MIRA INFORM REPORT

Report Date :

14.03.2012

IDENTIFICATION DETAILS

Name :	VALUE LINE TRADEPRIVATE LIMITED
Registered Office :	8-2-93/82/A/706/1, Fortune Bay, 4^th Floor, Road No. 36, Jubilee Hills, Hyderabad 500033, Andhra Pradesh
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	08.03.2001
Com. Reg. No.:	036352
Capital Investment / Paid-up Capital :	Rs.11.771 millions
CIN No.: [Company Identification No.]	U29305AP2001PTC036352
TAN No.: [Tax Deduction & Collection Account No.]	HYDV00895G
Legal Form :	Private Limited Liability Company
Line of Business :	Distributor of Sanitary Ware and Bathroom Fittings
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (29)

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

Maximum Credit Limit :	USD 89700
Status :	Moderate
Payment Behaviour :	Slow but Correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. Profitability of the company appears to be low. However, trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. 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

LOCATIONS

Registered Office :	8-2-93/82/A/706/1, Fortune Bay, 4^th Floor, Road No. 36, Jubilee Hills, Hyderabad 500033, Andhra Pradesh, India
Tel. No.:	91-40-23554474
Fax No.:	91-40-23554476
E-Mail :	info@valueline.in

DIRECTORS

AS ON 29.09.2011

Name :	Mr. Narinder Anand
Designation :	Director
Date of Birth/Age :	13.11.1966
Date of Appointment :	08.03.2001
DIN No.:	00143621

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	U52334AP1986PLC006939	Revelairy Industries Limited	Director	04/05/2000	04/05/2000	-	Strike off	NO
2	U29305AP2001PTC036352	Value Line Trade Private Limited	Managing director	08/03/2001	08/03/2001	-	Active	NO
3	L18100AP1981PLC003199	Samrat Spinners Limited	Director	14/06/2001	14/06/2001	-	Dormant	NO

Name :	Mr. Vengala Nagakesava Reddy
Designation :	Director
Date of Birth/Age :	01.06.1967
Date of Appointment :	03.08.2009
DIN No.:	01625745

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	U17110AP1998PLC030343	Endeavour Industries Limited	Director	29/09/2007	08/06/2007	-	Active	NO
2	U51909AP2000PTC034057	Godavari Exports And Imports Private Limited	Director	25/07/2008	25/07/2008	-	Active	NO
3	U65910AP1991PTC012216	Siva Sai Finance And Leasing Pvt. Ltd.	Director	25/07/2008	25/07/2008	-	Active	YES
4	U70102AP1990PTC011773	Indus Creators Private Limited	Director	29/09/2009	29/09/2008	-	Active	NO
5	U65990AP2000PTC033357	Bhagyanagar Investments And Trading Private Limited	Director	29/09/2009	02/02/2009	-	Active	NO
6	U65910AP1999PLC033042	Prime Infoinvest Limited	Additional director	16/03/2009	16/03/2009	-	Active	NO
7	U21011AP1999PTC033172	Tejaswini Engineering Private Limited	Director	29/09/2009	29/06/2009	-	Active	NO
8	U85110KA1996PLC019875	Metcoke Industries Limited	Director	30/09/2009	30/07/2009	-	Active	NO
9	U24239AP2000PLC035648	Platina Health Tourism Limited	Additional director	03/08/2009	03/08/2009	-	Dormant	NO
10	U29305AP2001PTC036352	Value Line Trade Private Limited	Additional director	03/08/2009	03/08/2009	-	Active	NO
11	U65910AP2000PTC033358	Golkonda Finance And Trading Private Limited	Additional director	15/04/2010	15/04/2010	-	Active	NO
12	U28112AP2011PTC072691	Radiance Steel Trading Private Limited	Director	18/02/2011	18/02/2011	-	Active	NO

Name :	Mrs. Usha Vakkalanka
Designation :	Director
Date of Birth/Age :	05.07.1976
Date of Appointment :	21.03.2011
DIN No.:	03483219

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 29.09.2011

Names of Shareholders	No. of Shares
Narinder Anand	970000
Ramakrishna Medasani	192700
Suseelakumar Y	14450
Total	1177150

AS ON 29.09.2011

Equity Share Breakup		Percentage of Holding
Category
Directors or relatives of directors		100.00
	Total	100.00

BUSINESS DETAILS

Line of Business :

Distributor of Sanitary Ware and Bathroom Fittings

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

UCO Bank, 8-2-627, Durga Towers, Ground Floor, Road No 10, Banjara Hills, Hyderabad – 500034, Andhra Pradesh

Facilities :

