MIRA INFORM REPORT

Report Date :

25.05.2013

IDENTIFICATION DETAILS

Name :	SPECTRUM DYES AND CHEMICALS PRIVATE LIMITED
Registered Office :	207, Sanjay Building No.3A, Mittal Estate, Andheri (East), Mumbai-400059, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	06.09.1989
Com. Reg. No.:	04-176088
Capital Investment / Paid-up Capital :	Rs. 135.185 Millions
CIN No.: [Company Identification No.]	U24110MH1989PTC176088
TAN No.: [Tax Deduction & Collection Account No.]	SRTS00486D
PAN No.: [Permanent Account No.]	AADCS3979A
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Seller of Disperse Dyes.
No. of Employees :	250 (Approximately)

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 2950000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments. 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 – 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	CARE
Rating	BBB (Long term Bank facilities)
Rating Explanation	Moderate degree of safety and moderate credit risk.
Date	September, 2012

Rating Agency Name	CARE
Rating	A3 (Short term bank facilities)
Rating Explanation	Moderate degree of safety and higher credit risk.
Date	September, 2012

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 :	207, Sanjay Building No.3A, Mittal Estate, Andheri (East), Mumbai - 400059, Maharashtra, India
Tel. No.:	Not Available
Mobile No.:	91-9824102590 (Mr. Yogesh Gupta)
Fax No.:	Not Available
E-Mail :	ygupta@spectrumclyes.com bikram.mishra@gmail.com info@spectrumdyes.com ptcsurat@yahoo.co.in k_dalal@rediffmail.com spectrumdyes@drdcs.net
Website :	http://www.spectrumdyes.com
Location :	Owned
Corporate Office :	Block No. 484, 502 and 503k, National Highway No. 8, Palsana, Surat - 394315, Gujarat, India
Tel. No.:	91-2622-264259
Fax No.:	91-2622-264615
Area :	50000 sq. mts.
Location :	Owned
Factory :	B/503, National Highway # 8, Palsana, District Surat - 394315, Gujarat, India
Tel. No.:	91-261-2895410
Fax No.:	91-261-2895407

DIRECTORS

As on 28.09.2012

Name :	Mr. Mahendra Kumar Chawdhary
Designation :	Director
Address :	6/B, Rudrraj Apartment, Athwalines, Surat-395007, Gujarat, India
Date of Birth/Age :	09.06.1958
Qualification :	Mechanical Engineer
Date of Appointment :	01.04.2004
PAN No.:	ACCPC4066N
DIN No.:	00193199
Name :	Mr. Yogesh Ramavtar Gupta
Designation :	Director
Address :	602, Solitaire Apartment, Brijwasi Complex, Parle Point, Surat-395007, Gujarat, India
Date of Birth/Age :	10.03.1969
Qualification :	B.Com
Date of Appointment :	25.06.1991
PAN No.:	ABTPG1944R
DIN No.:	00193245
Name :	Mr. Anveep Bansal
Designation :	Director
Address :	7^th Floor, Flat No.701 (Old), A-1 (New), Solitaire Building Tower -4, Brijwasi Estate, Opposite Umrigar School, Parle Point, Surat-395007, Gujarat, India
Date of Birth/Age :	12.05.1972
Qualification :	Chemical Engineer
Date of Appointment :	06.08.1998
PAN No.:	ACNPB6804G
DIN No.:	00193320
Name :	Mr. Hardat Singh Tarar
Designation :	Director
Address :	B-502-03, N.H. No. 8, Palsana, Surat-395007, Gujarat, India
Date of Birth/Age :	12.03.1959
Qualification :	B.Com
Date of Appointment :	23.08.2002
PAN No.:	AATPT7352F
DIN No.:	00193378
Name :	Mr. Pramod Kumar Chaudhary
Designation :	Director
Address :	7-B, Rudraraj Appartment, Opposite Arihant Complex, Athwalines, Surat-395007, Gujarat, India
Date of Birth/Age :	06.10.1963
Date of Appointment :	19.11.2010
PAN No.:	AFZPC2447P
DIN No.:	00530612

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 28.09.2012

NOTE: MAJOR SHAREHOLDERS DETAILS FILE ATTACHED

Equity Share Break up (Percentage of Total Equity)

As on 28.09.2012

Category	Percentage
Bodies corporate	89.80
Directors or relatives of Directors	10.20
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Seller of Disperse Dyes.

