MIRA INFORM REPORT

Report No. :	321314
Report Date :	12.05.2015

IDENTIFICATION DETAILS

Name :	ESKAY IODINE PRIVATE LIMITED

Registered Office :	A-3, Shivnagar Estate, North Wing, Dr. Annie Besant Road, Worli, Mumbai – 400018, Maharashtra
Tel No.:	91-22-66227575

Country :	India

Financials (as on) :	31.09.2014

Date of Incorporation :	13.09.2011

Com. Reg. No.:	11-221911

Capital Investment / Paid-up Capital :	Rs.40.000 Million

CIN No.: [Company Identification No.]	U24100MH2011PTC221911

IEC No.:	312033443

TAN No.: [Tax Deduction & Collection Account No.]	Not Available

PAN No.: [Permanent Account No.]	AACCE8356L

Legal Form :	Private Limited Liability Company

Line of Business :	Manufacturer and Supplier of Potassium Iodine, Copper Iodine

No. of Employees :	100 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (27)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 400000

Status :	Moderate

Payment Behaviour :	Slow but correct

Litigation :	Clear

Comments :	Subject is an established company having moderate track record. The company has incurred a huge loss from its operation during 2014. However, trade relations are reported as fair. Business is active. Payments 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

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	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 31-03-2014.

INFORMATION PARTED BY

Name :	Mr. Sunil
Designation :	General Manager
Contact No.:	91-7567039300
Date :	06.05.2015

LOCATIONS

Registered Office :	A-3, Shivnagar Estate, North Wing, Dr. Annie Besant Road, Worli, Mumbai – 400018, Maharashtra, India
Tel. No.:	91-22-66227575
Mobile No.:	91-7567039300 (Mr. Sunil)
Fax No.:	91-22-66227600
E-Mail :	roc@chokshigroup.com eskay@sk1932.com info@sk1932.com
Website :	www.sk1932.com
Location :	Owned

Factory :	Plot No. 907/2, Jhagadia GIDC Estate, Jhagadia – 393110, Gujarat, India

DIRECTORS

As on 30.09.2014

Name :

Mr. Bipin Nemchand Shah

Designation :

Director

Address :

1801, Dev Darshan, 50 Ridge Road, Teen Batti, Mumbai – 400006, Maharashtra, India

Date of Birth/Age :

07.03.1949

Date of Appointment :

19.10.2011

DIN No.:

00083244

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	U24239MH1983PTC030195	S KANT PHARMA PRIVATE LIMITED	Director	03-02-2012	16-12-1985	-	Active	NO
2	L24230MH1960PLC011586	ANUH PHARMA LIMITED	Managing director	01-04-2014	04-09-1987	-	Active	NO
3	U24231WB1983PTC036434	FRANCO INDIAN MEDICARE PVT LTD	Director	01-12-1993	01-12-1993	21-07-2008	Active	NO
4	U24100MH2011PTC221911	ESKAY IODINE PRIVATE LIMITED	Director	19-10-2011	19-10-2011	-	Active	NO
5	U51101MH2012PTC236003	ITAL PHARCHEM PRIVATE LIMITED	Director	20-09-2012	20-09-2012	-	Active	NO

Name :

Mr. Ketan Lalit Shah

Designation :

Director

Address :

B2/2, Amalfi, 27 B, L.D. Ruparel Marg, Malabar Hill, Mumbai – 400006, Maharashtra, India

Date of Birth/Age :

26.05.1971

Date of Appointment :

13.09.2011

DIN No.:

00083326

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	U67120MH1983PTC029949	L P SHAH HOLDINGS AND TRADES PVT LTD	Director	29-06-1991	29-06-1991	-	Converted to LLP and dissolved	NO
2	U24239MH1983PTC030195	S KANT PHARMA PRIVATE LIMITED	Director	07-03-1996	07-03-1996	-	Active	NO
3	U24100MH2011PTC221911	ESKAY IODINE PRIVATE LIMITED	Director	13-09-2011	13-09-2011	-	Active	NO
4	AAD-6905	L P SHAH HOLDINGS AND TRADES LLP	Designated Partner	31-03-2015	31-03-2015	-	Active	NO

Name :

Mr. Samir Jayantilal Shah

Designation :

Director

Address :

3-B, Suvas Apartment, Rungta Lane, 68 F, Nepeansea Road, Mumbai – 400006, Maharashtra, India

Date of Birth/Age :

22.10.1966

Date of Appointment :

19.10.2011

DIN No.:

