MIRA INFORM REPORT

Report No. :	310364
Report Date :	10.03.2015

IDENTIFICATION DETAILS

Name :	VINAYAK STEELS LIMITED
Registered Office :	5 – 4 - 83 to 85, TSK Chambers, 1^st Floor, M.G Road, Secunderabad - 500003, Telangana
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	12.07.1985
Com. Reg. No.:	36-005654
Capital Investment / Paid-up Capital :	Rs. 50.319 Million
CIN No.: [Company Identification No.]	U27109AP1985PLC005654
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	AAACV8144M
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturing and Marketing Iron and Steel Products.
No. of Employees :	Not Divulged

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

Maximum Credit Limit :	USD 910000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. There seems sharp decline in the profit of the company during FY 2014. Profit margin of the company is very low. However, trade relations are reported as fair. Business is active. Payment terms are reported to be slow but correct. The company 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 – December 31, 2014

Country Name	Previous Rating (30.09.2014)	Current Rating (31.12.2014)
India	A1	A1

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

EXTERNAL AGENCY RATING

Rating Agency Name	ICRA
Rating	Term loan facilities: “BB+”
Rating Explanation	Moderate risk of default.
Date	May 2013

Rating Agency Name	ICRA
Rating	Non Fund Based Facility (A4+)
Rating Explanation	Minimal degree of safety. It carry very high credit risk.
Date	May 2013

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 31-03-2014.

INFORMATION DENIED

Management Non - Cooperative(91-40-27535905)

LOCATIONS

Registered Office :	5-4-83 to 85, TSK Chambers, 1^st Floor, M.G Road, Secunderabad - 500003, Telangana, India
Tel. No.:	91-40-27535905 / 27537595 / 27537606
Fax No.:	91-40-27537595
E-Mail :	dhatu@sify.com dhatu@hotmail.co.in

DIRECTORS

As on : 29.09.2014

Name :

Mr. Vinod Kedia

Designation :

Managing director

Address :

Kedia House, 1-8-210/7, Plot No. 118, Park Avenue Colony, P.G. Road, Secunderabad - 500003, Telangana, India

Date of Birth/Age :

29.08.1961

Qualification :

Graduate

Date of Appointment :

01.06.2006

PAN No.:

AADPK6734E

DIN No.:

00105909

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U65993TG1991PLC012458	NAWANDER FINANCE AND INVESTMENTS LIMITED	Director	29/09/2006	15/10/2005	-	Active	NO
2	U27109AP1985PLC005654	VINAYAK STEELS LTD	Managing director	01/06/2006	01/06/2006	-	Active	NO
3	U72200TG2001PTC037823	BALGANAPATHI STEELS INDIA PRIVATE LIMITED	Director	29/09/2009	13/08/2008	-	Active	NO
4	U27106TG2008PTC060808	GENEXT STEELS PRIVATE LIMITED	Director	29/08/2008	29/08/2008	-	Active	NO
5	U51909MH2005PTC158449	HILTON VYAPAR PRIVATE LIMITED	Director	02/08/2010	02/08/2010	01/02/2014	Active	NO

Name :

Mr. Vineet Kumar Kedia

Designation :

Whole-time director

Address :

205/206, Gagan Paradise, D.V.Colony, Minister Road, Secundarabad – 500003, Telangana, India

Date of Birth/Age :

14.05.1986

Qualification :

Graduate

Date of Appointment :

01.04.2008

PAN No.:

AQRPK4383M

DIN No.:

00123185

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U27109AP1985PLC005654	VINAYAK STEELS LTD	Whole-time director	01/04/2008	29/09/2006	-	Active	NO
2	U27106TG2008PTC060808	GENEXT STEELS PRIVATE LIMITED	Director	29/08/2008	29/08/2008	-	Active	NO

Name :

Mr. Sridhar Kumar Kshirsagar

Designation :

Director

Address :

