MIRA INFORM REPORT

Report Date :

09.05.2011

IDENTIFICATION DETAILS

Name :	PATODIA FILAMENTS PRIVATE LIMITED
Registered Office :	Fadia Building No. 3, 1^st Floor, Room No. 1, Cavel Cross Lane No. 4, Ramwadi, Mumbai – 400 002, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	27.01.1995
Com. Reg. No.:	11-84985
Com. Reg. No.:	Rs. 28.100 Millions
CIN No.: [Company Identification No.]	u17110mh1995ptc084985
TAN No.: [Tax Deduction & Collection Account No.]	mump16339b
PAN No.: [Permanent Account No.]	aabcp8673J
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Polyester Yarn Knitting Fabrics.
No. of Employees:	50 (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 580000
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.

INFORMATION PARTED BY

Name :	Ms. Pinky
Designation :	Account Manager
Contact No.:	91-2632-241207
Date :	07.05.2011

LOCATIONS

Registered Office :	Fadia Building, No. 3 1^st Floor, Room No. 1, Cavel Cross Lane, No.4, Ramwadi, Mumbai – 400 002, Maharashtra
Tel. No.:	91-22-22034026/ 27
E-Mail :	patodiagroup@yahoo.com
Area:	5000 sq.ft. (Owned)
Factory :	Plot No. 15, Industrial Estate, Madhuban Dam Road, Village Rakholi, Silvassa - 396 230, Gujarat
Tel. No.:	91-2632-241207

DIRECTORS

As on 30.09.2010

Name :	Mr. Sudhir Sajjan Kumar Patodia
Designation :	Director
Address :	1001, Minaxi Tower, 10^th Floor, Gokuldham, Road, Goregaon (East), Mumbai -400 063, Maharashtra
Date of Birth/Age :	10.08.1972
Date of Appointment :	27.01.1995
DIN No.:	00322206
Name :	Mr. Sajjan Kumar Murlidhar Patodia
Designation :	Director
Address :	1001, Minaxi Tower, 10^th Floor, Gokuldham, Road, Goregaon (East), Mumbai -400 063, Maharashtra
Date of Birth/Age :	26.08.1945
Date of Appointment :	27.01.1995
DIN No.:	00322117

KEY EXECUTIVES

Name :	Ms. Pinky
Designation :	Account Manager

SHAREHOLDING PATTERN

As on 30.09.2010

Names of Shareholders	No. of Shares
Sudhir Patodia	400000
Sajjan Patodia	430000
Chanda Devi Patodia	470000
Samir Patodia	240000
Sunil Patodia	71000
Manisha Patodia	150000
Sajjan Patodia HUF	8000
Sachin Patodia	240000
Shivani Patodia	33000
Sudhir Patodia HUF	1000
Shalini Patodia	87000
Nakshtra Business Private Limited, Mumbai, Maharashtra, India	80000
Lexus Infotech Limited, Mumbai, Maharashtra, India	90000
Kush Hindusthan Entertainment Limited, Mumbai, Maharashtra, India	75000
Realgold Trading Company Private Limited, Mumbai, Maharashtra, India	85000
Alka Diamonds Industries Limited, Mumbai, Maharashtra, India	110000
Raghunandan Rayons Limited, Surat, Gujarat, India	50000
Anchal Properties (Private) Limited, Mumbai, Maharashtra, India	50000
Sanjivani Enviro Protection Limited, Surat, Gujarat, India	50000
JPK Trading India Private Limited, Mumbai, Maharashtra, India	90000
Total	2810000

Equity Share Breakup (Percentage of Total Equity)

AS ON :30.09.2010

Category		Percentage of Holding
Bodies corporate (not mentioned above)		24.20
Directors or relatives of directors		75.80
	Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Polyester Yarn Knitting Fabrics.
Terms :
Selling :	Cash and Credit (30-60-90 Days)
Purchasing :	Cash and Credit (30-60-90 Days)

PRODUCTION STATUS (As on : 31.03.2010):-

Particulars	Actual Production
Roto	641354.71
Knitting Fabrics	215932.55

GENERAL INFORMATION

Customers :

Wholesalers, Retailers, End Users and OEM’s

No. of Employees :

50 (Approximately)

Bankers :

· State Bank of India, Industrial Finance Branch, Cuffe Parade, Mumbai-400005, Maharashtra, India

· HDFC Bank

· Industrial Development Bank of India Limited, Mumbai , 2^nd Floor, The Arcade, World Trade Center, Cuffe Parade, Mumbai – 400 005, Maharashtra

Financial Institutions :

