MIRA INFORM REPORT

 

 

Report Date :

29.01.2013

 

IDENTIFICATION DETAILS

 

Name :

TEXPORT SYNDICATE (INDIA) LIMITED

 

 

Registered Office :

Plot No.6, F-11/12, Western Industrial Co-Operative Estate, Opposite Seepz, Andheri (East), Mumbai – 400 093, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012 (Profit and Loss A/c)

 

 

Date of Incorporation :

05.04.2005

 

 

Com. Reg. No.:

11-152440

 

 

Capital Investment / Paid-up Capital :

Rs.51.185 millions

 

 

CIN No.:

[Company Identification No.]

U18100MH2005PLC152440

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMT12555E

 

 

PAN No.:

[Permanent Account No.]

AACCT2980M

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Manufacturing, Trading and Selling of Textile Products.

 

 

No. of Employees :

8000 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (29)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

USD 2030000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having moderate track record. Latest Balance Sheet of 2011-12 is not available. However, from the previous year record it seems that the company has recorded huge external borrowings. Profit margin of the company also appears to be low. RBI has defaulted company with effect from 31st March, 2012.

 

However, trade relations are reported as fair. Business is active. Payments are reported to be slow.

 

The company can be considered for business dealings with some caution.

 

Note:

Profit and loss a/c for the year 2012 is only available, Balance Sheet is not available.

 

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

 

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

ICRA

Rating

(Suspended) A4 (Short Term Fund Based Limit)

Rating Explanation

The risk prone credit quality it carry high credit risk.

Date

June, 2012

 

Reason for Suspension:

Suspension is due to insufficient information to asses rating.

 

RBI DEFAULTERS’ LIST STATUS

 

Subject’s name has been found enlisted as a defaulter in the publicly available RBI Defaulters’ list and the details of the same are as under :

 

Borrowers’ Name :

TEXPORT SYNDICATE (INDIA) LIMITED

Address :

PLOT NO.6, F-11/12, WICE, MIDC, OPPOSITE SEEPZ, ANDHERI (EAST), MUMBAI – 400 093, MAHARASHTRA, INDIA

Name of Individual :

State/ Union Territory

Outstanding

Amount

(Rs. in millions)

Maharashtra

5090.610

Delhi

2327.810

West Bengal

1971.354

Tamilnadu

454.400

Karnataka

176.287

Kerala

13.777

Uttar Pradesh

12.000

Name of Credit Grantors / Bank & Branch:

Standard Chartered Bank, 90 M.G. Road, Mumbai, Maharashtra, India

Amount (Rs. In Millions) :

178.700

 

 

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/ Corporate Office/ Mumbai Head Office  :

Plot No.6, F-11/12, Western Industrial Co-Operative Estate, Opposite Seepz, Andheri (East), Mumbai – 400 093, Maharashtra, India

Tel. No.:

91-22-28368740/ 28395601/ 30809456/ 30809410/ 30809500

Fax No.:

91-22-28368746/ 28368728

E-Mail :

pushpa@texportsyndicate.com

rajeshpachori@texportsyndicate.com

morolia@texportsyndicate.com

txport@bom3.vsnl.net.in

spatodia@texportsyndicate.com

Website :

http://www.texportsyndicate.com

Area :

1000 sq. ft.

Location :

Owned

 

 

Tirupur Head Office/ Factory 1 :

9, Vinayakanpuram, Co-operative Estate, 1st Street , Rayapuram Extension, Tirupur - 641 601, Tamilnadu, India

Tel. No.:

91-421-2700487/ 2743614

Fax No.:

91-421-2700478

E-Mail :

syndicat@md2.vsnl.net.in

 

 

Bangalore Head Office/ Factory 2 :

# 84, Industrial Suburb, 2nd Phase, Yeshwanthpur, Bangalore – 560 022, Karnataka, India

Tel. No.:

91-80-41512051

Fax No.:

91-80-41512075

 

 

Factory :

Also located at:

 

v  Mumbai

v  Hyderabad

 

 

Overseas Office :

Key Apparel Resources Limited, 1400 Broadway, Suite 803, New York, NY 10018

Tel. No.:

212.354.9862

Fax No.:

212.354.9863

 

 

DIRECTORS

 

As on 29.09.2012

 

Name :

Mr. Rajendrakumar Beniprasad Goenka

Designation :

Managing Director

Address :

20, Vinayak Kunj, 12th Road, J.V.P.D. Scheme, Juhu, Vile Parle (West), Mumbai – 400 049, Maharashtra, India 

