MIRA INFORM REPORT

Report Date :

30.01.2012

IDENTIFICATION DETAILS

Name :	EGO FLOORING PRIVATE LIMITED
Registered Office :	419, Joshiwadi, 2^nd Floor, Kalbadevi Road, Mumbai – 400002, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	28.02.2005
Com. Reg. No.:	11-151646
Capital Investment / Paid-up Capital :	Rs.2.970 millions
CIN No.: [Company Identification No.]	U26933MH2005PTC151646
TAN No.: [Tax Deduction & Collection Account No.]	MUME05926E
PAN No.: [Permanent Account No.]	AABCE4258Q
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Trader of Wood Tiles, Floorings Laminates, Timber and Plywood Planks.
No. of Employees :	100 (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 96000
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 :	Mr. Sunder
Designation :	Account Manager
Contact No.:	91-22-23787500
Date :	28.01.2012

LOCATIONS

Registered Office :	419, Joshi Wadi, 2^nd Floor, Kalbadevi Road, Mumbai – 400002, Maharashtra, India
Tel. No.:	91-22-23787500
Mobile No.:	91-9820008592 (Mr. Amish Dani)
Fax No.:	91-22-23726452
E-Mail :	finance@egofloor.com amish@egofloor.com sales@egoflooring.com sunder@egofloor.com
Website :	www.egofloor.com
Area :	1500 sq ft
Location :	Owned
Corporate Office :	Prem Estate, 2^nd Floor, Sant Savta Road No.1, Mustafa Bazar, Byculla (East), Mumbai – 400 010, Maharashtra, India
Tel. No.:	91-22-23787500/32060294/95
Fax No.:	91-22-23726452
E-Mail :	sales@egofloor.com
Area :	4000 sq ft
Location :	Leased
Godown :	Sainath Compound, Gala No.84, 85, 86, Mankoli, Bhiwandi, Maharasahtra, India
Factory :	B2/ B3, Sagar Industrial Estate, Dhumal Nagar, Vasai (East), Maharasahtra, India
Showroom :	Next to Crome Furniture, Opposite SRP Ground, Hadapsar, Ahead of Big Bazar, Pune, Maharashtra, India
Branch Office :	Located at: · Hyderabad · Delhi · Bangalore

DIRECTORS

As on 30.09.2011

Name :

Ms. Shivani Amish Dani

Designation :

Director

Address :

Flat No.9, 2^nd Floor, Ameeta 7, Gen Bhonsale Marg, Nariman Point, Mumbai – 400021, Maharashtra, India

Date of Birth/Age :

13.05.1978

Qualification :

Graduate

Date of Appointment :

28.02.2005

DIN No.:

00625471

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	U26933MH2005PTC151646	Ego Flooring Private Limited	Director	28-02-05	28-02-05	-	Active	NO
2	U36100MH2007PTC172303	Bluue Mango Seatings Private Limited	Director	12-07-07	12-07-07	-	Active	NO
3	U20213MH2008PTC180079	Ego Wall Decor Private Limited	Director	14-03-08	14-03-08	-	Active	NO

Name :

Mr. Roshan Ramesh Bisani

Designation :

Director

Address :

62, Ameeta Building, Sachiwalay, Mumbai – 400021, Maharashtra, India

Date of Birth/Age :

09.05.1975

Qualification :

Graduate

Date of Appointment :

28.02.2005

DIN No.:

01681140

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	U20210MH1994PLC084069	Sudarshan Plywood Limited	Director	26-12-94	26-12-94	-	Active	NO
2	U51431MH2000PTC129090	Orchid Impex Private Limited	Director	12-10-00	12-10-00	-	Active	NO
3	U26933MH2005PTC151646	Ego Flooring Private Limited	Director	28-02-05	28-02-05	-	Active	NO
4	U36100MH2007PTC172303	Bluue Mango Seatings Private Limited	Director	23-07-07	23-07-07	-	Active	NO
5	U20213MH2008PTC180079	Ego Wall Decor Private Limited	Director	14-03-08	14-03-08	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2011

Names of Shareholders	No. of Shares
Shivani Dani	5000
Suresh Bisani	5000
Roshan Bisani	94430
Ashok Bisani	89560
Kamal Bisani	5000
Ruchika A. Bisani	5000
Amish S. Dani HUF	84580
Shayamsunder M. Makharia	8420
Kumar G. Shah jointly with Amish S. Dani	10
TOTAL	297000

