MIRA INFORM REPORT

Report Date :

24.02.2011

IDENTIFICATION DETAILS

Name :	SHANKAR PACKAGINGS LIMITED
Registered Office :	303, Turf Estate, Dr. E Moses Road, Shakti Mills Lane, Mumbai-400011, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	06.05.1985
Com. Reg. No.:	11-36120
CIN No.: [Company Identification No.]	U25202MH1985PTC036120
TAN No.: [Tax Deduction & Collection Account No.]	BRDS01961B / MUMS40482B / MUMS40819C
PAN No.: [Permanent Account No.]	AAACS8076P
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer and Exporter of HDPE/ PP Woven Sacks

RATING & COMMENTS

MIRA’s Rating :

Ba ( 52)

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

Maximum Credit Limit :	USD 1680900
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established company having good track. Financial position of the company appears to be sound. Trade relations reported as fair. Business is active. Payments are reported to be regular and as per commitments. The company can be considered good for normal 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 – April 1, 2010

Country Name	Previous Rating (31.12.2009)	Current Rating (01.04.2010)
India	A1	A1

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

INFORMATION DECLINED BY

Name :	Mr. Parab Mitra
Designation :	Finance Department
Date :	22.02.2011

LOCATIONS

Registered Office :	303, Turf Estate, Dr. E Moses Road, Shakti Mills Lane, Mumbai-400011, Maharashtra, India
Tel. No.:	91-22-24903236
Mobile No.:	91-22-24903236
Fax No.:	91-22-24903227
E-Mail :	shankar1@mtnl.net.in corporate@shankarpack.com
Website :	http://www.shankarpack.com
Area:	550 sq ft (Owned)
Factory & Sales Office :	4-5-6, GIDC Estate, Vaghodia – 391 760, District: Baroda, Gujarat – India
Tel. No.:	91-2668-262334 / 262434
Fax No.:	91-2668-262833
E-Mail :	info@shankarpack.com
Area:	Owned
Branches :	(Hyderabad - Marketing) 508, Maheshwari Chambers, Somajiguda, Hyderabad – 82, Andhra Pradesh - India
Tel. No.:	91-40-40038828

DIRECTORS

AS ON 21.09.2010

Name :	Mr. Anand Shankar Pandya
Designation :	Director
Address :	1401, Pleasant Palace, 16 N D road, Mumbai – 400 006, Maharashtra, India
Date of Appointment :	31.08.1985
DIN No :	01163634
Name :	Mr. Govind Shankar Pandya
Designation :	Director
Address :	A-5, Garia Das CHS Limited, N S Road, Ville Parle (East), Mumbai – 400 049, Maharashtra, India
Date of Birth/Age :	19.03.1930
Date of Appointment :	09.04.2008
DIN No :	00316822
Name :	Mr. Ganga Sharan Agrawal
Designation :	Director
Address :	801, Pleasant Palace, 16 N S Road, Charni Road Station, Mumbai – 400 006, Maharashtra, India
Date of Birth/Age :	31.07.1931
Date of Appointment :	27.0.21988
DIN No :	00216838
Name :	Mr. Gaj Singh Jodhpur
Designation :	Director
Address :	Umaid Bhavan Palace, Umaid , Jodhpur – 272 006, Rajasthan, India
Date of Birth/Age :	13.01.1948
Date of Appointment :	27.02.1988
DIN No :	00061278
Name :	Mr. Praveen Shankar Pandya
Designation :	Director
Address :	112, A, Paradise Apartment, 44 N S Road, Charni Road Station, Mumbai – 400 006, Maharashtra, India
Date of Birth/Age :	04.10.1950
Date of Appointment :	06.05.1985
DIN No :	00316843
Name :	Mr. Vikram Shankar Pandya
Designation :	Director
Address :	A/5, Garib CHSL, N S Road, No. 5, JVPD, Juhu, Mumbai-400 049, Maharashtra, India
Date of Birth/Age :	06.04.1961
Date of Appointment :	01.04.1995
DIN No :	01595269
Name :	Mr. Akshay Pratapshankar Pandya
Designation :	Director
Address :	112-A, Paradise Apartments, 44 Nepeansea Road, Mumbai – 400006, Maharashtra, India
Date of Birth/Age :	02.06.1965
Date of Appointment :	13.04.2009
DIN No :	01557239

