MIRA INFORM REPORT

Report No. :	346407
Report Date :	27.10.2015

IDENTIFICATION DETAILS

Name :	SATYAM SALT TRADERS
Registered Office :	Plot No. 99, GIDC Estate, Dhrangadhra Road, Halval, District Morbi – 363330, Gujarat
Mobile No.:	91-9825430888 [Mr. Satyam R. Shukla]
Country :	India
Financials (as on) :	31.03.2015
Date of Establishment :	07.11.2009
Capital Investment :	Rs. 8.069 Million
PAN No.: [Permanent Account No.]	ABUFS6557K
Legal Form :	Partnership Concern with an Unlimited Liability of the Partners
Line of Business :	Manufacturer and Processing of Industrial Grade and Edible Oils.
No. of Employees :	25 (2 in Office and 23 in Factory) (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

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

Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject was established in the year 2009 as a partnership concern and is engaged in manufacturing industrial grade and edible salts. It has satisfactory track record. Satyam R. Shukla, Partner has provided all information of the subject to us. General financial position of the concern seems to be good with increase in its revenue profile and net profit recorded during the year 2015. Trade relations are fair. Business is active. Payments are reported to be usually correct. In view of aforesaid, the concern 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 – 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 31-03-2015.

INFORMATION PARTED BY

Name :	Mr. Satyam R. Shukla
Designation :	Partner
Contact No.:	91-9825430888
Date :	24.10.2015

LOCATIONS

Registered Office/ Factory :	Plot No. 99, GIDC Estate, Dhrangadhra Road, Halval, District Morbi – 363330, Gujarat, India
Tel. No.:	Not Available
Mobile No.:	91-9825430888 [Mr. Satyam R. Shukla] 91-9825229700 [Mr. Yogesh V. Bhatt]
Fax No.:	Not Available
E-Mail :	satyamsalt.traders@gmail.com
Location :	Leased

PARTNERS

Name :	Mr. Yogesh V. Bhatt
Designation :	Partner
Address :	13, Anand Park-2, Opposite ITI Sara Road, Halval, District Morbi – 363330, Gujarat, India
Date of Birth/Age :	20.01.1974
Qualification :	Diploma in Civil Eng.
Experience :	10 Years
Experience in the line of activity :	He is Civil Engineers by profession. He is actively engaged in manufacturing and trading of industrial salt. He looks after the finance and administration department of the company. The experience and knowledge of Mr. Yogesh Bhatt is an asset for the Company. He is hardworking, honest and excellent in his work. His expertise in business dealing will achieve the goal of company in short span of time. His expertise in the field of finance will keep company financially sound. He has also experience of 10 years in trading and processing of industrial grader and edible salt. He handles finance department of the firm.
PAN No.:	AFAPB3840G
Name :	Mr. Satyam R. Shukla
Designation :	Partner
Address :	31, Raval Fali, Halval, District Morbi – 363330, Gujarat, India
Date of Birth/Age :	02.02.1984
Qualification :	B. Com
Experience :	8 Years
Experience in the line of activity :	He is a very Versatile Businessmen and involved in this business since last few years. He has very vast experience in the field of trading of industrial salt. He handles whole business from procurement of raw material till dispatch of finished goods. He believes in quality and cost effectiveness, which can be achieved through a good team work and passionately promotes this spirit. The experience and knowledge of Mr. Shukla is an asset for the Company. He has also experience of 8 years in trading and processing of industrial Grader and Edible Salt. He handles procurement and administration department of the Firm.
PAN No.:	BFQPS6265D
Voter ID :	MJH1542455

BUSINESS DETAILS

Line of Business :	Manufacturer and Processing of Industrial Grade and Edible Oils.
Brand Names :	--
Agencies Held :	--
Exports :	--
Imports :	--
Terms :
Selling :	Credit [90 Days]
Purchasing :	Credit [30 Days]

GENERAL INFORMATION

Suppliers :

Reference:	--
Name of the Person (Designation):	--
Contact Number:	--
Since how long known:	--
Maximum limit dealt:	--
Experience:	--
Remark	--

· Sudeep Infrastructure Private Limited

· Jaganath Industries

· Puncholi Salt Traders

Customers :

Wholesalers and Retailers

Reference:	--
Name of the Person (Designation):	--
Contact Number:	--
Since how long known:	--
Maximum limit dealt:	--
Experience:	--
Remark	--

No. of Employees :

25 (2 in Office and 23 in Factory) (Approximately)

Bankers :

Bank Name:	Bank of India
Branch:	Ashram Road Branch, Ahmedabad, Gujarat, India
Person Name (with Designation):	--
Contact Number:	--
Name of Account Holder:	Satyam Salt Traders
Account Number:	--
Account Since (Date/ Year of A/c Opening):	October 2015
Average Balance Maintained (Optional):	--
Credit Facilities Enjoyed (CC/OD/Term Loan):	--
Account Operation:	--
Remarks: --

Facilities :

SECURED LOANS	31.03.2015 (Rs. In Million)	31.03.2014 (Rs. In Million)
Bank OD	2.438	1.637
Citi Bank Truck Loan	0.739	1.074
HDFC Car Loan	0.000	0.031
HDB Financial Services Limited	1.220	0.000
Total	4.397	2.742

Banking Relations :	--
Auditors :
Name :	HHL and Company Chartered Accountants
Address :	3638, Moti Voharvad, Kajis Dhaba, Astodia Chakla, Ahmedabad - 380001, Gujarat, India
Memberships :	--
Collaborators :	--
Associates/Subsidiaries :	Not Available

CAPITAL STRUCTURE

PARTNERS CAPITAL ACCOUNT AS ON 31.03.2015

(RS. IN MILLION)

