MIRA INFORM REPORT

Report Date :

04.05.2012

IDENTIFICATION DETAILS

Name :	PRATEEK APPARELS PRIVATE LIMITED
Registered Office :	# 113, Krishna Reddy Industrial Area, 7^th Mile, Kudlu Gate, Hosur Road, Bangalore-560068, Karnataka
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	10.01.1995
Com. Reg. No.:	08-016925
Capital Investment/ Paid-up Capital:	Rs.210.000 Millions
CIN No.: [Company Identification No.]	U85110KA1995PTC016925
TAN No.: [Tax Deduction & Collection Account No.]	BLRP01095D/ BLRP01087C
PAN No.: [Permanent Account No.]	AAACP7190B
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacture and Trading Of Garments And Also Trading Of Fabrics
No. of Employees:	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 4226000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is a well established company having satisfactory track. Profitability of the company appears to be low. However, networth of company appears to be satisfactory. 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/Corporate Office :	# 113, Krishna Reddy Industrial Area, 7^th Mile, Kudlu Gate, Hosur Road, Bangalore-560068, Karnataka, India
Tel. No.:	91-80-42815301/5400
Fax No.:	91-80-42815314
E-Mail :	srinathsairam@prateekapparels.com enquiry@prateekapparels.com
Website :	http://www.prateekapparels.com
Area :	5000 sq. ft.
Location :	Rented
Factory:	· Manufacturing facilities in Bangalore · Manufacturing facilities in Hubli

DIRECTORS

As on 28.09.2011

Name :

Mr. Sanjay Gopal Dalmia

Designation :

Additional Director

Address :

B -708, , Raheja Residency, III Block Koramangala, Bangalore 560 034, Karnataka, India

Date of Birth/Age :

07.10.1975

Date of Appointment :

14.01.2006

Din No.:

01401883

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	U05131KA1995PTC016999	PRATEEK GARMENTS PRIVATE LIMITED	Director	29/09/2001	29/09/2001	-	Strike off	NO
2	U17119GJ1992PTC017888	PRATEEK REALTY PRIVATE LIMITED	Director	3/3/2002	3/3/2002	24/08/2009	Amalgamated	NO
3	U05190KA2004PTC034048	MUNCH DESIGN WORKSHOP PRIVATE LIMITED	Director	31/05/2004	31/05/2004	3/12/2009	Active	NO
4	U92100MH2000PTC127419	NFC ALUMINA PRIVATE LIMITED	Director	3/8/2004	3/8/2004	1/12/2009	Strike off	NO
5	U85110KA1995PTC016925	PRATEEK APPARELS PRIVATE LIMITED	Director	14/01/2006	14/01/2006	-	Active	NO
6	U18101KA2004PTC034700	HUBLI APPARELS PRIVATE LIMITED	Director	29/09/2007	16/03/2007	-	Amalgamated	NO
7	U51500KA2007PLC042306	PRATEEK LIFESTYLE LIMITED	Director	30/03/2007	30/03/2007	-	Amalgamated	NO
8	U17120KA2007PTC044555	PRAKANZ TEX PRIVATE LIMITED	Director	4/12/2007	4/12/2007	-	Strike off	NO
9	U18101KA2007PLC043877	PRATEEK SPINTEX LIMITED	Director	15/09/2011	10/9/2010	-	Active	NO
10	U93000MH2007PTC173879	PRASAR VISIONS PRIVATE LIMITED	Director	17/09/2011	6/5/2011	20/03/2012	Active	NO

Name :

Mr. Raghu Anni Hegde

Designation :

Director

Address :

B -110, Raheja Residency 3^rd, Jakkasandra Block, Koramangala, Bangalore – 560034, Karnataka, India

Date of Birth/Age :

18.03.1966

Date of Appointment :

18.05.2005

Din No.:

00187905

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	U85110KA1995PTC016925	PRATEEK APPARELS PRIVATE LIMITED	Director	18/05/2005	18/05/2005	-	Active	NO
2	U51500KA2007PLC042306	PRATEEK LIFESTYLE LIMITED	Director	27/09/2008	21/07/2008	-	Amalgamated	NO
3	U18101KA2007PLC043877	PRATEEK SPINTEX LIMITED	Director	15/09/2011	10/9/2010	-	Active	NO
4	U18101KA2011PTC057857	BILTEEK FASHIONS PRIVATE LIMITED	Director	25/03/2011	25/03/2011	-	Active	NO

Name :

Mr. Pradeep Phulchand Agarwal

Designation :

Chairman

Address :

Plot No.4 Villa B Pochkhanwala Road,Worli Sea, Face Worli, Mumbai – 400030, Maharashtra, India

Date of Birth/Age :

27.06.1963

Date of Appointment :

28.02.2007

Din No.:

00026779

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	U51900MH1983PTC030776	PHULCHAND EXPORTS Private LIMITED	Director	6/9/1983	6/9/1983	1/11/2010	Active	NO
2	L45309GJ1988PLC011139	ADVANCE LIFESTYLES LIMITED	Managing director	1/10/2009	30/09/1991	26/10/2009	Active	NO
3	U63040MH1998PTC115275	RIGHTCHOICE TOURS - N - TRAVELS PRIVATE LIMITED	Director	16/10/1999	16/10/1999	-	Active	NO
4	U05190KA2004PTC034048	MUNCH DESIGN WORKSHOP PRIVATE LIMITED	Director	31/05/2004	31/05/2004	3/12/2009	Active	NO
5	U85110KA1995PTC016925	PRATEEK APPARELS PRIVATE LIMITED	Director	30/09/2007	28/02/2007	-	Active	NO
6	U51500KA2007PLC042306	PRATEEK LIFESTYLE LIMITED	Director	30/03/2007	30/03/2007	-	Amalgamated	NO
7	U93000MH2007PTC173879	PRASAR VISIONS PRIVATE LIMITED	Director	6/9/2007	6/9/2007	26/10/2010	Active	NO
8	U18101KA2007PLC043877	PRATEEK SPINTEX LIMITED	Director	14/09/2007	14/09/2007	10/9/2010	Active	NO
9	U17120KA2007PTC044555	PRAKANZ TEX PRIVATE LIMITED	Director	4/12/2007	4/12/2007	-	Strike off	NO
10	U29100MH1982PTC026181	CHANDRA PRABHA ENGINEERS PRIVATE LIMITED	Additional director	1/9/2009	1/9/2009	15/01/2010	Active	NO
11	U45309MH1982PTC026170	STEEFAB ENGINEERING COMPANY PRIVATE LIMITED	Additional director	1/9/2009	1/9/2009	21/12/2009	Active	NO

Name :

Sujit Govindrao Parsatwar

Designation :

Director

Address :

301 B, Evrest Cleo Patra Park Road, Vile Parle, Mumbai-400052, Maharashtra, India

Date of Birth/Age :

30.10.1963

Date of Appointment :

28.02.2007

Din No.:

01174288

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	U85110KA1995PTC016925	PRATEEK APPARELS PRIVATE LIMITED	Director	30/09/2007	28/02/2007	-	Active	NO
2	U61100MH2002PLC135732	SEVEN ISLANDS SHIPPING LIMITED	Additional director	29/07/2010	29/07/2010	22/09/2010	Active	NO
3	U93000MH2007PTC173879	PRASAR VISIONS PRIVATE LIMITED	Director	26/10/2010	26/10/2010	20/03/2012	Active	NO
4	U05190KA2004PTC034048	MUNCH DESIGN WORKSHOP PRIVATE LIMITED	Director	24/09/2011	15/08/2011	-	Active	NO

Name :

Mr. Uttam Rao Kale

Designation :

Director

Address :

X 703, Adarsh Palm Retrea, Outer RG Road, Devarabisanahalli, Bangalore-560103, Karnataka, India

Date of Birth/Age :

