MIRA INFORM REPORT

Report No. :	329063
Report Date :	23.06.2015

IDENTIFICATION DETAILS

Name :	PERSISTENT SYSTEMS LIMITED PERSISTENT SYSTEMS AND SOLUTIONS LIMITED AMALGAMATED WITH PERSISTENT SYSTEMS LIMITED
Registered Office :	Bhageerath, 402, Senapati Bapat Road, Pune – 411016, Maharashtra
Tel. No.:	91-20-67030000 / 30234000
Country :	India
Financials (as on) :	31.03.2015
Date of Incorporation :	30.05.1990
Com. Reg. No.:	11-056696
Capital Investment / Paid-up Capital :	Rs.800.000 Million
CIN No.: [Company Identification No.]	L72300PN1990PLC056696
TAN No.: [Tax Deduction & Collection Account No.]	PNEP00909G
PAN No.: [Permanent Account No.]	AABCP1209Q
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.
Line of Business :	Subject is engaged in software product, services and technology innovation. The Company offers complete product life cycle services.
No. of Employees :	1816 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

A (64)

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well-established company having fine track record. The rating reflects company’s healthy financial risk profile marked by adequate liquidity position and decent profitability levels of the company. Trade relations are reported as fair. Business is active. Payment terms are reported to be regular and as per commitment. The company can be considered good for normal 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.

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-cooperative (91-20-67030000)

LOCATIONS

Registered Office :	Bhageerath, 402, Senapati Bapat Road, Pune – 411016, Maharashtra, India
Tel. No.:	91-20-67030000 / 30234000
Fax No.:	91-20-67030009
E-Mail :	corpse@persistent.co.in auadhoot_upadye@persistent.co.in anirudha_deshpande@persistent.co.in info@persistent.co.in
Website :	www.persistent.co.in
SEZ Unit 1 :	4 Floor, Building No. IT 3, Zone Number C - 1, Special Economic Zone, Rajiv Gandhi Infotech Park, Hinjawadi, Pune – 411057, Maharashtra, India
Tel. No.:	91-20-67983500
SEZ Unit 2 :	8 Floor, Unit No. 1, Building No. 14, Raheja Mind Space, Cyberabad, Sy. No. 64 (Part), Hi-Tech City, Madhapur, Hyderabad – 500081, Andhra Pradesh, India
Tel. No.:	91-40-67442002
Fax No.:	91-40-67441509
Development Centres :	Located At: Pune o 2A Senapati Bapat Road, Pune - 411016, Maharashtra, India o 9A/12 Kashibai Khilare Marg, Erandwana, Pune – 411004, Maharashtra, India o 39 Phase I, Rajiv Gandhi Infotech Park, Hinjawadi, Pune 411 057, Maharashtra, India Bengaluru o 1 Floor, GGR Towers, 2 Building, Sy # 18/2B, Ambalipura Road, Ambalipura Village, Sarjapur Road, Bellandur Gate, Bengaluru East Taluk, Bengaluru 560103, Karnataka, India o 1Prestige Pegasus, 3 Floor, No. 19 of Ambalipura Village, VarthurHobli, Bengaluru South Taluk, Bengaluru – 560037, Karnataka, India Goa o L- 44 Unit - 1, Software Technology Park, Verna Industrial Estate, Verna, Salcette, Goa – 403722, Maharashtra, India Hyderabad o 2 Floor, Building No. 2B, Maximus Towers, Raheja Mind Space, Survey No. 64 (Part), APIIC Software Unit Layout, Hi-Tech City, Madhapur Village, Serilingampally Mandal, Hyderabad - 500081, Andhra Pradesh, India Nagpur o 8 and 9 IT Park, MIDC Parsodi, Nagpur – 440022, Maharashtra, India o 2nd and 3rd Floor, Infotech Tower, IT Park, M.I.D.C., Parsodi, Nagpur – 440022, Maharashtra, India
Branch Office in India :	Located At: Pune Nagpur Goa Hyderabad Bangalore
Overseas Branch Office :	Located At: Australia Germany Japan Malaysia South Africa United Kingdom

