MIRA INFORM REPORT

Report No. :	349164
Report Date :	07.11.2015

IDENTIFICATION DETAILS

Name :	SPAC STARCH PRODUCTS (INDIA) LIMITED (w.e.f.08.01.2013)
Formerly Known As :	SPAC TAPIOCA PRODUCTS (INDIA) LIMITED
Registered Office :	P And C Towers, II Floor, 140 Perundurai Road, Erode-638011, Tamilnadu
Tel. No.:	91-424-2250555
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	31.05.1996
Com. Reg. No.:	18-007238
Capital Investment / Paid-up Capital :	Rs. 309.706 Million
CIN No.: [Company Identification No.]	U15325TZ1996PLC007238
IEC No.:	Not Applicable [As claimed by Company management the company does not Export and Import]
TAN No.: [Tax Deduction & Collection Account No.]	CMBS05980C
PAN No.: [Permanent Account No.]	AACCS7137B
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of Starches.
No. of Employees :	285 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

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

Status :	Satisfactory
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject was set up in 1996, and it manufactures tapioca-based starch (both native and modified starch) and maize-based starch at its facility in Erode (Tamil Nadu). Rating takes consideration on company’s promoter’s extensive experience in the starch business, and its average financial risk profile, marked by moderate net worth, growing scale of its operation and comfortable debt protection metrics. This rating strength is partially offset by the company’s working-capital-intensive operations, and its vulnerability to volatility in raw material prices and to availability risks associated with agricultural produce. However, trade relations are reported to be fair. Business is active. Payments are reported to be slow but correct. In view of aforesaid, the company can be considered for business dealings with 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 – 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

Rating Agency Name	CRISIL
Rating	Long Term bank Facilities=BB+
Rating Explanation	Inadequate-credit-quality and high credit risk
Date	April, 2015
Rating Agency Name	CRISIL
Rating	Short Term bank Facilities=A4+
Rating Explanation	Minimal degree of safety and very high credit risk
Date	April, 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 31-03-2015.

INFORMATION PARTED BY

Name :	Mr. Mohan Kumar
Designation :	Accounts Manager
Contact No.:	91-9865211168
Date :	06.11.2015

LOCATIONS

Registered Office :	P And C Towers, II Floor, 140 Perundurai Road, Erode-638011, Tamilnadu, India
Tel. No.:	91-424-2250555
Mobile No.:	91-9865211168 (Mr. Mohan Kumar) 91-8220667777
Fax No.:	91-424-2250555
E-Mail :	nithyagokulcs@gmail.com sin.spac@gmail.com bdm@spac.in
Website :	http://www.spacgroup.com
Location :	Rented
Locality :	Commercial
Factory :	Poonachi Village, Mugasipudur, Anthiyur Bhavani, Erode, Tamilnadu, India
Location :	Owned

