MIRA INFORM REPORT

Report No. :	333914
Report Date :	28.07.2015

IDENTIFICATION DETAILS

Name :	AKSH OPTIFIBRE LIMITED
Registered Office :	F-1080, Phase III, RIICO Industrial Area, Bhiwadi - 301019, Rajasthan
Tel. No.:	91-1493-221954
Country :	India
Financials (as on) :	31.03.2015
Date of Incorporation :	19.03.1986
Com. Reg. No.:	17-016132
Capital Investment / Paid-up Capital :	Rs.757.698 Million
CIN No.: [Company Identification No.]	L24305RJ1986PLC016132
IEC No.:	0591031868
TAN No.: [Tax Deduction & Collection Account No.]	JPRA01280G
PAN No.: [Permanent Account No.]	AAACA0062F
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.
Line of Business :	The Company is engaged in the manufacturing and selling of Optical Fibre, Optical Fibre Cable, Fibre Reinforced Plastic Rods and Impregnated Glass Roving Reinforcement.
No. of Employees :	Information declined by the management

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

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

Maximum Credit Limit :	USD 11200000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Exist
Comments :	Aksh Optifibre Limited (AOL) was incorporated in March 1986. It is well established company having satisfactory track record. The rating reflects on company strong order book position of AOL in its core business of manufacturing of Optical Fibre Cables (OFC), long track record in the optic fibre cables industry, its integrated operations, its diversified client portfolio and its healthy profitability levels which has translated into adequate debt coverage ratio. However, the ratings constrained by the competitive nature of the optical fibre cable industry, which is adeversly impacting the overall profitability and return indicators. Trade relations are fair. Business is active. Payment terms are reported to be usually correct. In view of the company’s long track record in the optic fibre cable industry and its diversified portfolio, it can be considered for business dealings at usual trade terms and conditions.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – March 31, 2015

Country Name	Previous Rating (31.12.2014)	Current Rating (31.03.2015)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

EXTERNAL AGENCY RATING

Rating Agency Name	ICRA
Rating	Long term bank facilties : BBB-
Rating Explanation	Moderate degree of safety and moderate credit risk.
Date	October, 2014

Rating Agency Name	ICRA
Rating	Short term bank facilties : A3
Rating Explanation	Moderate degree of safety and higher credit risk.
Date	October, 2014

RBI DEFAULTERS’ LIST STATUS

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

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2013.

INFORMATION DECLINED

Management Non Cooperative (91-11-26991508)

LOCATIONS

Registered Office/ Factory 1 :	F-1080, Phase III, RIICO Industrial Area, Bhiwadi - 301019, Rajasthan, India
Tel. No.:	91-1493-221954 / 221955 / 221636 / 223536 / 221333 / 220763 / 220388 / 220718
Fax No.:	91-1493-221636 / 221329
E-Mail :	aksh@akshoptifibre.com csl@akshoptifibre.com
Website :	http://www.akshoptifibre.com
Corporate Office :	J-1/1, B-1 Extension, Mohan Co-operative Industrial Estate, Mathura Road, New Delhi -110 044, India
Tel. No.:	91-11-26991508 / 09
Fax No.:	91-11-26991510
Factory 2 :	F-1075-81, RIICO Industrial Area (Phase III), Bhiwadi-301019, Rajasthan, India
Tel No:	91-1493-221333 / 220763 / 220388 / 220718
Fax No:	91-1493-221955 / 223536
Factory 3 :	A-315 (B), RIICO Industrial Area (Phase I), Bhiwadi-301019, Rajasthan, India
Tel./Fax No.:	91-1493-221955 / 223536
Factory 4 :	SP-47, Shri Khatu Shyam Ji Industrial Complex, Ringus, District Sikar-352404, Rajasthan, India
Tel No:	91-1575-224151 / 224154
Fax No:	91-1575-224150
FRP and Cable Division :	A, 58,59 Shri Khatu Shyam Ji Industrial  Complex, Reengus, District Sikar – 332404, Rajasthan, India
Network Operation Centers :	Located at: Delhi Chandigarh Jaipur Mumbai

