MIRA INFORM REPORT

Report No. :	307564
Report Date :	25.02.2015

IDENTIFICATION DETAILS

Name :	MANGALAM ALLOYS LIMITED
Formerly Known As :	MANGALAM ALLOYS PRIVATE LIMITED
Registered Office :	Plot No. 3123-3126, GIDC, Phase III, Chhatral, District Gandhinagar – 382729, Gujarat
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	01.08.1988
Com. Reg. No.:	04-011051
Capital Investment / Paid-up Capital :	Rs.65.951 Millions
CIN No.: [Company Identification No.]	U27109GJ1988PLC011051
IEC No.:	0889003076
TAN No.: [Tax Deduction & Collection Account No.]	AHMM01070G
PAN No.: [Permanent Account No.]	AABCM6740P
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of Stainless steel products.
No. of Employees :	500 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (42)

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

Maximum Credit Limit :	USD 600000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. The company has reported decent profitability for year 2013-14. 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	Term loan = BB+
Rating Explanation	Inadequate degree of safety and higher credit.
Date	March, 2014

Rating Agency Name	ICRA
Rating	LC / BG Limits = A4+
Rating Explanation	Minimal degree of safety and highest credit risk.
Date	March, 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. Ajay Patel
Designation :	Accounts Executive
Contact No.:	91-9879110402
Date :	21.02.2015

LOCATIONS

Registered Office / Factory :	Plot No. 3123-3126, GIDC, Phase III, Chhatral, District Gandhinagar – 382729, Gujarat, India
Tel. No.:	91-2764-232064 / 232025
Mobile No.:	91-9879110402 (Mr. Ajay Patel)
Fax No.:	91-2764-234361
E-Mail :	sales@mangalamalloys.com ajay.patel@mangalamalloys.com mangalam@ucmindia.com tusharmehta@mangalamalloys.com export@mangalamalloys.com purchase@mangalamalloys.com
Website :	www.mangalamalloys.com

DIRECTORS

As on 17.09.2014

Name :

Mr. Uttamchand Chandanmal Mehta

Designation :

Managing Director

Address :

3, Chandramauleshwar Farm, Near Mohamadpura Bus Stop, Ambli Bopal Road, Ahmedabad, Gujarat, India

Date of Birth/Age :

20.11.1953

Qualification :

B.E. (Chem)

Date of Appointment :

01.07.2013

PAN No.:

ABCPM3554A

DIN No.:

00153639

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	U29199GJ1995NPL027917	NARODA ENVIRO PROJECTS LIMITED	Director	19/10/1995	19/10/1995	-	Active	NO
2	L52100GJ1990PLC013964	UNISON METALS LIMITED	Managing director	06/10/2004	06/10/2004	19/08/2009	Active	NO
3	U27109GJ1988PLC011051	MANGALAM ALLOYS LIMITED	Whole-time director	01/07/2013	20/05/2006	-	Active	NO
4	U27100GJ2006PLC047841	UNISON FORGINGS LIMITED	Director	22/02/2008	22/02/2008	-	Active	NO
5	U28910GJ2010PTC061470	UNISON ALLOYS AND STEELS PRIVATE LIMITED	Director	07/07/2010	07/07/2010	24/12/2010	Active	NO

Name :

Mr. Lokeshkumar Bansilal Jain

Designation :

Whole Time Director

Address :

A 2, 102, Vishwas City – I, Opposite Shayon City, R C Technical Road, Ghatoldia, Ahmedabad, Gujarat, India

Date of Birth/Age :

05.01.1973

Qualification :

C.A. and I.C.W.A.

Date of Appointment :

11.12.2013

PAN No.:

ADEPJ7179J

DIN No.:

00186623

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	U27109GJ1988PLC011051	MANGALAM ALLOYS LIMITED	Whole-time director	11/12/2013	12/12/2005	-	Active	NO
2	U65910GJ1995PTC024789	TRIBHUVAN LEASE FINANCE PRIVATE LIMITED	Director	15/04/2009	15/04/2009	-	Active	NO

Name :

Mr. Tushar Uttamchand Mehta

Designation :

Whole Time Director

Address :

3, Chandramauleshwar Farm, Near Mohamadpura Bus Stop, Ambli Bopal Road, Ahmedbad, Gujarat, India

Date of Birth/Age :

09.06.1987

Qualification :

B.E. (Mech)

Date of Appointment :

01.07.2013

PAN No.:

AMOPM6461H

DIN No.:

00187046

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	U27109GJ1988PLC011051	MANGALAM ALLOYS LIMITED	Managing director	01/07/2013	12/12/2005	-	Active	NO
2	U65910GJ1997PTC031510	SHELJA FINLEASE PRIVATE LIMITED	Director	30/09/2009	16/09/2009	-	Active	NO
3	U28910GJ2010PTC061470	UNISON ALLOYS AND STEELS PRIVATE LIMITED	Director	07/07/2010	07/07/2010	24/12/2010	Active	NO
4	U27100GJ2006PLC047841	UNISON FORGINGS LIMITED	Director	23/07/2012	23/07/2012	-	Active	NO
5	U29100GJ2012PLC068635	UNISON NATURAL RESOURCES LIMITED	Director	24/08/2012	24/08/2012	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Ajay Patel
Designation :	Accounts Executive