KEY EXECUTIVES

Name :	Mr. Pranab Lalit Mitra
Designation :	Secretary
Address :	302, Usha Sadan CHSL, Next to Bhavani Nagar, Marol Maroshi Road, Mumbai – 400 059, Maharashtra, India
Date of Birth/Age :	24.05.1960
Date of Appointment :	01.01.1986
E-mail:	pramal42@hotmail.com
Tel No.:	91-22-29259586
Fax No.:	91-22-23642880

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 21.09.2010

Names of Shareholders	No. of Shares
Praveen Shankar Pandya	35547
Rajeev Shnakar Pandya	34500
Anand Shankar Pandya	141295
Umaid Investment Company Private Limited, New Delhi	690000
Govind Shankar Pandya	147375
Vikram Shankar Pandya	290905
Alka Rajeev Pandya	31625
Rati Pandya	1572
Aparna Kulkarni	5750
Manoj Selot	5750
Sangeeta Pandya	34500
Namita P Pandya	29274
Urvashi B Bhatt and Balkrishna B Bhatt	2185
Akshay Shankar Pandya	34500
Vidyaben Pandya	46000
Saroj Pandya	62360
Shivani Pandya	34500
Shuchi Pandya	34500
Avinash Pandya	58937
Siddarth Pandya	58937
Vivek Pandya	34500
Sbaokar Securities (P) Limited, Opera House, Mumbai	150000
Bulk Bags India Limited, opera House, Mumbai	391100
Mountain Peak Investment INC, USA	161000
Dolphin Investments Limited, Hong Kong	150600
Jyotishankar Pandya, Englewood	43125
Revashankar Gems Limited, Mumbai	11250
Shankar Jewels Limited, Mumbai	11250
Shankar Realty Private Limited, Mumbai	22590
R D Pandya (HUF)	650
Dhruv Akshay Pandya	24438
Kashyap Akshay Pandya	24438
Total	2804953

Equity Share Breakup (Percentage of Total Equity)

AS ON 21.09.2010

Category	Percentage
Foreign holdings (Foreign institutional investors ) foreign companies foreign financial institutions , non residents or Overseas corporate bodies or others	13.00
Director or relative of Director	66.00
Bodies corporate	21.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of HDPE/ PP Woven Sacks

Products :

· FIBC

· Big Bags

· Woven Sacks,

· Fabrics

· Big Bag

- Standard Bag

- Form Stabilised Bag

- Conical Bag

- Cross Corner Bag

- Ventillated Bag

- UN Bag

- Conductive Bag

- Tunnel Loop Bag

- Tubular FIBC

Product Description	ITC Code
FIBC	63053200
P P Woven Sacks	39239090
P P Woven Fabric	39261099

Exports :

Products :

HDPE / PP and Woven Sacks

Countries :

· USA

· South Africa

· Sweden

· Europe

Imports :

Products :

Raw Material

Countries :

Europe, Middle East and Switzerland

Terms :

Selling :

Cash and Credit ( 30 Days)

Purchasing :

Cash and Credit ( 30 Days)

PRODUCTION STATUS (As on 31.03.2010)

Particulars	Unit	Installed Capacity	Actual Production
Woven Stocks	MT	8600	8058

GENERAL INFORMATION

Customers :

Wholesalers and Dealers

No. of Employees :

350 ( 50 In Office and 200 In Factory) (Approximately)

Bankers :

• State Bank of India, Industrial Finance Branch, The Arcade, 2^nd Floor, World Trade Center, Cuffe Parade, Mumbai – 400 005, Maharashtra, India
• State Bank of India, MIDC Group Industrial Finance Branch, Marble Arch, Race Course, Vadodara 390007, Gujarat, India