DIRECTORS

AS ON 25.08.2014

Name :	Mr. Semur Palanisamygounder Periyasamy
Designation :	Director
Address :	H - 108 , Periya Nagar, Erode-638001, Tamil Nadu, India
Date of Birth/Age :	17.12.1944
Qualification :	Matric
Date of Appointment :	31.05.1996
PAN No.:	AAGHS5500R
DIN No.:	00018795
Name :	Mr. Semur Palanisamy Chinnasamy
Designation :	Director
Address :	H - 107, Periyar Nagar, Erode-638001, Tamil Nadu, India
Date of Birth/Age :	15.08.1953
Date of Appointment :	31.05.1996
PAN No.:	ABTPC9130H
DIN No.:	00018769
Name :	Mr. Semur Periyasamy Ravishankar
Designation :	Director
Address :	H - 107, Periyar Nagar, Erode-638001, Tamil Nadu, India
Date of Birth/Age :	10.12.1974
Date of Appointment :	15.11.2004
DIN No.:	00018797
Name :	Mr. Poosappa Gounder Selvasundaram
Designation :	Managing director
Address :	1/2 Rama Moorthi Street, Ragupathi Naiken Palayam, Railway Colony, Erode- 638002, Tamil Nadu, India
Date of Birth/Age :	28.05.1962
Qualification :	M B A
Date of Appointment :	31.05.1996
PAN No.:	AJCPS0728C
DIN No.:	00058828
Name :	Mr. Arulsundaram Poosappan
Designation :	Director
Address :	11, Ragupathinaickenpalayam, Railway Colony Post, Erode-638002, Tamil Nadu, India
Date of Birth/Age :	20.04.1966
Date of Appointment :	31.05.1996
PAN No.:	ACGPA7995N
DIN No.:	00125403
Name :	Mr. Nachimuthu Ramalingam
Designation :	Director
Address :	Velankattu Valasu Post, A. Poondurai Via, Erode-638115, Tamil Nadu, India
Date of Birth/Age :	02.05.1958
Date of Appointment :	01.11.1996
DIN No.:	00982879
Name :	Mr. Semoor Pongiannagounder Sundarasamy
Designation :	Director
Address :	56, Semoor, Poonduraisemoor (P), Erode-638102, Tamil Nadu, India
Date of Birth/Age :	14.01.1951
Date of Appointment :	01.11.1996
DIN No.:	02531988
Name :	Mr. Subramaniam Sekar
Designation :	Director
Address :	9/450, Kaspapettai, M.S. Mangalam, Erode-638115, Tamil Nadu, India
Date of Birth/Age :	01.12.1963
Date of Appointment :	01.11.1996
DIN No.:	02664984
Name :	Mr. Unjappalayam Appusamy Ramaraj
Designation :	Director
Address :	Old No 5/217 New No 5/217, Unjappalayam Ka Kottaikal Puthapadi, Bhavani, Erode-638301, Tamil Nadu, India
Date of Birth/Age :	10.10.1949
Date of Appointment :	01.11.1996
DIN No.:	02772814
Name :	Mr. Semur Samiappa Gounder Natarajan
Designation :	Director
Address :	Old No 6c New No 6, Moolappalayam Vee Ko Veedi - 2 Kasipalayam, Erode- 638008, Tamil Nadu, India
Date of Birth/Age :	04.03.1956
Qualification :	School Level
Date of Appointment :	01.11.1996
PAN No.:	ABHPN0084D
DIN No.:	02785078

KEY EXECUTIVES

Name :	Mr. Mohan Kumar
Designation :	Accounts Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 25.08.2014

NOTE: SHAREHOLDING DETAILS FILE ATTACHED

AS ON 25.08.2014

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	14.57
Directors or relatives of directors	85.00
Others	0.43
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Starches.

Products :

ITC Code No.	Product Descriptions
11081990	Other Starches

Brand Names :

--

Agencies Held :

--

Exports :

Products :

--

Countries :

--

Imports :

Products :

--

Countries :

--

Terms :

Selling :

Cash, L/C and Credit

Purchasing :

Cash, L/C and Credit

PRODUCTION STATUS: NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

Reference:	Not Divulged
Name of the Person (Designation):	Not Divulged
Contact Number:	Not Divulged
Since how long known:	Not Divulged
Maximum limit dealt:	Not Divulged
Experience:	Not Divulged
Remark	Not Divulged

Customers :

Wholesalers, Retailers and End Users

Reference:	Not Divulged
Name of the Person (Designation):	Not Divulged
Contact Number:	Not Divulged
Since how long known:	Not Divulged
Maximum limit dealt:	Not Divulged
Experience:	Not Divulged
Remark	Not Divulged

No. of Employees :

285 (Approximately)

Bankers :

Bank Name:	State Bank of India
Branch:	Commercial Branch, C D Building 78/79 Park Road, Coimbatore - 638003, Tamil Nadu, India
Person Name (with Designation):	Not Divulged
Contact Number:	91-424-2225500 (Continuously Ringing)
Name of Account Holder:	Not Divulged
Account Number:	Not Divulged
Account Since (Date/ Year of A/c Opening):	Not Divulged
Average Balance Maintained (Optional):	Not Divulged
Credit Facilities Enjoyed (CC/OD/Term Loan):	Not Divulged
Account Operation:	Not Divulged
Remarks:	Not Divulged

· Bharat Overseas Bank

100-A, Poondurai road, Moolapalayam, Erode - 638011, Tamil Nadu, India

· The Federal Bank Limited

Erode Branch, 22 Palaniappa Street, Perundurai Road, Erode - 638009, Tamil Nadu, India

· Indian Overseas Bank

Surampatti Branch, 72; Perundurai Road, Erode - 638011, Tamil Nadu, India

Facilities :

SECURED LOANS	31.03.2014 (Rs. In Million)	31.03.2013 (Rs. In Million)
LONG-TERM BORROWINGS
Rupee term loans from banks	0.000	5.189
Term loans from others	401.702	437.516
SHORT TERM BORROWINGS
Working capital loans from banks	368.600	192.974
Total	770.302	635.679

