MIRA INFORM REPORT

Report Date :

07.06.2013

IDENTIFICATION DETAILS

Name :	R B WOVENS PRIVATE LIMITED
Registered Office :	60, Raja Street, Sanjay Nagar, Erode – 638011, Tamilnadu
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	01.04.2005
Com. Reg. No.:	18-11696
Capital Investment / Paid-up Capital :	Rs.22.275 Millions
CIN No.: [Company Identification No.]	U17111TZ2005PTC011696
TAN No.: [Tax Deduction & Collection Account No.]	CMBR04227G
PAN No.: [Permanent Account No.]	AACCR9650E
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturers of Woven Fabrics
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (46)

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

Maximum Credit Limit :	USD 375000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having a satisfactory track record. There appears a huge increase in the net profitability during 2012. Trade relations are fair. Business is active. Payment terms are 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

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 :	60 Raja Street, Sanjay Nagar, Erode – 638011, Tamilnadu, India
Tel. No.:	91-424-2221508 / 2217288
Fax No.:	91-424-2268043
E-Mail :	info@rbwovens.com info@brexports.com siva@rbwovens.com vetaxes@gmail.com
Area :	2000 sq. ft. [Owned]

DIRECTORS

As on 29.09.2012

Name :	Mr. Balakrishnan Sivagnanam
Designation :	Managing Director
Address :	60 Raja Street, Sanjay Nagar, Erode – 638011, Tamilnadu, India
Date of Birth/Age :	10.06.1968
Date of Appointment :	01.04.2005
Name :	Mr. Rajagounder Balakrishnan
Designation :	Director
Address :	60 Raja Street, Sanjay Nagar, Erode – 638011, Tamilnadu, India
Date of Birth/Age :	03.06.1936
Date of Appointment :	01.04.2005
Name :	Mrs. B. Nagarathinam
Designation :	Director
Address :	60 Raja Street, Sanjay Nagar, Erode – 638011, Tamilnadu, India
Date of Birth/Age :	29.04.1945
Date of Appointment :	01.04.2005
Name :	Mrs. S. Pushpalatha
Designation :	Director
Address :	60 Raja Street, Sanjay Nagar, Erode – 638011, Tamilnadu, India
Date of Birth/Age :	24.04.1974
Date of Appointment :	01.04.2005

MAJOR SHAREHOLDERS

As on 29.09.2012

Names of Shareholders	No. of Shares
R. Balakrishnan	78150
B. Sivagnanam	68100
B. Nagrathinam	52700
S. Pushpalatha	23200
K. Palanisamy	300
P. Mallika	300
Total	222750

Equity Share Break up (Percentage of Total Equity)

As on 29.09.2012

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturers of Woven Fabrics

PRODUCTION STATUS

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Fabrics	Metres	NA	NA	1561803

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

• The Federal Bank Limited, No. 22, Palaniappa Street, Perundurai Road, Erode – 638001, Tamilnadu, India
• State Bank of India
• Indian Overseas Bank

Facilities :

Secured Loan	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
Term loan from The Federal Bank Limited for Machineries	1.733	19.476
Term loan from The Federal Bank Limited for Wind Mills	29.142	40.180
Packing credit Rupee loan from The federal Bank Limited Erode	7.000	29.987
Packing credit Foreign Currency loan from The federal Bank Limited Erode	58.079	34.464
Total	95.954	124.107

Note:

i) Term loan from The Federal Bank Limited as on 31.03.2012is Rs.13.665 Millions is secured by hypothecation of the Immovables, movables of the company and also secured by directors personal guarantees. The Loan is repayable in 72 monthly instalments of Rs.1.140 Million from August 2005.

ii) Term loan from The Federal Bank Limited as on 31.03.2012is Rs.4.230 Millions is secured by hypothecation of the Immovables, movables of the company and also secured by directors personal guarantees. The Loan is repayable in 90 monthly instalments of Rs.0.028 Million from March2010.

