MIRA INFORM REPORT

Report Date :

27.12.2013

IDENTIFICATION DETAILS

Name :	KHADIM INDIA LIMITED (w.e.f. 26.08.2005)
Formerly Known as :	KHADIM CHAIN STORES LIMITED
Registered Office :	Kankaria Estate, 5^th Floor, 6 Little Russell Street, Kolkata – 700 071, West Bengal
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	03.12.1981
Com. Reg. No.:	21-034337
Capital Investment / Paid-up Capital :	Rs.121.352 Millions
CIN No.: [Company Identification No.]	U19129WB1981PLC034337
TAN No.: [Tax Deduction & Collection Account No.]	CALS06535E
PAN No.: [Permanent Account No.]	AABCK3341A
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Subject is engaged in the business of manufacturing / Retail Business of Footwear, Leather Accessories, Gold Jewellery and other Lifestyle / Household Consumer Goods.
No. of Employees :	Not Divulged

RATING & COMMENTS

MIRA’s Rating :

Ba (50)

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

Maximum Credit Limit :	USD 4200000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct. 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 – March 31^st, 2013

Country Name	Previous Rating (31.12.2012)	Current Rating (31.03.2013)
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

Uptick in agriculture and construction spread some cheer as the economy grew a higher-than-expected 4.8 % in the three months through September. Manufacturing rose an annual rate per cent during the quarter and mining fell by 0.4 %, government data showed while farm output rose 46%.

India has emerged as the most attractive investment destination, thanks to a relaxation in foreign direct investment norms, says a report. India is followed by Brazil and China in the ranking part of EY’s Capital Confidence Barometer report based on a survey across 70 nations. The US, France and Japan have emerged as the top three investors likely to invest in India.

India has been ranked 83^rd globally in terms of talent competitiveness of its human capital.  Switzerland, Singapore, Denmark, Sweden and Luxembourg are the top five in the list of 103 nations compiled by INSEAD business school.

Tax rates for companies in India are among the highest in the world and the number of payments is also more than the global average putting the country at low, 158^th rank on the Paying Taxes. 2014 list by the World Bank and PWC. However, the time taken for tax payments is relatively less in India which is rated ahead of China and Japan.

1 billion smartphone shipments in 2013, a 39.3 % growth over 2012. This was being driven by low cost computing in emerging markets. By 2017, total smartphone shipments are expected to approach 1.7 billion units, resulting in a compound annual growth rate of 18.4 % between 2013 and 2017, according to research from IDC.

20 % vacancy rate of office space in Mumbai and Delhi in the third quarter, the highest in Asia after Chengdu, in China. According to Cushman and Wakefield, six Indian cities are among the 10 office markets with the worst vacancies.

Foreign banks will not have to pay stamp duty and capital gains tax, if they convert their branch operations into a wholly owned subsidiary, according to the Reserve Bank of India.

The Reserve Bank of India is planning to launch CPI – indexed bonds aimed to protecting the savings of retail investors from the impact the price rise by December end.

Central Bureau of Investigation has booked State Bank of India, Deputy Managing Director Shyamal Acharya and others in a graft case related to distribution of a loan of over Rs 4000 mn. Gold and jewellery  worth Rs 6.7 mn have been recovered from the residence of Acharya.

EXTERNAL AGENCY RATING

Rating Agency Name	CARE
Rating	Long Term Bank Facilities=BBB+
Rating Explanation	Have moderate degree of safety and carry moderate credit risk.
Date	07.01.2013

Rating Agency Name	CARE
Rating	Short Term Bank Facilities=A3+
Rating Explanation	Have moderate degree of safety and carry higher credit risk.
Date	07.01.2013

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 DENIED

Management Non Co-operative (91-33-40090501)

LOCATIONS

Registered Office :	Kankaria Estate, 5^th Floor, 6 Little Russell Street, Kolkata – 700 071, West Bengal, India
Tel. No.:	91-33-40090501/ 64581959
Fax No.:	91-33-40090500
E-Mail :	Joydev.sengupta@khadims.com
Website :	www.khadims.com
Kolkata Regional Office :	24A, Rabindra Sarani, 2^nd Floor, Kolkata – 700 071, West Bengal, India
Delhi Regional Office :	C/1/121, 2^nd Floor, Block C-1, Janakpuri, New Delhi – 110 058, India

