MIRA INFORM REPORT

Report No. :	323811
Report Date :	29.05.2015

IDENTIFICATION DETAILS

Name :	SMCC CONSTRUCTION INDIA LIMITED (w.e.f. 11.05.2005)
Formerly Known As :	MITSUI KENSETSU INDIA LIMITED
Registered Office :	23, Local Shopping Complex, Madangir, Near Pushp Bhawan, New Delhi – 110 062
Tel. No.:	91-11-41392800
Country :	India
Financials (as on) :	31.12.2013
Date of Incorporation :	12.12.1996
Com. Reg. No.:	55-083806
Capital Investment / Paid-up Capital :	Rs.2.000 million
CIN No.: [Company Identification No.]	U65991DL1996PLC083806
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	DELM04771E
PAN No.: [Permanent Account No.]	AAACM7822P
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Subject is engaged in the business of construction of factory buildings and in rendering consultancy for designs and drawings.
No. of Employees :	450 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (50)

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

Maximum Credit Limit :	USD 4615000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Exist
Comments :	Subject is a subsidiary of “Sumitomo Mitsui Construction Company Limited”, Japan. It is an established company having satisfactory track record. Management has failed to file its financial record with government department for the year 2014. The company possesses a decent financial profile marked by healthy net-worth along with zero debt balance sheet of the company. Rating also takes into account of strong financial and managerial support that company receives from its parent company. However, rating strength partially offset by absence of latest financial information and risk associate with the construction business. Trade relations are reported as fair. Payment terms are reported to be usually correct. In view of strong parent company support backed by adequate balance sheet profile, the company can be considered for business dealings at usual trade terms and condition.

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 – March 31, 2015

Country Name	Previous Rating (31.12.2014)	Current Rating (31.03.2015)
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

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. Dharmesh
Designation :	General Manager of Accounts and Finance
Contact No.:	91-11-41392800
Date :	21.05.2015

LOCATIONS

Registered Office/ Corporate Office :	23, Local Shopping Complex, Madangir, Near Pushp Bhawan, New Delhi – 110 062, India
Tel. No.:	91-11-41392800/ 41652801
Fax No.:	91-11-41652592/ 93
E-Mail :	smci@smcon.co.in dsingh@smcon.co.in
Website :	www.smcon.co.in
Locality :	Owned
Corporate Office :	201, 2^nd Floor, Plot Center Saket, New Delhi – 110017, India

DIRECTORS

As on 27.06.2014

Name :

Mr. Kalathil Vasudevan Ramesh

Designation :

Whole-Time Director

Address :

137-A, Shivalik Malviya Nagar, New Delhi – 110 017, India

Date of Birth/Age :

27.12.1949

Date of Appointment :

07.04.2013

PAN No.:

AARPR0764M

DIN No.:

00050946

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	U55103DL1996PTC078294	KAIRALI AYURVEDIC HEALTH RESORTS PRIVATE LIMITED	Director	18/04/1996	18/04/1996	-	Active	NO
2	U65991DL1996PLC083806	SMCC CONSTRUCTION INDIA LIMITED	Whole-time director	07/04/2013	12/12/1997	-	Active	NO
3	U33125KA1985PTC006874	SPA LABS PRIVATE LIMITED	Director	05/02/2003	05/02/2003	-	Active	NO
4	U74210DL1981PLC234183	TECPRO INFRA-PROJECTS LIMITED	Director	31/03/2005	31/03/2005	30/09/2010	Active	NO
5	U85191DL2007PTC167500	KAIRALI AYURVEDIC PRODUCTS PRIVATE LIMITED	Director	30/08/2007	30/08/2007	-	Active	NO
6	U74140DL2008PTC176256	ARC SPORTS MANAGEMENT PRIVATE LIMITED	Director	02/04/2008	02/04/2008	01/02/2009	Active	NO
7	U85300DL2013PTC258707	KEYA HERBALS PRIVATE LIMITED	Director	04/10/2013	04/10/2013	-	Active	NO
8	U74140DL2014PTC273351	KAIRALI AYURVEDIC CENTRE PRIVATE LIMITED	Director	19/11/2014	19/11/2014	-	Active	NO

Name :

Mr. Takaaki Hirano

Designation :

Director

Address :

101, 3-18-12, Hirata Ichikawa, Chiba Prefecture, N.A. Japan

Date of Birth/Age :

28.11.1956

Date of Appointment :

27.06.2008

DIN No.:

