MIRA INFORM REPORT

Report Date :

21.06.2012

IDENTIFICATION DETAILS

Name :	DICITEX FURNISHINGS LIMITED
Registered Office :	301-B, Palm Court Complex, M Building, B wing, 3^rd Floor, Above Dmart, Malad Link Road, Malad (East), Mumbai – 400064, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation / Year of Establishment :	03.05.1999
Com. Reg. No.:	11-119692
Capital Investment / Paid-up Capital :	Rs.50.960 Millions
CIN No.: [Company Identification No.]	U17120MH1999PTC119692
TAN No.: [Tax Deduction & Collection Account No.]	MUMD06425G
PAN No.: [Permanent Account No.]	AAACD7780R
Legal Form :	A Closely Held Public Limited Liability Company.
Line of Business :	Suppliers of Upholstery Fabrics, Embroidery Fabrics, Curtain Fabrics, Beddings, Cushions, Curtains etc.
No. of Employees :	120 Approximately [in office]

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 1100000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a well 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 good for normal business dealings at usual trade terms and condition.

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. Anil
Designation :	Accounts Manager
Contact No.:	91-22-40812222
Date :	20.06.2012

LOCATIONS

Registered Office :	301-B, Palm Court Complex, M Building, B wing, 3^rd Floor, Above Dmart, Malad Link Road, Malad (East), Mumbai – 400064, Maharashtra, India
Tel. No.:	91-22-40812222
Fax No.:	91-22-28442644
E-Mail :	dctex@bom7.vsnl.net.in begaria@mtnl.net.in ra@dctex.com finance@dctex.com anil@dctex.com kinikar@dctex.com
Website :	http://www.dctex.com
Location:	Owned
Factory :	Plot No. G/58, MIDC, Tarapur, Thane – 401506, Maharashtra, India
Tel. No.:	91-252-275101 / 276701

DIRECTORS

As on 01.08.2011

Name :	Mr. Manoharlal Dharamchand Arora
Designation :	Director
Address :	D.C. House Road, No. 10, Plot No. 4, Nutan Laxmi Society, JVPD Scheme, Mumbai – 400049, Maharashtra, India
Date of Birth/Age :	01.07.1942
Date of Appointment :	03.05.1999
DIN :	00163773
Name :	Mr. Rajnish M. Arora
Designation :	Director
Address :	D.C. House Road, No. 10, Plot No. 4, Nutan Laxmi Society, JVPD Scheme, Mumbai – 400049, Maharashtra, India
Date of Birth/Age :	23.09.1968
Date of Appointment :	03.05.1999
DIN :	00201764
Name :	Mr. Nimish Manoharlal Arora
Designation :	Managing Director
Address :	D.C. House Road, No. 10, Plot No. 4, Nutan Laxmi Society, JVPD Scheme, Mumbai – 400049, Maharashtra, India
Date of Birth/Age :	17.12.1972
Date of Appointment :	03.05.1999
DIN :	00054001
Name :	Mrs. Veena Manoharlal Arora
Designation :	Director
Address :	D.C. House Road, No. 10, Plot No. 4, Nutan Laxmi Society, JVPD Scheme, Mumbai – 400049, Maharashtra, India
Date of Birth/Age :	15.12.1943
Date of Appointment :	03.05.1999
DIN :	00163737

KEY EXECUTIVES

Name :	Mr. Anil
Designation :	Accounts Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 01.08.2011

Names of Shareholders	No. of Shares
Manoharlal D. Arora	127200
Veena Manoharlal Arora	127200
Rajnish M. Arora	127200
Nimish M. Arora	127200
Manohar Processors Private Limited, India	500
Manoharlal D. Arora (HUF)	100
Nimish Arora (HUF)	100
Rajnish Arora (HUF)	100
Total	509600

Equity Share Break up (Percentage of Total Equity)

As on 01.08.2011

Category	Percentage
Bodies corporate	0.10
Directors or relatives of directors	99.90
Total	100.00

BUSINESS DETAILS

Line of Business :

Suppliers of Upholstery Fabrics, Embroidery Fabrics, Curtain Fabrics, Beddings, Cushions, Curtains etc.

