MIRA INFORM REPORT

Report No. :	330361
Report Date :	06.07.2015

IDENTIFICATION DETAILS

Name :	KINECO KAMAN COMPOSITES – INDIA PRIVATE LIMITED (w.e.f. 23.10.2012)
Formerly Known As :	GANESHA COMPOSITES PRIVATE LIMITED
Registered Office :	Plot No. 60, Pilerne Industrial Estate, Pilerne, Bardez – 403511, Goa
Tel. No.:	91-832-6648888
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	12.09.2012
Com. Reg. No.:	24-007223
Capital Investment / Paid-up Capital :	Rs.44.775 Million
CIN No.: [Company Identification No.]	U25203GA2012PTC007223
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	Not Available
Legal Form :	Private Limited Liability Company
Line of Business :	The Subject is in the business of manufacture of advanced composite structures for Aerospace, Defense, Medical Imaging and other industries using the latest carbon fibre materials and autoclave curing technology.
No. of Employees :	Information declined by the management

RATING & COMMENTS

MIRA’s Rating :

Ca (14)

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. The Company has incurred huge accumulated losses which have eroded the net worth of the company, leading to its weak financial risk profile. Business is active. Payments are reported to be slow. The company can be considered for business dealings on a fully safe and secured 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.

EXTERNAL AGENCY RATING

Rating Agency Name	Not Available
Rating	Not Available
Rating Explanation	Not Available
Date	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 31-03-2013.

INFORMATION DENIED

Management non co-operative (91-832-6648888)

LOCATIONS

Registered Office :	Plot No. 60, Pilerne Industrial Estate, Pilerne, Bardez – 403511, Goa, India
Tel. No.:	91-832-6648888
Fax No.:	91-832-6648889
E-Mail :	sales@kinecokamanindia.com avanish.dwivedi@kinecokamanindia.com
Website :	http://www.kinecokamanindia.com

DIRECTORS

As on 29.09.2014

Name :	Mr. Sanjay Khatau Asher
Designation :	Director
Address :	32, Mody Street, Fort, Mumbai – 400001, Maharashtra, India
Date of Birth/Age :	26.11.1963
Date of Appointment :	12.09.2012
DIN No.:	00008221
Name :	Mr. Shekhar Ravindra Sardessai
Designation :	Chairman and Managing director
Address :	G-1, Excel Residency, Tonca Caranzalem, North Goa – 403002, Goa, India
Date of Birth/Age :	07.07.1967
Date of Appointment :	02.11.2012
DIN No.:	00016446
Name :	Mr. Vinay Balavsaheb Jagtap
Designation :	Director
Address :	Riverdale Appartments, G-3, Opposite Football Ground, Betim Porvorim, North Goa – 403521, Goa, India
Date of Birth/Age :	13.04.1970
Date of Appointment :	02.11.2012
DIN No.:	02573058
Name :	Mr. James Carl Larwood Jr
Designation :	Director
Address :	8, Roberts Road, Simsbury – 06070, Connecticut
Date of Birth/Age :	09.11.1957
Date of Appointment :	02.11.2012
DIN No.:	06411754

KEY EXECUTIVES

Name :	Mr. Avanish Dwivedi
Designation :	Secretary
Address :	Models Boulevard UG – 3, Building 3A, Ranzal EM Panaji, North Goa – 403002, Goa, India
Date of Birth/Age :	23.04.1976
Date of Appointment :	01.03.2014
PAN No.:	AGHPD0667K

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.2014

Names of Shareholders	No. of Shares	%age holding
Kineco Private Limited, India	3313350	74.00
Kaman Aerospace Group Inc, Connecticut	1164150	26.00
Total	4477500	100.00

Equity Share Break up (Percentage of Total Equity)

As on 29.09.2014

Category	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	26.00
Bodies corporate	74.00
Total	100.00

BUSINESS DETAILS

Line of Business :	The Subject is in the business of manufacture of advanced composite structures for Aerospace, Defense, Medical Imaging and other industries using the latest carbon fibre materials and autoclave curing technology.
Products :	Aerospace parts Composite parts Consoles Frames Arms Radome
Brand Names :	Not Divulged
Agencies Held :	Not Divulged
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
Maximum Limit Dealt :	Not Divulged
Experience :	Not Divulged
Remark:	Not Divulged

Customers :

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

No. of Employees :

Information declined by the management

Bankers :

Bank Name	Not Divulged
Branch	Not Divulged
Person Name (With Designation)	Not Divulged
Contact Number	Not Divulged
Name of Account Holder	Not Divulged
Account Number	Not Divulged
Account Since (Date/Year of 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 :

Secured Loan	31.03.2014 (Rs. in Million)	31.03.2013 (Rs. in Million)
Short-term borrowings
Loan repayable on demand from bank – Cash credit	7.896	0.000
Total	7.896	0.000

