MIRA INFORM REPORT

Report Date :

02.01.2015

IDENTIFICATION DETAILS

Name :	DALMIA REFRACTORIES LIMITED (w.e.f. 28.03.2014)
Formerly Known As :	SHRI NATARAJ CERAMIC AND CHEMICAL INDUSTRIES LIMITED
Registered Office :	Dalmiapuram, Post Office Kallakudi, Tiruchirappalli – 621651, Tamilnadu
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	21.06.1973
Com. Reg. No.:	18-006372
Capital Investment / Paid-up Capital :	Rs. 31.521 Millions
CIN No.: [Company Identification No.]	L24297TN1973PLC006372
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	AABCS5453M
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.
Line of Business :	Refractory bricks, Blocks, Tiles and Similar factory ceramics constructional goods, other than those of Siliceous fossi
No. of Employees :	Not Divulged

RATING & COMMENTS

MIRA’s Rating :

Ba (49)

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 :	Clear
Comments :	Subject is an established company having satisfactory track record. Financial position of the company seems to be decent. 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 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 – September 30, 2014

Country Name	Previous Rating (30.06.2014)	Current Rating (30.09.2014)
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

Not Available

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 DENIED BY

Name :	Mr. Bhavesh Zakhriya
Designation :	Account Manager
Contact No.:	91-02833-234112
Date :	30.12.2014

LOCATIONS

Registered Office :	Dalmiapuram, Post Office Kallakudi, Tiruchirappalli – 621651, Tamilnadu, India
Tel. No.:	91-11-23457100
Fax No.:	91-11-23324136
E-Mail :	snccil@dalmiaf.com

DIRECTORS

As on 12.08.2014

Name :

Mr. Pradeep Dayal Mathur

Designation :

Director

Address :

B- 407, Nirman Vihar, Delhi – 110092, India

Date of Birth/Age :

27.08.1957

Date of Appointment :

12.08.2014

DIN No.:

00266758

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	U74899DL1992PTC051444	PRABHA CERAMICS PRIVATE LIMITED	Director	22/12/1992	22/12/1992	-	Active	NO
2	L24297TN1973PLC006372	DALMIA REFRACTORIES LIMITED	Director	12/08/2014	25/01/1999	-	Active	NO

Name :

Mr. Nagarajan Gopalaswamy

Designation :

Director

Address :

C/1, Durga Paradise, 5/A Ramchandrapuram, Tennur, Trichy – 620017, Tamilnadu, India

Date of Birth/Age :

06.02.1932

Date of Appointment :

12.08.2014

DIN No.:

00017659

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	L26942TN1951PLC000640	DALMIA BHARAT SUGAR AND INDUSTRIES LIMITED	Director	25/07/2008	01/08/1989	15/12/2011	Active	NO
2	L24117RJ1991PLC006307	PODDAR PIGMENTS LIMITED	Director	01/07/1994	01/07/1994	-	Active	NO
3	L24297TN1973PLC006372	DALMIA REFRACTORIES LIMITED	Director	12/08/2014	30/04/1999	-	Active	NO
4	U14107TN2006PLC058816	SRI SUBRAMANYA MINES & MINERALS LIMITED	Director	10/02/2006	10/02/2006	-	Active	NO
5	U40109TN2006PLC058819	DCB POWER VENTURES LIMITED	Director	10/02/2006	10/02/2006	-	Active	NO
6	U14107TN2006PLC058817	SRI SHANMUGHA MINES & MINERALS LIMITED	Director	10/02/2006	10/02/2006	-	Active	NO
7	U14107TN2006PLC058820	SRI SWAMINATHA MINES & MINERALS LIMITTED	Director	10/02/2006	10/02/2006	-	Active	NO
8	L40109TN2006PLC058818	DALMIA BHARAT LIMITED	Director	30/08/2014	10/02/2006	-	Active	NO
9	U65993TN1987PLC014964	INTEGRATED ENTERPRISES (INDIA) LIMITED	Director	24/04/2009	24/04/2009	-	Active	NO
10	U65191TN1996PLC035963	Dalmia Cement (Bharat) Limited	Director	28/08/2014	09/02/2011	-	Active	NO
11	U45209DL2008PLC175321	Dalmia Cement East Limited	Director	26/11/2014	26/11/2014	-	Active	NO

Name :

Mr. Chandersekaran Nagaratnam

Designation :

Director

Address :

5/1209, Vijyatha colony, Nandavanapath, Near Karur Bye Pass Road, Dindigul – 624001, Tamilnadu, India

Date of Birth/Age :

04.12.1950

Date of Appointment :

30.09.2010

DIN No.:

00266838

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	U14109TN1980PLC055366	SHRI CHAMUNDESWARI MINERALS LIMITED	Director	18/05/1999	18/05/1999	10/07/2007	Active	NO
2	U67190TN1997PLC038989	HIMSHIKHAR INVESTMENT LIMITED	Director	19/05/1999	19/05/1999	-	Active	NO
3	L24297TN1973PLC006372	DALMIA REFRACTORIES LIMITED	Director	30/09/2010	27/01/2009	-	Active	NO

Name :

Mr. Mahendra Kumar Doogar

Designation :

Director

Address :

B – 515, Sarita Vihar, Mathur Road, New Delhi – 110044, India

Date of Birth/Age :

01.07.1951

Date of Appointment :

12.08.2014

DIN No.:

00319034

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	U74899DL1982PTC014854	IMAGE INSURANCE BROKERS PRIVATE LIMITED	Director	18/12/1982	18/12/1982	-	Active	NO
2	L70109DL1986PLC025841	Morgan Ventures Limited	Director	23/10/1986	23/10/1986	-	Active	NO
3	U74899DL1981PTC012709	D AND A FINANCIAL SERVICES PRIVATE LIMITED	Director	20/03/1989	20/03/1989	-	Active	NO
4	U67190DL1993PLC053234	DOOGAR AND ASSOCIATES SECURITIES LIMITED	Director	23/04/1993	23/04/1993	-	Active	NO
5	U17118RJ1975PLC002275	BHILWARA PROCESSORS LTD.	Director	30/04/2001	30/04/2001	-	Amalgamated	NO
6	U74899DL1951GAP001947	PHD CHAMBER OF COMMERCE AND INDUSTRY	Director	08/12/2001	08/12/2001	-	Active	NO
7	L45201GJ1986PLC008577	CHARTERED CAPITAL AND INVESTMENT LIMITED	Director	15/09/2003	15/09/2003	26/02/2009	Active	NO
8	L74999DL1979PLC009937	INDO ALUSYS INDUSTRIES LIMITED	Director	25/09/2006	31/05/2006	-	Active	NO
9	U31101DL2006PLC148862	BHILWARA ENERGY LIMITED	Director	20/07/2006	20/07/2006	15/03/2012	Active	NO
10	L27101DL1994PLC134282	KAMDHENU ISPAT LIMITED	Director	29/09/2014	22/09/2006	-	Active	NO
11	L26941UP1983PLC027278	RADICO KHAITAN LIMITED	Director	09/09/2010	15/12/2009	30/05/2014	Active	NO
12	L24297TN1973PLC006372	DALMIA REFRACTORIES LIMITED	Director	12/08/2014	29/09/2010	-	Active	NO
13	L24302RJ1970PLC002266	BSL LTD	Director	18/09/2012	04/05/2012	06/02/2014	Active	NO
14	L74899HR1962PLC002618	FRICK INDIA LIMITED	Director	29/12/2012	20/08/2012	-	Active	NO
15	L36911RJ1989PLC004945	VAIBHAV GLOBAL LIMITED	Director	25/07/2014	23/01/2014	-	Active	NO

Name :

Mr. Deepak Ambadas Thombre

Designation :

Director

Address :

S.No. 210/2, 210/5, 211/2, Titanium Park, Building A, Flat No. 604, Park Street, Wakad, Pune – 411057, Pune, Maharashtra, India

Date of Birth/Age :

03.08.1954

Date of Appointment :

01.04.2013

DIN No.:

02421599

KEY EXECUTIVES

Name :	Ms. Shweta Chadha
Designation :	Secretary
Address :	27, Hanuman Road, New Delhi – 110001, India
Date of Birth/Age :	06.01.1976
Date of Appointment :	01.06.2013
Pan No.:	AGRPC6104A
Name :	Mr. Bhavesh Zakhriya
Designation :	Account Manager

MAJOR SHAREHOLDERS

As on 12.08.2014

Shareholding details file attached

As on 12.08.2014

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Nationalized or other banks	0.04
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	0.10
Bodies corporate	65.62
Other top fifty shareholders	17.89
Others	16.35
Total	100.00

BUSINESS DETAILS

Line of Business :

Refractory bricks, Blocks, Tiles and Similar factory ceramics constructional goods, other than those of Siliceous fossi

Products :

Product Description	Item Code No. (ITC Code)
Bricks and Shapes, High Alumina	69022020

Brand Names :

Not Available

Agencies Held :

Not Available

Exports :

Not Divulged

Imports :

Not Divulged

Terms :

Not Divulged

PRODUCTION STATUS = Not Available

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 :

Not Divulged

Bankers :

• Axis Bank Limited, 2^nd Floor, Statesman House, 148, Barakhamba Road, New Delhi – 110001, India