DIRECTORS

As on 31.03.2014

Name :	Dr. Anand Deshpande
Designation :	Founder, Chairman and Managing Director
Name :	Mr. Pradeep Kumar Bhargava
Designation :	Independent Director
Name :	Mr. Sanjay. Kumar Bhattacharya
Designation :	Independent Director
Name :	Dr. Anant Jhingran
Designation :	Independent Director
Name :	Mr. Prakash Telang
Designation :	Independent Director
Name :	Mr. Kiran Umrootkar
Designation :	Independent Director
Name :	Mr. Nitin Kulkarni
Designation :	Executive Director
Name :	Mr. Mritunjay Kumar Singh
Designation :	Executive Director

KEY EXECUTIVES

Name :	Mr. Amit Atre
Designation :	Company Secretary
Name :	Mr. Rohit Kamat
Designation :	Chief Financial Officer
Audit Committee :
Name :	Mr. Kiran Umrootkar
Designation :	Chairman of the Committee and Independent Director
Name :	Mr. Pradeep Kumar Bhargava
Designation :	Independent Director
Name :	Mr. Sanjay Kumar Bhattacharyya
Designation :	Independent Director
Name :	Mr. Nitin Kulkarni
Designation :	Executive Director
Corporate Social Responsibility (CSR) Committee :
Name :	Mr. Prakash Telang
Designation :	Chairman of the Committee and Independent Director
Name :	Mr. Sanjay Kumar Bhattacharyya
Designation :	Independent Director
Name :	Dr. Anant Jhingran
Designation :	Independent Director
Corporate Social Responsibility (CSR) Committee :
Name :	Dr. Anant Jhingran
Designation :	Chairman of the Committee and Chairman and Managing Director
Name :	Mr. Pradeep Kumar Bhargava
Designation :	Independent Director
Name :	Mr. Prakash Telang
Designation :	Independent Director
Executive Committee :
Name :	Mr. Kiran Umrootkar
Designation :	Chairman of the Committee and Independent Director
Name :	Dr. Anant Jhingran
Designation :	Independent Director
Name :	Mr. Nitin Kulkarni
Designation :	Executive Directortin Kulkarni
Name :	Mr. Prakash Telang
Designation :	Independent Director
Nomination and Governance Committee
Name :	Mr. Pradeep Kumar Bhargava
Designation :	Chairman of the Committee and Independent Director
Name :	Mr. Sanjay Kumar Bhattacharyya
Designation :	Independent Director
Name :	Dr. Anant Jhingran
Designation :	Independent Director
Name :	Mr. Prakash Telang
Designation :	Independent Director
Name :	Mr. Kiran Umrootkar
Designation :	Independent Director
Shareholders' / Investors' Grievance Committee
Name :	Mr. Sanjay Kumar Bhattacharyya
Designation :	Chairman of the Committee and Independent Director
Name :	Mr. Pradeep Kumar Bhargava
Designation :	Independent Director
Name :	Dr. Anant Jhingran
Designation :	Independent Director
Name :
Designation :	Mr. Nitin Kulkarni
	Executive Director

SHAREHOLDING PATTERN

As on 31.03.2015

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	30087840	37.61
Any Others (Specify)	753500	0.94
Directors/Promoters & their Relatives & Friends	753500	0.94
Sub Total	30841340	38.55
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	30841340	38.55
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	7376055	9.22
Financial Institutions / Banks	69480	0.09
Foreign Institutional Investors	17993601	22.49
Any Others (Specify)	366862	0.46
Foreign Companies	366862	0.46
Sub Total	25805998	32.26
(2) Non-Institutions
Bodies Corporate	1374702	1.72
Individuals
Individual shareholders holding nominal share capital up to Rs. 0.100 Million	5774795	7.22
Individual shareholders holding nominal share capital in excess of Rs. 0.100 Million	7213834	9.02
Any Others (Specify)	8989331	11.24
Non Resident Indians	884371	1.11
Trusts	4698586	5.87
Directors & their Relatives & Friends	38800	0.05
Clearing Members	347595	0.43
Foreign Nationals	40400	0.05
Foreign Port Folio Investor Corporate	2979579	3.72
Sub Total	23352662	29.19
Total Public shareholding (B)	49158660	61.45
Total (A)+(B)	80000000	100.00
(C) Shares held by Custodians and against which Depository Receipts have been issued	0	0.00
(1) Promoter and Promoter Group	0	0.00
(2) Public	0	0.00
Sub Total	0	0.00
Total (A)+(B)+(C)	80000000	0.00