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 Wood Tiles, Floorings Laminates, Timber and Plywood Planks.
Brand Names :	“EGO”
Exports :
Products :	Wood Tiles
Countries :	China Germany Malaysia Indonesia
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

GENERAL INFORMATION

Customers :

Wholesaler and Retailer

Builders:

· Prestige Group

· Godrej Properties Limited

· Neptune Builders

· Wadhwa Builders

· Citilights Estates Private Limited

· Kanyakumari Builders Private Limited (solid wood flooring)

· Mittal Builders and Assoc

· Rohan Builders

· Neelkanth Builders

· Goel Ganga Group

· Nirman Shelters Development and Builders

· Metrocorp Housing

· Shikha Construction

· Sterling Construction

· Pride Builders / P3 Developers

Retailers:

· Spykar Jeans

· Docker’s

· Sony World

· Premsons

· Pantaloons

· Ardee City

Hotels:

· Taj Group of Hotels

· J.W. Marriot

· Radissons Hotel

· Grand Hyatt

· Sahara Star

· Hotel Siddharth

· Hotel Ramada Palm Groove

Corporate:

· Reliance Industries Limited

· Reliance Industries Limited – Retail

· Serum Institute of India

· Mahindra and Mahindra

· State Bank of India

· L and T Infotech

· The Bombay Dyeing and Manufacturing Company Limited

· Patni Computers

· Unitech

· Tech Mahindra

· Eros Group

No. of Employees :

100 (Approximately)

Bankers :

• The Saraswat Co-operative Bank Limited, SME Nariman Point Branch, Mittal Court, A-Wing, 1^st Floor, Vidhan Bhavan Marg, Nariman Point, Mumbai – 400021, Maharashtra, India
• ICICI Bank, Malad (West) Branch, Mumbai, Maharashtra, India

Facilities :

Secured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
The Saraswat Co-Operative Bank Limited (Secured against Fixed Deposit maintained with Bank and Hypothecation of Stock and Debtors)	40.687	24.840
Short Term Loan Against Fixed Deposit
Kotak Mahindra Prime Limited	0.000	0.541
Vehicle Loan (Secured against Car)	0.788	1.145
Total	41.475	26.526
Unsecured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
From Directors and Relatives	25.207	22.111
Total	25.207	22.111

Cash Credit Rs.40.000 Millions

LC Rs.50.0000 Millions

Banking Relations :	--
Auditors :
Name :	CLB and Associates Chartered Accountants
Address :	77, Mulji Jetha Building, 3^rd Floor, 185/ 187, Princess Street, Mumbai – 400 002, Maharashtra, India
Tel. No.:	91-22-22052224/22066860
Fax No.:	91-22-22052224
E-Mail :	info@clb.co.in
Website:	www.clb.co.in
PAN.:	AAEFC1382K
Associates/Subsidiaries :	· EGO Wooden Decor Private Limited · Blue Mango Seatings Private Limited

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
300000	Equity Shares	Rs.10/- each	Rs.3.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
297000	Equity Shares	Rs.10/- each	Rs.2.970 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		2.970	2.970	2.970
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		20.962	14.034	9.739
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		23.932	17.004	12.709
LOAN FUNDS
1] Secured Loans		41.475	26.526	16.214
2] Unsecured Loans		25.207	22.111	17.161
TOTAL BORROWING		66.682	48.637	33.375
DEFERRED TAX LIABILITIES		0.000	0.000	0.003
TOTAL		90.614	65.641	46.087
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		5.953	3.928	4.408
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.802	0.767	0.767
DEFERREX TAX ASSETS		0.133	0.072	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	62.234	27.692	28.319
	Sundry Debtors	33.657	39.273	30.258
	Cash & Bank Balances	6.791	3.242	1.147
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	23.292	15.099	8.405
Total Current Assets		125.974	85.306	68.129
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	24.823	10.837	14.431
	Other Current Liabilities	12.452	10.343	9.484
	Provisions	5.478	4.263	4.822
Total Current Liabilities		42.753	25.443	28.737
Net Current Assets		83.221	59.863	39.392
MISCELLANEOUS EXPENSES		0.505	1.011	1.520
TOTAL		90.614	65.641	46.087

