MIRA INFORM REPORT

Report Date :

11.03.2013

IDENTIFICATION DETAILS

Name :	ROYAL TOUCH FABLON PRIVATE LIMITED
Registered Office :	4, Synagogue Street, P.S. Hare Street, Kolkata – 700001, West Bengal
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	02.12.1999
Com. Reg. No.:	21-090687
Capital Investment / Paid-up Capital :	Rs.99.091 Millions
CIN No.: [Company Identification No.]	U19202WB1999PTC090687
TAN No.: [Tax Deduction & Collection Account No.]	CALR03058G
PAN No.: [Permanent Account No.]	AABCR5842F
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of FIBC Bulk Bags.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (44)

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

Maximum Credit Limit :	USD 1420000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having a satisfactory track record. There appears slight dip in profitability during the current year. However, the general financial position seems to be satisfactory. Trade relations are reported to be fair. Business is active. Payments are reported to be usually correct and as per commitment. The company can be considered for normal 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	ICRA
Rating	TERM LOAN : ICRA BB+
Rating Explanation	Having moderate risk of default regarding timely servicing of financial obligation.
Date	January 2013

Rating Agency Name	ICRA
Rating	SHIRT TERM NON FUND : ICRA A4+
Rating Explanation	Rating are considered to have minimal degree of safety regarding timely payment of financial obligation it carry very high credit risk and susceptible to default
Date	January 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 :	4, Synagogue Street, P.S. Hare Street, Kolkata – 700001, West Bengal, India
Tel. No.:	91-33-22104413/ 22421899/ 22104395/ 22104415/ 22425846
Fax No.:	91-33-22425792
E-Mail :	vktulsyan@rediffmail.com v.kandoi@rtfpl.net a.bhadra@rtfpl.net a.sharma@rtfpl.net
Website :	http://www.royaltouchfablon.com
Area :	3500 sq. ft.
Location :	Owned

DIRECTORS

As on: 29.09.2012

Name :

Mr. Prakash Kandoi

Designation :

Director

Address :

1/1, Bakery Road, Hastings, Kolkata – 700022, West Bengal, India

Date of Birth/Age :

19.10.1960

Qualification :

Post Graduate

Date of Appointment :

02.12.1999

PAN No.:

AGHPK2522L

DIN No.:

00589409

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U19202WB1999PTC090687	ROYAL TOUCH FABLON PRIVATE LIMITED	Director	02/12/1999	02/12/1999	-	Active	NO
2	U67120WB1972PLC028239	TARANAGAR INVESTMENT COMPANY LIMITED	Director	22/09/2008	22/09/2008	-	Active	NO

Name :

Mr. Vikash Kandoi

Designation :

Director

Address :

4, Synagogue Street, Kolkata – 700001, West Bengal, India

Date of Birth/Age :

07.08.1977

Qualification :

Graduate

Date of Appointment :

22.03.2004

PAN No.:

AKPPK8382C

DIN No.:

00589438

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U25209WB1994PTC061560	J V POLY PLAST PRIVATE LIMITED	Director	21/07/2003	21/07/2003	-	Active	NO
2	U67120WB1972PLC028239	TARANAGAR INVESTMENT COMPANY LIMITED	Director	23/09/2003	23/09/2003	-	Active	NO
3	U19202WB1999PTC090687	ROYAL TOUCH FABLON PRIVATE LIMITED	Director	22/03/2004	22/03/2004	-	Active	NO
4	U74950WB1998PTC086491	ARMSTRONG PACKAGINGS PRIVATE LIMITED	Director	01/09/2006	01/09/2006	-	Active	NO
5	U24114WB1999PTC090635	RENUKA SYNTHETICS PRIVATE LIMITED	Director	09/04/2007	09/04/2007	-	Active	NO
6	U51109WB2007PTC115449	INDO ASIAN COMMODITIES PRIVATE LIMITED	Director	01/05/2007	01/05/2007	-	Active	NO
7	L15491WB1945PLC012771	JAY SHREE TEA AND INDUSTRIES LIMITED	Whole-time director	01/04/2012	29/07/2008	-	Active	NO
8	U51909WB1988PTC043584	BHIRAGACHA FINANCE COMPANY PRIVATE LIMITED	Director	24/10/2008	24/10/2008	-	Active	NO
9	U51909WB2007PTC117976	SWADESHI TRADECOM PRIVATE LIMITED	Director	18/02/2009	18/02/2009	-	Active	NO
10	U18101WB1989PTC046564	VIKASH SYNTH-O-PLAST PRIVATE LIMITED	Director	10/11/2009	10/11/2009	-	Active	NO
11	U51109WB1982PLC034490	DIPLOMAT LIMITED	Director	30/09/2010	30/07/2010	-	Active	NO
12	U52390WB2010PTC143369	GLOSSY VINCOM PRIVATE LIMITED	Director	23/12/2011	23/12/2011	-	Active	NO
13	U52390WB2010PTC143444	DRAWBACK VANIJYA PRIVATE LIMITED	Director	23/12/2011	23/12/2011	-	Active	NO
14	U52100WB2010PTC143441	ANSH DISTRIBUTORS PRIVATE LIMITED	Director	23/12/2011	23/12/2011	-	Active	NO
15	U85110WB1981PLC133226	SITARAM INVESTMENT LIMITED	Director	23/12/2011	23/12/2011	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on: 29.09.2012

