MIRA INFORM REPORT

Report No. :	309708
Report Date :	25.02.2015

IDENTIFICATION DETAILS

Name :	KARNATAKA ANTIBIOTICS AND PHARMACEUTICALS LIMITED
Registered Office :	Nirman Bhavan, Dr. Rajakumar Road, First Block, Rajaji Nagar, Bangalore – 560010, Karnataka
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	13.03.1981
Com. Reg. No.:	08-004145
Capital Investment / Paid-up Capital :	Rs. 134.900 Millions
CIN No.: [Company Identification No.]	U24231KA1981GOI004145
TAN No.: [Tax Deduction & Collection Account No.]	BLRK04182D
PAN No.: [Permanent Account No.]	AAACK5675N
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of Pharmaceuticals, Agrochemicals, Medical Equipment, Medical Kits, Diagnostics etc.
No. of Employees :	Not Divulged

RATING & COMMENTS

MIRA’s Rating :

Ba (54)

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

Maximum Credit Limit :	USD 2932000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a joint undertaking of the Government of India (59.2 percent shareholding in KAPL) and the Government of Karnataka (40.8 percent), through Karnataka State Industrial Investment and Development Corporation Limited. It is a well-established and a reputed company having a fine track record. General financial position of the company is sound. Trade relations are reported as decent. Business is active. Payment terms are regular and as per commitment. 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	CRISIL
Rating	Long-term rating = A-
Rating Explanation	Adequate degree of safety and carry low credit risk.
Date	July 25, 2014

Rating Agency Name	CRISIL
Rating	Short-term rating = A1
Rating Explanation	Very strong degree of safety and carry lowest credit risk.
Date	July 25, 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 DECLINED

MANAGEMENT NON-COOPERATIVE

[CONTACT NO.: 91-80-23571590]

LOCATIONS

Registered/ Corporate Office :	Nirman Bhavan, Dr. Rajakumar Road, First Block, Rajaji Nagar, Bangalore – 560010, Karnataka, India
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	jch@kaplindia.com
Website :	http://www.kaplindia.com
Factory :	Plot No.14, II Phase, Peenya Industrial Area, Bangalore – 560058, Karnataka, India
Tel No.:	91-80-28395186/ 187/ 188 Ext 500 (Direct No.:91-80-28394669)

DIRECTORS

Name :

Krishnamohan Prasad

Designation :

Managing director

Address :

No. 33 Bhagwat Kripa,, Coconut Avenue, Sidedahalli Road Cross, Bangalore - 560073, Karnataka, India

Date of Appointment :

14.05.2013

DIN No.:

06589624

Name :

Sivasailam Narayanan

Designation :

Nominee director

Address :

Navnith, C9, Block 7, MCHS Colony, Sector VI, HSR Layout, Bangalore - 560034, Karnataka, India

Date of Appointment :

13.03.2014

DIN No.:

00131008

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	U01551KA2003SGC032033	KARNATAKA STATE BEVERAGES CORPORATION LIMITED	Managing director	19/09/2006	19/09/2006	18/06/2008	Active	NO
2	U16286KA1994GOI016286	BANGALORE METRO RAIL CORPORATION LIMITED	Managing director	12/06/2008	12/06/2008	10/08/2013	Active	NO
3	U02001KA1971ULL001999	KARNATAKA FOREST DEVELOPMENT CORPORATION LIMITED.	Director	03/09/2013	03/09/2013	03/02/2014	Active	NO
4	U02005KA1973SGC002314	KARNATAKA STATE FOREST INDUSTRIES CORPORATION LIMITED	Nominee director	03/09/2013	03/09/2013	04/02/2014	Active	NO
5	U24231KA1981GOI004145	KARNATAKA ANTIBIOTICS AND PHARMACEUTICALS LIMITED	Nominee director	13/03/2014	13/03/2014	-	Active	NO
6	U85100KA2014NPL075114	KARNATAKA MINING ENVIRONMENT RESTORATION CORPORATION	Director	14/07/2014	14/07/2014	-	Active	NO

Name :

Mahammed Ariz Ahammed

Designation :

Nominee director

Address :

BH 3/4 Senior IAS Officers Colony, Banjara Hills, Hyderabad - 500034, Andhra Pradesh, India

Date of Appointment :

27.01.2015

DIN No.:

01735371

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	U01112TG1976SGC002015	THE ANDHRA PRADESH STATE SEEDS DEVELOPMENT CORPORATION LIMITED	Managing director	13/06/2008	01/06/2007	23/06/2008	Active	NO
2	U31909AS1984SGC002155	ASSAM ELECTRONICS DEVELOPMENT CORPORATION LIMITED	Nominee director	10/08/2010	10/08/2010	21/08/2012	Active	NO
3	U45201AS1980SGC001845	ASSAM POLICE HOUSING CORPORATION LIMITED	Director	23/09/2010	23/09/2010	01/02/2011	Active	NO
4	U24231KA1981GOI004145	KARNATAKA ANTIBIOTICS AND PHARMACEUTICALS LIMITED	Nominee director	27/01/2015	27/01/2015	-	Active	NO

