MIRA INFORM REPORT

Report Date :

15.03.2013

IDENTIFICATION DETAILS

Name :	CENTRALE D'ACHATS ZANNIER SNC
Registered Office :	ZI du Clos Marquet, BP 88, Saint Chamond,
Country :	France
Financials (as on) :	31.12.2011
Date of Incorporation :	15.12.1994
Com. Reg. No.:	399235837
Legal Form :	Private Subsidiary Company
Line of Business :	manufacturer of knitted or crocheted pullovers, cardigans, jerseys, waistcoats and similar articles
No. of Employees :	272

RATING & COMMENTS

MIRA’s Rating :

B

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

Status :	Moderate
Payment Behaviour :	No Complaints
Litigation :	Clear

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^th, 2012

Country Name	Previous Rating (31.03.2012)	Current Rating (30.06.2012)
France	A2	A2

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

France - ECONOMIC OVERVIEW

France was transitioning from an economy that has featured extensive government ownership and intervention to one that relies more on market mechanisms but is in the midst of a euro-zone crisis. The government has partially or fully privatized many large companies, banks, and insurers, and has ceded stakes in such leading firms as Air France, France Telecom, Renault, and Thales. It maintains a strong presence in some sectors, particularly power, public transport, and defense industries. With at least 75 million foreign tourists per year, France is the most visited country in the world and maintains the third largest income in the world from tourism. France's leaders remain committed to a capitalism in which they maintain social equity by means of laws, tax policies, and social spending that reduce income disparity and the impact of free markets on public health and welfare. France's real GDP contracted 2.6% in 2009, but recovered somewhat in 2010 and 2011. The unemployment rate increased from 7.4% in 2008 to 9.3% in 2010 and 9.1% in 2011. Lower-than-expected growth and increased unemployment have cut government revenues and increased borrowing costs, contributing to a deterioration of France's public finances. The government budget deficit rose sharply from 3.4% of GDP in 2008 to 7.5% of GDP in 2009 before improving to 5.8% of GDP in 2011, while France's public debt rose from 68% of GDP to 86% over the same period. Under President SARKOZY, Paris implemented austerity measures that eliminated tax credits and froze most government spending in an effort to bring the budget deficit under the 3% euro-zone ceiling by 2013 and to highlight France's commitment to fiscal discipline at a time of intense financial market scrutiny of euro-zone debt levels. Socialist Francois HOLLANDE won the May 2012 presidential election, after advocating pro-growth economic policies, as well as measures such as forcing banks to separate their traditional deposit taking and lending activities from more speculative businesses, increasing taxes on bank profits, introducing a new top bracket on income taxes for people earning over €1 million ($1.3 million) a year, and hiring an additional 60,000 civil servants during his five-year term of office.

Source : CIA

Company name & address

Centrale d'Achats Zannier SNC

ZI du Clos Marquet

BP 88

Saint Chamond,

France

Tel: +33 04 77 31 13 13

Fax: +33 04 77 31 13 05

Web: www.zanniergroup.com

Synthesis

Employees: 272

Company Type: Private Subsidiary

Corporate Family: 30 Companies

Ultimate Parent: Sofiza

Incorporation Date: 15-Dec-1994

Financials in: USD (Millions)

Fiscal Year End: 31-Dec-2011

Reporting Currency: Euro

Annual Sales: 482.5

Total Assets: 242.4

Business Description

Centrale D Achats Zannier is primarily engaged in manufacture of knitted or crocheted pullovers, cardigans, jerseys, waistcoats and similar articles.

Industry

Industry Footwear

ANZSIC 2006: 3712 - Clothing and Footwear Wholesaling

NACE 2002: 5142 - Wholesale of clothing and footwear

NAICS 2002: 424340 - Footwear Merchant Wholesalers

UK SIC 2003: 51423 - Wholesale of footwear

UK SIC 2007: 4642 - Wholesale of clothing and footwear

US SIC 1987: 5139 - Footwear

Key Executives

Name	Title
Bernard Alexis Marie Molter	Partner
Jean-Philippe Bou	Director
Veronique Halluin	Director
Bernard Legrand	EDP manager
David Czimowski	Purchase manager

Registered No.(FRA): 399235837

1 - Profit & Loss Item Exchange Rate: USD 1 = EUR 0.7191895

2 - Balance Sheet Item Exchange Rate: USD 1 = EUR 0.770327

Corporate Overview

Location

ZI du Clos Marquet

BP 88

Saint Chamond, France

Tel: +33 04 77 31 13 13

Fax: +33 04 77 31 13 05

Web: www.zanniergroup.com

Sales EUR(mil): 347.0

Assets EUR(mil): 186.7

Employees: 272

Fiscal Year End: 31-Dec-2011

Industry: Footwear

Incorporation Date: 15-Dec-1994

Company Type: Private Subsidiary

Quoted Status: Not Quoted

Registered No.(FRA): 399235837

Gérant: Loic Josse

Industry Codes

ANZSIC 2006 Codes:

3712 - Clothing and Footwear Wholesaling

NACE 2002 Codes:

5142 - Wholesale of clothing and footwear

NAICS 2002 Codes:

424340 - Footwear Merchant Wholesalers

US SIC 1987:

5139 - Footwear

UK SIC 2003:

51423 - Wholesale of footwear

UK SIC 2007:

4642 - Wholesale of clothing and footwear

Business Description

Central purschasing organisation buying and selling footwear

More Business Descriptions

Centrale D Achats Zannier is primarily engaged in manufacture of knitted or crocheted pullovers, cardigans, jerseys, waistcoats and similar articles.

Financial Data

Financials in:	EUR(mil)
Revenue:	347.0
Assets:	186.7
Current Assets:	185.0
Total Liabilities:	186.7
Issued Capital:	30.0
Net Worth:	30.5
Date of Financial Data:	31-Dec-2011

1 Year Growth

15.2%

NA

Key Corporate Relationships

Bank:	Bnp Paribas, Credit Agricole, Lcl Le Credit Lyonnais

Corporate Family	Corporate Structure News:
	Centrale d'Achats Zannier SNC
Centrale d'Achats Zannier SNC Total Corporate Family Members: 30

Company Name	Company Type	Location	Country	Industry	Sales (USD mil)	Employees
Sofiza	Parent
Financière Zannier SAS	Subsidiary	Paris	France	Miscellaneous Financial Services	2.7	7
Zannier SASU	Subsidiary	Paris	France	Retail (Apparel)	121.7	749
Zannier Portugal - Comércio De Vestuário, S.A.	Subsidiary	Braga, Braga	Portugal	Apparel and Accessories	6.4	20
Logtex	Subsidiary	St Chamond	France	Miscellaneous Financial Services	48.1	374
Ag Com	Subsidiary	Paris	France	Apparel and Accessories	28.5	374
Groupe Zannier Prestations	Subsidiary	Paris	France	Commercial Banks		374
Centrale d'Achats Zannier SNC	Subsidiary	Saint Chamond	France	Footwear	482.5	272
Multimag	Subsidiary	Paris	France	Retail (Apparel)	103.0	224
Catimini SAS	Subsidiary	Saint Macaire en Mauges	France	Apparel and Accessories	30.5	74
Groupe Zannier UK Ltd.	Subsidiary	London	United Kingdom	Retail (Apparel)	4.0
Garsys	Subsidiary	St Chamond	France	Computer Services	24.5	74
Poron SAS	Subsidiary	Troyes	France	Retail (Apparel)	9.5	74
One Step	Subsidiary	St Macaire En Mauges	France	Apparel and Accessories	6.9	34
Dauphitex SAS	Subsidiary	Rillieux la Pape	France	Apparel and Accessories	4.8	34
Chipie International SAS	Subsidiary	Carcassonne	France	Apparel and Accessories	3.9	34
Chipie Design	Subsidiary	Carcassonne	France	Miscellaneous Financial Services	0.6	34
Creation Et Production Sa	Subsidiary	St Macaire En Mauges	France	Apparel and Accessories	3.8	34
Groupe Zannier	Subsidiary	Paris	France	Miscellaneous Financial Services	8.2	24
Decant-Jullien SA	Subsidiary	Beaurains	France	Apparel and Accessories	2.4	34
Chipie Licensing Ltd.	Subsidiary	Cobham	United Kingdom	Business Services	0.4
Groupe Zannier	Branch	St Chamond, Loire	France	Miscellaneous Financial Services
Ikks Group SAS	Subsidiary	Saint Marcaire en Mauges	France	Apparel and Accessories	31.5	7
Ikks Retail	Subsidiary	Paris	France	Retail (Apparel)	197.3	374
Ikks Italy SRL	Subsidiary	Milano, Milano	Italy	Apparel and Accessories	2.9	4
Ikks Women	Subsidiary	St Macaire En Mauges	France	Apparel and Accessories	95.2
Groupe Zannier International SAS	Subsidiary	Saint Chamond	France	Retail (Apparel)	361.1
Gruppo Zannier Italia SRL	Subsidiary	Milano, Milano	Italy	Retail (Apparel)	137.0	811
M B Distribution	Subsidiary	Savigny Sur Orge	France	Retail (Apparel)	51.1
Duguy Creations	Subsidiary	St Chamond	France	Apparel and Accessories	0.8

Executive report

Executives

Name	Title	Function
Loic Josse	Gérant	Managing Director
Bernard Molter	Gérant	Managing Director
Jean-Philippe Bou	Director	Administration Executive
Veronique Halluin	Director	Administration Executive
Bernard Legrand	EDP manager	Information Executive
David Czimowski	Purchase manager	Purchasing Executive
Bernard Alexis Marie Molter	Partner	Partner
Loic Rene Francis Josse	Partner	Partner