Names of Shareholders	No. of Shares
Prakash Kandoi	2245250
Vikash Kandoi	1924326
Pushpa Devi Kandoi	1218343
Renu Devi Kandoi	1021562
J.V. Polyplast Private Limited, India	2187299
Vikash Synthoplast (Private) Limited, India	528520
Renuka Synthetics (Private) Limited, India	252500
Armstrong Packagings (Private) Limited, India	439950
Zigma Distributors (Private) Limited, India	18310
Jaivardhan Kandoi	73050
Total	9909110

Equity Share Break up (Percentage of Total Equity)

As on: 29.09.2012

Category	Percentage
Bodies corporate	34.58
Directors or relatives of directors	65.42
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of FIBC Bulk Bags.
Products :	FIBCs Jute Bags / Fabric Woven Sacks Marketing / Carry Bags Tarpaulin Polythene Liners Multilayer Films

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· State Bank of Bikaner and Jaipur, 4, Synagogue Street, 1st Floor, Kolkata – 700 001, West Bengal, India

· ICICI Bank Limited

· HDFC Bank

· Axis Bank Limited (Lead Bank), Corporate Banking Branch (CBB), 1, Shakespeare Sarani, AC Market, 3rd Floor, Kolkata - 700071, West Bengal, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2012	As on 31.03.2011
Rupee term loans from banks	84.834	63.468
Loans taken for vehicles (Car Loans are secured against Hypothecation of respective Cars.)	3.870	4.406
Other loans and advances, others (Business loan is secured against Personal Guarantee of Directors and Hypothecation of residential property of Directors Relatives.)	91.816	97.338
Loans repayable on demand from banks (Cash Credit are secure against hypothecation of current assets, hypothecation of movable fixed assets and personal guarantee by the Director.)	339.426	304.447
Total	519.946	469.659

Banking Relations :	--
Auditors :
Name :	S. Swarup and Company Chartered Accountants
Address :	21, Hemanta Basu, Sarani 3rd Floor, Room No. 303, Kolkata – 700001, West Bengal, India
PAN No.:	ADMPG4819N

CAPITAL STRUCTURE

As on: 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Shares	Rs.10/- each	Rs.100.000 Millions
500000	Preference Shares	Rs.10/- each	Rs.5.000 Millions
	Total		Rs.105.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
9909110	Equity Shares	Rs.10/- each	Rs.99.091 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		99.091	97.843	92.228
2] Share Application Money		0.000	0.000	15.000
3] Reserves & Surplus		256.007	212.732	128.758
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		355.098	310.575	235.986
LOAN FUNDS
1] Secured Loans		519.946	469.659	344.163
2] Unsecured Loans		9.400	0.018	3.305
TOTAL BORROWING		529.346	469.677	347.468
DEFERRED TAX LIABILITIES		16.706	12.309	19.800
TOTAL		901.150	792.561	603.254
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		277.393	207.478	147.876
Capital work-in-progress		19.049	7.199	30.524
INVESTMENT		0.000	40.550	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	459.596	333.652	222.463
	Sundry Debtors	332.214	196.233	122.111
	Cash & Bank Balances	11.465	7.251	12.625
	Other Current Assets	0.496	0.990	0.000
	Other Non Current Assets	11.773	10.197	0.000
	Loans & Advances	77.150	192.014	160.347
Total Current Assets		892.694	740.337	517.546
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	212.015	137.902	72.804
	Other Current Liabilities	56.301	51.481	9.853
	Provisions	19.670	13.620	11.520
Total Current Liabilities		287.986	203.003	94.177
Net Current Assets		604.708	537.334	423.369
MISCELLANEOUS EXPENSES		0.000	0.000	1.485
TOTAL		901.150	792.561	603.254

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income/ Turnover	1706.318	NA	1032.960
		Other Income	NA
		TOTAL (A)	NA	NA	1032.960
Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses
		TOTAL (B)	NA	NA	1011.526 (Including Financial Expenses and Depreciation)
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		121.767
Less	FINANCIAL EXPENSES (D)		74.242
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		47.525
Less/ Add	DEPRECIATION/ AMORTISATION (F)		17.516
	PROFIT BEFORE TAX (E-F) (G)		30.009	28.047	21.434
Less	TAX (H)		14.447	(5.391)	19.241
	PROFIT AFTER TAX (G-H) (I)		19.562	33.438	2.193
	SHORT PROVISION OF TAX OF EARLIER YEARS		0.000	0.000	4.183
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		88.924	55.486	53.293
	BALANCE CARRIED TO THE B/S		108.486	88.924	55.486
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	100.842	226.804	105.080
	TOTAL EARNINGS		100.842	226.804	105.080
	TOTAL IMPORTS		16.162	66.137	137.640
	Earnings Per Share (Rs.)		2.00	3.42	0.24

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	NA	NA	0.21
Net Profit Margin (PBT/Sales)	(%)	1.76	NA	NA
Return on Total Assets (PBT/Total Assets}	(%)	2.56	2.96	3.22
Return on Investment (ROI) (PBT/Networth)		0.08	0.09	0.09
Debt Equity Ratio (Total Debt/Networth)		1.49	1.51	1.47
Current Ratio (Current Asset/Current Liability)		3.10	3.65	5.50

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

UNSECURED LOAN

(Rs. In Millions)

Particular	As on 31.03.2012	As on 31.03.2011
Other loans and advances	9.400	0.018
Total	9.400	0.018

FIXED ASSETS

Tangible Assets

· Land

· Buildings

· Factory Building

· Plant and Equipment

· Furniture and Fixtures

· Vehicles

· Office Equipment

· Computer Equipments

Intangible Assets

· 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.54.40
UK Pound	1	Rs.81.57
Euro	1	Rs.71.24

INFORMATION DETAILS

Report Prepared by :

VRN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	4
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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		44

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.