MIRA INFORM REPORT

Report Date :

06.06.2013

IDENTIFICATION DETAILS

Name :	HIGH STREET FASHIONS PRIVATE LIMITED
Formerly Known As :	HIGH STREET FASHION LIMITED
Registered Office :	B – 17, Bais Godam Industrial Area, Jaipur - 302006, Rajasthan
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	01.06.2000
Com. Reg. No.:	17-016452
Capital Investment / Paid-up Capital :	Rs. 102.255 Millions
CIN No.: [Company Identification No.]	U74994RJ2000PTC016452
IEC No.:	1300007770
TIN No.:	08852105858
TAN No.: [Tax Deduction & Collection Account No.]	JPRH02172C
PAN No.: [Permanent Account No.]	AAACH8656A
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporters of all types Computer Socks, Tights, Wrist Bands, Head Bands and Knitting Articles
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (36)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 770000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. The company recorded large inventory requirement and long receivable cycle due to which working capital requirement is high. However, trade relations are reported to be fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealings with some 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	A1	A1

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

EXTERNAL AGENCY RATING

Rating Agency Name	ICRA
Rating	Long Term Rating = B+
Rating Explanation	Having high risk of default regarding timely servicing of financial obligation
Date	April, 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.

LOCATIONS

Registered Office :	B – 17, Bais Godam Industrial Area, Jaipur-302006, Rajasthan, India
Tel. No.:	91-141-2214065 / 2211658 / 2214074
Fax No.:	91-141-2212984
E-Mail :	pigconsox@yahoo.co.uk unileg-1@datainfosys.net unileg_jp1@sancharnet.in highstreetfashions@gmail.com
Website :	www.highstreetfashions.com
Head Office / Factory 1 :	B – 17and B – 18, 22 Godown Industrial Estate, Jaipur – 302 006, Rajasthan, India
Factory 2 :	B- 3 and B – 4, 22 Godown Industrial Estate, Jaipur – 302 006, Rajasthan, India
Tel. No.:	91-141- 2214074, 2211658, 4025431
Fax No.:	91-141-2212984
E-Mail :	highstreet@datainfosys.net rks@highstreetfashions.com

DIRECTORS

As on 29.09.2012

Name :	Mr. Raj Kumar Sethia
Designation :	Director
Address :	B-23, Ram Marg, Shyam Nagar, Jaipur - 302019, Rajasthan, India
Date of Birth/Age :	03.10.1955
PAN No. :	AMAPS5392R
Date of Appointment :	15.12.2011
DIN No.:	00050948
Name :	Mr. Moti Lal Baid
Designation :	Director
Address :	B-23, Ram Marg, Shyam Nagar, Jaipur - 302019, Rajasthan, India
Date of Birth/Age :	20.12.1934
PAN No. :	AEJPB5959G
Date of Appointment :	29.01.2003
DIN No.:	00051056
Name :	Mrs. Neeta Sethia
Designation :	Director
Address :	B-23, Ram Marg, Shyam Nagar, Jaipur - 302019, Rajasthan, India
Date of Birth/Age :	14.05.1960
PAN No. :	ATWPS3614D
Date of Appointment :	01.04.2001
DIN No.:	00051088
Name :	Mrs. Padmini Palod
Designation :	Director
Address :	258, Vinobha Vihar, Malviya Nagar, Jaipur - 302017, Rajasthan, India
Date of Birth/Age :	17.05.1969
Date of Appointment :	01.11.2002
DIN No.:	00059564
Name :	Mr. Vinit Kumar Chopda
Designation :	Director
Address :	550, Main Road, Sadar Bajar, Raipur-492001, Chhattisgarh, India
Date of Birth/Age :	12.12.1980
Date of Appointment :	14.11.2009
DIN No.:	01536099

