MIRA INFORM REPORT

Report Date :

29.06.2011

IDENTIFICATION DETAILS

Name :	GUJARAT FLOTEX PRIVATE LIMITED
Registered Office :	407, “Shashwat”, Near Kanak Hotel, Opposite Gujarat College, Ellisbridge, Ahmedabad – 380 006, Gujarat
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	15.12.2000
Com. Reg. No.:	04-039072
Paid-up Capital :	Rs. 12.525 Millions
CIN No.: [Company Identification No.]	U17118GJ2000PTC039072
TAN No.: [Tax Deduction & Collection Account No.]	AHMG01878C
PAN No.: [Permanent Account No.]	AABCG4542P
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Home Furnishing.
No. of Employees :	300 (approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (44)

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

Maximum Credit Limit :	USD 430000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments. The company can be considered normal 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 – June 30, 2010

Country Name	Previous Rating (01.04.2010)	Current Rating (30.06.2010)
India	A1	A1

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

INFORMATION PARTED BY

Name :	Mr. Hasmukh
Designation :	Accounts Manager
Contact No.:	91-9687694206
Date :	27.06.2011

LOCATIONS

Registered Office :	407, “Shashwat”, Near Kanak Hotel, Opposite Gujarat College, Ellisbridge, Ahmedabad – 380 006, Gujarat, India
Tel. No.:	91-79-26563204/ 26425927/91-2764-233063
Mobile No.:	91-9376106373 (Mr. Anand Choudhary) 91-9687694206 (Mr. Hasmukh)
Fax No.:	91-79-26424756/91-2764-232046
E-Mail :	gujfload1@sancharnet.in
Area :	2000 sq ft
Location :	Owned
Factory :	1039/ 2, Kadi Chhatral Road Chhatral Taluka – Kalol, District: Gandhi Naga, Gujarat, India
Tel. No.:	91-2764-233063
Area :	1500 sq ft
Location :	Owned

DIRECTORS

As On 30.09.2010

Name :	Mr. Jay Prakash Kailash Chandra Tosniwal
Designation :	Director
Address :	203, Sukhdham Flats Opposite Municipal Market, C.G Road, Ahmedabad – 380009, Gujarat, India
Date of Birth/Age :	16.10.1974
Qualification :	Graduate
Date of Appointment :	15.12.2000
DIN No.:	00093574
Name :	Mr. Anand Netanand Choudhary
Designation :	Director
Address :	204, Kalash Apartments, 18/19, Devang Park, Near Poly Technic Cross Road, Ambawadi, Panjrapole, Ahmedabad – 380 006, Gujarat, India.
Date of Birth/Age :	07.07.1977
Qualification :	Graduate
Date of Appointment :	15.12.2000
DIN No.:	00059361
Name :	Mr. Vikas Chanchalraj Mehta
Designation :	Director
Address :	4, Tejal Apartments, Opposite Sankola Apartment, Near New Alkapuri Society, Ambawadi, Ahmedabad – 380 006, Gujarat, India.
Date of Birth/Age :	15.12.1975
Qualification :	Graduate
Date of Appointment :	15.12.2000
DIN No.:	00059317

KEY EXECUTIVES

Name :	Mr. Hasmukh
Designation :	Accounts Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2010

Names of Shareholders	No. of Shares
Jay Prakash Tosniwal	187000
Vikas Mehta	290500
Anand Choudhary	308000
Vikas Tosniwal	40000
Priya Mehta	70000
Nisha Tosniwal	65000
Deepak Rathi	1500
Vinita Choudhary	57000
Anand Choudhary HUF	2000
Sweta Mehta	6000
Mirjamal Tosniwala HUF	45000
Mirjamal Tosniwala	20000
Vishal Tosniwala	5000
Jay Prakash Tosniwal HUF	5000
Vikas Mehta HUF	500
Western Flock Private Limited	150000
Total	1252500

As on 30.09.2010

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Home Furnishing.

