MIRA INFORM REPORT

Report No. :	311025
Report Date :	11.03.2015

IDENTIFICATION DETAILS

Name :	DANIELI INDIA LIMITED
Formerly Known As :	DANIELI ENGINEERING INDIA LIMITED GA DANIELI INDIA LIMITED
Registered Office :	Technopolis, 5^th Floor, B-Wing, Plot No.4, Block BP, Sector-V, Saltlake, Kolkata - 700091, West Bengal
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	31.10.1996
Com. Reg. No.:	21-081880
Capital Investment / Paid-up Capital :	Rs.1426.400 Million
CIN No.: [Company Identification No.]	U29130WB1996PLC081880
TIN No.:	Not Available
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	CALG01898B
PAN No.: [Permanent Account No.]	AABCG5359E
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	The Company is primarily engaged in the business of building plant and equipments for the Steel industry.
No. of Employees :	Information denied by management

RATING & COMMENTS

MIRA’s Rating :

Ba (49)

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

Maximum Credit Limit :	USD 7020000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a part of Italy based Danieli Spa. It is an established company having satisfactory track. Trade relations are fair. Business is active. Payments are reported to be usually correct. In view of strong operational financial and technical support from its reputed parent, the company 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 – 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	CRISIL
Rating	Long Term Rating = A-
Rating Explanation	Adequate degree of safety and low credit risk
Date	03.02.2015

Rating Agency Name	CRISIL
Rating	Short Term Rating = A2+
Rating Explanation	Strong degree of safety and low credit risk
Date	03.02.2015

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 Co-Operative (Tel No.: 91-33-39847777)

LOCATIONS

Registered Office / Corporate Office :	Technopolis, 5^th Floor, B-Wing, Plot No.4, Block BP, Sector-V, Saltlake, Kolkata - 700091, West Bengal, India
Tel. No.:	91-33-39847777 / 39847503
Fax No.:	91-33-39847501 / 39847501
E-Mail :	r.kapoor@india.danieli.com sa.sarkar@india.danieli.com info@india.danieli.com
Factory 1 :	7000 , Central Expressway, Sricity, Chittoor - 517588, Andhra Pradesh, India
Factory 2 :	Located At Kolkata – 700024, West Bengal, India
Operational Office :	Located At Mumbai, Maharashtra, India

DIRECTORS

As on 24.09.2014

Name :

Mr. Bikramjit Ghosh

Designation :

Whole Time Director

Address :

44/40 B. T. Road, Kolkata - 700050, West Bengal, India

Date of Birth/Age :

31.07.1959

Date of Appointment :

10.03.2005

PAN No.:

ACVPG4816D

DIN No.:

00164178

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	U29130WB1996PLC081880	DANIELI INDIA LIMITED	Managing director	01/07/2012	10/03/2006	-	Active	NO

Name :

Mr. Damir Mezulic

Designation :

Managing Director

Address :

Viadel Monte 1 33038, Sandanielidelfriuli, Italy

Date of Birth/Age :

30.04.1955

Date of Appointment :

10.03.2005

PAN No.:

APBPM4661D

DIN No.:

00189236

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	U29130WB1996PLC081880	DANIELI INDIA LIMITED	Managing director	01/04/2011	10/03/2006	-	Active	NO

Name :

Mr. Todisco Antonio

Designation :

Director

Address :

Via Dei, Platani No.96, Pagnacco-33010, Italy

Date of Birth/Age :

13.05.1959

Date of Appointment :

19.07.2008

DIN No.:

01720469

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	U29130WB1996PLC081880	DANIELI INDIA LIMITED	Director	19/12/2007	19/07/2007	-	Active	NO

Name :

Mr. Anna Mareschi Danieli

Designation :

Director

Address :

Via G. B. Beltrame 69, Buttrio, NA, Italy

Date of Birth/Age :

04.11.1980

Date of Appointment :

29.02.2012

DIN No.:

05225164

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	U29130WB1996PLC081880	DANIELI INDIA LIMITED	Director	03/04/2012	29/02/2012	-	Active	NO

Name :

Pairot Anuratpanich

Designation :

Additional Director

Address :

9 Soi Phrayamontat, Yak 35-6, Bangbon, Bangkok, 10150, Thailand

Date of Appointment :