Shareholding belonging to the category "Promoter and Promoter Group"

No.	Name of the Shareholder	Details of Shares held
		No. of Shares held	As a % of grand total (A)+(B)+(C)
1	Anand Suresh Deshpande	2,28,11,840	28.51
2	Suresh Purushottam Deshpande	72,76,000	9.10
3	Sulabha Suresh Deshpande	5,66,000	0.71
4	Sonali Anand Deshpande	1,12,000	0.14
5	Chitra Hemadri Buzruk	69,400	0.09
6	Hemadri Narayan Buzruk	5,400	0.01
7	Padmakar Govind Khare	700	0.00
	Total	3,08,41,340	38.55

Shareholding belonging to the category "Public" and holding more than 1% of the Total No. of Shares

No.	Name of the Shareholder	No. of Shares held	Shares as % of Total No. of Shares
1	PSPL ESOP Management Trust	4599912	5.75
2	Saif Advisors Mauritius Ltd A/c Saif India IV FII Holdings Ltd	4266296	5.33
3	ICICI Prudential Value Discovery Fund	2016584	2.52
4	Nordea 1 Sicav Emerging Stars Equity Fund	1857277	2.32
5	HDFC Trustee Company Ltd A/c HDFC Mid Capopportunities Fund	1737600	2.17
6	Shridhar Bhalchandra Shukla	1600000	2.00
7	Smallcap World Fund Inc	1335163	1.67
8	Amansa Holdings Pvt Ltd	1237718	1.55
9	Wasatch Emerging Markets Small Cap Fund	1237118	1.55
10	Ashutosh Vinayak Joshi	1117946	1.40
11	Equinox Partners LP	894702	1.12
	Total	21900316	27.38

Shareholding belonging to the category "Public" and holding more than 5% of the Total No. of Shares

No.	Name(s) of the shareholder(s) and the Persons Acting in Concert (PAC) with them	No. of Shares	Shares as % of Total No. of Shares
1	PSPL ESOP Management Trust	4599912	5.75
2	Saif Advisors Mauritius Ltd A/c Saif India IV FII Holdings Ltd	4266296	5.33
	Total	8866208	11.08

BUSINESS DETAILS

Line of Business :

Subject is engaged in software product, services and technology innovation. The Company offers complete product life cycle services.

Products :

Name and Description of products	NIC Code
Software Development and IT Services	892

Brand Names :

Not Available

Agencies Held :

Not Available

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 :

1816 (Approximately)

Bankers :

• Axis Bank
• Bank of India
• BNP Paribas
• Bank of Tokyo-Mitsubishi
• Citibank NA
• HDFC Bank Limited
• State Bank of India
• Syndicate Bank

Auditors :
Name 1 :	S.R. Batliboi and Company Chartered Accountants
Auditors :
Name 2 :	Joshi Apte and Company Chartered Accountants
Subsidiaries (As on 31.03.2014) :	Persistent Systems, Inc. Persistent Systems Pte Limited Persistent Systems France SAS Persistent Systems Malaysia Sdn. Bhd. Persistent Telecom Solutions Inc. (wholly owned subsidiary of Persistent Systems, Inc.) CloudSquads Inc. (wholly owned subsidiary of Persistent Systems, Inc.)

CAPITAL STRUCTURE

As on 31.03.2015

Authorised Capital :

No. of Shares	Type	Value	Amount
112000000	Equity Shares	Rs.10/- each	Rs.1120.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
80000000	Equity Shares	Rs.10/- each	Rs.800.000 Million

*The Company allotted 40 million equity shares as fully paid bonus equity shares on March 12, 2015 in the ratio of 1:1 by capitalization of securities premium Rs. 400 million pursuant to the shareholders’ resolution passed in the extra-ordinary general meeting held on February 26, 2015. The bonus issue resulted in an increase of paid-up capital by Rs. 400 million.

a) Reconciliation of the shares outstanding at the beginning and at the end of the year

The reconciliation of the number of shares outstanding and the amount of share capital as at March 31, 2014 and March 31, 2015 is set out below:

PARTICULAR	As at March 31, 2015
	No of shares	Amount (Rs. In Million)
Number of shares at the beginning of the year	4000000	400.000
Add : Bonus shares issued	4000000	400.000
Number of shares at the end of the year	8000000	800.000

b) Terms / rights attached to equity shares

The Company has only one class of equity shares having a par value of `10 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 the ensuing Annual General Meeting.

