MIRA INFORM REPORT

Report Date :

23.12.2011

IDENTIFICATION DETAILS

Name :	LEMON CERAMIC PRIVATE LIMITED
Registered Office :	S.No.604, Orson Ceramic Zone, Lakhdhirpur Road, National Highway 8A, Taluka Morbi, Ghuntu – 363 642, Gujarat
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	04.01.2010
Com. Reg. No.:	04-059069
Capital Investment / Paid-up Capital :	Rs.20.000 Millions
CIN No.: [Company Identification No.]	U26914GJ2010PTC059069
TAN No.: [Tax Deduction & Collection Account No.]	RKTL00509F
PAN No.: [Permanent Account No.]	AABCL7042D
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Wall Tiles, Elevator Wall Tiles, Ceramic Tiles, etc.
No. of Employees :	25 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (26)

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

Maximum Credit Limit :	USD 76000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is a successor of Lemon Ceramic, a partnership concern started in December, 2009. It is an established company having moderate track. There appears some accumulated losses recorded by the company. However, trade relations are reported as fair. Business is active. Payments are reported to be slow. The company can be considered for business dealings with some cautions.

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 – September 30, 2011

Country Name	Previous Rating (30.06.2011)	Current Rating (30.09.2011)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

INFORMATION PARTED BY

Name :	Mr. Kirtikumar Dhanjibhai Sanavda
Designation :	Director
Contact No.:	91-9925474185
Date :	15.12.2011

LOCATIONS

Registered Office/ Factory :	S.No.604, Orson Ceramic Zone, Lakhdhirpur Road, National Highway 8A, Taluka Morbi, Ghuntu – 363 642, Gujarat, India
Tel. No.:	91-2822-242297
Mobile No.:	91-9925474185 (Mr. Kirtikumar Dhanjibhai Sanavda)
Fax No.:	91-2822-242298
E-Mail :	info@lemonceramic.com lemonceramic@gmail.com
Website :	www.lemonceramic.com
Area :	4500 sq ft
Location :	Owned

DIRECTORS

As on 15.09.2011

Name :

Mr. Pravin Damjibhai Mundadiya

Designation :

Director

Address :

G. H. Board, Block No. 677, Sanala Road, Morbi – 363 641, Gujarat, India

Date of Birth/Age :

09.03.1972

Date of Appointment :

04.01.2010

DIN No.:

02862281

Name :

Mr. Kirtikumar Dhanjibhai Sanavda

Designation :

Director

Address :

3^rd Floor, Shravan Setu Apartment, Marutinagar, Ravapur Road, Morbi – 363 641, Gujarat, India

Date of Birth/Age :

11.12.1973

Date of Appointment :

04.01.2010

DIN No.:

02862349

Name :

Mr. Anil Nanji Karshanbhai Surani

Designation :

Director

Address :

Umiya Nagar, Canal Shanala Road, Morbi – 363 641, Gujarat, India

Date of Birth/Age :

01.08.1980

Date of Appointment :

04.02.2010

DIN No.:

02953716

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U26914GJ2010PTC059069	Lemon Ceramic Private Limited	Director	04-02-10	04-02-10	Active	NO
2	U26914GJ2011PTC064125	Livanto Ceramic Private Limited	Director	19-02-11	19-02-11	Active	NO

Name :

Mr. Jayesh Nanjibhai Rangpariya

Designation :

Director

Address :

Yadunandan Society, Umiya Nagar Society, Sanal Road, Morbi – 363 641, Gujarat, India

Date of Birth/Age :

23.03.1982

Date of Appointment :

04.02.2010

DIN No.:

02953721

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U26914GJ2010PTC059069	Lemon Ceramic Private Limited	Director	04-02-10	04-02-10	Active	NO
2	U26914GJ2011PTC064125	Livanto Ceramic Private Limited	Director	19-02-11	19-02-11	Active	NO

Name :

Mr. Ramesh Nanjibhai Patel

Designation :

Director

Address :

Umiya Nagar, Canal Shanala Road, Morbi – 363 641, Gujarat, India

Date of Birth/Age :

01.05.1978

Date of Appointment :

04.02.2010

DIN No.:

02954718

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U26914GJ2010PTC059069	Lemon Ceramic Private Limited	Director	04-02-10	04-02-10	Active	NO
2	U26914GJ2011PTC064125	Livanto Ceramic Private Limited	Director	19-02-11	19-02-11	Active	NO

Name :

Mr. Riteshkumar Nanjibhai Ghodasara

Designation :

Director

Address :

Anuradha Cosiety, Uniya Nagar, Shanala Road, Near by Kenal, District Rajkot, Morbi – 363 641, Gujarat, India

Date of Birth/Age :

07.04.1985

Date of Appointment :

04.06.2011

DIN No.:

03549695

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 15.09.2011

Names of Shareholders	No. of Shares
Dhanjibhai T. Zalariya	122200
Manjibhai K. Rangpariya	237000
Nanjibhai K. Surani	72200
Nanjibhai V. Ghodasara	118200
Pravinhai D. Mundadiya	200000
Kirtikumar D. Sanavada	81000
Umeshbhai D. Zalariya	137800
Jayeshbhai N. Rangpariya	82000
Bhudarbhai N. Ambani	100000
Bhikhalal D. Mundadiya	100000
Bhikhalal R. Padsumbiya	80000
Laxmanbhai C. Charola	80000
Vipulbhai J. Ambani	80000
Ritesh N. Ghodasara	41800
Shilpaben A. Surani	108600
Anilbhai N. Surani	25000
Rameshbhai N. Patel	94200
Nayanaben P. Ghodasara	80000
Rohitkumar B. Padsumbiya	60000
Ratilal D. Mundadiya	100000
Total	2000000

As on 15.09.2011

Equity Share Breakup	Percentage of Holding
Category
Directors or relatives of directors	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Wall Tiles, Elevator Wall Tiles, Ceramic Tiles, etc.

Products :

Item Code No. (ITC Code)	69071090
Product Description	Ceramic Wall Tiles

• Wall Tiles
• Elevator Wall Tiles
• Ceramic Tiles

Terms :

Selling :

Cash and Credit

Purchasing :

Cash and Credit

PRODUCTION STATUS (AS ON 31.03.2011)

Particulars	2010-2011
Licensed Capacity	N.A.
Installed Capacity	30000.000 MTs
Actual Production	10485.760 MTs

GENERAL INFORMATION

Suppliers :

· Shiv Sera Colours

· Shrushti Ceramics Private Limited

· Galaxy Glass Industries

· Maruti Intel Mech

· Vikas Electricals

· Star Advertising

· Mahir Enterprise

· Jay Ganesh Ceramic

· Bharat Minerals

· Active Ceramic Private Limited

· Krishna Impex

· Export Paradise

Customers :

End Users and OEM’s

· Krishna Marble and Tiles

· Kag Enterprises

· Harsh Enterprise

· VIP Marbles Enterprise

· Komal Ceramics

· Nootan Ceramic

· Shree Akhil Tiles

· Sanjay Builders

· A to Z Tiles Park

· Madni Traders

· Sai Ceramic

· Star Homes

· Teju Tiles

· Agarwal Marble House

· S.S. Associates

No. of Employees :

25 (Approximately)

Bankers :

• Punjab National Bank, Opposite Vijay Talkies, Sardar Road, Morbi – 363 641, Gujarat, India
• HDFC Bank Limited
• Bank of India

Facilities :

Cash Credit – Rs.15.000 millions (From Punjab National Bank)

Term Loan – Rs.30.000 millions (From Punjab National Bank)

Secured Loans	31.03.2011 Rs. In Millions	31.03.2010 Rs. In Millions
Term Loan from Punjab National Bank (EQM of Factory Land and Building and Hypothecation of all Plant and Machinery)	28.401	0.000
Cash Credit from Punjab National Bank (Hypothecation of all Stock and Book Debts)	15.139	0.000
Car Loan from HDFC Bank Limited - Innova (Hypothecation of Car)	0.755	0.000
Car Loan from HDFC Bank Limited - Accent (Hypothecation of Car)	0.232	0.347
Total	44.527	0.347

Unsecured Loans	31.03.2011 Rs. In Millions	31.03.2010 Rs. In Millions
From Directors, Share Holders and Their Relatives (Accepted in pursuant to the stipulation of financial Institutions)	9.188	0.000
Total	9.188	0.000

Banking Relations :	--
Auditors :
Name :	B.B. Kalaria and Company Chartered Accountants
Address :	123, Shri Hari Commercial Complex, 6, Savsar Plot, Near Parth Hospital, Ayodhyapuri Main Road, Morbi – 363 641, Gujarat, India
Tel. No.:	91-2822-230134
Mobile No.:	91-9825130134
Income-tax PAN of auditor or auditor's firm :	AQNPK4272B
Associates/Subsidiaries :	Livanto Ceramic Private Limited

CAPITAL STRUCTURE

As on 15.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
2250000	Equity Shares	Rs.10/- each	Rs.22.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2000000	Equity Shares	Rs.10/- each	Rs.20.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		20.000	2.000
2] Share Application Money		0.000	15.881
3] Reserves & Surplus		0.000	0.000
4] (Accumulated Losses)		(1.034)	0.000
NETWORTH		18.966	17.881
LOAN FUNDS
1] Secured Loans		44.527	0.347
2] Unsecured Loans		9.188	0.000
TOTAL BORROWING		53.715	0.347
DEFERRED TAX LIABILITIES		0.836	0.000
TOTAL		73.517	18.228
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		52.211	1.936
Capital work-in-progress		0.000	8.821
INVESTMENT		0.000	0.000
DEFERRED TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	14.340	0.000
	Sundry Debtors	22.775	0.000
	Cash & Bank Balances	4.610	7.381
	Other Current Assets	0.000	0.000
	Loans & Advances	3.577	1.108
Total Current Assets		45.302	8.489
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	24.138	1.243
	Other Current Liabilities	0.000	0.000
	Provisions	0.125	0.019
Total Current Liabilities		24.263	1.262
Net Current Assets		21.039	7.227
MISCELLANEOUS EXPENSES		0.267	0.244
TOTAL		73.517	18.228