09.12.2014

DIN No.:

07038968

KEY EXECUTIVES

Name :	Mr. Sandip Sarkar
Designation :	Company Secretary
Address :	276 Baghajatin Place, Kolkata-700086, West Bengal, India
Date of Birth/Age :	03.07.1974
Date of Appointment :	19.07.2007

MAJOR SHAREHOLDERS

As on 24.09.2014

Names of Shareholders	No. of Shares
Bikramjit Ghosh	1
Shivaji Chakravorty	1
Shyamanta Bardoloi	1
Industrielle Beteiligung S.A., India	142641289
Nilotpal Kundu	1
Sandip Sarkar	1
Subrata Paul	1
Total	142641295

Equity Share Break up (Percentage of Total Equity)

As on 24.09.2014

Category	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	99.97
Directors or relatives of Directors	0.01
Other top fifty shareholders	0.02
Total	100.00

BUSINESS DETAILS

Line of Business :

The Company is primarily engaged in the business of building plant and equipments for the Steel industry.

Products :

Product Description	Item Code No. (ITC Code)
Solid State Generator	85.04
Electrode Arm Assembly	85.14
Coil Cradle Assembly	85.14

Brand Names :

--

Agencies Held :

--

Exports :

Not Divulged

Imports :

Not Divulged

Terms :

Selling :

Not Divulged

Purchasing :

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
Experience :	Not Divulged
Maximum Limit Dealt :	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
Experience :	Not Divulged
Maximum Limit Dealt :	Not Divulged
Remark :	Not Divulged

No. of Employees :

Information denied by management

Bankers :

• Punjab National Bank, BA-1, Salt Lake, Sector-I, Kolkata - 700064, West Bengal, India
• Bank of India, Kolkata Corporate Banking Branch, 5, B.T.M. Sarani, Kolkata - 700001, West Bengal, India
• The Hongkong And Shanghai Banking Corporation Limited, Hongkong House, 31 B B D Bag, Kolkata - 700001, West Bengal, India
• State Bank of India, Corporate Accounts Group Branch, Reliance House, 34 Jawahar Lal Nehru Road, Kolkata - 700071, West Bengal, India

Facilities :

SECURED LOANS	31.03.2014 Rs. In Million	31.03.2013 Rs. In Million
LONG TERM BORROWINGS
Foreign currency term loans from banks	1363.000	1402.600
SHORT TERM BORROWINGS
Working capital loans from banks	246.400	196.100
Loans repayable on demand from banks	885.500	398.500
Total	2494.900	1997.200

Auditors :
Name :	SRBC and Company LLP Chartered Accountants
PAN No.:	ABSFS4151K
Memberships :	--
Collaborators :	--
Holding Company :	Industrielle Beteilligung SA
Ultimate Parent Company :	Danieli and C. Officine Meccaniche, S.p.A
Fellow Subsidiary :	· Danieli Automation S.p.A. · Danieli Centro Combustion India Private Limited (Formerly Centro Combustion Furnace Private Limited) · Danieli Centro Combustion S.p.A. · Danieli Corus Technical Services BV · Danieli Centro Cranes Spa · Danieli Procome Iberica SA (ESP) (Formerly Danieli Morgardshammar Iberica SA (ESP) · More S.r.l. · Rotelec SA (FRA) · Systec Doo System Technology (SVN) · Danieli Morgardshammar AB · Danieli UK Holding Limited. · Danieli Engineering and Services GMBH-DEA · Danieli Changsu Trading Co. Limited (Formerly Danieli China Trading) · Sund Birsta AB · Danieli Corporation Inc. · Danieli Changshu Metallurgical Equipment and Service Co. Limited · Danieli Automation Co. Limited · Danieli Construction International Spa · Danieli Co., Limited. (Formerly Danieli Far East)

CAPITAL STRUCTURE

As on 24.09.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
400000000	Equity Shares	Rs.10/- each	Rs.4000.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
142641295	Equity Shares	Rs.10/- each	Rs.1426.400 Million

