MIRA INFORM REPORT

Report Date :

05.04.2013

IDENTIFICATION DETAILS

Name :	CLASSIC FLOORINGS AND INTERIORS PRIVATE LIMITED
Registered Office :	Ground Floor, Raghuvanshi Mansion, Raghuvanshi Mills Compound, 9-11, Senapati Bapat Marg, Lower Parel, Mumbai – 400013, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	14.08.1995
Com. Reg. No.:	11-091743
Capital Investment / Paid-up Capital :	Rs.9.870 Millions
CIN No.: [Company Identification No.]	U74999MH1995PTC091743
TAN No.: [Tax Deduction & Collection Account No.]	MUMC10296G
PAN No.: [Permanent Account No.]	AAACC1815A
Legal Form :	Private Limited Liability Company
Line of Business :	Trader and Importer of Wooden Floorings.
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 310000
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 – June 30, 2012

Country Name	Previous Rating (31.03.2012)	Current Rating (30.06.2012)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

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.

LOCATIONS

Registered Office :	Ground Floor, Raghuvanshi Mansion, Raghuvanshi Mills Compound, 9-11, Senapati Bapat Marg, Lower Parel, Mumbai – 400013, Maharashtra, India
Tel. No.:	91-22-24976210/ 40476211 / 24976211/ 24976212
Fax No.:	91-22-24976216
E-Mail :	msaraf@classicfloorings.co.in msaraf@squarefoot.co.in sales@squarefoot.co.in sales@classicfloorings.co.in
Website :	http://www.classicfloorings.co.in http://www.squarefoot.co.in
Location :	Rented
Corporate Office :	Padan No 2, Flat No 1, 4 B, Peddar Road, Mumbai – 400026, Maharashtra, India
Tel. No. :	91-22-55606211
Fax No. :	91-22-56606216
E-mail :	sales@classicfloorings.co.in
Showroom :	Located At: · Kochi
Branch Office :	Located At: · Srinagar · Ludhiana · Chandigarh · Dehradun · Delhi · Kanpur · Lucknow · Shillong · Manipur · Jaipur · Udaipur · Ahmedabad · Rajkot · Surat · Baroda · Bhopal · Indore · Kolkata · Bhubaneshwar · Mumbai · Pune · Sangli · Kolhapur · Goa · Visakhapatnam · Hyderabad · Mysore · Mangalore · Bangalore · Chennai · Coimbatore · Cochin · Trivandrum

DIRECTORS

AS ON 28.09.2012

Name :

Mr. Motilal Saraf

Designation :

Managing Director

Address :

601, Divyalok, L D Ruparel Marg, Malabar Hill, Mumbai – 400006, Maharashtra, India

Date of Birth/Age :

01.10.1947

Qualification :

B. Com

Date of Appointment :

14.08.1995

Din No.:

01685519

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	U65929WB1954PTC021485	SARAF INVESTMENT PRIVATE LIMITED	Director	4/4/1967	4/4/1967	Active	NO
2	U01110MH1992PTC066849	ADHUNIK PLANTATIONS PRIVATE LIMITED	Director	20/05/1992	20/05/1992	Active	NO
3	U01110MH1992PTC067254	PRIME PLANTATIONS PRIVATE LIMITED	Director	16/06/1992	16/06/1992	Active	NO
4	U74999MH1995PTC091743	CLASSIC FLOORINGS AND INTERIORS PRIVATE LIMITED	Director	14/08/1995	14/08/1995	Active	NO
5	U24230MH1994PTC080348	RUSCO PHARMA PRIVATE LIMITED	Director	21/11/2007	21/11/2007	Active	NO

Name :

Mr. Abhishek Motilal Saraf

Designation :

Director

Address :

601, Divyalok, L D Ruparel Marg, Malabar Hill, Mumbai – 400006, Maharashtra, India

Date of Birth/Age :

23.06.1976

Qualification :

B. Com

Date of Appointment :

09.04.2005

Din No.:

01685526

Name :

Mr. Gaurav M. Saraf

Designation :

Director

Address :

P-52, Golden Enclave, Air Port Road, Bangalore – 560017, Karnataka, India

Date of Birth/Age :

01.06.1980

Qualification :

B. Com

Date of Appointment :

09.04.2005

Din No.:

01586782

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 28.09.2012

Names of Shareholders	No. of Shares
Motilal Saraf	37600
Saral Saraf (Trustee of Sarla Family Benefit Trust)	28200
Kumkum Bagaria	32900
TOTAL	98700

AS ON 28.09.2012

Equity Share Breakup	Percentage of Holding
Category
Directors or relatives of directors	38.10
Other top fifty shareholders	61.90
TOTAL	100.00

BUSINESS DETAILS

Line of Business :

Trader and Importer of Wooden Floorings.

