MIRA INFORM REPORT

Report Date :

07.07.2012

IDENTIFICATION DETAILS

Name :	SHIRT COMPANY (INDIA) LIMITED
Registered Office :	2 Brady Gladys Plaza, 1/447 Senapati Bapat Marg, Lower Parel, Mumbai – 400013, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	06.05.2005
Com. Reg. No.:	153109
Capital Investment / Paid-up Capital :	Rs.70.000 Millions
CIN No.: [Company Identification No.]	U18101MH2005PLC153109
Legal Form :	A closely held Public Limited Liability Company
Line of Business :	Manufacturers and Exporters of garments for men, ladies and kids.
No. of Employees :	800 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

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

Maximum Credit Limit :	USD 2028116
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. Even though the sales turnover of the company has increased, there a slight dip in the profitability during the year 2011. Trade relations are reported as fair. Business is active. Payments are reported as decent. Business is active. Payments are reported to be usually correct and as per commitments.

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. Pranay
Designation :	Account Incharge
Contact No.:	91-22-27618006
Date :	06.07.2012

LOCATIONS

Registered Office :	2 Brady Gladys Plaza, 1/447 Senapati Bapat Marg, Lower Parel, Mumbai – 400013, Maharashtra, India
Tel. No.:	91-22-24914295/6
Fax No.:	91-22-24918644
E-Mail :	pranay@shirt-company.com
Website :	www.shirt-company.com
Location :	Owned
Factory 1 :	C-368/531, TTC Industrial Area, PawaneVillage, Navi Mumbai – 400019, Maharashtra, India
Tel. No.:	91-22-24914295

DIRECTORS

AS ON 30.09.2011

Name :	Mr. Shivanand Bhoja Shetty
Designation :	Managing Director
Address :	A-1401 Kanti Apartments, Mount Mary Road, Bandra (West, Mumbai, 400050, Maharashtra, India
Date of Birth/Age :	15.10.1945
Date of Appointment :	05.06.2005
Name :	Mr. Ashwin Shivanand Shetty
Designation :	Whole-Time Director
Address :	A-1401 Kanti Apartments, Mount Mary Road, Bandra (West, Mumbai, 400050, Maharashtra, India
Date of Birth/Age :	15.10.1945
Date of Appointment :	05.06.2005
Name :	Mr. Balkrishna Bhoja Shetty
Designation :	Director
Address :	12 Rajkamal Apartment, Dr. S. S. Rao Road, Lalbaug, Mumbai, 400012, Maharashtra, India
Date of Birth/Age :	04.09.1950
Date of Appointment :	05.06.2005
Name :	Ms. Priya Rahul Bhave
Designation :	Director
Address :	1a-142, Winderemere,Off New Link,, Oshiwara, Andheri, Mumbai, 400053, Maharashtra, India
Date of Birth/Age :	21.07.1975
Date of Appointment :	01.04.2007
Name :	Mr. Udupi Raghava Sherigara
Designation :	Director
Address :	167, Prakruthi, 10th E Main, I Block, Jayanagar, Bangalore 560011, Karnataka, India
Date of Birth/Age :	16.06.1975
Date of Appointment :	25.06.2005
Name :	Mr. Vijay Ramchandra Mukhi
Designation :	Director
Address :	158, Kalpataru Habitat, 15th Floor, Dr. S.S Rao Marg, Parel (E), Mumbai – 400012, Maharashtra, India
Date of Birth/Age :	07.12.1957
Date of Appointment :	25.06.2005
Name :	Mr. Gunhild Nayar
Designation :	Director
Address :	101, Shamiana Walkeshwar Road, Mumbai - 400006, Maharashtra, India
Date of Birth/Age :	19.08.1941
Date of Appointment :	25.06.2005
Date of Ceasing :	12.109.2011

KEY EXECUTIVES

Name :	Mr. Pranay
Designation :	Account Incharge

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2011

Name of shareholders	Number of shares
Shivanand Bhoja Shetty	3460524
Balkrishna Bhoja Shetty	659855
Sulbha Shetty	659855
Shanta Balakrishna Shetty	395913
Ashwin Shivanand Shetty	659855
Priya Rahul Bhave	659855
Siddharth Shetty	181460
Foot Cast Rubber and Resins Limited, Mumbai	293250
Shailesh Laxmidas Kotak and Hutokshi Kotak	6800
Alok Industries Limited, Mumbai	13333
Hutokshikotak	700
Kantilal Purohit	5000
Shripat Mahadeo Kadam and Manisha Shripat Kadam	1000
Charul Desai and Bharat Desai and Chintan Desai	650
Atul Desai and Rita Desai and Ankit Desai	650
Rita Desai and Atul Desai and Rachana Desai	650
Sushila Desai and Shailesh Desai and Hetal Desai	650
Total	7000000