DIRECTORS

AS ON 20.09.2013

Name :

Mr. Siddhartha Roy Burman

Designation :

Managing Director

Address :

BH 164, Sector-11, Salt Lake City, Kolkata – 700 091, West Bengal, India

Qualification :

B. Com

Date of Birth/Age :

19.11.1961

Date of Appointment :

03.11.2005

DIN No.:

00043715

Voter ID No.:

ACWPR9644O

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	U70101WB1992PTC055972	KHADIM DEVELOPMENT COMPANY PRIVATE LIMITED	Whole-time director	17/07/1992	17/07/1992	Active	NO
2	U67120WB1993PTC059823	KHADIM FINANCIAL SERVICES PVT LTD	Whole-time director	19/08/1993	19/08/1993	Active	NO
3	U93090WB1960PTC024604	SHEILA DEPARTMENTAL STORE PVT LTD.	Whole-time director	28/07/2000	28/07/2000	Active	NO
4	U92112WB2001PTC093473	MOVIEWALLAH COMMUNICATIONS PRIVATE LIMITED	Whole-time director	18/07/2001	18/07/2001	Active	NO
5	U45209WB2005PTC103948	KNIGHTSVILLE PRIVATE LIMITED	Whole-time director	29/09/2005	29/09/2005	Active	NO
6	U19129WB1981PLC034337	KHADIM INDIA LIMITED	Managing director	01/04/2010	03/11/2005	Active	NO

Name :

Mr. Ashoke Kumar Dutta

Designation :

Director

Address :

Flat GB 50, Jatin Das Road, Kolkata – 700 029, West Bengal, India

Qualification :

PGDBA

Date of Birth/Age :

17.07.1947

Date of Appointment :

08.03.2006

DIN No.:

00045170

Voter ID No.:

ADIPD8270C

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U72900WB1996PLC078659	ALL INDIA TECHNOLOGIES LIMITED	Director	15/07/1996	15/07/1996	-	Active	NO
2	L30009WB1987PLC042782	COMPUTECH INTERNATIONAL LTD	Director	03/08/2001	03/08/2001	30/01/2009	Active	YES
3	U91990WB2001GAP093637	INTERNATIONAL SIGN ASSOCIATION OF INDIA	Director	23/08/2001	23/08/2001	-	Active	NO
4	U72200WB2002PTC095114	BATCHMATES COM PRIVATE LIMITED	Director	06/09/2002	06/09/2002	-	Active	NO
5	U51497WB1995PTC076002	SHARWIN HEALTH CARE PRIVATE LIMITED	Director	25/02/2004	25/02/2004	30/11/2007	Active	NO
6	L51430WB1918SGC003026	THE ORISSA MINERALS DEVELOPMENT COMPANY LIMITED	Director	27/09/2006	29/12/2005	27/09/2007	Active	NO
7	U19129WB1981PLC034337	KHADIM INDIA LIMITED	Director	08/03/2006	08/03/2006	-	Active	NO
8	U35111WB1934GOI007891	GARDEN REACH SHIPBUILDERS ENGINEERS LIMITED	Director	19/06/2006	19/06/2006	19/06/2009	Active	NO
9	U72100WB2007PLC117716	INTELLISYS TECHNOLOGIES & RESEARCH LIMITED	Director	08/08/2007	08/08/2007	09/05/2011	Active	NO
10	L63090WB1919GOI003229	ANDREW YULE & CO LTD	Director	16/09/2008	14/01/2008	16/01/2011	Active	NO
11	L60231AS1972PLC001393	ABC INDIA LIMITED	Director	04/09/2008	29/07/2008	-	Active	NO
12	L40101HR1975GOI032564	NHPC Limited	Director	30/03/2012	30/03/2012	-	Active	NO

Name :

Mr. Amar Nath Sadhu

Designation :

Director

Address :

73/1A, Palm Avenue, Kolkata – 700 019, West Bengal, India

Qualification :