02209025

Name :

Mr. Shgeki Ikejiri

Designation :

Managing Director

Address :

B-414, 3^rd Floor, New Friends Colony, New Delhi – 110 065, India

Date of Birth/Age :

24.11.1952

Date of Appointment :

28.06.2010

DIN No.:

02989557

Name :

Mr. Hisashi Matsumoto

Designation :

Director

Address :

1-1226-65 KA, Nagareyama City, Chiba Prefecture, Japan

Date of Birth/Age :

02.10.1958

Date of Appointment :

19.06.2009

DIN No.:

02664377

Name :

Mr. Jun Maejima

Designation :

Director

Address :

7-8-10-206, Tsudanuma, Narashino City, Chiba, 275-0016, Japan

Date of Birth/Age :

15.06.1975

Date of Appointment :

27.06.2014

DIN No.:

06905075

Name :

Mr. Hidenori Yanagisawa

Designation :

Director

Address :

1-5-22, Noguchi-Cho, Higashimurayama City, Tokyo, 189-0022, Japan

Date of Birth/Age :

28.02.1960

Date of Appointment :

27.06.2014

DIN No.:

06904012

MAJOR SHAREHOLDERS

As on 27.06.2014

Names of Shareholders	No. of Shares
Sumitomo Mitsui Construction Company Limited, Japan	159995
Kairali Construction, India	39997
Ota Shunichi, (Nominee of Sumitomo Mitsui Construction Company Limited, Japan)	1
Aoki Ichiro (Nominee of Sumitomo Mitsui Construction Company Limited, Japan)	1
Tsuji Yoshiki (Nominee of Sumitomo Mitsui Construction Company Limited, Japan)	1
Tanaka Chiaki (Nominee of Sumitomo Mitsui Construction Company Limited, Japan)	1
Ramesh Geeta (Nominee of Kairali Construction, India)	1
Ramesh K. Abhilash (Nominee of Kairali Construction, India)	1
Ramadasan V.M. (Nominee of Kairali Construction, India)	1
Kato Hiroshi (Nominee of Sumitomo Mitsui Construction Company Limited, Japan)	1
Total	200000

As on 27.06.2014

Equity Share Breakup	Percentage of Holding
Category
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]	80.00
Directors or relatives of directors	20.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Subject is engaged in the business of construction of factory buildings and in rendering consultancy for designs and drawings.
Products/ Services :	Construction Activity Rendering Consultancy Services
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :	Not Available
Imports :	Not Available
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

PRODUCTION STATUS – NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

Reference :	Interarch, Delhi, India
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 :	Yamaha
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 :

450 (Approximately)

Bankers :

Banker Name	HDFC Bank Limited
Branch Address	New Delhi, 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)	Not Divulged
Account Operation	Not Divulged
Remarks (If any)	Not Divulged

Auditors :
Name :	S. R. Batliboi and Co. LLP Chartered Accountant
Address :	6^th Floor, HT House, 18/20 Kasturba Gandhi Marg, New Delhi – 110 001, India
PAN No.:	ACHFS9180N
Memberships :	Not Available
Collaborators :	Not Available
Holding Company :	Sumitomo Mitsui Construction Company Limited, Japan (SMCC Limited)
Enterprise holding substantial interest in voting power of the Company :	Kairali Construction, India

CAPITAL STRUCTURE

As on 27.06.2014

Authorised Capital:

No. of Shares	Type	Value	Amount
1000000	Equity Shares	Rs.10/- each	Rs.10.000 million

Issued, Subscribed & Paid-up Capital:

No. of Shares	Type	Value	Amount
200000	Equity Shares	Rs.10/- each	Rs.2.000 million