NAME OF PARTNERS	MR. SATYAM R. SHUKLA	MR. YOGESH V. BHATT
Share (%)	50	50
Opening Balance	2.011	1.658
Addition During year	2.095	1.500
Interest on Capital	0.167	0.104
Remuneration	0.600	0.600
Profit	0.258	0.258
Total Amount in Million	5.131	4.120
Withdrawal during the year	0.159	1.023
Closing Balance	4.972	3.097
TOTAL	8.069

FINANCIAL DATA

[all figures are in Rupees Million]

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

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2015	31.03.2014	31.03.2013
SHAREHOLDERS FUNDS
1] Partners Capital		8.069	3.669	2.948
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		0.000	0.000	0.000
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		8.069	3.669	2.948
LOAN FUNDS
1] Secured Loans		4.397	2.742	0.000
2] Unsecured Loans		0.600	0.000	0.000
TOTAL BORROWING		4.997	2.742	0.000
DEFERRED TAX LIABILITIES		0.000	0.000	0.150
TOTAL		13.066	6.411	3.098
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		4.934	3.885	1.713
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERRED TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	3.522	1.481	1.539
	Sundry Debtors	36.012	1.121	0.960
	Cash & Bank Balances	0.002	0.091	0.079
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	0.057	0.050	0.069
Total Current Assets		39.593	2.743	2.647
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	31.284	0.193
	Other Current Liabilities	0.000	0.000
	Provisions	0.177	0.024
Total Current Liabilities		31.461	0.217	1.262
Net Current Assets		8.132	2.526	1.385
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		13.066	6.411	3.098

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2015	31.03.2014
	SALES
		Sales	49.600	15.889
		Other Income	0.000	0.000
		TOTAL	49.600	15.889
Less	EXPENSES
		Cost of Goods sold	38.293	9.400
		Dozar Loading Expenses	0.615	0.436
		Factory General Expenses	0.995	0.728
		Sales Rebate Discount	0.390	0.000
		Wagon Labour Loading Work Expenses	0.978	0.610
		Wagon Transport Expenses	1.532	0.793
		Workman Wages Expenses	1.491	0.817
		Other Expenses	0.590	0.956
		Indirect Expenses	4.200	2.005
		TOTAL	49.084	15.745
	NET PROFIT		0.516	0.144

	PARTICULARS		31.03.2013
	SALES
		Sales	8.694
		Other Income	0.000
		TOTAL	8.694
Less	EXPENSES
		Purchases of Stock-in-trade	6.773
		Other Expenses	1.814
		Interest to Partners	0.290
		Remuneration to Partners	0.325
		Increase in stock of Trading Goods	(0.839)
		TOTAL	8.363
	PROFIT BEFORE INTEREST, DEPRECIATION AND AMORTISATION		0.331
Less	FINANCIAL EXPENSES		0.086
	PROFIT BEFORE DEPRECIATION AND AMORTISATION		0.245
Less/ Add	DEPRECIATION/ AMORTISATION		0.178
	NET PROFIT		0.067

KEY RATIOS

PARTICULARS		31.03.2015	31.03.2014	31.03.2013
Net Profit Margin (PAT / Sales)	(%)	1.04	0.91	0.77
Operating Profit Margin (PBDIT/Sales)	(%)	NA	NA	3.81
Return on Total Assets (PBT/Total Assets}	(%)	1.16	2.17	1.54
Return on Investment (ROI) (PBT/Networth)		0.06	0.04	0.02
Debt Equity Ratio (Total Liability/Networth)		0.62	0.75	0.00
Current Ratio (Current Asset/Current Liability)		1.26	12.64	2.10

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

DEBT EQUITY RATIO

Particulars	31.03.2013	31.03.2014	31.03.2015
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Partners Capital	2.948	3.669	8.069
Reserves & Surplus	0.000	0.000	0.000
Net worth	2.948	3.669	8.069
Secured Loans	0.000	2.742	4.397
Unsecured Loans	0.000	0.000	0.600
Total borrowings	0.000	2.742	4.997
Debt/Equity ratio	0.000	0.747	0.619

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2013	31.03.2014	31.03.2015
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Sales	8.694	15.889	49.600
		82.758	212.166

NET PROFIT MARGIN

Net Profit Margin	31.03.2013	31.03.2014	31.03.2015
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Sales	8.694	15.889	49.600
Profit	0.067	0.144	0.516
	0.77%	0.91%	1.04%

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	Yes
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	Yes
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	No
18	Major suppliers	Yes
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	Yes
29	Profitability for last three years	Yes
30	Major shareholders, if available	No
31	External Agency Rating, if available	No
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

------------------------------------------------------------------------------------------------------------------------------

CREDIT FACILITIES [PROPOSED]

(RS. IN MILLION)

Type of Facilities	Amount in Million	Purpose for which required	Security offered
			Primary Security	Whether collateral security offered
Cash Credit	9.000	For day to day working capital requirement of the business	Hypothecation of Stock Rs. 8.500 Million and Book Debts Rs. 12.300 Million	No

------------------------------------------------------------------------------------------------------------------------------

UNSECURED LOANS

(RS. IN MILLION)

PARTICULARS	31.03.2015	31.03.2014
Purnimaben L. Shukla	0.200	0.000
Ranjanben Rameshchandra Shukla	0.400	0.000
Total	0.600	0.000

------------------------------------------------------------------------------------------------------------------------------

COMPUTATION OF TOTAL INCOME

(RS. IN MILLION)