CA

Date of Birth/Age :

02.10.1939

Date of Appointment :

08.03.2006

DIN No.:

00052579

Voter ID No.:

AKXPS4098P

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	U00899HR1988PLC035848	MM AQUA TECHNOLOGIES LIMITED	Director	07/04/1996	07/04/1996	Active	NO
2	U74899DL1989PTC035848	K. V. ESTATES PRIVATE LIMITED	Director	07/04/1996	07/04/1996	Not Available for eFiling	NO
3	L27202OR1989PLC002971	IFGL REFRACTORIES LIMITED	Director	29/01/2001	29/01/2001	Active	NO
4	U25199WB1976PLC030532	TEGA INDUSTRIES LIMITED	Director	22/11/2001	22/11/2001	Active	NO
5	U85195WB1998PTC088562	HERITAGE HEALTH TPA PRIVATE LIMITED	Director	07/06/2002	07/06/2002	Active	NO
6	U19129WB1981PLC034337	KHADIM INDIA LIMITED	Director	08/03/2006	08/03/2006	Active	NO
7	U25111GJ2010PLC075794	TEGA INDUSTRIES (SEZ) LIMITED	Director	26/08/2010	26/08/2010	Active	NO

Name :

Mr. Indra Nath Chatterjee

Designation :

Director

Address :

Row House No.2, Velentine Apartment, General AK, Vaidya Marg, Malad (East), Mumbai – 400 097, Maharashtra, India

Qualification :

FCS, PGDBA

Date of Birth/Age :

16.06.1944

Date of Appointment :

08.03.2006

DIN No.:

00122677

Voter ID No.:

ABWPC5159K

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U19129WB1981PLC034337	KHADIM INDIA LIMITED	Director	08/03/2006	08/03/2006	-	Active	NO
2	L27201MH1983PLC233813	JINDAL DRILLING AND INDUSTRIES LIMITED	Whole-time director	09/09/2009	01/02/2009	11/05/2010	Active	NO
3	U74140WB2010PTC147487	STRATPRO MANAGEMENT SOLUTIONS PRIVATE LIMITED	Director	21/08/2010	21/08/2010	-	Active	NO

Name :

Mrs. Tanusree Roy Burman

Designation :

Director

Address :

BH 164, Sector-11, Salt Lake City, Kolkata – 700 091, West Bengal, India

Qualification :

B. A.

Date of Birth/Age :

03.03.1968

Date of Appointment :

20.06.2007

DIN No.:

01582508

Voter ID No.:

ADLPR5636D

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	U19129WB1981PLC034337	KHADIM INDIA LIMITED	Whole-time director	15/12/2012	20/06/2007	Active	NO
2	U70101WB1992PTC055972	KHADIM DEVELOPMENT COMPANY PRIVATE LIMITED	Director	10/11/2010	10/11/2010	Active	NO
3	U67120WB1993PTC059823	KHADIM FINANCIAL SERVICES PVT LTD	Director	10/11/2010	10/11/2010	Active	NO
4	U93090WB1960PTC024604	SHEILA DEPARTMENTAL STORE PVT LTD.	Director	10/11/2010	10/11/2010	Active	NO
5	U45209WB2005PTC103948	KNIGHTSVILLE PRIVATE LIMITED	Director	10/11/2010	10/11/2010	Active	NO
6	U92112WB2001PTC093473	MOVIEWALLAH COMMUNICATIONS PRIVATE LIMITED	Director	10/11/2010	10/11/2010	Active	NO

KEY EXECUTIVES

Name :	Mr. Joydev Sengupta
Designation :	Secretary
Address :	B-2/3W, Debjan, 334 N S C Bose Road, Kolkata – 700 047, West Bengal, India
Date of Birth/Age :	31.12.1974
Date of Appointment :	27.05.2004
PAN No.:	AQHPS0315H

