MIRA INFORM REPORT

Report Date :

22.10.2013

IDENTIFICATION DETAILS

Name :	WORLD FASHION TRADE LTD.
Registered Office :	Suite 605, 6/F., China Insurance Group Building,141 Des Voeux Road Central,
Country :	Hong Kong
Date of Incorporation :	23.08.2002
Legal Form :	Limited Company.
Line of Business :	Fashion Trader of leather bags, other leather products, garments, textile products, accessories
No. of Employees :	No employees in Hong Kong NOTE: It is to be noted that the company does not have its own operating office in Hong Kong. The company uses the address of its secretariat as its correspondence address only. Subject operates from some other country and does not have a base in Hong Kong. Such companies are registered in Hong Kong just to tax benefit purpose and due to the strict privacy laws prevailing in the country. In such cases, the companies are not required to have any employees in Hong Kong nor do have an office there.

RATING & COMMENTS

MIRA’s Rating :

Ca

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	No operating office in Hong Kong
Payment Behaviour :	Unknown
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 – March 31^st, 2013

Country Name	Previous Rating (31.12.2012)	Current Rating (31.03.2013)
Hong Kong	A2	A2

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

HONG KONG - ECONOMIC OVERVIEW

Hong Kong has a free market economy, highly dependent on international trade and finance - the value of goods and services trade, including the sizable share of re-exports, is about four times GDP. Hong Kong levies excise duties on only four commodities, namely: hard alcohol, tobacco, hydrocarbon oil, and methyl alcohol. There are no quotas or dumping laws. Hong Kong's open economy left it exposed to the global economic slowdown that began in 2008. Although increasing integration with China, through trade, tourism, and financial links, helped it to make an initial recovery more quickly than many observers anticipated, it again faces a possible slowdown as exports to the Euro zone and US slump. The Hong Kong government is promoting the Special Administrative Region (SAR) as the site for Chinese renminbi (RMB) internationalization. Hong Kong residents are allowed to establish RMB-denominated savings accounts; RMB-denominated corporate and Chinese government bonds have been issued in Hong Kong; and RMB trade settlement is allowed. The territory far exceeded the RMB conversion quota set by Beijing for trade settlements in 2010 due to the growth of earnings from exports to the mainland. RMB deposits grew to roughly 9.1% of total system deposits in Hong Kong by the end of 2012, an increase of 59% from the previous year. The government is pursuing efforts to introduce additional use of RMB in Hong Kong financial markets and is seeking to expand the RMB quota. The mainland has long been Hong Kong's largest trading partner, accounting for about half of Hong Kong's exports by value. Hong Kong's natural resources are limited, and food and raw materials must be imported. As a result of China's easing of travel restrictions, the number of mainland tourists to the territory has surged from 4.5 million in 2001 to 34.9 million in 2012, outnumbering visitors from all other countries combined. Hong Kong has also established itself as the premier stock market for Chinese firms seeking to list abroad. In 2012 mainland Chinese companies constituted about 46.6% of the firms listed on the Hong Kong Stock Exchange and accounted for about 57.4% of the Exchange's market capitalization. During the past decade, as Hong Kong's manufacturing industry moved to the mainland, its service industry has grown rapidly. Growth slowed to 5% in 2011, and less than 2% in 2012. Credit expansion and tight housing supply conditions caused Hong Kong property prices to rise rapidly and inflation to rise 4.1% in 2012. Lower and middle income segments of the population are increasingly unable to afford adequate housing. Hong Kong continues to link its currency closely to the US dollar, maintaining an arrangement established in 1983

Source : CIA

Company name and address

WORLD FASHION TRADE LTD.

ADDRESS: c/o Prima Secretaries Ltd.

Suite 605, 6/F., China Insurance Group Building,141 Des Voeux Road Central, Hong Kong.

PHONE: 852-2376 3611

FAX: 852-2736 5115

MANAGEMENT

Managing Director in Hong Kong: Mr. Snehdeep Aggarwal

SUMMARY

Registered in Hong Kong on: 23rd August, 2002.

(Non-Hong Kong Company)

Organization: Limited Company.

Capital: Authorised: US$1,000.00

Issued & Paid Up: US$1,000.00

Business Category: Fashion Trader.

Group Revenue: Rs 3,030.6 million (Year ended 31-03-2013)

Employees: Nil.

Main Dealing Banker: Danske Bank AG, Hong Kong Branch.

Banking Relation: Satisfactory.

ADDRESS

Registered Office:-

Suite 308, ST. James Court, ST. Denis Street, Port Louis, Mauritius.

Hong Kong Principal place of Business:-

c/o Prima Secretaries Ltd.

Suite 605, 6/F., China Insurance Group Building, 141 Des Voeux Road Central, Hong Kong.

Holding Company:-

Bhartiya International Ltd., India.

Associated Companies:-

Bharitya Global Marketing Ltd., India.

Bhartiya City Developers Pvt. Ltd., India.

Bhartiya Fashion Retail Ltd., India.

Bhartiya International SEZ Ltd., India.

Bhartiya Urban Infrastructure And Land Development Ltd., India.

Bil Group LLC., US.

J&J Leather Enterprises Ltd., India.

Studio Creo Pvt. Ltd., India.

Tada Mega Leather Cluster Pvt. Ltd., India.

Ultima Italia SRL, Italy.

Ultima SA, Switzerland.

