MIRA INFORM REPORT

Report No. :	319736
Report Date :	02.05.2015

IDENTIFICATION DETAILS

Name :	KIRAN ELECTRICAL INDUSTRIES
Registered Office :	1-8-206, Masetty Plaza, Flat. No. 204, Opposite Sind Bank, P.G. Road, Secunderabad – 500003, Andhra Pradesh
Tel No.:	91-40-27894291 / 27893255 / 421011468
Country :	India
Financials (as on) :	31.03.2014
Year of Establishment :	1982
Capital Investment / Paid-up Capital :	Not Divulged
IEC No.:	Not Available
TIN No.:	Not Available
PAN No.: [Permanent Account No.]	Not Available
Legal Form :	Partnership Concern with an unlimited liability of the partners
Line of Business :	Manufacturer of Fiber Glass Products.
No. of Employees :	27 (Approximately) (In Office 9 + In Factory 18)

RATING & COMMENTS

MIRA’s Rating :

B (29)

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. Management has reported modest scale of operations along with high gearing during FY 13. Moreover, Mr. Amit Bajaj, Accounts Head provided information and claimed that the management reported a decline in its revenue during FY 2014 to unfavorable market conditions. However, trade relations seems to be fair. Business is active. Payment Terms are reported as slow but correct. In view of lack of latest financial statements, 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 – 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

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 PARTED BY

Name :	Mr. Amit Bajaj
Designation :	Accounts Head
Contact No.:	91-9030043021
Date :	29.04.2015

LOCATIONS

Registered Office :	1-8-206, Masetty Plaza, Flat. No. 204, Opposite Sind Bank, P.G. Road, Secunderabad – 500003, Andhra Pradesh, India
Tel. No.:	91-40-27894291 / 27893255 / 421011468
Mobile No.:	91-9342503021 (Mr. Rajendra Kulkarni) 91-9030043021 (Mr. Amit Bajaj)
Fax No.:	91-8482-2322221
E-Mail :	info@kiranudyog.com response@kiranudyog.com
Website :	www.kirnudyog.com
Location :	Owned
Locality :	Commercial
Head Office :	Plot No. 5, Naubad Industrial Area, Naubad, Bidar – 585403, India
Tel. No.:	91-8482-232021 /
Fax No.:	91-8482-232221
E-Mail :	info@kiranudyog.com
Location :	Owned
Locality :	Commercial
Factory :	Plot No. 40, Noubad Industrial Area, Bidar - 585403 Karnataka, India
Tel. No.:	91-8482-232021 / 232821
Fax No.:	91-8482-232221
Location :	Owned
Locality :	Commercial

PARTNERS

Name :	Mr. Sushil Malani
Designation :	Partner
Address :	House No. 6-6-54, Osman Gunj, Bidar – 585401, Karnataka, India
Date of Birth/Age :	37 Years
Qualification :	B.E.
Experience :	14 Years
Name :	Ms. Vandana Malani
Designation :	Partner
Address :	House No. 6-6-54, Osman Gunj, Bidar – 585401, Karnataka, India
Date of Birth/Age :	36 Years
Qualification :	B. Com
Experience :	10 Years
Name :	Mrs. Prema Malani
Designation :	Partner
Address :	House No. 6-6-54, Osman Gunj, Bidar – 585401, Karnataka, India
Date of Birth/Age :	60 Years
Qualification :	B.A.
Experience :	35 Years

KEY EXECUTIVES

Name :	Mr. Rajendra Kulkarni
Designation :	Manager
Name :	Mr. Amit Bajaj
Designation :	Accounts Head

BUSINESS DETAILS

Line of Business :	Manufacturer of Fiber Glass Products.
Products :	Fiber Glass Products
Brand Names :	--
Agencies Held :	--
Exports :	Not Divulged
Imports :	Not Divulged
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

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 :

27 (Approximately) (In Office 9 + In Factory 18)

Bankers :

Banker Name	Axis Bank Limited
Branch Address	B.V.B. College Road, Bidar – 585401, Karnataka, 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 Account Opening)	Not Divulged
Average Balance Maintained (If Possible)	Not Divulged
Credit Facilities Enjoyed (If any)	Cash Credit = Rs.2.000 Million
Account Operation	Not Divulged
Remarks (If any)	Not Divulged

