MIRA INFORM REPORT

Report Date :

20.12.2014

IDENTIFICATION DETAILS

Name :	EASTMAN INTERNATIONAL
Registered Office :	BXXX-2185/C-203/1, Phase 7, Focal Point, Ludhiana – 141010, Punjab
Country :	India
Financials (as on) :	31.03.2014
Year of Establishment:	1996
Capital Investment / Paid-up Capital :	Rs. 1900.651 Millions
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	Not Available
Legal Form :	Partnership Concern with an Unlimited Liability of the Partners
Line of Business :	Manufacturer and Exporter of Bicycles, Components and Spares.
No. of Employees :	100 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (54)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 5400000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established partnership concern having good track record. General financial position of the concern is sound. Trade relations are reported as fair. Business is active. Payment terms are reported to be regular and as per commitment. The concern 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 – September 30, 2014

Country Name	Previous Rating (30.06.2014)	Current Rating (30.09.2014)
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: BBB+
Rating Explanation	Moderate degree of safety it carry moderate credit risk.
Date	28.11.2014

Rating Agency Name	CRISIL
Rating	Short term rating: A2
Rating Explanation	Strong degree of safety and low credit risk.
Date	28.11.2014

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 31-03-2014.

INFORMATION PARTED BY

Name :	Mr. Rajesh
Designation :	Account Manager
Contact No.:	91-161-3026901
Date :	19.12.2014

LOCATIONS

Registered Office / Factory :	BXXX-2185/C-203/1, Phase 7, Focal Point, Ludhiana – 141010, Punjab, India
Tel. No.:	91-161-3026901
Mobile No.:	91-9814720820 (Mr. Aman Singal)
Fax No.:	Not Available
E-Mail :	info@eastman-intl.com eastman@eastman-intl.com
Website :	http://www.eastman-intl.com
Area :	27000 sq. ft.
Location :	Owned

PARTNERS

Name :	Mr. Rakesh Gupta
Designation :	Partner
Address :	173-A, Aggar Nagar, Ludhiana – 141 010, Punjab, India
Date of Birth/Age :	60 Years
Qualification :	Graduate
Experience :	34 Years
Name :	Mr. Ramesh Gupta
Designation :	Partner
Address :	147-A, Aggar Nagar, Ludhiana – 141 010, Punjab, India
Date of Birth/Age :	55 Years
Qualification :	Graduate
Experience :	29 Years
Name :	Mr. Munish Gupta
Designation :	Partner
Address :	3/23, 2^nd Floor, Shanti Niketan, New Delhi – 110 057, India
Name :	Mr. Aman Singal
Designation :	Partner
Address :	173-A, Aggar Nagar, Ludhiana – 141 010, Punjab, India
Name :	Mr. Atul Singal
Designation :	Partner
Address :	173-A, Aggar Nagar, Ludhiana – 141 010, Punjab, India
Name :	Mr. Sachin Singal
Designation :	Partner
Address :	147-A, Aggar Nagar, Ludhiana – 141 010, Punjab, India

KEY EXECUTIVES

Name :	Mr. Rajesh
Designation :	Account Manager

BUSINESS DETAILS

Line of Business :	Manufacturer and Exporter of Bicycles, Components and Spares.
Brand Names :	Not Divulged
Agencies Held :	Not Divulged
Products :	Finished Goods
Countries :	Middle East America Africa
Imports :
Products :	Raw Materials
Countries :	China Singapore Vietnam Thailand
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

GENERAL INFORMATION

Suppliers :

Reference :

Kohinoor India Private Limited

Name of the Person :

Mr. Surendra, Managing Director

Contact No.:

91-9872468000

Since How Long Known :

25 Years

Maximum Limit Dealt :

10 Year APP Yearly

Experience :

Payment Behaviour	Market Goodwill	Overall
Excellent	Excellent	Excellent

Remark:

They gave us positive response about the subject company they are satisfied with their product quality delivery Behaviour and payment Behaviour.

Customers :

Reference :

Kohinoor India Private Limited

Name of the Person :

Mr. Surendra, Managing Director

Contact No.:

91-9872468000

Since How Long Known :

25 Years

Maximum Limit Dealt :

10 Year APP Yearly

Experience :

Product Quality	Delivery Behaviour	Overall
Excellent	Excellent	Excellent

Remark:

They gave us positive response about the subject company they are satisfied with their product quality delivery Behaviour and payment Behaviour.

No. of Employees :

100(Approximately)

Bankers :

• State Bank of India, Ludhiana – 141 010, Punjab, India
• Axis Bank Limited, Ludhiana, Punjab, India
• ICICI Bank Limited, Ludhiana, Punjab, India

Facilities :

TL/ CC/ PC – Rs.1000.000 millions (From State Bank of India)

Banking Relations :
Auditors :
Name :	Sanjay Goyal and Company Chartered Accountants
Address :	Ludhiana, Punjab, India
Memberships :	Not Available
Collaborators :	Not Available
Sister Concerns :	Max Well Inc. Address: Ludhiana – 141 010, Punjab, India Line of Business: Manufacturer and Exporter of Bicycles, Components and Spares. Ramesh Steel Address: Ludhiana – 141 010, Punjab, India Line of Business: Manufacturer and Exporter of Bicycles, Components and Spares.

