MIRA INFORM REPORT

Report Date :

17.03.2012

IDENTIFICATION DETAILS

Name :	MODEL TANNERS (INDIA) PRIVATE LIMITED
Registered Office :	Sultan Tanners, Sultan Villa, Purani Chungi, Jajmau Road, Jajmau, Kanpur - 208010, Uttar Pradesh
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	28.01.1994
Com. Reg. No.:	20-017108
Capital Investment / Paid-up Capital :	Rs.10.275 Millions
CIN No.: [Company Identification No.]	U19113UP1994PTC017108
TAN No.: [Tax Deduction & Collection Account No.]	KPM01228D / KNPM01582A
PAN No.: [Permanent Account No.]	AAACM9319D
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer, Exporters and Traders of Blended Leather, Finished Leather, Leather Goods, Hide and Skins, Saddlery Items etc.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (48)

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

Maximum Credit Limit :	USD 1400000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an 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 normal for business dealings at usual trade terms 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

LOCATIONS

Registered Office :	Sultan Tanners, Sultan Villa, Purani Chungi, Jajmau Road, Jajmau, Kanpur - 208010, Uttar Pradesh, India
Tel. No.:	91-512-2461644 / 2460694 / 2462125
Fax No.:	91-512-2460170 / 2462579
E-Mail :	ca_rntiwari@rediffmail.com bajpai.subodh@rediffmail.com

DIRECTORS

As on 30.09.2011

Name :

Mr. Marghoob Alam

Designation :

Director

Address :

Model Tannery, Jajmau, Kanpur - 208010, Uttar Pradesh, India

Date of Birth/Age :

15.11.1952

Date of Appointment :

28.10.1994

DIN No.:

00412370

Other Directotrship

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	U17109UP1994PTC017107	MODEL ECHOES PRIVATE LIMITED	Director	28/10/1994	28/10/1994	-	Active	YES
2	U19113UP1994PTC017108	MODEL TANNERS (INDIA) PRIVATE LIMITED	Director	28/10/1994	28/10/1994	-	Active	YES
3	U19201UP1999PLC024999	INYATI FOOTWEARS LIMITED	Director	20/07/2010	24/12/1999	-	Active	YES
4	U51109WB2006PTC107547	MIGRATE VYAPAAR PRIVATE LIMITED	Director	3/8/2009	3/8/2009	-	Active	NO

Name :

Mr. Maqsood Alam

Designation :

Director

Address :

Model Tannery, Jajmau, Kanpur - 208010, Uttar Pradesh, India

Date of Birth/Age :

01.06.1953

Date of Appointment :

28.10.1994

DIN No.:

00412414

Other Directotrship

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	U19113UP1994PTC017108	MODEL TANNERS (INDIA) PRIVATE LIMITED	Director	28/10/1994	28/10/1994	-	Active	YES
2	U17109UP1994PTC017107	MODEL ECHOES PRIVATE LIMITED	Director	28/10/1994	28/10/1994	-	Active	YES
3	U14104UP1995PTC017475	MODELAGE PET PRODUCTS PRIVATE LIMITED	Director	25/01/1995	25/01/1995	-	Active	YES
4	U19201UP1999PLC024999	INYATI FOOTWEARS LIMITED	Director	20/07/2010	24/12/1999	-	Active	YES
5	U90002UP1991NPL013823	UNNAO TANNERIES POLLUTION CONTROL COMPANY	Director	28/03/2001	28/03/2001	-	Active	NO
6	U90009UP2002NPL026495	BANTHAR INDUSTRIAL POLLUTION CONTROL COMPANY	Director	20/02/2002	20/02/2002	-	Active	NO
7	U45208UP2005NPL029731	INDUSTRIAL INFRASTRUCTURE SERVICES (INDIA)	Director	30/03/2005	30/03/2005	-	Active	NO
8	U19115UP2008PLC041646	KANPUR - UNNAO LEATHER CLUSTER DEVELOPMENT COMPANY LIMITED	Director	8/5/2008	11/4/2008	-	Active	NO
9	U25199UP2008PTC035637	MODEL KINGS SAFETYWEAR LIMITED	Director	7/7/2008	7/7/2008	-	Active	YES
10	U51109WB2006PTC107547	MIGRATE VYAPAAR PRIVATE LIMITED	Director	3/8/2009	3/8/2009	-	Active	NO
11	U19120UP2011PTC043835	KANPUR TANNERIES ENVIRONMENTAL PROTECTION PRIVATE LIMITED	Director	4/3/2011	4/3/2011	-	Active	NO