MAJOR SHAREHOLDERS

AS ON 20.09.2013

Names of Shareholders	No. of Shares
Satya Prasad Roy Burman	1240749
Namita Roy Burman	620137
Siddhartha Roy Burman	436463
Tanusree Roy Burman	60
Knightsville Private Limited, India	8737829
Photo Imaging Private Limited, India	25000
Telenal Photocheme Private Limited, India	35000
Khadim Development Co. Private Limited, India	510000
Moviewallah Communications Private Limited, India	530000
Total	12135238

Equity Share Break up (Percentage of Total Equity)

AS ON 20.09.2013

Category	Percentage
Bodies corporate	81.07
Directors or relatives of Directors	18.93
Total	100.00

BUSINESS DETAILS

Line of Business :

Subject is engaged in the business of manufacturing / Retail Business of Footwear, Leather Accessories, Gold Jewellery and other Lifestyle/ Household Consumer Goods.

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· HDFC Bank Limited, HDFC Bank House, Senapati Bapat Marg, Lower Parel (West), Mumbai – 400 013, Maharashtra, India

· State Bank of Hyderabad, Commercial Branch, 83, Topsia Road, Kolkata – 700 046, West Bengal, India

· Axis Bank Limited, Corporate Sarani, Ac Market, 3^rd Floor, Kolkata – 700 071, West Bengal, India

Facilities :

SECURED LOANS	31.03.2013 Rs. In Millions	31.03.2012 Rs. In Millions
Long Term Borrowings
Term Loans from Banks	483.897	565.435
Term Loans from Others	1.921	0.000
Short Term Borrowings
Loans repayable on Demand	921.691	760.544
Other Loans and Advances	46.024	32.509
Total	1453.533	1358.488

Banking Relations :	--
Auditors :
Name :	Ray and Ray Chartered Accountants
Address :	6, Church Lane, Post Box No.706, Kolkata – 700 001, West Bengal, India
PAN No.:	AADFR8764R
Ultimate Holding Company :	Knightsville Private Limited [U45209WB2005PTC103948]
Enterprises over which KMP and their Relatives have substantial interest :	· Khadim Financial Services Private Limited · Khadim Development Company Private Limited · Khadim Enterprises · K.M. Khadim and Company · St. Marys' Clinic and Drug Stores · Sheila Departmental Stores Private Limited · Bee Tee Enterprise · Moviewallah Communications Private Limited

CAPITAL STRUCTURE

AS ON 20.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
50000000	Equity Shares	Rs. 10/- each	Rs.500.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
12135238	Equity Shares	Rs. 10/- each	Rs.121.352 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	121.352	121.352	121.352
(b) Reserves & Surplus	929.592	840.181	744.618
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	0.000
Total Shareholders’ Funds (1) + (2)	1050.944	961.533	865.970
(3) Non-Current Liabilities
(a) long-term borrowings	485.818	565.435	269.483
(b) Deferred tax liabilities (Net)	89.486	69.635	56.096
(c) Other long term liabilities	88.093	83.967	60.590
(d) long-term provisions	12.773	12.884	6.250
Total Non-current Liabilities (3)	676.170	731.921	392.419
(4) Current Liabilities
(a) Short term borrowings	1170.315	935.753	758.468
(b) Trade payables	816.944	542.912	339.677
(c) Other current liabilities	237.620	182.067	188.925
(d) Short-term provisions	130.379	142.761	100.261
Total Current Liabilities (4)	2355.258	1803.493	1387.331
TOTAL	4082.372	3496.947	2645.720
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	1572.665	1205.366	1065.867
(ii) Intangible Assets	16.463	20.535	23.344
(iii) Capital work-in-progress	82.751	227.715	22.312
(iv) Intangible assets under development	3.020	0.000	0.000
(b) Non-current Investments	0.482	0.482	0.482
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	375.234	341.729	299.349
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	2050.615	1795.827	1411.354
(2) Current assets
(a) Current investments	0.000	30.000	30.000
(b) Inventories	1451.734	1148.960	817.070
(c) Trade receivables	219.619	157.145	147.309
(d) Cash and cash equivalents	99.581	114.176	97.883
(e) Short-term loans and advances	260.823	250.839	142.104
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	2031.757	1701.120	1234.366
TOTAL	4082.372	3496.947	2645.720

