MIRA INFORM REPORT

Report No. :	301223
Report Date :	12.01.2015

IDENTIFICATION DETAILS

Name :	OSWAL MINERALS LIMITED
Registered Office :	8/11, Police Station Road, Pallavaram, Chennai – 600043, Tamilnadu
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	04.07.1996
Com. Reg. No.:	18-035973
Capital Investment / Paid-up Capital :	Rs. 76.117 Millions
CIN No.: [Company Identification No.]	L30006TN1996PLC035973
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	BLRO01140G
PAN No.: [Permanent Account No.]	AACCM6499G
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Extracting and trading in different types of minerals and ores.
No. of Employees :	Information Declined by Management

RATING & COMMENTS

MIRA’s Rating :

B (30)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. The rating is constrained on account of company’s moderate financial risk profile marked by thin profitability margins and huge external borrowing taken by the company. However, trade relation are fair. Business is active. Payment terms are reported to be slow but correct. The company can be considered for business dealing 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 DEFAULTER’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAULTER’ 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. Rajesh
Designation :	Not Divulged
Contact No.:	91-251-2027004
Date :	01.01.2015

LOCATIONS

Registered Office :	8/11, Police Station Road, Pallavaram, Chennai – 600043, Tamilnadu, India
Tel. No.:	91-80-22978711
Fax No.:	Not Available
E-Mail :	oswalgroup@vsnl.com
Website :	http://www.oswalminerals.com
Corporate Office :	No.6, Sujatha Takies, 2^nd Main Road, Ramchandrapuram, Bangalore – 560009, Karnataka, India
Tel. No.:	91-80-22978710/19/27
Branch Office :	Office No.9, Building No.2, Sarroday Gardan, Kalyan (West), Thane – 421301, Maharashtra, India
Tel. No.:	91-251-20270041 / 05
Warehouse :	Plot No. 410 A, CS No. 578/1, MIDC, Shiroli, Kolhapur, Maharashtra, India

DIRECTORS

As on. 30.09.2014

Name :

Ms. Kothari Sapna

Designation :

Director

Address :

No. 6, 2nd Main Road, Ramachandrapuram, Bangalore – 560021, Karnataka, India

Date of Birth/Age :

01.02.1982

Qualification:

BBM

Date of Appointment :

07.05.2004

DIN No.:

00436890

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	L30006TN1996PLC035973	OSWAL MINERALS LIMITED	Director	07/05/2004	07/05/2004	-	Active	NO
2	U27107KA2008PTC046211	OSWAL SMELTERS PRIVATE LIMITED	Director	10/06/2011	10/06/2011	-	Active	NO

Name :

Mr. Sripal Kumar Mohanlal

Designation :

Director

Address :

No. 6, 2nd Main Road, Ramachandrapuram, Bangalore – 560021, Karnataka, India

Date of Birth/Age :

01.07.1965

Qualification:

B.Com

Date of Appointment :

27.03.2014

DIN No.:

01000236

PAN No.:

ABZPJ7351H

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	L30006TN1996PLC035973	OSWAL MINERALS LIMITED	Managing director	27/03/2014	06/02/2004	-	Active	NO
2	U51109WB2005PTC101807	RATAN TIE-UP PRIVATE LIMITED	Director	21/02/2005	21/02/2005	-	Active	NO
3	U27107KA2007PLC044365	JAIN & SNAM ALLOYS (INDIA) LIMITED	Director	14/11/2007	14/11/2007	-	Active	NO
4	U27107KA2008PTC046211	OSWAL SMELTERS PRIVATE LIMITED	Director	28/04/2008	28/04/2008	-	Active	NO

Name :

Mr. Mohanlal Bharath Kumar Jain

Designation :

Director

Address :

No. 6, 2nd Main Road, Ramachandrapuram, Bangalore – 560021, Karnataka, India

Date of Birth/Age :

07.04.1980

Qualification:

BE

Date of Appointment :

27.03.2014

DIN No.:

01252633

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	U51109WB2005PTC101808	SUKHI VANIJYA PRIVATE LIMITED	Director	21/02/2005	21/02/2005	-	Active	NO
2	U27107KA2007PLC044365	JAIN & SNAM ALLOYS (INDIA) LIMITED	Director	14/11/2007	14/11/2007	-	Active	NO
3	U27107KA2008PTC046211	OSWAL SMELTERS PRIVATE LIMITED	Director	28/04/2008	28/04/2008	-	Active	NO
4	L30006TN1996PLC035973	OSWAL MINERALS LIMITED	Whole-time director	27/03/2014	27/02/2010	-	Active	NO