Rs. In Millions

SECURED LOAN	31.03.2011	31.03.2010
Cash Credit (Secured by hypothecation of stocks, book debts and personal guarantee of directors)	15.686	14.479
Buyers Credit	11.565	0.000
Vehicle Loans (Secured by hypothecation of vehicles)	0.827	1.574
Total	28.079	16.053
UNSECURED LOAN
Loans from Others	1.000	1.000
Loan – Director	4.600	2.600
Total	5.600	3.600

Banking Relations :	--
Auditors :
Name :	Raghavachari and Company Chartered Accountant
Address :	6-3-596/ 48 / 5, Venkataraman Colony, Khairatabad, Hyderabad 500004, Andhra Pradesh, India
Associates/Subsidiaries :	Nil

CAPITAL STRUCTURE

AS ON 29.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
1200000	Equity Shares	Rs. 10 each	Rs.12.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1177150	Equity Shares	Rs. 10 each	Rs.11.771 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		11.771	11.771	11.771
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		10.654	9.694	8.918
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		22.425	21.465	20.689
LOAN FUNDS
1] Secured Loans		28.079	16.053	25.271
2] Unsecured Loans		5.600	3.600	1.000
TOTAL BORROWING		33.679	19.653	26.271
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		56.104	41.118	46.960
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		6.316	7.947	8.848
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.550	0.401	0.186
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	55.175	37.108	47.385
	Sundry Debtors	19.224	22.793	28.724
	Cash & Bank Balances	0.028	0.695	0.044
	Other Current Assets	3.907	1.397	0.000
	Loans & Advances	11.742	7.174	9.917
Total Current Assets		90.076	69.167	86.070
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	13.478	11.417	11.854
	Other Current Liabilities	26.783	24.418	35.077
	Provisions	0.577	0.562	1.213
Total Current Liabilities		40.838	36.397	48.144
Net Current Assets		49.238	32.770	37.926
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		56.104	41.118	46.960

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2011	31.03.2010	31.03.2009
	SALES	119.723	93.282	141.452
	DEPRECIATION/ AMORTISATION	1.631	1.975	2.003
	PROFIT BEFORE TAX	1.389	1.123	2.793
Less	TAX	0.577	0.347	1.103
	PROFIT AFTER TAX	0.812	0.776	1.690
	Earnings Per Share (Rs.)	0.68	--	--

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	NA	NA	NA
Net Profit Margin (PBT/Sales)	(%)	1.16	1.20	1.97
Return on Total Assets (PBT/Total Assets}	(%)	1.44	1.45	2.94
Return on Investment (ROI) (PBT/Networth)		0.06	0.05	0.13
Debt Equity Ratio (Total Liability/Networth)		3.32	2.61	3.59
Current Ratio (Current Asset/Current Liability)		2.20	1.90	1.78

LOCAL AGENCY FURTHER INFORMATION

EXPANSION AND GROWTH PLANS

The Company is determined to make all efforts to continue and further increase the existing turnovers by instilling confidence in its consumers towards the company and by continuing the feel good confidence of the customers towards the company which is forged over the years and will be further strengthened. Efforts are continued to be made and steps are being taken to widen the sales net work and open new market outlets for the company's products and to increase the range and brand of products.

FIXED ASSETS:

· Computers

· Office Equipments

· Transformer

· Furniture

· Air Conditioner

· Interior

· Car

· Vehicle – Commercial

FORM 8

Corporate identity number of the company	U29305AP2001PTC036352
Name of the company	VALUE LINE TRADEPRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	8-2-93/82/A/706/1, Fortune Bay, 4^th Floor, Road No. 36, Jubilee Hills, Hyderabad 500033, Andhra Pradesh, India
This form is for	Modification of charge
Type of charge	Book debts Movable property (not being pledge)
Particular of charge holder	UCO Bank, 8-2-627, Durga Towers, Ground Floor, Road No 10, Banjara Hills, Hyderabad – 500034, Andhra Pradesh Email: ucobh@sancharnet.in
Nature of instrument creating charge	Corporate Guarantee agreement dated 24.12.2011 for securing Credit Facilities availed by M/s. Value Line Homestyle Private Limited
Date of instrument Creating the charge	24.12.2011
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 interest Nil Terms of repayment Nil Margin Nil Extent and operation of the charge Corporate Guarantee Other Nil
Short particulars of the property charged (Including location of the property)	Stocks and Book Debts
Particulars of the present modification	Corporate Guarantee for securing Credit Facilities enhanced from Rs.30.000 millions to Rs.40.000 millions availed by M/s Value Line Homestyle Private Limited

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.49.84
UK Pound	1	Rs.77.97
Euro	1	Rs.65.61

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
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		29

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.