PROFIT & LOSS ACCOUNT

	PARTICULARS			31.03.2013	31.03.2012	31.03.2011
	SALES
		Income		4224.346	3593.228	2931.526
		Other Income		32.164	31.659	12.750
		TOTAL (A)		4256.510	3624.887	2944.276
Less	EXPENSES
		Cost of Materials Consumed		450.586	373.472	264.057
		Purchase of Stock-in-trade		2595.475	2289.062	1838.208
		Changes in Inventories of finished goods, work-in-progress and stock-in-trade		(270.938)	(319.605)	(236.747)
		Employee Benefits Expenses		363.551	305.894	224.801
		Other Expenses		648.804	566.796	481.079
		TOTAL (B)		3787.478	3215.619	2571.398
Less	PROFIT/(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)			469.032	409.268	372.878
Less	FINANCIAL EXPENSES (D)			227.580	174.137	141.704
	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)			241.452	235.131	231.174
Less	DEPRECIATION/ AMORTISATION (F)			84.876	69.411	71.065
	PROFIT/(LOSS) BEFORE TAX (E-F) (G)			156.576	165.720	160.109
Less	TAX (H)			52.967	56.053	54.137
	PROFIT/(LOSS) AFTER TAX (G-H) (I)			103.609	109.667	105.972
	EARNINGS IN FOREIGN CURRENCY
			Export Earnings	38.273	25.574	3.952
	TOTAL EARNINGS			38.273	25.574	3.952
	IMPORTS
			Raw Materials	0.069	0.852	0.632
			Finished Footwear	177.003	43.808	45.133
			Capital Goods	46.483	34.518	18.832
	TOTAL IMPORTS			223.555	79.178	64.597
	Earnings Per Share (Rs.)			8.54	9.04	NA

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	2.43	3.03	3.60
Net Profit Margin (PBT/Sales)	(%)	3.71	4.61	5.46
Return on Total Assets (PBT/Total Assets}	(%)	4.32	5.66	6.89
Return on Investment (ROI) (PBT/Networth)		0.15	0.17	0.18
Debt Equity Ratio (Total Debt /Networth)		1.58	1.56	1.19
Current Ratio (Current Asset/Current Liability)		0.86	0.14	0.89

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	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]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	No
33]	Voter ID No of Proprietor/Partner/Director, if available	Yes
34]	External Agency Rating, if available	Yes

UNSECURED LOANS:

Particulars	31.03.2013 Rs. In Millions	31.03.2012 Rs. In Millions
Short Term Borrowings
Intercorporate Borrowings	202.600	142.700
Total	202.600	142.700

INDEX OF CHARGE:

Sr. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10439523	26/07/2013	50,000,000.00	ICICI BANK LIMITED	ICICI BANK HOUSE, 3A, GURUSADAY ROAD, 2ND FLOOR, KOLKATA - 700019, WEST BENGAL, INDIA	B80625171
2	10445206	16/08/2013 *	60,000,000.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI - 400013, MAHARASHTRA, INDIA	B84932409
3	10417324	25/07/2013 *	350,000,000.00	STATE BANK OF HYDERABAD	COMMERCIAL BRANCH, 83, TOPSIA ROAD, KOLKATA - 700046, WEST BENGAL, INDIA	B81078396
4	10412978	20/03/2013	50,000,000.00	AXIS BANK LIMITED	CORPORATE BANKING BRANCH (CBB), 1, SHAKESPEARE S ARANI, AC MARKET, 3RD FLOOR, KOLKATA - 700071, WEST BENGAL, INDIA	B71189138
5	10408087	19/06/2013 *	247,500,000.00	AXIS BANK LIMITED	CORPORATE BANKING BRANCH (CBB), 1, SHAKESPEARE S ARANI, AC MARKET, 3RD FLOOR, KOLKATA - 700071, WEST BENGAL, INDIA	B78356359
6	10408084	14/02/2013	60,000,000.00	AXIS BANK LIMITED	CORPORATE BANKING BRANCH (CBB), 1, SHAKESPEARE S ARANI, AC MARKET, 3RD FLOOR, KOLKATA - 700071, WEST BENGAL, INDIA	B69639292
7	10357203	23/08/2012 *	230,000,000.00	ICICI BANK LIMITED	3A GURUSADAY ROAD, 2ND FLOOR, KOLKATA, WEST BENGA L - 700019, INDIA	B56196892
8	10347032	26/06/2013 *	350,000,000.00	STATE BANK OF HYDERABAD	COMMERCIAL BRANCH, 83, TOPSIA ROAD, KOLKATA - 700046, WEST BENGAL, INDIA	B78587631
9	10355143	27/03/2012	40,000,000.00	YES BANK LIMITED	9TH FLOOR, NEHRU CENTRE, DISCOVERY OF INDIA, DR. ANNIE BESANT ROAD, WORLI, MUMBAI - 400018, MAHARASHTRA, INDIA	B39452404
10	10334019	24/01/2013 *	293,800,000.00	STATE BANK OF INDIA	INDUSTRIAL FINANCE BRANCH, KOLKATA, 11, DR. U. N. BRAHMACHARI STREET, KOLKATA - 700017, WEST BENGAL, INDIA	B68703636