PARTICULARS	31.03.2014
PROFIT AND GAINS OF BUSINESS OR PROFESSION
Profit before tax as per Profit and Loss Account [Item 45 of Profit and Loss Account]		0.144
Add: Disallowables / Additions
Depreciation treated separately	0.341
Interest paid to partners	0.335
Remuneration paid to partners	0.441
	-----------	1.117
Less: Deductions/ Expenses claimed
Depreciation as per Statement	0.341
Remuneration allowed to partners	0.441
Interest allowed to partners	0.335
	-----------	1.117
		-----------
			0.144
SUMMARY OF TOTAL INCOME
Profits and Gains of Business or Profession
Own Business or Profession			0.144
			-----------
GROSS TOTAL INCOME			0.144
Rounded off			0.144
			=======
CALCULATION OF TAX
Tax on Total Income		0.043
Add: Education Cess @ 2.00%		0.001
Secondary and Higher Edu. Cess @ 1.00%		0.001
		-----------
		0.045
Less: Advance Tax Installments paid
2^nd Installment paid on 12.12.2013	0.015
BSR: 0510308 CIN: 48646
3^rd Installment paid on 18.03.2014	0.010
	-----------	0.025
Less: Other pre-paid taxes
Paid on 12.11.2014 as Self Asst Tax
BSR: 0004329 CIN: 02868		0.000
Add: Interest u/s 234-A	0.000
Interest u/s 234-C	0.001
Interest u/s 234-B	0.001
	-----------	0.002
Less: Self-Assessment TAX paid on 30.09.2014		0.022
BSR: 0510308 CIN: 46606		-----------
NET TAX REFUNDABLE			0.000

------------------------------------------------------------------------------------------------------------------------------

ASSESSMENT OF WORKING CAPITAL REQUIREMENTS

OPERATING STATEMENT

(RS. IN MILLION)

SR. NO.	PARTICULARS	2015-16 [Estimates]	2016-17 [Projected]	2017-18 [Projected]
1	Gross Sales
	1. Domestic Sales	59.520	71.424	85.709
	2. Export Sales	0.000	0.000	0.000
	Total	59.520	71.424	85.709
2	Less: Excise Duty / Sales Tax	0.000	0.000	0.000
3	Net Sales	59.520	71.424	85.709
4	%age rise (+) or fall (-) in net sales as compared to previous year	20.00%	20.00%	20.00%
5	Cost of Sales
	1. Raw Material [Including stores and other items used in the process of manufacture]
	- Imported	0.000	0.000	0.000
	- Indigenous	49.816	55.361	67.181
	2. Stores, Spares and Consumables
	- Imported	0.000	0.000	0.000
	- Indigenous	0.000	0.000	0.000
	3. Power and Fuel	0.595	0.714	0.857
	4. Direct Labour	1.786	2.143	2.571
	5. Other manufacturing expenses	5.952	7.142	8.571
	6. Depreciation	0.543	0.483	0.430
	Sub-total [1 + 6]	58.692	65.844	79.610
	7. Add: Opening stock in process	0.000	0.000	0.000
	Sub-total	58.692	65.844	79.610
	8. Less: Closing Stock in process	0.000	0.000	0.000
	Cost of Production	58.692	65.844	79.610
	% to Net Sales	98.61	92.19	92.88
	9. Add: Opening stock of finished goods	3.522	8.500	9.500
	Sub-total	62.214	74.344	89.110
	10. Less: Closing Stock of finished goods	8.500	9.500	10.500
	Cost of Sales	53.714	64.844	78.610
	% to Net Sales	90.24	90.79	91.72
6	Selling, General & Administrative Expenses	4.256	4.285	4.714
7	Sub-total	57.969	69.129	83.324
8	Operating Profit before Interest	1.551	2.295	2.385
9	Interest and Lease Rent	0.815	1.360	1.260
10	Operating Profit after Interest	0.736	0.935	1.125
11	Other Income / (Expenses)	0.000	0.000	0.000
12	Transferred to Deferred Revenue Expenses	0.000	0.000	0.000
13	Deferred Revenue Expenditure written off	0.000	0.000	0.000
14	Profit before Tax	0.736	0.935	1.125
15	Provision for Taxes	0.000	0.000	0.000
16	Net Profit [14-15]	0.736	0.935	1.125
17	Equity Dividend Paid	0.000	0.000	0.000
	Dividend Rate	0%	0%	0%
18	Retained Profit [16-17]	0.736	0.935	1.125
19	Retained Profit / Net Profit (%age)	100%	100%	100%
20	Cash Accruals	1.279	1.418	1.555

------------------------------------------------------------------------------------------------------------------------------

ANALYSIS OF BALANCE SHEET

(RS. IN MILLION)

