MIRA INFORM REPORT

Report Date :

28.05.2013

IDENTIFICATION DETAILS

Name :	GAINUP INDUSTRIES INDIA PRIVATE LIMITED
Registered Office :	#13/341, Dindigul – Batlagundu Highway, Sitharevu Village, Ottupatti Post, Dindigul (District) - 624 708, Tamilnadu
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	27.06.2007
Com. Reg. No.:	18-013833
Capital Investment / Paid-up Capital :	Rs. 9.715 Millions
CIN No.: [Company Identification No.]	U14102TZ2007PTC013833
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer, Exporter and Supplier of Textile Products.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (27)

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

Maximum Credit Limit :	USD 230000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. Company has failed to file the financial details with the government department for the year 2012. The profitability of the company has improved but the external borrowing appears to be increasing during 2011 which acts as a threat to the liquidity. However, trade relations are fair. Business is active. Payments are recorded as slow but correct. The company can be considered normal 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	CRISIL
Rating	Long Term Rating = BB
Rating Explanation	Moderate risk of default
Date	09.03.2012

Rating Agency Name	CRISIL
Rating	Short Term Rating = A4+
Rating Explanation	Minimal degree of safety and very high credit risk.
Date	09.03.2012

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 :	#13/341, Dindigul – Batlagundu Highway, Sitharevu Village, Ottupatti Post, Dindigul (District) - 624 708, Tamilnadu, India.
Tel. No.:	91-4543-267726 / 267457
Fax No.:	91-4543-267347 / 269029
E-Mail :	alameluammalmill@rediffmail.com info@gainup.in
Website :	http://www.gainup.in

DIRECTORS

As on 29.09.2011

Name :

Mr. Dwarakanathan Shanmugasundaram

Designation :

Director

Address :

New No.15/1, Round Road, Pudur, Dindigul – 624005, Tamilnadu, India

Date of Birth/Age :

17.05.1974

Date of Appointment :

27.06.2007

DIN No.:

01758739

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	U17111TZ2004PTC011415	SRI ALAMELU AMMAL MILLS INDIA PRIVATE LIMITED	Managing director	03-11-04	03-11-04	-	Active	NO
2	U14102TZ2007PTC013728	RICHWORLD INDUSTRIES PRIVATE LIMITED	Director	18-05-07	18-05-07	-	Active	NO
3	U14102TZ2007PTC013833	GAINUP INDUSTRIES INDIA PRIVATE LIMITED	Director	27-06-07	27-06-07	-	Active	NO
4	U51909TN2008PTC068119	YOGANNA EXPORTS PRIVATE LIMITED	Director	10-06-08	10-06-08	-	Active	YES

Name :

Mrs. Indra Dwarakanathan Periasamy

Designation :

Managing Director

Address :

35, Muthu Vilas, Duri Raj Nagar, West Govindapuram, Dindigul – 624001, Tamilnadu, India

Date of Appointment :

27.06.2007

DIN No.:

01829010

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	U17111TZ2004PTC011415	SRI ALAMELU AMMAL MILLS INDIA PRIVATE LIMITED	Director	03-11-04	03-11-04	-	Active	NO
2	U14102TZ2007PTC013728	RICHWORLD INDUSTRIES PRIVATE LIMITED	Managing director	18-05-07	18-05-07	-	Active	NO
3	U14102TZ2007PTC013833	GAINUP INDUSTRIES INDIA PRIVATE LIMITED	Managing director	27-06-07	27-06-07	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2010

SHAREHOLDING DETAILS FILE ATTACHED

As on 29.09.2011

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer, Exporter and Supplier of Textile Products.
Products :	Textile

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

Bank of India, Dindigul Branch, Thiruvalluvar Salai, Dindigul - 624001, Tamilnadu, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2011	As on 31.03.2010
Bank of India – Term Loan	181.485	141.299
Bank of India – Working Capital Loans	125.788	65.531
Total	307.273	206.830

Banking Relations :	--
Auditors :
Name :	N. Kannan Chartered Accountants
Address :	2/200, Venkatachalapuram, Sattur – 626203, Tamilnadu, India
PAN No.:	AGJPK7271J

