MIRA INFORM REPORT

Report Date :

02.01.2015

IDENTIFICATION DETAILS

Name :	VRV AGENCY
Registered Office :	53A, Arakkonam Road, E.B. Office Cross Street, Near Indian Overseas Bank, Tiruttani - 631209, Tamilnadu
Country :	India
Financials (as on) :	31.03.2014
Date of Establishment :	06.04.2012
Capital Investment :	Rs. 15.115 Millions
TIN No.:	33901742735
PAN No.: [Permanent Account No.]	AAJFV7744B
Legal Form :	Partnership Concern with an Unlimited Liability of the Partners
Line of Business :	Dealer and Distributor of all products of HUL, Pepsico Products, Ruchi Edible Oils Products, Two Wheelers of TVS with A/c showroom for sales, service (automatic machinery), spares, extra fittings, water wash etc..
No. of Employees :	120 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (41)

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

Status :	Satisfactory
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject was established in order to merge a 60 years old family proprietary concern as a result of sudden demise of its proprietor. Consequently on April 06, 2012, the proprietary concern was successfully merged into the subject and is managed by well qualified family members as partners bearing a satisfactory track record. The concern possesses an acceptable financial profile marked by small capital base along with high working capital intensive operations resulting into huge anticipated debt. Management has witnessed an admissible revenue base whereas has reported low profit margin consequent to its limited value adding cum modest nature of its operations during FY14. However, trade relations are fair. Business is active. Payment terms are reported as slow but correct. In view of managing exclusive dealership and distributorship of reputed clients and executable calculative plans for expansion, the concern can be considered for business dealings at usual trade terms and conditions with some 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 – 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 PARTED BY

Name :	Mr. K.V. Balamurugan
Designation :	Partner
Contact No.:	91-9751597515
Date :	30.12.2014

LOCATIONS

Registered Office :	53A, Arakkonam Road, E.B. Office Cross Street, Near Indian Overseas Bank, Tiruttani - 631209, Tamilnadu, India
Tel. No.:	Not Available
Mobile No.:	91-9751597515 [Mr. K.V. Balamurugan]
Fax No.:	Not Available
E-Mail :	vrvagency16@gmail.com
Location :	Rented
Branch Office 1 :	No. 9/9, Sholinghur to Walaja Road, Padmapuram Village, Pallipattu Taluk, Vellore District - 631302, Tamilnadu, India
Branch Office 2 :	3/122 C, Koot Road, Ananthalia Madura, Keezhpudupet Village, Wallajah Taluk, Vellore District - 632513, Tamilnadu, India
Branch Office 3 :	5/48-A, TNBH, Jothi Nagar Post, Arakkonam, Tiruttani - 631003, Tamilnadu, India

PARTNERS

Name :	Mr. K.V. Balamurugan
Designation :	Partner
Address :	No. 2, Murugappan Street, Stuartpet, Arakkonam, Vellore – 631001, Tamilnadu, India
Date of Birth/Age :	16.08.1967
Qualification :	M. Tech
PAN No.:	AUBPB3740K
Voter ID :	SVN0117051
Name :	Mrs. B. Mohana
Designation :	Partner
Address :	No. 2, Murugappan Street, Stuartpet, Arakkonam, Vellore – 631001, Tamilnadu, India
Date of Birth/Age :	04.04.1974
Qualification :	B. A.
PAN No.:	ASZPM7405N
Voter ID :	SVN0117028
Name :	Mr. K. Vadivelu
Designation :	Partner
Address :	No. 2, Murugappan Street, Stuartpet, Arakkonam, Vellore – 631001, Tamilnadu, India
Date of Birth/Age :	01.06.1939
Qualification :	PUC
PAN No.:	APHPV4257N
Voter ID :	SVN0117044

BUSINESS DETAILS

Line of Business :	Dealer and Distributor of all products of HUL, Pepsico Products, Ruchi Edible Oils Products, Two Wheelers of TVS with A/c showroom for sales, service (automatic machinery), spares, extra fittings, water wash etc..
Brand Names :	--
Agencies Held :	--
Exports :	Not Available
Imports :	Not Available
Terms :
Selling :	Credit
Purchasing :	Cash

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 :

Wholesalers, Retailers and End Users

Reference:	Pepsico Limited
Name of the Person (Designation):	Mr. Jayan [Purchase Department]
Contact Number:	91-9791691618
Since how long known:	6 Months
Maximum limit dealt:	Rs. 0.150 Million [As per requirement]
Experience:	Product Quality = Good Delivery Behaviour = Good
Remark	Providing good service and having satisfactory trade record in business transaction.

Reference:	TVS Motor Company Limited
Name of the Person (Designation):	Mr. Raman [Sales Officer]
Contact Number:	91-9445231880 [Not Receiving]
Since how long known:	Not Divulged
Maximum limit dealt:	Not Divulged
Experience:	Not Divulged
Remark	Not Divulged

No. of Employees :

120 (Approximately)

Bankers :

Bank Name:	Indian Bank
Branch:	Arakkonam Branch, Tamilnadu, India
Person Name (with Designation):	B. Thiagarajan [Cheif Manager]
Contact Number:	91-9442504955
Name of Account Holder:	VRV Agency
Account Number:	6028790527
Account Since (Date/ Year of A/c Opening):	18.04.2012
Average Balance Maintained (Optional):	Rs. 0.374 Million
Credit Facilities Enjoyed (CC/OD/Term Loan):	Nil
Account Operation:	Satisfactory
Remarks: Account is in order.