Name :

Mr. Moid Alam

Designation :

Director

Address :

Model Tannery, Jajmau, Kanpur - 208010, Uttar Pradesh, India

Date of Birth/Age :

13.04.1955

Date of Appointment :

28.10.1994

DIN No.:

00412460

Other Directotrship

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	U17109UP1994PTC017107	MODEL ECHOES PRIVATE LIMITED	Director	28/10/1994	28/10/1994	-	Active	YES
2	U19113UP1994PTC017108	MODEL TANNERS (INDIA) PRIVATE LIMITED	Director	28/10/1994	28/10/1994	-	Active	YES
3	U19201UP1999PLC024999	INYATI FOOTWEARS LIMITED	Director	20/07/2010	24/12/1999	-	Active	YES
4	U51109WB2006PTC107547	MIGRATE VYAPAAR PRIVATE LIMITED	Director	3/8/2009	3/8/2009	-	Active	NO

Name :

Mr. Mehtab Alam

Designation :

Director

Address :

Model Tannery, Jajmau, Kanpur - 208010, Uttar Pradesh, India

Date of Birth/Age :

11.07.1962

Date of Appointment :

28.10.1994

DIN No.:

00412584

Other Directotrship

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	U17109UP1994PTC017107	MODEL ECHOES PRIVATE LIMITED	Director	28/10/1994	28/10/1994	-	Active	YES
2	U19113UP1994PTC017108	MODEL TANNERS (INDIA) PRIVATE LIMITED	Director	28/10/1994	28/10/1994	-	Active	YES
3	U19201UP1999PLC024999	INYATI FOOTWEARS LIMITED	Director	24/12/1999	24/12/1999	-	Active	YES
4	U51109WB2006PTC107547	MIGRATE VYAPAAR PRIVATE LIMITED	Director	3/8/2009	3/8/2009	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2011

Names of Shareholders	No. of Shares
Marghoob Alam	17100
Maqsood Alam	17100
Moid Alam	17100
Mahmood Alam	17100
Mahtab Alam	17100
Badre Alam	17100
Ahmadi Khatoon	150
Total	102750

As on 01.11.2011

Name of Allottes	No. of Allotted
Marghoob Alam	25000

As on 30.09.2011

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer, Exporters and Traders of Blended Leather, Finished Leather, Leather Goods, Hide and Skins, Saddlery Items etc.

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

• Canara Bank, Overseas Branch, Civil Lines, Kanpur – 208001, Uttar Pradesh, India
• Sate Bank of India, Madame Cama Road, Mumbai – 400021, Maharashtra, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2011	As on 31.03.2010
Rupee Term Loans Banks Secured	276.403	343.621
Total	276.403	343.621
Unsecured Loan	As on 31.03.2011	As on 31.03.2010
Working Capital Loans Others Unsecured	139.140	221.095
Total	139.140	221.095

Banking Relations :	--
Auditors :
Name :	J.Chandra and Company Chartered Accountants
Address :	9/84, Arya Nagar, Kanpur - 208002, Uttar Pradesh, India
Tel. No.:	91-512-2540504
E-Mail :	ca_jchandra@rediffmail.com
PAN.:	AAFPT8357A

CAPITAL STRUCTURE

As on 30.09.2011

Authorised Capital : Rs.75.000 Millions

Issued, Subscribed & Paid-up Capital : Rs.20.275 Millions

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
750000	Equity Shares	Rs.100/- each	Rs.75.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
102750	Equity Shares	Rs.100/- each	Rs.10.275 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		10.275	10.275	10.275
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		342.093	152.993	146.097
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		352.368	163.268	156.372
LOAN FUNDS
1] Secured Loans		276.403	343.621	270.302
2] Unsecured Loans		139.140	221.095	200.896
TOTAL BORROWING		415.543	564.716	471.198
DEFERRED TAX LIABILITIES		0.000	0.000	4.729
Other Liability		4.128	0.000	0.000
TOTAL		772.039	727.984	632.299
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		398.777	203.126	209.560
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		29.798	28.651	29.637
DEFERREX TAX ASSETS		0.000	(4.528)	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	358.199	387.538	274.942
	Sundry Debtors	121.336	184.428	106.104
	Cash & Bank Balances	76.613	74.101	94.789
	Other Current Assets	0.073	0.307	0.000
	Loans & Advances	64.354	95.556	27.200
Total Current Assets		620.575	741.930	503.035
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	0.000	0.000	94.224
	Other Current Liabilities	267.018	233.140	12.462
	Provisions	10.246	8.264	3.511
Total Current Liabilities		277.264	241.404	110.197
Net Current Assets		343.311	500.526	392.838
MISCELLANEOUS EXPENSES		0.153	0.209	0.264
TOTAL		772.039	727.984	632.299