Facilities

Secured Loans	31.03.2010 Rs. In Millions	31.03.2009 Rs. In Millions
Working Capital Loan From A Bank	190.724	127.936
Term Loan From A Bank (Term Loan Repayable within one year Rs. 42.739 Millions including interest)	77.221	108.196
G.I.D.C (Repayable within one year Rs. 0.375 Millions including interest)	1.095	1.290
Deferred Payment Credit (Repayable within one year Rs. 0.457 Millions including interest)	1.526	1.766
Total	270.566	239.188
Note: · Working Capital loans from Bank comprises of Cash Credit, Pre-shipment and Post shipment credit which are secured against hypothecation of inventories, book debts and second charge on all immovable properties of the company and personal guarantee of the promoters · Term loan form bank is secured against Equitable Mortgage of Company’s Fixed Assets at Plot No. 4, 5 and 6, GIDC, Vaghodia, Vadodra and second charge on all current assets as collateral as well as personal guarantee of the directors · Loan From G.I.D.C is secured against Plot No. 226 situated at Vaghodia · Deferred payment credit secured against specific vehicles
Unsecured Loans	31.03.2010 Rs. In Millions	31.03.2009 Rs. In Millions
Inter Corporate Deposits	1.250	1.250
Interest Accrued on above	0.068	0.023
Total	1.318	1.273

Banking Relations :

Good

Auditors :

Name :

Rajendra and Company

Chartered Accountants

Address :

1311, Dalmal Tower, 211, Nariman Point, Mumbai – 400 021, Maharashtra, India

Memberships :

· PLEXCONCIL,

· FIEO,

· SRTEPC

CAPITAL STRUCTURE

AS ON 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
3000000	Equity Shares	Rs. 10/- each	Rs. 30.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2804953	Equity Shares	Rs. 10/- each	Rs.28.050 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		28.049	28.049	28.050
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		392.184	353.481	302.873
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		420.233	381.530	330.923
LOAN FUNDS
1] Secured Loans		270.566	239.188	239.110
2] Unsecured Loans		1.318	1.273	0.664
TOTAL BORROWING		271.884	240.461	239.774
DEFERRED TAX LIABILITIES		27.146	23.417	18.938
TOTAL		719.263	645.408	589.635
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		423.104	359.555	295.197
Capital work-in-progress		3.969	7.529	6.868
INVESTMENT		30.152	41.799	52.610
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	156.343	123.579	144.317
	Sundry Debtors	82.843	92.663	96.643
	Cash & Bank Balances	11.182	39.797	8.794
	Other Current Assets	0.485	0.326	0.415
	Loans & Advances	143.870	114.381	105.919
Total Current Assets		394.723	370.746	356.088
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	75.801	67.997	58.833
	Other Liabilities	0.672	1.026
	Provisions	56.213	65.198	61.774
Total Current Liabilities		132.686	134.211	121.128
Net Current Assets		262.038	236.525	234.960
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		719.263	645.407	589.635

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	1138.161	1246.872	995.309
		Other Income	7.402	4.212	17.349
		TOTAL (A)	1145.563	1251.084	1012.658
Less	EXPENSES
		Cost of Materials	648.215	702.245	576.647
		Manufacturing Expenses	237.008	215.115	188.899
		Exchange Fluctuation Loss on Foreign Currency Loan	(5.525)	(5.687)	10.374
		Increase/(Decrease) in Finished Goods	(25.814)	4.137	[9.677]
		Fabric Consumption	0.543	0.318	2.993
		Loss on Diminution of Investments	(2.709)	2.709
		Administrative Expenses	171.865	175.249	151.362
		TOTAL (B)	1023.583	1094.086	920.598
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		121.980	157.998	92.060
Less	FINANCIAL EXPENSES (D)		28.504	40.034	30.660
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		93.476	116.964	61.400
Less/ Add	DEPRECIATION/ AMORTISATION (F)		31.069	25.108	19.332
	PROFIT BEFORE TAX (E-F) (G)		62.407	91.856	42.068
Less	TAX (H)		17.791	31.262	13.245
	PROFIT AFTER TAX (G-H) (I)		44.616	60.594	28.822
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		268.819	224.032	207.993
Less:	Prior Period Expenses		0.475	0.075	3.913
Less:	Excess Depreciation of earlier year written back		0.124	0.000	(0.066)
ADD:	Excess provision written back		0.617	0.000	0.000
Less:	Excess provision for taxation written back		(2.023)	1.706	(0.888)
Less	APPROPRIATIONS
		Transfer to General Reserve	4.690	5.881	2.586
		Dividend	7.012	7.012	6.136
		Tax on Dividend	1.191	1.191	1.042
	BALANCE CARRIED TO THE B/S		301.349	272.173	224.092
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	1009.849	996.711	865.643
	IMPORTS
		Raw Materials	125.390	38.771	30.960
		Stores & Spares	5.720	9.425	4.879
		Plant and Machinery	16.469	19.374	6.131
	TOTAL IMPORTS		147.579	67.570	41.970
	Earnings Per Share (Rs.)		16.72	20.97	10.54

