1. Summary Information

		Country	India
Company Name	B.B.K. LEATHERS PRIVATE LIMITED	Principal Name 1	MR. NARAYANSAMY BASKARAN
Status	SATISFACTORY	Principal Name 2	MR. PORSELVI BASKARAN
		Registration #	18-026136
Street Address	PLOT NO.41, SIPCOT INDUSTRIAL ESTATE, RANIPET – 632 403, TAMILNADU
Established Date	02.11.1993	SIC Code	--
Telephone#	91-4172-244491/ 92	Business Style 1	MANUFACTURER
Fax #	91-4172-244593	Business Style 2	RETAILER
Homepage	NOT AVAILABLE	Product Name 1	LEATHER GOODS
# of employees	NOT AVAILABLE	Product Name 2	ACCESSORIES
Paid up capital	RS.9,000,000/-	Product Name 3	GARMENTS
Shareholders	DIRECTORS OR RELATIVES OF DIRECTORS - 100%	Banking	STATE BANK OF INDIA
Public Limited Corp.	NO	Business Period	20 YEARS
IPO	NO	International Ins.	--
Public Enterprise	NO	Rating	Ba (45)
Related Company
Relation	Country	Company Name	CEO
GROUP/ ASSOCIATE COMPANIES/ FIRM	--	ROYALE LEATHERS PRIVATE LIMITED	--
Note	--

2. Summary Financial Statement

Balance Sheet as of	31.03.2011		(Unit: Indian Rs.)
Assets		Liabilities
Current Assets	134,010,000	Current Liabilities	136,486,000
Inventories	129,096,000	Long-term Liabilities	112,218,000
Fixed Assets	108,544,000	Other Liabilities	0,000
Deferred Assets	8,000	Total Liabilities	248,704,000
Invest& other Assets	0,000	Retained Earnings	103,954,000
	0,000	Net Worth	122,954,000
Total Assets	371,658,000	Total Liab. & Equity	371,658,000
Total Assets (Previous Year)	261,211,000
P/L Statement as of	31.03.2011		(Unit: Indian Rs.)
Sales (Including Other Income)	NA	Net Profit	NA
Sales (Previous yr) (Including Other Income)	561,295,000	Net Profit(Prev.yr)	2,132,000

MIRA INFORM REPORT

Report Date :

30.01.2013

IDENTIFICATION DETAILS

Name :	B.B.K. LEATHERS PRIVATE LIMITED
Registered Office :	Plot No.41, SIPCOT Industrial Estate, Ranipet – 632 403, Tamilnadu
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	02.11.1993
Com. Reg. No.:	18-026136
Capital Investment / Paid-up Capital :	Rs.9.000 Millions
CIN No.: [Company Identification No.]	U18209TN1993PTC026136
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Retailer of Leather Goods, Accessories and Garments etc.
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 492000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. Latest financials i.e. 2011-12 are missing from the Government Department. From the previous year record, the networth of the company seems to be good. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitment. The company can be considered 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

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Letter of Credit: A3+
Rating Explanation	Moderate degree of safety it carry higher credit risk.
Date	December 26, 2011

Rating Agency Name	CRISIL
Rating	Long Term Loan: BBB
Rating Explanation	Moderate degree of safety it carry moderate credit risk.
Date	December 26, 2011

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/ Corporate Office :	Plot No.41, SIPCOT Industrial Estate, Ranipet – 632 403, Tamilnadu, India
Tel. No.:	91-4172-244491/ 92
Mobile No.:	91-9443755000 (Mr. Narayansamy Baskaran) 91-9443244492 (Mr. Baskaran Porselvi)
Fax No.:	91-4172-244593
E-Mail :	bbkleather@yahoo.co baskaran@bbkshoes.com barath@bbkshoes.com
Factory 1 :	42B, SIPCOT Industrial Complex, Ranipet – 632 403, Tamilnadu, India
Factory 2 :	152, SIDCO Industrial Estate, Ranipet – 632 403, Tamilnadu, India

DIRECTORS

As on 18.08.2011

Name :	Mr. Narayansamy Baskaran
Designation :	Managing Director
Address :	N-Baskaran 70, Vanapadi Road, Ranipet, Vellore – 632 402, Tamilandu, India
Date of Birth/Age :	12.09.1956
Date of Appointment :	02.11.1993
DIN No.:	02063363
Name :	Mr. Porselvi Baskaran
Designation :	Director
Address :	B-Porselvi 70, Vanapadi Road, Ranipet – 632 402, Tamilnadu, India
Date of Appointment :	02.11.1993
DIN No.:	02077949

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 18.08.2011

Names of Shareholders	No. of Shares
Narayanasamy Baskaran	175000
Baskaran Prselvi	675000
Baskaran – HUF	50000
Total	900000

As on 18.08.2011

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

BUSINESS DETAILS

Line of Business :

Manufacturer and Retailer of Leather Goods, Accessories and Garments etc.

