MIRA INFORM REPORT

Report Date :

12.01.2012

IDENTIFICATION DETAILS

Name :	ESSEN SPECIALITY FILMS PRIVATE LIMITED
Registered Office :	Plot No. A, Survey No. 192, Village Veraval (Shapar), Rajkot-360002, Gujarat
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	14.08.2002
Com. Reg. No.:	04-41119
Capital Investment / Paid-up Capital :	Rs.10.000 Millions
CIN No.: [Company Identification No.]	U24224GJ2002PTC041119
TAN No.: [Tax Deduction & Collection Account No.]	RKTE00042A
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer, Exporter and Importer of Plastic Drawer Mat, Sheets, Rolls And Other Items.
No. of Employees :	400 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (48)

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

Maximum Credit Limit :	USD 410000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. Trade relations are 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 :	Mr. Ashish
Designation :	Marketing Manager
Contact No.:	91-9978915474
Date :	11.01.2012

LOCATIONS

Registered Office/ Head Office/ Factory :	Plot No. A, Survey No. 192, Village Veraval (Shapar), Rajkot-360002, Gujarat, India
Tel. No.:	91-2827-252021/ 252018
Mobile No.:	91-9978915474 (Mr. Ashish)
Fax No.:	91-2827-252951
E-Mail :	lakshmi@esenspeciallity.com sales@essenspecility.com mnmanvarca@rediffmail.com info@essenspeciality.com
Website :	http://www.essenspeciality.com
Location :	Owned
Warehouse :	Located At : Morbi Gujarat

DIRECTORS

As on 30.09.2011

Name :

Mrs. Lakshmi Ramkrishan Suramanian

Designation :

Director

Address :

2^nd Floor, Anjani Appartment, 15, Sardarnagar, B/H Astron Cinema, Rajkot-360001, Gujarat, India

Date of Birth/Age :

05.05.1970

Date of Appointment :

31.03.2009

DIN No.:

02632837

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U24224GJ2002PTC041119	Essen Speciality Films Private Limited	Director	31-03-09	31-03-09	-	Active	NO
2	U25202GJ2010PTC062107	Fomex Packaging Private Limited	Director	30-09-11	01-03-11	-	Active	NO

Name :

Mrs. Khushbu Chandrakant Doshi

Designation :

Director

Address :

Vatsalya, B/H. Sardarnagar Society, Manavadar, Junagadh – 362630, Gujarat, India

Date of Birth/Age :

24.07.1982

Date of Appointment :

31.03.2009

DIN No.:

00025581

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U29219GJ2002PTC041038	Hitesh Engineers Private Limited	Director	31-07-02	31-07-02	-	Active	NO
2	U29119GJ1995PTC024709	Aim Machintechnik Private Limited	Director	06-04-07	06-04-07	-	Active	NO
3	U24224GJ2002PTC041119	Essen Speciality Films Private Limited	Director	31-03-09	31-03-09	05-11-11	Active	NO
4	U74210GJ2009PTC057888	Avantgarde Design Studio Private Limited	Director	25-08-09	25-08-09	-	Active	NO
5	L27100GJ1986PLC009212	Rajoo Engineers Limited	Additional director	01-01-12	01-01-12	-	Active	NO

Name :

Mrs. Kruti Rajeshbhai Doshi

Designation :

Director

Address :

10-C, Shrutina, Panchvati Society, Kalawad, Rajkot-360001 , Gujarat, India

Date of Birth/Age :

25.11.1988

Date of Appointment :

31.03.2009

DIN No.:

02632833

Name :

Mrs. Pallav Doshi

Designation :

Director

Address :

10-C, Shrutina, Panchvati Society, Kalawad, Rajkot-360001 , Gujarat, India

Date of Birth/Age :

17.08.1988

Date of Appointment :

05.11.2011

DIN No.:

02542047

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U51909GJ2002PTC040821	Essen Polybags Private Limited	Director	15-02-09	15-02-09	-	Active	YES
2	U24224GJ2002PTC041119	Essen Speciality Films Private Limited	Director	05-11-11	05-11-11	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Ashish
Designation :	Marketing Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2011

Names of Shareholders	No. of Shares
Devyani Doshi	115000
Nitaben Doshi	105000
Ritaben Doshi	50000
Khushboo Doshi	135000
Sunil Jain	70000
Lakshmi Ramkrishnan	60000
Pallav Doshi	65000
Utsav Doshi	125000
Karishma Doshi	145000
Pravin Doshi	20000
B H Panchamia	20000
R G Vaja	30000
Kruti Doshi	60000
TOTAL	1000000

Equity Share Break up (Percentage of Total Equity)

As on 30.09.2011

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Plastic Drawer Mat, Sheets, Rolls And Other Items.
Products :	EVA Mats Signage Board Sheets PP Sheets Diposable Containers XPS Foam Containers
Exports :
Products :	Plastic Drawer Mat, Sheets and Rolls
Countries :	Europe US Africa Saudi Arabia
Imports :
Products :	Raw Material
Countries :	Malaysia Taiwan
Terms :
Selling :	Depends
Purchasing :	Depends

PRODUCTION STATUS

As on 31.03.2011

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Plastic Sheets/ Rolls And other Items		NA	4380 MT	2784759.117 Kgs.
Waste		NA	NA	25652.197 Kgs.

