MIRA INFORM REPORT

Report Date :

06.05.2011

IDENTIFICATION DETAILS

Name :	KUNAL PLASTICS PRIVATE LIMITED PROPACK INDUSTRIES (PROPRIETOR KUNAL PLASTICS PRIVATE LIMITED)
Registered Office :	Sona Udyog Building No.42^nd Floor, Parsi Panchayat Road, Andheri (East), Mumbai-400069, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	26.12.1983
Com. Reg. No.:	11-31665
Capital Investment / Paid-up Capital :	Rs. 2.500 Millions
CIN No.: [Company Identification No.]	U25209MH1983PTC031665
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Plastic Films and Sheets
No. of Employees :	130 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (49)

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

Maximum Credit Limit :	USD 200000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a well 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 – 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 PARTED BY

Name :	Mr. Janak Desai
Designation :	Accounts Manager
Contact No.:	91-9879503894

LOCATIONS

Registered Office :	Sona Udyog Building No.4, 2^nd Floor, Parsi Panchayat Road, Andheri (East), Mumbai-400069, Maharashtra, India
Tel No.:	91-22-28361750
Mobile No.:	91-9879503894
Fax No.:	91-22-28302669
E-Mail :	janak@propackind.com amco2@vsnl.net
Area :	700 sq.fts
Location :	Owned
Factory/Corporate Office:	Zari Causeway Road, Opposite Sabri Complex, Behind Manek Industrial Estate, Kachigam, Daman, Mumbai – 396210, Maharashtra, India
Tel No.:	91-260-2242244
Fax No.:	91-260-2242044
Area :	2124sq.fts
Location :	Owned

DIRECTORS

AS ON 20.08.2010

Name :	Mrs. Alka Bankim Desai
Designation :	Director
Address :	Kalpana, 5^th Floor, J V P D Scheme, Vile Parle (West), Mumbai-400056, Maharashtra, India
Date of Birth/Age :	15.06.1957
Qualification :	BSC
Date of Appointment :	26.12.1983
Name :	Mrs. Amita Jaymin Desai
Designation :	Director
Address :	Kalpana, 5^th Floor, J V P D Scheme, Vile Parle (West), Mumbai-400056, Maharashtra, India
Date of Birth/Age :	07.12.1961
Qualification :	B.com
Date of Appointment :	26.12.1983
Name :	Mrs. Charulata Nitin Patel
Designation :	Director
Address :	Kalpana, 5^th Floor, J V P D Scheme, Vile Parle (West), Mumbai-400056, Maharashtra, India
Date of Birth/Age :	13.07.1963
Qualification :	MBBS
Date of Appointment :	26.12.1983

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 20.08.2010

Names of Shareholders	No. of Shares
Alka Bankim Desai	8333
Amita Jaymin Desai	8330
Charulata Nitin Patel	8332
Indumati Desai	1
Urmila Desai	1
Chandravadhan Desai	1
Hemant Patel (HUF)	1
Kalidas Patel (HUF)	1
Total	25000

AS ON 20.08.2010

Category	Percentage
Directors or relatives of directors	99.98
Others	0.02
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Plastic Films and Sheets

Products :

Product Description	Item Code
Extruded Film	3920.32

Exports :

Products :

Plastic Films, Sheets

Countries :

USA

Imports :

Products :

Polymers

Countries :

UAE

Terms :

Selling :

Credit

Purchasing :

L/C, Credit

PRODUCTION STATUS AS ON 31.03.2008

Particulars	Unit	Installed Capacity*	Actual Production**
Extruded Film	MT	3540	2051.58

NOTE

* As certified by a director on which auditors have placed reliance, this being technical matter.

** includes Tubings for captive use 2.29 MT and conversion of 19.39 MT from outside parties.

GENERAL INFORMATION

Customers :	Dealers
No. of Employees :	130 (Approximately)
Bankers :	State Bank of India, MIDC Andheri (East) Branch, Plot No.B-1, MIDC Industrial Area, Central Road, Mumbai - 400093, Maharashtra, India
Facilities :	CC – Rs.32.500 Millions LC – Rs.15.000 Millions

Banking Relations :	--
Auditors :
Name :	Akkad Mehta and Company Chartered Accountant
Address :	2, Vatika, 14, Baptista Road, Vile Parle (West), Mumbai-400056, Maharashtra, India
Jointly Controlled Entity :	Synergy Films Private Limited

CAPITAL STRUCTURE

AS ON 30.09.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
25000	Equity Share	Rs.100/- Each	Rs.2.500 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
25000	Equity Share	Rs.100/- Each	Rs.2.500 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		2.500	2.500	2.500
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		50.872	47.848	51.730
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		53.372	50.348	54.230
LOAN FUNDS
1] Secured Loans		31.400	19.804	18.791
2] Unsecured Loans		16.043	15.613	13.433
TOTAL BORROWING		47.443	35.417	32.224
DEFERRED TAX LIABILITIES		6.149	6.188	6.468
TOTAL		106.964	91.953	92.922
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		42.032	45.281	45.049
Capital work-in-progress		0.455	0.187	0.187
INVESTMENT		5.877	5.816	5.816
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	31.565	13.248	24.392
	Sundry Debtors	48.028	22.343	32.081
	Cash & Bank Balances	5.089	5.075	5.168
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	10.899	17.028	10.745
Total Current Assets		95.581	57.694	72.386
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	95.581		25.615
	Other Current Liabilities		17.025	3.439
	Provisions	36.981	0.000	1.462
Total Current Liabilities		36.981	17.025	30.516
Net Current Assets		58.600	40.669	41.870
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		106.964	91.953	92.922