26.02.1968

Date of Appointment :

01.01.2011

Din No.:

03402973

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	U85110KA1995PTC016925	PRATEEK APPARELS PRIVATE LIMITED	Director	28/09/2011	1/1/2011	-	Active	NO
2	U18101KA2011PTC057857	BILTEEK FASHIONS PRIVATE LIMITED	Director	25/03/2011	25/03/2011	-	Active	NO

Name :

Mr. Anantapadmanabhan Anantaram Sarma

Designation :

Nominee director

Address :

ENP 20 704, Evershine, Thakur Village, Kandivali (East) Mumbai – 400101, Maharashtra, India

Date of Birth/Age :

24.10.1960

Date of Appointment :

18.07.2011

Din No.:

00624900

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	U65992MH1993NPL074024	ASSOCIATION OF INVESTMENT BANKERS OF INDIA	Director	29/09/2005	29/09/2005	14/01/2008	Active	NO
2	U67190MH1999PLC120866	SIDBI VENTURE CAPITAL LIMITED	Whole-time director	12/7/2011	12/7/2011	-	Active	NO
3	U65991MH1999PLC120867	SIDBI TRUSTEE COMPANY LIMITED	Additional director	12/7/2011	12/7/2011	-	Active	NO
4	U29299PN1998PTC114575	KRAFT POWERCON INDIA PRIVATE LIMITED	Nominee director	18/07/2011	18/07/2011	-	Active	NO
5	U31902KA2007PTC044766	HHV SOLAR TECHNOLOGIES PRIVATE LIMITED	Nominee director	26/09/2011	18/07/2011	-	Active	NO
6	U85110KA1995PTC016925	PRATEEK APPARELS PRIVATE LIMITED	Nominee director	28/09/2011	18/07/2011	-	Active	NO
7	U71110DL2000PTC189230	CARZONRENT (INDIA) PRIVATE LIMITED	Additional director	14/09/2011	14/09/2011	-	Active	NO
8	U31909GJ1994PLC022605	CHAMPION AGRO LIMITED	Nominee director	24/09/2011	24/09/2011	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Srinath G. Reddy
Designation :	Secretary
Address :	8 9 187, Sainil Ayam Gatti Geriexl 11 Stage, Heml Rajarajeshwari Nggar, Bangalore-560098, Karnataka, India
Date of Birth/Age :	02.01.1963
Date of Appointment :	10.04.2008
Pan No.:	ACYPR4892H

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 29.09.2010

Names of Shareholders	No. of Shares
Pradeep Phulchand Agarwal	5330000
Spana Pradeep Agarwal	950000
Prateek Pradeep Agarwal	580000
Parameshwri Devi Agarwal	480000
Phulchand Exports Limited, India	6960000
SIDBI Trustee Company Limited NA, India	4000000
Phulchand Agarwal	1200000
Rivian International Private Limited, India	500000
Jhunj Hunuwala NL	100000
Pramod Panduranga Timblo	500000
Seven Island Shipping Limited, India	400000
Total	21000000

As on 28.09.2011

Equity Share Break - up

Category	Percentage
Venture Capital	19.05
Bodies corporate	37.43
Directors or relatives of directors	40.66
Others	2.86
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacture and Trading Of Garments And Also Trading Of Fabrics
Brand Nemes:	· LOCOMOTIVE · HIGHLANDER · MARK TAYLOR · BLACK COFFEE · VISHUDH · TOKYO TALKIES

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

Canara Bank, Prime Corporate Branch II, Varma Chambers, 2^nd Floor, Homji Street, Fort, Mumbai – 400001, Maharashtra

Facilities :

Rs.in Millions

SECURED LOAN	31.03.2011	31.03.2010
From Banks
Rupee term loans banks secured	243.147	5.380
Working capital loans banks secured	603.989	549.929
Other debt secured	0.609	0.122
Interest accrued due other debt secured	7.628	4.097
Total	855.373	559.528
UNSECURED LOAN	31.03.2011	31.03.2010
Loans directors unsecured	0.000	0.500
Total	0.000	0.500

