MIRA INFORM REPORT

Report Date :

31.03.2012

IDENTIFICATION DETAILS

Name :	S S C SHOES PRIVATE LIMITED
Registered Office :	New 55 (Old 29), EVK Sampath Road, Vepery, Chennai – 600007, Tamilnadu
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	23.04.1977
Com. Reg. No.:	18-007307
Capital Investment / Paid-up Capital :	Rs.28.022 Millions
CIN No.: [Company Identification No.]	U51102TN1977PTC007307
TAN No.: [Tax Deduction & Collection Account No.]	CHES01394B
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Shoes, Shoe Leather, Sheep Leather, Ladies and Mens Shoes.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ca (12)

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track. There appears huge accumulated losses recorded by the company. Profitability of the company is under pressure. However, trade relations are reported as fair. Business is active. Payments are reported to be slow. The company can be considered for business dealings on a secured 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 :	New 55 (Old 29), EVK Sampath Road, Vepery, Chennai – 600007, Tamilnadu, India
Tel. No.:	91-44-25611431/ 25610682/ 25612372/ 25611145/ 25611349/ 25389782
Fax No.:	91-44-25610462/ 25611658
E-Mail :	finance@sscgrp.com leathers@sscgrp.com shoes@sscgrp.com admin@sscgrp.com
Website :	http://www.sscgrp.com

DIRECTORS

(AS ON 30.09.2011)

Name :

Mr. Nathersa Mohamed Sayeed

Designation :

Managing Director

Address :

29 EVK Ampath Road, Vepery, Chennai – 600007, Tamilnadu, India

Date of Birth/Age :

09.08.1936

Date of Appointment :

23.04.1977

DIN No.:

01740001

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U51102TN1977PTC007307	S S C SHOES PRIVATE LIMITED	Managing director	23/04/1977	23/04/1977	Active	NO
2	U18209TN1986PTC013074	BONAVENTURE SHOES PRIVATE LIMITED	Director	3/6/1986	3/6/1986	Active	NO
3	U19119TN1989PLC016997	AMBUR TANNERY EFFLUENT TREATMENT COMPANY LIMITED	Managing director	20/09/2010	8/3/1989	Active	NO
4	U45203TN2001NPL047485	AMBUR ECONOMIC DEVELOPMENT ORGANISATION	Director	23/07/2001	23/07/2001	Active	NO

Name :

Mr. Shafeeq Nathersa Ahmed

Designation :

Director

Address :

16 Barnaby Road, Kilpauk, Chennai – 600010, Tamilnadu, India

Date of Birth/Age :

21.03.1959

Date of Appointment :

01.10.1984

DIN No.:

00419355

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U51102TN1977PTC007307	S S C SHOES PRIVATE LIMITED	Director	1/10/1984	1/10/1984	Active	NO
2	U18209TN1986PTC013074	BONAVENTURE SHOES PRIVATE LIMITED	Managing director	3/6/1986	3/6/1986	Active	NO
3	U73100TN1993GAP026146	AMBUR FDDI SHOE TECHNOLOGY CENTRE	Director	3/11/1993	3/11/1993	Active	NO
4	U91110TN2004PTC053638	CONSORTIUM OF SHOE MANUFACTURERS PRIVATE LIMITED	Director	5/7/2004	5/7/2004	Active	NO
5	U74999MH2006PTC165053	ASAP FASHION PRIVATE LIMITED	Director	6/10/2006	6/10/2006	Active	NO
6	U15400TN2010PTC074570	GREEN AURA ORGANICS PRIVATE LIMITED	Additional director	10/3/2011	11/2/2010	Active	NO

Name :

Mr. Medekar Intisar Mohamed

Designation :

Whole Time Director

Address :

22, Venugopal Avenue, Spurtank Road, Chetpet, Chennai – 600031, Tamilnadu, India

Date of Birth/Age :

20.04.1979

Date of Appointment :

01.04.2005

Date of Ceasing :

10.10.2011

DIN No.:

02644657

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	U51102TN1977PTC007307	S S C SHOES PRIVATE LIMITED	Whole-time director	1/4/2005	1/4/2005	10/10/2011	Active	NO
2	U18209TN1986PTC013074	BONAVENTURE SHOES PRIVATE LIMITED	Whole-time director	1/4/2005	1/4/2005	10/10/2011	Active	NO
3	U18104TN2011PTC079524	SAMAARA LEATHERS PRIVATE LIMITED	Director	8/3/2011	8/3/2011	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 30.09.2011)

Names of Shareholders	No. of Shares
Nathersa Mohamed Sayeed	14527
Mehrunnisa Begum	69398
Shafeeq Nathersa Ahmed	180276
N Parveen Banu	3746
N Nasreen Banu	3737
N Jabeen Banu	3790
N Yasmeen Banu	3746
Thaseen Fatima	1000

(AS ON 30.09.2011)

Equity Shares Break – up

Category	Percentage
Directors or relatives of directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Shoes, Shoe Leather, Sheep Leather, Ladies and Mens Shoes.