SR. NO.	PARTICULARS	2015-16 [Estimates]	2016-17 [Projected]	2017-18 [Projected]
	CURRENT LIABILITIES
1	Short term borrowings from banks
	Bank Cash Credit	9.000	9.000	9.000
	Bank OD	0.000	0.000	0.000
	Bills Discounted	0.000	0.000	0.000
	Bills Discounted outside MPBF	0.000	0.000	0.000
	Interest accrued and due	0.000	0.000	0.000
	Sub Total (A)	9.000	9.000	9.000
2	Short term borrowings from others	--	--	--
3	Sundry Creditors - Trade	3.514	4.960	5.499
4	Advance payments from customers/deposits from dealers	0.000	0.000	0.000
5	Net Tax Liability	0.000	0.000	0.000
6	Dividend Payable	0.000	0.000	0.000
7	Other statutory liabilities (due within one year)	0.200	0.225	0.250
8	Deposits/Instalments of term loan/ DPGs/ Debentures etc. (due within one year)	0.937	0.326	0.000
9	Other current liabilities & Provisions (due within one year)
	- Creditors for expenses/ staff advance	0.000	0.000	0.000
	- Liability for Expenses	0.000	0.000	0.000
	- Interest charges accrued and due	0.000	0.000	0.000
	- Interest accrued but not due	0.000	0.000	0.000
	Sub Total [B]	4.650	5.511	5.749
10	TOTAL CURRENT LIABILITIES	13.650	14.511	14.749
	TERM LIABILITIES
11	Debentures	0.000	0.000	0.000
12	Preference Shares (redeemable after one year)	0.000	0.000	0.000
13	Term loans	0.358	0.000	0.000
a.	Deposits/ Term Loan Instalment/ Debentures/ DPG maturing within 1 year	0.000	0.000	0.000
14	Deferred Payment Credits (excl. instalments due within one year)	0.000	0.000	0.000
15	Term deposits (repayable after one year)	0.000	0.000	0.000
16	Other Term Liabilities: Interest-free long term loan under incentive scheme of Govt. of Maharashtra	0.000	0.000	0.000
17	Total Term Liabilities	0.358	0.000	0.000
18	Total Outside Liabilities	14.008	14.511	14.749
	NET WORTH
19	Ordinary Share Capital	8.169	8.605	9.139
	Advance against share capital - Interest free long term loan incentive scheme of Govt. of Maharashtra	0.000	0.000	0.000
20	Capital Reserve	0.000	0.000	0.000
21	General Reserve	0.000	0.000	0.000
22	Revaluation Reserve	0.000	0.000	0.000
23	Other Reserves (excluding provisions)	0.000	0.000	0.000
24	Preference Shares	0.000	0.000	0.000
25	Surplus (+) or deficit (-) in Profit & Loss Account	0.736	0.935	1.125
26	Networth	8.905	9.539	10.264
27	TOTAL LIABILITIES	22.913	24.050	25.013
	CURRENT ASSETS
28	Cash & Bank balances	0.022	0.076	0.046
29	Investments [other than long term investments eg. Sinking fund etc.]
	- Govt. and other trustee securities	0.000	0.000	0.000
	- Fixed Deposits with banks	0.000	0.000	0.000
30	- Receivables	9.920	10.416	10.714
	- Export Receivables	0.000	0.000	0.000
31	Installments of deferred receivables [due within 1 year]	0.000	0.000	0.000
32	Inventory
	(i) Raw materials (including stores and other items in process of manufacture)
	(a) Imported	0.000	0.000	0.000
	(b) Indigenous	0.000	0.000	0.000
	(ii) Stock-in-process	0.000	0.000	0.000
	(iii) Finished Goods	8.500	9.500	10.500
	(iv) Other consumable spares	0.000	0.000	0.000
33	Advance to suppliers of Raw materials & stores/spares	0.000	0.000	0.000
34	Advance payment of taxes	0.050	0.100	0.200
	TDS	0.000	0.000	0.000
	Advance against Technical knowhow	0.000	0.000	0.000
35	Other current assets	0.030	0.050	0.075
	Total Current Assets	18.522	20.142	21.535
	FIXED ASSETS
36	Gross Block (land & building machinery vehicles work-in-progress)	4.934	4.391	3.908
37	Advances to suppliers of capital goods and capital expenditure	0.000	0.000	0.000
38	Depreciation to date	0.543	0.483	0.430
39	Net Block (35-36)	4.391	3.908	3.478
	OTHER NON-CURRENT ASSETS
40	Investments/book debts /advances deposits which are not current assets
	i.(a) Investments in group companies	0.000	0.000	0.000
	(b) Others	0.000	0.000	0.000
	ii. Advances to suppliers of capital goods & contractors	0.000	0.000	0.000
	iii. Deferred revenue expenditure	0.000	0.000	0.000
	iv. Others [F.D. with banks and others]	0.000	0.000	0.000
41	Non consumables stores & spares	0.000	0.000	0.000
42	Other non-current assets (incl. Dues from director)	0.000	0.000	0.000
43	Total Other Non-Current Assets (Total of 38 to 40)	0.000	0.000	0.000
44	Intangible assets (patents, goodwill, prelim, expenses, bad/ doubtful debts not provided for etc.)	0.000	0.000	0.000
45	Total Assets (Total of 34, 37, 41 & 42)	22.913	24.050	25.013
46	Tangible Net worth	8.905	9.539	10.264
	Adjusted TNW	9.795	10.493	11.291

------------------------------------------------------------------------------------------------------------------------------

FUNDS FLOW STATEMENT

(RS. IN MILLION)

SR. NO.	PARTICULARS	2015-16 [Estimates]	2016-17 [Projected]	2017-18 [Projected]
1	SOURCES
	Net Profit after Tax	0.736	0.935	1.125
	Add: Depreciation	(0.062)	(0.060)	(0.053)
	Add: Deferred Revenue Expenditure written off	0.000	0.000	0.000
	Increase in
	Ordinary Share Capital	0.616	0.436	0.535
	Share Premium	0.000	0.000	0.000
	Capital Reserve	0.000	0.000	0.000
	Revaluation reserve	0.000	0.000	0.000
	Other Reserves [Excluding provisions]	0.000	0.000	0.000
	Preference Shares	0.000	0.000	0.000
	Increase in Term Loans/ Debentures/ Deferred Payment Liabilities/ Public Deposit and Unsecured Loans	0.000	0.000	0.000
	Decrease in Fixed Assets	(0.605)	(0.543)	(0.483)
	Decrease in Non-Current Assets	0.000	0.000	0.000
	Increase in Non-Current Liabilities	0.000	0.000	0.000
	Decrease in Investments	0.000	0.000	0.000
	Decrease in Intangible Assets	0.000	0.000	0.000
	Total	0.685	0.768	1.123
2	APPLICATION
	Net Loss before write off	0.000	0.000	0.000
	Decrease in
	Ordinary Share Capital	0.000	0.000	0.000
	Share Premium	0.000	0.000	0.000
	Capital Reserve	0.000	0.000	0.000
	Revaluation reserve	0.000	0.000	0.000
	Other Reserves [Excluding provisions]	0.000	0.000	0.000
	Preference Shares	0.000	0.000	0.000
	Decrease in Term Loans/ Debentures/ Deferred Payment Liabilities/ Public Deposit and Unsecured Loans	0.587	0.358	0.000
	Increase in Fixed Assets	0.000	0.000	0.000
	Increase in Non-Current Assets	0.000	0.000	0.000
	Decrease in Non-Current Liabilities	0.000	0.000	0.000
	Increase in Investments	0.000	0.000	0.000
	Dividend Payments	0.000	0.000	0.000
	Increase in Intangible Assets	0.000	0.000	0.000
	Total	0.587	0.358	0.000
3	Long Term Surplus (+) / Deficit (-)	0.098	0.410	1.123
4	Increase/ Decrease in current assets	(21.071)	1.620	1.393
5	Increase/ Decrease in current Liabilities other than Bank Borrowings	(27.824)	0.860	0.238
6	Increase/ Decrease in working capital Gap	6.753	0.760	1.154
7	Net Surplus (+) / deficit (-)	(6.656)	(0.350)	(0.031)
8	Increase/ Decrease in Bank Borrowings	6.562	0.000	0.000

