MIRA INFORM REPORT

Report Date :

07.05.2011

IDENTIFICATION DETAILS

Name :	SNC JEWELS PRIVATE LIMITED

Registered Office :	Unit No. 124, SDF-IV, Seepz, Andheri [East], Mumbai 400096, Maharashtra

Country :	India

Financials (as on) :	31.03.2010

Date of Incorporation :	18.12.2001

Com. Reg. No.:	11-134255

Capital Investment / Paid-up Capital :	Rs.14.100 Millions

CIN No.: [Company Identification No.]	U36910MH2001PTC134255

TAN No.: [Tax Deduction & Collection Account No.]	MUMS40837G

PAN No.: [Permanent Account No.]	AAICS0348G

Legal Form :	Private Limited Liability Company

Line of Business :	Manufacturer, Exporter and Importer of Studded and Plain Gold Jewellery, Products are Bangles, Bracelllet, Earrings etc

No. of Employees :	300 (Office 75 + Factory 225 ) (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

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

Maximum Credit Limit :	USD 847000

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 – April 1, 2010

Country Name

Previous Rating

(31.12.2009)

Current Rating

(01.04.2010)

India

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. Shailendra
Designation :	Accounts Head
Date :	06.05.2011

LOCATIONS

Registered Office/Factory :	Unit No. 124, SDF-IV, Seepz, Andheri [East], Mumbai 400096, Maharashtra, India
Tel. No.:	91-22-30925075 / 24932271 / 24961390/ 28293040
Fax No.:	91-22-24961390 / 28293045
E-Mail :	arjsn64@yahoo.co.in info@sncjewels.com sales@sncjewels.com
Website :	http://www.sncjewels.com
Location :	Owned

DIRECTORS

AS ON : 25.06.2010

Name :	Mr. Saurin Sohil Jhaveri
Designation :	Director
Address :	12, Sumangal, 6^th Floor, 13, Ridge Road, Mumbai 400006, Maharashtra, India
Date of Birth/Age :	06.09.1981
Date of Appointment :	15.05.2004

Name :	Mr. Rajnikant Harilal Jhaveri
Designation :	Director
Address :	12, Sumangal, 6^th Floor, 13, Ridge Road, Mumbai 400006, Maharashtra, India
Date of Birth/Age :	03.06.1928
Date of Appointment :	29.07.2004

Name :	Mr. Aditya Vitthal Choksi
Designation :	Director
Address :	11, Pavlola, 10, Gibbs Road, Mumbai 400006, Maharashtra, India
Date of Birth/Age :	15.01.1980
Date of Appointment :	15.05.2004

Name :	Mr. Amish Rajnikant Jhaveri
Designation :	Director
Address :	12, Sumangal, 6^th Floor, 13, Ridge Road, Mumbai 400006, Maharashtra, India
Date of Birth/Age :	03.12.1963
Date of Appointment :	15.05.2004

Name :	Ms. Sheffalie Amish Jhaveri
Designation :	Director
Address :	12, Sumangal, 6^th Floor, 13, Ridge Road, Mumbai 400006, Maharashtra, India
Date of Birth/Age :	28.02.1965
Date of Appointment :	29.07.2004

Name :	Mr. Bipin N. Sagar
Designation :	Director
Address :	10, Sursagar, 14, Azad, Nagar Society, Road No.1, JVPD Scheme, Vile Parle (West), Mumbai – 400056, Maharashtra, India
Date of Appointment :	15.05.2010

Name :	Mr. Rohan Vitthal Choksi
Designation :	Director
Address :	11-Pavlvoa, 4^th Floor, L.D. Ruparel Marg, Mumbai – 400006, Maharashtra, India
Date of Appointment :	15.05.2010

Name :	Mr. Vitthal Choksi
Designation :	Director

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON : 25.06.2010

Names of Shareholders		No. of Shares
Saurin Jhaveri		563300
Rajnikant Jhaveri		4500
Sheffali Jhaveri		78600
Siddhant Jhaveri		183400
Aditya Choksi		155000
Vitthaldas Choksi		123000
Rohan Choksi		145000
Priyanka S. Jhaveri		78600
Master Yanik Jhaveri		78600

Total		1410000

AS ON : 25.06.2010

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer, Exporter and Importer of Studded and Plain Gold Jewellery, Products are Bangles, Bracelllet, Earrings etc

Products :

Item Code No.:	Product description
7113.19	Plain and Studded Gold Jewellery and Article

Exports :

Products :

Jewellery Products

Countries :

USA
UAE
London
Canada

Imports :

Products :

Findings, Diamonds

Countries :

Terms :

Selling :

Credit

Purchasing :

Credit

Production Status : As on : 31.03.2010

Class of Products	Unit	Licensed Capacity	Installed Capacity	Production
Gold Jewellery With Diamonds
For y.e. 31.03.2010	Pcs	NA	100000	106706

For y.e. 31.03.2009	Pcs	NA	100000	58602

Note :

The installed Capacities are as per certificate given by the management on which the Auditors have relied.
Figured in Bracket are respect of previous year
Installed capacity varies accounting to kind of projects.