Banking Relations :	--
Auditors :
Name :	Walker Chandiok and Company Chartered Accountants
Address :	Wings, First Floor, 16/1, Cambridge Road, Halasur, Bangalore-560008, Karnataka, India
Tel. No.:	91-80-42430700
Mobile No.:	91-80-41261228
E-Mail :	bengaluru@wcgt.in
Pan No.:	AAAFW4298E
Subsidiaries :	Prateek Spintex Limited CIN No.: (U18101KA2007PLC043877) Munch Desing Workshop Private CIN No.: Limited (U05190KA2004PTC034048) Prakanz Tex Private Limited CIN No.: (U17120KA2007PTC044555) Phulchand Exports Private Limited CIN No.: (U51900MH1983PTC030776) Prateek Garments Private Limited CIN No.: (U05131KA1995PTC016999)

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
27000000	Equity Shares	Rs.10/- each	Rs.270.000 Millions
1500000	Preference Shares	Rs.100/- each	Rs.150.000 Millions
Total			Rs.420.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
21000000	Equity Share	Rs.10/- each	Rs.210.00 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		210.000	210.000	210.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		846.562	826.273	864.556
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		1056.562	1036.273	1074.556
LOAN FUNDS
1] Secured Loans		855.373	559.528	497.046
2] Unsecured Loans		0.000	0.500	1.400
TOTAL BORROWING		855.373	560.028	498.446
DEFERRED TAX LIABILITIES		4.143	6.399	37.860
TOTAL		1916.078	1602.700	1610.862
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		512.398	443.249	473.136
Capital work-in-progress		18.718	22.134	18.469
INVESTMENT
DEFERREX TAX ASSETS		12.409	1.651	1.651
		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	1005.021	848.340	904.809
	Sundry Debtors	702.482	496.510	360.427
	Cash & Bank Balances	28.540	34.007	12.748
	Other Current Assets	10.029	0.772	0.441
	Loans & Advances	503.662	404.773	355.347
Total Current Assets		2249.734	1784.402	1633.772
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	554.633	403.215	440.798
	Other Current Liabilities	297.422	226.636	58.471
	Provisions	25.126	18.885	16.897
Total Current Liabilities		877.181	648.736	516.166
Net Current Assets		1372.553	1135.666	1117.606
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		1916.078	1602.700	1610.862

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
SALES
	Income	3563.000	2144.900	2290.700
	Other Income	43.500	34.000	34.800
	TOTAL	3606.500	2178.900	2325.500
EXPENSES
	Office Expenses
	Administrative Expenses	3537.100	2124.600	2270.500
	Advertising Expenses
	TOTAL
PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		69.400	54.300	55.000
FINANCIAL EXPENSES		0.000	0.000	0.000
PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		69.400	54.300	55.000
DEPRECIATION/ AMORTISATION		50.400	37.700	51.000
PROFIT AND LOSS BEFORE INCOME TAX		19.000	16.600	4.000
Prior period Items		0.000	(87.100)	1.300
PROFIT BEFORE TAX		19.900	(70.600)	2.700
TAX		(1.289)	(31.500)	12.200
PROFIT/LOSS AFTER TAX		20.289	(38.300)	(9.500)
PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		53.800	92.100	118.300
BALANCE CARRIED TO THE B/S		74.100	53.800	108.800
EARNINGS IN FOREIGN CURRENCY
	Export Earnings	NA	9.176	10.722
TOTAL EARNINGS
IMPORTS
	Accessories	14.463	7.287	9.339
	Capital Goods	6.432	2.641	0.000
	Stores & Spares	0.041	0.598	0.000
	Raw Materials	0.332	0.000	0.142
TOTAL IMPORTS		21.268	10.526	9.481
Earnings Per Share (Rs.)		0.97	(1.82)	0.45