32/A, Chandranagar Colony, Rasoolpura, Secunderabad - 500003, Telangana, India

Date of Birth/Age :

18.06.1970

Date of Appointment :

01.12.2008

DIN No.:

01193123

Name :

Mr. Sandeep Kumar Jaju

Designation :

Director

Address :

H. No. 18-4-477, Shamshergunj, Aliyabad, Hyderabad - 500053, Telangana, India

Date of Birth/Age :

09.01.1979

Date of Appointment :

27.10.2008

DIN No.:

01741682

MAJOR SHAREHOLDERS

As on: 29.09.2014

NOTE: SHAREHOLDING DETAIL FILE ATTACHED.

As on: 29.09.2014

Equity Share Break up (Percentage of Total Equity)

Category	%age
Bodies corporate	34.57
Directors or relatives of Directors	59.59
Other top fifty shareholders	5.84
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturing and Marketing Iron and Steel Products.

Products :

Product Description	Item Code No. (ITC Code)
TMT Bars	72069019

Brand Names :

VINAYAK THERMES TMT

Agencies Held :

Not Available

Exports :

Not Divulged

Imports :

Not Divulged

Terms :

Not Divulged

GENERAL INFORMATION

Suppliers :

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

Customers :

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

No. of Employees :

Not Divulged

Bankers :

• State Bank of Hyderabad, Siddiaber Bazar, Hyderabad – 500012, Telangana, India

· Axis Bank Limited, 5-2-183/184, ASC Centre, III Floor,R P Road, Hyderabad - 500003, Telangana, India

Facilities :

(Rs. In Million)

SECURED LOAN	As on 31.03.2014	As on 31.03.2013
LONG TERM BORROWING
Rupee term loan from banks	87.450	56.300
Rupee term loan from others	14.806	3.920
Loans taken from fixed assets	4.017	4.009
SHORT TERM BORROWING
Working capital loans from banks	279.926	267.881
Total	386.199	332.110

Auditors :
Name :	R. K. BANG and Company Chartered Accountants
Address :	1-2-524/211, Sagar View Building, Domalguda, Hyderabad - 500029, Telangana, India
PAN No.:	ABXPB9924A
Memberships :	Not Available
Collaborators :	Not Available
Sister Concern :	Not Available

CAPITAL STRUCTURE

As on: 29.09.2014

Authorised Capital:

No. of Shares	Type	Value	Amount
510000	Equity Shares	Rs.100/- each	Rs.51.000 Million

Issued, Subscribed & Paid-up Capital:

No. of Shares	Type	Value	Amount
503193	Equity Shares	Rs.100/- each	Rs.50.319 Million

FINANCIAL DATA

[all figures are in Rupees Million]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2014	31.03.2013	31.03.2012
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	50.319	42.569	39.569
(b) Reserves & Surplus	270.896	215.757	191.749
(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)	321.215	258.326	231.318
(3) Non-Current Liabilities
(a) long-term borrowings	106.273	64.229	73.764
(b) Deferred tax liabilities (Net)	10.940	10.966	11.064
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	117.213	75.195	84.828
(4) Current Liabilities
(a) Short term borrowings	361.240	378.162	415.786
(b) Trade payables	43.619	32.558	44.778
(c) Other current liabilities	74.007	67.136	74.229
(d) Short-term provisions	0.000	0.000	0.000
Total Current Liabilities (4)	478.866	477.856	534.793
TOTAL	917.294	811.377	850.939
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	263.400	242.398	191.134
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	99.457	50.740	49.469
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	78.269	80.204	80.204
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	110.532	74.687	44.277
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	551.658	448.029	365.084
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	186.800	168.877	187.913
(c) Trade receivables	103.586	124.366	176.926
(d) Cash and cash equivalents	8.380	5.800	56.523
(e) Short-term loans and advances	58.030	56.772	54.929
(f) Other current assets	8.840	7.533	9.564
Total Current Assets	365.636	363.348	485.855
TOTAL	917.294	811.377	850.939