AS ON 30.09.2011

Category	Percentage
Bodies corporate	4.38
Directors or relatives of Directors	95.39
Other	0.23
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturers and Exporters of garments for men, ladies and kids.
Exports :
Products :	Garments For Men, Ladies And Kids.
Countries :	· Germany · European Countries
Imports :
Products :	Raw Material
Countries :	· European Countries · Hong Kong · China
Terms :
Selling :	Credit (30 days, 60 days)
Purchasing :	Credit (30 days, 60 days)

GENERAL INFORMATION

Suppliers :

· Alok Enterprise

· KMD

Customers :

· Ernstings Family, Germany

· Wholesalers

· Retailers

· Manufacturer

No. of Employees :

800 (Approximately)

Bankers :

· The Shamrao Vithal Co-Op. Bank Limited, Laxmi Narayan Niwas, Kane Building, Ranade Road, Dadar (West),, Mumbai - 400028, Maharashtra, India

· Corporation Bank, Overseas Branch, 1st Floor, Earnest House, Nariman Point, Mumbai - 400021, Maharashtra, India

Facilities :

SECURED LOAN	Rs. In Millions 31.03.2011	Rs. In Millions 31.03.2010
Rupee term loans banks secured	327.523	352.285
Working capital loans banks secured	291.210	244.102
Loans taken for vehicles secured	8.024	8.517
TOTAL	626.757	604.904
UNSECURED LOAN	Rs. In Millions 31.03.2011	Rs. In Millions 31.03.2010
Loans directors unsecured	5.351	0.922
Other debt unsecured	62.167	57.167
TOTAL	67.518	58.089

Financial Institution:

· Religare Finvest Limited, D3, P3b, District Centre, Saket, New Delhi - 110017, Delhi, India

· Bajaj Finance Limited, Akurdi Pune-, Mumbai Pune Road, Pune - 411035, Maharashtra, India

Banking Relations :	--
Auditors :
Name :	Chaturvedi Sohan and Company Chartered Accountant
Address :	320, Tulsiani Chambers, Nariman Point, Mumbai – 400021, Maharashtra, India
Subsidiaries:	Manipal Apparels Private Limited
Enterprise over which Key Management Personnel have significant influence:	· Foot Cast Rubber and Resins Limited · Strawberrys India · SBS Clothing Private Limited · Priya Collection · Together Textile Mills India Private Limited

CAPITAL STRUCTURE

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Shares	Rs.10/- each	Rs.100.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
7000000	Equity Shares	Rs.10/- each	Rs.70.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

Particulars	31.03.2012
Sales Turnover (Approximately)	890.000

Expected Sales (2012-2013) : Rs.110.000 Millions (Business Expansion)

The above information has been parted by Mr. Pranay (Account Incharge)

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		70.000	70.000	75.500
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		437.029	404.747	424.366
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		507.029	474.747	499.866
LOAN FUNDS
1] Secured Loans		626.757	604.904	621.753
2] Unsecured Loans		67.518	58.089	61.275
TOTAL BORROWING		694.275	662.993	683.028
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		1201.304	1137.740	1182.894
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		498.186	496.524	496.298
Capital work-in-progress		15.974	13.137	11.172
INVESTMENT		94.264	94.563	94.714
DEFERREX TAX ASSETS		2.621	(3.503)	(6.622)
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	216.177	173.251	203.993
	Sundry Debtors	193.201	135.082	150.327
	Cash & Bank Balances	23.366	17.046	6.809
	Other Current Assets	54.621	55.057	57.882
	Loans & Advances	340.046	291.829	332.029
Total Current Assets		827.411	672.265	751.040
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	127.004	57.508	83.267
	Other Current Liabilities	77.909	47.654	48.992
	Provisions	32.239	30.084	31.449
Total Current Liabilities		237.152	135.246	163.708
Net Current Assets		590.259	537.019	587.332
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		1201.304	1137.740	1182.894

