MIRA INFORM REPORT

Report Date :

12.10.2011

IDENTIFICATION DETAILS

Name :	ABC COTSPIN PRIVATE LIMITED
Registered Office :	C/4, First Floor, Nikumbh Complex, Sheth C G Road, Near Mudra House, Ellisbridge, Ahmedabad – 380 006, Gujarat
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	21.09.2006
Com. Reg. No.:	04-49132
Capital Investment / Paid-up Capital :	Rs. 20.000 Millions
CIN No.: [Company Identification No.]	U17121GJ2006PTC049132
TAN No.: [Tax Deduction & Collection Account No.]	AHMA07670F
PAN No.: [Permanent Account No.]	AAGCA7720C
Legal Form :	Private Limited Liability Company
Line of Business :	Trader and Exporter of Indian raw Cotton, Corn (maize) and Almond.
No. of Employees :	Approximately 12

RATING & COMMENTS

MIRA’s Rating :

B (28)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 130000
Status :	Moderate
Payment Behaviour :	Slow but Correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. Performance of the company has been improved in the year 2009-10. Trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealings with some caution.

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. Vipul
Designation :	Accounts Manager
Contact No.:	91-9909947321

LOCATIONS

Registered Office :	C/4, First Floor, Nikumbh Complex, Sheth C G Road, Near Mudra House, Ellisbridge, Ahmedabad – 380 006, Gujarat, India
Tel. No.:	91-79-26420791 / 26564921/ 26462790
Mobile No.:	91- 9909947321 (Mr. Vipul)
Fax No.:	91-79-26420792
E-Mail :	accounts@abccotspin.com pandhi77@rediffmail.com drachchha@rediffmail.com
Location :	Owned
Branch Office :	8, Parmeshwar Krupa, Near Lions Club, Tilak Road, Ghatkopar (East), Mumbai, Maharashtra, India

DIRECTORS

(AS ON 30.09.2010 )

Name :	Mr. Ashish Suresh Jobanputra
Designation :	Director
Address :	Parmeshwar Krupa, Flat No. 8, 95, Tilak Road, Mumbai-400077, Maharashtra, India
Date of Birth/Age :	03.02.1979
Date of Appointment :	21.09.2006
DIN No.:	00671786
Name :	Mrs. Priti Ashish Jobanputra
Designation :	Additional Director
Address :	Parmeshwar Krupa, Flat No. 8, 95, Tilak Road, Mumbai-400077, Maharashtra, India
Date of Appointment :	03.02.2009
DIN No.:	02541189

KEY EXECUTIVES

Name :	Mr. Vipul
Designation :	Accounts Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(As on 30.09.2010)

Names of Shareholders	No. of Shares
Ashish Sureshbhai Jobanputra	3745000
Priti Ashish Jobanputra	5000
Hansaben N Modi	50050
Shantilal D Haria	60050
Bhartiben G Parmar	50050
Bhupendra S Shah	50050
Jayant H Salot- HUF	50050
C J Corp Prop- Chandrakant J Shah, India	50050
Shilpa Deepak Sanghvi	50050
Mahesh R Doshi	50050
Kishormkumar M Shah	50050
Amita S Mehta	50050
Gajendra L Doshi	50050
Ashwin F Mehta	50050
Pushpa H Thakkar	50050
Suresh B Parmar	50050
Prasankumari Vishwabaram	50050
Vijay C Shah	50050
Sadhana Vijay Shah	50050
Jaysukh N Wagela	50050
Manisha L Shah	50050
Purshottamdas S Danti- HUF	50050
Rama D Thakkar	50050
Sushila H Surana	50050
Viraj Dilip Shah	50050
Narendra J Shah- HUF	50050
Total	4961200

Equity Share Breakup (Percentage of Total Equity)

(AS ON 30.09.2010)

Category	Percentage
Bodies corporate	76.00
Directors or relatives of directors	24.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Trader and Exporter of Indian raw Cotton, Corn (maize) and Almond.

Products:

Product Description	ITC Code
Cotton Bales	32104

GENERAL INFORMATION

No. of Employees :

Approximately 12

Bankers :

· HSBC Bank, C G Road

· ING Vysya Bank, Ahmedabad

· State Bank of Indi, M.G. Road Branch, Gondal, Rajkot-360311, Gujarat, India

· ICICI Bank Limited

Facilities :

Secured Loans	31.03.2010 Rs. In Millions	31.03.2009 Rs. In Millions
ICICI Bank Limited-Pledged Loan (Secured against stock)	0.000	15.066
SBI- Cash Credit (Secured against hypothecation of stocks/ Book Debts and personal guarantee of all the directors)	29.940	0.000
Total	29.940	15.066
Unsecured Loans	31.03.2010 Rs. In Millions	31.03.2009 Rs. In Millions
From shareholders/ Directors	2.500	2.500
From Others	0.000	0.063
Total	2.500	2.563

Banking Relations :	-
Auditors :
Name :	A R Pandhi and Associates Chartered Accountant
Address:	405, 4^th Floor, Kalash-I, Near Jain Templed, Behind Navrangpura Post Office, Ahmedabad-380009, Gujarat, India
Tel No.:	91-79-26568800
Fax No.:	91-79-26568800
Email:	pandhi77@rediffmail.com
PAN No.:	AGWPP8124C