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2014	31.03.2013	31.03.2012
	SALES
	Income	1351.503	1233.371	1366.894
	Other Income	0.000	0.000	3.895
	TOTAL (A)	1351.503	1233.371	1370.789
Less	EXPENSES
	Cost of Materials Consumed	924.445	931.112	1034.065
	Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(7.098)	(22.780)	(6.650)
	Employees benefits expense	21.815	23.419	23.510
	Other expenses	331.67	237.855	242.930
	TOTAL (B)	1270.832	1169.606	1293.855
Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (C)	80.671	63.765	76.934
Less	FINANCIAL EXPENSES (D)	48.438	34.071	40.851
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)	32.233	29.694	36.083
Less/ Add	DEPRECIATION/ AMORTISATION (F)	30.931	26.067	23.809
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)	1.302	3.627	12.274
Less	TAX (H)	0.413	0.618	4.172
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)	0.889	3.009	8.102
	Earnings / (Loss) Per Share (Rs.)	1.77	7.07	20.48

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT/Sales)	(%)	0.07	0.24	0.59
Operating Profit Margin (PBDIT / Sales)	(%)	5.97	5.17	5.63
Return on Total Assets (PBT/Total Assets}	(%)	0.18	0.53	1.70
Return on Investment (ROI) (PBT/Networth)		0.00	0.01	0.05
Debt Equity Ratio (Total Debt /Networth)		1.46	1.71	2.12
Current Ratio (Current Asset/Current Liability)		0.76	0.76	0.91

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Share Capital	39.569	42.569	50.319
Reserves & Surplus	191.749	215.757	270.896
Net worth	231.318	258.326	321.215
long-term borrowings	73.764	64.229	106.273
Short term borrowings	415.786	378.162	361.240
Total borrowings	489.550	442.391	467.513
Debt/Equity ratio	2.116	1.713	1.455

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Sales	1366.894	1233.371	1351.503
		-9.768	9.578

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Sales	1366.894	1233.371	1351.503
Profit	8.102	3.009	0.889
	0.59%	0.24%	0.07%

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check List by Info Agents	Available in Report (Yes / No)
1]	Year of Establishment	Yes
2]	Locality of the firm	Yes
3]	Constitutions of the firm	Yes
4]	Premises details	No
5]	Type of Business	Yes
6]	Line of Business	Yes
7]	Promoter's background	Yes
8]	No. of employees	No
9]	Name of person contacted	No
10]	Designation of contact person	No
11]	Turnover of firm for last three years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	----------------------
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	No
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	No
20]	Export / Import details (if applicable)	No
21]	Market information	----------------------
22]	Litigations that the firm / promoter involved in	----------------------
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	----------------------
26]	Buyer visit details	----------------------
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	Yes
29]	Last accounts filed at ROC	Yes
30]	Major Shareholders, if available	Yes
31]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

UNSECURED LOAN

(Rs. In Million)

Particulars	As on 31.03.2014	As on 31.03.2013
SHORT TERM BORROWING
Loans and advances from directors	73.689	82.009
Loans and advances from others	7.625	28.272
Total	81.314	110.281

OPERATIONS

Company is a fully integrated Steel Plant awarded with ISO 9001-2000 certification. It is equipped with modern pollution control equipment to maintain a friendly environment.

Pallet and Sponge Iron Plant : They have erected our Pallet Plant after doing lot of in-house R & D. and designed it as per our requirement, i.e., the Plant can be either Stand-alone Unit or it can also be integrated with existing Sponge Plant, resulting in production of Sponge Iron directly from Iron Ore Fine.

Steel Melting Plant : Apart from existing CCM plant, they have successfully installed another Con-cast Plant, whose commercial production has started in this running Financial year (i.e.2014-15), which will give uninterrupted supply of Billets to the Rolling Mill Division.