FINANCIAL DATA

[all figures are in Rupees Million]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.12.2013	31.12.2012
I. EQUITY AND LIABILITIES
(1) Shareholders' Funds
(a) Share Capital	2.000	2.000
(b) Reserves & Surplus	1613.328	1056.018
(c) Money received against share warrants	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000
Total Shareholders’ Funds (1) + (2)	1615.328	1058.018
(3) Non-Current Liabilities
(a) Long-term borrowings	0.000	0.000
(b) Deferred tax liabilities (Net)	0.000	0.000
(c) Other long term liabilities	261.391	164.824
(d) Long-term provisions	32.360	23.279
Total Non-current Liabilities (3)	293.751	188.103
(4) Current Liabilities
(a) Short term borrowings	0.000	0.000
(b) Trade payables	1135.231	1172.372
(c) Other current liabilities	2275.524	3053.911
(d) Short-term provisions	177.661	116.656
Total Current Liabilities (4)	3588.416	4342.939
TOTAL	5497.495	5589.060
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	59.648	40.596
(ii) Intangible Assets	0.000	0.000
(iii) Capital work-in-progress	2.069	3.174
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	0.000	0.000
(c) Deferred tax assets (net)	184.327	73.821
(d) Long-term Loan and Advances	71.469	38.451
(e) Other Non-current assets	0.623	0.580
Total Non-Current Assets	318.136	156.622
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	72.293	58.064
(c) Trade receivables	568.125	308.366
(d) Cash and cash equivalents	3310.782	4324.784
(e) Short-term loans and advances	341.813	385.456
(f) Other current assets	886.346	355.768
Total Current Assets	5179.359	5432.438
TOTAL	5497.495	5589.060

SOURCES OF FUNDS		31.12.2011
SHAREHOLDERS FUNDS
1] Share Capital		2.000
2] Share Application Money		0.000
3] Reserves & Surplus		637.851
4] (Accumulated Losses)		0.000
NETWORTH		639.851
LOAN FUNDS
1] Secured Loans		0.000
2] Unsecured Loans		0.000
TOTAL BORROWING		0.000
DEFERRED TAX LIABILITIES		0.000
TOTAL		639.851
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		31.685
Capital work-in-progress		0.787
INVESTMENT		0.000
DEFERRED TAX ASSETS		36.923
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	51.796
	Sundry Debtors	215.993
	Cash & Bank Balances	1729.953
	Other Current Assets	410.326
	Loans & Advances	280.394
Total Current Assets		2688.462
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	859.658
	Other Current Liabilities	1233.917
	Provisions	24.431
Total Current Liabilities		2118.006
Net Current Assets		570.456
MISCELLANEOUS EXPENSES		0.000
TOTAL		639.851

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.12.2013	31.12.2012	31.12.2011
	SALES
		Revenue from operations	9001.448	7958.014	5391.816
		Other Income	349.977	234.517	120.878
		TOTAL	9351.425	8192.531	5512.694
Less	EXPENSES
		Cost of materials consumed	1027.528	1554.880	5098.571
		Changes in inventories of finished goods, work-in-progress and stock-in-trade	(10.477)	(5.990)
		Employee benefit expense	191.331	135.369
		Other expenses	6970.021	5691.476
		TOTAL	8178.403	7375.735	5098.571
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		1173.022	816.796	414.123
Less	FINANCIAL EXPENSES		16.087	0.012	0.000
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		1156.935	816.784	414.123
Less/ Add	DEPRECIATION/ AMORTISATION		21.512	15.866	9.407
	PROFIT/ (LOSS) BEFORE TAX		1135.423	800.918	404.716
Less	TAX		402.621	266.529	131.964
	PROFIT/ (LOSS) AFTER TAX		732.802	534.389	272.752
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		NA	520.492	380.719
Less	APPROPRIATIONS
		Interim Dividend	NA	NA	80.000
		Corporate Dividend Tax	NA	NA	12.979
		Transfer to General Reserve	NA	NA	40.000
	BALANCE CARRIED TO THE B/S		NA	NA	520.492
	CIF VALUE OF IMPORT		3.031	3.522	2.612
	Earnings / (Loss) Per Share (Rs.)		3664.01	2671.95	1363.76

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Particulars	31.12.2013	31.12.2012	31.12.2011
Current Maturities of Long term debt	NA	NA	NA
Cash generated from operations	NA	NA	NA

Particulars	31.12.2014
Sales Turnover (Approximately)	8670.000

KEY RATIOS

PARTICULARS		31.12.2013	31.12.2012	31.12.2011
Net Profit Margin (PAT/Sales)	(%)	8.14	6.72	5.06
Operating Profit Margin (PBDIT/ Sales)	(%)	13.03	10.26	7.68
Return on Total Assets (PBT/Total Assets}	(%)	21.38	14.53	14.88
Return on Investment (ROI) (PBT/Networth)		0.70	0.76	0.63
Debt Equity Ratio (Total Debt/Networth)		0.00	0.00	0.00
Current Ratio (Current Asset/Current Liability)		1.44	1.25	1.27