Date of Birth/Age :

15.04.1953

Qualification :

B. Com

Date of Appointment :

05.04.2005

DIN No :

00016236

 

 

Name :

Mr. Amit Rajendrakumar Goenka

Designation :

Director

Address :

20, Vinayak Kunj, 12th Road, J.V.P.D. Scheme, Juhu, Vile Parle (West), Mumbai – 400 049, Maharashtra, India 

Date of Birth/Age :

06.12.1974

Qualification :

B. Com

Date of Appointment :

05.04.2005

DIN No. :

00016211

 

 

Name :

Mr. Sunilkumar Beniprasad Goenka

Designation :

Managing Director

Address :

20, Vinayak Kunj, 12th Road, J.V.P.D. Scheme, Juhu, Vile Parle (West), Mumbai – 400 049, Maharashtra, India 

Date of Birth/Age :

19.06.1967

Qualification :

Post Graduate

Date of Appointment :

05.04.2005

DIN No :

00016707

 

 

Name :

Mr. Shashi Sardarilal Sehgal

Designation :

Director

Address :

2201, Blue Mountain, Shastri Nagar, Andheri (West), Mumbai – 400 053, Maharashtra, India

Date of Birth/Age :

02.12.1952

Qualification :

Post Graduate

Date of Appointment :

20.11.2007

DIN No :

01912113

 

 

Name :

Mr. Avinash Sharad Misar

Designation :

Director

Address :

455, Sai Section, Suraodhya Housing Society, Ambernath, Thane District – 421 501, Maharashtra, India

Date of Birth/Age :

10.05.1963

Qualification :

Post Graduate

Date of Appointment :

01.05.2007

DIN No :

01515805

 

 

KEY EXECUTIVES

 

Name :

Mr. Rajesh Kumar Jain

Designation :

Company Secretary

Address :

103, Dhiraj Savera Tower, Sidhart Nagar, Thakur Village, Mumbai – 400 067, Maharashtra, India

Date of Birth/Age :

20.07.1982

Date of Appointment :

29.06.2008

PAN No.:

AHCPJ8512D

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 29.09.2012

 

Names of Shareholders

 

No. of Shares

Rajendra B. Goenka

510277

Anjanadevi S. Goenka

773500

Vishal S. Goenka

480000

Amit R. Goenka

870050

Anish R. Goenka

870000

Sushil B. Goenka HUF

268000

Sunil B. Goenka

510188

Anuj Goenka

508435

Shakuntala Devi Goenka

38250

Sushila Devi Goenka

19800

Smriti Goenka

270000

Total

5118500

 

As on 29.09.2012

 

Equity Share Breakup

 

Percentage of Holding

Category

 

 

Directors or relatives of directors

 

75.00

Other top fifty shareholders

 

25.00

Total

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturing, Trading and Selling of Textile Products.

 

 

 

 PRODUCTION STATUS (AS ON 31.03.2011)

 

Particulars

 

2010-2011

Installed Capacity

N.A.

Production of Garments

11773780 Pcs.

 

 

GENERAL INFORMATION

 

Customers :

v  Aeropostale

v  ZARA

v  H&M

v  BSK

v  American Eagle Outfitters

v  Dorothy Perkins

v  Mothercare

v  Arrow

v  PVH

v  Timberland

v  Primark

v  Topshop

v  Walmart

v  George

v  Regatta

 

 

No. of Employees :

8000 (Approximately)

 

 

Bankers :

v  Canara Bank, Fort Market Branch, Frere Road, Mumbai – 400 038, Maharashtra, India

v  Citi Bank, NA, C-61, Bandra Kurla Complex, Bandra (East), Mumbai – 400 093, Maharashtra, India

v  IndusInd Bank Limited, ACME Plaza, C.T.S No.32, Opposite Sangam Talkies, Andheri-Kurla Road, Andheri (East), Mumbai – 400 059, Maharashtra, India

v  Standard Chartered Bank, Mumbai, Maharashtra, India

v  Kotak Mahindra Bank Limited, 36-38A, Nariman Bhavan, 227, D, Nariman Point, Mumbai – 400 021, Maharashtra, India

 

 

Facilities :

Secured Loans

31.03.2011

(Rs. in Millions)

31.03.2010

(Rs. in Millions)