Auditors :
Name :	Deloitte Haskins and Sells Chartered Accountants
Address :	12, Dr. Annie Besant Road, Opposite Shiv Sagar Estate, Worli, Mumbai – 400018, Maharashtra, India
Tel. No.:	91-22-61854000
Fax No.:	91-22-61854501
PAN N Income-tax PAN of auditor or auditor's firm :	AACFD4815A
Memberships :	--
Collaborators :	--
Holding Company :	Kineco Private Limited
Joint Venture :	Kaman Aerospace Group Inc.
Fellow Subsidiary :	Kineco Alte Train Technologies Private Limited
Associates :	Kaman Aerosystems - Kaman Composites CT Kaman Composites - Vermont, Inc

CAPITAL STRUCTURE

As on 29.09.2014

Authorised Capital :

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

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
4477500	Equity Shares	Rs.10/- each	Rs.44.775 Million

FINANCIAL DATA

[all figures are in Rupees Million]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2014	31.03.2013
I.              EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	44.775	44.775
(b) Reserves & Surplus	(45.069)	(8.277)
(c) Money received against share warrants	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000
Total Shareholders’ Funds (1) + (2)	-0.294	36.498
(3) Non-Current Liabilities
(a) long-term borrowings	66.110	25.600
(b) Deferred tax liabilities (Net)	0.000	0.000
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	1.044	0.000
Total Non-current Liabilities (3)	67.154	25.600
(4) Current Liabilities
(a) Short term borrowings	38.466	0.000
(b) Trade payables	15.152	1.376
(c) Other current liabilities	44.517	0.000
(d) Short-term provisions	0.578	0.534
Total Current Liabilities (4)	98.713	1.910
TOTAL	165.573	64.008
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	87.929	50.243
(ii) Intangible Assets	0.656	0.000
(iii) Capital work-in-progress	5.312	0.073
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000
(d) Long-term Loan and Advances	4.218	0.077
(e) Other Non-current assets	0.000	0.000
Total Non-Current Assets	98.115	50.393
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	30.361	0.000
(c) Trade receivables	0.506	1.630
(d) Cash and cash equivalents	26.984	10.264
(e) Short-term loans and advances	9.497	1.580
(f) Other current assets	0.110	0.141
Total Current Assets	67.458	13.615
TOTAL	165.573	64.008

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2014	31.03.2013
	SALES	NA	NA
Less	EXPENSES	NA	NA
	PROFIT/ (LOSS) BEFORE TAX	NA	NA
Less	TAX	NA	NA
	PROFIT/ (LOSS) AFTER TAX	(35.964)	(13.048)
	EARNINGS IN FOREIGN CURRENCY
	F.O.B. Value of Exports	1.618	0.000
	TOTAL EARNINGS	1.618	0.000
	IMPORTS
	Raw Materials	15.496	0.000
	Components and Stores parts	0.363	0.000
	Capital Goods	32.363	0.000
	TOTAL IMPORTS	48.222	0.000
	Earnings / (Loss) Per Share (Rs.)	(8.03)	(7.09)

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Particulars	31.03.2014	31.03.2013
Current Maturities of Long term debt	25.600	0.000
Cash generated from operations	NA	NA

KEY RATIOS

PARTICULARS	31.03.2014	31.03.2013
Debt Equity Ratio (Total Debt /Networth)	(442.78)	0.70
Current Ratio (Current Asset/Current Liability)	0.68	7.13

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

DEBT EQUITY RATIO

Particular	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)
Share Capital	44.775	44.775
Reserves & Surplus	(8.277)	(45.069)
Money received against share warrants	0.000	0.000
Share Application money pending allotment	0.000	0.000
Net worth	36.498	(0.294)
long-term borrowings	25.600	66.110
Short term borrowings	0.000	38.466
Current Maturities of Long-Term Debts	0.000	25.600
Total borrowings	25.600	130.176
Debt/Equity ratio	0.701	(442.776)

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check list by info agents	Available in Report (Yes/No)
1	Year of establishment	Yes
2	Constitution of the entity -Incorporation details	Yes
3	Locality of the entity	Yes
4	Premises details	No
5	Buyer visit details	--
6	Contact numbers	Yes
7	Name of the person contacted	Yes
8	Designation of contact person	Yes
9	Promoter’s background	Yes
10	Date of Birth of Proprietor / Partners / Directors	Yes
11	Pan Card No. of Proprietor / Partners	Yes
12	Voter Id Card No. of Proprietor / Partners	No
13	Type of business	Yes
14	Line of Business	Yes
15	Export/import details (if applicable)	No
16	No. of employees	No
17	Details of sister concerns	Yes
18	Major suppliers	No
19	Major customers	No
20	Banking Details	Yes
21	Banking facility details	Yes
22	Conduct of the banking account	--
23	Financials, if provided	Yes
24	Capital in the business	Yes
25	Last accounts filed at ROC, if applicable	Yes
26	Turnover of firm for last two years	Yes
27	Reasons for variation <> 20%	--
28	Estimation for coming financial year	No
29	Profitability for last two years	Yes
30	Major shareholders, if available	Yes
31	External Agency Rating, if available	No
32	Litigations that the firm/promoter involved in	--
33	Market information	--
34	Payments terms	No
35	Negative Reporting by Auditors in the Annual Report	No