------------------------------------------------------------------------------------------------------------------------------

RATIO ANALYSIS

(RS. IN MILLION)

SR. NO.	PARTICULARS	2015-16 [Estimates]	2016-17 [Projected]	2017-18 [Projected]
A	LIQUIDITY RATIOS
	Current Ratio	1.36	1.39	1.46
	Current Ratio considering term liabilities maturing within 1 year as current	1.36	1.39	1.46
	Net Working Capital	4.872	5.631	6.786
	Bank Finance to WC Gap	1.85	1.60	1.33
	Bank Finance to Current Liabilities	0.66	0.62	0.61
B	INVESTMENT RATIOS
	Return on Investment [PBIT / Investment]	15.82%	22.89%	22.30%
	Return on Equity	8.26%	9.80%	10.96%
C	PROFITABILITY RATIOS
	Gross Operating Margin	3.52%	3.89%	3.28%
	Net Operating Margin	1.24%	1.31%	1.31%
	Raw Material to COP	84.88%	84.08%	84.39%
	Stores and Spares to COP	0.00%	0.00%	0.00%
	Power, Fuel and Water to COP	1.01%	1.08%	1.08%
	Direct labour to COP	3.04%	3.25%	3.23%
	Other Manufacturing Expenses to COP	10.14%	10.85%	10.77%
	Selling, general and administrative Expenses to Sales	7.34%	6.20%	5.66%
	Interest to Sales	1.37%	1.90%	1.47%
D	LEVERAGE RATIOS
	Long term Debt-Equity Ratio	0.04	0.00	0.00
	Total Debt-Equity Ratio	1.57	1.52	1.44
	Interest Coverage Ratio	2.57	2.04	2.23
	DSCR	1.20	1.65	2.23
E	TURNOVER RATIOS
	Inventory Turnover Ratio	15.82%	14.65%	13.36%
	Receivable Turnover Ratio	16.67%	14.58%	12.50%
	Interest/ All Loans	5.82%	9.37%	8.54%
	Average Collection Period	60	53	45

------------------------------------------------------------------------------------------------------------------------------

PERFORMANCE AND FINANCIAL INDICATORS

(RS. IN MILLION)

SR. NO.	PARTICULARS	2015-16 [Estimates]	2016-17 [Projected]	2017-18 [Projected]
a	Partners Capital
	Equity Shares	8.169	8.605	9.139
	Preference Shares	0.000	0.000	0.000
b	Networth	8.905	9.539	10.264
	Less: Revaluation Reserves and Intangibles	0.000	0.000	0.000
	Tangible Networth	8.905	9.539	10.264
c	Investment in subsidiaries / associates/ Fin. Instruments	0.000	0.000	0.000
d	Adjusted TNW	9.795	10.493	11.291
e	Capital Emp	10.153	10.493	11.291
f	Net block	4.391	3.908	3.478
g	Net sales	59.520	71.424	85.709
	[Percentage increase over previous year]	20.00%	20.00%	20.00%
h	Other Income/ Sales Tax	0.000	0.000	0.000
i	Gross profit	1.279	1.418	1.555
j	Depreciation	0.543	0.483	0.430
k	Tax	0.000	0.000	0.000
l	Net Profit/ Loss	0.736	0.935	1.125
m	Cash Accruals	1.279	1.418	1.555
n	N.P. / Cap. Emp [%]	7.25	8.91	9.96
o	Current Assets	18.522	20.142	21.535
p	Current Liab.	13.650	14.511	14.749
q	Dividend	0.000	0.000	0.000
	%	0%	0%	0%

------------------------------------------------------------------------------------------------------------------------------

NETWORTH STATEMENT

MR. SATYAM R. SHUKLA

(RS. IN MILLION)

SR. NO.	PARTICULARS	31.08.2015
1	LIQUID ASSETS AND INVESTMENTS
	Others
	Investment in Business Concerns	4.500
	Total Liquid Assets and Investments		4.500
2	MOVABLE PROPERTIES
	Others – Vehicles [Car Vento]	0.900
	Loans to Friends and Relatives	1.100
	Total Movable Properties		2.000
3	IMMOVABLE PROPERTIES [Approx Market Value]
	Commercial Property	55.000
	Total Immovable Properties		55.000
4	TOTAL WORTH		61.500
5	LIABILITIES
	The Bank
	Financial Institutions	2.869
	Total Liabilities		2.869
6	NET WORTH [4-5]		58.631