MAJOR SHAREHOLDERS

As on 17.09.2014

Names of Shareholders	No. of Shares
Bhandari Pirakashchandra Chandmal	40500
Bhandari Mankumari Prakashchandra	31500
Bhandari Avinash Prakashchand	22500
Bhandari Rachna Prakashchandra	11250
Bhandari Pirakashchandra Chandmal Jointly With Avinash Bhandari and Reema Bhandari	18000
Bhandari Pirakashchandra C. Jointly With Mankumari Bhandari	6750
Raval Motilal Maganlal Prop's of Rekha Enterprise	13200
Purohit Bhanwarlal Bhurji	4000
Mehta Tirth Uttamchand	13700
Mehta Tushar Uttamchand	179950
Mehta Pushpadevi Uttamchand	608650
Mehta Uttamchand Chandanmal	851000
Mehta Uttamchand Jointly With Pushpadevi Uttamchand	2000
Netvision Web Technologies Limited, India	50000
Shelja Finlease Private Limited, India	331700
Tribhuvan Lease Finance Private Limited, India	2364650
Ankit Ashokkumar Gupta	10000
Ashokkumar Sonderlal Gupta	10000
Rajesh Agrawal Jointly With Ranchna Agrawal	20000
Archer Financial Services Private Limited, India	312000
Grin BPO Services Private Limited, India	237750
Green Star Financial Services Private Limited, India	336000
Suraj Corporate Services Private Limited, India	240000
TPL Finance Limited, India	420000
Richgold Finance and Securities Limited, India	380000
Dhanlaxmi Lease Finance Private Limited, India	80000
Total	6595100

As on 17.09.2014

Equity Share Break up (Percentage of Total Equity)

Category	Percentage of Holding
Bodies corporate	72.05
Directors or relatives of Directors	25.10
Other top fifty shareholders	2.85
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Stainless steel products.

Products :

Item Code No. (ITC Code)	Product Description
72181000	S S Ingots and Other Primary Forms

Brand Names :

Not Available

Agencies Held :

Not Available

Exports :

Products :

Stainless Steel Products

Countries :

• Singapore
• South Africa

Imports :

Products :

Raw Material

Countries :

• China
• Singapore
• Cyprus
• USA
• Germany

Terms :

Selling :

Cash and Credit (30/60/90 Days)

Purchasing :

Cash and Credit (30/60/90 Days)

PRODUCTION STATUS = NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

Reference :	Mr. Sandvik Asia Private Limited, Gujarat, India
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 :	Ratnamani Metals and Tubes Limited, Gujarat, India
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 :

500 (Approximately)

Bankers :

Banker Name	Bank of India
Branch Address	Navjivan Amrit Jayanti Bhavan
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 Account Opening)	Not Divulged
Average Balance Maintained (If Possible)	Not Divulged
Credit Facilities Enjoyed (If any)	Cash Credit = Rs. 45.000 Millions
Account Operation	Not Divulged
Remarks (If any)	Not Divulged

Facilities :

SECURED LOANS	31.03.2014 (Rs. in Millions)	31.03.2013 (Rs. in Millions)
LONG TERM BORROWINGS
Term Loans from Banks	3.168	45.884
Term Loans from others	79.780	0.000
SHORT TERM BORROWINGS
Working Capital Loans from Banks	294.847	290.179
Total	377.795	336.063

Auditors :
Name :	Kishan M. Mehta and Company Chartered Accountants
Address :	6^th Floor, Premchand House Annexe, Old High Court Way, Ashram Road, Ahmedbad – 380009, Gujarat, India
PAN No. :	AABFK8431G
Memberships :	Not Available
Collaborators :	Not Available
Associates :	Tribhuvan Lease Finance Private Limited
Sister Concern :	Unison Forgings Limited Unions Metals Limited

CAPITAL STRUCTURE

As on 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
7000000	Equity Shares	Rs.10/-each	Rs. 70.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
6595100	Equity Shares	Rs.10/-each	Rs.65.951 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	65.951	65.951	63.349
(b) Reserves & Surplus	174.205	160.277	179.664
(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)	240.156	226.228	243.013
(3) Non-Current Liabilities
(a) long-term borrowings	94.847	59.068	99.681
(b) Deferred tax liabilities (Net)	26.477	29.734	30.926
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	2.260	2.156	1.515
Total Non-current Liabilities (3)	123.584	90.958	132.122
(4) Current Liabilities
(a) Short term borrowings	360.064	352.308	254.469
(b) Trade payables	183.736	160.36	117.057
(c) Other current liabilities	65.664	68.466	58.920
(d) Short-term provisions	9.920	19.843	5.578
Total Current Liabilities (4)	619.384	600.977	436.024
TOTAL	983.124	918.163	811.159
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	228.857	243.054	248.285
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.819	2.630	14.556
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	7.906	8.336	9.726
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	8.830	15.577	5.397
(e) Other Non-current assets	36.024	36.024	46.519
Total Non-Current Assets	282.436	305.621	324.483
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	338.709	279.301	240.237
(c) Trade receivables	258.695	257.393	191.073
(d) Cash and cash equivalents	9.110	8.299	8.388
(e) Short-term loans and advances	82.874	60.056	37.232
(f) Other current assets	11.300	7.493	9.746
Total Current Assets	700.688	612.542	486.676
TOTAL	983.124	918.163	811.159