Name :

Mrs. Saritha Devi

Designation :

Director

Address :

No. 6, 2nd Main Road, Ramachandrapuram, Bangalore – 560021, Karnataka, India

Date of Birth/Age :

13.01.1970

Date of Appointment :

29.09.2012

DIN No.:

01261180

Experience :

Experience in Accounts

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	U51109WB2005PTC101807	RATAN TIE-UP PRIVATE LIMITED	Director	21/02/2005	21/02/2005	-	Active	NO
2	L30006TN1996PLC035973	OSWAL MINERALS LIMITED	Director	29/09/2012	01/07/2012	-	Active	NO

Name :

Mr. Srinivas Ilendra

Designation :

Director

Address :

5, Subbiah Naidu Street Vepery, Chennai – 600007, Tamilnadu, India

Date of Birth/Age :

06.12.1962

Qualification :

B.com

Experience :

Experience in Accounts

Date of Appointment :

28.09.2004

Name :

Mr. Subhashchand Mohanlal

Designation :

Director

Address :

No. 6, 2nd Main Road, Ramachandrapuram, Bangalore – 560021, Karnataka, India

Date of Birth/Age :

23.01.1976

Qualification :

B.E

Experience :

Experience in Finance and Accounts

Date of Appointment :

30.09.2013

DIN No..:

01088346

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	U27101KA2005PTC035923	OSWAL ALLOYS PRIVATE LIMITED	Director	28/03/2005	28/03/2005	-	Active	NO
2	U27107KA2008PTC046211	OSWAL SMELTERS PRIVATE LIMITED	Director	01/11/2010	01/11/2010	-	Active	NO
3	L30006TN1996PLC035973	OSWAL MINERALS LIMITED	Director	30/09/2013	01/04/2013	-	Active	NO

Name :

Mr. Bhagchand Ghisulal Jain

Designation :

Director

Address :

835/40, 15th Main, 3rd Block, Rajajinagar, Bangalore – 560010, Karnataka, India

Date of Birth/Age :

26.04.1962

Qualification :

B.E

Experience :

Experience in Metals and Metal Scraps

DIN No..:

06894213

Date of Appointment :

30.06.2014

Name :

Mr. Dinesh Kumar

Designation :

Director

Address :

61/1, New No. 14, Shanti Nivas, 5th Cross, 7th Main, Srirampuram, Bangalore – 560021, Karnataka, India

Date of Birth/Age :

03.11.1975

Qualification :

D.Pharm

Experience :

Insurance Advisor

Date of Appointment :

21.07.2014

DIN No.:

06925996

KEY EXECUTIVES

Name :	Kavya R. Anegundi
Designation :	Company Secretory
Address :	Door No. 4, Madhuramha Temple, Tavrekere BTM I Stage, Bangalore – 560029, Karnataka, India
Date of Birth/Age :	01.10.1990
Date of Appointment :	05.09.2014
PAN No.:	BENPA3768K

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2014

SHAREHOLDING DETAILS FILE ATTACHED

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Bodies corporate	7.97
Directors or relatives of Directors	71.68
Other top fifty shareholders	20.35
Total	100.00

BUSINESS DETAILS

Line of Business :	Extracting and trading in different types of minerals and ores.
Products :	Not Available
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :
Products :	Not Available
Countries :	Not Available
Imports :
Products :	Not Available
Countries :	Not Available
Terms :
Selling :	Not Available
Purchasing :	Not Available

GENERAL INFORMATION

Suppliers :

Reference :	Not Available
Name of the Person :	Not Available
Contact No.:	Not Available
Since How Long Known :	Not Available
Experience :	Not Available
Maximum Limit Dealt :	Not Available

Customers :

Reference :	Not Available
Name of the Person :	Not Available
Contact No.:	Not Available
Since How Long Known :	Not Available
Experience :	Not Available
Maximum Limit Dealt :	Not Available

No. of Employees :

Information declined by the management

Bankers :

Banker Name	The Ratnakar Bank Limited,
Branch Address	Shahupuri,Kolhapur, Vypari Peth, Kolhapur - 416001, Maharashtra, India
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)	Not Divulged
Account Operation	Not Divulged
Remarks (If any)	Not Divulged