GENERAL INFORMATION

Customers :

Wholesalers

No. of Employees :

300 (Office 75 + Factory 225 ) (Approximately)

Bankers :

State Bank of India, Diamond Branch, Majestic Shopping Centre, Girguam, Mumbai – 400004, Maharashtra, India
ICICI Bank Limited, Landmark Race Course Circle, Alkapuri, Baroda 390015, Gujarat, India

Facilities :

Secured Loan	Rs. In Millions 31.03.2010	Rs. In Millions 31.03.2009
From State Bank of India
Export Packing Credit (Secured by Inventories and Book debts)	14.930	10.682
Post Shipment Credit (Secured by Export Receivable)	74.614	23.651

Total	89.544	34.333

Unsecured Loan	Rs. In Millions 31.03.2010	Rs. In Millions 31.03.2009
From Director	--	14.800

Total	--	14.800


Banking Relations :	--

Auditors :
Name 1 :	L. D. Joshi and Company Chartered Accountants
Address :	2-G, Court Chambers, 2^nd Floor, Behind Income Tax Office,35, New Marine Lines, Mumbai 400020, Maharashtra, India
Tel. No.:	91-22-22003058 / 22005568
Fax No.:	91-22-23631648 / 23685647
E-Mail:	joshikartik@hotmail.com

Name 2 :	Suresh Surana and Associates Chartered Accountants

CAPITAL STRUCTURE

AS ON 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount

2000000	Equity Shares	Rs.10/- each	Rs. 20.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

1410000	Equity Shares	Rs.10/- each	Rs.14.100 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		14.100	14.100	14.100
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		197.655	175.740	138.755
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		211.755	189.840	152.855
LOAN FUNDS
1] Secured Loans		89.544	34.334	160.527
2] Unsecured Loans		0.000	14.800	32.900
TOTAL BORROWING		89.544	49.134	193.427
DEFERRED TAX LIABILITIES		0.000	0.000	0.000

TOTAL		301.299	238.974	346.282

APPLICATION OF FUNDS

FIXED ASSETS [Net Block]		11.104	12.392	14.176
Capital work-in-progress		0.000	0.000	0.000

INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.563	0.063	0.015

CURRENT ASSETS, LOANS & ADVANCES
	Inventories	124.350	124.411	131.865
	Sundry Debtors	228.579	129.872	213.351
	Cash & Bank Balances	1.026	3.500	0.970
	Other Current Assets	144.795	54.101	148.195
	Loans & Advances	6.495	4.531	0.721
Total Current Assets		505.245	316.415	495.102
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	105.120	78.453	58.236
	Other Current Liabilities	98.468	4.589	103.024
	Provisions	12.025	6.880	1.830
Total Current Liabilities		215.613	89.922	163.090
Net Current Assets		289.632	226.493	332.012

MISCELLANEOUS EXPENSES		0.000	0.026	0.079

TOTAL		301.299	238.974	346.282

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	573.266	358.334	326.539
		Other Income	2.681	9.889	1.060
		TOTAL	575.947	368.223	327.599

Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses	544.779	321.846	311.474
		Increase/Decrease in Stock
		Interest
		TOTAL	544.779	321.846	311.474

	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		31.168	46.377	16.125

Less/ Add	DEPRECIATION/ AMORTISATION		2.353	2.741	2.897

	PROFIT BEFORE TAX		28.815	43.636	13.228

Less	TAX		5.256	5.002	1.592

	PROFIT AFTER TAX		23.559	38.634	11.636

Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		175.640	138.656	128.719

	BALANCE CARRIED TO THE B/S		197.548	175.640	138.656

	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	570.281	355.971	NA
	TOTAL EARNINGS		570.281	926.252	NA

	IMPORTS
		Raw Materials	222.249	81.966	NA
		Capital Goods	--	--	NA
	TOTAL IMPORTS		222.249	81.966	NA

	Earnings Per Share (Rs.)		16.71	27.40	--

Expected Sales (2010-2011) : Rs. 670.000 millions

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	4.09	10.49	3.55

Net Profit Margin (PBT/Sales)	(%)	5.02	12.17	4.05

Return on Total Assets (PBT/Total Assets}	(%)	5.54	13.27	2.59

Return on Investment (ROI) (PBT/Networth)		0.13	0.22	0.08

Debt Equity Ratio (Total Liability/Networth)		1.44	0.73	2.33

Current Ratio (Current Asset/Current Liability)		2.34	3.51	3.03

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITORS DETAILS :

(Rs. In Millions)

Particulars	31.03.2010	31.03.2009	31.03.2008

Creditors for Goods, Services and Expenses	105.120	78.453	58.236

Total	105.120	78.453	58.236

PERFORMANCE FOR THE YEAR

During the year the sales turn over of the company has increased to Rs. 573.266 millions compared to last year sales of Rs. 358.334 millions. Export Sales is higher by 59.98 % compared to previous year. Operating Profit before depreciation is at Rs. 31.168 millions Compared to last year of Rs. 46.377 millions and the Net Profit for the year is Rs. 23.559 millions Compared to last year of Rs.38.633 millions.