00157396

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	U67120MH1983PTC029955	JAPOSHA INVESTMENTS AND TRADES PVT LTD	Director	22-07-1987	22-07-1987	-	Active	NO
2	U24230MH1990PTC057922	PRAGATI PHARMA PRIVATE LIMITED	Director	29-08-1990	29-08-1990	-	Active	NO
3	U24230MH1996PLC098246	S KANT HEALTHCARE LIMITED	Director	06-06-2013	28-04-2004	-	Active	NO
4	U24239MH1983PTC030195	S KANT PHARMA PRIVATE LIMITED	Director	14-03-2007	14-03-2007	-	Active	NO
5	U24239MH1983PTC030201	SEVANTILAL KANTILAL PRIVATE LIMITED	Director	29-07-2008	29-07-2008	-	Active	NO
6	U24230MH1994PTC080562	S KANT CHEMICALS PRIVATE LIMITED	Director	08-08-2008	08-08-2008	30-10-2009	Active	NO
7	U24100MH2011PTC221911	ESKAY IODINE PRIVATE LIMITED	Director	19-10-2011	19-10-2011	-	Active	NO

Name :

Mr. Lalit Popatlal Shah

Designation :

Director

Address :

B2/2, Amalfi, 27 B, L.D. Ruparel Marg, Malabar Hill, Mumbai – 400006, Maharashtra, India

Date of Birth/Age :

02.10.1936

Date of Appointment :

13.09.2011

DIN No.:

00396345

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	U93090TN1973PTC010295	FRANCO INDIAN RESEARCH PRIVATE LIMITED	Director	19-08-1979	19-08-1979	14-08-2008	Active	NO
2	L24230MH1960PLC011586	ANUH PHARMA LIMITED	Director	29-10-1980	29-10-1980	-	Active	NO
3	U67120MH1983PTC029949	L P SHAH HOLDINGS AND TRADES PVT LTD	Director	10-05-1983	10-05-1983	-	Converted to LLP and dissolved	NO
4	U24230MH1996PLC098246	S KANT HEALTHCARE LIMITED	Director	18-03-1996	18-03-1996	-	Active	NO
5	U24239MH1983PTC030195	S KANT PHARMA PRIVATE LIMITED	Director	31-03-1998	31-03-1998	-	Active	NO
6	U24100MH2011PTC221911	ESKAY IODINE PRIVATE LIMITED	Director	13-09-2011	13-09-2011	-	Active	NO
7	AAD-6905	L P SHAH HOLDINGS AND TRADES LLP	Designated Partner	31-03-2015	31-03-2015	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Sunil
Designation :	General Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2014

Names of Shareholders	No. of Shares
S. Kant Pharma Private Limited, India	3999990
Bipin Nemchand Shah (S. Kant Pharma Private Limited), India	10
Total	4000000

Equity Share Break up (Percentage of Total Equity)

As on 30.09.2014

Category	Percentage
Bodies corporate	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Supplier of Potassium Iodine, Copper Iodine

Products :	Ethyl pyruvate Degreasing chemicals Methyl parathion Calcium fusmarate Lead nitratssse Potassium dihydrogen phosphate

Brand Names :	Not Available

Agencies Held :	Not Available

Exports :
Products :	Finished Goods
Countries :	Spain Australia Dubai America Europe

Imports :
Products :	Raw Material
Countries :	Chully Japan

Terms :
Selling :	Cash and Cheque

Purchasing :	Cash and Cheque

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 :

Wholesalers and Retailers

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 :

100 (Approximately)

Bankers :

Bank Name	Bank Of India
Branch	Worli (Branch), Mumbai, Maharashtra, 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)	004920110000567
Average Balance Maintained (If Possible)	Not Divulged
Credit Facilities Enjoyed (If any)	Not Divulged
Account Operation	Not Divulged
Remarks (If any)	Not Divulged

HDFC Bank Limited - Worli (Branch), Mumbai, Maharashtra, India

Facilities :

Secured Loan	31.03.2014 (Rs. in Million)	31.03.2013 (Rs. in Million)
Short-term borrowings
HDFC Bank Limited (Book Overdraft)	0.000	3.271
Total	0.000	3.271

Auditors :
Name :	Chokshi and Chokshi Chartered Accountants
Address :	15/17, Raghavji 'B' Building, Ground Floor, Raghavji Road, Gowalia Tank, Off Kemps Corner, Mumbai – 400036, Maharashtra, India
Tel. No.:	91-22-23836900
Mobile No.:	91-22-23836901
Fax No.:	contact@chokshiandchokshi.com
E-Mail :	www.chokshiandchokshi.com
PAN N Income-tax PAN of auditor or auditor's firm :	AAAFC2633B

Memberships :	Not Available

Collaborators :	Not Available

Associates:	Eskay Fine Chemicals Plum PE Investments Limited

Holding Company:	Eskay Fine Chemicals (Prop. S. Kant Pharma Private Limited)

CAPITAL STRUCTURE

As on 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount

4000000	Equity Shares	Rs.10/- each	Rs.40.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

4000000	Equity Shares	Rs.10/- each	Rs.40.000 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	40.000	40.000	40.000
(b) Reserves & Surplus	97.781	165.778	159.749
(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)	137.781	205.778	199.749

(3) Non-Current Liabilities
(a) long-term borrowings	0.000	0.000	0.000
(b) Deferred tax liabilities (Net)	4.694	0.066	0.000
(c) Other long term liabilities	0.018	0.000	0.000
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	4.712	0.066	0.000