Products :

Products Description	ITC Code No.
MAN MADE FABRICS	540761
MAN MADE EMBROIDERY FABRICS	581092
MAN MADE CHENILLE FABRICS	580190
VELVET	580134

Exports :

Products :

· Upholstery Fabrics

· Embroidery Fabrics

· Curtain Fabrics

· Beddings

· Cushions

· Curtains

Countries :

· USA

· UK

GENERAL INFORMATION

No. of Employees :

120 Approximately [in office]

Bankers :

· Union Bank of India, Goregaon (East) Branch, 172/73, Shri Sadan, Shantaben Estate, Goregaon (East), Mumbai – 400063, Maharashtra, India

· Standard Chartered Bank, Standard Chartered Tower, 201, B/1, Western Express Highway, Goregaon (E), Mumbai - 400063, Maharashtra, India

Facilities :

Secured Loan	Rs in Millions 31.03.2011	Rs in Millions 31.03.2010
Rupee Term Loans Banks Secured	262.930	107.160
Foreign Currency Loans Banks Secured	23.756	130.693
Working Capital Loans Banks Secured	302.873	130.691
Loans Taken For Vehicles Secured	2.800	4.476
Other Debt Secured	30.600	0.000
Interest Accrued Due Other Debt Secured	5.531	1.032
Total	628.490	374.052
Notes: · TERM LOANS : From Banks - Union Bank Of India In Rupees – · WORKING CAPITAL LOANS : From Banks - Union Bank Of India Packing Credit in Foreign Currency · WORKING CAPITAL LOANS : From Banks - Union Bank Of India a) Cash Credit in Rupees 20,016,486 b) Bill Discounting in Rupees 126,914,362 c) Packing Credit in Rupees 155,942,739 · CAR LOANS: From Financial Institutions From HDFC Bank Limited · MORTGAGE LOANS : From Financial Institutions Dhanlaxmi Bank Limited · TERM LOANS : From Banks - Union Bank Of India
Unsecured Loan	Rs in Millions 31.03.2011	Rs in Millions 31.03.2010
Loans directors unsecured	72.737	59.695
TOTAL	72.737	59.695

Notes:

LONG TERM LOANS From Directors, Relatives and Others: Mr. Manoharlal Arora - Rs. 34.303 Millions Mr. Nimish Arora - Rs.10.647 Millions Mr. Rajjnish Aroraa - Rs. 13.229 Millions Mrs. Veena Arora - Rs. 14.557 Millions

Banking Relations :	--
Auditors :
Name :	Bagaria and Company Chartered Accountants
Address :	101, Tripta Sadan Shantawadi, J P Road, Andheri West, Mumbai – 400058, Maharashtra, India
Tel. No.:	91-22-26209952 / 26289266
E-Mail :	bagaria@mtnl.net.in
PAN No.:	AAGFB9902N
Related Parties :	D. C. Synthetics Private Limited CIN No.: U99999MH1981PTC024438 Bellevue Traders Private Limited CIN No.: U51420MH2001PTC130979 Dicitex Lifestyle Private Limited CIN No.: U17110MH2004PTC145216 Dicitex Home Furnishings Private Limited CIN No.: U18101MH2000PTC126317

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
510,000	Equity Shares	Rs.100/- each	Rs.51.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
509,600	Equity Shares	Rs.100/- each	Rs.50.960 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		50.960	50.960	50.960
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		224.125	216.030	213.939
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		275.085	266.990	264.899
LOAN FUNDS
1] Secured Loans		628.490	374.052	277.205
2] Unsecured Loans		72.737	59.695	79.045
TOTAL BORROWING		701.227	433.747	356.250
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		976.312	700.737	621.149
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		642.163	438.793	287.266
Capital work-in-progress		8.268	13.256	76.811
INVESTMENT		23.675	23.650	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	167.966	98.027	87.201
	Sundry Debtors	157.192	124.687	207.491
	Cash & Bank Balances	1.476	1.817	1.148
	Other Current Assets	79.686	57.161	0.000
	Loans & Advances	197.953	201.798	76.908
Total Current Assets		604.273	483.490	372.748
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	170.032	120.023	82.466
	Current Liabilities	19.219	8.706	20.853
	Provisions	112.816	129.723	12.357
Total Current Liabilities		302.067	258.452	115.676
Net Current Assets		302.206	225.038	257.072
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		976.312	700.737	621.149

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	1288.951	978.942	1056.700
		Other Income	118.133	127.837	122.223
		TOTAL (A)	1407.084	1106.779	1178.923
Less	EXPENSES
		Consumption materials changes inventories	884.724	746.383	258.972
		Manufacturing service costs	149.267	129.494	79.633
		Employee related expenses	75.704	62.631	82.173
		Administrative selling other expenses	156.449	94.467	648.005
		TOTAL (B)	1266.144	1032.975	1108.824
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		140.940	73.804	70.099
Less	FINANCIAL EXPENSES (D)		50.048	24.001	5.814
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		90.892	49.803	64.285
Less/ Add	DEPRECIATION/ AMORTISATION (F)		82.526	46.378	39.179
	PROFIT BEFORE TAX (E-F) (G)		8.366	3.425	25.106
Less	TAX (I)		0.271	1.334	8.755
	PROFIT AFTER TAX (G-I) (J)		8.095	2.091	16.351
	Excess / (Short) Provision of Previous Year		0.000	0.000	(7.111)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		216.030	213.939	204.699
	BALANCE CARRIED TO THE B/S		224.125	216.030	213.939
	EARNINGS IN FOREIGN CURRENCY
	Export Sales		894.503	771.217	924.700
	Others			0.036	0.052
	TOTAL EARNINGS		894.503	771.253	924.752
	IMPORTS
		Raw Materials	NA	41.500	28.400
		Stores & Spares		8.300	11.900
		Capital Goods		85.000	3.400
	TOTAL IMPORTS		NA	134.800	43.700
	Earnings Per Share (Rs.)		15.89	4.10	18.13