CAPITAL STRUCTURE

As on 30.09.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
5000000	Equity Shares	Rs. 10/- each	Rs. 50.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
4961200	Equity Shares	Rs.10/- each	Rs. 49.612 Millions

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
2000000	Equity Shares	Rs.10/- each	Rs. 20.000 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		20.000	0.100	0.100
2] Share Application Money		5.000	10.150	10.100
3] Reserves & Surplus		7.619	0.000	0.000
4] (Accumulated Losses)		0.000	(0.039)	(0.314)
NETWORTH		32.619	10.211	9.886
LOAN FUNDS
1] Secured Loans		29.940	15.066	0.000
2] Unsecured Loans		2.500	2.563	0.000
TOTAL BORROWING		32.440	17.629	0.000
DEFERRED TAX LIABILITIES		0.014	0.003	0.000
TOTAL		65.073	27.843	9.886
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		0.332	0.086	0.022
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		4.472	0.020	0.020
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	11.606	42.412	9.238
	Sundry Debtors	31.126	21.543	0.000
	Cash & Bank Balances	10.309	2.758	1.435
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	82.398	25.816	6.031
Total Current Assets		135.439	92.529	16.704
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	67.209	64.149	6.652
	Other Current Liabilities	2.298	0.204	0.002
	Provisions	5.711	0.495	0.270
Total Current Liabilities		75.218	64.848	6.924
Net Current Assets		60.221	27.681	9.780
MISCELLANEOUS EXPENSES		0.048	0.056	0.064
TOTAL		65.073	27.843	9.886

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	1794.076	51.432	250.946
		Other Income	43.617	0.366	9.256
		TOTAL (A)	1837.693	51.798	260.202
Less	EXPENSES
		Cost of Goods Sold	1700.119	44.400	0.000
		Purchases	0.000	0.000	253.535
		Direct Expenses	83.609	4.190	0.000
		Administrative and General Expenses	5.836	1.267	15.170
		Selling Expenses	11.191	0.939	0.000
		Miscellaneous Expenditure Written off	0.008	0.008	0.000
		Increase/ Decrease in Stock	0.000	0.000	[9.236]
		TOTAL (B)	1800.763	50.804	259.469
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		36.930	0.994	0.733
Less	FINANCIAL EXPENSES (D)		24.917	0.477	0.000
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		12.013	0.517	0.733
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.045	0.013	0.001
	PROFIT BEFORE TAX (E-F) (G)		11.968	0.504	0.732
Less	TAX (I)		4.110	0.229	0.270
	PROFIT AFTER TAX (G-I) (J)		7.858	0.275	0.462
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(0.040)	(0.315)	(0.777)
	BALANCE CARRIED TO THE B/S		7.818	(0.040)	(0.315)
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	1652.900	Nil	Nil
	TOTAL EARNINGS		1652.900	Nil	Nil
	IMPORTS
		Import Value	61.908	Nil	Nil
	TOTAL IMPORTS		61.908	Nil	Nil
	Earnings Per Share (Rs.)		368.34	27.52	46.25

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	0.43	0.53	0.18
Net Profit Margin (PBT/Sales)	(%)	0.67	0.98	0.29
Return on Total Assets (PBT/Total Assets}	(%)	8.81	0.54	4.38
Return on Investment (ROI) (PBT/Networth)		0.37	0.05	0.07
Debt Equity Ratio (Total Liability/Networth)		3.30	8.08	0.70
Current Ratio (Current Asset/Current Liability)		1.80	1.43	2.41

LOCAL AGENCY FURTHER INFORMATION

Financial Results:

The company achieved a Turnover of Rs. 1794.076 Millions during the year. However, the rates of cotton exports were not much favourable and the margins were very thin due to stiff competition in export of cotton.

Bankers Charges Report as per Registry

Corporate identity number of the company	U17121GJ2006PTC049132
Name of the company	ABC COTSPIN PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	C/4, First Floor, Nikumbh Complex, Sheth C G Road, Near Mudra House, Ellisbridge, Ahmedabad – 380 006, Gujarat, India
This form is for	Modification of Charge
Charge identification (ID) number of the charge to be modified	10180456
Type of charge	Immovable Property
Particular of charge holder	State Bank of Indi, M.G. Road Branch, Gondal, Rajkot-360311, Gujarat, India Email: sbi.60073@sbi.co.in
Nature of instrument creating charge	Deed of Mortgage dated 01.06.2011
Date of instrument Creating the charge	01.06.2011
Amount secured by the charge	Rs. 270.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest N.A. as given as collateral. Terms of Repayment On Demand Margin Finished Goods 25% Domestic Receivables (Cover Period 90 Days) 50% Letter of Credit 20% Extent and Operation of the charge As per the mortgage deed
Short particulars of the property or asset(s) charged (including complete address and location of the property)	As per the mortgage deed
Date of instrument modifying the charge	18.01.2011
Particulars of the present modification	The Various credit limits also collaterally secured by the immovable properties given in the mortgage deed.

Fixed Assets:

· Computer and Software

· Plant and Machinery

· Attendance Machine

· Digital Photo Copier M/C

· Mobile Phone

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.49.03
UK Pound	1	Rs.76.60
Euro	1	Rs.66.80

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	2
--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		28

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.