MIRA INFORM REPORT

Report Date :

24.09.2013

Note: Correct name of the company is SURFACES (INDIA) FLOORING PRIVATE LIMITED

IDENTIFICATION DETAILS

Name :	SURFACES (INDIA) FLOORING PRIVATE LIMITED
Registered Office :	14A, Paper Box Estate, Mahakali Caves Road, Andheri (East), Mumbai – 400 093, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	24.08.2007
Com. Reg. No.:	11-173450
Capital Investment / Paid-up Capital :	Rs. 0.450 Million
CIN No.: [Company Identification No.]	U45309MH2007PTC173450
TAN No.: [Tax Deduction & Collection Account No.]	MUMS57246A
PAN No.: [Permanent Account No.]	AALCE1717L
Legal Form :	Private Limited Liability Company
Line of Business :	Distributor and Importer of Pergo Flooring, Wood Flooring and Carpet
No. of Employees :	Information declined by the management

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 7500
Status :	Small company
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is a small company in its field. Its scale of activities are limited. The company is gradually improving its performance, marked by a slight increase in its sales turnover as well as net profitability during 2012. Trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for small 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.

INDIAN ECONOMIC OVERVIEW

We are living in a world where volatility and uncertainty have become the New Normal. We saw a change of government in countries like Tunisia, Egypt, Libya and Vietnam. Once powerful countries in Europe are now fighting for bankruptcy. We have taken growth in the developing part of the world for granted but economic growth in China and India has begun to slow. Companies that were synonymous with their product categories just a few years ago are now no longer in existence. Kodak, the inventor of the digital camera had to wind up its operations, HMV, the British entertainment retailing company and Borders, once the second largest bookstore have shut down due to their inability to evolve their business models with the changing time. Readers’ Digest, Thomson Register are no more !

There is another megatrend happening. The World order is changing as economic power shifts from West to East. According to McKinsey study, it took Britain more than 100 years to double its economic output per person during its industrial revolution and the US later took more than 50 years to do the same. More than a century later, China and India have doubled their GDP per capital in 12 and 18 years respectively. By 2020, emerging Asia will become the world’s largest consuming block, overtaking North America.

The years after the outbreak of the global financial crisis, the world economy continues to remain fragile. The Indian economy demonstrated remarkable resilience in the initial years of the contagion but finally lost ground last year. GDP growth slowed down. Currency has been weakening. There is a marked deceleration in agriculture, industry and services. Dampening sentiment led to a cut-back in investment as well as private consumption expenditure.  Inflation remained at high levels fuelled by the pressure from the food and fuel sectors. The large fiscal and current account deficit s continued to cause grave concern. It is imperative that India regains its growth trajectory of 8-9 % sooner than later. This is crucially important given the need to create gainful livelihood opportunities for the millions living in poverty as also the large contingent of young people joining the job market every year.

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.

INFORMATION PARTED BY (GENERAL DETAILS)

Name :	Mr. Amit Dugar
Designation :	Director
Contact No.:	91-9819192285
Date :	23.09.2013

LOCATIONS

Registered Office :	14A, Paper Box Estate, Mahakali Caves Road, Andheri (East), Mumbai – 400 093, Maharashtra, India
Tel. No.:	91-22-66959352 / 53 / 66910336
Mobile No.:	91-9819192285 (Mr. Amit Dugar)
Fax No.:	91-22-26871187
E-Mail :	surfacesindia@yahoo.com amit@surfacesindia.co.in ranawatca@yahoo.co.in
Website :	http://www.surfacesindia.co.in
Area :	2000 Sq. ft.
Location :	Owned
Warehouse :	2 Warehouse Located at Bhiwandi
Area :	2000 Sq. ft. and 1500 Sq. ft.
Location :	Rented
Branch Office :	Shop No 8, Guru Mauli Chs Limited, Opposite Versova Police Station and Barfiwala College, D N Nagar, Andheri (West), Mumbai – 400053, Maharashtra, India
Tel. No.:	91-22-26255833
Fax No.:	91-22-65217997