· Indian Overseas Bank [For TVS]

Address: Sholinghur, Tamilnadu, India

Account No.: 162802000000132

· Indian Overseas Bank [For Pepsi and Ruchi Edible Oils]

Address: Tiruttani, Tamilnadu, India

Account No.: 140502000001230

· Indian Overseas Bank [For HUL]

Address: Tiruttani, Tamilnadu, India

Account No.: 140502000002022

· Indian Overseas Bank [For TVS]

Address: Kodaikkal, Tamilnadu, India

Account No.: 078202000001581

· Tamilnad Mercantile Bank Limited

Address: TRS Towers, Sholinghur Road, Arakkonam, Tamilnadu, India

Account No.: 193150360865002

Branch Phone No.: 91-4177-230711

Facilities :

Cash Credit: Rs. 62.500 Millions [Rs. 58.500 Millions + Rs. 4.000 Millions Adhoc.]

Auditors :
Name :	W.A.P. Thiruthuva Doss Chartered Accountants
Address :	672/1, Penial Complex, RTO Road, Phase II, Sathuvachari, Vellore – 632009, Tamilnadu, India
Associates/Subsidiaries :	Not Available

CAPITAL STRUCTURE

AS ON 31.03.2014

Capital Investment :
Owned :	Rs. 15.115 Millions
Borrowed :	--
Total :	Rs. 15.115 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

Note : Sole Proprietary and Partnership concerns are exempted from filing their financials with the Government Authorities or Registry.

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2014	31.03.2013
SHAREHOLDERS FUNDS
1] Partners Capital		15.115	7.754
2] Share Application Money		0.000	0.000
3] Profit & Loss Account		0.000	0.000
4] (Accumulated Losses)		0.000	0.000
NETWORTH		15.115	7.754
LOAN FUNDS
1] Secured Loans		0.000	20.874
2] Unsecured Loans		24.435	0.000
TOTAL BORROWING		24.435	20.874
DEFERRED TAX LIABILITIES		0.000	0.000
TOTAL		39.550	28.628
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		7.326	8.644
Capital work-in-progress		0.000	0.000
INVESTMENT		0.000	0.000
DEFERRED TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	54.903	15.831
	Sundry Debtors	11.565	2.025
	Cash & Bank Balances	0.071	1.678
	Other Current Assets	0.341	0.000
	Loans & Advances	0.450	0.450
Total Current Assets		67.330	19.984
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	0.000	0.000
	Other Current Liabilities	35.106	0.000
	Provisions	0.000	0.000
Total Current Liabilities		35.106	0.000
Net Current Assets		32.224	19.984
MISCELLANEOUS EXPENSES		0.000	0.000
TOTAL		39.550	28.628

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013
	SALES
		Sales	386.098	39.178
		Other Income	1.829	0.341
		TOTAL (A)	387.927	39.519
Less	EXPENSES
		Cost of Goods sold	365.833	34.619
		Carriage Inwards	0.281	0.000
		Labour Charges	0.520	0.000
		Salary and Wages	8.496	0.720
		Bonus	0.708	0.050
		Rent	0.655	0.630
		Telephone Charges	0.121	0.000
		Travelling Expenses	0.640	0.104
		Discount allowed	1.044	0.000
		Repairs and Maintenance	0.516	0.134
		Sales Promotion Expenses	0.732	0.000
		Interest to Bank IOB Tiruttani CC	2.340	0.000
		IOB Sholingar CC	1.615	0.000
		IOB Tiruttani Adhoc	0.138	0.000
		Bank Charges	0.174	0.045
		Insurance	0.176	0.174
		Interest to Partners Capital	0.930	0.720
		Partners Remuneration	0.720	0.710
		Other Expenses	0.253	0.984
		TOTAL	385.892	38.890
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		2.035	0.629
Less/ Add	DEPRECIATION/ AMORTISATION		1.318	0.305
	NET PROFIT		0.717	0.324

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013
Net Profit Margin (PAT/Sales)	(%)	0.19	0.83
Return on Total Assets (PBT/Total Assets}	(%)	0.96	1.13
Return on Investment (ROI) (PBT/Networth)		0.05	0.04
Debt Equity Ratio (Total Debt/Networth)		1.62	2.69
Current Ratio (Current Asset/Current Liability)		1.92	0.00

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particulars	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)
Partners’ Capital	7.754	15.115
Profit and Loss Account	0.000	0.000
Net worth	7.754	15.115
Secured Loans	20.874	0.000
Unsecured Loans	0.000	24.435
Total borrowings	20.874	24.435
Debt/Equity ratio	2.692	1.617

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)
Sales	39.178	386.098
		885.497

NET PROFIT MARGIN

Net Profit Margin	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)
Sales	39.178	386.098
Profit	0.324	0.717
	0.83%	0.19%

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 two years	Yes
12]	Profitability for last two 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	No
17]	Major suppliers	No
18]	Major customers	Yes
19]	Payments terms	Yes
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	Yes
26]	Buyer visit details	Yes
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	No
29]	Last accounts filed at ROC	Yes
30]	Major Shareholders, if available	No
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	Yes
34]	External Agency Rating, if available	No

------------------------------------------------------------------------------------------------------------------------------

UNSECURED LOANS

(RS. IN MILLIONS)

PARTICULARS	31.03.2014
Unsecured loans from Friends and Family Members	24.435
Total	24.435

------------------------------------------------------------------------------------------------------------------------------

STATEMENT OF INCOME FOR INCOME TAX PURPOSES

(RS. IN MILLIONS)

PARTICULARS	31.03.2014
INCOME FROM BUSINESS
Net Profit as per Profit and Loss Account		0.717
Add: The following items as per 44AB Report
- Pooja Expenses	0.005
- Donation	0.001
- Telephone Charges	0.012
- Travelling Expenses	0.064
- General Expenses	0.007	0.089
		----------------
TAXABLE INCOME		0.806
INCOME TAX PARTICULARS
Income Tax on Taxable Income		0.242
Add: Education Cess @ 3%		0.007
		----------------
		0.249
Add: Interest u/s 234A	0.005
u/s 234B	0.017
u/s 234C	0.009	0.031
		----------------
		0.280
Less: TDS [Form 26AS]	0.007
Tax Paid u/s 140A	0.273	0.280
		----------------
Balance Refundable		0.000