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2014	31.03.2013	31.03.2012
	SALES
	Income	1392.637	1407.156	1382.902
	Other Income	11.902	3.451	12.861
	TOTAL	1404.539	1410.607	1395.763
Less	EXPENSES
	Cost of Materials Consumed	961.646	949.800	946.758
	Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(58.214)	(45.809)	1.185
	Employees benefits expense	52.680	50.707	41.786
	Other expenses	344.717	353.932	313.092
	TOTAL	1300.829	1308.63	1302.821
Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION	103.710	101.977	92.942
Less	FINANCIAL EXPENSES	51.585	52.457	41.464
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION	52.125	49.52	51.478
Less/ Add	DEPRECIATION/ AMORTISATION	31.564	30.535	27.551
	PROFIT/ (LOSS) BEFORE TAX	20.561	18.985	23.927
Less	TAX	6.633	(0.314)	(14.035)
	PROFIT/ (LOSS) AFTER TAX	13.928	19.299	9.892
	Earnings / (Loss) Per Share (Rs.)	2.11	2.93	1.50

Expected Sales (2014-2015) : Rs.1450.000 Millions

The above information has been parted by Mr. Ajay Patel (Accounts Executive).

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin PAT / Sales	(%)	1.00	1.37	0.71
Operating Profit Margin (PBDIT/Sales)	(%)	7.44	7.24	6.72
Return on Total Assets (PBT/Total Assets}	(%)	2.11	2.09	3.04
Return on Investment (ROI) (PBT/Networth)		0.09	0.08	0.10
Debt Equity Ratio (Total Debts/Networth)		1.89	1.82	1.46
Current Ratio (Current Asset/Current Liability)		1.13	1.02	1.12

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	63.349	65.951	65.951
Reserves & Surplus	179.664	160.277	174.205
Net worth	243.013	226.228	240.156
long-term borrowings	99.681	59.068	94.847
Short term borrowings	254.469	352.308	360.064
Total borrowings	354.150	411.376	454.911
Debt/Equity ratio	1.457	1.818	1.894

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	1382.902	1407.156	1392.637
		1.754	(1.032)

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	1382.902	1407.156	1392.637
Profit	9.892	19.299	13.928
	0.72%	1.37%	1.00%

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	Yes
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	Yes
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	Yes
18]	Major customers	Yes
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	Yes
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

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10516470	05/08/2014	9,800,000.00	RELIANCE CAPITAL LIMITED	"H" BLOCK 1ST FLOOR, Dhirubhai Ambani Knowledge City, Koparkhairne, Navi Mumbai, Maharashtra - 400710, INDIA	C17887852
2	10485550	20/06/2014 *	40,000,000.00	Small Industries Development Bank of India	First Floor, Navjivan Amrit Jayanti Bhavan,, P.B.  NO.10, Navjivan Post Office, AHMEDABAD, Gujarat -  380014, INDIA	C10599215
3	10468805	02/01/2014	45,000,000.00	Small Industries Development Bank of India	First Floor, Navjivan Amrit Jayanti Bhavan,, P.B.  No.10, Navjivan Post Office,, Ahmedabad, Gujarat - 380014, INDIA	B92972157
4	10192012	26/11/2012 *	541,200,000.00	State Bank of India	Industrial Finance Branch, 1st Floor, Neptune Tower Annexe, Opp.GandhigramRS, Ahmedabad, Gujarat -  380009, INDIA	B64563257
5	80024379	26/11/2012 *	541,200,000.00	State Bank of India	Industrial Finance Branch, 1st Floor, Neptune Tower Annexe, Opp GandhigramRs, Ahmedabad, Gujarat -  380009, INDIA	B64560402

* Date of charge modification

UNSECURED LOANS

PARTICULAR	31.03.2014 (Rs. in Millions)	31.03.2013 (Rs. in Millions)
LONG TERM BORROWINGS
Term Loans from Banks	0.273	2.374
Term Loans from Others	5.610	5.388
Deposits from Directors	4.945	5.422
Loans and Advances from related parties	1.071	0.000
SHORT TERM BORROWINGS
Loans repayable on demand from banks	65.217	62.129
Total	77.116	75.313

FIXED ASSETS

• Land
• Buildings
• Factory Building
• Plant and Equipment
• Factory Equipments
• Furniture and Fixtures
• 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.62.27
UK Pound	1	Rs.96.20
Euro	1	Rs.70.60

INFORMATION DETAILS

Information Gathered by :	PPT
Analysis Done by :	SUC
Report Prepared by :	PNM

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	5
--PROFITABILITY	1~10	4
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	4
--RESERVES	1~10	4
--CREDIT LINES	1~10	4
--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	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		42

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	--

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.