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES AND OTHER INCOME		254.564	233.079	236.367
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		7.648	(0.247)	6.235
Less/ Add	DEPRECIATION/ AMORTISATION		3.722	3.570	3.710
	PROFIT BEFORE TAX		3.926	(3.817)	2.525
Less	TAX		0.611	(0.069)	0.613
	PROFIT AFTER TAX		3.315	(3.747)	1.912
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		10.010	13.893	13.943
Less	APPROPRIATIONS
		Transfer to General Reserve	0.500	0.000	0.500
		Interim Dividend	0.000	0.000	0.000
		Final Dividend	0.000	0.000	0.000
		Proposed Dividend on Equity Shares	0.250	0.000	1.250
		Dividend Distribution Tax	0.041	0.000	0.212
	BALANCE CARRIED TO THE B/S		12.535	10.010	13.893
	EARNINGS IN FOREIGN CURRENCY		NA	NA	38095.806
	IMPORTS
		Raw Materials	NA	NA	38.763
	TOTAL IMPORTS		NA	NA	38.763

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
Return on Total Assets (PBT/Total Assets}	(%)	2.85	(3.71)	2.15
Return on Investment (ROI) (PBT/Networth)		0.07	(0.08)	0.05
Debt Equity Ratio (Total Liability/Networth)		1.58	1.04	1.16
Current Ratio (Current Asset/Current Liability)		2.58	3.39	2.37

LOCAL AGENCY FURTHER INFORMATION

OPERATION

The sales for the year registered marginal increase of 7 % to Rs.249.583 Millions. The Company has earned Profit of Rs.3.447 Millions after tax. The volatility in raw material prices continued as in previous year. However the prices fluctuated in narrow range. With continuous monitoring and control of sales price and other operating variables, a slide in profit margin was averted.

PROSPECTS FOR THE CURRENT YEAR OF ESTABLISHMENT

The company expects to maintain current growth in volume and profitability during current year. Company is putting more efforts towards developing diversified customer base as well new application. This will help to minimize the impact of slowdown any particular application or customer. The company has established long standing relationship with its key customers.

FORM 8:

Corporate identity number of the company	U25209MH1983PTC031665
Name of the company	KUNAL PLASTICS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Sona Udyog Bldg No. 42^nd Floor Parsi Panchayat, Rd Andheri (E), Mumbai – 400069, Maharashtra, India
This form is for	Modification of charge
Type of charge	Immovable Property
Particular of charge holder	STATE BANK OF INDIA
Nature of instrument creating charge	No instrument. memorandum for recording extension of mortgage by deposit of title deeds covering enhanced limits and/or creation of equitable mortgage on additional properties for existing limits and enhanced limits and additional facilities (Sme-7)
Date of instrument Creating the charge	19/03/2010
Amount secured by the charge	Rs.56.800 Millions
Short particulars of the property charged	The immovable properties belonging to the company is being offered as a granter security by way of mortgage by deposit of title deeds as described in schedule ii below in favour of the State Bank of India as a continuing security to further secure (unaffected by fluctuations or coming into credit of the borrowers account) repayment of all monies at any time payable by the borrowers M/S Janki Plastics to the banks in respect of cash credit, export packing credit, export bills purchase, medium term loan, letter of credit and bank guarantee facilities and all other advances which might be owning or become owing by the borrower company M/S Janki Plastics to the bank upon any other account, indebtedness of Rs.12 Millions liability including interest, costs (as between attorney and client), charges, expenses, past, present and future. Description Of The Security: Entire Land And Building Constructed Thereon Located At Plot S.No.375, Village Kachigam, Sub. Dist. And Dist. Daman Bounded By: On East : By Plot Bearing S.No.377/1(8) On West: By Plot Bearing S.No.375/11-A On North: By Plot Bearing S.No.375/10 On South: By Plot Bearing S.No.376/2(11)
Date of instrument modifying the charge	19/03/2010
Particulars of the present modification	Now by the present modification dt.19.3.2010 the company offered an additional security by way of an equitable mortgage by deposit of title deeds over the immovable properties to secure its extended limits of Rs.56.800 Millions.

TRADE REFERENCES:

• Reliance Industries Limited
• Plastic Blend Limited, Daman

FIXED ASSETS

• Land
• Factory
• Plant and machinery
• Vehicles
• Dies, Moulds and Utilities
• Furniture and Fixtures

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.44.57
UK Pound	1	Rs.73.58
Euro	1	Rs.66.23

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--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	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		49

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.