Products :

PRODUCT DESCRIPTION	ITEM CODE
Parquet Panels	441830
Wood continuously shaped along any of its edges or faces whether or not planned sanded or finger jointed	440910

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· Indusind Bank Limited, 1^st Floor, West Wing, Duparc Trinity, No 17, M G Road, Bangalore - 560001, Karnataka, India

• Indusind Bank Limited, Nariman Point, Mumbai – 400021, Maharashtra, India

Facilities :

Secured Loan	As on 31.03.2012 [Rs. in Millions]	As on 31.03.2011 [Rs. in Millions]
Vehicles Loans From Banks	1.446	1.430
Buyers Credit From Bank	5.803	3.862
TOTAL	7.249	5.292
Unsecured Loan	As on 31.03.2012 [Rs. in Millions]	As on 31.03.2011 [Rs. in Millions]
From Directors	11.162	2.722
TOTAL	11.162	2.722

Banking Relations :	--
Auditors :
Name :	K C Todarwal and Company Chartered Accountant
Address :	605, Maker Chamber V, 6^th Floor, 221, Nariman Point, Mumbai – 400 021, Maharashtra, India
PAN No:	AABPT1549A
Associates/Subsidiaries :	Chemsworth Private Limited

CAPITAL STRUCTURE

AS ON 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
100000	Equity Shares	Rs.100/- each	Rs.10.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
98700	Equity Shares	Rs.100/- each	Rs.9.870 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2012	31.03.2011	31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		9.870	9.870	0.105
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		67.828	54.995	51.805
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		77.698	64.865	51.910
LOAN FUNDS
1] Secured Loans		7.249	5.292	0.000
2] Unsecured Loans		11.162	2.722	5.787
TOTAL BORROWING		18.411	8.014	5.787
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		96.109	72.879	57.697
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		15.549	14.061	5.990
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.407	0.407	0.385
DEFERREX TAX ASSETS		1.684	1.478	1.352
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	91.377	79.728	69.351
	Sundry Debtors	55.198	56.908	47.091
	Cash & Bank Balances	10.792	7.677	4.633
	Other Current Assets	8.249	8.732	5.650
	Loans & Advances	7.937	8.727	26.115
Total Current Assets		173.553	161.772	152.840
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	22.074	29.257	44.734
	Other Current Liabilities	73.010	75.582	42.321
	Provisions	0.000	0.000	15.815
Total Current Liabilities		95.084	104.839	102.870
Net Current Assets		78.469	56.933	49.970
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		96.109	72.879	57.697

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	280.435	306.722	164.603
		Other Income	0.851	0.704	21.788
		TOTAL (A)	281.286	307.426	186.391
Less	EXPENSES
		Purchase of Stock-In-Trade	151.030	185.538
		Employee Benefits Expenses	43.006	36.286
		Others Expenses	72.675	69.779	172.781
		Changes in Inventories of Stock In Trade	(11.649)	(10.377)
		TOTAL (B)	255.062	281.226	172.781
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		26.224	26.200	13.610
Less	FINANCIAL EXPENSES (D)		4.193	3.158	3.008
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		22.031	23.042	10.602
Less/ Add	DEPRECIATION/ AMORTISATION (F)		2.736	1.920	1.848
	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		19.295	21.122	8.754
Less	TAX (H)		6.462	8.167	3.268
	PROFIT / (LOSS) AFTER TAX (G-H) (I)		12.833	12.955	5.486
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		NA	51.805	46.319
Less	APPROPRIATIONS
		Transfer to General Reserve	NA	20.000	0.000
	BALANCE CARRIED TO THE B/S		NA	44.760	51.805
	Earnings / (Loss) Per Share (Rs.)		130.00	131.00	--

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	4.56	4.21	2.94
Net Profit Margin (PBT/Sales)	(%)	6.88	6.88	5.32
Return on Total Assets (PBT/Total Assets}	(%)	10.20	12.01	5.51
Return on Investment (ROI) (PBT/Networth)		0.25	0.33	0.17
Debt Equity Ratio (Total Liability/Networth)		1.46	1.74	2.09
Current Ratio (Current Asset/Current Liability)		1.83	1.54	1.48

LOCAL AGENCY FURTHER INFORMATION

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	No
9]	Name of person contacted	No
10]	Designation of contact person	No
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	No
34]	External Agency Rating, if available	No

FINANCIAL RESULTS:

During the year, the company has earned Net Profit after Taxation of Rs. 12.833 Millions (Previous Year: Net Profit after Taxation of Rs.12.955 Millions).

FIXED ASSTES:

· Computers

· Software Developments

· Furniture and Fixtures

· Motor Car

· Office Equipments

· Electrical Fittings

· Air Conditioners

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 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.54.65
UK Pound	1	Rs.82.41
Euro	1	Rs.70.07

INFORMATION DETAILS

Report Prepared by :

TPT

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	NO
--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
--RBI	YES/NO	NO
--EPF	YES/NO	NO
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.