DIRECTORS

As on 31.03.2014

Name :	Dr. Kailash S. Choudhari
Designation :	Chairman
Name :	Mr. Chetan Choudhari
Designation :	Managing Director
Name :	Mr. P.F. Sundesha
Designation :	Director
Name :	Mr. B.R. Rakhecha
Designation :	Director
Name :	Mr. Narendra Kumbhat
Designation :	Director
Name :	Mr. Amrit Nath
Designation :	Director
Name :	Mr. D. K. Mathur
Designation :	Director

KEY EXECUTIVES

Name :	Mr. Gaurav Mehta
Designation :	Company Secretary

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2014

Category of Shareholder	Total No. of Shares	Total Shareholding as a % of Total No. of Shares
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Individuals / Hindu Undivided Family	25535897	16.98
Sub Total	25535897	16.98
(2) Foreign
Individuals (Non-Residents Individuals / Foreign Individuals)	25842700	17.18
Sub Total	25842700	17.18
Total shareholding of Promoter and Promoter Group (A)	51378597	34.15
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	17297	0.01
Financial Institutions / Banks	197593	0.13
Foreign Institutional Investors	4452690	2.96
Sub Total	4667580	3.10
(2) Non-Institutions
Bodies Corporate	38218533	25.41
Individuals
Individual shareholders holding nominal share capital up to Rs. 0.100 Million	20264321	13.47
Individual shareholders holding nominal share capital in excess of Rs. 0.100 Million	33162516	22.05
Any Others (Specify)	2737032	1.82
Non Resident Indians	1758809	1.17
Overseas Corporate Bodies	7000	0.00
Trusts	573120	0.38
Societies	1000	0.00
Others	397103	0.26
Sub Total	94382402	62.74
Total Public shareholding (B)	99049982	65.85
Total (A)+(B)	150428579	100.00
(C) Shares held by Custodians and against which Depository Receipts have been issued
(1) Promoter and Promoter Group	0	0.00
(2) Public	1111110	0.00
Sub Total	1111110	0.00
Total (A)+(B)+(C)	151539689	100.00

BUSINESS DETAILS

Line of Business :	The Company is engaged in the manufacturing and selling of Optical Fibre, Optical Fibre Cable, Fibre Reinforced Plastic Rods and Impregnated Glass Roving Reinforcement.
Products :	Not Available
Brand Names :	--
Agencies Held :	--
Exports :	Not Available
Imports :	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 :

• Union Bank of India
• Punjab National Bank

Facilities :

(Rs. In Million)

Secured Loan	As on 31.03.2015	As on 31.03.2014
Long-term borrowings
Term Loans
External Commercial Borrowings 10.472 Mn USD (31st March, 2013 : Nil)	NA	513.395
Term Loan from Bank	NA	33.333
Term Loan from Others	NA	5.196
Short-term borrowings
Working Capital Facilities	NA	151.103
Buyers Credit from Banks	NA	48.858
Total	NA	751.885

Auditors :
Name :	P.C. Bindal and Company Chartered Accountants
Subsidiaries Companies [AS ON 31.03.2014] :	Apaksh Broadband Limited AOL(FZE)
Fellow Subsidiaries [AS ON 31.03.2014]:	AOl Projects JLT
Enterprises over which personal referred in aforementioned exercise significant influences [AS ON 31.03.2014]::	Fulchand Finance Private Limited

CAPITAL STRUCTURE

As on 31.03.2015

Authorised Capital :Not Available

Issued, Subscribed & Paid-up Capital : Rs.757.698 Million

As on 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
170100000	Equity Shares	Rs.5/- each	Rs.850.500 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
148564989	Equity Shares	Rs.5/- each	Rs.742.825 Million

Reconciliation of the shares outstanding at the beginning and at the end of the reporting year Equity shares

	No.	Rs. In Million
At the beginning of the year	148,564,989	742.825
Add:
- Issued pursuant to conversion of FCCBs	--	--
Outstanding at the end of the year	148,564,989	742.825

Terms / rights attached to equity shares

The Company has only one class of equity shares having par value of Rs. 5/- per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividends in Indian Rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in ensuing Annual General Meeting.

