MIRA INFORM REPORT

Report No. :	328050
Report Date :	23.06.2015

IDENTIFICATION DETAILS

Name :	P.S. ENTERPRISES
Registered Office :	267, Loha Mandi, Ghaziabad - 201003, Uttar Pradesh
Tel. No.:	91-120-2804501/ 02/ 2867336
Country :	India
Financials (as on) :	31.03.2015
Date of Establishment :	07.09.1994
Capital Investment :	Rs. 43.170 Million (As on 31.03.2014)
PAN No.: [Permanent Account No.]	AACFP8035G
Legal Form :	Partnership Concern with an Unlimited Liability of the Partners
Line of Business :	Trader of Iron and Steel
No. of Employees :	42 (15 in Office, 8 in Godown, 19 in Branch) (Approximately)

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 partnership concern having moderate track record. Mr. Deepak Kumar Garg, Partner has provided general information to us and claimed that concern has achieved sales turnover of Rs. 6850.000 Million during financial year 2014-15 which is not verified. As per available financial record of 2014, concern possesses moderate financial risk profile along with low profitability margins and huge external borrowings taken by the concern. However, trade relations are reported as fair. Payments are reported to be slow but correct. In view leverage balance sheet profile, the concern can be considered for business dealings 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 – 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

NOT AVAILABLE

RBI DEFAILTERS’ LIST STATUS

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

EPF (Employee Provident Fund) DEFAILTERS’ 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 PARTED BY

Name :	Mr. Deepak Kumar Garg
Designation :	Partner
Contact No.:	91-9810024721
Date :	20.06.2015

LOCATIONS

Registered Office :	267, Loha Mandi, Ghaziabad - 201003, Uttar Pradesh, India
Tel. No.:	91-120-2804501/ 02/ 2867336
Mobile No.:	91-9810024721/ 9889100599 (Mr. Deepak Kumar Garg)
Fax No.:	91-120-2867336
E-Mail :	deepakpsenterprises@gmail.com
Location :	Owned
Godown :	C-183, Bulandhshar Road, Industrial Area, Ghaziabad, Uttar Pradesh, India
Location :	Owned
Branch Office 1 :	26, J. Electronic Compound, Industrial Area, N.I.T. Faridabad – 121001, Haryana, India
Branch Office 2 :	21, Arihant Tower, Malhotra Nagar, VKI Area, Road No. 1, Jaipur, Rajasthan, India
Branch Office 3 :	Plot No. B-9A, Ispat Nagar, Panki Kanpur Nagar – 208022, Uttar Pradesh, India

PARTNERS

Name :	Mr. Deepak Kumar Garg
Designation :	Partner
Date of Birth/Age :	10.10.1971
Qualification :	B. Com
Experience :	22 Years
Name :	Mrs. Parul Deepak Garg
Designation :	Partner
Date of Birth/Age :	02.12.1974
Qualification :	B.A
Name :	Mrs. Somlata Garg
Designation :	Partner
Date of Birth/Age :	19.01.1955
Qualification :	B.A

BUSINESS DETAILS

Line of Business :	Trader of Iron and Steel
Brand Names :	--
Agencies Held :	Bhushan Steel Limited
Exports :
Products :	--
Countries :	--
Imports :
Products :	--
Countries :	--
Terms :
Selling :	Cash and Credit (30 Days, 60 Days and 90 Days)
Purchasing :	Cash and Credit (30 Days, 60 Days and 90 Days)

GENERAL INFORMATION

Suppliers :

Reference:	Bhushan Steel Limited
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 :

End Users and OEMs

Reference:	Nippon Tubes Limited, Chapraula, G.B. Nagar, Uttar Pradesh, India
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

No. of Employees :

42 (15 in Office, 8 in Godown, 19 in Branch) (Approximately)

Bankers :

Bank Name:	Kotak Mahindra Bank Limited
Branch:	Navyug Market, Ghaziabad, Uttar Pradesh, 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 A/c Opening):	Not Divulged
Average Balance Maintained (Optional):	Not Divulged
Credit Facilities Enjoyed (CC/OD/Term Loan):	Cash Credit = Rs. 200.000 Million
Account Operation:	Not Divulged
Remarks: Not Divulged

· Karur Vysya Bank Limited

Address: R.D.C., Ghaziabad, Uttar Pradesh, India

Credit Limit: Rs. 100.000 Million

Auditors :
Name :	Anil Vaish and Company Chartered Accountants
Address :	96, R.D.C. Ghaziabad, Uttar Pradesh, India
Tel. No.:	91-120-2822235
E-Mail :	anilvaishca@yahoo.co.in
Memberships :	--
Collaborators :	--
Associates/Subsidiaries :	· Bankey Bihari Ispat Industries Private Limited CIN No.: U74899DL1993PTC056513 Delhi, India Activity: Iron and Steel · Aryaman Ispat Private Limited Address: IIF 173, Nehru Nagar, Ghaziabad, Uttar Pradesh, India Activity: Trading

