MIRA INFORM REPORT

Report Date :

01.09.2012

IDENTIFICATION DETAILS

Name :	SHREEJI PRINTS PRIVATE LIMITED
Registered Office :	Plot No. 412, GIDC Industrial Estate, Pandesara, Surat-394221, Gujarat
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	07.12.1984
Com. Reg. No.:	04-007472
Capital Investment / Paid-up Capital :	Rs.7.500 Millions
CIN No.: [Company Identification No.]	U17119GJ1984PTC007472
TAN No.: [Tax Deduction & Collection Account No.]	SRTS00415C
PAN No.: [Permanent Account No.]	AADCS1502M
Legal Form :	Private Limited Liability Company
Line of Business :	Subject is engaged in the business of Processing of Man Made Fabrics (MMF) on Job Work Basis and Production and Sale of Power.
No. of Employees :	Information denied by the management.

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 350000
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.

INDIAN ECONOMIC OVERVIEW

India is developing into an open-market economy, yet traces of its past autarkic policies remain. Economic liberalization, including industrial deregulation, privatization of state-owned enterprises, and reduced controls on foreign trade and investment, began in the early 1990s and has served to accelerate the country's growth, which has averaged more than 7% per year since 1997. India's diverse economy encompasses traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. Slightly more than half of the work force is in agriculture, but services are the major source of economic growth, accounting for more than half of India's output, with only one-third of its labor force. India has capitalized on its large educated English-speaking population to become a major exporter of information technology services and software workers. In 2010, the Indian economy rebounded robustly from the global financial crisis - in large part because of strong domestic demand - and growth exceeded 8% year-on-year in real terms. However, India's economic growth in 2011 slowed because of persistently high inflation and interest rates and little progress on economic reforms. High international crude prices have exacerbated the government's fuel subsidy expenditures contributing to a higher fiscal deficit, and a worsening current account deficit. Little economic reform took place in 2011 largely due to corruption scandals that have slowed legislative work. India's medium-term growth outlook is positive due to a young population and corresponding low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy. India has many long-term challenges that it has not yet fully addressed, including widespread poverty, inadequate physical and social infrastructure, limited non-agricultural employment opportunities, scarce access to quality basic and higher education, and accommodating rural-to-urban migration.

Source : CIA

RBI DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

INFORMATION DECLINED BY

Name :	Mr. Bhalesh Mehta
Designation :	Senior Accounts Manager
Contact No.:	91-9825118315
Date :	30.08.2012

LOCATIONS

Registered Office :	Plot No. 412, GIDC Industrial Estate, Pandesara, Surat-394221, Gujarat, India
Tel. No.:	91-261-2891411/2891412/2891505
Mobile No.:	91-9825118315 [Mr. Bhalesh Mehta]
Fax No.:	91-261-2893738
E-Mail :	ranjitkejriwalcs@gmail.com

DIRECTORS

AS ON 06.09.2011

Name :	Mr. Jaiprakash Dwarikaprasad Agarwal
Designation :	Director
Address :	301, Pooja Abhishek Athwalines, Surat, Gujarat, India
Date of Birth/Age :	16.12.1945
Date of Appointment :	01.11.1994
Din No.:	00007064
Voter Id No.:	GJ/24/171/1537758
Name :	Mr. Sanjay Jaiprakash Agarwal
Designation :	Director
Address :	301, Pooja Abhishek Athwalines, Surat, Gujarat, India
Date of Birth/Age :	10.07.1967
Date of Appointment :	01.07.1994
Din No.:	00004361
Name :	Mr. Anil Dwarikaprasad Agarwal
Designation :	Director
Address :	7-C, Raj Vaibhav Apartment, Athwalines, Surat, Gujarat, India
Date of Birth/Age :	06.03.1958
Date of Appointment :	01.04.2004
Din No.:	00004773

KEY EXECUTIVES

Name :	Mr. Bhalesh Mehta
Designation :	Senior Accounts Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 06.09.2011

Names of Shareholders	No. of Shares
Sanjay Jaiprakash Agarwal	2145
Jaiprakash Dwarikaprasad Agarwal	281
Savitridevi Agarwal	550
Vandanadevi Agarwal	740
Kanishka Agarwal	2565
Jaiprakash Dwarikaprasad Agarwal HUF	25
Sanjay Jaiprakash Agarwal HUF	948
Anil Dwarikaprasad Agarwal	1
Akanksha Agarwal	245
TOTAL	7500

AS ON 06.09.2011

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

BUSINESS DETAILS

Line of Business :

Subject is engaged in the business of Processing of Man Made Fabrics (MMF) on Job Work Basis and Production and Sale of Power.