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.

Details of shareholders holding more than 5% shares in the Company

Name of the shareholder	No.	% holding
Dr. Kailash S. Choudhari	25,842,700	17.39%
Religare Finvest Limited	20,851,807	14.04%
Sunidhi Capital Private Limited	9,005,250	6.06%
Davinder Kumar Jain
The Bank of New York, Mellon	9,065,850	6.10%
Seema Choudhari	7,809,341	5.26%

LISTING DETAILS:

Subject Stock Code :	BSE : 532351 NSE : AKSHOPTFBR
Stock Exchange Place :	The Bombay Stock Exchange Limited The National Stock Exchange Limited
Listed Date :	--
ISIN	INE523B01011

FINANCIAL DATA

[all figures are in Rupees Million]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2015	31.03.2014	31.03.2013
EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	757.698	742.825	742.825
(b) Reserves & Surplus	3177.365	2822.161	2847.933
(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)	3935.063	3564.986	3590.758
(3) Non-Current Liabilities
(a) long-term borrowings	597.804	779.141	0.000
(b) Deferred tax liabilities (Net)	0.000	0.000	0.000
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	22.377	19.749	18.344
Total Non-current Liabilities (3)	620.181	798.890	18.344
(4) Current Liabilities
(a) Short term borrowings	414.998	259.180	117.491
(b) Trade payables	674.325	374.053	381.104
(c) Other current liabilities	331.251	279.664	919.283
(d) Short-term provisions	63.860	84.253	3.741
Total Current Liabilities (4)	1484.434	997.150	1421.619
TOTAL	6039.678	5361.026	5030.721
ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	946.506	866.886	974.497
(ii) Intangible Assets	0.000	76.539	94.825
(iii) Capital work-in-progress	0.000	154.977	33.143
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	2603.373	1867.233	1131.752
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	8.827	8.018	9.019
(e) Trade receivables	0.000	0.000	4.741
(f) Other Non-current assets	156.105	145.573	120.632
Total Non-Current Assets	3714.811	3119.226	2368.609
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	284.291	245.626	150.787
(c) Trade receivables	1269.557	678.554	615.315
(d) Cash and cash equivalents	39.368	5.418	19.306
(e) Short-term loans and advances	716.857	1304.606	1868.237
(f) Other current assets	14.794	7.596	8.467
Total Current Assets	2324.867	2241.800	2662.112
TOTAL	6039.678	5361.026	5030.721

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2015	31.03.2014	31.03.2013
	SALES
		Income	3482.992	2200.640	2330.049
		Other Income	58.354	74.206	72.034
		TOTAL (A)	3541.346	2274.846	2402.083
Less	EXPENSES
		Cost of Materials Consumed	2088.301	1326.121	1374.411
		Purchases of Stock-in-Trade	58.461	21.360	39.582
		Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	20.963	(65.273)	(0.234)
		Employees benefits expense	183.650	151.947	138.603
		Other expenses	607.614	430.668	448.591
		Exceptional Items	(11.551)	(70.660)	(61.902)
		TOTAL (B)	2947.438	1794.163	1939.051
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		593.908	480.683	463.032
Less	FINANCIAL EXPENSES (D)		102.610	70.590	37.338
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		491.298	410.093	425.694
Less/ Add	DEPRECIATION/ AMORTISATION (F)		163.088	149.938	166.321
	PROFIT BEFORE TAX (E-F) (G)		328.210	260.155	259.373
Less	TAX (H)		7.118	0.000	0.000
	PROFIT AFTER TAX (G-H) (I)		321.092	260.155	259.373
	EARNINGS IN FOREIGN CURRENCY
		Exports of Goods and Services	NA	1276.497	1596.283
		Interest	NA	52.163	49.110
	TOTAL EARNINGS		NA	1328.660	1645.393
	IMPORTS
		Raw Materials	NA	667.633	754.230
		Consumable	NA	13.969	14.177
		Accessories	NA	0.000	11.186
		Capital Goods	NA	94.884	8.702
		Others	NA	7.238	10.740
	TOTAL IMPORTS		NA	783.724	799.035
	Earnings Per Share (Rs.)
	Basic		2.18	1.75	1.77
	Diluted		2.03	1.60	1.77