CAPITAL STRUCTURE

AS ON 31.03.2014

Capital Investment :
Owned :	Rs. 43.170 Million
Borrowed :	--
Total :	Rs. 43.170 Million

FINANCIAL DATA

[all figures are in Rupees Million]

PARTICULARS	31.03.2015
Sales Turnover (Approximately)	6850.000

The above information has been parted by Mr. Deepak Kumar Garg (Partner)

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		43.170	40.776
2] Share Application Money		0.000	0.000
3] Reserves & Surplus		0.000	0.000
4] (Accumulated Losses)		0.000	0.000
NETWORTH		43.170	40.776
LOAN FUNDS
1] Secured Loans		302.592	176.396
2] Unsecured Loans		46.391	46.300
TOTAL BORROWING		348.983	222.696
DEFERRED TAX LIABILITIES		0.000	0.000
TOTAL		392.153	263.472
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		8.027	7.583
Capital work-in-progress		0.000	0.000
INVESTMENT		1.466	1.466
DEFERRED TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	129.679	262.102
	Sundry Debtors	415.267	418.968
	Cash & Bank Balances	21.274	5.893
	Other Current Assets	0.000	0.000
	Loans & Advances	38.662	3.265
Total Current Assets		604.882	690.228
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	21.496	303.469
	Other Current Liabilities	197.409	123.794
	Provisions	3.317	8.542
Total Current Liabilities		222.222	435.805
Net Current Assets		382.660	254.423
MISCELLANEOUS EXPENSES		0.000	0.000
TOTAL		392.153	263.472

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013
	SALES
		Sales	3001.759	3610.810
		Other Income	0.366	0.237
		TOTAL	3002.125	3611.047
Less	EXPENSES
		Cost of Goods sold	2943.728	3366.173
		Freight and Cartage	3.145	167.093
		Cutting Charges	0.650	0.409
		Entry Tax	0.611	1.784
		Loading and Unloading Charges	1.154	4.039
		Salaries	3.803	3.462
		Rent	0.690	0.525
		Interest on Unsecured Loans	4.207	4.443
		Interest to Bank	14.897	43.701
		Rebate and Discount	2.309	3.308
		Bonus	0.621	0.540
		Commission on Sales	4.372	5.136
		Freight and Cartage Outward	3.511	0.000
		LC Discounting Charges	8.665	0.000
		Partners Salary	0.300	0.600
		Interest on Partners Capital	3.201	3.967
		Other Expenses	3.105	2.970
		TOTAL	2998.969	3608.150
	PROFIT BEFORE DEPRECIATION AND AMORTISATION		3.156	2.897
Less/ Add	DEPRECIATION/ AMORTISATION		1.006	0.567
	NET PROFIT		2.150	2.330

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013
Net Profit Margin (PAT / Sales)	(%)	0.07	0.06
Return on Total Assets (PBT/Total Assets}	(%)	0.35	0.33
Return on Investment (ROI) (PBT/Networth)		0.05	0.06
Debt Equity Ratio (Total Liability/Networth)		8.08	5.46
Current Ratio (Current Asset/Current Liability)		2.72	1.58

Total Liability = Short-term Debt + Long-term Debt + Current Maturities of Long-term debts

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

DEBT EQUITY RATIO

Particulars	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)
Share Capital	40.776	43.170
Reserves & Surplus	0.000	0.000
Money received against share warrants	0.000	0.000
Share Application money pending allotment	0.000	0.000
Net worth	40.776	43.170
Long-term borrowings	176.396	302.592
Short term borrowings	46.300	46.391
Total borrowings	222.696	348.983
Debt/Equity ratio	5.461	8.084

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)
Sales	3610.810	3001.759
		-16.867

NET PROFIT MARGIN

Net Profit Margin	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)
Sales	3610.810	3001.759
Profit	2.330	2.150
	0.06%	0.07%

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	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	Yes
19	Major customers	Yes
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 two years	No
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	Yes
35	Negative Reporting by Auditors in the Annual Report	No

TRADE REFERENCES

· Garg Tubes Limited

Address: Dujana, G.B. Nagar, Uttar Pradesh, India

Contact Person: Mr. Rahul Garg (91-9873300077)

· Salarasar Techno Heavy Engg. Private Limited

Address: Village Khera, Hapur, District Ghaziabad, Uttar Pradesh, India

Contact Person: Mr. Alok (91-9810003009)

· Maheshwari Electricals Mfrs. Private Limited

Address: A-59, Sector 5, Noida, Uttar Pradesh, India

Contact Person: Mr. Gopal (91-9811027324)

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. 63.51
UK Pound	1	Rs. 100.94
Euro	1	Rs. 72.32

INFORMATION DETAILS

Information Gathered by :	PPT
Analysis Done by :	KIN
Report Prepared by :	BVA

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
--PROFITABILITY	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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		30

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.