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.2012

Names of Shareholders	No. of Shares
Divya Sethia	619800
Neeta Sethia	3911200
Motilal Bais	3541700
Prachi Sethia	142800
Aishwarya Sethia	120300
Cabitech India Private Limited, India	621700
The Techmech India, India	225
Padmini Palod	15000
Alanknt Vyapar Private Limited, India	150
Giriraj Commercial Private Limited, India	150
Raccop Gniya	225
Anglaa Trading Private Limited, India	225
Alpha Chemi Trade Private Limited, India	150
Empress Associates Private Limited, India	1
D S Consultancy and Holding Private Limited, India	1
Seta Ram Investment Limited, India	1
Swam Puspa Vaniya Private Limited, India	75
Vinit Kumar Chopda	7500
Dhan Kuber Infra Private Limited, India	156700
Raj Kumar Sethia	782300
Dulichand Jethmal Trading Private Limited, India	215000
Neeta Resorts and Spa Private Limited, India	90000
Laxman Rai	297
TOTAL	10225500

As on 29.09.2012

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Bodies corporate	10.60
Directors or relatives of Directors	89.39
Others	0.01
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Socks.

Products :

ITC CODE	PRODUCTS
61159200	Knittec Socks

PRODUCTION STATUS (AS ON 31.03.2011)

Particulars	Unit	Installed Capacity	Actual Production
Knittec Socks	Pairs	370000	2458155

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· HDFC Bank Limited, HDFC Bank Housesenapati Bapat Marg, Lower Parel (West), Mumbai - 400013, Maharashtra, India

· State Bank of India, Industrial Estate, Jaipur South, Jaipur-302006, Rajasthan, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2012	As on 31.03.2011
Long-term borrowings
Term loans from banks	19.633	22.660
Loans taken for vehicles	4.109	6.067
Loans taken for other fixed assets	0.000	43.699
Short-term borrowings
Working capital loans from banks	34.258	33.688
Total	58.000	106.114
Two term loan has been taken from SBI, Bais Godam Branch, Jaipur and out of which one term loan of Rs. 15.600 Millions is repayable in 31 installemtment i.e. 30 installments of Rs. 0.530 Million and 31^st of Rs.0.450 Million, starting from October. 2010 and another term loan of Rs. 23.000 Millions is repayable in 72 installments starting from April 2011 consisting first 24 installments of Rs.0.150 Million, next 47 installments of Rs. 0.400 Million and last installment of Rs. 0.600 Million payable in march 2017. This loan is secured by way of equitable mortgage of factory land, building and first charge by way of hypothecation of plant and machinery installed or to be installed out of the loan, book-debts, movable assets, all current and fixed assets of the company. Working Capital Llimit has been secured by hypothecation of Stock of Raw Material, Work in Process and Finished Goods and are further secured by way of Equitable Mortgage of Land and Building of the company as well as directors and hypothecation of all exisiting assets and guaranteed by all the directors.

Banking Relations :	--
Auditors :
Name :	A. Nathani and Company Chartered Accountants
Address :	Room No. 7, Second Floor, Samod Tower, Dadu Bagh, S C Road, Jaipur – 302 001, Rajasthan, India
Tel. No.:	91-141-2370994
PAN.:	AAPFA4438J

CAPITAL STRUCTURE

As on 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
10500000	Equity Shares	Rs.10/- each	Rs.105.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
10225500	Equity Shares	Rs.10/- each	Rs.102.255 Millions

Disclosure of shareholding more than five per cent in company

Name of shareholder	Number of shares held in company	Percentage of shareholding in company
Neeta Sethia	3911200	38.25%
Moti Lal Baid	3541700	34.64%
Raj Kumar Sethia	782300	7.65%
Divya Sethia	619800	6.06%
Cabtech India Private Limited	621700	6.08%