Rolling Mill Plant : It is equipped with the state of art German Technology for manufacturing high quality TMT Bars that are marketed under the Brand name VINAYAK THERMEX TMT

FINANCE

The company has achieved higher Revenue from Operations of Rs.134,3.852 Million compared to Rs.12,20.548 Million for the previous year. Due to the reasons mentioned above, the company recorded a dip in its net profit over its previous year, which stood at Rs.0.852 Million as compared to Rs. 3.008 Million during the previous year.

The liquidity position of the Company was satisfactory. In-spite of spurt in cost of borrowing in the year under review, the Company comfortably met its borrowing need for capital expenditure as well as for working capital requirements through its Bankers.

Outlook : Even in the tough times of economic slowdown, the industry succeeded to sustain its positive growth momentum on the strong fundamentals of domestic demand from construction and infrastructure sectors. Long term prospects of the Indian Steel Industry are very bright. Domestic Steel consumption is expected to grow steadily in the years to come driven by urbanization, infrastructural investments and industrialization

ENVIRONMENT AND SOCIAL OBLIGATION

The Company's plants comply with all norms set up for clean and better environment by the competent authorities. The Company undertakes regular checks/inspections including certification for the maintenance of the environment, health and safety. The Company values environmental protection and safety as the major considerations in its functioning. The Company has adequate effluent Treatment Plants to prevent pollution. The Company is continuously endeavoring to improve the quality of life in the communities surrounding its industrial complex.

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10538626	29/11/2014	550,000.00	Axis Bank Limited	RETAIL ASSET CENTRE, 5-2-183/184,3RD FLOOR, R.P Road, SECUNDERABAD, Telangana - 500003, INDIA	C38057089
2	10516040	31/07/2014	5,670,000.00	RELIANCE CAPITAL LTD	"H" BLOCK 1ST FLOOR, Dhirubhai Ambani Knowledge City, Koparkhairne, Navi Mumbai, Maharashtra - 4007  10, INDIA	C17414442
3	10384239	06/09/2012	1,399,200.00	Axis Bank Limited	5-2-183/184, ASC Centre, III Floor, R P Road, HYDERABABD, Telangana - 500003, INDIA	B61236949
4	10134632	04/12/2008	1,600,000.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W MUMBAI, Maharashtra - 400013, INDIA	A53323440
5	90117924	27/03/2004	1,475,000.00	KOTAK MAHINDRA BANK LTD.	HYDERABAD, HYDERABAD, Telangana, INDIA	-
6	90118899	22/01/2015 *	483,000,000.00	STATE BANK OF HYDERBAD	FIRST FLOOR, LAND MARK CENTER, SIDDIAMBER BAZAR,  HYDERABAD, HYDERABAD, Telangana - 500012, INDIA	C45032190
7	90118783	28/06/1999 *	17,500,000.00	STATE BANK OF HYDERABAD	MAHABUBGUNJ BRANCH, HYDERABAD, Telangana, INDIA	-
8	90118755	18/12/1997	138,120.00	STATE BANK OF INDIA	YELLAREDDY GUDA, HYDERABAD, Telangana, INDIA	-
9	90117045	31/03/1997 *	1,500,000.00	THE A.P. MAHESH COOPRATIVE URBAN BANK LTD.	M.G. ROAD, SECUNDRABAD, Andhra Pradesh, INDIA	-
10	90116650	08/10/1988	5,900,000.00	STATE BANK OF INDIA	YELLAREDDY GUDA, HYDERABAD, Andhra Pradesh, INDIA	-

FIXED ASSETS

· Land

· Buildings

· Plant and Equipment

· Other Pollution Reduction Equipment

· Furniture and Fixtures

· Vehicles

· Motor Vehicles

· Office Equipment

· Computer Equipments

· Other Equipments

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.62.20
UK Pound	1	Rs.94.71
Euro	1	Rs.68.60

INFORMATION DETAILS

Information Gathered by :	GYT
Analysis Done by :	DIV
Report Prepared by :	ART

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
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	4
--CREDIT LINES	1~10	3
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		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.