Banking Relations :	--
Financial Institutions :	· Reliance Capital Limited "H" Block 1st Floor, Dhirubhai Ambani Knowledge City, Koparkhairne, Navi Mumbai-400710, Maharashtra, India · Tata Capital Limited
Auditors :
Name :	M. Raveendaran Chartered Accountants
Address :	8/2 1st Floor, Rajakadu 3^rd Street, Erode-638001, Tamilnadu, India
Income-tax PAN of auditor or auditor's firm :	ACPLR2493M
Memberships :	--
Collaborators :	--
Associate :	· PANDC Constructions Private Limited, India (U45201TZ1994PTC005336) · Supreme Poultry Private Limited, India (U01222TZ1991PTC003077) · SPAC Terminal Market Complex Limited, India (U74900TZ2010PLC016625)
Subsidiary Company :	Supreme Sago Industries Erode Private Limited, India (U01532TZ1997PTC007880)

CAPITAL STRUCTURE

AS ON 25.08.2014

Authorised Capital : Rs. 450.000 Million

Issued, Subscribed & Paid-up Capital : Rs. 450.000 Million

AS ON 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
36,000,000	Equity Shares	Rs. 10/- each	Rs. 360.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
30,970,580	Equity Shares	Rs. 10/- each	Rs. 309.706 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	309.706	259.706	69.606
(b) Reserves & Surplus	133.758	128.137	78.598
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	5.000	0.000	79.002
Total Shareholders’ Funds (1) + (2)	448.464	387.843	227.206
(3) Non-Current Liabilities
(a) Long-term borrowings	447.150	467.762	220.279
(b) Deferred tax liabilities (Net)	21.365	21.037	12.075
(c) Other long term liabilities	9.050	7.450	7.450
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	477.565	496.249	239.804
(4) Current Liabilities
(a) Short term borrowings	368.600	192.974	190.462
(b) Trade payables	36.247	18.470	15.417
(c) Other current liabilities	106.856	96.902	88.377
(d) Short-term provisions	1.119	11.228	4.316
Total Current Liabilities (4)	512.822	319.574	298.572
TOTAL	1438.851	1203.666	765.582
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	805.606	861.403	109.023
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	4.085	9.307	315.230
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	10.471	10.471	10.471
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	5.730	5.959	5.758
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	825.892	887.140	440.482
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	458.674	212.639	186.503
(c) Trade receivables	101.692	39.591	22.455
(d) Cash and cash equivalents	4.648	3.760	33.287
(e) Short-term loans and advances	47.832	60.422	82.742
(f) Other current assets	0.113	0.114	0.113
Total Current Assets	612.959	316.526	325.100
TOTAL	1438.851	1203.666	765.582

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Revenue from Operations	665.471	457.093	395.825
		Other Income	1.967	1.134	3.481
		TOTAL (A)	667.438	458.227	399.306
Less	EXPENSES
		Cost of Materials Consumed	555.902	258.369	253.644
		Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(172.385)	10.288	(4.018)
		Employees benefits expense	20.556	15.518	13.374
		Other expenses	49.609	66.037	79.429
		TOTAL (B)	453.682	350.212	342.429
	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		213.756	108.015	56.877
Less	FINANCIAL EXPENSES (D)		101.098	26.984	21.719
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		112.658	81.031	35.158
Less/ Add	DEPRECIATION/ AMORTISATION (F)		104.928	15.792	15.109
	PROFIT BEFORE TAX (E-F) (G)		7.730	65.239	20.049
Less	TAX (H)		2.109	15.700	7.032
	PROFIT AFTER TAX (G-H) (I)		5.621	49.539	13.017
	IMPORTS
		Raw Materials	72.590	7.073	0.000
		Components and Spare Parts	1.732	3.694	0.000
	TOTAL IMPORTS		74.322	10.767	0.000
	Earnings Per Share (Rs.)		0.25	4.96	1.87

PARTICULARS	31.03.2015
Sales Turnover (Approximately)	590.000

The above information has been parted by Mr. Mohan Kumar (Accounts Manager)

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Particulars	31.03.2014	31.03.2013	31.03.2012
Current Maturities of Long term debt	72.840	63.227	55.747
Cash Generated from Operations	NA	NA	NA
Net Cash Flow from (used in) Operations	(65.369)	82.636	98.481

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT / Sales)	(%)	0.84	10.84	3.29
Operating Profit Margin (PBDIT/Sales)	(%)	32.12	23.63	14.37
Return on Total Assets (PBT/Total Assets}	(%)	0.54	5.51	4.56
Return on Investment (ROI) (PBT/Networth)		0.02	0.17	0.09
Debt Equity Ratio (Total Debt/Networth)		1.98	1.87	2.05
Current Ratio (Current Asset/Current Liability)		1.20	0.99	1.09