------------------------------------------------------------------------------------------------------------------------------

ASSESSMENT OF WORKING CAPITAL REQUIREMENTS

OPERATING STATEMENT

(RS. IN MILLIONS)

SR. NO.	PARTICULARS	2014-15 Estimated	2015-16 Projected	2016-17 Projected	2017-18 Projected
1	GROSS SALES
	- Domestic Sales	466.250	651.000	781.200	937.500
	- Other Receipts	0.000	0.000	0.000	0.000
	Total	466.250	651.000	781.200	937.500
2	Less: Excise Duty	0.000	0.000	0.000	0.000
3	Net Sales [1-2]	466.250	651.000	781.200	937.500
4	% rise [+] or fall [-] in net sales as compared to previous year	20.19%	39.62%	20.00%	20.01%
5	Cost of Sales
i	Raw Material
	- Imported	0.000	0.000	0.000	0.000
	- Indigenous	504.776	608.413	729.874	875.849
ii	Other Spares
	- Imported	0.000	0.000	0.000	0.000
	- Indigenous	0.000	0.000	0.000	0.000
iii	Power and Fuel	0.000	0.000	0.000	0.000
iv	Employee Costs [Factory wages and Salaries]	0.676	1.086	1.305	1.494
v	Carriage Inwards	0.375	0.651	0.781	0.883
vi	Depreciation	0.953	0.759	0.638	0.552
vii	Sub-total [i to vi]	506.780	610.909	732.598	878.778
viii	Add: Opening Stock-in-Process	0.000	0.000	0.000	0.000
	Sub-total	506.780	610.909	732.598	878.778
ix	Deduct: Closing Stock-in-Process	0.000	0.000	0.000	0.000
x	Cost of Production	506.780	610.909	732.598	878.778
xi	Add: Opening stock of Finished Goods	54.903	122.300	123.300	124.300
	Sub-total	561.683	733.209	855.898	1003.078
xii	Deduct: Closing stock of Finished Goods	122.300	123.300	124.300	125.300
xiii	Sub-total [Total Cost of Sales]	439.383	609.909	731.598	877.778
6	Selling, General and Admin. Expenses	17.367	24.191	31.802	41.022
7	Sub-total [5+6]	456.750	634.100	763.400	918.800
8	Operating profit before interest	9.500	16.900	17.800	18.700
	Interest on Term loan	0.000	0.000	0.000	0.000
	Interest on Working Capital	6.500	13.000	13.000	13.000
	Other Interest	0.000	0.000	0.000	0.000
9	Interest	6.500	13.000	13.000	13.000
10	Operating profit after interest [8-9]	3.000	3.900	4.800	5.700
11	i. Add: Other non-operating Income
	- Duty draw back and DEPB	0.000	0.000	0.000	0.000
	- Profit on Invst. Redemption	0.000	0.000	0.000	0.000
	- Miscellaneous	0.000	0.000	0.000	0.000
	Sub-total [Income]	0.000	0.000	0.000	0.000
	ii. Deduct: Other non-operating Expenses
	- Exchange loss, if any	0.000	0.000	0.000	0.000
	- Miscellaneous Expenses	0.000	0.000	0.000	0.000
	Sub-total [Expenses]	0.000	0.000	0.000	0.000
	iii. Net of Other non-operating Income/ Expenses [Net of 11[i] and 11[ii]]	0.000	0.000	0.000	0.000
12	Profit before tax/ [loss] 10+11 [iii]	3.000	3.900	4.800	5.700
13	Provision for taxes	0.000	0.000	0.000	0.000
14	Net Profit/ (Loss) [12-13]	3.000	3.900	4.800	5.700
15	- Equity dividend paid	0.000	0.000	0.000	0.000
	- Dividend rate	--	--	--	--
16	Retained Profit [14-15]	3.000	3.900	4.800	5.700
17	Retained Profit/ Net Profit [%]	100.00%	100.00%	100.00%	100.00%
18	Cash Accruals	3.953	4.659	5.438	6.252

------------------------------------------------------------------------------------------------------------------------------

ANALYSIS OF BALANCE SHEET

(RS. IN MILLIONS)