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	214.635	109.032	106.287
		Other Income		0.371	0.812
		TOTAL (A)	214.635 (Including Increase/ Decrease in stock)	109.403	107.099
Less	EXPENSES
		Cost of Goods Traded	197.976	66.526	78.607
		Administration and Other Expenses		30.346	29.685
		Increase and Decrease in Stock		0.626	(11.444)
		TOTAL (B)	197.976	97.498	96.848
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		16.659	11.905	10.251
Less	FINANCIAL EXPENSES (D)		5.653	4.484	3.465
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		11.006	7.421	6.786
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.805	0.939	0.956
	PROFIT BEFORE TAX (E-F) (G)		10.201	6.482	5.830
Less	TAX (H)		3.274	2.187	2.087
	PROFIT AFTER TAX (G-H) (I)		6.927	4.295	3.743
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		13.276	8.981	5.238
	BALANCE CARRIED TO THE B/S		20.203	13.276	8.981
	Earnings Per Share (Rs.)		23.32	14.86	30.35

Expected Sales (2011-2012) : Rs.280.000 Millions

The above information has been parted by Mr. Sunder – Account Manager

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	3.23	3.92	3.49
Net Profit Margin (PBT/Sales)	(%)	NA	5.95	5.49
Return on Total Assets (PBT/Total Assets}	(%)	7.73	7.27	8.04
Return on Investment (ROI) (PBT/Networth)		0.43	0.38	0.46
Debt Equity Ratio (Total Liability/Networth)		4.57	4.36	4.89
Current Ratio (Current Asset/Current Liability)		2.95	3.35	2.37

LOCAL AGENCY FURTHER INFORMATION

DETAILS OF SUNDRY CREDITORS

(Rs. in millions)

Particulars	31.03.2011	31.03.2010	31.03.2009
Sundry Creditors	24.823	10.837	14431

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%	--
Estimation for coming financial year	Yes
Capital in Business	Yes
Details of Sister Concern	Yes
Major Suppliers	Yes
Major Customers	Yes
Payment Terms	Yes
Export / Import Details (if Applicable)	Yes
Market Information	--
Litigations that the firm / Promoter involved in	--
Banking Details	Yes
Banking Facility Details	Yes
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	--

TRADE REFERENCES

· Prestige Group

· Zee Furniture

NOTE:

The Registered Office of the company has been shifted from Unit 9, Vasan Udyog Bavan, Ground Floor, Sun Mill Compound, Lower Parel (West), Mumbai – 400013, Maharashtra, India to the present address.

FORM 8

Corporate identity number of the company	U26933MH2005PTC151646
Name of the company	EGO FLOORING PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	419, Joshi Wadi, 2^nd Floor, Kalbadevi Road, Mumbai – 400 002, Maharashtra, India Email : finance@egofloor.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10046911
Type of charge	Book Debts Movable Property (not being pledge) Floating Charge
Particular of charge holder	The Saraswat Co-Operative Bank Limited, Fort Branch, Fort, Mumbai – 400 001, Maharashtra, India E-Mail: njbhatia@rediffmail.com
Nature of instrument creating charge	Deed of Hypothecation for Additional Advances (Supplementary Deed)
Date of instrument Creating the charge	15.02.2011
Amount secured by the charge	Rs.32.500 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest: PLR=13.5% p.a. or at such rate as maybe determined by the bank from time to time Terms of Repayment: On demand Margin: 30% Extent and operation of charge: This is a cash credit facility Their is interchangeability of Rs.7.500 millions between CC and LC limit
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Hypothecation of stock ,debtors tangible movable property (both present and future) belonging to the borrowers and lying and being at the borrowers place of business at Prem Estate, 2nd Floor Sant Savta Marg, Mustafa Bazar, Opposite Union Bank Of India, Byculla East Mumbai. Hypothecation of book debts, monies, receivable, out standings, claims and bills.
Date of instrument modifying the charge	05.11.2009
Particulars of the present modification	The cash credit limit is enhanced from Rs.20.000 millions to Rs.32.500 millions ( additional Rs.12.500 millions).Their is interchangeability of Rs.7.500 millions between CC and LC limit

FIXED ASSETS:

· Plant and Machinery

· Furniture and Fixtures

· Computer and Printer

· Office Equipment

· Vehicle

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.49.65
UK Pound	1	Rs.77.80
Euro	1	Rs.65.05

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.