------------------------------------------------------------------------------------------------------------------------------

NETWORTH STATEMENT

MR. YOGESH V. BHATT

(RS. IN MILLION)

SR. NO.	PARTICULARS	31.08.2015
1	LIQUID ASSETS AND INVESTMENTS
	LIC/ ULIP (Surrender / paid up to date) Approx.	1.257
	Others
	Investment in Business Concerns	3.500
	Total Liquid Assets and Investments		4.757
2	MOVABLE PROPERTIES
	Gold-Silver and Jewellery	1.500
	Household Appliances	1.500
	Others – Vehicles	0.650
	Loans to Friends and Relatives	4.200
	Total Movable Properties		7.850
3	IMMOVABLE PROPERTIES [Approx Market Value]
	Residential Property	44.000
	Commercial Property	6.500
	Non-Agricultural Land	55.000
	Total Immovable Properties		105.500
4	TOTAL WORTH		118.107
5	LIABILITIES		0.000
6	NET WORTH [4-5]		118.107

------------------------------------------------------------------------------------------------------------------------------

PROJECT REPORT

SALT INDUSTRY IN INDIA:

India is the third largest Salt producing Country in the World after China and USA with Global annual production being about 230 million tones. The production of salt during 1947 was 1.9 million tones which have increased tenfold to record 20 million tones during 2005. In a very short period of time sufficiency was achieved (in 1953) and made a dent in the export market. Since then, the country has never resorted to imports. Exports touched an all time high of 1.6 million in the year 200L Since then, the country has never resorted to imports. Exports touched an all time high of 1.6 million in the year 2007. Salt manufacturing activities are carried out in the coastal states of Gujarat, Tamil Nadu, Andhra Pradesh, Maharashtra, Karnataka, Orissa, West Bengal Goa and hinter land State of Rajasthan. Among these States only Gujarat, Tamil Nadu and Rajasthan produces salt surplus to their requirement. These three states produce about 73%, 15% and 12% respectively of the total salt produced in the country and cater to the requirement of all the salt deficit and non-salt producing states.

Private sector plays a dominant role contributing over 95% of the salt production, while the public sector contributes about 2-3%. The co-operative sector contributes about 8% whereas the small-scale sector [less than 10 acres) accounts for nearly 40% of the total salt production in the country.

Gujarat provides land on lease to the individuals/ companies for manufacture of salt and salt based chemicals. Gujarat accounts for 77% of the total sale produced in India. Salt Industry is labour intensive. It is estimated that an average of 1.09 lacs labours are employed in industry. In the state, salt is produced in Kutch, Surendranagar, Bhavnagar, Rajkot, Jamnagar, Junagadh, Porabander, Patan, Anand, Valsad, Bharuch, Navsari, Surat and Banaskantha District.

About 70000 small salt Producers, locally known as Agariyas, are engaged in salt production activity in Little Rann of Kutch [LRK). Agariyas work in highly exploitative and subhuman conditions; long term exposure to the salt and hostile desert environment makes them extremely susceptible to various health hazards. Conditions are further worsened by their lack of access to basic amenities like drinking water, shelter, protective clothing education and healthcare.

MAJOR SALT PRODUCING CENTERS:

Sea water is an inexhaustible source of salt. Salt production along the coast is limited by weather and soil conditions. The major salt producing centres are as below:

Marine Salt works along the coast of

· Gujarat (Jamnagar, Mithapur, Jhakhar, Chira, Bhavnagar, Rajula, Dahej, Gandhidham, Kandla, Maliya, Lavanpur),

· Tamil Nadu (Tuticorin, Vedaranyam, Covelong),

· Andhra Pradesh (Chinnaganja, Iskapalli, Krishnapatnam, Kakinada & NaupadaJ,

· Maharashtra (Bhandup, Bhayandar, Palghar),

· Orissa (Ganjam, Sumadi) and

· West Bengal (Contai)

Inland Salt Works in Rajasthan using lake brine and sub-soil brine viz. Sambhar Lake, Nawa, Rajas, Kuchhaman, Sujangarh and Phalodi

Salt works in Rann of Kutch using sub-soil brine viz Kharaghoda, Dhrangadhra; Santalpur.

Rock Salt Deposits at Mandi in the State of Himachal Pradesh

PRODUCTS:

The relationship between salt and human exists since time immemorial. With the highest number of primary consumers on the globe, salt is an essential commodity for human with any type food cooking habits. Apart from serving to add taste to food, salt is an important raw material for production of range of chemicals. Salt is physiologically absolutely necessary for human life, but in the past, prior to the industrial revolution, the known mineral salt sources were limited so much so that its supply was a critical demographic power factor for most communities, until industrial means of extraction from brines were devised. It was only available as visible and exposed rock outcrops in arid regions or as dried out salt cake on the shores of some seas and salt lakes. It is probably this, more than any other reason that many of the great civilizations first developed near deserts and desert climates.

Salt for human consumption is produced in different forms: unrefined salt (such as sea salt), refined salt (table salt), and iodized salt. It is a crystalline solid, white, pale pink or light gray in color, normally obtained from sea water or rock deposits. Edible rock salts may be slightly grayish in color because of mineral content.

Because of its importance to survival, salt has often been considered a valuable commodity during human history. However, as salt consumption has increased during modern times, scientists have become aware of the health risks associated with high salt intake, including high blood pressure in sensitive individuals. Therefore, some health authorities have recommended limitations of dietary sodium, although others state the risk is minimal for typical western diets.

Gujarat is the leading producer of salt (59.8%) in the country. The coastal areas of the state have ideal conditions for salt production.