Products :

Item Code	Product Description
5907.11	Flocked Cotton Fabrics
5907.12	Flocked Synthetic Fabrics
5601.30	Textile Dust (Flock)

Terms :

Selling :

Cash and Credit

Purchasing :

Cash and Credit

PRODUCTION STATUS (As on 31.03.2009)

Particulars	Unit	Installed Capacity	Actual Production
Flocked Cotton Fabric and Flocked Synthetic Fabrics	Mtrs.	3200000
Flocked Print Fabrics	Mtrs.	950000	4585198
Raised Knitted Fabrics	Mtrs.	800000

GENERAL INFORMATION

Customers :

• Wholesalers
• Retailers,
• End Users

No. of Employees :

300 (approximately)

Bankers :

• State Bank of India, Laghu Udhyog Branch, Opposite Gandhidham Railway Station, Gandhidham, Ahmedabad – 380009, Gujarat, India
• Andhra Bank, 41, Parimal Society, C.G. Road, Ahmedabad – 380 006, Gujarat, India
• HDFC Bank Limited

Facilities :

Secured Loans	31.03.2010 (Rs. In Millions)	31.03.2009 (Rs. In Millions)
Term Loans
State Bank of India	61.141	0.000
Andhra Bank	0.000	13.545
HDFC Bank Limited (Car Loan)	0.018	0.122
Working Capital Loans	0	0
FCNRB Loan A/|C (30968744389)	30.198	0.000
State Bank of India	23.995	0.000
Andhra Bank	0.000	44.223
Total	115.352	57.890

Unsecured Loans	31.03.2010 (Rs. In Millions)	31.03.2009 (Rs. In Millions)
From Shareholders	9.650	9.475
From Directors	0.300	3.175
From Body Corporates	19.550	2.150
Total	29.500	14.800

Banking Relations :	--
Auditors :
Name :	Surana Maloo and Company Chartered Accountants
Address :	4^th Floor, Shival Plaza, Gujarat College Road, Ellisbridge, Ahmedabad – 380 006, Gujarat, India
Tel. No.:	91-79-26420336-9
Fax No.:	91-79-26420339
Pan No.:	AAHFS7809J

CAPITAL STRUCTURE

As On 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
1500000	Equity Shares	Rs.10/- each	Rs.15.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1252500	Equity Shares	Rs.10/- each	Rs.12.525 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		12.525	11.025	9.725
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		96.625	71.004	51.943
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		109.150	82.029	61.668
LOAN FUNDS
1] Secured Loans		115.352	57.890	63.444
2] Unsecured Loans		29.500	14.800	22.695
TOTAL BORROWING		144.852	72.690	86.139
DEFERRED TAX LIABILITIES		9.071	6.818	6.485
TOTAL		263.073	161.537	154.292
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		105.386	67.035	68.047
Capital work-in-progress		34.572	0.000	0.000
INVESTMENT		0.000	0.010	0.010
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	70.168	50.858	43.299
	Sundry Debtors	63.011	63.084	59.815
	Cash & Bank Balances	10.838	3.883	4.062
	Other Current Assets	3.367	0.000	0.000
	Loans & Advances	4.473	3.383	2.448
Total Current Assets		151.857	121.208	109.624
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	27.284	23.889	21.779
	Other Current Liabilities	1.473	0.000	0.000
	Provisions	0.000	2.847	1.610
Total Current Liabilities		28.757	26.736	23.389
Net Current Assets		123.100	94.472	86.235
MISCELLANEOUS EXPENSES		0.015	0.020	0.000
TOTAL		263.073	161.537	154.292