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	0.56	(1.76)	(0.41)
Net Profit Margin (PBT/Sales)	(%)	0.56	(3.29)	0.12
Return on Total Assets (PBT/Total Assets}	(%)	0.72	(3.17)	0.13
Return on Investment (ROI) (PBT/Networth)		0.02	(0.07)	0.00
Debt Equity Ratio (Total Liability/Networth)		1.64	1.17	0.94
Current Ratio (Current Asset/Current Liability)		2.56	2.75	3.17

LOCAL AGENCY FURTHER INFORMATION

Check List by Info Agents	Available in Report [Yes/No]
Year of Establishment	Yes
Locality of the Firm	Yes
Construction of the firm	Yes
Premises details	Yes
Type of Business	Yes
Line of Business	Yes
Promoters background	Yes
No. of Employees	No
Name of Person Contacted	No
Designation of contact person	No
Turnover of firm for last three years	Yes
Profitability for last three years	Yes
Reasons for variation <> 20%	-
Estimation for coming financial year	No
Capital the business	Yes
Details of sister concerns	Yes
Major Suppliers	No
Major Customers	No
Payment Terms	No
Export / Import Details [If Applicable]	No
Market Information	-
Litigations that the firm / promoter involved in	-
Banking Details	Yes
Banking Facility Details	Yes
Conduct of the banking account	-
Buyer visit details	-
Financials, if provided	Yes
Incorporation details, if applicable	Yes
Last accounts filed at ROC	Yes
Major Shareholders, if applicable	Yes

NOTE:

The registered office of the company has been shifted from Madhuvan Vihar, No. 703, 1^st Floor, 3^rd Block, 6^th ‘B’ Cross, Near BDA Shopping Complex, Koramangala, Bangalore-560034, Karnataka, India to the present address w.e.f. 01.03.2010

The company is currently in business of manufacturing of Garment and Retail.

Manufacturing of Garments:

Prateek Apparels operates with 5 dedicated manufacturing facilities in Bangalore and one manufacturing facility in Hubli.

Retail Division:

Prateek Apparel Private. Limited. is currently into two format of Retail:

Coupon:

Retail Store Large format with the Branded store name of “ COUPON”Multi Brand discount Store of all Lifestyle product

Fashion Square :

F-Square is a unique concept of delivering fast fashion at a value prices to consumers through a wide spread network of neighborhood stores. F-Square stores are spread across residential areas, high streets, malls and discount destinations

The Economy

It may be pre-mature to conclude that global economy is leading towards double dip recession. However, the global economic crisis appears now to be deep rooted. Eurozone is struggling hard to tackle sovereign debt crisis. Recent downgrading of US credit rating is yet another blow. It will have wide ranging effect on developed world and has all the potential to slow down the growth pace of the developing economies which till recently were showing the signs of resilience.

Today Indian economy is also passing through a challenging phase. High inflation, rising prices and higher interest rates have slightly dented the growth momentum.

SUBSIDIARY COMPANIES:

Munch Design Workshop Private Limited , continues to be the Company’s subsidiary

Prateek Spintex Limited ., continues to be the Company’s subsidiary

New Joint Venture Company

Bilteek Fashions Private Limited ., a newly established Joint Venture Company was incorporated on 25 th March 2011.

Bilsar A.S a Turkey based leading corporate group engaged in the business of manufacture, sale and marketing of apparel and accessories;

Bilsar A.S and Prateek Apparels have established 50:50 joint venture companies in India for the purpose of carrying on the business of

Manufacturing premium formal shirts by setting up a manufacturing facility at Doddaballapur Apparel Park, Bangalore Rural, India.

REVIEW OF OPERATIONS AND FUTURE PROSPECTS :

The Company’s total revenue on consolidated basis Rs.3606.500 Millions and profit before depreciation Rs.69.400 Millions and profit before Income Tax is Rs.19.000 Millions

The Company is quite hopeful that the coming quarters will see better sales and performance of the Company.

