MIRA INFORM REPORT

Report Date :

09.06.2012

IDENTIFICATION DETAILS

Name :	LAKSHMI PACKAGING PRIVATE LIMITED
Registered Office :	No.58, Town Railway Station Road, Salem – 636001, Tamilnadu
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	06.10.1975
Com. Reg. No.:	18-000744
Capital Investment / Paid-up Capital :	Rs.4.889 Millions
CIN No.: [Company Identification No.]	U21021TZ1975PTC000744
TAN No.: [Tax Deduction & Collection Account No.]	CHEL03325A
PAN No.: [Permanent Account No.]	AAACL3652Q
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Flexible Packaging Materials.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (46)

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

Maximum Credit Limit :	USD 210000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is well established company having satisfactory track record. 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 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 – September 30, 2011

Country Name	Previous Rating (30.06.2011)	Current Rating (30.09.2011)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

INFORMATION DECLINED BY

Name :	Mr. S.R. Ramesh
Designation :	Director
Contact No.:	91-427-2450384
Date :	08.06.2012

LOCATIONS

Registered Office / Administrative Office / Factory 1 :	No.58, Town Railway Station Road, Salem – 636001, Tamilnadu, India
Tel. No.:	91-427-2450619 / 2450384 / 85
Fax No.:	91-427-2450469
E-Mail :	lakshmipack@eth.net
Factory 2 :	Plot No. 37, Sipcot Industnat Complex, Hosur-635 126, Tamilnadu, India

DIRECTORS

As on 23.09.2011

Name :	Mr. S.R. Kandasamy
Designation :	Director
Address :	F-33, Kamakodi Street, Fairlands, Salem – 636016, Tamilnadu, India
Date of Birth/Age :	19.10.1953
Date of Appointment :	06.10.1975
DIN No.:	02377820
Name :	Mr. S.R. Venkatesan
Designation :	Director
Address :	F-33, Kamakodi Street, Fairlands, Salem – 636016, Tamilnadu, India
Date of Birth/Age :	17.02.1957
Date of Appointment :	06.10.1975
DIN No.:	01821933
Name :	Mr. S.R. Badrinarayanan
Designation :	Director
Address :	F-33, Kamakodi Street, Fairlands, Salem – 636016, Tamilnadu, India
Date of Birth/Age :	23.06.1958
Date of Appointment :	15.11.1988
DIN No.:	01914054
Name :	Mr. S.R. Ramesh
Designation :	Director
Address :	F-33, Kamakodi Street, Fairlands, Salem – 636016, Tamilnadu, India
Date of Birth/Age :	05.07.1959
Date of Appointment :	21.09.1988
DIN No.:	00384818
Name :	M.R. Murli
Designation :	Director
Address :	F-33, Kamakodi Street, Fairlands, Salem – 636016, Tamilnadu, India
Date of Birth/Age :	26.08.1961
Date of Appointment :	21.09.1988
DIN No.:	00387331

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 23.09.2011

Names of Shareholders	No. of Shares
S. Ranganatham	38
S.R. Kandasamy	95000
S.R. Vekateshan	95000
S.R. Badrianarayanan	95000
S.R. Ramesh	95000
S.R. Murli	95000
S.R. Manoranjitham	6643
V. Laxshmi	6471
Sunitha S. Badri	10
True Packaging Private Limited	100
R. Shakila	100
M. Nirmala	100
S. Rajeswari	100
K. Leela Kumapi	100
V. Vatha	100
S. Divya	100
Total	488862

As on 23.09.2011

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Bodies corporate	2.04
Directors or relatives of Directors	97.96
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Flexible Packaging Materials.