PRODUCTION STATUS (AS ON 31.03.2011)

Particulars	Actual Production
Shoe Upper	66,752
Full Shoes	67,491

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· State Bank of India

· Indian Bank

· Indian Overseas Bank

Facilities :

Secured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Packing Credit Loan	18.995	40.889
Foreign Bills Discount – LC	6.498	7.260
SBI – FDBL – Non LC Bills	10.000	35.000
SBI – Working Capital Term Loan (A/c)	43.008	0.000
Total	78.501	83.149
Unsecured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
N. Shafeeq Ahmed – Managing Director	7.445	7.495
Total	7.445	7.495

Banking Relations :	--
Auditors :
Name :	R. Venktaramani and Associates Chartered Accountant
Address :	No.13 (Old No.7), Thiru VI KA 3^rd Street Royapettah High Road, Mylapore, Chennai – 600004, Tamilnadu, India
PAN No.:	AADFR1923Q
Associates :	· Shafeeq Shameel and Company · Bona Venture Shoes Private Limited

CAPITAL STRUCTURE

(AS ON 30.09.2011)

Authorised Capital :

No. of Shares	Type	Value	Amount
300000	Equity Share	Rs.100/- each	Rs.30.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
280520	Equity Share	Rs.100/- each	Rs.28.052 Millions

(AS ON 31.03.2011)

Authorised Capital :

No. of Shares	Type	Value	Amount
300000	Equity Share	Rs.100/- each	Rs.30.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
280220	Equity Share	Rs.100/- each	Rs.28.022 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		28.022	28.022	28.022
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		4.490	4.490	4.490
4] (Accumulated Losses)		(80.218)	(78.071)	(24.807)
NETWORTH		(47.706)	(45.559)	7.705
LOAN FUNDS
1] Secured Loans		78.501	83.149	98.176
2] Unsecured Loans		7.445	7.495	0.000
TOTAL BORROWING		85.946	90.644	98.176
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		38.240	45.085	105.881
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		17.686	20.489	23.599
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		2.854	2.854	2.854
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	41.963	45.037	102.505
	Sundry Debtors	9.616	10.697	41.372
	Cash & Bank Balances	1.392	1.093	5.235
	Other Current Assets	1.377	0.328	4.622
	Loans & Advances	38.932	34.097	21.446
Total Current Assets		93.280	91.252	175.180
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	75.308	69.169	95.231
	Other Current Liabilities	0.000	0.000	0.000
	Provisions	0.272	0.341	0.521
Total Current Liabilities		75.580	69.510	95.752
Net Current Assets		17.700	21.742	79.428
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		38.240	45.085	105.881

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		TOTAL (A)	62.890	71.713	123.773
Less	EXPENSES
		TOTAL (B)	65.037	110.947	158.822
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		(Including Financial Expenses)	(39.234)	(35.049)
Less	FINANCIAL EXPENSES (D)			10.905	9.831
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		0.471	(50.139)	(44.880)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		2.618	3.125	3.695
	PROFIT BEFORE TAX (E-F) (G)		(2.147)	(53.264)	(48.575)
Less	TAX (H)		0.000	0.000	(0.271)
	PROFIT AFTER TAX (G-H) (I)		(2.147)	(53.264)	(48.304)
	EARNINGS IN FOREIGN CURRENCY		40.953	44.403	83.761
	Earnings Per Share (Rs.)		(7.66)	(172.38)	(172.19)

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	(3.41)	(74.27)	(39.03)
Return on Total Assets (PBT/Total Assets}	(%)	(1.93)	(47.67)	(24.44)
Return on Investment (ROI) (PBT/Networth)		0.05	1.17	(6.30)
Debt Equity Ratio (Total Liability/Networth)		(3.39)	(3.52)	25.17
Current Ratio (Current Asset/Current Liability)		1.23	1.31	1.83

LOCAL AGENCY FURTHER INFORMATION

FIXED ASSETS:

· Land

· Building – Factory

· Plant and Machinery

· Electrical Installations

· Office Equipment

· Computers

· Vehicles Heavy

· Vehicle Light

· Furniture and Fittings

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.51.16
UK Pound	1	Rs.81.80
Euro	1	Rs.68.34

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	2
PAID-UP CAPITAL	1~10	2
OPERATING SCALE	1~10	2
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	1
--PROFITABILIRY	1~10	1
--LIQUIDITY	1~10	1
--LEVERAGE	1~10	1
--RESERVES	1~10	1
--CREDIT LINES	1~10	1
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		12

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.