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2012	31.03.2011	31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		102.255	102.255	98.285
2] Share Application Money		0.002	0.000	0.002
3] Reserves & Surplus		92.742	92.979	87.165
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		194.999	195.234	185.452
LOAN FUNDS
1] Secured Loans		58.000	106.114	51.341
2] Unsecured Loans		84.014	24.472	19.995
TOTAL BORROWING		142.014	130.586	71.336
DEFERRED TAX LIABILITIES		2.312	2.252	2.208
TOTAL		339.325	328.072	258.996
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		163.007	152.345	138.030
Capital work-in-progress		0.000	91.709	87.687
INVESTMENT		0.003	0.003	0.003
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	41.915	35.233	33.061
	Sundry Debtors	36.840	24.580	22.272
	Cash & Bank Balances	2.889	2.463	4.207
	Other Current Assets	0.028	0.050	0.000
	Loans & Advances	125.762	44.195	40.564
Total Current Assets		207.434	106.521	100.104
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	18.917	11.815	66.640
	Other Current Liabilities	10.252	8.104	0.236
	Provisions	1.950	2.587	1.652
Total Current Liabilities		31.119	22.506	68.528
Net Current Assets		176.315	84.015	31.576
MISCELLANEOUS EXPENSES		0.000	0.000	1.700
TOTAL		339.325	328.072	258.996

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	122.149	100.391	100.288
		Other Income	0.440	0.217	0.253
		TOTAL (A)	122.589	100.608	100.541
Less	EXPENSES
		Other Expenses	94.502	78.569	79.458
		Increase / (Decrease) in Finished Stock	(4.043)	(2.813)	(0.620)
		TOTAL (B)	90.459	75.756	78.838
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		32.130	24.852	21.703
Less	FINANCIAL EXPENSES (D)		13.524	10.007	8.627
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		18.606	14.845	13.076
Less/ Add	DEPRECIATION/ AMORTISATION (F)		12.782	9.523	8.036
	PROFIT BEFORE TAX (E-F) (G)		5.824	5.322	5.040
Less	TAX (H)		2.034	2.019	1.788
	PROFIT AFTER TAX (G-H) (I)		3.790	3.303	3.252
	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		12.579	10.132	7.738
	BALANCE CARRIED TO THE B/S		NA	12.579	10.132
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	1.255	NA	NA
	TOTAL EARNINGS		1.255	NA	NA
	Earnings Per Share (Rs.)		0.37	0.32	0.33

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	3.09	3.28	3.23
Net Profit Margin (PBT/Sales)	(%)	4.77	5.30	5.03
Return on Total Assets (PBT/Total Assets}	(%)	1.57	2.06	2.12
Return on Investment (ROI) (PBT/Networth)		0.03	0.03	0.03
Debt Equity Ratio (Total Debt /Networth)		0.73	0.67	0.38
Current Ratio (Current Asset/Current Liability)		6.67	4.73	1.46

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check List by Info Agents	Available in Report (Yes / No)
1]	Year of Establishment	Yes
2]	Locality of the firm	Yes
3]	Constitutions of the firm	Yes
4]	Premises details	No
5]	Type of Business	Yes
6]	Line of Business	Yes
7]	Promoter's background	Yes
8]	No. of employees	No
9]	Name of person contacted	No
10]	Designation of contact person	No
11]	Turnover of firm for last three years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	----------------------
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	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	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	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

FUTURE OUTLOOK:

The company is constantly striving to increase its market share by implementing better policies and providing quality products to its customers.

COMPANY OVERVIEW

The company was incorporated as on 01.06.2000 and started business of Manufacturer of Socks. The company has very good customer base like Reebock India Limited, Addidas Limited and other foreign buyers. The company had earlier decided to diversifying its business in setting up steel plant but In view of the present scenario, the company has decided to concentrate on its existing business socks business and grounded the idea of diversifing its business in the process of setting up a Rolling Mill resulting hived off its division Techmech Steel. Very soon the company is launching its own Brand.