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

The Karur Vysya Bank Limited, Salem Main Branch, 45-46, Car Street,, Salem - 636001, Tamilnadu, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2011	As on 31.03.2010
From Bank
Open Cash Credit ( Secured by the hypothecation of Stock in Trade and Book Debts and Equitable Mortgage on factory Building at Salem and Hosur and Personal Guarentee of alt the Directors)	25.923	12.140
MEDIUM TERM LOAN (Secured on the hypothecation of Plant and Machinery in Factory at Salem 5 Hosur \ and Personal Guarentee of all the Directors )	53.284	49.356
Total	79.207	61.496
Unsecured Loan	As on 31.03.2011	As on 31.03.2010
Loans from Share holders and Relatives	11.605	11.296
Total	11.605	11.296

Banking Relations :	--
Auditors :
Name :	V.V. Soundararajan and Company Chartered Accountants
Address :	4, Second Cross, Maravaneri, Salem – 636007, Tamilnadu, India
PAN.:	ABRPA3518K

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
500000	Equity Shares	Rs.10/- each	Rs.5.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
488862	Equity Shares	Rs.10/- each	Rs.4.889 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		4.889	4.889	1.959
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		48.318	46.165	33.115
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		53.207	51.054	35.074
LOAN FUNDS
1] Secured Loans		79.207	61.496	76.290
2] Unsecured Loans		11.605	11.296	11.305
TOTAL BORROWING		90.812	72.792	87.595
DEFERRED TAX LIABILITIES		6.859	7.697	8.683
TOTAL		150.878	131.543	131.352
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		104.022	97.933	97.003
Capital work-in-progress		0.000	0.048	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	36.461	24.820	24.844
	Sundry Debtors	60.311	53.995	51.777
	Cash & Bank Balances	4.766	6.374	3.726
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	12.836	12.888	13.330
Total Current Assets		114.374	98.077	93.677
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	64.128	52.713	56.185
	Other Current Liabilities	2.710	3.052	1.908
	Provisions	0.680	8.750	1.235
Total Current Liabilities		67.518	64.515	59.328
Net Current Assets		46.856	33.562	34.349
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		150.878	131.543	131.352

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	425.464	400.772	326.755
		Other Income
		TOTAL	425.464	400.772	326.755
Less	EXPENSES
		Office Expenses
		Administrative Expenses	410.611	368.272	313.948
		Advertising Expenses
		TOTAL	410.611	368.272	313.948
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		14.853	32.500	12.807
Less/ Add	DEPRECIATION/ AMORTISATION		12.858	11.687	11.284
	PROFIT BEFORE TAX		1.995	20.813	1.523
Less	TAX		0.680	8.750	1.235
	PROFIT AFTER TAX		1.315	12.063	0.288
	Deferred Tax Liability (Assets)		(0.838)	0.986	0.446
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		44.600	31.551	30.817
	BALANCE CARRIED TO THE B/S		46.753	44.600	31.551
	Earnings Per Share (Rs.)		2.69	24.68	1.47

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	0.31	3.01	0.09
Return on Total Assets (PBT/Total Assets}	(%)	0.91	10.62	0.15
Return on Investment (ROI) (PBT/Networth)		0.04	0.24	0.01
Debt Equity Ratio (Total Liability/Networth)		2.98	2.69	4.19
Current Ratio (Current Asset/Current Liability)		1.69	1.52	1.58

LOCAL AGENCY FURTHER INFORMATION

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	No
5) Type of Business	Yes
6) Line of Business•	Yes
7) Promoter’s background	Yes
8) No. of employees	No
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	No
15) Capital in the business	Yes
16) Details of sister concerns	No
17) Major suppliers	No
18) Major customers	No
19) Payments terms	No
20) Export / Import details (if applicable)	No
21) Market information	--
22) Litigations that the firm / promoter	--
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

Outlook for the Current year:

The outlook for the packaging industry is encouraging and there is a potential for growth in 2011-12. However, the increasing competition in the Industry and pressure on billing rates in the domestic should be viewed seriously. The efforts to reduce non-operational related expenditure will continue during the current year as in the past which has been followed all these years.

Fixed Assets

· Land Building

· Computer and Accessories

· Plant and Machinery

· Vehicles

· Furniture and Fixtures

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 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.55.36
UK Pound	1	Rs.85.64
Euro	1	Rs.69.12

INFORMATION DETAILS

Information Gathered by :	PJA
Report Prepared by :	NTH

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	4
--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	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		46

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.