SR. NO.	PARTICULARS	2014-15 Estimated	2015-16 Projected	2016-17 Projected	2017-18 Projected
	CURRENT LIABILITIES
1	Short term borrowings from bank (including Bills purchased, discounted and excess borrowings placed on repayment basis)
	(i) From applicant bank	92.500	92.500	92.500	92.500
	(ii) From other banks	0.000	0.000	0.000	0.000
	(iii) of which BP and BD	0.000	0.000	0.000	0.000
	Sub Total (A)	92.500	92.500	92.500	92.500
2	Short term borrowings from others	0.000	0.000	0.000	0.000
3	Sundry Creditors (Trade)	1.000	1.200	1.500	1.600
4	Advance payments/ deposits from customers	0.000	0.000	0.000	0.000
5	Provision for taxation and Gratuity	0.000	0.000	0.000	0.000
6	Dividend Payable	0.000	0.000	0.000	0.000
7	Other statutory liabilities (due within one year)	0.000	0.000	0.000	0.000
8	Deposits/ Instalments of term loan/ DPGs/ Debentures etc. (due within one year)	0.000	0.000	0.000	0.000
9	Other current liabilities and Provisions (due within one year)	0.000	0.000	0.000	0.000
	Sub-total (B)	1.000	1.200	1.500	1.600
10	TOTAL CURRENT LIABILITIES	93.500	93.700	94.000	94.100
	TERM LIABILITIES
11	Debentures (not maturing within one year)	0.000	0.000	0.000	0.000
12	Preference Shares (redeemable after one year)	0.000	0.000	0.000	0.000
13	Term loans (excluding instalments payable within one year)	0.000	0.000	0.000	0.000
14	Unsecured Loans [excluding repayments due within one year]	0.000	0.000	0.000	0.000
15	Term deposits payable after one year	0.000	0.000	0.000	0.000
16	Other term liabilities	0.000	0.000	0.000	0.000
17	TOTAL TERM LIABILITIES [Total of 11 to 16]	0.000	0.000	0.000	0.000
18	TOTAL OUTSIDE LIABILITIES [10 + 17]	93.500	93.700	94.000	94.100
	NET WORTH
19	Ordinary Share Capital	18.115	22.015	26.815	32.515
20	Family Creditors	23.600	23.600	23.600	23.600
21	Revaluation reserve	0.000	0.000	0.000	0.000
22	Other reserves [excluding provision]	0.000	0.000	0.000	0.000
23	Surplus (+) or deficit (-) in Profit and Loss Account	0.000	0.000	0.000	0.000
24	NET WORTH	41.715	45.615	50.415	56.115
25	TOTAL LIABILITIES [18 + 24]	135.215	139.315	144.415	150.215
	ASSETS
	CURRENT ASSETS
26	Cash and Bank balances	0.092	0.151	0.189	0.241
27	Investments [Other than long term]
	- Government and Other Trustee Securities	0.000	0.000	0.000	0.000
	- Fixed deposits with banks	0.000	0.000	0.000	0.000
28	- Receivables other than deferred and Exports [Including bills purchases and Discounted with banks]	6.000	9.800	14.500	19.800
	- Export receivables [including bills purchased/ discounted with banks]	0.000	0.000	0.000	0.000
29	Installments of deferred receivables [due within one year]	0.000	0.000	0.000	0.000
30	Inventory:
	i. Raw materials
	Packing Credit: - Imported	0.000	0.000	0.000	0.000
	- Indigenous	0.000	0.000	0.000	0.000
	Other Stock: - Imported	0.000	0.000	0.000	0.000
	- Indigenous	0.000	0.000	0.000	0.000
	ii. Stock-in-process	0.000	0.000	0.000	0.000
	iii. Finished Goods	122.300	123.300	124.300	125.300
	iv. Other consumable spares
	- Imported	0.000	0.000	0.000	0.000
	- Indigenous	0.000	0.000	0.000	0.000
31	Advance to suppliers of Raw materials and spares	0.000	0.000	0.000	0.000
32	Advance payment of taxes	0.000	0.000	0.000	0.000
33	Other Current Assets	0.000	0.000	0.000	0.000
34	TOTAL CURRENT ASSETS	128.392	133.251	138.989	145.341
	FIXED ASSETS
35	Gross Block	7.326	6.373	5.614	4.976
36	Depreciation to date	0.953	0.759	0.638	0.552
37	NET BLOCK	6.373	5.614	4.976	4.424
	OTHER NON-CURRENT ASSETS
38	Investments/ book debts/ advances deposits which are not current assets
	i.(a) Investments in subsidiary companies/ affiliates	0.000	0.000	0.000	0.000
	(b) Others	0.000	0.000	0.000	0.000
	ii. Advances to suppliers of capital goods and contractors	0.000	0.000	0.000	0.000
	iii. Deferred receivables (maturity exceeding one year)	0.000	0.000	0.000	0.000
	iv. Other non-current assets	0.450	0.450	0.450	0.450
39	Non consumables stores and spares	0.000	0.000	0.000	0.000
40	Other non-current assets including dues from directors	0.000	0.000	0.000	0.000
41	TOTAL OTHER NON-CURRENT ASSETS	0.450	0.450	0.450	0.450
42	Intangible assets (patents, goodwill, prelim, expenses, bad/ doubtful debts not provided for etc.)	0.000	0.000	0.000	0.000
43	TOTAL ASSETS	135.215	139.315	144.415	150.215
44	TANGIBLE NET WORTH [24-42]	41.715	45.615	50.415	56.115
45	NET WORKING CAPITAL [(17+24) – (37+41+42)]	34.892	39.551	44.989	51.241
46	Current Ratio [34/10]	1.37	1.42	1.48	1.54
47	TOTAL OUTSIDE LIABILITIES / NET WORTH (18/44)	2.24	2.05	1.86	1.68
	ADDITIONAL INFORMATION
	A. Arrears of depreciation	--	--	--	--
	B. Contingent Liabilities:
	(a) Arrears of cumulative dividends	--	--	--	--
	(b) Gratuity liability not provided for	--	--	--	--
	(c) Disputed excise/ customs/tax liabilities	--	--	--	--
	(d) Other liabilities not provided for	--	--	--	--

------------------------------------------------------------------------------------------------------------------------------

FUNDS FLOW STATEMENT

(RS. IN MILLIONS)

