.545
Working capital loans from banks	1194.509	0.000
Loans repayable on demand	2.840	1181.250
Loans taken for fixed assets	0.000	5.941
Total	1259.413	1244.168

Auditors :
Name :	V.D. Shukla and Company Chartered Accountants
Address :	22 Aakruti Society, Near Vivekananda Flats, Jodhpur Char Rasta, Satelite Road, Ahmedabad, Gujarat, India
PAN No.:	AKHPS9176L
Memberships :	--
Collaborators :	--
Sister Concern :	Not Available

CAPITAL STRUCTURE

AS ON 30.09.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Shares	Rs.10/- each	Rs. 100.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
9160400	Equity Shares	Rs.10/- each	Rs. 91.604 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	91.604	83.604	59.104
(b) Reserves & Surplus	1,085.329	834.682	467.120
(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)	1,176.933	918.286	526.224
(3) Non-Current Liabilities
(a) long-term borrowings	57.124	52.371	123.420
(b) Deferred tax liabilities (Net)	31.764	22.358	19.696
(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)	88.888	74.729	143.116
(4) Current Liabilities
(a) Short term borrowings	1,281.218	1,255.700	965.233
(b) Trade payables	1,393.324	1,187.538	834.397
(c) Other current liabilities	94.650	88.583	121.468
(d) Short-term provisions	64.767	20.949	2.006
Total Current Liabilities (4)	2,833.959	2,552.770	1,923.104
TOTAL	4,099.780	3,545.785	2,592.444
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	279.072	210.378	181.678
(ii) Intangible Assets	2.656	1.878	2.027
(iii) Capital work-in-progress	0.581	19.017	5.631
(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	4.223	4.009	4.037
(e) Other Non-current assets	0.000	0.000	0.065
Total Non-Current Assets	286.532	235.282	193.438
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	1,185.690	1,315.355	977.767
(c) Trade receivables	2,191.412	1,535.253	1,108.871
(d) Cash and cash equivalents	252.788	270.169	136.555
(e) Short-term loans and advances	183.358	189.726	175.813
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	3,813.248	3,310.503	2,399.006
TOTAL	4,099.780	3,545.785	2,592.444

PROFIT & LOSS ACCOUNT

	PARTICULARS			31.03.2014	31.03.2013	31.03.2012
	SALES
		Income		6,360.749	5,322.712	3,650.440
		Other Income		42.437	26.455	10.641
		TOTAL (A)		6,403.186	5,349.167	3,661.081
Less	EXPENSES
		Cost of Materials Consumed		5,355.012	4,831.219	3,202.906
		Changes in Inventories of finished goods, work-in-progress and stock-in-trade		64.615	(209.773)	(208.524)
		Employee Benefits Expenses		121.932	86.843	82.317
		Other Expenses		385.646	241.127	329.702
		TOTAL (B)		5,927.205	4,949.416	3,406.401
	PROFIT/(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)			475.981	399.751	254.680
Less	FINANCIAL EXPENSES (D)			220.409	196.688	139.505
	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)			255.572	203.063	115.175
Less	DEPRECIATION/ AMORTISATION (F)			15.270	11.454	10.045
	PROFIT/(LOSS) BEFORE TAX (E-F) (G)			240.302	191.609	105.130
Less	TAX (H)			81.655	39.798	34.128
	PROFIT/(LOSS) AFTER TAX (G-H) (I)			158.647	151.811	71.002
	IMPORTS
			Raw Material	0.000	0.000	3.213
			components and spare parts	0.000	0.000	0.049
			Capital Goods	0.000	2.466	19.982
	TOTAL IMPORTS			0.000	2.466	23.244
	Earnings / (Loss) Per Share (Rs.)			18.97	23.08	12.43

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT/Sales)	(%)	2.49	2.85	1.95
Operating Profit Margin (PBDIT/Sales)	(%)	7.48	7.51	6.98
Return on Total Assets (PBT/Total Assets}	(%)	5.86	5.43	4.06
Return on Investment (ROI) (PBT/Networth)		0.20	0.21	0.20
Debt Equity Ratio (Total Debt /Networth)		1.14	1.42	2.07
Current Ratio (Current Asset/Current Liability)		1.35	1.30	1.25