Products :

PRODUCT DESCRIPTION	ITEM CODE
Dyed and Printed Man Made Fabrics	54075409

PRODUCTION STATUS [AS ON 31.03.2011]

Licensed Capacity / Installed Capacity	As on 31.03.2011
Processing Unit	Not Applicable
Windmill Unit	14016000 KWH

Actual Production / Dispatched	As on 31.03.2011
Power Unit (KWH)	2125250
Processing Unit (MTS)
Dyed Fabrics	9326253
Printed Fabrics	41775334

GENERAL INFORMATION

No. of Employees :

Information denied by the management.

Bankers :

• HDFC Bank Limited, HDFC Bank House, Senapati Bapat Marg, Lower Parel (West) Mumbai-400013, Maharashtra, India
• Canara Bank, Overseas Branch, Ring Road, Surat-395002, Gujarat, India

Facilities :

Secured Loan	As on 31.03.2011 [Rs. in Millions]	As on 31.03.2010 [Rs. in Millions]
From HDFC Bank
Term Loan [Secured against hypothecation of plant and machineries and equitable mortgage of assets of the company along with personal guarantee of the directors]	84.323	94.180
Working Capital Facility [Secured against hypothecation of stocks and book debts and equitable mortgage of assets of the company along with personal guarantee of the directors]	68.309	32.251
Hire Purchase Facility [Secured against hypothecation of vehicles]	0.103	0.511
Interest Accrued on Loan	0.569	0.665
From Kotak Mahindra Prime Limited Hire Purchase Facility [Secured against hypothecation of vehicles]	0.000	0.733
TOTAL	153.304	128.340
Unsecured Loan	As on 31.03.2011 [Rs. in Millions]	As on 31.03.2010 [Rs. in Millions]
Form Directors, Shareholders and their Relatives	69.138	109.237
Form Body Corporate	17.627	10.840
TOTAL	86.765	120.077

Banking Relations :	--
Auditors :
Name :	SNK and Company Chartered Accountants
Address :	SNK House, 31-A, Adarsh Society, Athwalines, Surat-395001, Gujarat, India
Tel. No.:	91-261-2656273/4/6544791/2/3299540/47
Fax No.:	91-261-2656868
E-Mail :	snk@snkca.com snk@youtele.com
Website :	http://www.snkca.com
Pan No.:	AAJFS8455L
Related Parties :	Rachna Sarees Private Limited Poonam Infra Build Private Limited Rachna Fabrics Priyal Fashions Rachna Silk Mills Rachna Art Prints Private Limited City Plus Fun World Private Limited

CAPITAL STRUCTURE

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
7500	Equity Shares	Rs.1000/- each	Rs.7.500 Millions
7500	Preferences Shares	Rs.1000/- each	Rs.7.500 Millions
	Total		Rs.15.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
7500	Equity Shares	Rs.1000/- each	Rs.7.500 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		7.500	7.500	7.500
2] Share Application Money		19.700	0.000	31.475
3] Reserves & Surplus		62.625	48.276	30.756
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		89.825	55.776	69.731
LOAN FUNDS
1] Secured Loans		153.304	128.340	143.704
2] Unsecured Loans		86.765	120.077	94.980
TOTAL BORROWING		240.069	248.417	238.684
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		329.894	304.193	308.415
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		225.705	219.011	221.282
Capital work-in-progress		2.649	11.124	2.445
INVESTMENT		0.020	0.021	0.021
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	17.922	16.268	16.136
	Sundry Debtors	151.005	139.368	103.197
	Cash & Bank Balances	3.873	2.170	1.335
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	49.170	53.397	48.102
Total Current Assets		221.970	211.203	168.770
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	111.178	122.498	69.440
	Other Current Liabilities	0.244	0.003	4.970
	Provisions	9.028	14.665	9.693
Total Current Liabilities		120.450	137.166	84.103
Net Current Assets		101.520	74.037	84.667
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		329.894	304.193	308.415

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income		657.963	580.963
		Other Income	756.808	8.576	1.047
		Increase and Decrease in Stocks		0.563	0.225
		TOTAL (A)	756.808	667.102	582.235
Less	EXPENSES
		Materials		254.260	222.868
		Manufacturing and Operating Expenses	684.386	306.122	272.871
		Sales and Administrative Expenses		26.320	20.212
		TOTAL (B)	684.386	586.702	515.951
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		72.422	80.400	66.284
Less	FINANCIAL EXPENSES (D)		13.059	16.437	15.890
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		59.363	63.963	50.394
Less/ Add	DEPRECIATION/ AMORTISATION (F)		41.426	41.984	43.450
	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		17.937	21.979	6.944
Less	TAX (H)		3.588	4.379	0.931
	PROFIT / (LOSS) AFTER TAX (G-H) (I)		14.349	17.600	6.013
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		NA	23.256	15.922
	PREVIOUS YEAR ADJUSTMENT		NA	(0.080)	0.630
	MAT CREDIT RECEIVABLES		NA	0.000	0.691
	BALANCE CARRIED TO THE B/S		NA	40.776	23.256
	Earnings / (Loss) Per Share (Rs.)		1913.22	2346.67	801.73