Annual Profit & Loss

	31-Dec-2011	31-Dec-2010	31-Dec-2009
Period Length	12 Months	12 Months	12 Months
Filed Currency	EUR	EUR	EUR
Exchange Rate (Period Average)	0.71919	0.755078	0.719047
Consolidated	No	No	No
Total income	493.0	410.8	354.9
Net sales	482.5	399.0	351.9
Change in stock	2.7	-0.3	0.3
Unfinished work in progress	7.4	9.4	0.6
Supplementary operating income	3.2	2.4	2.4
Other operating income	0.0	0.0	0.0
Other external charges	49.5	46.1	45.5
Cost of goods sold	413.5	333.6	283.5
Taxes and social security costs	1.0	1.4	0.9
Social charges	4.8	5.2	4.9
Total payroll costs	13.0	12.9	12.5
Cost of stock depreciation and amortisation	2.0	3.0	2.5
Fixed asset depreciation and amortisation	0.5	0.5	0.7
Other operating costs	5.2	5.2	3.1
Total operating costs	492.2	407.5	353.9
Net operating income	0.8	3.2	1.1
Total financial income	3.1	2.0	3.2
Interest payable on loans	0.5	0.5	0.5
Other expenses	2.9	3.7	1.6
Total expenses	3.3	4.2	2.1
Profit before tax	0.6	1.1	2.2
Extraordinary income	0.2	0.4	0.8
Extraordinary expenses	0.1	1.0	0.8
Extraordinary result	0.1	-0.6	0.0
Profit distributed to employees	0.1	0.1	0.1
Net profit	0.6	0.4	2.1

Annual Balance Sheet

Financials in: USD (mil)

	31-Dec-2011	31-Dec-2010	31-Dec-2009
Filed Currency	EUR	EUR	EUR
Exchange Rate	0.770327	0.745406	0.696986
Consolidated	No	No	No
Issued capital	38.9	40.2	43.0
Legal reserves	0.0	0.0	0.0
Total reserves	0.0	0.0	0.0
Profits for the year	0.6	0.4	2.2
Total stockholders equity	39.6	40.7	45.3
Provisions and allowances	1.2	1.4	1.0
Trade creditors	149.3	119.0	97.3
Bank loans and overdrafts	0.2	3.5	0.3
Current bank debts	0.2	3.5	0.3
Other loans	0.2	0.1	0.2
Other liabilities	47.6	36.4	53.3
Debts on fixed assets	0.0	0.0	0.3
Income stated in advance	0.1	0.1	0.1
Taxation and social security	4.3	4.3	5.2
Total current liabilities	201.6	163.5	156.7
Total debts	201.6	163.5	156.7
Regularisation account	0.0	-	-
Total liabilities (including net worth)	242.4	205.6	203.0
Patents	0.0	0.0	0.0
Other fixed assets	1.2	1.6	2.5
Long-term investments	0.0	0.0	0.0
Other financial assets	1.0	1.1	1.1
Total non-current assets	2.2	2.6	3.6
Prepayments	-	0.0	-
Net stocks and work in progress	45.7	41.5	34.5
Trade debtors	120.2	107.3	125.9
Other receivables	72.4	52.6	34.7
Prepaid expenses	0.1	0.1	0.1
Cash and liquid assets	1.8	1.1	3.9
Total current assets	240.2	202.8	199.1
Prepaid expenses and deferred costs	0.0	0.2	0.2
Total assets	242.4	205.6	203.0

Annual Ratios

Financials in: USD (mil)

	31-Dec-2011	31-Dec-2010	31-Dec-2009
Period Length	12 Months	12 Months	12 Months
Filed Currency	EUR	EUR	EUR
Exchange Rate	0.770327	0.745406	0.696986
Consolidated	No	No	No
Current ratio	1.20	1.20	1.30
Quick ratio	1.00	1.00	1.10
Total liabilities to net worth	5.10%	4.04%	3.48%
Net worth to total assets	0.16%	0.20%	0.22%
Collection period	81.00	80.60	105.30
Stock turnover rate	9.90	9.70	10.50
Asset turnover	1.86%	1.97%	1.79%
Profit margin	0.00%	0.00%	0.01%
Return on assets	0.00%	0.01%	0.01%
Shareholders' return	0.02%	0.03%	0.05%
Sales per employee	8,368.15	7,238.49	6,079.76
Profit per employee	10.99	20.02	37.78
Average wage per employee	224.84	233.43	216.64
Net worth	39.6	40.7	45.3
Number of employees	272	273	273

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.54.44
UK Pound	1	Rs.81.33
Euro	1	Rs.70.50

INFORMATION DETAILS

Report Prepared by :

MNL

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	----

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%)

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.