Rupee term loans banks secured

68.401

104.756

Rupee term loans financial institutions secured

107.500

152.500

Rupee term loans others secured

16.280

12.535

Foreign currency loans banks secured

813.306

505.848

Working capital loans banks secured

122.520

275.832

Working capital loans others secured

0.000

0.362

Total

1128.007

1051.833

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

M.M. Chaturvedi and Company

Chartered Accountants

Address :

C/o M.M. Chaturvedi and Company, 24, Atlanta, Nariman Point, Mumbai – 400 021, Maharashtra, India

Tel. No.:

91-22-22844220/ 22835128

Fax No.:

91-22-22872329

Income-tax PAN of auditor or auditor's firm :

AAAFM1506D

 

 

Subsidiaries (As on 31.03.2011) :

v  Evergreen Creations Private Limited

v  Mehta Extractions Private Limited

v  Ramakrishna Impex Private Limited

v  Sunil Creations Private Limited

v  Vaid Rubbers Private Limited

 

 

Enterprises having same key management personnel and/or their relatives as the reporting enterprise with whom the company has entered into the transaction during the year (As on 31.03.2011) :

v  Argee Exports

v  Asha Creation

v  Akansha Collection

v  City Apparels

v  Sarang Exports Private Limited

v  Star Apparel Private Limited

v  Systematic Exports

v  Universal Steel Private Limited

 

 

CAPITAL STRUCTURE

 

As on 29.09.2012

 

Authorised Capital :

No. of Shares

Type

Value

Amount

10000000

Equity Shares

Rs.10/- each

Rs.100.000 millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

5118500

Equity Shares

Rs.10/- each

Rs.51.185 millions

 

 

 

 

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

31.03.2011

31.03.2010

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

 

51.185

51.185

2] Share Application Money

 

0.000

0.000

3] Reserves & Surplus

 

456.197

479.006

4] (Accumulated Losses)

 

0.000

0.000

NETWORTH

 

507.382

530.191

LOAN FUNDS

 

 

 

1] Secured Loans

 

1128.007

1051.833

2] Unsecured Loans

 

630.735

567.247

TOTAL BORROWING

 

1758.742

1619.080

DEFERRED TAX LIABILITIES

 

145.617

148.772

 

 

 

 

TOTAL

 

2411.741

2298.043

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

957.732

1047.252

Capital work-in-progress

 

5.376

5.376

 

 

 

 

INVESTMENT

 

12.465

12.465

DEFERRED TAX ASSETS

 

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

 

921.024

651.072

 

Sundry Debtors

 

945.205

655.705

 

Cash & Bank Balances

 

42.344

32.698

 

Other Current Assets

 

0.000

0.000

 

Loans & Advances

 

289.791

278.547

Total Current Assets

 

2198.364

1618.022

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditors

 

559.780

254.118

 

Other Current Liabilities

 

186.877

103.067

 

Provisions

 

15.539

27.887

Total Current Liabilities

 

762.196

385.072

Net Current Assets

 

1436.168

1232.950

 

 

 

 

MISCELLANEOUS EXPENSES

 

0.000

0.000

 

 

 

 

TOTAL

 

2411.741

2298.043

 

Note:

Balance Sheet for the year 2012 is not available only Profit and loss a/c is available.

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2012

31.03.2011

31.03.2010

 

SALES

 

 

 

 

 

Revenue from operations

2900.033

2914.735

2432.904

 

 

Other Income

14.693

14.747

27.846

 

 

TOTAL                                       (A)

2914.726

2929.482

2460.750

 

 

 

 

 

Less

EXPENSES

 

 

 

 

Cost of materials consumed

1329.426

1393.803

2274.634

 

 

Purchases of stock-in-trade

67.573

43.599

 

 

 

Changes in inventories of finished goods, work-in-progress and stock-in-trade

(46.278)

(13.730)

 

 

 

Employee benefit expense

699.858

692.013

 

 

 

Other expenses

624.582

632.388

 

 

 

Extraordinary items

17.714

56.008

 

 

 

TOTAL                                       (B)

2692.875

2804.081

2274.634

 

 

 

 

 

Less

PROFIT/(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)  (C)     

221.851

125.401

186.116

 

 

 

 

 

Less

FINANCIAL EXPENSES                                     (D)

152.325

102.859

109.890

 

 

 

 

 

 

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

69.526

22.542

76.226

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                    (F)

57.557

59.836

62.614

 

 

 

 

 

 

PROFIT/(LOSS) BEFORE TAX (E-F)                  (G)                     

11.969

(37.294)