Web Site Details:

Prateek Apparels Private Limited was incorporated in the year 1995; since then, it has accomplished huge milestones and also gained repute in the industry. Headquartered in Bangalore, it is the leading mid - sized apparel manufacturing company from the Phulchand Group of Companies. The Phulchand Group has various other businesses such as exports, trading in minerals and metals and real estate.

Prateek is the biggest manufacturing house for some of the best brands globally. . With six manufacturing units located in Bangalore and Hubli dedicated to producing huge numbers of branded apparels, Prateek is the largest manufacturer catering to the Indian market for branded apparels

Milestones:

A growth of an enterprise is measured through its milestones. Prateek Apparels has come a long way to its current stature by adding bit by bit of substantial resources to create a presence that’s enviable in the market

1995 - The UNIT I of Prateek Apparels Private Limited is launched thereby giving a head start to the company

2001 - UNIT II operations commenced.

2003 - UNIT III operations commenced

2004 -UNIT IV operations commenced.

2007- Acquisition of Hubli Apparels Private Limited

Launch of Coupon malls at Bangalore and Raipur

2009- F Square Retail launched

2011- Venture with Bilsar, Turkey and commencement of Bilteek

Pradeep Agarwal, Chairman and MD

Pradeep Agarwal, the Managing Director of Phulchand Exports Limited (PEL) and Prateek Apparels Limited. (PAPL), is a second generation entrepreneur from Mumbai who has taken their family business to new frontiers of growth.

Under his reign, PEL has been recognized as a ‘Golden Trading House’ by the GOI (2000). In its glorious , and successful journey over the years, PEL has also been conferred the Indira Gandhi Priyadarshni Award (1997), the APEDA Award (1995) and the TEXICOM Award (1975-76), for its performance in various verticals. PEL deals in Agro Products, Textiles, Minerals and Metals, Chemicals and Engineering and Projects and has business interests in Hong Kong, Shanghai, Moscow, London, Oman and CIS countries. On account of Mr. Agarwal’s visionary efforts Prateek Apparels Limited was incorporated in 1995.
He has been instrumental in initiating a joint venture to a garment manufacturing firm with Calida, AG, Switzerland; this being the first of its kind in India

Sanjay Dalmia – President

Sanjay Dalmia, is a young and dynamic individual with focus and vision, working efficaciously toward expanding PAPL to achieve greater success. A commerce graduate from the University of Calcutta, Mr. Dalmia, is known for his bold and strategic vision. To his credit, Mr. Dalmia is the change leader who is responsible for the transformation of Prateek Apparels from an apparel manufacturer to a leading end to end service provider of branded apparels for the Indian retail apparel industry. His emphasis and focus on customer service and satisfaction have created unique brand proposition for Prateek

Uttam Rao Kale – CEO

Uttam Rao, the CEO of Prateek Apparels is one of the key members looking into every important aspect of the manufacturing department. A graduate of Bangalore University, he has 16 years of work experience behind him. He brings a keen understanding of the branded apparel business and implements successful marketing strategies for the company. His ability in combining together deals and landing marquee customers is one of his notable strengths. He leads the team with his focused vision and strategic inputs.

Sujit G. P.

Sujit G. Parsatwar a Chartered Accountant by qualification is a reputed professor of CA, ICWA, ICSI in Poddar College of Commerce and Economics, Mumbai. He has vast experience in taxation, and bank finance. His past experience has been as an auditor to a prestigious group in the field of taxation. He also was a noted consultant of finance and management to various companies. He has been involved in assignments relating to taxation, project report, working capital finance and Statutory Audit. He drives the field of Working Capital Finance, Project Report, Financial Management and Taxation and Audit in Prateek Apparels