Banker Name	State Bank of India
Branch Address	Commerical Branch, Rajajinagar Industrial Estate, West of Chord Road, Rajajinagar, Bangalore - 560044, Karnataka, India
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)	Not Divulged
Account Operation	Not Divulged
Remarks (If any)	Not Divulged

Banker Name	Kotak Mahindra Bank Limited
Branch Address	36 – 38A, Nariman Bhavan, 227, D, Nariman Point, Mumbai – 400021, Maharashtra, India
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)	Not Divulged
Account Operation	Not Divulged
Remarks (If any)	Not Divulged

Facilities :

(Rs. In Millions)

SECURED LOAN	As on 31.03.2014	As on 31.03.2013
Short Term Borrowing
Working Capital Loans From Banks	306.226	179.693
Total	306.226	179.693

Auditors :
Name :	N N Yuvaraj and Associates Chartered Accountants
Address :	No. 23, 3^rd Floor, Park Road, Off Queens Road, Bengaluru- 560 051, Karnataka, India
PAN No.:	AAFFN2461B
Memberships :	Not Available
Collaborators :	Not Available
Associates:	Oswal Alloys Private Limited Oswal Smelters Private Limited

CAPITAL STRUCTURE

As on. 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
8500000	Equity Shares	Rs.10/- each	Rs.85.000 Millions

Issued and Subscribed Capital :

No. of Shares	Type	Value	Amount
7750000	Equity Shares	Rs.10/- each	Rs.77.500 Millions

Paid up Capital :

No. of Shares	Type	Value	Amount
7611752	Equity Shares	Rs.10/- each	Rs.76.117 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	76.117	76.118	76.025
(b) Reserves & Surplus	120.374	94.014	75.873
(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)	196.491	170.132	151.898
(3) Non-Current Liabilities
(a) long-term borrowings	384.713	547.955	18.264
(b) Deferred tax liabilities (Net)	0.000	0.024	0.158
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	384.713	547.979	18.422
(4) Current Liabilities
(a) Short term borrowings	439.955	271.913	196.671
(b) Trade payables	518.245	628.495	197.008
(c) Other current liabilities	29.216	31.374	14.581
(d) Short-term provisions	11.275	8.827	5.003
Total Current Liabilities (4)	998.691	940.609	413.263
TOTAL	1579.895	1658.720	583.583
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	8.841	10.162	8.737
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.000	0.000	0.000
(c) Deferred tax assets (net)	0.186	0.000	0.000
(d) Long-term Loan and Advances	12.687	11.096	8.119
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	21.714	21.258	16.856
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	168.091	403.982	51.593
(c) Trade receivables	1372.621	1205.382	407.740
(d) Cash and cash equivalents	(78.917)	(67.499)	0.683
(e) Short-term loans and advances	96.386	95.597	106.711
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	1558.181	1637.462	566.727
TOTAL	1579.895	1658.720	583.583

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Income	7734.034	5929.937	3160.035
		Other Income	16.545	18.860	9.280
		TOTAL	7750.579	5948.797	3169.315
Less	EXPENSES
		Cost of Materials Consumed	7476.154	5809.980	3081.820
		Employees benefits expense	16.312	14.036	6.262
		Other expenses	145.756	75.322	60.632
		TOTAL	7638.222	5899.338	3148.714
	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		112.357	49.459	20.601
Less	FINANCIAL EXPENSES		72.214	20.118	4.141
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		40.143	29.341	16.460
Less/ Add	DEPRECIATION/ AMORTISATION		2.719	2.592	0.973
	PROFIT BEFORE TAX		37.424	26.749	15.487
Less	TAX		11.055	8.693	5.097
	PROFIT AFTER TAX		26.369	18.056	10.390
	EARNINGS IN FOREIGN CURRENCY
		F.O.B. Value of Exports	751.020	572.652	929.623
	TOTAL EARNINGS		751.020	572.652	929.623
	Earnings Per Share (Rs.)		3.46	2.37	1.34

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin PAT / Sales	(%)	0.34	0.30	0.33
Operating Profit Margin (PBDIT/ Sales)	(%)	1.45	0.83	0.65
Return on Total Assets (PBT/Total Assets}	(%)	2.37	1.61	2.65
Return on Investment (ROI) (PBT/Networth)		0.19	0.16	0.10
Debt Equity Ratio (Total Debt /Networth)		4.20	4.82	1.41
Current Ratio (Current Asset/Current Liability)		1.56	1.74	1.37