iii)Term loan from The Federal Bank Limited as on 31.03.2012 is Rs.1.788 Million is secured by hypothecation of the Immovables, movables of the company and also secured by director’s personal guarantees. The Loan is repayable in 84 monthly instalments of Rs.0.081 Million from January 2007.

iv)Term loan from The Federal Bank Limited as on 31.03.2012is Rs.40.622 Millions is secured by hypothecation of Windmills and equitable mortgage of the related lands of the company and also secured by directors personal guarantees/The Loan is repayable in 60 monthly instalments of Rs.0.957 Million from March 2010.

iii) Current Maturities of the Term loans are Rs.29.531 Millions {Previous Year Rs.29.928 Millions)

Banking Relations :	--
Auditors :
Name :	T V Venkataramanan and Company Chartered Accountants
Address :	15/D-1, Sathy Road, Behind Lotus Agency, Erode – 638003, Tamilnadu, India
PAN No.:	ABIPV8951C

CAPITAL STRUCTURE

As on 29.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
2500000	Equity Share	Rs.10/- each	Rs.25.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2227500	Equity Share	Rs.10/- each	Rs.22.275 Millions

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		22.275	22.275	22.275
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		71.387	53.811	51.242
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		93.662	76.086	73.517
LOAN FUNDS
1] Secured Loans		95.954	124.1078	139.200
2] Unsecured Loans		10.296	5.530	3.500
TOTAL BORROWING		106.250	129.637	142.700
DEFERRED TAX LIABILITIES		6.580	12.123	9.645
TOTAL		206.492	217.846	225.862
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		136.130	171.046	212.396
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERRED TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	23.960	101.314
	Sundry Debtors	91.899	38.733
	Cash & Bank Balances	11.175	15.320
	Other Current Assets	13.952	8.792
	Loans & Advances	20.194	7.988
Total Current Assets		161.180	172.147	72.365
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	28.713	16.562
	Other Current Liabilities	62.105	108.785
	Provisions	0.000	0.000
Total Current Liabilities		90.818	125.347	59.016
Net Current Assets		70.362	46.800	13.349
MISCELLANEOUS EXPENSES		0.000	0.000	0.0117
TOTAL		206.492	217.846	225.862

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	434.259	308.697	195.879
		Other Income	0.923	1.125	45.810
		TOTAL (A)	435.182	309.822	241.689
Less	EXPENSES
		Cost of Materials Consumed	186.697	200.596
		Changes in Inventories of Finished Goods and Work in Progress	55.732	(65.232)
		Employee benefits expenses	8.733	8.423
		Other expenses	107.981	94.635
		Exceptional Items	0.239	0.279
		TOTAL (B)	359.382	238.701	172.488
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		75.800	71.121	69.201
Less	FINANCIAL EXPENSES (D)		16.062	13.331	10.580
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		59.738	57.790	58.621
Less/ Add	DEPRECIATION/ AMORTISATION (F)		40.142	51.531	32.800
	PROFIT BEFORE TAX (E-F) (G)		19.596	6.259	25.821
Less	TAX (H)		2.020	3.690	10.725
	PROFIT AFTER TAX (G-H) (I)		17.576	2.569	15.096
	EARNINGS IN FOREIGN CURRENCY (On FOB Basis)		323.465	214.190	178.859
	IMPORTS
		Raw Materials	4.695	9.587	6.657
		Capital Goods including spares and stores	4.455	4.959	21.314
	TOTAL IMPORTS		9.150	14.546	27.971
	Earnings Per Share (Rs.)		78.90	11.54	NA

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	4.04	0.83	6.25
Net Profit Margin (PBT/Sales)	(%)	4.51	2.03	13.18
Return on Total Assets (PBT/Total Assets}	(%)	6.59	1.82	9.07
Return on Investment (ROI) (PBT/Networth)		0.21	0.08	0.35
Debt Equity Ratio (Total Debt /Networth)		1.13	1.70	1.94
Current Ratio (Current Asset/Current Liability)		1.77	1.37	1.23