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
2000000	Equity Shares	Rs.10/- each	Rs.20.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
971500	Equity Shares	Rs.10/- each	Rs.9.715 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		9.715	9.715	9.715
2] Share Application Money		9.512	14.623	14.824
3] Reserves & Surplus		39.639	19.319	8.995
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		58.866	43.657	33.534
LOAN FUNDS
1] Secured Loans		307.273	206.830	138.241
2] Unsecured Loans		3.469	0.056	0.546
TOTAL BORROWING		310.742	206.886	138.787
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		369.608	250.543	172.321
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		309.739	211.791	119.713
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	164.571	50.047	19.845
	Sundry Debtors	12.411	21.855	11.975
	Cash & Bank Balances	0.444	1.620	1.509
	Other Current Assets	0.000	0.000	0.030
	Loans & Advances	44.856	14.354	79.925
Total Current Assets		222.282	87.876	113.284
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	161.934	51.285	66.129
	Other Current Liabilities	0.000	0.000	0.000
	Provisions	5.496	3.413	1.213
Total Current Liabilities		167.430	54.698	67.342
Net Current Assets		54.852	33.178	45.942
MISCELLANEOUS EXPENSES		5.017	5.574	6.666
TOTAL		369.608	250.543	172.321

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	701.451	438.364	36.371
		Other Income
		TOTAL (A)	701.451	438.364	36.371
Less	EXPENSES
		Office Expenses
		Administrative Expenses	617.385	394.755	36.323
		Advertising Expenses
		TOTAL (B)	617.385	394.755	36.323 (Including Financial and Depreciation Expenses)
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		84.066	43.609
Less	FINANCIAL EXPENSES (D)		32.390	16.940
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		51.676	26.669
Less/ Add	DEPRECIATION/ AMORTISATION (F)		26.256	14.146
	PROFIT BEFORE TAX (E-F) (G)		25.420	12.523	0.048
Less	TAX (H)		5.100	NA	0.007
	PROFIT AFTER TAX (G-H) (I)		20.320	NA	0.041
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	73.759	24.429	NA
	TOTAL EARNINGS		73.759	24.429	NA
	Earnings Per Share (Rs.)		29.92	NA	0.04

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	2.90	NA	0.11
Return on Total Assets (PBT/Total Assets}	(%)	4.78	4.18	0.02
Return on Investment (ROI) (PBT/Networth)		0.43	0.29	0.00
Debt Equity Ratio (Total Debt /Networth)		5.28	4.74	4.14
Current Ratio (Current Asset/Current Liability)		1.33	1.61	1.68

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	No
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

CORPORATE RESULTS:

The performance of the company in this year has been satisfactory. The gross turnover achieved was Rs.701.451 Millions. The profit before Income - Tax, Depreciation and Interest expenses amount is Rs.84.066 Millions. A sum of Rs.32.390 Millions has been charged off towards Interest and Financial charges and sum of Rs.26.256 Millions has been provided towards Depreciation. The Net profit after tax available for appropriation is Rs.20.320 Millions.

UNSECURED LOAN

Rs. In Millions

Particular	As on 31.03.2011	As on 31.03.2010
Loan from Others	3.469	0.056
Total	3.469	0.056

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U14102TZ2007PTC013833
Name of the company	GAINUP INDUSTRIES INDIA PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	#13/341, Dindigul – Batlagundu Highway, Sitharevu Village, Ottupatti Post, Dindigul (District) - 624 708, Tamilnadu, India alameluammalmill@rediffmail.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10097977
Type of charge	Book debts Movable property (not being pledge)
Particular of charge holder	Bank of India, Dindigul Branch, Thiruvalluvar Salai, Dindigul - 624001, Tamilnadu, India boidindigul@bsnl.in
Nature of instrument creating charge	Supplemental deed of hypothecation
Date of instrument Creating the charge	09.02.2012
Amount secured by the charge	Rs.389.200 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest Term I II III, 2% over base rate plus 0.75% ten or premium effective 13.50% WCFBL/CC 2% over base rate effective 12.75% Terms of Repayment for term loan as already prescribed for working capital frcilities on demand Margin As per bank Norms Extent and Operation of the charge The charge shall operate as Exclusive First Charge on the movable property such as raw materials, finished goods and stock in process and machineries in favour of Bank of India for the limit of 389.200 Millions together with interest cost charges and other expenses that may accrue and or be debited to the company s accounts from time to time.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Tangible movable properties such as hypothecation of machinery and stocks of raw material such as cotton, semi finished and finished goods such as yarn and garments hypothecation of machinery.
Date of instrument modifying the charge	07.09.2010
Particulars of the present modification	The Limit has been enhanced from Rs.366.800 Millions to Rs.389.200 Millions.

FIXED ASSETS

• Land
• Building
• Furniture and Fittings
• Plant and Machinery
• Electrical Equipment
• Vehicles
• EDP System
• 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.55.62
UK Pound	1	Rs.84.18
Euro	1	Rs.71.96

INFORMATION DETAILS

Report Prepared by :

NTH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--CREDIT LINES	1~10	--
--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		27

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.