MIRA INFORM REPORT

Report Date :

26.02.2013

IDENTIFICATION DETAILS

Name :	SDR POLYMERS PRIVATE LIMITED

Registered Office :	145/4A, Ettayapuram Road, Tuticorin – 628002, Tamilnadu

Country :	India

Financials (as on) :	31.03.2011

Date of Incorporation :	24.05.2010

Com. Reg. No.:	18-075796

Capital Investment / Paid-up Capital :	Rs. 6.431 Millions

CIN No.: [Company Identification No.]	U25200TN2010PTC075796

TAN No.: [Tax Deduction & Collection Account No.]	MRIS05883D

PAN No.: [Permanent Account No.]	AAOCS3736L

Legal Form :	Private Limited Liability Company

Line of Business :	Manufacturer of Woven Poly Bags.

No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (27)

RATING

STATUS

PROPOSED CREDIT LINE

26-40

Capability to overcome financial difficulties seems comparatively below average.

Small

Maximum Credit Limit :	USD 66000

Status :	Moderate

Payment Behaviour :	Unknown

Litigation :	Clear

Comments :	Subject is an established company having moderate track record. The latest financial are not made available with the government department. As per previous year’s, the profitability of the company appears to be slow. The external borrowing seems to be huge. However, trade relations are reported to be fair. Business is active. Payments are unknown. The company can be considered for business dealings with great caution.

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

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

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Long term rating : (CRISIL) D
Rating Explanation	This rating is in default or is expected to be in default soon.
Date	December 2012

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 :	145/4A, Ettayapuram Road, Tuticorin – 628002, Tamilnadu, India
Tel. No.:	91-461-2320322
Fax No.:	91-461-2324596
E-Mail :	johnohilvi@yahoo.co.in accounts@sdrpolymers.in info@sdrpolymers.in
Website :	www.sdrpolymers.in

Factory :	7/55/1, Kamaraj Nagar West, Servaikaranmadam, Sawyerpuram, District Tuticorin – 628251, Tamilnadu, India
Tel. No.:	91-461-2264300
Fax No.:	91-461-2264301

DIRECTORS

AS ON 28.09.2011

Name :	Mr. Samvelnadar Dharmaraj Vijayaseelan
Designation :	Chairman cum Managing director
Address :	67/B, Sivanthakulam Road, Thoothukudi Town, District Thoothukudi - 628003, Tamilnadu, India
Date of Birth/Age :	25.06.1972
Date of Appointment :	24.05.2010
DIN No.:	03017599

Name :	Mr. Vijayaseelan Reena Seelan
Designation :	Director
Address :	67/B, Sivanthakulam Road, Thoothukudi Town, District Thoothukudi - 628003, Tamilnadu, India
Date of Birth/Age :	22.11.1978
Date of Appointment :	24.05.2010
DIN No.:	03011456

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 28.09.2011

Names of Shareholders		No. of Shares
Samvelnadar Dharmaraj Vijayaseelan		40092
Vijayaseelan Reena Seelan		24220

Total		64312

AS ON 28.09.2011

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

BUSINESS DETAILS

Line of Business :

Manufacturer of Woven Poly Bags.

Products :

ITC Code	Product Descriptions
39232990	Woven Poly Sacks/ Bags

PRODUCTION STATUS (AS ON 31.03.2011)

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Woven Poly Bags	Qty.(MT)	N.A.	1000	509.61

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

Tamilnad Mercantile Bank Limited, Sipcot Branch, 97/H/30, Palayamkottai Road, Tuticorin – 628002, Tamilnadu, India

Facilities :

Secured Loans	31.03.2011 (Rs. In Millions)
Loans and Advances from Banks
Term Loans	44.065
Cash Credit Facilities	22.420
Total	66.485


Banking Relations :	--

Auditors :
Name :	J. Selvin Gnanaraj Chartered Accountant
Address :	4/219-4, Sundar Nagar, I Street, Muthiahpuram P.O., Tuticorin – 628005, Tamilnadu, India
Income-tax PAN of auditor or auditor's firm :	AQMPS4501Q

CAPITAL STRUCTURE

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount

100,000	Equity Shares	Rs. 100/- each	Rs. 10.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

64,312	Equity Shares	Rs. 100/- each	Rs. 6.431 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011
SHAREHOLDERS FUNDS
1] Share Capital		6.431
2] Share Application Money		0.000
3] Reserves & Surplus		10.061
4] (Accumulated Losses)		0.000
NETWORTH		16.492
LOAN FUNDS
1] Secured Loans		66.485
2] Unsecured Loans		14.464
TOTAL BORROWING		80.949
DEFERRED TAX LIABILITIES		0.956

