MIRA INFORM REPORT

Report Date :

30.09.2011

IDENTIFICATION DETAILS

Name :	OM ENTERPRISES
Registered Office :	Shop no.7, 1st Floor, Sai Arcade, Opposite Madhuban Hotel, Ulhasnagar – 421001, Thane, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	01.04.2005
Capital Investment / Paid-up Capital :	Rs.7.773 Millions
Legal Form :	Sole Proprietory Concern
Line of Business :	Trader of Textiles
No. of Employees :	15(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 31000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established proprietory concern having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments. The concern 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 – June 30, 2010

Country Name	Previous Rating (01.04.2010)	Current Rating (30.06.2010)
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. Pradeep
Designation :	Accountant
Contact No.:	91-9322371000
Date :	28.09.2011

LOCATIONS

Registered Office :	Shop no.7, 1^st Floor, Sai Arcade, Opposite Madhuban Hotel, Ulhasnagar – 421001, Thane, Maharashtra, India
Tel. No.:	91-251-3235488
Mobile No.:	9322371000 (Mr. Pradeep)
E-Mail :	omenterprises@rediffmail.com
Area :	400 sq.ft
Location :	Rented
Branch Office :	Office No.101, B wing, Sai Vinayak Tower, Khadak Road, Kalyan (West), Thane, Maharashtra, India

SOLE PROPRIETOR

Name :	Mr. Bhavi Rajwani
Designation :	Proprietor

KEY EXECUTIVES

Name :	Mr. Pradeep
Designation :	Accountant
Contact No. :	91-9322371000 (Mr.Pradeep)

BUSINESS DETAILS

Line of Business :	Trader of Textiles
Terms :
Selling :	Cash/ Credit
Purchasing :	Cash/ Credit

GENERAL INFORMATION

Suppliers :	· Swastik Textiles · Ganesh Textiles
Customers :	· Arti Textiles · Muskan Fabrics
No. of Employees :	15(Approximately)
Bankers :	Konark Bank, Ulhasnagar, Maharashtra, India
Facilities :	--

Banking Relations :	--
Auditors :
Name :	S U Radhakrishnan Chartered Accountant

CAPITAL ACCOUNT

As on 31.03.2011

PARTICULARS	AMOUNT	PARTICULARS	AMOUNT
To Drawings	0.165	By Balance b/f	6.955
To LIP	0.085	By Business Income	1.184
To Income Tax	0.116
To Balance c/f	7.773
	8.139		8.139

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		7.773	6.955
2] Share Application Money		0.000	0.000
3] Reserves & Surplus		0.000	0.000
4] (Accumulated Losses)		0.000	0.000
NETWORTH		7.773	6.955
LOAN FUNDS
1] Secured Loans		0.000	0.000
2] Unsecured Loans		4.300	1.800
TOTAL BORROWING		4.300	1.800
DEFERRED TAX LIABILITIES		0.000	0.000
TOTAL		12.073	8.755
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		0.156	0.157
Capital work-in-progress		0.000	0.000
INVESTMENT		0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	10.567	5.491
	Sundry Debtors	3.135	7.280
	Cash & Bank Balances	0.119	0.047
	Other Current Assets	0.053	0.053
	Loans & Advances	0.000	0.000
Total Current Assets		13.874	12.871
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	1.890	4.209
	Other Current Liabilities	0.000	0.000
	Provisions	0.067	0.064
Total Current Liabilities		1.957	4.273
Net Current Assets		11.917	8.598
MISCELLANEOUS EXPENSES		0.000	0.000
TOTAL		12.073	8.755

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010
	SALES
		Income	73.095	58.404
		Other Income	0.000	0.000
		TOTAL	73.095	58.404
Less	EXPENSES
		Cost of goods sold	68.292	54.619
		Accounting Charges	0.096	0.084
		Advertisement	0.032	0.015
		Audit Fees	0.015	0.015
		Bank Charges	0.022	0.018
		Brokerage and Commission	0.710	0.664
		Discount	0.819	0.571
		Diwali Expenses	0.041	0.037
		Internet Charges	0.010	0.007
		Hamali Charges	0.683	0.520
		Packing Material	0.411	0.355
		Printing and Stationery	0.008	0.003
		Rent	0.096	0.084
		Repair and Maintenance	0.015	0.018
		Salaries	0.456	0.420
		Sundry Expenses	0.092	0.060
		Tea and Refreshment	0.040	0.032
		Telephone Expenses	0.027	0.026
		Travelling and Conveyance	0.045	0.043
		TOTAL	71.910	57.595
	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)		1.185	0.809
Less/ Add	DEPRECIATION/ AMORTISATION		0.001	0.003
	NET PROFIT		1.184	0.806

Expected Sales ( 2011-12 ) : Rs.90.000 Millions

The above information has been parted by Mr. Pradeep

Note : Sole Proprietory and Partnership concerns are exempted from filing their financials with the Government Authorities or Registry Records.

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010
PAT / Total Income	(%)	1.62	0.01
Net Profit Margin (PBT/Sales)	(%)	1.62	0.01
Return on Total Assets (PBT/Total Assets}	(%)	8.44	6.18
Return on Investment (ROI) (PBT/Networth)		0.15	0.12
Debt Equity Ratio (Total Liability/Networth)		0.80	0.87
Current Ratio (Current Asset/Current Liability)		7.09	3.01

LOCAL AGENCY FURTHER INFORMATION

TRADE REFERENCES

· Swastik Textiles

· Arti Textiles

· Ganesh Textiles

· Muskan Fabrics

Check List by Info Agents	Available in Report (Yes/No)
Year of Establishment	Yes
Locality of the firm	Yes
Constitutions of the firm	Yes
Premises details	Yes
Type of Business	Yes
Line of Business	Yes
Promoter’s background	--
No. of employees	Yes
Name of person contacted	Yes
Designation of contact person	Yes
Turnover of firm for last three years	Yes
Profitability for last three years	Yes
Reasons for variation <> 20%	Yes
Estimation for coming financial year	Yes
Capital in the business	Yes
Details of sister concerns	Yes
Major suppliers	Yes
Major customers	Yes
Payments terms	No
Export/Import details (if applicable)	No
Market information	--
Litigations that the firm / promoter	--
Banking Details	Yes
Banking facility details	No
Conduct of the banking account	--
Buyer visit details	--
Financials, provided	Yes
Incorporation details, if applicable	--
Last accounts filed at ROC	--
Major Shareholders, if available	--

FIXED ASSETS

· Computer

· Mobile

· Gold and Jewellery

· 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.48.92
UK Pound	1	Rs.76.51
Euro	1	Rs.66.64

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	NO
--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	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.