MIRA INFORM REPORT

Report Date :

26.05.2011

IDENTIFICATION DETAILS

Name :	LULLA INTERNATIONAL INC.

Registered Office :	49 W 38th Street Floor 9, New York, NY 10018

Country :	United States

Date of Incorporation :	16.05.1994

Com. Reg. No.:	1821053

Legal Form :	Corporation for Profit

Line of Business :	Apparel Wholesalers

RATING & COMMENTS

MIRA’s Rating :

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

Maximum Credit Limit :	80 000 USD
Status :	Satisfactory
Payment Behaviour :	Regular
Litigation :	Clear

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 – March 31^st, 2011

Country Name

Previous Rating

(31.12.2010)

Current Rating

(31.03.2011)

United States

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

Bottom of Form

GEOPOLITICS - UNITED STATES

POLITICAL DATA

ECONOMIC DATA

Form of Government: Federal

Economic Risk: Nil

Currency: USD

Branch Situation: Competitive

IDENTIFICATION

Ordered as:	Lulla International Inc
Address in the order:	49 West 38th Street, 9th Floor New York, NY-10018

Legal Name:	LULLA INTERNATIONAL INC.
Trade Name:	AVA TEXTILES INC, Bindya Accessories
Legal Address	49 W 38th Street Floor 9 New York, NY 10018

Telephone:	(212) 730-8852	Registration Number :	1821053
Fax:	(212) 730-8781	Legal Form:	Corporation for Profit
Email:	ava@avatextiles.com	Registered in:	New-York
Website:	http://www.avatextiles.com/	Date Created:	1994
Manager:	Ranjit Lulla	Date Incorporated:	MAY 16, 1994
Staff:	8	Stock:	200
		Value:	N.A.
Activity:	Apparel Wholesalers

BANKS

Name of the Bank	HANOVER COMMUNITY BANK
Location	2131 JERICHO TPKE GARDEN CITY P NY 11040
Name of the Bank	STERLING NATIONAL BANK
Location	PO BOX 5118 NEW YORK NY 10150

BUSINESS

PRINCIPAL ACTIVITY
	The company is a textile manufacturer that services the fashion, home furnishing and bridal industries.
Sales are:
	Wholesale
Clients:
	Fabrics importers, jobbers and manufacturers
Suppliers:
	SMARTEX HOMETEXTILES COMPANY LTD. 32 XIANGGANG ZHONG ROAD,QINGDAO, CHINA
Operations area:
	National
The company imports from Asia (China, India)
The company does not export
Trade References:
	The person contacted refused to provide the names of their suppliers for us to check the trade references.
Competitors:
	The Gap, Inc J. Crew Group, Inc. The TJX Companies, Inc.
The subject employs 8 employee(s)
PAYMENTS
	regular
LOCATION
Headquarters
	The company is headquartered and single located at the above address.
Comments on location:
	At this address, we find the offices, showroom and facilities.

Shareholders - Manager - Related Companies

Listed at the stock exchange:
	NO
Management:
	Ranjit Lulla President Bindya Malhotra Vice-President Kris Bommi Accounting Manager Director

Financials - COMMERCIAL TRENDS AND FORECAST

As a private company the subject does not publish any financial statements.

However our financial sources could provide us with the following data.

Those figures are estimates provided by confidential banking and financial institutions working with the company.

Currency	DATE
USD	2010
Turnover	5 000 000
The cash flow is	normal

Legal Fillings

There are several UCC** files listed with the Secretary of State of New York.

There are no legal filings listed with the District Court.

THE COMPANY IS NOT LISTED ON THE OFAC LIST.*

For information:

* The Specially Designated Nationals (SDN) List is a publication of OFAC which lists individuals and organizations with whom United States citizens and permanent residents are prohibited from doing business.

** The Uniform Commercial Code (UCC) is one of a number of uniform acts that have been promulgated in conjunction with efforts to harmonize the law of sales and other commercial transactions in all 50 states within the United States of America.

The UCC deals primarily with transactions involving personal property (movable property), not real property (immovable property).

It allows a creditor to notify other creditors about a debtor’s assets used as collateral for a secured transaction by filing a public notice (financing statement) with a particular filing office.

The Uniform Commercial Code Bureau files and maintains on financial obligations (including IRS liens) incurred by individuals (in business as a sole proprietor), business entities and corporations.

Rating

Local credit bureau gave a correct credit rate.

The company is in Good Standing. This means that all local and federal taxes were paid on due date.

Final Opinion

The company has 17 years in the business.

It is a small sized American company, evolving in a competitive sector.

Profitability is correct, indebtedness is controlled, cash is normal and payments are regular.

We did not find a specific adverse record against the subject.

A credit line may be considered for 80 000 USD.

SUMMARY

FINANCIAL SUMMARY		DEBT COLLECTIONS AND PAYMENTS
Profitability	CORRECT	Public Records	NO
Indebtedness	CONTROLLED	Payments	REGULAR
Cash	NORMAL

APPENDIX

Comments
	The receptionist confirmed us some information to complete this report.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.45.38
UK Pound	1	Rs.73.31
Euro	1	Rs.63.70

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	----

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%)

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.