GENERAL INFORMATION

Customers :

Wholesalers and Manufacturer

No. of Employees :

400 (Approximately)

Bankers :

• Punjab National Bank, Jubilee Chawk Branch, Jubilee Chowk, Rajkot-360001, Gujarat, India

• Axis Bank Limited, “Titan” Near K.K.V Circle, Kalawad Raod, Rajkot-360005, Gujarat, India
• ICICI Bank Limited

Facilities :

Secured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
Vehicle Loan
ICICI Bank Limited (Secured against hypothecation of Car)	1.740	0.000
Working Capital Finance
Axis Bank Limited – Cash Credit (Secured against hypothecation of stock and collateral security by charge over fixed assets of the company)	29.309	0.000
Punjab National Bank Secured against hypothecation of Stock and collateral security by charge over fixed assets of the company)	0.000	34.339
Axis Bank Limited – Packing Credit (Secured against)	45.996	0.000
Axis Bank Limited – Post Shipment Credit (Secured against)	9.231	0.000
Total	86.276	34.339
Unsecured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
Directors and Shareholders	1.055	0.762
Interoperate Deposits	46.915	31.869
Customer security deposit	0.009	0.009
Total	47.979	32.640

Banking Relations :	--
Auditors :
Name :	M N Manvar and Company Chartered Accountant
Address :	504, Star Plaza, Phulcchab Chowk, Rajkot-360001, Gujarat, India
Tel. No.:	91-2827-6627070/ 2455750
PAN.:	ABSPM6534E
Associates/Subsidiaries :	Rajoo Engineers Limited Essen Polymers Private Limited Essen Polybags Private Limited

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
1000000	Equity Shares	Rs. 10/- each	Rs.10.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1000000	Equity Shares	Rs. 10/- each	Rs.10.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		10.000	10.000	10.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		92.393	70.580	43.443
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		102.393	80.580	53.443
LOAN FUNDS
1] Secured Loans		86.275	34.339	44.303
2] Unsecured Loans		47.979	32.640	57.670
TOTAL BORROWING		134.254	66.979	101.973
DEFERRED TAX LIABILITIES		8.887	8.087	7.197
TOTAL		245.534	155.646	162.613
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		149.858	125.341	135.343
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		10.996	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	45.841	12.404	13.737
	Sundry Debtors	50.332	33.845	21.861
	Cash & Bank Balances	0.764	0.780	0.111
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	24.224	25.267	21.646
Total Current Assets		121.161	72.296	57.355
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	6.160	16.876	8.376
	Other Current Liabilities	0.675	3.187	0.182
	Provisions	29.646	21.928	21.527
Total Current Liabilities		36.481	41.991	30.085
Net Current Assets		84.680	30.305	27.270
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		245.534	155.646	162.613

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	378.361	288.290	307.842
		Other Income	8.584	7.550	0.110
		TOTAL (A)	386.945	295.840	307.952
Less	EXPENSES
		Raw Material Consumed	263.812	181.943	220.666
		Manufacturing Expenses	64.403	43.929	41.204
		Security Transaction Tax	0.014	0.000	0.000
		Increase/ Decrease in Finished Goods	(2.817)	1.024	(1.680)
		Loss of Sale of Assets	0.000	0.000	0.012
		Preliminary Expenses written off	0.000	0.000	0.001
		TOTAL (B)	325.412	226.896	260.203
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		61.533	68.994	47.749
Less	FINANCIAL EXPENSES (D)		2.692	1.225	4.051
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		58.841	67.719	43.698
Less/ Add	DEPRECIATION/ AMORTISATION (F)		8.110	7.119	7.829
	PROFIT BEFORE TAX (E-F) (G)		50.731	60.600	35.869
Less	TAX (H)		17.257	21.764	12.739
	PROFIT AFTER TAX (G-H) (I)		33.474	38.836	23.130
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		57.412	38.026	33.095
Less	APPROPRIATIONS
		Transfer to General Reserve	5.100	7.750	6.500
		Interim Dividend	0.000	10.000	0.000
		Proposed Dividend	10.000	0.000	10.000
		Tax on Dividend	1.661	1.700	1.399
	BALANCE CARRIED TO THE B/S		74.125	57.412	38.026
	IMPORTS		234.449	146.853	199.298
	Earnings Per Share (Rs.)		33.47	38.84	33.10