Name :

Raghuram Bhandary

Designation :

Nominee director

Address :

No.A-5, 324, Krishna National Games Village, Koramangala, Bangalore - 560047, Karnataka, India

Date of Appointment :

28.11.2013

DIN No.:

06754951

KEY EXECUTIVES

Name :	Radhakrishnan Suryanarayana
Designation :	Chief Financial Officer
Address :	No.1230, 44th A Cross, 1st Stage, Kumarswamy Layout, Bangalore - 560078, Karnataka, India
Date of Appointment :	20.08.2014
PAN No.:	AAPPR3192R
Name :	Mr. Jagadeesh Chanabasayya Hiremath
Designation :	Secretary
Address :	#250, "Umashankar", 6th Main, Nagarabhavi, 12th Block, 2nd Stage, Bangalore - 560072, Karnataka, India
Date of Appointment :	02.06.2008
PAN No.:	ADQPJ9814L

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 31.03.2014

Names of Shareholders	No. of Shares	% of Holding
President of India	798180	59.17
KSIIDC Limited	550820	40.83
Total	1349000	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Pharmaceuticals, Agrochemicals, Medical Equipment, Medical Kits, Diagnostics etc.
Brand Names :	--
Agencies Held :	--
Exports :
Products :	--
Countries :	--
Imports :
Products :	--
Countries :	--
Terms :
Selling :	--
Purchasing :	--

PRODUCTION STATUS: NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

Reference:	Not Divulged
Name of the Person (Designation):	Not Divulged
Contact Number:	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 (Designation):	Not Divulged
Contact Number:	Not Divulged
Since how long known:	Not Divulged
Maximum limit dealt:	Not Divulged
Experience:	Not Divulged
Remark	Not Divulged

No. of Employees :

Not Divulged

Bankers :

Bank Name:	Not Divulged
Branch:	Not Divulged
Person Name (with Designation):	Not Divulged
Contact Number:	Not Divulged
Name of Account Holder:	Not Divulged
Account Number:	Not Divulged
Account Since (Date/ Year of A/c Opening):	Not Divulged
Average Balance Maintained (Optional):	Not Divulged
Credit Facilities Enjoyed (CC/OD/Term Loan):	Not Divulged
Account Operation:	Not Divulged
Remarks: Not Divulged

· Vijaya Bank

Mayo Hall Branch, Bangalore - 560001, Karnataka, India

Facilities :

SECURED LOANS	31.03.2014 (Rs. In Millions)	31.03.2013 (Rs. In Millions)
LONG-TERM BORROWINGS
Term Loans From Banks From Vijaya Bank [Secured against hypothecation of specific fixed assets and continuing security of the Company’s other fixed assets on pari passu basis with State Bank of India]	41.200	31.100
SHORT TERM BORROWINGS
Working Capital Loans from Banks [Secured and repayable on demand] Working Capital facilities from scheduled banks are secured against hypothecation of stock in trade and book debts on pari passu basis and pari passu first charge on Company’s entire fixed assets other than fixed assets charged to Vijaya Bank for Term Loan. The above facility includes post-shipment credit in foreign currency of Rs. 46.486 Millions with banks, the interest on which is linked to LIBOR.	49.700	43.800
Total	90.900	74.900

Banking Relations :	--
Auditors :
Name :	Manian and Rao Chartered Accountants
Address :	No. 361, 1 Floor, 7^th Cross, I Blcok, Jayanagar, Bangalore – 560011, Karnataka, India
Tel. No.:	91-80-26569500
Telefax :	91-80-26569501
E-Mail :	contact@manian-rao.com
Associates/Subsidiaries :	Not Available

CAPITAL STRUCTURE

AS ON 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
1500000	Equity Shares	Rs. 100/- each	Rs. 150.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1349000	Equity Shares	Rs. 100/- each	Rs. 134.900 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2014	31.03.2013
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	134.900	134.900
(b) Reserves & Surplus	891.300	832.100
(c) Money received against share warrants	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000
Total Shareholders’ Funds (1) + (2)	1026.200	967.000
(3) Non-Current Liabilities
(a) Long-term borrowings	41.200	31.100
(b) Deferred tax liabilities (Net)	0.000	0.000
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	151.400	127.700
Total Non-current Liabilities (3)	192.600	158.800
(4) Current Liabilities
(a) Short term borrowings	49.700	43.800
(b) Trade payables	745.700	724.900
(c) Other current liabilities	179.400	187.400
(d) Short-term provisions	38.400	31.800
Total Current Liabilities (4)	1013.200	987.900
TOTAL	2232.000	2113.700
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	196.900	204.700
(ii) Intangible Assets	0.000	0.000
(iii) Capital work-in-progress	196.100	163.200
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	0.000	0.000
(c) Deferred tax assets (net)	10.000	8.100
(d) Long-term Loan and Advances	80.300	67.400
(e) Other Non-current assets	59.500	40.200
Total Non-Current Assets	542.800	483.600
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	375.900	327.800
(c) Trade receivables	699.400	728.800
(d) Cash and cash equivalents	533.300	498.600
(e) Short-term loans and advances	71.400	66.800
(f) Other current assets	9.200	8.100
Total Current Assets	1689.200	1630.100
TOTAL	2232.000	2113.700