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

DEBT EQUITY RATIO

Particular	31.12.2012	31.12.2013
	(INR in Million)	(INR in Million)
Share Capital	2.000	2.000
Reserves & Surplus	1056.018	1613.328
Net worth	1058.018	1615.328
Long Term borrowings	0.000	0.000
Short Term borrowings	0.000	0.000
Total borrowings	0.000	0.000
Debt/Equity ratio	0.000	0.000

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.12.2011	31.12.2012	31.12.2013
	(INR in Million)	(INR in Million)	(INR in Million)
Revenue from Operations	5391.816	7958.014	9001.448
		47.594	13.112

NET PROFIT MARGIN

Net Profit Margin	31.12.2011	31.12.2012	31.12.2013
	(INR in Million)	(INR in Million)	(INR in Million)
Revenue from Operations	5391.816	7958.014	9001.448
Profit	272.752	534.389	732.802
	5.06%	6.72%	8.14%

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	Yes
8	Designation of contact person	Yes
9	Promoter’s background	Yes
10	Date of Birth of Proprietor / Partners / Directors	Yes
11	Pan Card No. of Proprietor / Partners	Yes
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	Yes
19	Major customers	Yes
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	No
26	Turnover of firm for last four 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	No
32	Litigations that the firm/promoter involved in	Yes
33	Market information	----------------------
34	Payments terms	Yes
35	Negative Reporting by Auditors in the Annual Report	No

NOTE

The registered office has been shifted from A-1/20, Safdarjung Enclave, New Delhi – 110 029, India to the present address w.e.f. 26.06.2006.

LITIGATION DETAILS

IN THE HIGH COURT OF DELHI AT NEW DELHI

ITA No. 439/2014

ITA No. 511/2014

ITA No. 526/2014

COMMISSIONER OF INCOME TAX-III..... Appellant

Through: Mr. Kamal Sawhney, Senior Standing Counsel, Mr. Sanajy Kumar, Junior Standing Counsel, Mr. Mukul Mathur and Mr. Shikhar Garg, Advocates.

Versus

SMCC CONSTRUCTION INDIA LIMITED..... Respondent

Through: Mr. Abhimanyu Jhamba, Advocate.

CORAM:

HON'BLE MR. JUSTICE S. RAVINDRA BHAT

HON'BLE MR. JUSTICE R.K.GAUBA

ORDER

08.04.2015

Counsel for the revenue states that Technical Collaboration Agreement and other relevant documents which were part of the assessment would be filed within a week along with an affidavit and an adjournment is sought for the same.

List on 3rd July, 2015

S. RAVINDRA BHAT, J.

R.K.GAUBA, J.

APRIL 08, 2015

CORPORATE INFORMATION

The Company was incorporated in India on 12^th December, 1996 as Mitsui Kensetsu India Limited. A fresh certificate of incorporation consequent to the change in name to SMCC Construction India Limited was issued by the Registrar of Companies, N.C.T of Delhi and Haryana on 11^th May, 2005 under section 23(1) of the Companies Act, 1956.

The Company was promoted by Sumitomo Mitsui Construction Company Limited, Japan and Kairali Construction, having equity participation of 80% and 20% respectively, with an objective to primarily undertake industrial construction and provide related engineering consultancy services.

INDEX OF CHARGES

No Charges Exist for Company.

CONTINGENT LIABILITIES NOT PROVIDED FOR:

Particulars	31.12.2013 (Rs. in Million)	31.12.2012 (Rs. in Million)
Dispute pertaining to Works Contract tax pending in High Court of Uttar Pradesh	0.599	0.599
Demands raised by income tax authorities disputed and pending at various stages of adjudication and appellate forum	106.316	30.401
Demands raised by income tax authorities for other matters disputed and pending at various stages of adjudication and appellate forum	104.609	7.154
Pending forms related to work contract tax	36.589	--

Note: In respect of this amount, the matter is related to treatment of certain expenditure as capital expenditure instead of treating the same as revenue expenditure in return of income. In view of the management, the impact of above on profit and loss account should not be material.

FIXED ASSETS

· Building

· Leasehold Improvements

· Plant and Machinery

· Computers

· Office Equipments

· 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 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.63.90
UK Pound	1	Rs.98.16
Euro	1	Rs.69.73

INFORMATION DETAILS

Information Gathered by :	RKH
Analysis Done by :	KAR
Report Prepared by :	PNM

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
-- PROFITABILITY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	6
--RESERVES	1~10	6
--CREDIT LINES	1~10	6
--MARGINS	-5~5	---
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--LITIGATION	YES/NO	YES
--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		50

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.