TOTAL		98.397

APPLICATION OF FUNDS

FIXED ASSETS [Net Block]		55.771
Capital work-in-progress		8.998

INVESTMENT		0.000
DEFERRED TAX ASSETS		0.703

CURRENT ASSETS, LOANS & ADVANCES
	Inventories	12.158
	Sundry Debtors	15.568
	Cash & Bank Balances	0.947
	Other Current Assets	0.000
	Loans & Advances	12.064
Total Current Assets		40.737
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	7.145
	Other Current Liabilities	0.516
	Provisions	0.151
Total Current Liabilities		7.812
Net Current Assets		32.925

MISCELLANEOUS EXPENSES		0.000

TOTAL		98.397

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011
	SALES
		Income	61.933
		Other Income	0.000
		TOTAL (A)	61.933

Less	EXPENSES
		Cost of material consumed	48.952
		Employee cost	4.958
		Borrowing cost	2.206
		Other Expenses	10.324
		Preliminary Expenses	0.171
		Increase/ (Decrease) in stock	(7.117)
		TOTAL (B)	59.494

Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		2.439

Less	FINANCIAL EXPENSES (D)		0.000

	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		2.439

Less/ Add	DEPRECIATION/ AMORTISATION (F)		1.623

	PROFIT BEFORE TAX (E-F) (G)		0.816

Less	TAX (H)		0.251

	PROFIT AFTER TAX (G-H) (I)		0.565

	Earnings Per Share (Rs.)		8.78

KEY RATIOS

PARTICULARS		31.03.2011
PAT / Total Income	(%)	0.91

Net Profit Margin (PBT/Sales)	(%)	1.32

Return on Total Assets (PBT/Total Assets}	(%)	0.85

Return on Investment (ROI) (PBT/Networth)		0.05

Debt Equity Ratio (Total Debt/Networth)		4.91

Current Ratio (Current Asset/Current Liability)		5.21

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 one year	Yes
12]	Profitability for last one year	Yes
13]	Reasons for variation <> 20%	--
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	No
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	No
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	No
34]	External Agency Rating, if available	Yes

UNSECURED LOANS

Unsecured Loans

31.03.2011

(Rs. In Millions)

Term loans

14.464

Total

14.464

OPERATIONS:

The company commenced its business of manufacturing woven poly bags during the month of Aug-2010 on a small scale by acquiring an existing unit in Tuticorin Dist, Tamil Nadu. During the year the company has sold 32,26,685 small woven bags and 91,799 jumbo woven bags(FIBC bags). Performance of the company has been satisfactory.

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U25200TN2010PTC075796
Name of the company	SDR POLYMERS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	145/4A, Ettayapuram Road, Tuticorin – 628002, Tamilnadu, India Email: johnohilvi@yahoo.co.in
This form is for	Modification of charge
Charge identification number of the modified	10339597
Type of charge	Movable property (not being pledge) Others [FBN/FBP/FBD/AAFBSC]
Particular of charge holder	Tamilnad Mercantile Bank Limited, Sipcot Branch, 97/H/30, Palayamkottai Road, Tuticorin – 628002, Tamilnadu, India Email: thoothukudi_sipcot@tnmbonline.com
Nature of description of the instrument creating or modifying the charge	1.Agreement for Demand Cash Credit dated 07.06.2012 2.Letter of Hypothecation dated 07.06.2012 3. Promissory Note dated 07.06.2012
Date of instrument Creating the charge	07.06.2012
Amount secured by the charge	Rs. 10.000 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest Bank Rate plus 2.50% (presently BR 11%) plus 2.50% i.e.13.50% Terms of Repayment One Year Margin FBN - NIL FBP/FBD/AAFBSC = 10% Extent and Operation of the charge To the extent of charges of Rs.10.000 Millions
Particulars of the present modification	Limit Enhanced from Rs.5.000 Millions to Rs.10.000 Millions

FIXED ASSETS:

Ø Factory Building

Ø Plant and Machinery

Ø Electrical Installation

Ø Tools and Equipment

Ø Office Equipment

Ø Data Processing Machines

Ø Vehicles

Ø Furniture and Fittings

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No 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 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. 54.04
UK Pound	1	Rs. 81.80
Euro	1	Rs. 71.41

INFORMATION DETAILS

Report Prepared by :

BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTERS
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		27

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.

MIRA INFORM REPORT

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