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	874.706	837.461	747.676
		Other Income	77.881	66.460	61.103
		TOTAL (A)	952.587	903.921	808.779
Less	EXPENSES
		Consumption materials changes inventories	257.271	205.699	229.469
		Manufacturing service costs	72.789	95.137	0.000
		Employee related expenses	160.080	133.752	101.774
		Administrative selling other expenses	322.190	312.731	376.409
		Increased / (Decreased) In Stock	0.000	0.000	(15.089)
		TOTAL (B)	812.330	747.319	692.563
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		140.257	156.602	116.216
Less	FINANCIAL EXPENSES (D)		77.180	77.784	75.566
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		63.077	78.818	40.650
Less/ Add	DEPRECIATION/ AMORTISATION (F)		19.938	20.260	21.027
	PROFIT BEFORE TAX (E-F) (G)		43.139	58.558	19.623
Less	TAX (I)		4.021	8.176	14.268
	PROFIT AFTER TAX (G-I) (J)		39.118	50.382	5.355
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		179.737	129.355	124.000
	BALANCE CARRIED TO THE B/S		218.855	179.737	129.355
	Earnings Per Share (Rs.)		5.59	7.20	--

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	4.11	5.57	0.66
Net Profit Margin (PBT/Sales)	(%)	4.93	6.99	2.62
Return on Total Assets (PBT/Total Assets}	(%)	3.25	5.01	1.57
Return on Investment (ROI) (PBT/Networth)		0.09	0.12	0.04
Debt Equity Ratio (Total Liability/Networth)		1.84	0.42	1.69
Current Ratio (Current Asset/Current Liability)		3.49	4.98	4.59

LOCAL AGENCY FURTHER INFORMATION

DETAILS OF SUNDRY CREDITORS

(Rs. In Millions)

Particulars	31.03.2011	31.03.2010	31.03.2009
Sundry Creditors
Creditors due small micro enterprises	0.000	0.000	0.000
Creditors due others	127.004	57.508	83.267

Check List by Info Agents	Available in Report (Yes / No)
1) Year of Establishment	Yes
2) Locality of the firm	Yes
3) Constitutions of the firm	Yes
4) Premises details	Yes
5) Type of Business	Yes
6) Line of Business	Yes
7) Promoter's background	Yes
8) No. of employees	Yes
9) Name of person contacted	Yes
10) Designation of contact person	Yes
11) Turnover of firm for last three years	Yes
12) Profitability for last three years	Yes
13) Reasons for variation <> 20%	--
14) Estimation for coming financial year	Yes
15) Capital in the business	Yes
16) Details of sister concerns	Yes
17) Major suppliers	Yes
18) Major customers	Yes
19) Payments terms	Yes
20) Export / Import details (if applicable)	Yes
21) Market information	--
22) Litigations that the firm / promoter involved in	--
23) Banking Details	Yes
24) Banking facility details	Yes
25) Conduct of the banking account	--
26) Buyer visit details	--
27) Financials, if provided	Yes
28) Incorporation details, if applicable	Yes
29) Last accounts filed at ROC	Yes
30) Major Shareholders, if available	Yes

FORM 8:

Corporate identity number of the company	U18101MH2005PLC153109
Name of the company	SHIRT COMPANY (INDIA) LIMITED
Address of the registered office or of the principal place of business in India of the company	2 Brady Glady Plaza1/447 Senapati Bapat Marg, Lower Parel, Mumbai – 400013, Maharashtra, India
This form is for	Creation of charge
Type of charge	Immovable Property
Particular of charge holder	RELIGARE FINVEST LIMITED
Nature of instrument creating charge	Facility Agreement for loan of Rs.120000000/-[Loan + interest of Rs 217136040/-] for immovable property as per terms of the agreement with Religare Finvest Limited attached alongwith the schedule and repayable in 120 equal monthly installments of Rs 1809467/- each at interest of 13.25%[19.50%-6.25%].
Date of instrument Creating the charge	30/09/2011
Amount secured by the charge	Rs.120.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest 13.25%[19.50%-6.25%]. Terms of Repayment 120 equal monthly installments of Rs 1809467/- each Extent and Operation of the charge 100%
Short particulars of the property charged	Commercial property located at plot no C - 531; TTC Industrial Area; MIDC; Pawane; Navi Mumbai

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.55.42
UK Pound	1	Rs.86.04
Euro	1	Rs.68.61

INFORMATION DETAILS

Information Gathered by :	SBA
Report Prepared by :	SDA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		47

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.