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	381.161	306.949	243.328
		Other Income	0.712	0.466	0.498
		TOTAL (A)	381.873	307.415	243.826
Less	EXPENSES
		Raw Material Consumed	246.633	185.167	164.149
		Manufacturing Expenses	95.959	73.355	57.728
		Payment to and Provision for Employees	6.391	4.339	3.525
		Operational and Other Expenses	14.026	6.117	4.565
		Loss on Vehicle Sales	0.032	0.000	0.027
		Preliminary Expenses	0.005	0.005	0.024
		Increase/(Decrease) in Stock	(13.398)	11.183	(9.437)
		TOTAL (B)	349.648	280.166	220.581
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		32.225	27.249	23.245
Less	FINANCIAL EXPENSES (D)		7.604	9.628	8.443
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		24.621	17.621	14.802
Less/ Add	DEPRECIATION/ AMORTISATION (F)		7.169	6.337	4.292
	PROFIT BEFORE TAX (E-F) (G)		17.452	11.284	10.510
Less	TAX (I)		5.331	3.923	3.335
	PROFIT AFTER TAX (G-I) (J)		12.121	7.361	7.175
	EARNINGS IN FOREIGN CURRENCY		NA	1.852	3.496
	IMPORTS		NA	46.554	29.664
	Earnings Per Share (Rs.)		9.68	6.68	7.38

Particulars	31.03.2011
Sales Turnover	499.700

Expected Sales (2011-12) : Rs. 600.000 Millions

The above information has been parted by Mr. Hasmukh

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	3.17	2.39	2.94
Net Profit Margin (PBT/Sales)	(%)	4.58	3.68	4.32
Return on Total Assets (PBT/Total Assets}	(%)	6.78	5.99	5.92
Return on Investment (ROI) (PBT/Networth)		0.16	0.14	0.17
Debt Equity Ratio (Total Liability/Networth)		1.59	1.21	1.78
Current Ratio (Current Asset/Current Liability)		5.28	4.53	4.69

LOCAL AGENCY FURTHER INFORMATION

Note:

The registered office of the company has been shifted from 1039/ 2, Kadi Chhatral Road Chhatral Ta – Kalol, District: Gandhi Naga, Gujarat to the present address w.e.f. 31.03.2008.

FINANCIAL RESULTS:

During the year the company has achieved a Sales of Rs. 381.162 millions as compared to the sales of Rs. 306.949 millions for the previous year and therefore, profit of the company increase to Rs.12.121 millions as compared to Profit of Rs. 7.361 millions for the previous year. The Directors are of the view that they will show better results in the forthcoming years.

Form 8:

Corporate identity number of the company	U17118GJ2000PTC039072
Name of the company	GUJARAT FLOTEX PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	407, “Shashwat”, Near Kanak Hotel, Opposite Gujarat College, Ellisbridge, Ahmedabad – 380 006, Gujarat, India E-Mail: gujafload1@sancharnet.in
This form is for	Creation of charge
Type of charge	Movable Property
Particular of charge holder	State Bank of India, Laghu Udhyog Branch, Opposite Gandhidham Railway Station, Gandhidham, Ahmedabad – 380 009, Gujarat, India E-Mail: roopesh.gehlot@sbi.co.in
Nature of description of the instrument creating or modifying the charge	Loan cum hypothecation agreement dt 07-12-2010 for the purchase of car- Maruti Suzuki Swift Desire VXI.
Date of instrument Creating the charge	07.12.2010
Amount secured by the charge	Rs.0.500 million
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest: 1st YEAR-9% 2nd YEAR-9.25% 3rd YEAR-9.50% Terms of Repayment: The loan is to be repaid in Equated Monthly Installment of for 1st year –Rs. 0.016 Million 2nd year-Rs. 0.016 Million and 3rd year onward Rs. 0.016 Million commencing from January 2011. Margin: 20.91% Extent and Operation of the charge: Hypothecation of car - Maruti Suzuki Swift Desire VXI purchased from the above loan
Short particulars of the property charged	Hypothecation of car - Maruti Suzuki Swift Desire VXI purchased out of the finance

Trade References:

• Pedilite Industries

FIXED ASSETS:

• Computers
• Electrical Installation
• Energy Saving Equipments
• ETP Plant
• Factory Building
• Freehold Land
• Furniture and Fixture
• Office Equipment
• Plant and Machinery
• Steam Boiler
• Thermic Heater
• Thermic Heater II
• Thermic Heater III
• Vehicles

CMT REPORT (Corruption, Money Laundering & Terrorism]

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

1] INFORMATION ON DESIGNATED PARTY

No 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.45.05
UK Pound	1	Rs.71.92
Euro	1	Rs.64.34

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	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
TOTAL		44

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.