SOURCES OF FUNDS		31.03.2012
SHAREHOLDERS FUNDS
1] Share Capital		74.900
2] Share Application Money		60.000
3] Reserves & Surplus		731.900
4] (Accumulated Losses)		0.000
NETWORTH		866.800
LOAN FUNDS
1] Secured Loans		115.300
2] Unsecured Loans		0.000
TOTAL BORROWING		115.300
DEFERRED TAX LIABILITIES		0.000
TOTAL		982.100
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		216.400
Capital work-in-progress		100.400
INVESTMENT		0.000
DEFERREX TAX ASSETS		22.600
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	290.300
	Sundry Debtors	918.400
	Cash & Bank Balances	420.900
	Other Current Assets	7.900
	Loans & Advances	80.500
Total Current Assets		1718.000
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	710.500
	Other Current Liabilities	150.200
	Provisions	214.600
Total Current Liabilities		1075.300
Net Current Assets		642.700
MISCELLANEOUS EXPENSES		0.000
TOTAL		982.100

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Revenue from Operations	2341.900	2162.600	2244.600
		Other Income	40.900	41.700	38.600
		TOTAL (A)	2382.800	2204.300	2283.200
Less	EXPENSES
		Cost of Materials Consumed	921.900	835.300	823.600
		Purchases of Stock-in-Trade	369.900	291.400	342.400
		Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(31.100)	(13.200)	(4.200)
		Employees benefits expense	517.500	443.500	431.300
		Other expenses	458.900	469.200	420.900
		Prior Period Items	0.300	(0.100)	(1.900)
		TOTAL (B)	2237.400	2026.100	2012.100
	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		145.400	178.200	271.100
Less	FINANCIAL EXPENSES (D)		5.500	7.000	11.200
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		139.900	171.200	259.900
Less/ Add	DEPRECIATION/ AMORTISATION (F)		19.200	19.300	18.900
	PROFIT BEFORE TAX (E-F) (G)		120.700	151.900	241.000
Less	TAX (H)		43.100	39.000	80.800
	PROFIT AFTER TAX (G-H) (I)		77.600	112.900	160.200
	EARNINGS IN FOREIGN CURRENCY
		F.O.B. Value of Exports	251.700	198.000	220.900
	IMPORTS
		Raw Materials	45.200	15.500	39.400
		Capital Goods	0.000	1.300	0.000
		Others	1.200	0.000	0.500
	TOTAL IMPORTS		46.400	16.800	39.900
	Earnings Per Share (Rs.)		58	108	213.89

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT/Sales)	(%)	3.31	5.22	7.14
Operating Profit Margin (PBDIT/Sales)	(%)	6.21	8.24	12.08
Return on Total Assets (PBT/Total Assets}	(%)	5.96	7.82	12.46
Return on Investment (ROI) (PBT/Networth)		0.12	0.16	0.28
Debt Equity Ratio (Total Debt/Networth)		0.09	0.08	0.13
Current Ratio (Current Asset/Current Liability)		1.67	1.65	1.60

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particulars	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)
Share Capital	134.900	134.900
Reserves & Surplus	832.100	891.300
Net worth	967.000	1026.200
Long-term borrowings	31.100	41.200
Short term borrowings	43.800	49.700
Total borrowings	74.900	90.900
Debt/Equity ratio	0.077	0.089

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	2244.600	2162.600	2341.900
		(3.653)	8.291

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	2244.600	2162.600	2341.900
Profit	160.200	112.900	77.600
	7.14%	5.22%	3.31%

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)	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	No
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

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10219419	30/04/2010	80,000,000.00	VIJAYA BANK	MAYO HALL BRANCH, BANGALORE, KARNATAKA - 560001, INDIA	A85750669
2	80061693	29/03/2006	70,000,000.00	VIJAYA BANK	MG ROAD, BANGALORE, KARNATAKA - 560001, INDIA	-
3	80061694	28/03/2012 *	139,000,000.00	VIJAYA BANK	MAYO HALL BRANCH, BANGALORE, KARNATAKA - 560001, INDIA	B37343050
4	80061500	06/05/2002	73,500,000.00	STATE BANK OF INDIA	IFB, RESIDENCY ROAD, BANGALORE, KARNATAKA - 560025, INDIA	-

* Date of charge modification

FIXED ASSETS:

· Land

· Buildings

· Plant and Machinery

· Furniture and Fixtures

· Office Equipments

· Canteen Equipments

· 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. 62.28
UK Pound	1	Rs. 96.21
Euro	1	Rs. 70.60

INFORMATION DETAILS

Information Gathered by :	GYT
Analysis Done by :	DIV
Report Prepared by :	BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILITY	1~10	5
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	6
--RESERVES	1~10	6
--CREDIT LINES	1~10	6
--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		54

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.