During the year ended March 31, 2015, the amount of per share interim dividend (pre bonus issue) recognized as distributions to equity shareholders is ` 10 (March 31, 2014: ` 8).

During the year ended March 31, 2015, the amount of per share final dividend recognized as distributions to equity shareholders is ` 5 (post bonus issue) [March 31, 2014: ` 4 (pre bonus issue)].

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.

c) Aggregate number of bonus shares issued, shares issued for consideration other than cash and shares bought back during the period of five years immediately preceding the reporting date

PARTICULAR	As at March 31, 2015
	No of shares
Equity shares allotted on March 12, 2015 as fully paid bonus shares by capitalization of securities premium Rs. 400 million	4000000

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

Name of Shareholder	No. in Million	% holding
Dr. Anand Deshpande jointly with Mrs. Sonali Anand Deshpande	22.92	28.65%
Mr. Suresh Deshpande jointly with Mrs. Sulabha Suresh Deshpande	7.84	9.81%
PSPL ESOP Management Trust	4.60	5.75%
Saif Advisors Mauritius Limited	4.27	5.33%

* The shareholding information is based on legal ownership of shares and has been extracted from the of the Company including register of shareholders / members.

FINANCIAL DATA

[all figures are in Rupees Million]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2015	31.03.2014	31.03.2013
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	800.000	400.000	400.000
(b) Reserves & Surplus	12748.760	11618.680	9660.440
(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)	13548.760	12018.680	10060.440
(3) Non-Current Liabilities
(a) long-term borrowings	24.720	31.870	14.200
(b) Deferred tax liabilities (Net)	0.000	0.000	0.000
(c) Other long term liabilities	1.470	0.890	0.360
(d) long-term provisions	112.650	93.230	79.870
Total Non-current Liabilities (3)	138.840	125.990	94.430
(4) Current Liabilities
(a) Short term borrowings	0.000	0.000	0.000
(b) Trade payables	330.790	271.890	230.570
(c) Other current liabilities	449.310	335.840	196.340
(d) Short-term provisions	1156.880	731.050	709.680
Total Current Liabilities (4)	1936.980	1338.780	1136.590
TOTAL	15624.580	13483.450	11291.460
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	2871.790	2555.190	2638.350
(ii) Intangible Assets	199.930	162.850	240.480
(iii) Capital work-in-progress	40.040	304.670	346.260
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	3073.540	1441.200	750.300
(c) Deferred tax assets (net)	115.470	136.460	111.780
(d) Long-term Loan and Advances	210.620	459.430	627.120
(e) Other Non-current assets	13.390	465.570	526.290
Total Non-Current Assets	6524.780	5525.370	5240.580
(2) Current assets
(a) Current investments	4619.750	4071.360	3116.180
(b) Inventories	0.000	0.000	0.000
(c) Trade receivables	2542.120	2265.930	2033.990
(d) Cash and cash equivalents	912.460	589.370	298.080
(e) Short-term loans and advances	512.580	362.340	265.750
(f) Other current assets	512.890	669.080	336.880
Total Current Assets	9099.800	7958.080	6050.880
TOTAL	15624.580	13483.450	11291.460

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2015	31.03.2014	31.03.2013
	SALES
		Income	12424.980	11841.160	9967.510
		Other Income	956.710	345.580	288.300
		TOTAL (A)	13381.690	12186.740	10255.810
Less	EXPENSES
		Employees benefits expense	6333.050	5581.700	4778.600
		Cost of Technical Professional	1426.980	1104.980	973.080
		Other expenses	1638.310	1495.620	1440.830
		TOTAL (B)	9398.340	8182.300	7192.510
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		3983.350	4004.440	3063.300
Less	FINANCIAL EXPENSES (D)		3.370	0.530	0.360
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		3979.980	4003.910	3062.940
Less/ Add	DEPRECIATION/ AMORTISATION (F)		491.690	584.080	596.950
	PROFIT BEFORE TAX (E-F) (G)		3488.290	3419.830	2465.990
Less	TAX (H)		895.320	934.130	647.900
	PROFIT AFTER TAX (G-H) (I)		2592.970	2485.700	1818.090
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		5127.700	4197.880	3526.350
Less	APPROPRIATIONS
		Interim dividend	400.000	320.000	240.000
		Proposed final dividend	400.000	160.000	120.000
		Tax on Dividend	161.410	81.580	59.320
		Transferred to general reserve	1037.200	994.300	727.240
	BALANCE CARRIED TO THE B/S		5722.060	5127.700	4197.880
	EARNINGS IN FOREIGN CURRENCY
		Sale of software		10606.230	9088.190
		Interest		20.050	5.260
		Dividend		19.410	0.000
		Other Earnings		3.630	3.640
	TOTAL EARNINGS		NA	10649.320	9097.090
	IMPORTS
		Capital Goods	NA	165.770	140.710
	TOTAL IMPORTS		NA	165.770	140.710
	Earnings Per Share (Rs.)
	Basic		32.87	31.94	47.12
	Diluted		32.41	31.07	45.45