FINANCIAL DATA

[all figures are in Rupees Million]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2014 (12 Months)	31.03.2013 (9 Months)	30.06.2012 (12 Months)
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	1,426.400	1,426.400	1,426.400
(b) Reserves & Surplus	1,030.500	1,223.100	990.500
(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)	2,456.900	2,649.500	2,416.900
(3) Non-Current Liabilities
(a) long-term borrowings	3,068.200	2,632.700	1,481.000
(b) Deferred tax liabilities (Net)	2,947.800	3,231.100	1,068.300
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	27.400	25.500	18.900
Total Non-current Liabilities (3)	6,043.400	5,889.300	2,568.200
(4) Current Liabilities
(a) Short term borrowings	1,420.900	970.900	653.500
(b) Trade payables	2,891.800	2,487.400	2,205.900
(c) Other current liabilities	6,508.100	3,851.700	2,464.300
(d) Short-term provisions	104.700	169.100	233.800
Total Current Liabilities (4)	10,925.500	7,479.100	5,557.500
TOTAL	19,425.800	16,017.900	10,542.600
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	5,316.700	685.300	663.800
(ii) Intangible Assets	26.700	21.500	17.300
(iii) Capital work-in-progress	18.200	2,810.200	772.400
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	5.000	5.000	5.000
(c) Deferred tax assets (net)	156.600	56.700	97.000
(d) Long-term Loan and Advances	294.100	245.800	337.900
(e) Other Non-current assets	2,721.500	2,920.000	2,019.200
Total Non-Current Assets	8,538.800	6,744.500	3,912.600
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	437.000	314.700	194.600
(c) Trade receivables	2,476.700	1,968.400	2,150.400
(d) Cash and cash equivalents	3,548.400	4,701.600	3,144.800
(e) Short-term loans and advances	1,253.800	575.700	655.000
(f) Other current assets	3,171.100	1,713.000	485.200
Total Current Assets	10,887.000	9,273.400	6,630.000
TOTAL	19,425.800	16,017.900	10,542.600

PROFIT & LOSS ACCOUNT

	PARTICULARS			31.03.2014 (12 Months)	31.03.2013 (9 Months)	30.06.2012 (12 Months)
	SALES
		Income		6,581.700	5,074.500	5,689.000
		Other Income		361.000	158.000	115.600
		TOTAL (A)		6,942.700	5,232.500	5,804.600
Less	EXPENSES
		Cost of Materials Consumed		4,584.000	3,298.300	3,659.700
		Changes in Inventories of finished goods, work-in-progress and stock-in-trade		893.000	397.600	414.700
		Other Expenses		1,463.300	929.200	968.600
		TOTAL (B)		6,940.300	4,625.100	5,043.000
	PROFIT/(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)			2.400	607.400	761.600
Less	FINANCIAL EXPENSES (D)			203.600	138.200	129.200
	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)			(201.200)	469.200	632.400
Less	DEPRECIATION/ AMORTISATION (F)			91.200	33.200	41.000
	PROFIT/(LOSS) BEFORE TAX (E-F) (G)			(292.400)	436.000	591.400
Less	TAX (H)			(99.800)	203.400	200.500
	PROFIT/(LOSS) AFTER TAX (G-H) (I)			(192.600)	232.600	390.900
	EARNINGS IN FOREIGN CURRENCY
			Export Earnings	1990.500	1438.700	81.400
			Commission Earnings	0.100	0.600	0.500
			Other Earnings	244.700	116.300	1522.500
	TOTAL EARNINGS			2235.300	1555.600	1604.400
	IMPORTS
			Raw Materials	377.900	428.100	404.400
			Capital Goods	625.100	667.600	0.000
	TOTAL IMPORTS			1003.000	1095.700	404.400
	Earnings / (Loss) Per Share (Rs.)			(1.35)	1.63	3.18

KEY RATIOS

PARTICULARS		31.03.2014 (12 Months)	31.03.2013 (9 Months)	30.06.2012 (12 Months)
Net Profit Margin (PAT/Sales)	(%)	(2.93)	4.58	6.87
Operating Profit Margin (PBDIT/Sales)	(%)	0.04	11.97	13.39
Return on Total Assets (PBT/Total Assets}	(%)	(1.52)	3.32	6.12
Return on Investment (ROI) (PBT/Networth)		(0.12)	0.16	0.24
Debt Equity Ratio (Total Debt /Networth)		1.83	1.36	0.88
Current Ratio (Current Asset/Current Liability)		1.00	1.24	1.19