(4) Current Liabilities
(a) Short term borrowings	100.278	3.271	0.000
(b) Trade payables	31.673	13.895	0.000
(c) Other current liabilities	2.602	1.182	0.610
(d) Short-term provisions	0.000	0.000	0.000
Total Current Liabilities (4)	134.553	18.348	0.610

TOTAL	277.046	224.192	200.359

II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	182.219	28.206	24.428
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.357	127.464	6.851
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.000	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	8.382	5.633	0.343
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	190.958	161.303	31.622

(2) Current assets
(a) Current investments	0.000	59.366	162.500
(b) Inventories	36.401	0.000	0.000
(c) Trade receivables	34.677	0.000	0.000
(d) Cash and cash equivalents	6.320	0.167	4.193
(e) Short-term loans and advances	1.159	3.163	2.044
(f) Other current assets	7.531	0.193	0.000
Total Current Assets	86.088	62.889	168.737

TOTAL	277.046	224.192	200.359

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2014	31.03.2013
	SALES
	Income	373.044	0.000
	Other Income	5.955	8.595
	TOTAL (A)	378.999	8.595

Less	EXPENSES
	Cost of Materials Consumed	355.985	0.000
	Purchases of Stock-in-Trade	40.458	0.000
	Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(24.954)	0.000
	Employees benefits expense	1.758	0.000
	Other expenses	39.996	2.074
	TOTAL (B)	413.243	2.074

Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (C)	(34.244)	6.521

Less	FINANCIAL EXPENSES (D)	6.876	0.337

	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)	(41.120)	6.184

Less/ Add	DEPRECIATION/ AMORTISATION (F)	22.249	0.007

	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)	(63.369)	6.177

Less	TAX (H)	4.627	0.066

	PROFIT/ (LOSS) AFTER TAX (G-H) (I)	(67.996)	6.111

	EARNINGS IN FOREIGN CURRENCY
	F.O.B. Value of Exports	219.349	0.000
	TOTAL EARNINGS	219.349	0.000

	IMPORTS
	Raw Materials (consumption)	361.021	0.000
	Raw Materials (Trading)	40.572	0.000
	TOTAL IMPORTS	401.593	0.000

	Earnings / (Loss) Per Share (Rs.)	(17.00)	1.53

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT / Sales)	(%)	(18.23)	0.000	0.00

Operating Profit Margin (PBIDT/Sales)	(%)	(9.18)	0.000	0.000

Return on Total Assets (PBT/Total Assets}	(%)	(22.90)	6.39	--

Return on Investment (ROI) (PBT/Networth)		(0.46)	0.03	--

Debt Equity Ratio (Total Debt /Networth)		0.73	0.02	0.00

Current Ratio (Current Asset/Current Liability)		0.64	3.43	276.62

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	40.000	40.000	40.000
Reserves & Surplus	159.749	165.778	97.781
Net worth	199.749	205.778	137.781

long-term borrowings	0.000	0.000	0.000
Short term borrowings	0.000	3.271	100.278
Total borrowings	0.000	3.271	100.278
Debt/Equity ratio	0.000	0.016	0.728

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)
Sales	0.000	373.044

NET PROFIT MARGIN

Net Profit Margin	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)
Sales	0.000	373.044
Profit	6.111	(67.996)
		(18.23%)

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 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	Yes
20]	Export / Import details (if applicable)	Yes
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	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

FUTURE OUTLOOK:

The Company is deploying its resources in the best possible way to increase business volumes and plants to achieve increased business in the current year.

UNSECURED LOAN

PARTICULARS	31.03.2014 (Rs. in Million)	31.03.2013 (Rs. in Million)
Short-term borrowings
S. Kant Pharma Private Limited	100.278	0.000
HDFC Bank Limited (Buyers Credit)	0.000	0.000
Total	100.278	0.000

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10412405	21/02/2013	300,000,000.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI, MAHARASHTRA - 400013, INDIA	B70986278
2	10402829	15/01/2013	450,000,000.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W , MUMBAI, MAHARASHTRA - 400013, INDIA	B68019983

FIXED ASSETS

Tangible Assets

Land and Building
Furniture and Fixtures
Plant and Machinery
Vehicles
Air Conditioner
Air Handling Unit
Electrical Installations
Fire Fighting System
Laboratory Equipment
Lighting Installation
Material Handling Equipment
Office Equipment
Pipe and Fittings
Productive Machinery
Effuent Treatment Plant
Computer

Intangible Assets

· Computer

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.63.85
UK Pound	1	Rs.98.47
Euro	1	Rs.71.51

INFORMATION DETAILS

Information Gathered by :	GAY

Analysis Done by :	RAS

Report Prepared by :	GTA

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	3
--PROFITABILITY	1~10	2
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		27

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.

MIRA INFORM REPORT

INDEX OF CHARGES

Unit