MIRA INFORM REPORT

Report Date :

13.06.2012

IDENTIFICATION DETAILS

Name :	PINKCITY FLEXIPACK INDIA PRIVATE LIMITED
Registered Office :	E-39(A), RIICO Industrial Area, Bassi Extension, Bassi, Jaipur – 303 301, Rajasthan
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	01.07.2009
Com. Reg. No.:	17-029261
Capital Investment / Paid-up Capital :	Rs.10.942 millions
CIN No.: [Company Identification No.]	U25209RJ2009PTC029261
TAN No.: [Tax Deduction & Collection Account No.]	JPRP03521A
PAN No.: [Permanent Account No.]	AAFCP1015L
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Supplier of Flexible Packaging Materials.
No. of Employees :	Not Divulged

RATING & COMMENTS

MIRA’s Rating :

B (27)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 25000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track. There appears some accumulated losses recorded by the company. However, trade relations are reported as fair. Business is active. Payments are reported to be slow. The company can be considered for business dealings with some cautions.

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 PARTED BY

Name :	Mr. Sanjeev
Designation :	Chief Executive Officer
Contact No.:	91-9983372788
Date :	11.06.2012

LOCATIONS

Registered Office/ Factory :	E-39(A), RIICO Industrial Area, Bassi Extension, Bassi, Jaipur – 303 301, Rajasthan, India
Tel. No.:	91-141-2702700
Mobile No.:	91-9983372788 (Mr. Sanjeev)
Fax No.:	91-141-2702700
E-Mail :	sjain453@gmail.com casrkjpr@gmail.com sj@pfipl.com amit@pfipl.com deepti@pfipl.com accounts@pfipl.com
Website :	http://pfipl.com
Location :	Owned

DIRECTORS

As on 05.09.2011

Name :

Mrs. Nisha Jain

Designation :

Director

Address :

B-404, Pearl Green Acres, Shri Gopal Nagar, Gopalpura By, Jaipur – 302 019, Rajasthan, India

Date of Birth/Age :

18.01.1971

Date of Appointment :

01.07.2009

DIN No.:

02697527

Name :

Mrs. Sangeeta Jain

Designation :

Director

Address :

B-7, New Light Colony, Tonk Road, Jaipur – 302 018, Rajasthan, India

Date of Birth/Age :

12.06.1963

Date of Appointment :

22.07.2010

DIN No.:

01801147

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U74140RJ2005PTC020273	Arisha Engineers Consultants and Developers Private Limited	Additional director	17-01-11	09-02-05	10-03-11	Active	NO
2	U70101RJ2005PTC021309	Arisha Highway Farms Developers Private Limited	Director	14-09-05	14-09-05	-	Active	NO
3	U80300RJ2007PTC025145	Ansh Education Private Limited	Director	10-10-07	10-10-07	-	Active	NO
4	U45201RJ2008PTC025616	Bridge Specility Construction Private Limited	Director	02-01-08	02-01-08	-	Strike off	NO
5	U25209RJ2009PTC029261	Pinkcity Flexipack India Private Limited	Director	22-07-10	01-08-09	-	Active	NO

Name :

Mrs. Mandeep Kaur

Designation :

Director

Address :

96, New Market, Rawat Bhata, Chittorgarh, Rajasthan, India

Date of Birth/Age :

03.08.1967

Date of Appointment :

22.07.2010

DIN No.:

02839452

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	U25209RJ2009PTC029261	Pinkcity Flexipack India Private Limited	Director	22-07-10	09-10-09	Active	NO

KEY EXECUTIVES

Name :	Mr. Sanjeev
Designation :	Chief Executive Officer

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 05.09.2011

Names of Shareholders	No. of Shares
Shikhar Chan Jain	10
Nisha Jain	147000
Sangeeta Jain	264500
Isha Jain	10000
Mandeep Kaur	220000
Sudheer K. Jain	286500
Sanjeev Jain	136000
Ramesh Chand Jain	10
Richa Agarwal	30000
Shailesh Jain	10
Kamini Ahujha	10
Rajkamal Jain	100
Mamta Jain	100
Total	1094240

As on 30.03.2012

Names of Allottees	No. of Shares
Nisha Jain	20000
Mandeep Kaur	25000
Sudheer Kumar Jain	30000
Sanjeev Jain	44000
Kamini Ahujha	6000
Chandra Kumar Bafna	25000
Total	150000

As on 19.12.2011

Names of Allottees	No. of Shares
Chandra Kumar Bafna	10
Total	10

As on 05.09.2011

Equity Share Breakup	Percentage of Holding
Category
Directors or relatives of directors	97.24
Other top fifty shareholders	2.76
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Supplier of Flexible Packaging Materials.

Products :

Item Code No. (ITC Code)	39201019
Product Description	Laminated Polyester Pouches/Roll

Terms :

Selling :

Credit (30 days)

Purchasing :

Credit (30 days)

PRODUCTION STATUS (AS ON 31.03.2011)

Particulars	2010-11
Licensed Capacity	1340 M.T.
Installed Capacity (p.a.)	1340 M.T.
Actual Production during the year	123 M.T.