Facilities :

(Rs. In Millions)

SECURED LOAN	As on 31.03.2014	As on 31.03.2013
LONG TERM BORROWING
Non Convertible Debentures	24.000	24.000
Term Loans	4.800	14.800
SHORT TERM BORROWING
Other Loans and Advances	107.199	109.026
Total	135.999	147.826

Auditors :
Name :	S.S. Kothari Mehta and Company Chartered Accountant
Address :	146-149, Tribhuvan Complex Mathura Road, Ishwar Nagar, Bahapur, Delhi, India
PAN No.:	AABFS6730L
Memberships :	Not Available
Collaborators :	Not Available
Related Parties :	Dalmia Refractories Adhunik Cement Limited CIN No.: U26942ML2003PLC007090 Dalmia Bharat Sugar And Industries Limited CIN No.: L26942TN1951PLC000640 OCL India Limited CIN No.: L26942OP1949PLC000185 Mayuka Investments Limited CIN No.:U65993DL1982PLC182919 Airlox Abrasives Limited CIN No.: L74899DL1944PLC000759 Rama Investment Co Private Limited CIN No.: U74899DL1972PTC006238 Dalmia Cement (Bharat) Limited CIN No.: U65191TN1996PLC035963 Dalmia Bharat Limited CIN No.: L40109TN2006PLC058818
Subsidiary Company (As on 31.03.2013)	Shri Chamundeshwri Minerals Limited

CAPITAL STRUCTURE

As on 12.08.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
5000000	Equity Shares	Rs.10/- each	Rs. 50.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
3152084	Equity Shares	Rs.10/- each	Rs. 31.521 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	31.521	31.521	31.521
(b) Reserves & Surplus	542.113	533.559	524.095
(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)	573.634	565.080	555.616
(3) Non-Current Liabilities
(a) long-term borrowings	28.800	38.800	63.050
(b) Deferred tax liabilities (Net)	24.000	24.700	27.400
(c) Other long term liabilities	1.080	14.120	14.660
(d) long-term provisions	7.437	6.316	6.790
Total Non-current Liabilities (3)	61.317	83.936	111.900
(4) Current Liabilities
(a) Short term borrowings	107.199	109.026	156.448
(b) Trade payables	208.007	170.577	191.076
(c) Other current liabilities	70.361	63.240	81.955
(d) Short-term provisions	5.079	6.963	9.180
Total Current Liabilities (4)	390.646	349.806	438.659
TOTAL	1025.597	998.822	1106.175
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	229.061	250.404	269.918
(ii) Intangible Assets	0.000	0.000	0.009
(iii) Capital work-in-progress	1.025	1.585	2.541
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	49.462	49.465	0.707
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	22.261	18.906	12.461
(e) Other Non-current assets	0.343	0.339	0.360
Total Non-Current Assets	302.152	320.699	285.996
(2) Current assets
(a) Current investments	0.024	1.497	1.397
(b) Inventories	390.336	364.193	414.484
(c) Trade receivables	233.224	197.540	310.925
(d) Cash and cash equivalents	17.459	10.341	33.360
(e) Short-term loans and advances	78.978	104.310	59.789
(f) Other current assets	3.424	0.242	0.224
Total Current Assets	723.445	678.123	820.179
TOTAL	1025.597	998.822	1106.175

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2014	31.03.2013	31.03.2012
	SALES
	Income	1016.211	1041.156	1174.791
	Other Income	9.950	6.880	3.189
	TOTAL (A)	1026.161	1048.036	1177.980
Less	EXPENSES
	Cost of Materials Consumed	440.534	457.748	465.173
	Purchases of Stock-in-Trade	65.161	1.708	51.006
	Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(50.184)	1.143	(1.631)
	Employees benefits expense	190.545	187.085	181.330
	Other expenses	316.480	317.842	360.312
	TOTAL (B)	962.536	965.526	1056.190
Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (C)	63.625	82.510	121.790
Less	FINANCIAL EXPENSES (D)	21.987	32.895	25.775
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)	41.638	49.615	96.015
Less/ Add	DEPRECIATION/ AMORTISATION (F)	23.396	27.599	31.026
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)	18.242	22.016	64.989
Less	TAX (I)	6.000	7.020	23.499
	PROFIT/ (LOSS) AFTER TAX (G-I) (J)	12.242	14.996	41.490
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD (K)	396.730	388.263	358.600
Less	APPROPRIATIONS
	Transfer to General Reserve	1.000	1.000	4.500
	Dividend	3.152	4.725	6.304
	Tax on Dividend	0.536	0.804	1.023
	Total (M)	4.688	6.529	11.827
	Balance Carried to the B/S (J+K+L-M)	404.284	396.730	388.263
	EARNINGS IN FOREIGN CURRENCY
	F.O.B. Value of Exports	6.049	0.000	0.000
	TOTAL EARNINGS	6.049	0.000	0.000
	IMPORTS
	Raw Materials	118.330	115.970	185.250
	TOTAL IMPORTS	118.330	115.970	185.250
	Earnings / (Loss) Per Share (Rs.)	3.88	4.67	414.90