SR. NO.	PARTICULARS	2014-15 Estimated	2015-16 Projected	2016-17 Projected	2017-18 Projected
1	SOURCES
	[a] Net Profit (before tax)	3.000	3.900	4.800	5.700
	[b] Depreciation	0.953	0.759	0.638	0.552
	[c] Increase in Capital	3.000	3.900	4.800	5.700
	[d] Increase in Term Liabilities	0.000	0.000	0.000	0.000
	Increase/ [Decrease] in Term Loan	0.000	0.000	0.000	0.000
	[e] Decrease in
	- Fixed Assets	0.000	0.000	0.000	0.000
	- Other non-current assets	0.000	0.000	0.000	0.000
	[f] Others: Increase in Reserves	0.000	0.000	0.000	0.000
	[g] Decrease in intangible assets	0.000	0.000	0.000	0.000
	TOTAL	6.953	8.559	10.238	11.952
2	USES
	[a] Net Loss	0.000	0.000	0.000	0.000
	Decrease in Reserves	3.835	3.900	4.800	5.700
	[b] Decrease in Term Liabilities	0.000	0.000	0.000	0.000
	Repayment of Term Loan	0.000	0.000	0.000	0.000
	[c] Increase in:
	- Fixed Assets	0.000	0.000	0.000	0.000
	- Other non-current assets	0.000	0.000	0.000	0.000
	[d] Dividend payments	0.000	0.000	0.000	0.000
	[e] Others: Increase in Intangible assets	0.000	0.000	0.000	0.000
	[f] Income Tax	0.000	0.000	0.000	0.000
	TOTAL	3.835	3.900	4.800	5.700
3	Long Term Surplus (+) / Deficit (-) [1-2]	3.118	4.659	5.438	6.252
4	Increase/ [decrease] in current assets	(61.491)	(4.800)	(5.700)	(6.300)
5	Increase/ [decrease] in Current liabilities other than Bank borrowings	1.000	0.200	0.300	0.100
6	Increase/ [decrease] in working capital	60.512	4.659	5.438	6.252
7	Net Surplus (+) / Deficit (-) [Difference of 3 and 6]	(57.394)	0.000	0.000	0.000
8	Increase/ [decrease] in Bank Borrowing	57.394	0.000	0.000	0.000
	SHORT TERM SOURCE	64.300	0.200	0.300	0.100
	SHORT TERM USES	67.418	4.859	5.738	6.352
	SHORT TERM [SURPLUS] / DEFICIT	(3.118)	(4.659)	(5.438)	(6.252)

------------------------------------------------------------------------------------------------------------------------------

COMPARATIVE STATEMENT OF CURRENT ASSETS & CURRENT LIABILITIES

(RS. IN MILLIONS)

SR. NO.	PARTICULARS	2014-15 Estimated	2015-16 Projected	2016-17 Projected	2017-18 Projected
	A. CURRENT ASSETS
1	Raw Materials [Including stores and other spares used in the process of manufacturing]
	a. Imported: [Packing Credit]	0.000	0.000	0.000	0.000
	Imported: [Other Stock]	0.000	0.000	0.000	0.000
	Months consumption	--	--	--	--
	b. Indigenous: [Packing Credit]	0.000	0.000	0.000	0.000
	Indigenous: [Other Stock]	0.000	0.000	0.000	0.000
	Months consumption	0.00	0.00	0.00	0.00
	TOTAL	0.000	0.000	0.000	0.000
	Months consumption	0.00	0.00	0.00	0.00
2	Other consumable stores, excluding those included in 1 above
	- Imported	0.000	0.000	0.000	0.000
	- Indigenous	0.000	0.000	0.000	0.000
3	Stocks in process	0.000	0.000	0.000	0.000
	Months Cost of production	0.00	0.00	0.00	0.00
4	Finished Goods	122.300	123.300	124.300	125.300
	Months Cost of Sales	(3.34)	(2.43)	(2.04)	(1.71)
5	Receivable other than export and deferred receivables [including bills purchased and discounted by bankers]	6.000	9.800	14.500	19.800
	Months domestic sales	(0.15)	(0.18)	(0.22)	(0.25)
6	Export receivables [including bills purchased and discounted]	0.000	0.000	0.000	0.000
	Months Export Sales	0.00	0.00	0.00	0.00
7	Advances to suppliers of raw materials stores/ spares consumables	0.000	0.000	0.000	0.000
8	Other current assets including cash and bank balances and deferred receivables due within one year [specify major items]	0.092	0.151	0.189	0.241
9	TOTAL CURRENT ASSETS [To agree with item 34 in Form III]	128.392	133.251	138.989	145.341
	B. CURRENT LIABILITIES (Other than bank borrowings for working capital)
10	Creditors for purchase of raw materials, stores and consumable spares	1.000	1.200	1.500	1.600
	Months purchase	(0.02)	(0.02)	(0.02)	(0.02)
11	Advance from customers	0.000	0.000	0.000	0.000
12	Statutory liabilities	0.000	0.000	0.000	0.000
13	Other current liabilities [specify major items] Short term borrowing unsecured loans, dividend payable instalments of TL, DPG, Public deposits, debentures etc.	0.000	0.000	0.000	0.000
14	Provision for Taxation and Gratuity	0.000	0.000	0.000	0.000
15	TOTAL [To agree with sub-total B Form III]	1.000	1.200	1.500	1.600

------------------------------------------------------------------------------------------------------------------------------

COMPUTATION OF BANK FINANCE

(RS. IN MILLIONS)

SR. NO.	PARTICULARS	2014-15 Estimated	2015-16 Projected	2016-17 Projected	2017-18 Projected
1	Total Current Assets [9 in Form IV]	128.392	133.251	138.989	145.341
2	Other Current Liabilities [Other than bank borrowing] [14 of Form IV]	1.000	1.200	1.500	1.600
3	Working Capital Gap [WCG] [1-2]	127.392	132.051	137.489	143.741
4	Minimum stipulated net working capital i.e. 25% of WCG/ 25% of total current assets as the case may be depending upon the method of lending being applied [Export receivables to be excluded under both methods]	32.098	33.313	34.747	36.335
5	Actual / Projected net working capital [45 in Form III]	34.892	39.551	44.989	51.241
6	Item 3 minus item 4	95.294	98.738	102.742	107.406
7	Item 3 minus item 5	92.500	92.500	92.500	92.500
8	Maximum Permissible Bank Finance [Item 6 or 7 whichever is lower]	92.500	92.500	92.500	92.500
9	Actual/ Projected Bank Borrowings	92.500	92.500	92.500	92.500
10	Excess borrowing representing shortfall in WCG	0.000	0.000	0.000	0.000