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2011	31.03.2010	31.03.2009
	Profit Before Tax As Per P/L	11.847	10.877	8.819
Add	Depreciation	29.495	28.584	29.556
Add	Preliminary Exp W/off	0.055	0.055	0.000
Less	Exchange Difference	0.000	0.000	11.340
	Profit on Sale of Fixed Asset	0.000	0.000	0.286
	TOTAL EARNINGS	977.097	1.213	454.161
	Total Cash Accruals	41.397	39.516	26.749

KEY RATIOS

PARTICULARS	31.03.2011	31.03.2010	31.03.2009
Debt Equity Ratio (Total Liability/Networth)	1.97	4.94	3.72
Current Ratio (Current Asset/Current Liability)	2.24	3.07	4.56

LOCAL AGENCY FURTHER INFORMATION

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U19113UP1994PTC017108
Name of the company	MODEL TANNERS (INDIA) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Sultan Tanners, Jajmau, Kanpur - 208010, Uttar Pradesh
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	90279988
Type of charge	Book debts Movable property (not being pledge)
Particular of charge holder	Canara Bank, Overseas Branch, Civil Lines, Kanpur – 208001, Uttar Pradesh, India
Nature of instrument creating charge	(i) Supplemental Common Hypothecation Agreement (ii) Pronote
Date of instrument Creating the charge	18.03.2009
Amount secured by the charge	Rs.780.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest (I) On PC/Stand by PC - @ 11.25% per annum (under Exporters Gold card scheme) with monthly rests or at such other rate(s) as may be notified by the Bank to the Borrower from time to time. (ii)On ILC/FLC-@ 10.00% per annum with monthly rests or at such other rate(s) as may be notified by the Bank to the Borrower from time to time. Terms of repayment on demand Margin 25% On PC/stand by PC 10% ILC/FLC/standby Extent and operation of the charge The Company's properties as mentioned hereunder (as per column No. 14) are hypothecated to secure following credit facilities agg.to Rs.780.000 Millions granted by the Bank to the Borrower :- 1 .Packing Credit Rs.250.000 Millions 2.Stand by PC Rs.50.000 Millions 3.FDB/FBE Rs.250.000 Millions 4. Stand by FDB/FBE Rs.50.000 Millions[Sub Limit (NPBLC/ORDERS) Rs.50.000 Millions] 5.ILC/FLC Rs.150.000 Millions 6. Stand by ILC/FLC Rs.30.000 Millions TOTAL RS.780.000 Millions
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Hypothecation of all present and future stocks of raw materials, work in progress, finished goods, manufactured goods and other items of stocks in trade and stores, spares, components, machinery, vehicles, furniture and fixtures of the Borrower and hypo, of all the Borrower's present and future book debts, outstanding monies, receivables, claims, bills, contracts, securities, investments etc. and hypothecation of all plant and machinery of Unit-I & Unit- II of the borrower both present and future.
Date of instrument modifying the charge	28.09.2007
Particulars of the present modification	Various credit facilities granted by the Bank has now been reduced/modified from Rs.892.500 Millions to Rs.780.000 Millions. Therefore, total amount of charge secured against hypothecation of stocks, book debts, plant and machinery etc. as per details mentioned in column No.14 above has now been reduced/modified from Rs.892.500 Millions to Rs.780.000 Millions.

FIXED ASSET

• Generator
• Elecrical
• Equipments
• Plot
• Toyota Innova
• Air Conditioner
• Land
• Furniture and Office Equipment
• Electric and Communication Equipment
• Fire Extingusher
• Plant and Machinery
• Boiler
• Trolly
• Moblie Phones
• Vehicles
• Zerox Machine
• Computer
• Building
• Transformer
• Other Misc. Assets

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.50.31
UK Pound	1	Rs.79.05
Euro	1	Rs.65.83

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	6
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--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	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.