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

DEBT EQUITY RATIO

Particular	30.06.2012 (12 Months)	31.03.2013 (9 Months)	31.03.2014 (12 Months)
	Rs. In Million	Rs. In Million	Rs. In Million
Share Capital	1426.400	1426.400	1426.400
Reserves & Surplus	990.500	1223.100	1030.500
Money received against share warrants	0.000	0.000	0.000
Share Application money pending allotment	0.000	0.000	0.000
Net worth	2416.900	2649.500	2456.900
Long Term borrowings	1481.000	2632.700	3068.200
Short Term borrowings	653.500	970.900	1420.900
Total borrowings	2134.500	3603.600	4489.100
Debt/Equity ratio	0.883	1.360	1.827

YEAR-ON-YEAR GROWTH

Year on Year Growth	30.06.2012 (12 Months)	31.03.2013 (9 Months)	31.03.2014 (12 Months)
	Rs. In Million	Rs. In Million	Rs. In Million
Sales	5,689.000	5,074.500	6,581.700
		(10.802)	29.701

NET PROFIT MARGIN

Net Profit Margin	30.06.2012 (12 Months)	31.03.2013 (9 Months)	31.03.2014 (12 Months)
	Rs. In Million	Rs. In Million	Rs. In Million
Sales	5,689.000	5,074.500	6,581.700
Profit	390.900	232.600	(192.600)
	6.87%	4.58%	(2.93%)

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	Yes
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 LOANS:

Particulars	31.03.2014 Rs. In Million	31.03.2013 Rs. In Million
LONG TERM BORROWINGS
Loans and advances from related parties	1705.200	1230.100
SHORT TERM BORROWINGS
Loans repayable on demand from banks	289.000	376.300
Total	1994.200	1606.400

CORPORATE INFORMATION

The Company is a public company domiciled in India and incorporated under the provision of the Companies Act, 1956. The Company is primarily engaged in the business of building plant and equipments for the Steel industry. The Company has its registered office and corporate office in Kolkata, West Bengal. The Company also has manufacturing facilities at Taratalla, Kolkata, West Bengal and Sri City, Chittoor district, Andhra Pradesh. The Company also has operational office at Mumbai

REVIEW OF OPERATIONS

During the period, the net revenue from operations stood at Rs.6581.700 Million as against Rs.5074.500 Million for the previous 9 months period ended 31st March 2013. The revenue figures mentioned above include Export revenue of Rs.2235.200 Million and Rs.1555.000 Million respectively. During the period, the domestic revenue has been mainly generated from major on-going projects like JSW Caster and Rebar Mill, SAIL Bokaro Steel Plant Revamping of Hot Strip Mill, SAIL Rourkela Steel Plant Plate Mill, SAIL Bhilai Steel Plant Bar and Wire Rod Mill. The export revenue has been primarily contributed from the projects in Myanmar and Bangladesh

INDEX OF CHARGE:

Sr. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10255978	05/01/2015 *	4,800,000,000.00	Bank Of India (Lead Bank)	Kolkata Mid Corporate Branch,, 5, B.T.M. Sarani, Kolkata, West Bengal - 700001, India	C39982186
2	90383335	25/05/1987 *	1,000,000.00	State Bank of Mysore	Hosur, Hosur, Tamilnadu, India	-
3	90383333	25/05/1987 *	1,000,000.00	State Bank of Mysore	Hosur, Hosur, Tamilnadu, India	-
4	90383332	27/09/1985	2,400,000.00	State Bank of Mysore	Hosur, Hosur, Tamilnadu, India	-

*Date of modification Charges

FIXED ASSETS:

· Land

· Building

· Plant and Machinery

· Computer

· Vehicles

· Furniture and Fixture

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.62.70
UK Pound	1	Rs.94.55
Euro	1	Rs.67.66

INFORMATION DETAILS

Information Gathered by :	SVA
Analysis Done by :	SUB
Report Prepared by :	VNT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	7
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILITY	1~10	5
--LIQUIDITY	1~10	6
--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	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		49

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.