FUTURE OUTLOOK

Sales during the first two months (April 10 to May 10) of the current financial year 2010-11 has improved marginally, as compared to the sales during the corresponding period of the previous year. Company is very much hopeful to achieve better results in the forthcoming year. The company has introduced many new customers having smaller credit period and they are expecting to improve the order on hand position and performance as compared to the year. The overall performance of the company is satisfactory. With the sustained efforts to maintain healthy growth rate, coupled with the continuous efforts on expense, improving buying efficiency and inventory management the Director are confident of improving the surplus during the financial year.

FORM 8

This form is for	Creation of charge
Corporate identity number of the company	U36910MH2001PTC134255
Name of the company	SNC JEWELS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Unit No. 124, SDF-IV, Seepz, Andheri [East], Mumbai 400096, Maharashtra, India
Type of charge	Book Debts Movable Property
Particular of charge holder	ICICI Bank Limited Landmark Race Course Circle, Alkapuri, Baroda 390015, Gujarat, India
Nature of description of the instrument creating or modifying the charge	Supplemental deed of hypothecation dated 30.09.2006 executed by the Borrower in favour of ICICI Bank Limited
Date of instrument Creating the charge	30.09.2006
Amount secured by the charge	Rs. 142.000 Millions
Short particulars of the property charged	The whole of the Borrowers stock of raw material, goods in process, semi finished goods and finished goods, consumable stores and spares and such other movables, including book debts, bills whether documentary or clean both present and future. The whole of the Borrowers movable properties including its movable plant and machinery, machinery spares, tools and accessories, non trade receivables and other movables both present and future.

Corporate identity number of the company	U36910MH2001PTC134255
Name of the company	SNC JEWELS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	124-SDF-IV-SEEPZ, Andheri (E), Mumbai - 400096, Maharashtra, India
This form is for	Modification of charge
Type of charge	Immovable property
Particular of charge holder	State Bank of India, Diamond Branch, Majestic Shopping Centre, Girguam, Mumbai – 400004, Maharashtra, India
Nature of instrument creating charge	No instruments. memorandum of deposit for creation of charge for Term Loan/Overall Limit where the initial charge is created by way of mortgage by deposit of title deeds
Date of instrument Creating the charge	30/10/2010
Amount secured by the charge	Rs. 170.000 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest : As Per RBI/SBI Guidelines. Terms of repayment : As Per Sanction Term Margin : As Per Sanction Term Extent and operation of the charge : As Per Sanction Term Other : Not Applicable
Short particulars of the property charged (Including location of the property)	Property 1: Flat No.701, Admeasuring 435.84 Sq. Ft. Carpet Area, On The Seventh Floor, And A Stilt Car Parking Space Area 100 Sq. Ft. In "Glen Eagle Co-Operative Housing Society Limited", Situated On Plot No.7, J.V.P.D, Vile Parle (West), Mumbai 400 049, bearing CTS No.8-A, Village Parle (West), Taluka Andheri. Property 2: Flat No.702, Admeasuring 306.67 Sq. Ft. Carpet Area, On The Seventh Floor, In "Glen Eagle Co-Operative Housing Society Limited", situated On Plot No.7, J.V.P.D, Vile Parle (West), Mumbai 400 049, Bearing Cts No.8-A, Village Parle (West), Taluka Andheri. Property 3: Flat No. 703, Admeasuring 424.75 Sq. Ft. Carpet Area, On The Seventh Floor, And A Open Car Parking Space Having Area 100 Sq. Ft. In "Glen Eagle Co-Operative Housing Society Limited", Situated On Plot No.7, J.V.P.D, Vile Parle (West), Mumbai 400 049, Bearing CTS No.8-A, Village Parle (West), Taluka Andheri, Belonging to M/S. SNC Jewels Private Limited
Particulars of the present modification	Now by the present modification the company offered security by way of an equitable mortgage by deposit of title deeds over the immovable properties to secure its credit facilities of Rs.170.000 millions

FIXED ASSETS :

Plant and Machinery
Furniture and Fixtures
Electrical Equipment
Computer Equipments and ERP Software
Office Equipments
Motor Car
Current Year Figures

TRADE REFERENCES :

A.V. Diamond – USA
Gold And Diamond – USA

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. 44.78
UK Pound	1	Rs. 73.42
Euro	1	Rs. 65.27

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
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	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		45

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.

MIRA INFORM REPORT

124.350

228.579

1.026

144.795

6.495

505.245

98.468

12.025

215.613

289.632

4.09

5.02

5.54

0.13

1.44

2.34

Unit