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	76.025	76.118	76.117
Reserves & Surplus	75.873	94.014	120.374
Net worth	151.898	170.132	196.491
long-term borrowings	18.264	547.955	384.713
Short term borrowings	196.671	271.913	439.955
Total borrowings	214.935	819.868	824.668
Debt/Equity ratio	1.415	4.819	4.197

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	3160.035	5929.937	7734.034
		87.654	30.424

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	3160.035	5929.937	7734.034
Profit	10.390	18.056	26.369
	0.33%	0.30%	0.34%

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	No
11]	Turnover of firm for last three years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	--
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	No
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	No
20]	Export / Import details (if applicable)	No
21]	Market information	--
22]	Litigations that the firm / promoter involved in	--
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	--
26]	Buyer visit details	--
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	Yes
29]	Last accounts filed at ROC	Yes
30]	Major Shareholders, if available	Yes
31]	Date of Birth of Proprietor/Partner/Director, if available	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	No

UNSECURED LOAN

(Rs. In Millions)

Particular	As on 31.03.2014	As on 31.03.2013
Long Term Borrowing
Loans and advances from directors	383.597	545.607
Loans Taken for Vehicles	1.117	2.348
Short Term Borrowing	0.000	0.000
Working Capital Loans From Banks	133.728	92.220
Total	518.442	640.175

MANAGEMENT DISCUSSION AND ANALYSIS

a) Overview, Industry Structure, Development and Outlook

Ferro alloy products are used in the production of steel as de-oxidants and alloying agents and the Ferro alloys industry acts an intermediate industry to the Iron & Steel industry. As a result the demand and prices of Ferro alloys depend on the production and consumption of steel. Looking to the worldwide global demand of steel & domestic increasing trend of steel demand, the consumption of Ferro Alloys is increasing rapidly in India and the rest of the world which is encouraging the production capacities in India during this decade and further increasing the production capacities especially in Manganese Alloys. With the growth in production and consumption of Steel in India, the Ferro alloys demand is likely to increase with increased consumption of Steel and your Company is well positioned to reap the benefits of increased demand. Your Company is exploring the growth opportunities in India and abroad.

b) Business performance and Segment Reporting

During the year, the company has earned a profit of Rs. 2,6.370 Millions as against a profit of Rs. 18.057 Millions during the previous year. The company is hoping to achieve much better overall performance during the coming years. The company is engaged primarily in the business of trading in Alloys & Minerals. Hence, there are no separately reportable segments.

c) Internal Control System and its adequacy

The system of internal control has been established to provide reasonable assurance of safeguarding assets and maintenance of proper Accounting and its accuracy. The business risks and its control procedures are reviewed frequently. Systems audit is also conducted regularly to review the systems with respect to Security and its Adequacy. Reports are prepared and circulated to Senior Management and action taken to strengthen controls where necessary.

d) Risk Management

Risk evaluation and management is an ongoing process in the company.

e) Human resources and Industrial relations

The company continues to have cordial relations with its employees.

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10469083	19/06/2014 *	320,000,000.00	THE RATNAKAR BANK LIMITED	SHAHUPURI,KOLHAPUR,, VYPARI PETH, KOLHAPUR, Mahar  ashtra - 416001, INDIA	C10406379
2	10368306	27/06/2012	120,000,000.00	CITI BANK N.A.	506-507, Level 5, Prestige Meridian 2,, No.30, M.  G. Road,, Bangalore, Karnataka - 560001, INDIA	B44800753

* Date of charge modification

FIXED ASSETS

• Furniture and fixtures
• Vehicles
• Office equipment
• Computer equipments
• Office Equipments

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.62.39
UK Pound	1	Rs.94.17
Euro	1	Rs.73.61

INFORMATION DETAILS

Information Gathered by :	NYA
Analysis Done by :	KAR
Report Prepared by :	SPR

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	Yes
--LITIGATION	YES/NO	No
--OTHER ADVERSE INFORMATION	YES/NO	No
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	No
--EXPORT ACTIVITIES	YES/NO	No
--AFFILIATION	YES/NO	No
--LISTED	YES/NO	No
--OTHER MERIT FACTORS	YES/NO	Yes
DEFAULTER
RBI	YES/NO	No
EPF	YES/NO	No
TOTAL		46

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.