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	3.89	4.84	2.85
Net Profit Margin (PBT/Sales)	(%)	5.48	7.36	4.23
Return on Total Assets (PBT/Total Assets}	(%)	7.63	12.57	6.44
Return on Investment (ROI) (PBT/Networth)		0.14	0.24	0.13
Debt Equity Ratio (Total Liability/Networth)		0.96	0.98	1.09
Current Ratio (Current Asset/Current Liability)		2.97	2.76	2.94

LOCAL AGENCY FURTHER INFORMATION

Note:

The Registered address of the company has been shifted from A-4, Purshottam Buildings, Opera House, Mumbai, Maharashtra, India to present address w.e.f. 13.04.2008

SUNDRY CREDITORS DETAILS

(Rs. In Millions)

PARTICULARS	31.03.2010	31.03.2009	31.03.2008
SUNDRY CREDITORS
Creditors for goods	24.085	25.794	NA
Creditors for expenses	49.285	40.175	NA
Creditors for capital goods	2.431	2.028	NA
Total	75.801	67.997	NA

Bankers Charges Report as per Registry

Name of the company	SHANKAR PACKAGINGS LIMITED
Presented By	State Bank of India, Industrial Finance Branch, The Arcade, 2^nd Floor, World Trade Center, Cuffe Parade, Mumbai – 400 005, Maharashtra, India
1) Date and description of instrument creating the change	Agreement of Hypothecation of Goods and Assets Letter Reg. the Grant of Individual Limits within the Overall Limit.
2) Amount secured by the charge/amount owing on the securities of charge	Rs.33.263 millions
3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given	All present and future goods, book-debts and all other movable assets including documents of title to goods, outstanding moneys, receivables including receivables by way of cash assistance and/or cash incentives under the Cash Incentive Scheae or any other scheme, claims including claims by way of refund of customs/excise duties under the Duty Drawback Credit Scheme, bills, invoices, documents, contracts, policies guarantees, engagements, securities, investments and rights and present end all future machineries belonging to or under the control of the Co., wherever lying, stored and kept whether in India or elsewhere including such good and other movable assets in course of transit/shipment/delivery.
4) Gist of the terms and conditions and extent and operation of the charge.	Interest: On C/C 21.75 % p.a. On Funded Term Loan l0 %p.a.
5) Name and Address and description of the person entitled to the charge.	State Bank of India, Industrial Finance Branch, World Trade Centre., Cuff Parade, Mumbai – 400 023, Maharashtra, India
6) Date and brief description of instrument modifying the charge	1) Memorandum of Entry 2) Declaration both dated 31/10/2005 creating a single charge.
7) Particulars of modifications specifying the terms and conditions or the extent of operations of the charge in which modification is made and the details of the modification.	By modification dated 24/07/199, amount of charge increased from RS.33.263 millions to Rs.42.426 millions By modification dated 05/09/1994, amount of charge increased from Rs.42.426 millions to Rs.49.363 millions By modification dated 28/03/1995, amount of charge increased from Re.49.363 millions to Rs.54.363 millions By modification dated 07/03/1996, amount of charge increased from Rs.54.363 millions to Rs.82.863 millions By modification dated 26/11/1991, amount of charge increased from Rs.82.863 millions to Rs.8.863 millions By modification dated 31/10/2005, additional credit facilities of Rs.96.137 millions granted. Hence, amount of charge increased from Rs.88.863 millions to Rs.185.000 millions. Now, by this modification dated 31/10/2005, equitable mortgage created on the following assets of the Company to secure the above charge of Rs.185.000 millions (first charge in respect of ‘the Term Loan of Rs.50.000 millions and second charge in respect of Working Capital limits of Rs.135.000 millions) Industrial Shed on Plot Hoe. 4, 5 8 6, total admeasuring about 14,772 sq. meters, in Blot Industrial Estate, village 8 Teluke Waghodia, Dist. Yadodare, Bujarat, together with all and any other buildings, structures and all fixed plant 8 machinery thereon.