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	59.104	83.604	91.604
Reserves & Surplus	467.120	834.682	1085.329
Share Application money pending allotment	0.000	0.000	0.000
Net worth	526.224	918.286	1176.933
Long Term borrowings	123.420	52.371	57.124
Short Term borrowings	965.233	1255.700	1281.218
Total borrowings	1088.653	1308.071	1338.342
Debt/Equity ratio	2.069	1.424	1.137

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	3,650.440	5,322.712	6,360.749
		45.810	19.502

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	3,650.440	5,322.712	6,360.749
Profit	71.002	151.811	158.647
	1.95%	2.85%	2.49%

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	Yes
10]	Designation of contact person	Yes
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)	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	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

UNSECURED LOANS:

Particulars	31.03.2014 Rs. In Millions	31.03.2013 Rs. In Millions
LONG TERM BORROWINGS
Working capital loans from banks	2.889	0.000
Loans and advances from related parties	11.901	12.228
Loans and advances from others	0.000	3.079
SHORT TERM BORROWINGS
Other loans and advances, others	64.139	48.596
Total	78.929	63.903

PERFORMANCE:

The gross revenue of the Company increased by 20.36 % to Rs.6406.749 Millions as against Rs.5322.712 Millions in the previous financial year. The Company reported rise by 4.30% in profit after tax of Rs.158.647 Millions in 2013-14 as against Rs.151.811 Millions in 2012-13.

The demand for energy increases over time as populations grow and create a need for more homes, factories, office buildings, consumer products, and public infrastructure. To meet this demand, electricity must not only be produced, but also transmitted to areas where people live. Now a day’s Government committed for the provide power supply to the common man of last village of the Nation for that purpose Government launch various schemes for the Supply of Electricity. Other side the Industrial and Urban development is generates huge demand to production and supply of power/electricity and hence these demand resulted in the growth of Power transmission network.

Significant growth in the transmission and distribution field will be expected because the current infrastructure is inadequate to deal with continued increases in energy demand. Apart from the traditional thermal and water based as well as gas based and nuclear power projects, the another sources of renewable energy like wind power industry, solar energy also adds the demand of infrastructure for transmit energy from power generation house to remote portions of the states and population centre where the demand is the greatest and for the consumption of Ultimate Consumer.

As you aware since inception, the company engaged in field of manufacture, setup, supply, commissioning, Maintenance service of power transmission Tower structure and also one step ahead in to the business of Renewable Energy/Green Energy i.e. wind and as well as from solar power sectors. The company getting very good response from the Private as well as Government Sector and now incoming year explore the business in the field of Telecom Sector. In telecom sector the Company expected to gate some Very Good opportunity due to technology upgradation from 2G and 3G services to 4G services in to the telecom sector.

INDEX OF CHARGE:

Sr. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10410864	13/03/2013	40,985,771.00	Intec Capital Limited	701,Manjusha, 57 Nehru Place, New Delhi, Delhi - 110019, India	B70453261
2	10091945	12/06/2014 *	4,270,000,000.00	PNB Investment Service Ltd - Sec Trustee Of SBI CONST - SBI IDBI SBP CB BOB BOI DB	Punjab National Bank Circle Office 6th Floor, Gujarat Bhavan Opp M J Library Ellisbridge, Ahmedabad , Gujarat - 380006, India	C06290092
3	10075700	12/06/2014 *	4,270,000,000.00	PNB Investment Service Ltd - Sec Trustee Of SBI CONST - SBI IDBI SBP CB BOB BOI DB	Punjab National Bank Circle Office 6th Floor, Gujarat Bhavan Opp M J Library Ellisbridge, Ahmedabad , Gujarat - 380006, India	C06290043

*Date of modification Charges

FIXED ASSETS:

· Land

· Building

· Plant and Machinery

· Computer

· Vehicles

· Furniture and Fixture

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.96.00
Euro	1	Rs.70.72

INFORMATION DETAILS

Information Gathered by :	SUV
Analysis Done by :	SUB
Report Prepared by :	DPT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILITY	1~10	4
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--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		33

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.