Bankers Charges Report as per Registry

Corporate identity number of the company	U85110KA1995PTC016925
Name of the company	PRATEEK APPARELS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	# 113, Krishna Reddy Industrial Area, 7^th Mile, Kudlu Gate, Hosur Road, Bangalore-560068, Karnataka, India Email: srinathsairam@prateekapparels.com
This form is for	Modification of charge
Type of charge	· Book Debs · Movable Property (not being pledge) · Others
Particular of charge holder	Canara Bank, Prime Corporate Branch II, Varma Chambers, 2^nd Floor, Homji Street, Fort, Mumbai – 400001, Maharashtra, India Email:suyashri@vsnl.com
Nature of description of the instrument creating or modifying the charge	Second Supplemental Joint Deed of Hypothecation (SJDH) Second Supplemental Working Capital Consortium Agreement (SWCC) Both dated 29.03.2012 modifying a single charge
Date of instrument Creating the charge	29.03.2012
Amount secured by the charge	Rs.1060.000 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest : As per sanction letter No. PCB-II/CR 231/S-7692/2011 dated 28.07.2011 issued by Canara Bank and BOB/CFS/ADV/19/754 Dated 08.12.2011 issued by BOB or as stipulated by bank from time to time. Terms of Repayment: As per sanction letter No.PCB-II/CR 231/S-7692/2011 dated 28.07.2011 issued by Canara Bank and BOB/CFS/ADV/19/754 Dated 08.12.2011 issued by BOB or as stipulated by bank from time to time. Margin: As per sanction letter No.PCB-II/CR 231/S-7692/2011 dated 28.07.2011 issued by Canara Bank and BOB/CFS/ADV/19/754 Dated 08.12.2011 issued by BOB or as stipulated by bank from time to time. Extent and Operation of the charge: Bank of Baroda. (BOB), CFS Br. Bangalore joined the Consortium in place of Laxmi Vilas Bank Limited (LVB) and taken over limits agg. To Rs.270.000 Millions granted by LVB. The Credit facilities granted by Consortium remains at Rs.1060.000 Millions (i.e. CB – Rs.790.000 Millions and BOB – Rs.270.000 Millions) des. In 1^st Sch to SJDH. The security by hypo of Current Assets viz Sock, Book Debts etc. and movable Fixed Assets etc. given earlier, des in 2^nd Sch. TO SJDH shall continue as security for the relocated limits Rs.1060.000 Millions Others: Canara Bank is designated as the Lead Bank of the CB Consortium consisting of Canara Bank and The Lakshmi Vilas Bank Limited
Short particulars of the property charged	Hypo. of stocks of RM, SIP, SF, FG lying at Co's premises or godowns at Bangalore or elsewhere and the Coupon Store and F Square Store and stocks at all Retail Outlets of the Company des. in Sch. to JDH. Hypo. of present and future Receivables, Book Debts etc. due and owing to the Company in the course of its business. Hypo. of present and future movable Fixed Assets, having WDV of Rs.340.000 Millions as per ABS 31.03.2010 lying at Co's premises or elsewhere or in transit.
Date of last modification prior to the present modification	26.08.2011
Particulars of the present modification	Bank of Baroda. (BOB), CFS Br. Bangalore joined the Consortium in place of Laxmi Vilas Bank Limited (LVB) and taken over limits agg. To Rs.270.000 Millions granted by LVB. The Credit facilities granted by Consortium remains at Rs.1060.000 Millions (i.e. CB – Rs.790.000 Millions and BOB – Rs.270.000 Millions) des. In 1^st Sch to SJDH. The security by hypo of Current Assets viz Sock, Book Debts etc. and movable Fixed Assets etc. given earlier, des in 2^nd Sch. TO SJDH shall continue as security for the relocated limits Rs.1060.000 Millions

FIXED ASSETS:

· Tangible Assets

· Lease hold Land

· Lease hold Improvement

· Pant and Machinery

· Office Equipment

· Computers

· Furniture Fixtures

· Vehicles

· Intangible Assets

· Brand Building

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.52.24
UK Pound	1	Rs.84.14
Euro	1	Rs.69.98

INFORMATION DETAILS

Report Prepared by :

BYI

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	5
--LIQUIDITY	1~10	5
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		45

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.