DIRECTORS

As on 30.09.2012

Name :	Mr. Jawarimal Manekchand Dugar
Designation :	Whole Time Director
Address :	B-905, Highland Park, Co Operative Housing Society, 9^th Floor, Lokhandwala Complex, Andheri (West), Mumbai – 400 053, Maharashtra, India
Date of Birth/Age :	11.08.1952
Date of Appointment :	24.08.2007
DIN No.:	01641161
Name :	Mr. Amit Jawarimal Dugar
Designation :	Whole Time Director
Address :	B-905, Highland Park, Co Operative Housing Society, 9^th Floor, Lokhandwala Complex, Andheri (West), Mumbai – 400 053, Maharashtra, India
Date of Birth/Age :	08.09.1980
Qualification :	B.Com
Date of Appointment :	24.08.2007
DIN No.:	01641205
Name :	Mr. Sumeet Jawarimal Dugar
Designation :	Whole Time Director
Address :	B-905, Highland Park, Co Operative Housing Society, 9^th Floor, Lokhandwala Complex, Andheri (West), Mumbai – 400 053, Maharashtra, India
Date of Birth/Age :	21.09.1984
Qualification :	B.Com
Date of Appointment :	24.08.2007
DIN No.:	01649888

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2012

Names of Shareholders	No. of Shares
Jawarimal Manekchand Dugar	15000
Amit Jawarimal Dugar	15000
Sumeet Jawarimal Dugar	15000
Total	45000

As on 30.09.2012

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 :	Distributor and Importer of Pergo Flooring, Wood Flooring and Carpet
Products :	· Pergo Laminate Flooring · Surfaces Solid Wood Flooring · Surfaces Wall Panels / Ceilings · Promix Wall Panels/Ceilings · Nox Vinyl Floor Tile
Imports :
Products :	Pergo Flooring, Wood Flooring and Carpet
Countries :	· Australia · India
Terms :
Selling :	Cash / Credit
Purchasing :	Cash / Credit

GENERAL INFORMATION

Suppliers :

· Future Living Art Private Limited

· Girdharilal Kalyanji and Company

· Pergo India Private Limited

Customers :

End Users

· Alprintz

· Fortls Hospitals Limited

· Space Interior

· Srujan the creation

· Sunil Bansal

· Ultratech Floors

· Yamuna Plywood House

· Sampat Kumar Samani

· Levi Strauss (India) Private Limited

· Deepak Kumar

· Floor Matrix

· Dipti Telpade

No. of Employees :

Information declined by the management

Bankers :

The Saraswat Cooperative Bank Limited, SME Vile Parle Branch, Bholanath Co-operative Hsg Society, Subhash Road, Vile Parle (East), Mumbai - 400057, Maharashtra, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2012	As on 31.03.2011
Short term Borrowing
Saraswat Co-operative Bank Limited (Secured against Motor car, motor bike and computer)	0.009	0.051
Total	0.009	0.051

Banking Relations :	---
Auditors :
Name :	Ranevat and Company Chartered Accountants
Address :	107-B/108, Sagar Shopping Centre, 76, J.P. Road, Andheri (West), Mumbai - 400058, Maharashtra, India
Tel. No.:	91-22-26775965 / 26773676
PAN No.:	AADPR1231R

CAPITAL STRUCTURE

As on 30.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
50000	Equity Shares	Rs.10/- each	Rs.0.500 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
45000	Equity Shares	Rs.10/- each	Rs.0.450 Million