GENERAL INFORMATION

No. of Employees :

250 (Approximately)

Bankers :

• Bank of Baroda, Pandesara Industrial Estate Branch, Pandesara, Surat - 394315, Gujarat, India

Tel. No.: 91-261-2890653

• State Bank of India, MID Corporate Group Industrial Finance Branch, Marble Arch, Race Course Circle, Vadodara-390007, Gujarat, India

Tel No.: 91-265-2313005

Facilities :

Secured Loan	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. in Millions)
Rupee term loans from banks	67.293	70.920
Foreign currency term loans from banks	161.049	199.890
Other loans and advances	6.378	0.027
Loans repayable on demand from banks	687.656	611.199
Total	922.376	882.036

Banking Relations :	--
Auditors :
Name :	Pradeep Singhi and Associates Chartered Accountants
Address :	A-501, President Plaza, RTO Cicle, Ring Road, Nanapura, Surat-395001, Gujarat, India
Tel. No.:	91-261-2474714/ 2474954
PAN No.:	ADRPS1701L

CAPITAL STRUCTURE

As on 28.09.2012

Authorised Capital : Rs.150.000 Millions

Issued, Subscribed & Paid-up Capital : Rs.136.417 Millions

As on 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
150000	Equity Shares	Rs.1000/- each	Rs. 150.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
135185	Equity Shares	Rs.1000/- each	Rs. 135.185 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		135.185	122.780	117.500
2] Share Application Money		0.000	0.000	0.900
3] Reserves & Surplus		601.488	484.472	405.162
4] (Accumulated Losses)		0.000	0.00	0.000
NETWORTH		736.673	607.252	523.562
LOAN FUNDS
1] Secured Loans		922.376	882.036	839.207
2] Unsecured Loans		10.096	7.871	10.343
TOTAL BORROWING		932.472	889.907	849.550
DEFERRED TAX LIABILITIES		61.309	54.930	49.855
TOTAL		1730.454	1552.089	1422.967
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		720.913	635.379	659.047
Capital work-in-progress		23.916	63.037	6.539
INVESTMENT		78.928	58.099	51.098
DEFERRED TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	533.010	506.813	402.316
	Sundry Debtors	727.417	544.177	441.378
	Cash & Bank Balances	14.410	59.559	10.456
	Other Current Assets	84.035	117.440	0.000
	Loans & Advances	24.767	22.644	120.298
Total Current Assets		1383.639	1250.633	974.448
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	287.973	280.019	217.838
	Other Current Liabilities	139.213	122.784	8.252
	Provisions	49.756	52.256	42.285
Total Current Liabilities		476.942	455.059	268.375
Net Current Assets		906.697	795.574	706.073
MISCELLANEOUS EXPENSES		0.000	0.000	0.210
TOTAL		1730.454	1552.089	1422.967

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	NA	NA	1857.823
		Other Income	NA	NA	1.502
		TOTAL (A)	NA	NA	1859.325
Less	EXPENSES
		Raw Material Consumed	NA	NA	1211.615
		Manufacturing Expenses			247.690
		Excise Duty			144.518
		Sales and Administrative Expenditures			129.459
		Increase/(Decrease) in Finished Goods			(111.159)
		TOTAL (B)	NA	NA	1622.123
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		NA	NA	237.202
Less	FINANCIAL EXPENSES (D)		NA	NA	92.566
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		NA	NA	144.636
Less/ Add	DEPRECIATION/ AMORTISATION (F)		NA	NA	62.156
	PROFIT BEFORE TAX (E-F) (G)		90.309	91.697	82.480
Less	TAX (H)		29.116	30.866	22.611
	PROFIT AFTER TAX (G-H) (I)		61.193	60.831	59.869
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		235.319	174.488	114.619
	BALANCE CARRIED TO THE B/S		296.512	235.319	174.488
	EARNINGS IN FOREIGN CURRENCY		NA	NA	38.682
	IMPORTS
		Raw Materials	676.488	501.803	467.971
		Membership and Subscription	--	105.120	--
		Components and Spare Parts			1.446
		Capital Goods	8.481	0.895	5.616
	TOTAL IMPORTS		668.007	607.818	475.033
	Earnings Per Share (Rs.)		452.66	517.13	509.52