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	1.90	2.64	1.03
Net Profit Margin (PBT/Sales)	(%)	NA	3.34	1.20
Return on Total Assets (PBT/Total Assets}	(%)	4.00	6.17	1.78
Return on Investment (ROI) (PBT/Networth)		0.20	0.39	0.10
Debt Equity Ratio (Total Liability/Networth)		4.01	6.91	4.63
Current Ratio (Current Asset/Current Liability)		1.84	1.54	2.00

LOCAL AGENCY FURTHER INFORMATION

DETAILS OF SUNDRY CREDITORS:

Particulars	31.03.2011 (Rs. in millions)	31.03.2010 (Rs. in millions)	31.03.2009 (Rs. in millions)
Sundry Creditors
For Goods	59.835	86.477	27.331
For Expenses	51.343	36.021	42.109
TOTAL	111.178	122.498	69.440

Sr. No.	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	No
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	No
20]	Export / Import details (if applicable)	No
21]	Market information	--
22]	Litigations that the firm / promoter involved in	--
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
31]	PAN of Proprietor/Partner/Director, if available	No
32]	Date of Birth of Proprietor/Partner/Director, if available	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	Yes
34]	External Agency Rating, if available	No

PROSPECTS FOR THE CURRENT YEAR:

Unless some contingency arises, the directors are hopeful to achieve better results in the current year of operation.

BANKERS CHARGES REPORT AS PER REGISTRY

This form is for	Modification of charge
Charge identification number of the modified	10237438
Corporate identity number of the company	U17119GJ1984PTC007472
Name of the company	SHREEJI PRINTS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Plot No. 412, GIDC Industrial Estate, Pandesara, Surat-394221, Gujarat, India
Type of charge	Immovable Property
Particular of charge holder	HDFC Bank Limited, HDFC Bank House, Senapati Bapat Marg, Lower Parel (West) Mumbai-400013, Maharashtra, India Email: rbbform8@hdfcbank.com
Nature of description of the instrument creating or modifying the charge	Memorandum Recording Past Transactions of Creation of Mortgage by Deposit of Title Deeds.
Date of instrument Creating the charge	10.04.2012
Amount secured by the charge	Rs.443.399 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest Interest as stipulated in the Bank's Sanction Letter. Terms of Repayment Repayment of Loan as stipulated in Bank's Sanction Letter. Margin Margin as stipulated in the Bank's Sanction Letter. Extent and Operation of the charge The Company accorded and gave oral consent to Bank to continue to hold and retain the title deeds (by way of Constructive delivery) in respect of its immovable properties as security for repayment of Rs.443.399 Millions granted by bank to the Borrowers together with principal, interest, liquidated damages, costs, charges and expenses.
Short particulars of the property charged	All land and building with present and future structure thereon Property bearing Plot No.411 admeasuring 9885.66 sq meter in pandesara Industrial Estate of "Gujarat Industrial Development *** Corporation" situated at Revenue Survey No.144 paiki + 145 paiki within the village limit of Vadod, Tal Choriyasi, Dist Surat. All land and building with present and future structure thereon Property bearing Plot No.412/A admeasuring 5824 sq meter in pandesara Industrial Estate of "Gujarat Industrial *** Development Corporation" situated at Revenue Survey No.137 paiki + 145 paiki within the village limit of Vadod, Tal Choriyasi, Dist Surat.
Date of latest modification prior to the present modification	21.10.2011
Particulars of the present modification	The charge shall now stand reduced from Rs.469.583 Millions to Rs.443.399 Millions, in favour the Bank against the equitable mortgage of immovable properties being lying and situated at Surat.

FIXED ASSETS:

• Land
• Factory Building
• Boiler Shed
• Plant and Machinery
• Weighing Scale
• Office Equipments
• Computer
• Furniture and Fixtures
• Delivery Vans
• Motor Car
• Scooters

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.55.72
UK Pound	1	Rs.89.95
Euro	1	Rs.69.65

INFORMATION DETAILS

Information Gathered by :	SVA
Report Prepared by :	TPT

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	5
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	5
--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	YES
--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.