This form is for	Modification of charge
Charge identification number of the modified	10062886
Corporate identity number of the company	U25202MH1985PLC036120
Name of the company	SHANKAR PACKAGINGS LIMITED
Address of the registered office or of the principal place of business in India of the company	303, Turf Estate, Dr. E Moses Road, Shakti Mills Lane, Mumbai-400011, Maharashtra, India
Type of charge	Immovable Property
Particular of charge holder	State Bank of India, Industrial Finance Branch, The Arcade, 2^nd Floor, World Trade Center, Cuffe Parade, Mumbai – 400 005, Maharashtra, India
Nature of description of the instrument creating or modifying the charge	Supplemental Deed of Mortgage
Date of instrument Creating the charge	23.07.2010
Amount secured by the charge	Rs. 796.300 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest TL-@SBAR pre. eff. rate 11.75% P.A.@ Monthly Rest & Yearly Reset, FBWC Limit-@ SBAR pre. eff. rate 11.75% P.A @Monthly Rest, SLC-@ 1% above SBAR pre.eff.rate12.75% P.A.,EPC/PCFC/FBD/EBN-Bank's instruction. Terms of Repayment 23 Quarterly Installments. First Installment due on 3.06.2010 and Last Installment due in 31.12.2016. First 4 Installment of Rs. 02.500 millions each. Next 18 Installment of Rs. 07.500 millions Each and Last one installment of Rs. 05.000 millions. Margin Raw Materials - 10%, SIP & FG - 25%, Receivables (cover period 90 days) - 30%; EPC - 10%; L/C - raw materials - 10%; L/C - stores & spares - 25%; B G - 15%; Term Loan - 47.63% Extent and operation of the charge the various credit facilities are collaterally secured by way of mortgage of immovable properties more particularly described in schedule I, II, III and IV of the supplemental Deed of Mortgage Others Credit Facilities - WC - Rs.400.000 millions + EPC/PCFC/FBD/EBN(WITHIN CC) - (Rs.33.00) Cr.+ Stand-by Line of Credit - Rs.40.000 millions.+ TL - O/S - Rs.73.500 millions.+ TL (New) - Rs.150.000 millions.+ L/C - Rs.100.000 millions+ BG - Rs.10.000 millions + Credit exposure limit for forward contracts - Rs.22.800 millions.= Total - Rs.796.300 millions
Short particulars of the property charged	Leasehold imm. prop being plot no.3, GIDC Ind. Estate, Waghodia Dist: Vadodara lying upon land inter alia bearing RS No.787/p, 789/p, 1102/p adm. 4862.50 Sq. Mtrs of Vill: Waghodia, Dist: Baroda Leasehold imm. prop being plot no.4,5 and 6 GIDC Ind. Estate, Waghodia Dist: Vadodara lying upon land inter alia bearing RS No.790/p, 790/2/p, 791/p, 792/p and 779/p adm. 14812.50 Sq. Mtrs. of waghodia, Leasehold imm. prop being plot no.1013 GIDC Ind. Estate, Waghodia Dist: Vadodara lying upon land inter alia bearing RS No.1542/2/P and 1557/P adm. 1000 Sq. Mtrs. of Vill: waghodia,Dist: Baroda Leasehold imm. prop being plot no.1034 GIDC Ind. Estate, Waghodia Dist: Vadodara lying upon land inter alia bearing RS No.1499/Part adm. 510 Sq. Mtrs. of Vill: waghodia,Dist: Baroda Leasehold imm. prop being plot no.1036 & 1037 GIDC Ind. Estate, Waghodia Dist: Vadodara lying upon land inter alia bearing RS No.1549/P and 1550/P adm. 1020 Sq. Mtrs. of Vill: waghodia, Dist: Baroda Negative Line on Plot No. 1015.Also Plant and machineries attached to the ground in all the properties mortgaged with Bank, Which includes existing as well as proposed. Leasehold imm. prop being plot no.1035 GIDC Ind. Estate, Waghodia Dist: Vadodara lying upon land inter alia bearing RS No.1499/P adm. 510 Sq. Mtrs. of Vill: waghodia,Dist: Baroda Leasehold imm. prop being Plot No. 1415 GIDC Ind. Estate, Waghodia Distt : Vadodara admeasuring 18797.05 Sq. Mtrs. Leasehold imm. prop being plot no.2, GIDC Ind. Estate, Waghodia Dist: Vadodara lying upon land inter alia bearing RS No.787/p, 789/p, 1182/p adm. 5806.35 Sq. Mtrs of Vill: Waghodia, Dist: Baroda Leasehold imm. prop being plot no.1038 GIDC Ind. Estate, Waghodia Dist: Vadodara lying upon land inter alia bearing RS No.1551/P adm. 1000 Sq. Mtrs. of Vill: waghodia,Dist: Baroda
Date of latest modification prior to the present modification	25.06.2010
Particulars of the present modification	By this execution the charge extended over immovable properties to cover revised credit facilities of Rs.79.63 Cr.(Credit Facilities-WC-Rs.400.000 millions + EPC / PCFC / FBD / EBN (WITHIN CC)-(Rs.330.000 millions)+Stand-by Line of Credit-Rs.40.00 millions.+ TL-O/S-Rs.73.500 millions. +TL (New)-Rs.150.000 millions.+ L/C-Rs.100.000 millions +BG-Rs.10.000 millions. +Credit exposure limit for forward contracts-Rs.22.800 millions. = Rs.796.300 millions.) By this modification the credit facilities up till now enjoyed at SBI Mumbai now shifted at SBI, Industrial Finance Branch, Baroda