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	NA	NA	3.22
Net Profit Margin (PBT/Sales)	(%)	NA	NA	4.44
Return on Total Assets (PBT/Total Assets}	(%)	4.29	4.86	5.05
Return on Investment (ROI) (PBT/Networth)		0.12	0.15	0.16
Debt Equity Ratio (Total Debt/Networth)		1.27	1.47	1.62
Current Ratio (Current Asset/Current Liability)		2.90	2.75	3.63

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	Yes
9]	Name of person contacted	No
10]	Designation of contact person	No
11]	Turnover of firm for last one 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

FINANCIAL RESULTS

The Profit and Loss Account of the company shows a Net Profit Before Tax amounting to Rs.90.309 millions

GENERAL REVIEW

The company's performance had been satisfactory in general during the year. Despite the stiff challenges, the company had achieved its targeted turnover and Net Profit as well. The Directors are hopeful to face challenges successfully and to make head way in the coming years.

UNSECURED LOAN

Unsecured Loan	31.03.2012 (Rs. in Millions)	31.03.2011 (Rs. In Millions)
Loans and advances from others	10.096	7.871
Total	10.096	7.871

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U24110MH1989PTC176088
Name of the company	SPECTRUM DYES AND CHEMICALS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	207, Sanjay Building No.3A, Mittal Estate, Andheri (East), Mumbai-400059, Maharashtra Email: spectrumdyes@drdcs.net
This form is for	Creation of charge
Type of charge	Book debts Movable property (not being pledge)
Particular of charge holder	State Bank of India, MID Corporate Group Industrial Finance Branch, Marble Arch, Race Course Circle, Vadodara-390007, Gujarat, India Email: pramodkumar1@sbi.co.in
Nature of instrument creating charge	Agreement of Hypothecation of Goods, Movable Plant and Machineries and Assets
Date of instrument Creating the charge	04.04.2012
Amount secured by the charge	Rs. 430.400 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest New Term Loan - 4.25% above Base Rate p a on monthly rest, to be reset annually Terms of Repayment Old T L - as per earlier sanction, New Term Loan -Rs.130.000 Millions in 48 monthly installments First 17 installments of Rs.2.000 Millions each, next 12 installments of Rs.2.500 Millions each, next 12 installments of Rs.3.000 Millions each, next 6 installments of Rs.4.000 Millions each, last installment of Rs.6.000 Millions Margin as per terms of sanction Extent and Operation of the charge Second Charge on Current Assets such as Stock of Raw materials, Stocks in Process, Finished Goods, Stores, Book Debts etc. of the Company, more particularly described in the schedule to the Agreement of Hypothecation of Goods, Movable Plant and Machineries and Assets. First charge with Bank of Baroda for securing working capital facilities sanctioned by Bank of Baroda Others Credit facilities - TL - I (O/s) - Rs.68.300 Millions + TL - II (O/s) - Rs.5.300 Millions + TL - III (O/s) - Rs.224.200 Millions + TL - New Rs.130.000 Millions + C E limit for forward contract Rs.2.600 Millions aggregating to Rs.430.400 Millions
Short particulars of the property or asset(s) charged (including complete address and location of the property)	2nd charge (First charge for Bank of Baroda for securing the Working Capital Facilities sanctioned by Bank of Baroda to the Borrower aggregating to Rs.790.000 Millions)over the whole of the Current Assets of the Borrower namely, Stocks of Raw Materials, Stocks in Process, Semi Finished and Finished Goods, Stores and Spares not relating to Plant and Machinery (consumable Stores and Spares) Bills Receivable and Book Debts and all other movables, both present and future whether now lying loose or in cases or which are now lying or stored in or about or shall hereinafter from time to time during the continuance of the security of these presents be brought into or upon or be stored or be in or about of the Borrower's factories and other premises or whether else the same may be or be held by any party to the order or disposition of the Borrower or in the course of transit or on high seas or on order or delivery, however and wheresoever in the possession of the Borrower and either by way of substitution or addition.

FIXED ASSETS

• Land
• Buildings
• Plant and equipment
• Furniture and fixtures
• Vehicles
• Computer
  

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.55.61
UK Pound	1	Rs.83.98
Euro	1	Rs.71.94

INFORMATION DETAILS

Report Prepared by :

NTH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
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	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.