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	69.606	259.706	309.706
Reserves & Surplus	78.598	128.137	133.758
Money received against share warrants	0.000	0.000	0.000
Share Application money pending allotment	79.002	0.000	5.000
Net worth	227.206	387.843	448.464
Long-term borrowings	220.279	467.762	447.150
Short term borrowings	190.462	192.974	368.600
CURRENT MATURITIES OF LONG-TERM DEBTS	55.747	63.227	72.840
Total borrowings	466.488	723.963	888.590
Debt/Equity ratio	2.053	1.867	1.981

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	395.825	457.093	665.471
		15.479	45.588

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	395.825	457.093	665.471
Profit	13.017	49.539	5.621
	3.29%	10.84%	0.84%

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	No
19	Major customers	No
20	Banking Details	Yes
21	Banking facility details	Yes
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	Yes
26	Turnover of firm for last three 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	Yes
32	Litigations that the firm/promoter involved in	--
33	Market information	--
34	Payments terms	Yes
35	Negative Reporting by Auditors in the Annual Report	No

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10578976	26/06/2015	2,990,000.00	RELIANE CAPITAL LIMITED	"H" BLOCK 1ST FLOOR, DHIRUBHAI AMBANI KNOWLEDGE CITY, KOPARKHAIRNE, NAVI MUMBAI- 400710, MAHARASHTRA, INDIA	C58437567
2	10569681	22/04/2015	462,500,000.00	STATE BANK OF INDIA	COMMERCIAL BRANCH, 45,SATHY ROAD, ERODE- 638003, TAMIL NADU, INDIA	C53774840
3	10573027	26/03/2015	9,682,000.00	RELIANE CAPITAL LIMITED	"H" BLOCK 1ST FLOOR, DHIRUBHAI AMBANI KNOWLEDGE CITY, KOPARKHAIRNE, NAVI MUMBAI- 400710, MAHARASHTRA, INDIA	C55499701
4	10376720	15/09/2012	858,000,000.00	STATE BANK OF INDIA	COMMERCIAL BRANCH, C D BUILDING 78/79 PARK ROAD, COIMBATORE- 638003, TAMILNADU, INDIA	B58197716
5	10356597	12/05/2012 *	72,000,000.00	THE FEDERAL BANK LIMITED	ERODE BRANCH, 22 PALANIAPPA STREET, PERUNDURAI RO AD, ERODE- 638009, TAMIL NADU, INDIA	B42012906
6	10101823	22/04/2015 *	536,000,000.00	STATE BANK OF INDIA	COMMERCIAL BRANCH, 45,SATHY ROAD, ERODE- 638003, TAMIL NADU, INDIA	C53775508

* Date of charge modification

UNSECURED LOANS

PARTICULARS	31.03.2014 (Rs. In Million)	31.03.2013 (Rs. In Million)
LONG-TERM BORROWINGS
Deferred payment liabilities	18.700	24.557
Loans and advances from related parties	26.748	0.500
Total	45.448	25.057

PERFORMANCE:

The Company has achieved a total turnover of Rs.665.470 Million for the current year against Rs. 457.092 Million for the year 2012-2013. The Profit before interest, Depreciation and taxes is Rs.213.753 Million. After absorbing interest and financial charges and depreciation, the Profit before tax is Rs.7.729 as against Rs. 65.239 Million earned during the year 2012-13.

BUSINESS:

TAPIOCA STARCH:

Your company is manufacturing varieties of Modified Value Added Products in addition to the Native Tapioca Starch and is having commanding position in the market.

MAIZE STARCH:

The company has commenced the commercial production of maize starch by generating power through cogeneration plant successfully on 22.03.2013. The installed maize crushing capacity is 300 M.T. per day. The new power plant meets the entire power requirement of the existing Tapioca Starch and Maize starch production. The company is utilized the optimum crushing capacity subject to the availability of raw material during the year.

CHANGE OF ADDRESS:

The Registered Office of the company has been shifted from 102, Shiek Dawood Street, Erode-638001, Tamilnadu, India to the present address w.e.f 12.12.2012

FIXED ASSETS:

Tangible Assets

· Land

· Buildings

· Plant and Equipment

· Furniture and Fixtures

· Vehicles

· Office Equipment

· 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. 65.79
UK Pound	1	Rs. 99.95
Euro	1	Rs. 71.55

INFORMATION DETAILS

Information Gathered by :	PRT
Analysis Done by :	KAS
Report Prepared by :	IND

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	5
--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		45

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.