Reliance Capital Limited, “H” Block, 1^st Floor, Dhirubhai Ambani Knowledge City, Kopar Khairne, Navi Mumbai – 400 710, Maharashtra

Facilities :

Secured Loans	31.03.2010 (Rs. In Millions)	31.03.2009 (Rs. In Millions)
Cash Credit form SBI	74.482	68.428
Term Loan III – State Bank of India	1.922	4.350
Term Loan IV – State Bank of India	43.872	54.766
HDFC Car Loan 13060	0.013	0.156
HDFC Car Loan 9863	0.010	0.118
HDFC Car Loan 14799	0.205	0.313
HDFC Car Loan 33800	0.665	0.974
State Bank of India – Term Loan	57.316	0.000
Total	178.485	129.105

NOTES:

The secured loan from State Bank of India secured by way of hypothecation plant and machinery, stock in present and feature, sundry debtor in present and feature, mortgage of factory building and the personal guarantee given by all the directors of the company.

Unsecured Loans	31.03.2010 (Rs. In Millions)	31.03.2009 (Rs. In Millions)
From Director	2.680	2.945
From Shareholder	7.491	7.324
Total	10.171	10.269

Banking Relations :

---

Auditors :

Name :

Kailash Chand Jain and Company

Chartered Accountant

Address :

Edena 1^st Floor 97 Maharshi Karve Road, Near Income Tax Office, Mumbai – 400 020, Maharashtra

Associates:

Srida Knitters

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
2810000	Equity Shares	Rs. 10/- each	Rs. 28.100 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		28.100	21.300	19.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		117.990	73.042	60.792
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		146.090	94.342	79.792
LOAN FUNDS
1] Secured Loans		178.485	129.105	155.882
2] Unsecured Loans		10.171	10.269	8.260
TOTAL BORROWING		188.656	139.374	164.142
DEFERRED TAX LIABILITIES		13.166	7.116	7.265
TOTAL		347.912	240.832	251.199
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		183.869	109.733	117.476
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	14.482	31.332	24.253
	Sundry Debtors	119.119	75.378	68.687
	Cash & Bank Balances	0.536	0.852	0.384
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	55.499	54.366	53.796
Total Current Assets		189.636	161.928	147.120
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	16.920	19.359	5.026
	Other Current Liabilities	1.815	1.320	0.642
	Provisions	6.910	10.181	7.780
Total Current Liabilities		25.645	30.860	13.448
Net Current Assets		163.991	131.068	133.672
MISCELLANEOUS EXPENSES		0.052	0.031	0.051
TOTAL		347.912	240.832	251.199

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
SALES
	Sales and Other Income	609.719	578.348	562.146
PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		32.061	23.784	23.648
DEPRECIATION/ AMORTISATION		19.963	13.855	13.897
PROFIT BEFORE TAX		12.120	9.929	9.751
TAX		7.972	2.279	3.570
PROFIT AFTER TAX		4.148	7.650	6.181
Earnings Per Share (Rs.)		1.48	--	--

Particulars	31.03.2011
Sales Turnover (Approximately)	650.000

Expected Sales (2011-2012) : Rs. 700.000 Millions

The above information has been parted by Ms. Pinky (Account Manager).

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	0.68	1.32	1.10
Return on Total Assets (PBT/Total Assets)	(%)	3.24	3.65	3.68
Return on Investment (ROI) (PBT/Networth)		0.08	0.11	0.12
Debt Equity Ratio (Total Liability/Networth)		1.47	1.80	2.23
Current Ratio (Current Asset/Current Liability)		7.39	5.25	10.93

LOCAL AGENCY FURTHER INFORMATION

sundry creditors details:

(Rs. in Millions)

Particulars	31.03.2010	31.03.2009	31.03.2008
Sundry Creditors for Goods	16.920	19.359	5.026

PERFORMANCE REVIEW:

The performance of the company for the year ended 31^st March, 2010 was very encouraging. The company has registered an all round growth in sales of yarn as well as production of yarn. Sales at Rs. 609.225 millions has risen by 5.60% as compared to those of previous year. During the current year of operation, the company has achieved a total receipt of Rs 609.719 millions. Company operations will raise the turnover for the next year raise compare to previous year.