------------------------------------------------------------------------------------------------------------------------------

FINANCIAL INDICATORS

(RS. IN MILLIONS)

PARTICULARS	2014-15 Estimated	2015-16 Projected	2016-17 Projected	2017-18 Projected
Capital	18.115	22.015	26.815	32.515
Reserves and Surplus	23.600	23.600	23.600	23.600
Accumulated Losses	0.000	0.000	0.000	0.000
Tangible Networth	41.715	45.615	50.415	56.115
Net Working Capital	34.892	39.551	44.989	51.241
Current Ratio	1.37	1.42	1.48	1.54
Net Sales	466.250	651.000	781.200	937.500
[of which Export Sales]	0.000	0.000	0.000	0.000
[of which DDB receipts]	0.000	0.000	0.000	0.000
Operating Profit	3.000	3.900	4.800	5.700
Other Income	0.000	0.000	0.000	0.000
Profit before Tax	3.000	3.900	4.800	5.700
Profit after Tax	3.000	3.900	4.800	5.700
Deprecation	0.953	0.759	0.638	0.552
Operating Profit: Net Sales	0.64%	0.60%	0.61%	0.61%
Profit before Tax: Net Sales	0.64%	0.60%	0.61%	0.61%
Profit after Tax: Net Sales	0.64%	0.60%	0.61%	0.61%
Bank Borrowings: Net Sales [%]	19.84%	14.21%	11.84%	9.87%
Total Outside Liabilities/ Tangible Networth	2.24	2.05	1.86	1.68
Debt/ Equity	0.00	0.00	0.00	0.00
PBDIT	10.453	17.659	18.438	19.252
PBDIT / Net Sales [%]	2.24	2.71	2.36	2.05
Raw Material consumption/ Net Sales [%]	108.26	93.46	93.43	93.42
Employee Cost/ Net Sales [%]	0.14	0.17	0.17	0.16
Factory Overheads/ Net Sales [%]	0.08	0.10	0.10	0.09
Cost of Production/ Net Sales [%]	108.69	93.84	93.78	93.74
Cost of Sales/ Net Sales [%]	94.24	93.69	93.65	93.63
Selling and admin. Overheads/ Net Sales [%]	3.72	3.72	4.07	4.38
Bank borrowings/ Total Current Assets [%]	72.04	69.42	67.00	63.64
[Inventories + Receivables]/ Bank Borrowings	138.70	143.89	150.05	156.86
[Inventories + Receivables]/ Total CA	99.93	99.89	99.86	99.83
Cash Accruals/ Net Sales	0.85	0.72	0.70	0.67

PARTICULARS	2014-15 Estimated	2015-16 Projected	2016-17 Projected	2017-18 Projected
Capital	18.115	22.015	26.815	32.515
Reserves and Surplus	23.600	23.600	23.600	23.600
Intangible assets/ Accumulated Losses	0.000	0.000	0.000	0.000
Tangible Networth	41.715	45.615	50.415	56.115
Long term Loans from Banks / FIs	0.000	0.000	0.000	0.000
Debenture/ Bonds/ FCCB etc.	0.000	0.000	0.000	0.000
Unsecured Loans	0.000	0.000	0.000	0.000
Total Capital funds	41.715	45.615	50.415	56.115
Current Assets	128.392	133.251	138.989	145.341
Current Liabilities	93.500	93.700	94.000	94.100
NWC	34.892	39.551	44.989	51.241
Gross Block	7.326	6.373	5.614	4.976
Net Block	6.373	5.614	4.976	4.424
Investment	0.000	0.000	0.000	0.000
Non-Current Assets	0.450	0.450	0.450	0.450
Net Sales	466.250	651.000	781.200	937.500
- of which exports	0.000	0.000	0.000	0.000
Other Income	0.000	0.000	0.000	0.000
PBDIT	10.453	17.659	18.438	19.252
NPBT / [Loss]	3.000	3.900	4.800	5.700
NPAT / [Loss]	3.000	3.900	4.800	5.700
Net Profit / Capital Employed [%]	7.19	8.55	9.52	10.16
Interest	6.500	13.000	13.000	13.000
Depreciation	0.953	0.759	0.638	0.552
Cash Accruals	3.953	4.659	5.438	6.252
RATIOS
Current Ratio	1.37	1.42	1.48	1.54
TOL/ TNW	2.24	2.05	1.86	1.68
DER	0.00	0.00	0.00	0.00
PBDIT/ Sales [%]	2.24	2.71	2.36	2.05
NPBT/ Net Sales [%]	0.64	0.60	0.61	0.61
Term Debt/ PBDIT	0.00	0.00	0.00	0.00
PBDIT/ Interest	1.61	1.36	1.42	1.48
PAT/ Equity [Return on Equity]	0.07	0.09	0.10	0.10
Inventory Turnover	0.381	0.528	0.628	0.748
Debtors Velocity	7.771	6.643	5.388	4.735
Creditors Velocity	50.478	50.701	48.658	54.741
Inventory + Receivables – Bills discounted/ Sales	0.28	0.20	0.18	0.15

------------------------------------------------------------------------------------------------------------------------------

STATEMENT OF PERSONAL ASSETS AND LIABILITIES

MR. K.V BALAMURUGAN

(RS. IN MILLIONS)