Particulars	31.03.2012
Sales Turnover [Approximately]	1440.000 Million

Expected Sales (2012-2013) : Rs.1600.000 millions

-

The above information has been parted by Mr. Anil

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	0.58	0.19	1.39
Net Profit Margin (PBT/Sales)	(%)	0.65	0.35	2.38
Return on Total Assets (PBT/Total Assets}	(%)	0.67	0.37	3.80
Return on Investment (ROI) (PBT/Networth)		0.03	0.01	0.09
Debt Equity Ratio (Total Liability/Networth)		3.65	2.59	1.78
Current Ratio (Current Asset/Current Liability)		2.00	1.87	3.22

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	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	No
18) Major customers	No
19) Payments terms	Yes
20) Export / Import details (if applicable)	Yes
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

SUNDRY CREDITORS

Rs in Millions

Particulars	31.03.2011	31.03.2010	31.03.2009
Sundry Creditors
- Due Others	170.032	120.023	82.466

NOTE:

The registered office address of the company has been shifted from “Palm Court, M Building, B’ Wing, 2^nd Floor, Above D’Mart, Malad (West), Mumbai – 400064, Maharashtra, India” to the present address w.e.f. 10.03.2008

RESULTS OF OPERATION

During the financial year, the Turnover of the Company was Rs. 1328.300 Millions as against Rs. 1022.600 Millions in the previous year. The Company has achieved the growth of 30% as compared to decline of 6% in the turnover in previous year. The increase in turnover is due to the huge spending on sales promotional activities on Pan India basis. Taking the effect, the Profit after tax for the year has gone upto Rs. 8.095 Millions as against Rs. 2.092 Millions.

CONTINGENT LIABILITIES

Rs in Millions

Particulars	31.03.2011	31.03.2010
Indemnity for guarantees given by bank	8.000	3.300
Guarantee given for letter of credit	22.486	130.674
Guarantee given for related parties	745.101	806.979
Disputed income tax	9.613	8.188
Disputed excise demands	0.965	0.965
Other contingent liabilities	66.358	26.684
Note: Financial Guarantees: Rs. 8.000 Millions The Income-Tax assessments of the Company have been completed upto the Assessment Year 2007-08. The disputed demand outstanding upto the said Assessment Year is Rs. 12.086 Millions. Based on the decisions of the Appellate authorities and the interpretations of other provisions, the Company has been legally advised that the demand is likely to be either deleted or substantially reduced and accordingly no provision has been made. The disputed Excise duty and service tax payable is shown under contingent liabilities because based on the decisions of the Appellate audthorities and the interpretations of other relavant provisions, the Company has been legally advised that the demand is likely to be either deleted or subtantially reduced and accordingly no provision has been made Export obligation on a/c of import of capital goods under EPCG scheme

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U17120MH1999PTC119692
Name of the company	DICITEX FURNISHINGS LIMITED
Address of the registered office or of the principal place of business in India of the company	301-B, Palm Court Complex, M Building, B wing, 3^rd Floor, Above Dmart, Malad Link Road, Malad (East), Mumbai – 400064, Maharashtra, India
This form is for	Creation if charge
Type of charge	Immovable Property Any interest in immovable property
Particular of charge holder	Standard Chartered Bank, Standard Chartered Tower, 201, B/1, Western Express Highway, Goregaon (E), Mumbai - 400063, Maharashtra, India E-mail : amitavijay1994@gmail.com
Nature of instrument creating charge	Memorandum of entry
Date of instrument Creating the charge	22.05.2012
Amount secured by the charge	Rs.40.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interests: Variable, Base Rate + 2.55%, Current Base Rate 9.75%, Applicable Interest Rate 12.30% Terms of repayment: Repayable in 144 months Margin: 48.75% of market value of property. Extent and Operation of the charge: First and exclusive charge Others As per facility letter
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Unit No. 202. 2nd Floor, B- Wing, Palm Court Complex, M- Building, Link Road, Malad (West), Mumbai – 400064, Maharashtra, India

FIXED ASSETS:

• Plant and Machinery
• Electrical Installation
• Computers
• Vehicles
• Furniture and Fixtures
• Factory Building
• Leasehold Land

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.55.86
UK Pound	1	Rs.87.93
Euro	1	Rs.70.88

INFORMATION DETAILS

Information Gathered by :	JML
Report Prepared by :	BSN

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	6
--LIQUIDITY	1~10	6
--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		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.