The quality is superior and the yield is more (122 tones/ ha). At high tide, when level of the sea rises, sea water is led through channels to the salt pans where after the evaporation of water, salt is left as a residue. The salt works are sited at a number of places along the coast. Mithapur near Okha Port is the leading producer. Porbandar, Bedi Port, Kuda, Lavanpur, Bhavnagar, Kandla, Dharsana, Charvada and Bulsar are other important producing centers.

On the eastern fringe of the Little Rann, the brine is pumped to the surface and evaporated for salt. Kharaghoda is the leading centre of salt industry of the Rann. Here magnesium chloride is obtained as a by-product.

The Production process for Salt:

The type of salt produced in India and Gujarat use solar evaporation method. The saline brine of 4 to 16 BC densities obtained from either sub-soil or seawater is exposed to fractional crystallization using solar energy. During the process the density of brine increase from 4-16 to 25 BC. Beyond 20 BC density the salt starts precipitating from the brine in the sequence of calcium, magnesium and sodium in the form of sulphate and chloride. When brine density reaches 25 BC finally sodium chloride (Nacl) or salt precipitates in the form of crystals.

In Gujarat salt production activity is carried out in the Little Rann of Kutch (LRI$ and along the entire coastline. Based on the location of the salt production the salt is identified as inland salt and marine salt. The marine salt production with contribution of B0-850/o dominates the salt production in Gujarat. The inland salt is produced in LRK using sub-soil brine, while marine salt is produced using either sub-soil or seawater. All three salt varieties i.e. Vadagaru, Karkatch and Poda can be produced at both the location; however the Vadagaru and Poda variety has advantage under inland condition, while Karkatch salt is easy to produce under marine conditions. In the present scenario, more than700/o of the total inland salt production is Vadagaru while entire marine salt units produce Karkatch variety.

The entire process of production is handled by the Agarias. The preparation of Paatas, filling brine and the harvesting of the crop are done by agarias. The Agarias are traditionally associated with the salt manufacturing. Both the earthwork labourers and the agarias are migratory in nature, arriving at the salt works at the beginning of the salt manufacturing season (October- NovemberJ every year and going back to their villages to take up work in the agriculture operations. 0nce the rain sets in July, the labour required for earthwork and the agarias are employed every season on a contract or daily wage or piece rate basis. The labour required for sales and dispatch are also employed on contract or daily wage basis as and when required for filling weighing stitching and loading the bags Into wagons or trucks.

Production process of Inland Salt

The LRK is a piece of land formed due to evacuation of the sea over a long period of time and hence is a depression. The region remains submerged under the water collected from the sea tide and westward flowing rivers till the end of month of August or mid September. By the end of September, the In the inland salt production process, the season for salt production lasts for about nine months in a year, from September to May. At the beginning of the season the salt producers, normally a pair of agaria (husband and wife) scout for the suitable location of land for making saltpan - a site of 10 acres. Usually, preference is given to previous year location unless they have experienced shortage of brine at that site. Following this, they shift their family to the Rann with the ration for a month. Exceptions are found in parts of Dhranghadhra,

Halvad and Maliya Taluka where the salt workers do not shift their families due to proximity of the saltpans to the villages. Only male members operate the saltpan activity leaving family in the village. Once they reach the Rann, they erect a temporary make shift type of shelter in which they stay for B to 10 months. After reaching there with family the pre-production preparation starts.

Stage- 1: The Pre-production

The entire pre-production stage is labour intensive work, where every member of the family has to participate. The labour in pre-production stage for inland salt production is higher than the marine salt production as they have to remove the mud and prepare the saltpan washed by the water during monsoon.

The pre-production process for salt production in inland comprise of two steps.

1. Digging of well and installation of pump

2. Preparation of saltpan and condensers.

The selection of site and installation of pumps are done solely by the male members. The site selection is done using own experience and knowledge. The "non-scientific" approach for the site selection for brine well increases the risk of failure of well and the salt crop. It is observed that most of the Agarias in the region have lost a lot of money in failed wells and early deterioration of pumps. Due reducing availability of quality brine, the Agarias are required to select fresh sites every alternate year. The Agarias leave coverings or marks (poles plugged into drill pipes) over the well sites at the end of the harvest in May, to facilitate easy excavation in the following year. The wells, which are source for brine, are 6 to 9 mts. in depth and 3 mts. in diameter. Usually, the well is kept close to the salt pan, but many a times in the event of non-availability of suitable quality brine, requires well digging at a distance of 1 to 1.5 Km. In this situation the supervision work of the Agaria increases a lot. On an average each well yields 7,000 to 16,000 ltr of water in a day.

The second step is that of preparing the land for laying salt pans and condensers at the sites, which involves digging up the land near the pump, clearing plots and loosening the soil mainly by hiring tractors and labourers. Once land is ready for laying saltpan, the reservoir cum condensers, locally known as Gamdus are made by bunding the land. The number of condensers varies depending up on the density of brine. Usually, for a site of 10 acres, typically 8 to 10 Gamdus are made adjacent to one another. Subsequently, a saltpan with similar bunds is prepared near the network of gamadus, which serves as a crystalliser and is locally known as Paatas. Later on a channel is laid to connect the entire work, pump- Gamdu-Paatas. The entire network is prepared in 10-15 days for which about 150 person days are required. The labour demand increases during site preparation stage. The Agarias use their "personal" contacts in nearby villages to get labourers. In fact, Agarias and a set of labourers often form teams and work together.

During the process of preparation of the site, simultaneously arrangements are made for the grass locally called "Zipta" that is used for keeping on the inside of the saltpan to keep the water free from dust and also for developing initial crystals. The Zipta are either collected from the Rann or purchased. Initially about one tractor load of grass is required for 10 acres of plot. This glass is kept on the bunds and inside the pan by women and children.