DESCRIPTION OF IMMOVABLE PROPERTY

DESCRIPTION	ADDRESS	OWNED / ANCESTRAL	MARKET VALUE	ENCUMBRANCE, IF ANY, FOR LOAN AVAILES AND AMOUNT
Residential Building	Plot No. 95, Block No. 5, S.No. 334, Part B-type, TNHB Urban Development Project III, Burner Salai, 23^rd Street, J.J. Nagar East, Mugappair Village, Ambatur Taluk	Owned	6.571	IOB
30485 Sq. ft. of Vacant Site	Maraimalai Nagar, Chennai	Owned	300.000	Nil
TOTAL [A]			306.571

OTHER LIQUID ASSETS – DESCRIPTION AND VALUE

DESCRIPTION	AMOUNT IN MILLIONS
LIC	1.000
Maruthi Car	1.200
Investment in the Business VRV Agency, Arakkonam and Tiruttani	4.872
Cash and Bank Balance	0.150
TOTAL [B]	7.222

LIABILITIES

DESCRIPTION	AMOUNT IN MILLIONS
Vehicle Loan, BOB, Vellore	0.950
TOTAL [C]	0.950

NETWORTH [A + B - C]

312.843

------------------------------------------------------------------------------------------------------------------------------

STATEMENT OF PERSONAL ASSETS AND LIABILITIES

MRS. B. MOHANA

(RS. IN MILLIONS)

DESCRIPTION OF IMMOVABLE PROPERTY

DESCRIPTION	ADDRESS	OWNED / ANCESTRAL	MARKET VALUE	ENCUMBRANCE, IF ANY, FOR LOAN AVAILES AND AMOUNT
1500 Sq. ft. Residential Flat	S. No. 75/3B, 76/1E, Plot No. 33, Arakkonam	Owned	2.800	Nil
1500 Sq. ft. Residential Flat	S. No. 336/3A, Plot No. 16, Arakkonam	Owned	3.100	Nil
1726 Sq. ft. Residential Flat	S. No. 208/13A, Arakkonam to Tiruttani High Road, No.4, Stuartpet, Arakkonam Town and Taluk	Owned	29.900	IOB
1800 Sq. ft. Residential Flat	S. No. 403/1B1A, Plot No. 96, 6^th Street, Perumuchi Village, Arakkonam Taluk	Owned	16.300	IOB
58599 Sq. ft. House Plots	S. No. 108/1, 2A, 2B, 3-6, 8A, 8B, 8C and 9, V.K.N. Kandigai Villagem Tiruttani Taluk	Ancestral	17.579	IOB
42178 Sq. ft. House Plots	S. No. 108/1, 2A, 2B, 3-6, 8A, 8B, 8C and 9, V.K.N. Kandigai Villagem Tiruttani Taluk	Ancestral	12.653	IOB
24749 Sq. ft. House Plots	S. No. 108/1, 2A, 2B, 3-6, 8A, 8B, 8C and 9, V.K.N. Kandigai Villagem Tiruttani Taluk	Ancestral	7.424	IOB
TOTAL [A]			89.756

OTHER LIQUID ASSETS – DESCRIPTION AND VALUE

DESCRIPTION	AMOUNT IN MILLIONS
HDFC Insurance	1.000
LIC	0.100
Tata Ace	0.300
Gold	0.800
Silver	0.300
Investment in the Business VRV Agency – Arakkonam and Tiruttani	5.372
Cash and Bank Balance	0.130
TOTAL [B]	8.002

LIABILITIES

DESCRIPTION	AMOUNT IN MILLIONS
Nil	0.000
TOTAL [C]	0.000

NETWORTH [A + B - C]

97.758

------------------------------------------------------------------------------------------------------------------------------

STATEMENT OF PERSONAL ASSETS AND LIABILITIES

MR. K. VADIVELU

(RS. IN MILLIONS)

DESCRIPTION OF IMMOVABLE PROPERTY

DESCRIPTION	ADDRESS	OWNED / ANCESTRAL	MARKET VALUE	ENCUMBRANCE, IF ANY, FOR LOAN AVAILES AND AMOUNT
15273 Sq. ft. Residential Land and Commercial Building	S. No. 68/2B4, D. No. 2/12, Alinjivakkam Road, Alinjivankkam Village, Ponneri Tk, Tiruvallur Dt.	Owned	80.892	IOB
TOTAL [A]			80.892

OTHER LIQUID ASSETS – DESCRIPTION AND VALUE

DESCRIPTION	AMOUNT IN MILLIONS
Sumo Gold	1.100
Investment in the Business VRV Agency, Arakkonam and Tiruttani	4.872
Cash and Bank Balance	0.100
TOTAL [B]	6.072

LIABILITIES

DESCRIPTION	AMOUNT IN MILLIONS
Vehicle Loan, BOB Ranipet	0.800
TOTAL [C]	0.800

NETWORTH [A + B - C]

86.164

------------------------------------------------------------------------------------------------------------------------------

PROJECT REPORT

EXISTING LOAN AVAILED

a) Indian Bank, Arakonam Branch, Current Account: 6028790527 (No Limit).

b) IOB, Thiruttani Branch, Current Account: 2022, CC Limit: Rs. 46.067 Millions

c) IOB, Sholinghur Branch, Current Account: 0132, CC Limit: Rs. 12.500 Millions

d) TMB, Arakonam Branch, (No Limit).

e) IOB, Arakonam Branch (No Limit).

f) IOB, Kodaikal Branch [No Limit]

LIMITS FROM IOB (THIRUTANI AND SHOLINGHUR BRANCHES)

They got approved from Crisil for HUL and from Onicra for TVS and during 28.12.2012 got sanction of limit C.C. for Rs.25.000 Millions for both HUL Thirutani and TVS Sholinghur and during 01.08.2013 additional C.C. of Rs.3.00 Millions and during 30.01.2014 additional C.C. of 7.000 Millions totaling limit C.C. of Rs.35.000 Millions by MOD of 3 properties as mentioned below.