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010
	SALES
		Income	65.541	0.000
		Other Income (including increase/ Decrease adjustment)	0.106	0.000
		TOTAL	65.647	0.000
Less	EXPENSES
		Office Expenses	65.845	0.000
		Administrative Expenses
		Advertising Expenses
		TOTAL	65.845	0.000
	PROFIT/ (LOSS) BEFORE TAX		(0.198)	0.000
Less	TAX		0.836	0.000
	PROFIT/ (LOSS) AFTER TAX		(1.034)	0.000
	Earnings/ (Loss) Per Share (Rs.)		(0.52)	0.00

Note: They have started their business activity from August, 2010.

Expected Sales (2011-2012): Rs.250.000 millions

The above information has been parted by Mr. Kirtikumar Dhanjibhai Sanavda (Director).

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010
PAT / Total Income	(%)	(1.58)	0.00
Net Profit Margin (PBT/Sales)	(%)	(0.30)	0.00
Return on Total Assets (PBT/Total Assets}	(%)	(0.20)	0.00
Return on Investment (ROI) (PBT/Networth)		(0.01)	0.00
Debt Equity Ratio (Total Liability/Networth)		4.11	0.09
Current Ratio (Current Asset/Current Liability)		1.87	6.73

LOCAL AGENCY FURTHER INFORMATION

Check List by Info Agents	Available in Report (Yes / No)
1) Year of Establishment	Yes
2) Locality of the firm	Yes
3) Constitutions of the firm	Yes
4) Premises details	Yes
5) Type of Business	Yes
6) Line of Business	Yes
7) Promoter’s background	--
8) No. of employees	Yes
9) Name of person contacted	Yes
10) Designation of contact person	Yes
11) Turnover of firm for last one year	Yes
12) Profitability for last three years	--
13) Reasons for variation <> 20%	--
14) Estimation for coming financial year	Yes
15) Capital in the business	Yes
16) Details of sister concerns	Yes
17) Major suppliers	Yes
18) Major customers	Yes
19) Payments terms	Yes
20) Export / Import details (if applicable)	--
21) Market information	--
22) Litigations that the firm / promoter involved in	--
23) Banking Details	Yes
24) Banking facility details	Yes
25) Conduct of the banking account	--
26) Buyer visit details	--
27) Financials, if provided	No
28) Incorporation details, if applicable	--
29) Last accounts filed at ROC	--
30) Major Shareholders, if available	--

FINANCIAL RESULTS:

The Company has incurred loss of Rs.1.034 millions on a total income of Rs.65.647 millions during the first year of commercial production.

CAPITAL STRUCTURE:

The Authorized Share Capital of the Company, increased from Rs.2.000 millions to Rs.22.500 millions divided into 2250000 Equity Shares of Rs.10 each at the Extra Ordinary General Meeting of members of the Company held on 13.03.2010 and allotted 1800000 Equity Shares of Rs.10 each by the way of Allotment on 21.04.2010.

FORM 8:

Corporate identity number of the company	U26914GJ2010PTC059069
Name of the company	LEMON CERAMIC PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	S.No.604, Orson Ceramic Zone, Lakhdhirpur Road, National Highway 8A, Taluka Morbi, Ghuntu – 363 642, Gujarat, India E-Mail: lemonceramic@gmail.com
This form is for	Modification of charge
Charge identification number of the modified	10215537
Type of charge	Immovable Property
Particular of charge holder	Punjab National Bank, Opposite Vijay Talkies, Sardar Road, Morbi – 363 641, Gujarat, India E-Mail: bo2532@pnb.co.in
Nature of description of the instrument creating or modifying the charge	Supplemental Memorandum of Deposit of Title Deeds
Date of instrument Creating the charge	29.08.2011
Amount secured by the charge	Rs.52.000 millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest: As per Sanction Terms of Repayment: As per Sanction Margin: As per Bank rules Extent and Operation of the charge: First Charge of Punjab National Bank
Short particulars of the property charged	EM of Industrial land and building (under construction) Situated at S.No.604 (P-1), Village Ghuntu, Taluka Morbi
Particulars of the present modification	The bank enhanced Guarantee facilities by Rs.3.000 millions and all the facilities of Rs.52.000 millions are collaterally secured against the Factory Land and Building of the Company.

TRADE REFERENCES:

· Krishna Marble and Tiles

· Kag Enterprises

· Shiv Sera Colours

· Shrushti Ceramics Private Limited

FIXED ASSETS:

· Land

· Building

· Machinery – Indigenous

· Machinery – Imported

· Electrification

· D.G. Set

· Air Conditioner

· Car – Accent

· Car – Innova

· Computer

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.52.78
UK Pound	1	Rs.82.73
Euro	1	Rs.68.87

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	2
--CREDIT LINES	1~10	2
--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
TOTAL		26

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.