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

UNSECURED LOANS:

Particulars	31.03.2012 Rs. In Millions	31.03.2011 Rs. In Millions
Loans from Directors	10.296	5.530
Total	10.296	5.530

BUSINESS & FUTURE OUTLOOK:

During the year the company has produced 1561803 Meters of fabrics and Garments as compared to 1353346 Meters in the previous year and attained total sales turnover of Rs.330.103 Millions as against the sales turnover of Rs.214.989 Millions in the last year. During the year the Company has earned a profit of Rs.17.576 Millions as against Rs.2.569 Millions in the previous year. The company's wind mills are operating at its full capacity and generated 5290582 units as against 3755606 units of electricity generated in the last year.

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U17111TZ2005PTC011696
Name of the company	R B WOVENS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	60, Raja Street, Sanjay Nagar, Erode – 638011, Tamilnadu, India E-Mail- veltaxes@gmail.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	90009383
Type of charge	· Book debts · Movable property (not being pledge)
Particular of charge holder	The Federal Bank Limited, 22 Palaniappa Street, Perundurai road, Erode – 638001, Tamilnadu, India E-mail- erd@federalbank.co.in
Nature of instrument creating charge	1. Term loan Agreement 2. Agreement for hypothecation of Plant and Machinery as additional security 3. Letter of credit Agreement. 4. Agreement for export Advances
Date of instrument Creating the charge	31.03.2012
Amount secured by the charge	Rs. 524.200 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest 1. Additional Term Loan: Deposit rate plus 1.5.% or Base rate whichever is higher. 2. Additional working capital loan: PCL - Base rate+2.25% (currently 13% p.a)-FDBP/FUBP/EBRD-6M LIOR +350bps Terms of Repayment 1. Term Loan : Repayable in 60 equal monthly installments after 12 months holiday period 2. Working capital Loan : 12 months Margin 1. Term Loan : 22% on the cost of machinery 2. Working capital Loan : PCL – nil Extent and Operation of the charge 1. Term loan : secured by plant and machineries such as Toyota Airjet looms, Dornier Airjet Weaving Machines, Kark Mayor Direct Beaming Machine various electrical items like Busduct flexible joint, Digital meters Circuit Breaker, CromptonGreaves Transformers 2. Working Capital ; Hypothecation of stock of raw materials packing materials goods in process and finished goods including goods in transit.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	1. Term loan : secured by plant and machineries such as Toyota Airjet looms, Dornier Airjet Weaving Machines, Kark Mayor Direct Beaming Machine various electrical items like Busduct flexible joint, digital meters circuit breakers, crompton greaves tranformers etc 2. Working Capital ; Hypothecation of stock of raw materials packing materials goods in process and finished goods including goods in transit.
Date of instrument modifying the charge	04.03.2010
Particulars of the present modification	Total limit is increased to Rs.524.200 Millions from the existing limit of Rs 367.400 Millions in view of the new term loan limit of Rs.141.800 Millions sanctioned with enhancement in PCL limit by Rs 15.000 Millions as below Existing Modified Term Loan 3659.00 5092.00 PCL/PCFC 5.00 6.50 FDBP/FUBP/EBRD 10.00 10.00 TOTAL 3674.00 5242.00

FIXED ASSETS:

· Land

· Building

· Plant and Machinery

· Electrical Installations

· Furniture and fittings

· Vehicle

· Computer

· Wind Mills

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.56.64
UK Pound	1	Rs.86.68
Euro	1	Rs.73.97

INFORMATION DETAILS

Report Prepared by :

AHN

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	6
--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	Yes
--AFFILIATION	YES/NO	No
--LISTED	YES/NO	No
--OTHER MERIT FACTORS	YES/NO	Yes
DEFAULTER
--RBI	YES/NO	No
--EPF	YES/NO	NO
TOTAL		46

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.