1) Land, 1726 Sq. ft. Gandhi Road Owned by Partner Mrs. B. Mohana w/o K.V. Balamurugan.

2) TNHB House at Mogappair, Chennai owned by Managing Partner Mr. K.V. Baiamurugan, M. Tech.

3) 15260 Sq. ft. Land with building Sholavaram Chennai owned by partner Mr. K. Vadiveiu father of K.V. Balamurugan.

EXISTING BUSINESS

a) TVS Direct Dealer in (International Company approved by Onicra Agency) Sholinghur upto Ranipet, Arakonam, Thiruttani etc. They are proud to say the they have complete infrastructure in 10 ground area building, A/c showroom for sales, service (automatic machinery), spares, extra fittings, water wash etc. They have huge potential for e.g. T.V.S. Group of Companies with more than 50000 TVS company employees, Bharathi Bus Group of Companies (Approved by Crisil) etc. and Onicra Agency.

b) They are dealers of India’s Best Edible Oil Company Ruchi Edible Oils for entire surrounding Ranipet, Wallajah, Arcot, Sholinghur, Arakkonam, Tiruttani surrounding areas.

c) They are dealers of Internation Company Pepsi for entire surrounding going to start at the earliest in and around Wallajah.

d) Hindustan Unilever Limited Dealer [International Comapny] in Arakkonam Town and Taluk upto Sholinghur, Thiruttani, Kanchhipuram, Thiruvallur etc. More than 600 shops are covered daily with complete infrastructure as per rules and regulations of HUL with their own Capital and CC approved by Crisil.

e) Hindustan Unilever Limited Dealer [International Company] in Thiruttani Town and Taluk upto Sholinghur, Arakkonam, Thiruvallur etc. More than 300 Shjops are covered daily with their own capital and Bank CC.

They are proud to say that,

They are the continuous “Gold Winner” in entire South India [Approved by Crisil].

f) From 01.04.2013 – 31.03.2014 till date their present turnover is around Rs. 380.000 Millions.

g) Planned Businesses

· They are working to expand Ruchi Edible Oils from Arcot [Existing] to Velloew upto Thirupattur

· They are working to get Philips Lighting dealership from Arakkonam Via Tiruttani RK Pet Sholinghur upto Ranipet.

· They are working to introduce Pharmaceuticals branded from Thirupattur, Vaniyambadi, Ambur, Arur, Dhamapuri areas and Super Gas LPG in Thirupattur, Vaniyambadi, Yelagiri.

MARKET PROSPECTS:

HUL The International Company,

TVS The International Company,

Pepsi The International Company,

Rucht Oils the top most Edible Company with Owned Refineries,

Philips the top most Electrical Company.

Are the reputed companies and fully systemized and growth rate is 15 to 20% per annum and the most advantages is all are very very fast moving consumer goods.

Moreover VRV Family is 60 Years old Traditional business family in all the areas and having relationship with almost all the families in the areas.

VIABILITY:

HUL, TVS, Pepsi, Ruchi Oils are the top most International Companies making and growing with maximum profits and growth rate is 15 to 20 % per annum and for marketing conducting dealership VRV Agency is a 60 years old reputed business family with strong background in all aspects and hence all the business of International Companies dealt by VRV agency is more than 200% viable. Hence they are proud to say that they are strong in Ranipet, Wallajah, Arcot, Sholinghur Town and Taluk Arakonam town and Taluk, Tiruttani Town and Taluk markets.

TAKEOVER AND ENHANCEMENT

Their total existing limits with IOB as on today is Rs.58.567 Millions + 4.000 Millions and they have provided 7 properties as collateral security.

For existing TVS Sholinghur dealer expansion since they have huge potential for e.g. 8 TVS Group of Companies employees, Bharathi Bus Group of Companies employees with more than 50000 employees and they have to put at least sale camps the territory and more over TVS autos they request additional C.C to the level of Rs.15.000 Millions.

For existing HUL Dealer Arakkonam Town and Taluk they are able to cover. Moreover they are asked to take additional products of HUL like Kwality ice creams, docomo, Pureit etc. for both Thiruthani and Arakkonam.

TAKEOVER AND ENHANCEMENT REQUEST

SR. NO.	BUSINESS SUBJECT	FROM EXISTING WITH IOB	ENHANCEMENT REQUEST	TURN OVER AFTER ENHANCEMENT EXPECTED
				Monthly	Per Annum
1	Tiruttani and Arakkonam Taluk and Town HUL	Rs. 38.567 Millions + Rs. 2.000 Millions CC	--	Rs. 40.567 Millions	Rs. 486.000 Millions
2	TVS Sholinghur Town and Taluk	Rs. 12.500 Millions + Rs. 2.000 Millions CC	Plus 15.000 Millions CC	Rs. 29.500 Millions	Rs. 354.000 Millions
3	Pepsi and Ruchi Oils, Philips Lighting, Pharmaceuticals, Super Gas LPG Thriupattur	Rs. 7.500 Millions CC	Plus 15.000 Millions CC	Rs. 22.500 Millions	Rs. 270.000 Millions

------------------------------------------------------------------------------------------------------------------------------

FIXED ASSETS

· Furniture and Fittings

· Air Conditioners

· Building

· Printers

· Generator

· Computers

· Mobile Phones

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 records 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. 63.32
UK Pound	1	Rs. 98.64
Euro	1	Rs. 76.60

INFORMATION DETAILS

Information Gathered by :	SVA
Analysis Done by :	SUB
Report Prepared by :	BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	5
--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	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTERS
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		41

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.