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Particulars	31.03.2015	31.03.2014	31.03.2013
Current Maturities of Long term debt	NA	133.302	0.000
Cash generated from / (used in) operations	NA	204.140	(113.981)
Net cash flow from / (used in) operating activities	NA	256.191	(107.527)

KEY RATIOS

PARTICULARS		31.03.2015	31.03.2014	31.03.2013
Net Profit Margin (PAT / Sales)	(%)	9.22	11.82	11.13
Operating Profit Margin (PBIDT/Sales)	(%)	17.05	21.84	19.87
Return on Total Assets (PBT/Total Assets}	(%)	33.83	27.13	23.76
Return on Investment (ROI) (PBT/Networth)		0.08	0.07	0.07
Debt Equity Ratio (Total Debt /Networth)		0.26	0.29	0.03
Current Ratio (Current Asset/Current Liability)		0.01	0.01	0.01

STOCK PRICES

Face Value	Rs.5.00/-
Market Value	Rs.16.55/-

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

DEBT EQUITY RATIO

Particular	31.03.2013	31.03.2014	31.03.2015
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Share Capital	742.825	742.825	757.698
Reserves & Surplus	2847.933	2822.161	3177.365
Share Application money pending allotment	0.000	0.000	0.000
Net worth	3590.758	3564.986	3935.063
long-term borrowings	0.000	779.141	597.804
Short term borrowings	117.491	259.180	414.998
Current Maturities of Long Term Debt	0.000	0.000	0.000
Total borrowings	117.491	1038.321	1012.802
Debt/Equity ratio	0.033	0.291	0.257

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2013	31.03.2014	31.03.2015
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Sales	2330.049	2200.640	3482.992
		(5.554)	58.272

NET PROFIT MARGIN

Net Profit Margin	31.03.2013	31.03.2014	31.03.2015
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Sales	2330.049	2200.640	3482.992
Profit	259.373	260.155	321.092
	11.13%	11.82%	9.22%

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	No
8	Designation of contact person	No
9	Promoter’s background	Yes
10	Date of Birth of Proprietor / Partners / Directors	Yes
11	Pan Card No. of Proprietor / Partners	No
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	Yes
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 three years	Yes
27	Reasons for variation <> 20%	--
28	Estimation for coming financial year	No
29	Profitability for last three years	Yes
30	Major shareholders, if available	Yes
31	External Agency Rating, if available	Yes
32	Litigations that the firm/promoter involved in	Yes
33	Market information	---
34	Payments terms	No
35	Negative Reporting by Auditors in the Annual Report	No

LITIGATIONS DETAILS

RAJASTHAN HIGH COURT

Date of query : 27.07.2015	Time : 5:37:33 PM
CSTAY'1054’ of 2014-R	2282/2014
Petitioner :	S L S C
Respondent:	M/S AKSH OPTIFIBRE LIMITED
Petitioner Advocate:	R B Mathur
Respondent Advocate:
Class Code :	Registered on : 28/04/2014
Bench : SB	Stage :
Listed in court No. on //

Cases Detail in which this is Main Case
Filling Number	Reg. No.	Filing Date
STR-6246/2008	494/2008	09/09/2008