GENERAL INFORMATION

Customers :

Manufacturer

No. of Employees :

Not Divulged

Bankers :

Punjab National Bank, SSI Branch, V.K.I. Area, Jaipur – 302 023, Rajasthan, India

Facilities :

Secured Loans	31.03.2011 Rs. In Millions	31.03.2010 Rs. In Millions
Working Capital Loan – Cash Credit from Punjab National Bank, Jaipur (Against hypothecation of inventories and book debts of the Company)	6.426	0.000
Term Loan from Punjab National Bank, Jaipur (Secured against the Building and plant and machinery of the company)	19.400	18.495
Total	25.826	18.495

Unsecured Loans	31.03.2011 Rs. In Millions	31.03.2010 Rs. In Millions
Loan from Shareholders	5.445	0.565
Loan from Directors	1.400	1.000
Total	6.845	1.565

Banking Relations :	--
Auditors :
Name :	A. Khandelwal and Associates Chartered Accountants
Address :	Shree Shyam Villa, D-9/96, Chitrakoot Nagar, Jaipur – 302 021, Rajasthan, India
Income-tax PAN of auditor or auditor's firm :	ABQPK1467Q

CAPITAL STRUCTURE

After 05.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
1250000	Equity Shares	Rs.10/- each	Rs.12.500 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1244250	Equity Shares	Rs.10/- each	Rs.12.443 millions

As on 05.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
1250000	Equity Shares	Rs.10/- each	Rs.12.500 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1094240	Equity Shares	Rs.10/- each	Rs.10.942 millions

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		10.942	10.940
2] Share Application Money		0.000	0.000
3] Reserves & Surplus		0.000	0.000
4] (Accumulated Losses)		(4.753)	(0.322)
NETWORTH		6.189	10.618
LOAN FUNDS
1] Secured Loans		25.826	18.495
2] Unsecured Loans		6.845	1.565
TOTAL BORROWING		32.671	20.060
DEFERRED TAX LIABILITIES		0.000	0.000
TOTAL		38.860	30.678
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		28.640	0.000
Capital work-in-progress		0.000	28.912
INVESTMENT		0.020	0.020
DEFERRED TAX ASSETS		1.779	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	7.561	0.000
	Sundry Debtors	2.470	0.000
	Cash & Bank Balances	0.787	0.675
	Other Current Assets	0.000	0.000
	Loans & Advances	2.017	1.576
Total Current Assets		12.835	2.251
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	2.634	0.272
	Other Current Liabilities	1.522	0.048
	Provisions	0.258	0.185
Total Current Liabilities		4.414	0.505
Net Current Assets		8.421	1.746
MISCELLANEOUS EXPENSES		0.000	0.000
TOTAL		38.860	30.678

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010
	SALES
		Income	22.747	0.000
		Other Income	0.049	0.002
		TOTAL	22.796	0.002
	EXPENSES
		Office Expenses	29.057	2.112
		Administrative Expenses
		Advertising Expenses
		TOTAL	29.057	2.112
	PROFIT/(LOSS) BEFORE TAX		(6.209)	(0.322)
Less	TAX		(1.779)	0.000
	PROFIT/(LOSS) AFTER TAX		(4.430)	(0.322)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(0.322)	0.000
	BALANCE CARRIED TO THE B/S		(4.752)	(0.322)
	Earnings/(Loss) Per Share (Rs.)		(4.05)	(0.29)

Particulars	31.03.2012
Sales Turnover (Approximately)	50.000 (Due to Business Expansion)

Expected Sales (2012-2013): Rs.60.000 millions

The above information has been parted by Mr. Sanjeev (Chief Executive Officer).

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010
PAT / Total Income	(%)	(19.43)	(16100.00)
Net Profit Margin (PBT/Sales)	(%)	(27.30)	0.00
Return on Total Assets (PBT/Total Assets}	(%)	(14.97)	(1.03)
Return on Investment (ROI) (PBT/Networth)		(1.00)	(0.03)
Debt Equity Ratio (Total Liability/Networth)		5.99	1.94
Current Ratio (Current Asset/Current Liability)		2.91	4.46

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 two years	Yes
13) Reasons for variation <> 20%	Yes
14) Estimation for coming financial year	Yes
15) Capital in the business	Yes
16) Details of sister concerns	No
17) Major suppliers	No
18) Major customers	No
19) Payments terms	Yes
20) Export / Import details (if applicable)	No
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

Note:

The registered office of the company has been shifted from B-11, Nulite Colony, Tonk Road, Jaipur – 302 018, Rajasthan to the present address w.e.f. 05.05.2012.

PERFORMANCE REVIEW:

Sales:

Company's Net Sales is Rs.22.747 millions in the first ten month of operations.

Profitability:

During the year the company's PAT is Rs. (4.430) millions as compared to the previous year of Rs. (0.322) million.

FINANCE:

Overall debt increased by Rs.12.611 millions and stood at Rs.32.670 millions. The directors of the company provided unsecured loans of Rs.1.400 millions as stood on 31.03.2011

WEBSITE DETAILS:

PROFILE:

Subject, produces customized multi-layer flexible packaging material for a range of applications, such as food, beverage, confectionary items, detergents, fast-moving consumer goods, pharmaceuticals, fertilizers, seeds  and industrial uses. These are manufactured using high grade polymers, inks, adhesives which makes these packaging products durable and non-reactive. Further these are available in different standard as well as customized option as per the requirement of the clients.

To meet the customer requirement they have installed capacity of 150Ton/month over a space of 2000sqm which is dust free and air cooled. Setup includes 8 color high speed machine, Lamination machine, Inspection machine, Slitters, Doctoring machine and pouching machines.

To deliver the quality product company is having laboratory and dedicated staff to check the quality of incoming inventories and outgoing material. Company has policy to procure material for the repute manufacturer only as per the requirement of the customer.

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.56.05
UK Pound	1	Rs.86.69
Euro	1	Rs.69.98

INFORMATION DETAILS

Information Gathered by :	SBA
Report Prepared by :	SMN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--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		27

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.