PRODUCTION STATUS (AS ON 31.03.2011)

Particulars	Unit	Installed Capacity
Leather	Pairs per day	1500

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

v State Bank of India, SME, Walajpet – 632 513, Tamilnadu, India

v Indian Bank

Facilities :

Secured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Rupee Term Loans Bank Secured	16.960	25.908
Rupee Term Loans Other Secured	95.258	62.529
Total	112.218	88.437

Banking Relations :	--
Auditors :
Name :	Kalyansundaram and Company Chartered Accountants
Address :	13F/6, I Lane, M.F. Road, Navalpur, Ranipet – 632 402, Tamilnadu, India
PAN No.:	AAASK0600Q
Group/ Associate Companies/ Firm:	v Ram Leathers v Royale Leathers Private Limited v Royale Leather Exports Private Limited v Vivek Leathers v BBK Exports

CAPITAL STRUCTURE

As on 18.08.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
1000000	Equity Shares	Rs.10/- each	Rs.10.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
900000	Equity Shares	Rs.10/- each	Rs.9.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		9.000	9.000	9.000
2] Share Application Money		10.000	10.000	10.000
3] Reserves & Surplus		103.954	84.400	80.656
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		122.954	103.400	99.656
LOAN FUNDS
1] Secured Loans		112.218	88.437	87.918
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		112.218	88.437	87.918
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		235.172	191.837	187.574
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		108.544	88.686	101.587
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERRED TAX ASSETS		0.008	0.239	0.539
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	129.096	59.591	69.381
	Sundry Debtors	74.416	64.534	49.223
	Cash & Bank Balances	1.659	2.907	2.847
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	57.935	45.254	37.907
Total Current Assets		263.106	172.286	159.358
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	123.747	60.856	67.090
	Other Current Liabilities	0.000	0.000	0.000
	Provisions	12.739	8.518	6.820
Total Current Liabilities		136.486	69.374	73.910
Net Current Assets		126.620	102.912	85.448
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		235.172	191.837	187.574

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		TOTAL	NA	561.295	558.593
Less	EXPENSES
		TOTAL	NA	533.332	534.867
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		41.402	27.963	23.726
Less/ Add	DEPRECIATION/ AMORTISATION		15.625	14.223	11.994
	PROFIT BEFORE TAX		25.777	13.740	11.732
Less	TAX		NA	11.608	0.713
	PROFIT AFTER TAX		NA	2.132	11.019
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	1003.627	560.258	556.407
	TOTAL EARNINGS		1003.627	560.258	556.407
	IMPORTS
		Leather Import	65.962	73.088	127.051
		Consumable	149.137	45.140	26.852
	TOTAL IMPORTS		215.099	118.228	153.903
	Earnings Per Share (Rs.)		NA	2.37	12.24

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	NA	0.38	1.97
Return on Total Assets (PBT/Total Assets}	(%)	6.93	5.26	4.50
Return on Investment (ROI) (PBT/Networth)		0.20	0.13	0.12
Debt Equity Ratio (Total Debt/Networth)		0.91	0.86	0.88
Current Ratio (Current Asset/Current Liability)		1.92	2.48	2.16

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	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 two 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	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

FUTURE PROSPECTS

The directors are confident that the company is expected to do well in the current year as well as in the years to come.

Bankers Charges Report as per Registry

Corporate identity number of the company	U18209TN1993PTC026136
Name of the company	B.B.K. LEATHERS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Plot No.41, SIPCOT Industrial Estate, Ranipet – 632 403, Tamilnadu, India
This form is for	Creation of charge
Type of charge	Others
Particular of charge holder	State Bank of India, SME, Walajpet – 632 513,Tamilnadu, India E-Mail: venkat.sridhar@sbi.co.in
Nature of instrument creating charge	Corporate guarantee agreement dated 20.02.2012
Date of instrument Creating the charge	20.02.2012
Amount secured by the charge	Rs.91.600 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest As per Agreement Terms of repayment As per Agreement Margin As per Agreement Extent and operation of the charge Corporate Guarantee
Short particulars of the property charged (Including location of the property)	Corporate Guarantee

FIXED ASSETS:

v Plant and Machinery

v Furniture and Fixtures

v Electrical Installations

v Cars

v Bus

v Van

v Office Equipments

v Electrical Items

v Computer and Software Equipments

v Land

v Building

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.53.70
UK Pound	1	Rs.84.35
Euro	1	Rs.72.21

INFORMATION DETAILS

Report Prepared by :

SMN

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	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		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.