Banking Relations :	--
Auditors :
Name :	Kamal Kishore Attal Chartered Accountants
Address :	Osman Gunj, Bidar – 585401, Karnataka, India
Tel. No :	91-8482-226405
E-Mail :	kamalattal@yahoo.com
Memberships :	--
Sister Concern :	Kiran Udyog, Plot No. 40, Naubad Industrial Area, Naubad, Bidar – 585 403, Karnataka, India Kiran Fiber Glass Products, Shed No. S,D-11 To D-14, Naubad Industrial Area, Naubad, Bidar – 585403, Karnataka, India

CAPITAL STRUCTURE

As on 31.03.2014

Capital Investment :
Owned :	Not Divulged
Borrowed :	--
Total :	Not Divulged

FINANCIAL DATA

[all figures are in Rupees Million]

Particulars		31.03.2014
Sales Turnover (Approximately)		6.600
	(Due to market fluctuation)

Expected Sales (2014-2015): Rs.1.200 Million

The above information has been parted by Mr. Amit Bajaj

Note : Sole Proprietary and Partnership concerns are exempted from filing their financials with the Government Authorities or Registry.

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2013
SHAREHOLDERS FUNDS
1] Partners Capital		1.967
2] Share Application Money		0.00
3] Reserves & Surplus		0.560
4] (Accumulated Losses)		0.000
NETWORTH		2.527
LOAN FUNDS
1] Secured Loans		0.367
2] Unsecured Loans		9.114
TOTAL BORROWING		9.481
DEFERRED TAX LIABILITIES		0.000
TOTAL		12.008
APPLICATION OF FUNDS		0.000
FIXED ASSETS [Net Block]		4.196
Capital work-in-progress		0.000
INVESTMENT		0.000
DEFERREX TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	2.865
	Sundry Debtors	5.310
	Cash & Bank Balances	0.738
	Other Current Assets	0.000
	Loans & Advances	0.550
Total Current Assets		9.463
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	1.441
	Other Current Liabilities	0.130
	Sales Advances	0.080
Total Current Liabilities		1.651
Net Current Assets		7.812
MISCELLANEOUS EXPENSES		0.000
TOTAL		12.008

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013
	SALES
		Income	9.233
		Other Income	0.563
		TOTAL	9.796
Less	EXPENSES
		Cost of Goods Sold	5.286
		Labour Wages	0.443
		Freight Charges	0.150
		Electricity Charges	0.596
		Salary and Wages	0.617
		Vehicle Repairs	0.011
		Vehicle Tax	0.001
		Travelling Expenses	0.019
		Telephone and Mobile	0.069
		Provident Fund	0.141
		Factory License Renewal	0.003
		Printing And Stationery	0.006
		Petrol and Diesel	0.175
		Packing Materials	0.059
		Insurance	0.055
		Sundry Office Expenses	0.053
		Job Works Contractor	0.441
		Maintenance and Repairs	0.203
		Job work	0.067
		Factory Expenses	0.187
		Electricals Items	0.010
		Building Repairs	0.004
		Bank Commission and Interest	0.045
		Discount Paid	0.004
		Audit Fees	0.003
		Salary to Partners	0.300
		Interest to Partners	0.167
		TOTAL EXPENSES	9.115
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		0.681
Less/ Add	DEPRECIATION/ AMORTISATION		0.499
	NET PROFIT		0.184

KEY RATIOS

PARTICULARS		31.03.2013
Net Profit Margin (PAT/Sales)	(%)	1.99
Operating Profit Margin (PBIDT/Sales)	(%)	7.38
Return on Total Assets (PBT/Total Assets}	(%)	1.35
Return on Investment (ROI) (PBT/Networth)		0.07
Debt Equity Ratio (Total Debt /Networth)		3.75
Current Ratio (Current Asset/Current Liability)		5.73

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	Yes
9]	Name of person contacted	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last two years	Yes
12]	Profitability for last one year	Yes
13]	Reasons for variation <> 20%	Yes
14]	Estimation for coming financial year	No
15]	Capital in the business	No
16]	Details of sister concerns	Yes
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	Yes
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	No
25]	Conduct of the banking account	--
26]	Buyer visit details	--
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	No
29]	Last accounts filed at ROC	No
30]	Major Shareholders, if available	No
31]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

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 records 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.63.58
UK Pound	1	Rs.97.99
Euro	1	Rs.70.53

INFORMATION DETAILS

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

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
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	NO
--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		29

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.