Expected Sales (2011-2012) : Rs.500.000 Millions

The above information has been parted by Mr. Ashish

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	8.65	13.13	7.51
Net Profit Margin (PBT/Sales)	(%)	13.41	21.02	11.65
Return on Total Assets (PBT/Total Assets}	(%)	18.72	30.66	18.61
Return on Investment (ROI) (PBT/Networth)		0.50	0.75	0.67
Debt Equity Ratio (Total Liability/Networth)		1.67	1.35	2.47
Current Ratio (Current Asset/Current Liability)		3.32	1.72	1.90

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITORS DETAILS

(Rs. in Millions)

Particulars	31.03.2011	31.03.2010	31.03.2009
Sundry Creditors
For Goods	5.593	11.983	1.302
For Expenses	0.346	1.485	1.563
For Capital Goods	0.221	3.408	5.511
Total	6.160	16.876	8.376

NOTE

The Registered office of the company has been shifted from Plot No. 11, Survey No. 209 Village Veravaal (Shapar) Taluka Kotda, Sahgahi, Rajkot-360003, Gujarat, India to present address w.e.f. 09.04.2007.

OPERATION

The sales and other income during the year rose to Rs.378.408 millions as against Rs.288.290 millions in the previous year and operation for the year resulted in cash profit of Rs.58.841 millions as against Rs.67.719 millions in the previous year.

Check list by Info Agents	Available in Reports ( 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 fort last three years	Yes
Profitability for last three years	No
Reasons For Variation<>20%	No
Estimation for coming financial year	Yes
Capital in Business	Yes
Details of Sister Concern	Yes
Major Suppliers	No
Major Customers	No
Payment Terms	Yes
Export / Import Details (if Applicable)	Yes
Market Information	--
Litigations that the firm / Promoter involved in	--
Banking Details	Yes
Banking Facility Details	No
Conduct of the banking account	-
Buyer visit details	--
Financial, if provided	No
Incorporation details, if applicable	--
Last Account filed at ROC	--
Major shareholder , if available	--

FORM 8

Corporate identity number of the company	U24224GJ2002PTC041119
Name of the company	ESSEN SPECIALITY FILMS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Plot No. A, Survey No. 192, Village Veraval (Shapar), Rajkot-360002, Gujarat, India Email : mnmanvarca@rediffmail.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10185399
Type of charge	Immovable Property
Particular of charge holder	Axis Bank Limited, "Titan" Near K. K. V. Circle, Kalawad Road, Rajkot – 360005, Gujarat, India Email : arupkumar.roy@axisbank.com
Nature of instrument creating charge	Amendment cum link agreement
Date of instrument Creating the charge	28.05.2011
Amount secured by the charge	Rs.11.270 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest: CASH CREDIT : BASE RATE + 3.75 i.e. 13.25 p.a. at present TERM LOAN : BASE RATE + 4.00 i.e. 13.50 p.a. at present (Both are subject to change from time to time as per banks' direction) Terms of Repayment : As per agreement Margin: As per agreement Extent and operation of the charge: The charge of bank operates to cover the entire credit facility together with interest, commission, charges, cost and expenses payable and due on it for the loan given to essen polybags private limited Others : Sr. no. Particulars Existing New ===== ========= ======= ======== 01 Cash Credit 7.000 million 3.770 million 02 Term Loan 7.500 million 7.500 million ========= ======== TOTAL 14.500 million 11.270 million
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Equitable Mortgage on industrial Property of the Company situated at R. S. No. 209-p, Plot No.3 and 4, Nr. Rajoo Engineers, Nr. Shapar Circle, Varaval - Shapar, Taluka - Kotada Sangani. District: Rajkot Detailed information of the property is as per agreement.
Particulars of the present modification	The Charge has been Modified by Decreasing The Limit of Cash Credit Facility From Existing Limit Of Rs.7.000 million to the Present Limit Of Rs.3.770 million Making Total Limit of Rs.11.270 million (Term Loan 7.500 million + Cash Credit 3.770 million) By Way of Equitable Mortgage On Immovable Property of The Company For The Purpose of Guarantee Provided For Credit Facility Of Ms/ Essen Polybags Private Limited.

FIXED ASSETS

· Land

· Factory Building

· Plant and Machinery

· Material Handling Equipment

· Laboratory Equipment

· Electrification

· Office Equipment

· Furniture and Fixtures

· Fire Fighting Equipment

· Computers

· Vehicles

· Car

· Scooter

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.51.74
UK Pound	1	Rs.80.01
Euro	1	Rs.65.99

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
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	6
--LEVERAGE	1~10	6
--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		48

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.