 Fixed Assets:

· Leasehold Land

· Buildings

· Office Equipments

· Plant and Machinery

· Office and Other Equipments

· Vehicles

TRADE REFERENCES

• Reliance Industry
• Bayer (India0

WEBSITES DETAILS:

Subject is an ISO 22000:2005 and ISO 9001:2000 certified organisation, located near the city of Vadodara (400 kms north West of Mumbai, India), is a joint stock company established in 1985, to manufacture HDPE / PP woven sacks.

In 1993, Shankar set up a completely integrated and modern facility for manufacturing FIBCs.

Today, FIBCs constitute the largest percentage of the turnover of Shankar and has shown a continuous and steady growth over the years.

This growth has been made possible by innovative and creative policies of the management team backed by a skilled and dedicated staff of engineers, supervisors, workmen and a unique Quality Assurance Program.

Shankar, since its inception, has consciously followed a policy of continuously investing in up-gradation of plant and machinery to keep abreast with the latest developments in the fields of extrusion, weaving and sewing technologies. As a result the facilities at Shankar are in line with the latest in the field and have also achieved a high level of integration of operations.

Quality and timely dispatch is the watchword at Shankar. All policies are geared to ensure consistent quality assurance and timely dispatch of goods through reduced production cycle. They believe that a high level of customer satisfaction is the best and the only guarantee to growth and success.

The quality oriented and customer focused policies of Shankar, have established the reputation, in the global market, as an efficient, economical and reliable source of FIBCs.

Facilities:

· Efficient organisation of the production facilities along with a high level of integration results in short and flexible production cycles

· A dynamic quality assurance programme with its focus on online control and analysis of long term trends have resulted in a consistent supply of quality FIBCs with an enviably low ratio of claims to supply

· A constant endeavour to provide comprehensive solutions to customers in the field of FIBCs - commencing from assistance in designing (when required) to quick and efficient shipments

· Today, the production range of Shankar comprises of FIBCs, Narrow Woven Belts, Sewing Yarn and Flat and Circular PP Woven Fabrics

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.45.20
UK Pound	1	Rs.73.16
Euro	1	Rs.61.88

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--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	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		52

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.