* Date of charge modification

GENERAL OVERVIEW

During the year 2012-2013 subject has performed within the challenging economic condition that the country is passing through and has tried to achieve reasonable growth. There has been a growth of 17.5% in the net revenue from operation over last year. However, the profit before tax declined due to the huge operational over-head in newly set up factory at Panpur and the incremental finance charges that had to be incurred for setting up the Panpur facility.

BUYING AND MERCHANDISING

Buying and Merchandising happens to be a key business driver for subject. The Buying function always focusses on presenting the latest trends to the consumers.

During 2012-2013, the Buying and Merchandising department introduced hologram in some premium products and also pictorial information on all products for better understanding by the customers. The collections those were introduced earlier like "Spring Summer", ‘Autumn / Festival’ and "Winter collection" were revitalised by introducing more vibrant products in these selection. During this year the Company has started mapping of vendor capacity into system and hence better knowledge of requirement of mutation in advance

MANUFACTURING

The much awaited rubber manufacturing facility at Panpur, West Bengal started commercial production during this year. In the 1^st year of operation it has produced 1.7 million pairs of footwear. During the same period the EVA production facility was shifted to Panpur Factory to make the EVA operation more flexible. During the year several new articles were launched to cater to the domestic market. Subject’s focus on improving quality has helped in reducing consumer complaint from products manufactured by its own manufacturing facilities.

SUPPLY CHAIN MANAGEMENT

Subject’s main business is retailing of footwear Supply Chain Management plays a crucial role in its operation. Keeping this in mind, during the year several initiatives, like introduction of modern material handling equipment, standardized packaging etc. were taken to ensure cost effective on-time delivery of products from Distribution Centre to Distribution Centre and from Distribution Centre to Retail outlets.

Moreover, are getting introduced for better time and space management at Distribution Centres. During the year the warehouse at Malancha was shifted to a modern & Semi-Automated Warehouse at Serampore was set up for billing of the Distribution business.

BRAND AND MARKETING

During 2012-2013 subject started its journey on the digital marketing platform by establishing its brand profile on Facebook, Google Plus along with its exclusive Youtube channel. The aim is to leverage the popularity of Social Media to reach out to consumers directly, spread awareness of Khadim’s brands and products, and establish it as a fashionable footwear brand. The seamless integration with Social Media has contributed to general consumer awareness about year-round activities at Khadim’s. Moreover the Company is working to develop on online shopping portal for subject’s products.

INFORMATION TECHNOLOGY

The ever evolving Information Technology space increases the scope of development of the Information Technology infrastructure of subject. To this end subject has initiated several initiatives like Implementation of budgetary restriction during Purchase at Distribution Centres, Tracking of Asset on subject Portal, and Discrepancy management system at DCs etc. The Information Technology department in subject is always keeping itself updated and compliant in its activities.

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 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.61.98
UK Pound	1	Rs.101.19
Euro	1	Rs.84.79

INFORMATION DETAILS

Information Gathered by :	NYA
Report Prepared by :	NKT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--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
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		50

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.