NOTE: Registered office of the company has been shifted from C/0 M/s Crawford Bayley and Company, 4^th Floor State Bank Building, N.G.N. Vaidya Marg, Fort, Mumbai – 400023, Maharashtra, India to the present address w.e.f. 20.02.2013

COMPANY INFORMATION

Kineco Kaman Composites-

India Private Limited (the" Company") is a private limited company Incorporated on September12, 2012 with its registered office situated at 60, Pilerne Industrial Estate, Pilerne, Bardez, Goa-

403511. The Company is in the business of manufacture of advanced composite structures for Aerospace, Defense, Medical Imaging and other industries using the latest carbon fibre materials and autoclave curing technology. Its products include composite structural parts for modern aircrafts and helicopters and potentially, parts for space crafts. The Company is a joint venture between Kaman Aerospace Group Inc., a subsidiary of Kaman corporation, USA and Kineco Private Limited, India.

During the year ended 31^st March 2014, the company has devoted substantially all its efforts in establishing its plant in Goa and in procuring orders forits aerospace products. Therefore while the planned principal operations have commenced, there has not been any significant revenue therefrom.

PERFORMANCE HIGHLIGHTS:

The Directors have the pleasure to present here below the 2nd Annual report of the company and the audited accounts for the year ending 31st March, 2014 together with the Auditors’ Report. This was the 1st full year of operations for the Company. The Company has devoted substantially all of its efforts toward setting up its plant in

Pilerne, Goa, India and focusing its attention on foundation building activities including recruiting, training, obtaining aerospace customer qualifications and establishing systems and processes necessary for its aerospace and healthcare markets. Therefore, while planned operations have commenced during the year ended March 31, 2014, the Company did not earn any significant revenue and losses have been incurred as the Company has invested for its future growth.

The Company is now securing multiyear contracts and generating proposals from large aerospace OEM’s. The management is confident of Sales growth, operational improvement and efficiencies as these programs come on line.

The Company is pleased to inform its shareholders that its application to supply products and research and development services to the Defense Sector, has been approved by the Foreign Investment Promotion Board. This approval is a pre-requisite for the Company to tap the Defense Offset opportunities arising from major Defense spending by Government of India.

UNSECURED LOAN

Unsecured Loan	31.03.2014 (Rs. in Million)	31.03.2013 (Rs. in Million)
Long-term Borrowings
Term Loans
Bank of America – External Commercial borrowing	36.060	0.000
Loans and Advances from related parties
From the holding company	0.000	25.600
From the joint venture	30.050	0.000
Short-term borrowings
Loan repayable on demand from bank – Bank Overdraft	30.570	0.000
Total	96.680	25.600

Footnotes:

Lon term Borrowing:

a. External commercial borrowing from Bank of America is an unsecured facility and extended to finance the purchase of machineries and equipments. The loan carries an interest rate of 3 months LIBOR plus 75 basis points per annum (ranging from 1.98% to 1.99% during the year, previous year NIL) and the entire loan amount is repayable on26th December 2018. The above loan is guaranteed by the Kaman Aerospace Group Inc ("Joint Venturer").

b. The loan from the holding company is extended to meet the working capital and other requirements and is unsecured as per the terms of operating agreement between Kineco Private Limited ("Holding company") and Kaman Aerospace Group Inc. ("Joint venturer"). The loan carries an interest of 2 % per annum and the entire loan amount is repayable on 31st December 2014. Accordingly the entire amount falling due in next 12 months is included in Note 10.

c. The loan from the joint venture is extended to finance the purchase of five axis machine centre and other machinery and is unsecured as per the terms of operating agreement between the Holding company and Joint venturer. The loan carries an interest rate of 6 months LIBOR plus 50 basis points per annum (ranging from 0.83% to 0.92% during the year, previous year NIL) and the entire loan amount is repayable on 31st December 2016.

Short term Borrowing

Thebankoverdraftfacilityisunsecuredandpayableondemand.Thefacilitycarriesaninterest@13%perannum.TheabovefacilityisguaranteedbytheKaman Aerospace Group Inc ("Joint Venturer").

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10574844	30/04/2015	87,500,000.00	State Bank of India	Commercial Branch, Patto Plaza, Panaji, Goa - 403001, INDIA	C56401532

FIXED ASSETS

Tangible assets

• Leasehold land
• Buildings
• Plant and equipment
• Furniture and fixtures
• Office equipment
• Computers

Intangible assets

• Computer software licenses
• Acquired

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.63.36
UK Pound	1	Rs.98.94
Euro	1	Rs.70.33

INFORMATION DETAILS

Information Gathered by :	MNJ
Analysis Done by :	SAN
Report Prepared by :	SUJ

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	2
OPERATING SCALE	1~10	1
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	2
--PROFITABILITY	1~10	1
--LIQUIDITY	1~10	1
--LEVERAGE	1~10	1
--RESERVES	1~10	1
--CREDIT LINES	1~10	1
--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	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		14

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.