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	0.450	0.450
(b) Reserves & Surplus	1.449	1.043
(c) Money received against share warrants	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000
Total Shareholders’ Funds (1) + (2)	1.899	1.493
(3) Non-Current Liabilities
(a) long-term borrowings	0.000	0.000
(b) Deferred tax liabilities (Net)	0.000	0.000
(c) Other long term liabilities	0.000	0.000
(d) long-term provisions	0.000	0.000
Total Non-current Liabilities (3)	0.000	0.000
(4) Current Liabilities
(a) Short term borrowings	3.891	0.863
(b) Trade payables	2.145	2.975
(c) Other current liabilities	1.981	5.302
(d) Short-term provisions	0.168	0.347
Total Current Liabilities (4)	8.185	9.487
TOTAL	10.084	10.980
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	0.492	0.551
(ii) Intangible Assets	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	0.025	0.129
(c) Deferred tax assets (net)	0.022	0.025
(d) Long-term Loan and Advances	0.000	0.000
(e) Other Non-current assets	0.019	0.023
Total Non-Current Assets	0.558	0.728
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	6.165	5.605
(c) Trade receivables	1.744	2.156
(d) Cash and cash equivalents	0.304	0.407
(e) Short-term loans and advances	1.150	1.136
(f) Other current assets	0.163	0.948
Total Current Assets	9.526	10.252
TOTAL	10.084	10.980

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		0.450
2] Share Application Money		0.000
3] Reserves & Surplus		0.709
4] (Accumulated Losses)		0.000
NETWORTH		1.159
LOAN FUNDS
1] Secured Loans		0.082
2] Unsecured Loans		2.511
TOTAL BORROWING		2.593
DEFERRED TAX LIABILITIES		0.000
TOTAL		3.752
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		0.490
Capital work-in-progress		0.000
INVESTMENT		0.025
DEFERREX TAX ASSETS		0.026
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	6.332
	Sundry Debtors	3.733
	Cash & Bank Balances	0.295
	Other Current Assets	0.000
	Loans & Advances	2.002
Total Current Assets		12.362
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	3.328
	Other Current Liabilities	5.459
	Provisions	0.391
Total Current Liabilities		9.178
Net Current Assets		3.184
MISCELLANEOUS EXPENSES		0.027
TOTAL		3.752

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	NA	NA	NA
		Other Income
		TOTAL	NA	NA	NA
Less	EXPENSES
		Office Expenses
		Administrative Expenses	NA	NA	NA
		Advertising Expenses
		TOTAL	NA	NA	NA
	PROFIT BEFORE TAX		0.543	0.520	0.574
Less	TAX		NA	NA	NA
	PROFIT AFTER TAX		NA	NA	NA
	CIF Value of IMPORTS		0.363	NA	NA
	Earnings Per Share (Rs.)		NA	NA	NA

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
Return on Total Assets (PBT/Total Assets}	(%)	5.41	4.80	4.47
Return on Investment (ROI) (PBT/Networth)		0.29	0.35	0.50
Debt Equity Ratio (Total Debt /Networth)		2.05	0.58	3.76
Current Ratio (Current Asset/Current Liability)		1.16	1.08	1.35

LOCAL AGENCY FURTHER INFORMATION

CURRENT MATURITIES OF LONG-TERM DEBT: NOT AVAILABLE

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	Yes
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	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last three years	No
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	Yes
18]	Major customers	Yes
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	Yes
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	No

UNSECURED LOAN

Rs. In Millions

Particular	As on 31.03.2012	As on 31.03.2011
Short term Borrowing
Loans form Directors
Amit Jawarimal Dugar	0.392	0.410
Jawarimal Manekchand Dugar	3.014	0.191
Sumeet Jawarimal Dugar	0.476	0.211
Total	3.882	0.812

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10106668	09/01/2013 *	10,000,000.00	THE SARASWAT COOPERATIVE BANK LIMITED	SME VILE PARLE BRANCH, BHOLANATH CO-OPERATIVE HSG SOCIETY, SUBHASH ROAD, VILE PARLE EAST, MUMBAI, MAHARASHTRA - 400057, INDIA	B67598409

* Date of charge modification

FIXED ASSETS

· Furniture and Fitting

· Air Conditioners

· EPABX System

· Electronic Weighting Machine

· Gas Cylinder

· Geyser

· Mobile Phone

· Refregitor

· Machinery

· Television and DVD Player

· Cycle

· Fax Machine

· Computer

· Vehicle

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 records 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.62.52
UK Pound	1	Rs.100.26
Euro	1	Rs.84.67

INFORMATION DETAILS

Information Gathered by :	SVA
Report Prepared by :	NTH

SCORE & RATING EXPLANATIONS

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

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.