CAPITAL STRUCTURE

As on 31.03.2014

Capital Investment :
Owned :	Rs. 1900.651 Millions
Borrowed :	--
Total :	Rs. 1900.651 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2014	31.03.2013	31.03.2012
SHAREHOLDERS FUNDS
1] Share Capital		1900.651	1697.838	1619.869
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		0.000	0.000	0.000
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		1900.651	1697.838	1619.869
LOAN FUNDS
1] Secured Loans		873.394	788.266	743.998
2] Unsecured Loans		412.491	338.885	223.476
TOTAL BORROWING		1285.885	1127.151	967.474
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		3186.536	2824.989	2587.343
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		1624.813	1342.509	1209.020
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	256.767	523.560	176.442
	Sundry Debtors	1747.581	1271.995	1361.801
	Cash & Bank Balances	172.413	96.737	112.202
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	263.052	345.308	281.888
Total Current Assets		2439.813	2237.600	1932.333
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	878.090	755.120	554.010
	Other Current Liabilities
	Provisions
Total Current Liabilities		878.090	755.120	554.010
Net Current Assets		1561.723	1482.480	1378.323
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		3186.536	2824.989	2587.343

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2014	31.03.2013	31.03.2012
	SALES
	Income	6713.430	4765.317	4588.743
	Other Income	100.373	78.139	77.969
	TOTAL (A)	6813.803	4843.456	4666.712
Less	EXPENSES
	Cost of Goods Sold	5462.951	3728.300	3781.013
	Direct expenses	8.708	0.721	1.283
	Personal expenses	25.253	21.981	19.359
	Administrative expenses	40.291	33.615	24.457
	Selling expenses	724.021	511.387	222.752
	Interest of partners	42.926	54.080	94.448
	TOTAL (B)	6304.150	4350.084	4143.312
Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (C)	509.653	493.372	523.400
Less	FINANCIAL EXPENSES (D)	166.346	140.815	129.218
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)	343.307	352.557	394.182
Less/ Add	DEPRECIATION/ AMORTISATION (F)	79.944	70.031	60.612
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)	263.363	282.526	333.570
Less	TAX (I)	8.723	(3.914)	6.001
	PROFIT/ (LOSS) AFTER TAX (G-I) (J)	254.640	286.440	327.569

Expected Sales (2014-2015) Rs.7000.000 Millions

The above information has been parted by Mr. Rajesh

Note : Sole Proprietary and Partnership concerns are exempted from filing their financials with the Government Authorities or Registry.

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT / Sales)	(%)	3.79	6.01	7.14
Operating Profit Margin (PBIDT/Sales)	(%)	7.59	10.35	11.41
Return on Total Assets (PBT/Total Assets}	(%)	6.48	7.89	10.62
Return on Investment (ROI) (PBT/Networth)		0.14	0.17	0.21
Debt Equity Ratio (Total Debt /Networth)		0.68	0.66	0.060
Current Ratio (Current Asset/Current Liability)		2.78	2.96	3.49

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Share Capital	1619.869	1697.838	1900.651
Reserves & Surplus	0.000	0.000	0.000
Net worth	1619.869	1697.838	1900.651
Secured Loans	743.998	788.266	873.394
Unsecured Loans	223.476	338.885	412.491
Total borrowings	967.474	1127.151	1285.885
Debt/Equity ratio	0.597	0.664	0.677

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2014	31.03.2013	31.03.2012
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	4588.743	4765.317	6713.430
		3.848	40.881

NET PROFIT MARGIN

Net Profit Margin	31.03.2014	31.03.2013	31.03.2012
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	4588.743	4765.317	6713.430
Profit	327.569	286.440	254.640
	7.14%	6.01%	3.79%

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	Yes
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	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last three years	Yes
12]	Profitability for last three years	No
13]	Reasons for variation <> 20%	--
14]	Estimation for coming financial year	Yes
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
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	No
25]	Conduct of the banking account	--
26]	Buyer visit details	--
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	No
29]	Last accounts filed at ROC	No
30]	Major Shareholders, if available	No
31]	Date of Birth of Proprietor/Partner/Director, if available	No
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

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.63.07
UK Pound	1	Rs.98.73
Euro	1	Rs.77.46

INFORMATION DETAILS

Information Gathered by :	PRT
Analysis Done by :	DIV
Report Prepared by :	KVT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	7
PAID-UP CAPITAL	1~10	7
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILITY	1~10	6
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	6
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		54

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.