UNSECURED LOAN

Particular	As on 31.03.2015	As on 31.03.2014
	Rs. In Million
Long-term borrowings
Foreign Currency Convertible Bonds (FCCBs) 3.792 Mn USD (31st March, 2013: Nil) 0% FCCBs due on Feb-2019 of $ 1,000 each	NA	227.217
Short-term borrowings
Deposits
0% loan from Chairman repayable on demand	NA	0.000
15% Inter Corporate Deposit from related parties repayable on demand	NA	0.000
15% Inter Corporate Deposit from others repayable on demand	NA	20.000
9% Security Deposits	NA	0.000
0% Security Deposits	NA	39.219
Total	NA	286.436

CORPORATE INFORMATION [AS ON 31.03.2014]

Subject is a public Company domiciled in India and incorporated under the provisions of the Companies Act, 1956. Its shares are listed at The Bombay Stock Exchange Limited, The National Stock Exchange Limited in India and GDRs are listed at Luxembourg Stock Exchange. The Company is engaged in the manufacturing and selling of Optical Fibre, Optical Fibre Cable, Fibre Reinforced Plastic Rods and Impregnated Glass Roving Reinforcement, The Company caters to both domestic and international markets. The Company also provides the Internet Protocol Television (IPTV) services in association with BSNL in 20 cities of North India. The Company is the pioneer in the FTTH (Fibre to the Home) space and has further consolidated its place by starting FTTH services in Delhi, Jaipur, Ajmer and Faridabad.

OPERATIONAL REVIEW [AS ON 31.03.2014]

Financial year 2013- 14 closed with revenue of Rs 2274.846 Million, with EBITDA of Rs 410.023 Million and PAT of Rs 2601.55 Million. The manufacturing business earned revenues of Rs. 2089.987 Million at an EBIT margin of 18.68 %.

During the year, the Company introduced certain new products and adding new markets in the manufacturing business. The Company continues to be recognized globally for high quality FRP (Fibre Reinforced Plastic) Rods, and Optical Fibre Cables.

The detailed analysis of Company’s operations and segment wise performance is covered under Management Discussion and Analysis Report.

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10536007	05/11/2014	894,700.00	HEWLETT PACKARD FINANCIAL SERVICES (INDIA) PRIVATE  LTD	3RD FLOOR, CALCOT HOUSE, 8/10, M.P. SHETTY MARG,  TAMARIND STREET, FORT, MUMBAI, MAHARASHTRA - 40002  3, INDIA	C36640340
2	10476739	25/01/2014	2,448,000.00	HEWLETT PACKARD FINANCIAL SERVICES (INDIA) PRIVATE  LTD	3RD FLOOR, CALCOT HOUSE, 8/10, M.P. SHETTY MARG,  TAMARIND STREET, FORT, MUMBAI, MAHARASHTRA - 40002  3, INDIA	B96004395
3	10472053	28/02/2014 *	50,000,000.00	PUNJAB NATIONAL BANK	SHALIMAR BAGH BRANCH, AM-60, SHALIMAR BAGH, NEW D  ELHI, DELHI - 110088, INDIA	C00576819
4	10423784	27/11/2014 *	2,079,086,000.00	UNION BANK OF INDIA	M-11, MIDDLE CIRCLE, CONNAUGHT PLACE, NEW DELHI,  DELHI - 110001, INDIA	C37944865

* Date of charge modification

FIXED ASSETS

Tangible Assets

• Freehold Land
• Leasehold Land
• Factory Building
• Plant and Machinery
• Telecom Networking
• Testing Instrument
• Air Conditioner
• Furniture and Fixtures
• Office Equipments
• Data Processing Systems
• Electric Fittings
• Vehicles
• Fork Lift

Intangible Assets

• Computer Software

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.64.00
UK Pound	1	Rs.99.43
Euro	1	Rs.70.61

INFORMATION DETAILS

Information Gathered by :	SPR
Analysis Done by :	KAS
Report Prepared by :	SNT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	YES
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	YES
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		47

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.