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Particulars	31.03.2015	31.03.2014	31.03.2013
Current Maturities of Long term debt	20.170	0.000	0.000
Cash generated from operations	2811.700	2433.530	2163.000

KEY RATIOS

PARTICULARS		31.03.2015	31.03.2014	31.03.2013
Net Profit Margin (PAT / Sales)	(%)	20.87	20.99	18.24
Operating Profit Margin (PBIDT/Sales)	(%)	32.06	33.82	30.73
Return on Total Assets (PBT/Total Assets}	(%)	28.14	29.48	24.46
Return on Investment (ROI) (PBT/Networth)		0.26	0.28	0.25
Debt Equity Ratio (Total Debt /Networth)		0.00	0.00	0.00
Current Ratio (Current Asset/Current Liability)		4.70	5.94	5.32

STOCK PRICES

Face Value	Rs.10.00
Market Value	Rs.719.00

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	400.000	400.000	800.000
Reserves & Surplus	9660.440	11618.680	12748.760
Net worth	10060.440	12018.680	13548.760
long-term borrowings	14.200	31.870	24.720
Short term borrowings	0.000	0.000	0.000
Current maturities of long-term debts	0.000	0.000	20.170
Total borrowings	14.200	31.870	44.890
Debt/Equity ratio	0.001	0.003	0.003

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	9967.510	11841.160	12424.980
		18.798	4.930

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	9967.510	11841.160	12424.980
Profit	1818.090	2485.700	2592.970
	18.24%	20.99%	20.87%

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	No
10]	Date of Birth of Proprietor / Partners / Directors	No
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	No
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	--
33]	Market information	--
34]	Payments terms	No
35]	Negative Reporting by Auditors in the Annual Report	No

UNSECURED LOAN:

Unsecured Loan	31.03.2015 (Rs. in Million)	31.03.2014 (Rs. in Million)
Long-term Borrowings
Term loans Indian rupee loan from others	44.890	31.870
Less: Current maturity of long-term borrowings transferred to other current liabilities	(20.170)	0.000
Total	24.720	31.870

NATURE OF OPERATIONS

The “Company is a public Company domiciled in India and incorporated under the provisions of the Companies Act, 1956 (the “Act”). The shares of the Company are listed on Bombay Stock Exchange and National Stock Exchange. The Company is a global company specializing in software products, services and technology innovation. The Company offers complete product life cycle services.

INDEX OF CHARGE:

Sr. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	90087461	10/10/2005	45,000,000.00	CITI BANK N.A.	2413; Parmar House, East Street, Pune, Maharashtra - 411001, India	-
2	90085601	02/03/2006 *	108,000,000.00	BANK OF INDIA	Pune Main Branch 8, Dr. Koyaji Road, Pune, Maharashtra - 411001, India	-

FIXED ASSETS:

· Freehold land

· Leasehold land

· Buildings

· Computers

· Office Equipments

· Plant and Machinery

· Leasehold Improvements

· Furniture and Fixtures

· Vehicles

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 :	PRT
Analysis Done by :	KAR
Report Prepared by :	JYTK

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	8
PAID-UP CAPITAL	1~10	7
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	7
--PROFITABILIRY	1~10	7
--LIQUIDITY	1~10	7
--LEVERAGE	1~10	7
--RESERVES	1~10	7
--CREDIT LINES	1~10	7
--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	YES
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		64

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.