BUSINESS REGISTRATION NUMBER

30348571

COMPANY FILE NUMBER

F0012107

MANAGEMENT

Managing Director in Hong Kong: Mr. Snehdeep Aggarwal

AUTHORIZED REPRESENTATIVE IN HONG KONG

(As per registry dated 23-08-2013)

Name	Address
Mr. Divya VAZE	Flat B, 1/F., Mirror Marina, 47 Conduit Road, Mid‑Levels, Hong Kong.
Atul Batra	Room B, 3/F., Sky Scraper Mansion, Cloudview Road, North Point, Hong Kong.

CAPITAL

Authorised Share Capital: US$1,000.00

Issued & Paid Up Capital: US$1,000.00

DIRECTORS: (As per registry dated 23-08-2013)

Name (Nationality)	Address
Snehdeep AGGARWAL	J-101, Sainik Farms, New Delhi 110062, India.
Nikhil AGGARWAL	Via 7A Strada, 5 San Felice, 20090 Segrate(MI), Italy.

SECRETARY: (As per registry dated 23-08-2013)

Name	Address	Co. No.
Prima Secretaries Ltd.	Suite 605, 6/F., China Insurance Group Building, 141 Des Voeux Road Central, Hong Kong.	0569406

HISTORY

The subject was incorporated in the Mauritius as a limited company. It has established a principal place of business in Hong Kong and was registered on 23rd August, 2002 as an non-Hong Kong company under Part XI of the Hong Kong Companies Ordinance.

Formerly the registered address of the subject was located at c/o Prima Secretaries Ltd., 9/F., Abdoolally House, 20 Stanley Street, Central, Hong Kong, moved to the present address in November 2009.

Apart from these, neither material change nor amendment has been ever traced and noted.

OPERATIONS

Activities: Fashion Trader.

Lines: Leather bags, other leather products, garments, textile products, accessories

Employees: Nil.

Commodities Imported: China, other Asian countries, etc.

Markets: India, other Asian countries, Europe, Scandinavia, Australia, etc.

Group Revenue: Rs 2,506.7 million (Year ended 31-03-2012)

Rs 3,030.6 million (Year ended 31-03-2013)

Terms/Sales: L/C or as per contracted.

Terms/Buying: L/C, D/P, etc.

FINANCIAL INFORMATION

Authorised Share Capital: US$1,000.00

Issued & Paid Up Capital: US$1,000.00

Group Profit: Rs 114.5 million (Year ended 31-03-2012)

Rs 101.4 million (Year ended 31-03-2013)

Profit or Loss: Group business is profitable.

Condition: Business is not active in Hong Kong.

Facilities: Making fairly active use of general banking facilities.

Payment: Met trade commitments as required.

Commercial Morality: Satisfactory.

Banker: Danske Bank AG, Hong Kong Branch.

Standing: Small.

GENERAL

World Fashion Trade Ltd. has been incorporated in the Mauritius. It was registered in Hong Kong on 23rd August, 2002 as a Non-Hong Kong Company.

The subject does not have its own operating office. Its registered office is in a commercial service firm located at “Suite 605, 6/F., China Insurance Group Building, 141 Des Voeux Road Central, Hong Kong” known as “Prima Secretaries Ltd.” which is handling its correspondences and documents. This firm is also the corporate secretary of the subject.

The subject has no employees in Hong Kong.

The subject is trading in leather bags, other leather products, garments, textile products, accessories, toys, rugs, slippers, cushions, etc. Most of the products are exported to Australia, Japan, Europe, Scandinavia, Australia, etc.

It is a member of the Bhartiya Group of Companies in India.

The director of the subject Mr. Snehdeep Aggarwal is an Indian who is an India passport holder but residing in Italy. The representative of the subject in Hong Kong Mr. Divya Vaze is also an Indian. He is a Hong Kong ID Card holder and has got the right to reside in Hong Kong permanently.

The key member of the Group Bhartiya International Ltd. [BIL] is an India based firm. Together with its subsidiaries, BIL is engaged in the research, development, manufacture, and export of leather and textile apparels, leather bags and accessories, and fur garments in India. BIL is a listed firm in India.

It also plans, develops, and builds real estate properties, including residential apartment complexes. In addition, it operates as a private investment firm, specialized in infrastructure assets in India. BIL was formerly known as Bhartiya Galecha Industries. BIL. was founded in 1987 and is based in New Delhi, India.

For the year ended 31st March, 2013, the revenue of the Group amounted to Rs 3,030.6 million, grew by 20.9% as compared with Rs 2,506.7 million in the same period of previous year. Group profit for the year was Rs 101.4 million, decreased by 11.4% as compared with Rs 114.5 million in the same period of previous year.

The directors of the subject are also directors of BIL.

The subject is fully supported by the Bhartiya Group. History in Hong Kong is over eleven years.

Since the subject does not have its own operating office and has no employees in Hong Kong, consider it good for business engagements on L/C basis or in small credit amounts.

NOTE:

It is to be noted that the company does not have its own operating office in Hong Kong. The company uses the address of its secretariat as its correspondence address only. Subject operates from some other country and does not have a base in Hong Kong. Such companies are registered in Hong Kong just to tax benefit purpose and due to the strict privacy laws prevailing in the country. In such cases, the companies are not required to have any employees in Hong Kong nor do have an office there.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.49
UK Pound	1	Rs.99.41
Euro	1	Rs.84.12.

INFORMATION DETAILS

Report Prepared by :

NIS

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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