Stage-2: Production Stage

Once the Gamdus and Paatas are made, small quantity of brine is let into the paatas and the bed is puddled and tamped to make it hard. Women labourers dominate this activity, which is locally termed as paglee and they use their bare foot for this purpose. The tamping is done several times till the bed is hard and almost impermeable. It was observed that the saltpan in Santalpur region has hard soil and hence the paglee operation is minimized as co*pare to Surendranagar and Dhrangdra districts. The entire process from seleition of sites, installing pumps to the - hardening of the saltpan bed lasts for 40 to 45 days. After completion of this operation the saltpan is ready for preparation of salt, which is a tedious and time-taking operation requiring close monitoring by the Agarias. At least in the inland salt production areas, these operations are labour intensive and no mechanization has been attempted. The pumped brine is led by gravity through the channels to the Gamdus. The first Gamdu is filled up and the brine is allowed to concentrate by gradual evaporation. Brine flows from one Gamdu to another, through small inlets that ensures slow movement of brine. Thus, each Gamdu possesses brine of different concentration. The process of filling up all the Gamdus takes about a month. During this process of filling up the Gamdus the pump sets are run for 24 hours daily and the brine of 24BC from the Gamdus are then fed into the saltpan or Paatas.

For production of Vadagaru type of salt the Paatas is first filled to a depth of about 4-5 inches for evaporation and deposition of salt. For the first salt clusters to form, the Agarias immerse Zipta grass stems, which are known differently in different areas, in the saltpan. The salt clusters are formed around the stem. Brine of slightly lower concentration is charged into the pans to keep the density 25 to 26 BC and the level of 6 inches of brine is maintained in the pan. The first salt crystals appear after about 15 days of feeding the 24 BC brine.

After another 10 days, the crust formed is broken up and raked by a wooden rake, called Dantal to prevent the formation of flakes of salt and to obtain the large grained crystals. When the salt is under formation every alternate day it is raked by means of wooden rake and on the next day smoothened by Pavdi to prevent conglomeration of salt crystals. This process goes on for about 45 days after which the supply of brine is stopped and the density of water is allowed to Increase up to 30 BC. The bittern or mother liquor is drained out into open spaces of vacant Gamdus. Many Agarias recharge the Paatas even after this stage to allow the crystals to grow further till about the middle of March.

For production of Poda type of salt the process is modified slightly during initial stage of crystal formation. In preparation of Poda type of salt, the water from the Paatas is drained out after formation of 1 to 2 inch of crystal layer is continued. This process of producing salt over salt layer helps keeping the salt crystal clean and white that helps gaining higher market price.

The production of Karkatch type of salt is faster than other two types. It simply requires charging 2 to 3 inch depth of 24 BC water in the Paatas and maintaining the water level by adding new water to Paatas. The process of Dantal and Pavdi is continued for first 45 days after that the water supply is stopped and density is allowed to increase up to 28 BC. Once it reaches 28 BC the water is drained out of Paatas and fresh water of 24 BC is charged up to level of 1 inch above the salt layer. The salt is collected in the water by creating salt raw parallel to the length of the Paatas. The salt is removed after the water is drained out. Once again the process is repeated with 24BC water. The small crystal sizes of Karkatch type ease the Iodisation process. During entire season a saltpan produces salt, ranging from 500 to 800 tones Vadagaru salt.

The last stage in the production process is that of collection and storage of salt and at this stage, the labour is used intensively. Labour is in very high demand during the heaping season and the wages rise during the harvesting process. The salt is collected within the pans in heaps and then lined into trucks of traders/ buyers and transported out. The salt is again unloaded either near the crushing and refining plots oumed by the traders or at the railway loading centres and heaped again.

MARKETING FEASIBILITY:

The company mainly focuses on trading of High Quality Refined Free Flow Salt and sells to third party for manufacturing. As salt is essential for human consumption and production of specified chemicals in industry its demand has been constantly increasing. There are many manufacturing industries found in Kutch, The bankable marketing strengths of the company can be enlisted as:

· Good and cordial relations with prospective clients.

· Vast market for the projects.

· High consumer satisfaction resulting in repetitive orders.

INFRASTRUCTURE FEASIBILITY:

Infrastructure facilities are the lifeline of a business. It is of paramount importance to have good Infrastructural facilities if a business has to be developed. Good infrastructures hence become a prerequisite for any successful unit.

Following are the essential infrastructure that can affect the efficiency of the firm.

Labour:

One of the most obvious advantages for company is the availability of abundant, cheap, and relatively well-educated labour

Location:

Satyam Salt Traders has situated at Plot No. 99, GIDC Estate, Dhrangadhra Road, Halvad, District Surendranagar, where it extracts salt from salt water and sell it to third parties for further production. Dhrangadhra is very vibrant trading hub and shopping center for local people as there is no other major town within a 100 km radius. It is a non agricultural open land situated in Industrial area specific for salt industries. Thus the site is chosen best for business

Transportation:

Dharangadhra is linked to Ahmedabad and Kutch by state highway 7. The state highway 7 joins India's National Highway 947, part of the recently completed 4-lane Golden Quadrilatera highway linking Dhrangadhra to many of the major industrial, economic and cultural regions of India.

------------------------------------------------------------------------------------------------------------------------------

FIXED ASSETS

· Vehicles

· Factory Plot

· Furniture

· Machinery

· Mobile

· Office Equipment

· Water Cooler

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. 64.88
UK Pound	1	Rs. 99.89
Euro	1	Rs. 72.06

INFORMATION DETAILS

Information Gathered by :	PPT
Analysis Done by :	HNA
Report Prepared by :	BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILITY	1~10	5
--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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		47

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	--

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.