CONTINGENT LIABILITIES NOT PROVIDED FOR:

Rs. In Millions

Particular	31.03.2012	31.03.2011
Counter Guarantees given by banker for guarantees issued by them	4.825	4.008

In respect of pending assessment of sales tax and income tax for accounting year 2010-11 and onwards, liability arising, if any, at the time of assessment shall be accounted for on payment basis.

UNSECURED LOAN

Rs. In Millions

Particular	As on 31.03.2012	As on 31.03.2011
Long-term borrowings
Other loans and advances	83.182	23.462
Short-term borrowings
Other loans and advances, others	0.832	1.010
Total	84.014	24.472

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U74994RJ2000PTC016452
Name of the company	HIGH STREET FASHIONS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	B – 17, Bais Godam Industrial Area, Jaipur - 302006, Rajasthan, India fashions.highstreet@gmail.com
This form is for	Creation of charge
Type of charge	· Immovable property · Any interest in immovable property · Book debts · Movable property (not being pledge) · Floating charge
Particular of charge holder	State Bank of India, Industrial Estate, Jaipur South, Jaipur-302006, Rajasthan, India ashokbumbco@yahoo.co.in
Nature of instrument creating charge	Letter of Arrangement Agreement of Loan cum Hypothecation Board Resolution
Date of instrument Creating the charge	27.09.2012
Amount secured by the charge	Rs.45.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest Interest to be charged @3.95 % above SBAR 9.75 % p.a. present effective rate 13.70 % p.a. chargeable monthly subject to change from time to time. Terms of Repayment Repayable in 72 monthly installments, Detailed as Nov 2012 to October 2013, 12 months Moratorium, only interest to be charged. October 2013 to March 2014 Five installments of Rs. 0.540 Million each. April 2014 to March 2017 Thirty Six installments of Rs.0.625 Million each. April 2017 to March 2019 Twenty Four installments of Rs. 0.650 Million each. April 2019 to October 2019 Seven installments of Rs.0.600 Million each. Margin Stock 25 % Receivables (cover 105 days) 30% Bank Guarantees 15 % Extent and Operation of the charge The charge operates on first charge basis. Others New Term Loan III of Rs. 45.000 Millions sanctioned, Other Limits to continue detailed as Cash Credit (hypothecation./Book Debts) Rs. 40.000 Million Bank Guarantee Rs. 5.500 Million Term Loan - I old Rs.3.300 Million O/S Balance Term Loan - II old Rs. 20.700 Million O/S Balance Total Exposure Rs 114.500 Million
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Exclusive first charge on fixed assets of the company created or to be created out of banks finance. First and exclusive hypothecation charge on entire current assets including stock of raw materials, stores and spares, stock in process, finished goods present and future. First and exclusive hypothecation charge on entire present and future Book Debts, receivables, clean or Documentary bills of the company. Equitable Mortgage extended on entire land and building situated at Plot No. B -3 (223 square meters), Bais Godam, Industrial Estate, Jaipur as security on first charge basis. Equitable Mortgage extended on entire land and building situated at Plot No. B -17 (148.84 square meters), Bais Godam, Industrial Estate, Jaipur as security on first charge basis. Equitable Mortgage created on entire land and building situated at Plot No. B - 4 (218 square meters),Bais Godam, Industrial Estate, Jaipur as security on first charge basis. Equitable Mortgage created on entire land and building situated at Plot No. B - 18 (148.84 square meters), Bais Godam, IE, Jaipur in name of Pigeon Sox as security on first charge basis.

FIXED ASSETS

· Land

· Plant and Machinery

· Electric Installations

· Furniture and Fixtures

· Lift

· Car

· Air Conditioners

· Cycle

· Fax Machine

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.56.42
UK Pound	1	Rs.86.54
Euro	1	Rs.73.86

INFORMATION DETAILS

Report Prepared by :

NTH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	4
--RESERVES	1~10	4
--CREDIT LINES	1~10	4
--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
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		36

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.