13.612

 

 

 

 

 

Less

TAX                                                                   (H)

(3.186)

(2.862)

6.696

 

 

 

 

 

 

PROFIT/(LOSS) AFTER TAX (G-H)                     (I)                            

15.155

(34.432)

6.916

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

16.859

51.291

64.375

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

 

Transfer to General Reserve

NA

0.000

20.000

 

BALANCE CARRIED TO THE B/S

NA

16.859

51.291

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Export Earnings

NA

2272.327

2040.242

 

TOTAL EARNINGS

NA

2272.327

2040.242

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Import of Raw Materials and Other Goods

NA

356.236

164.424

 

 

Capital Goods

NA

0.000

0.018

 

TOTAL IMPORTS

NA

356.236

164.442

 

 

 

 

 

 

Earnings/(Loss) Per Share (Rs.)

2.96

(6.73)

1.35

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2012

31.03.2011

31.03.2010

PAT / Total Income

(%)

0.52

(1.18)

0.28

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

0.41

(1.28)

0.56

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

NA

(1.18)

0.51

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

NA

(0.07)

0.03

 

 

 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 

NA

4.97

3.78

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

NA

2.88

4.20

 

 

LOCAL AGENCY FURTHER INFORMATION

 

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

Yes

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

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

Yes

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

31.03.2011

(Rs. in Millions)

31.03.2010

(Rs. in Millions)

Rupee term loans others unsecured

46.885

46.885

Loans directors unsecured

196.121

185.600

Deposits related parties unsecured

387.729

334.762

Total

630.735

567.247

 

CONTINGENT LIABILITIES (AS ON 31.03.2011):

 

i. Outstanding letter of credit Rs.172.415 millions.

 

ii. Show cause notice received from Central Excise department regarding rebate claim Rs.12.789 millions

 

iii. Guarantees given by Banks for Rs.5.378 millions to various authorities.

 

iv. Claim against the company by a building contractor of Rs.3.019 millions in Bangalore Court not-acknowledge as debt matter is pending.

 

v. Penalty was imposed for Rs.1.500 millions against company under FEMA against which deposit of Rs.0.150 million with DDO A/C. Enforcement directorate.

 

Bankers Charges Report as per Registry

 

Corporate identity number of the company

U18100MH2005PLC152440

Name of the company

TEXPORT SYNDICATE (INDIA) LIMITED

Address of the registered office or of the principal place of  business in India of the company

Plot No.6, F-11/12, Western Industrial Co-Operative Estate, Opposite Seepz, Andheri (East), Mumbai – 400 093, Maharashtra, India

E-Mail: rajeshjain@texportsyndicate.com

This form is for

Modification of charge

Charge identification number of the modified 

10298866

Type of charge

Book Debts

Others [Stock (Raw Materials, WIP, Finished Goods)] 

Particular of charge holder

Canara Bank, Fort Market Branch, Frere Road, Mumbai – 400 038, Maharashtra, India

E-Mail: cb0214@canarabank.com

Nature of description of the instrument creating or modifying the charge

Supplemental Common Hypothecation Agreement

Date of instrument Creating the charge

07.11.2012

Amount secured by the charge

Rs.300.000 millions

Brief particulars of the principal terms an conditions and extent and operation of the charge

Rate of Interest:

Interest as may be stipulated by the bank from time to time.

 

Terms of Repayment:

On demand

 

Margin:

Nil

 

Extent and Operation of the charge:

Hypothecation of Stock of Raw Materials, Work in Progress, Finished Goods and Book Debts

Short particulars of the property charged

Hypothecation of Stock of Raw Materials, work in process, finished goods and book debts.

Date of latest modification prior to the present modification

01.11.2012

Particulars of the present modification 

Credit Facilities has enhanced from Rs.250.000 millions  to Rs.300.000 millions

 

FIXED ASSETS:

 

Tangible Assets

v  Freehold Land

v  Leasehold Land

v  Factory Building

v  Other Building

v  Plant and Machinery

v  Office Equipments

v  Factory Equipments

v  Computer Equipments

v  Other Equipments

v  Furniture and Fixtures

v  Vehicles

Intangible Assets

v  Computer Software

 

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.53.89

UK Pound

1

Rs.84.93

Euro

1

Rs.72.50 

 

 

INFORMATION DETAILS

 

Report Prepared by :

SMN

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

4

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

5

--CREDIT LINES

1~10

2

--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

TOTAL

 

29

 

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.