CHANGE OF ADDRESS:

The Registered Office of the company was 336-B, Kalbadevi Road, Room No. 5, 1^st Floor, Mumbai – 400 002, Maharashtra change to present Registered Office Address w.e.f 01.01.2007.

form 8:-

Corporate identity number of the company	u17110mh1995ptc084985
Name of the company	PATODIA FILAMENTS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Fadia Building No. 3, 1^st Floor, Room No. 1, Cavel Cross Lane No. 4, Ramwadi, Mumbai – 400 002, Maharashtra
This form is for	Modification of charge
Type of charge	Immovable property
Particular of charge holder	Industrial Development Bank of India Limited, Mumbai , 2^nd Floor, The Arcade, World Trade Center, Cuffe Parade, Mumbai – 400 005, Maharashtra
Nature of instrument creating charge	No instrument. Memorandum of deposit for creation of further 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	17.07.2009
Amount secured by the charge	Rs.197.800 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest: As per sanction terms Terms of Repayment: As per sanction terms Margin: As per sanction terms Extent and Operation of the charge: As per sanction terms Others: Not Applicable
Short particulars of the property charged (Including location of the property)	A first charge by way of hypothecation of the borrowers entire goods, movables and other assets present and future including documents of title to goods and other assets, such as book-debts, Outstanding moneys, receivables, including receivabels by way of cash assistance and/or cash incentives under the cash incentive scheme or any other scheme, claims, including claims by way of refund Of customs/excise duties under the duty drawback credit scheme, or any other scheme bills, invoices, documents, contracts, insurance policies, guarantees, engagements, securities, investments and Rights uncalled capital and all machinery present and future of such form satisfactory to the bank.
Date of instrument modifying the charge	16.07.2009
Particulars of the present modification	Now by the present modfn. Dt. 17.7.2009 the company created an extension of charge by way of an equitable mortgage by deposit of title deeds over the immovable properties created earlier on 28.10.2003 to secure the credit facilities now extended to Rs. 197.800 millions. The details of the immovable properties Details of the Modification Charge : The original charge was created on 15.12.1998 for Rs. 40.300 millions 1stly modified on 10.2.1999 by giving an additional collateral security. 2ndly modified on 28.10.2003 for Rs. 64.500 millions. 3rdly modified on 28.10.2003 by giving an additional collateral security over the co’s immovable properties. 4thly modified on 13.5.2004 for Rs. 88.500 millions. 5thly modified on 13.5.2004 by giving an additional collateral security over the co’s immovable properties. 6thly modified on 13.8.2005 for Rs.97.800 millions 7thly modified on 13.8.2005 by giving an additional collateral security over the co’s immovable properties. 8thly modified on 2.2.2007 for Rs. 172.200 millions. 9thly modified on 2.2.2007 by giving an additional collateral security over the co’s immovable properties. 10thly modified on 16.7.2009 for Rs. 197.800 millions. Now by the present modfn. dt.16.7.2009 the company created an extension of charge by way of an equitable mortgage by deposit of title deeds over the immovable properties created earlier on 28.10.2003 to secure the credit facilities now extended to Rs.197.800 millions inclusive of all interest, discount commission charges and costs and expenses payable to or incurred by the Bank in relation thereto. The details of the immovable properties hereinabove referred to under Schedule are as follows : All that piece and parcel of non-agricultural land i.e. industrial purpose land bearing Survey No.99/2/15 admeasuring 5290 sq.mtrs.(industrial plot No.15) original Survey No.99/2 Pali of Madhuban Industrial Estate), situated at Village Rakholi of the Union Territory of Dadra and Nagar Haveli and bounded as follows: On or towards North : By Land of Plot No.14 On or towards South : By Land of Plot No.16 On or towards East : Kotar On or towards West : by 12.20 meter wide internal road. Share Certificate No.79, Shares from No.416 to 420 dated 31.8.1998. Share Certificate No.70, Shares from No.371 to 375 dated 31.8.1998. Residential Flat No.1103, on the Eleventh Floor, Meenaxi Tower, Situated at CTS No.156-A/9, Village Dindoshi, Taluka Borivali in the Registration District and Sub-District Mumbai City and Sub-Urban, Mumbai - 400008 lying and being at : all the pieces and parcels of land admeasuring 3191.21 sq.mtrs., forming part of Survey No.34, Hissa No.2 and Survey No.35, Hissa No.1 of Dindhoshi. Residential Flat No.1002, on the Eleventh Floor, Meenaxi Tower, Situated at CTS No.156-A/9, Village Dindoshi, Taluka Borivali in the Registration District and Sub-District Mumbai City and Sub-Urban, Mumbai - 400008 lying and being at : all the pieces and parcels of land admeasuring 3191.21 sq.mtrs., forming part of Survey No.34, Hissa No.2 and Survey No.35, Hissa No.1 of Dindhoshi.

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.73.43
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	no
--AFFILIATION	YES/NO	YES
--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.