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT/Sales)	(%)	1.20	1.44	3.53
Operating Profit Margin (PBDIT / Sales)	(%)	6.26	7.92	10.37
Return on Total Assets (PBT/Total Assets}	(%)	1.87	2.32	5.89
Return on Investment (ROI) (PBT/Networth)		0.03	0.04	0.12
Debt Equity Ratio (Total Debt /Networth)		0.24	0.26	0.40
Current Ratio (Current Asset/Current Liability)		1.85	1.94	1.87

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	31.521	31.521	31.521
Reserves & Surplus	524.095	533.559	542.113
Net worth	555.616	565.080	573.634
long-term borrowings	63.050	38.800	28.800
Short term borrowings	156.448	109.026	107.199
Total borrowings	219.498	147.826	135.999
Debt/Equity ratio	0.395	0.262	0.237

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	1174.791	1041.156	1016.211
		-11.375	(2.396)

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	1174.791	1041.156	1016.211
Profit	41.490	14.996	12.242
	3.53%	1.44%	1.20%

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	Yes
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	No
20]	Export / Import details (if applicable)	No
21]	Market information	----------------------
22]	Litigations that the firm / promoter involved in	----------------------
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	----------------------
26]	Buyer visit details	----------------------
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	Yes
29]	Last accounts filed at ROC	Yes
30]	Major Shareholders, if available	Yes
31]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

OPERATIONS AND FUTURE OUTLOOK

The performance of the Company has been adversely affected due to continued slowdown in the economy resulting in the overall reduction in the demand for its products. Due to severe competition, the margins remained under pressure. Details about the performance as also the future outlook have been given under the head Functional Highlights and Management Discussion and Analysis in the annexed report on the Corporate Governance.

INDUSTRIAL RELATIONS

Industrial relations at all the units of the Company remained cordial during the year under review. The Directors wish to convey their sincere appreciation for the cooperation and support provided by the employees of the Company.

CORPORATE SOCIAL RESPONSIBILITY INITIATIVES

The Company is fully aware of its social responsibilities and is providing time to time assistance through the local institutions to benefit the local residents of the nearby areas, where the Company’s plants are located.

CORPORATE GOVERNANCE

Corporate Governance practices as required under clause 49 of the listing agreement of the Stock Exchanges are detailed in a separate chapter in this document. The Auditors Certificate on the compliance of Corporate Governance Code is attached as annexure and forms part of this report.

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10522883	09/09/2014 *	200,000,000.00	Punjab National Bank	74, Janpath, New Delhi, Delhi - 110001, INDIA	C25340852
2	10522884	02/09/2014	200,000,000.00	Punjab National Bank	74, Janpath, New Delhi, Delhi - 110001, INDIA	C23749518
3	10243773	14/03/2011 *	50,000,000.00	AXIS BANK LTD.	4/10, OPG HOUSE, ASAF ALI ROAD, NEW DELHI, Delhi - 110002, INDIA	B08609505
4	10181576	28/10/2009	24,000,000.00	IL & FS TRUST COMPANY LIMITED	IL & FS FINANCIAL CENTREPLOT NO C22 G BLOCK BANDRA , KURLA COMPLEX BANDRA EAST, MUMBAI, Maharashtra - 400051, INDIA	A71720189
5	80024656	20/10/2014 *	792,800,000.00	AXIS BANK LTD.	2ND FLOOR, STATESMAN HOUSE, 148, BARAKHAMBA ROAD, NEW DELHI, Delhi - 110001, INDIA	C33546706
6	90300471	31/01/1995 *	40,000,000.00	THE IND. FINANCE CORP. OF LTD.	BANK OF BARODA BLOG., 16 SANSAD MARG, NEW DELHI, Delhi - 110001, INDIA	-

* Date of charge modification

FIXED ASSETS

• Land
• Building
• Plant and Equipment
• Furniture and fixture
• Office Equipment
• Vehicle

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.62.44
UK Pound	1	Rs.98.15
Euro	1	Rs.77.38

INFORMATION DETAILS

Information Gathered by :	HNA
Analysis Done by :	RAS
Report Prepared by :	ART

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	6
--CREDIT LINES	1~10	5
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	YES
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		49

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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