MIRA INFORM REPORT

Report Date :

08.01.2014

IDENTIFICATION DETAILS

Name :	MEENAKSHI INDIA LIMITED
Registered Office :	16, Whites Road, 4^th Floor, Royapettah, Chennai - 600014, Tamilnadu
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	16.07.1987
Com. Reg. No.:	18-014678
Capital Investment / Paid-up Capital :	Rs. 37.500 Millions
CIN No.: [Company Identification No.]	L74300TN1987PLC014678
TAN No.: [Tax Deduction & Collection Account No.]	CHEM01546G
PAN No.: [Permanent Account No.]	AAACM5386Q
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.
Line of Business :	Manufacturing and Exporting of Apparels, Trading in Textiles, Plantations and non-conventional power generation through Windmill.
No. of Employees :	Not Divulged

RATING & COMMENTS

MIRA’s Rating :

Ba (43)

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

Maximum Credit Limit :	USD 498000
Status :	Satisfactory
Payment Behaviour :	Slow but 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 slow but correct. 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 – September 30, 2013

Country Name	Previous Rating (30.06.2013)	Current Rating (30.09.2013)
India	A1	A1

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

INDIAN ECONOMIC OVERVIEW

India’s current account deficit narrowed in the quarter ended September as government measures to curb imports, especially gold, kicked in.  The current account deficit, the excess of a country’s imports of goods and services over exports, narrowed to $ 5.2 billion from $ 21 billion in the year ago period, according to provisional Reserve Bank of India data. Finance Minister P. Chidambaram said the CAD for the year will be less than $ 60 billion or 3 per cent of GDP and the latest data suggests the government may achieve the target.

India was ranked 94^th among the world’s most corrupt nations list. Denmark and New Zealand topped as the cleanest while Somalia emerged as the most corrupt.

India’s services sector activity witnessed a moderate improvement in November over the previous month, even while indicating the fifth successive monthly contraction, according the HSBC survey.

$53 million estimated losses suffered by India due to phishing attacks during the third quarter, according to a study by RSA. India ranks fourth in the list of nations hit by phishing attacks. The US remained at the top of the charts. Phishing is the process of acquiring information such as user names, passwords and credit card details by sending e-mails disguised as official mails.

Rs.4080 million worth of mobile-phone-based transactions by July 2013 compared to Rs.260 million in September, 2012, according to Deloitte report. The number of transactions has shot up from 94000 to 701000.

India aims to earn Rs.400000 million from the bandwidth auction set for January. The merger and acquisition guidelines, cleared by a group of ministers, will be out before the auction begins so that players can make informed decisions on the auctions.

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Long term rating : (BB+)
Rating Explanation	Moderate risk of default
Date	January 02, 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 31-03-2012.

INFORMATION DECLINED

MANAGEMENT NON-COOPERATIVE

(CONTACT NO.: 91-44-28524629/ 42636795)

LOCATIONS

Registered Office :	16, Whites Road, 4^th Floor, Royapettah, Chennai - 600014, Tamilnadu, India
Tel. No.:	91-44-28524629/ 42636795
Fax No.:	Not Available
E-Mail :	mundhara_co@yahoo.co.in meenakshiindia@airtelbrandband.in
Website :	http://www.milgroup.net
Admin Office :	No.77 (SP), Ambattur Industrial Estate, Chennai - 600058, Tamilnadu, India
Tel. No.:	91-44-26251590
Fax No.:	91-44-26258013
E-Mail :	contact@milgroup.net
Factory :	Located at: · Salem Ambattur

DIRECTORS

AS ON 30.09/2013

Name :

Mr. Ashutosh Goenka

Designation :

Managing director

Address :

No.9A, Venus Colony, 2^nd Street, Alwarpet, Chennai - 600018, Tamilnadu, India

Date of Birth/Age :

22.09.1970

Qualification :

B.Com

Experience :

21 Years

Date of Appointment :

01.04.2012

PAN No.:

AAFPG4647L

DIN No.:

00181026

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	U65993TN1980PTC008466	BAJRANG INVESTMENT CO PRIVATE LIMITED	Director	01/03/1990	01/03/1990	-	Active	NO
2	U18101TN1979PTC008039	SRI BAJRANG TEXTILE PRIVATE LIMITED	Director	01/04/1990	01/04/1990	-	Active	NO
3	U91990TN1994NPL080261	SREELAL GOENKA MEDICAL INSTITUTE	Director	17/05/1994	17/05/1994	-	Active	NO
4	U14299TN1990PTC019151	MEENAKSHI BIO -TECH PRIVATE LIMITED	Director	27/03/1995	27/03/1995	-	Active	NO
5	U65191TN1990PTC019044	MEENAKSHI FINANCE & PROPERTIES PRIVATE LIMITED	Director	05/11/1999	05/11/1999	-	Active	NO
6	U52321TN1985PTC011511	MILCOM SOFTWARE PRIVATE LIMITED	Director	25/04/2000	25/04/2000	-	Active	NO
7	U93090TN1985PTC011513	MAYFAIR ENTERPRISES PRIVATE LIMITED	Director	16/07/2001	16/07/2001	06/06/2011	Active	NO
8	L65191TN1997PLC039571	LIBRA CONSTRUCTIONS & FINANCE LIMITED	Director	26/12/2002	26/12/2002	-	Active	NO
9	L74300TN1987PLC014678	MEENAKSHI INDIA LIMITED	Managing director	01/04/2012	01/04/2006	-	Active	NO
10	U51109TN1999PTC043489	BHARAT INDUSTRIAL DEVELOPMENT COMPANY PRIVATE LIMITED	Director	15/09/2010	25/11/2009	-	Active	NO
11	U28910TN1985PLC012257	MIL STEEL AND POWER LIMITED	Director	30/09/2013	15/05/2013	-	Active	NO

Name :

Mr. Shyam Sunder Goenka

Designation :

Whole-time director

Address :

No.9A, Venus Colony, 2^nd Street, Alwarpet, Chennai - 600018, Tamilnadu, India

Date of Birth/Age :

07.06.1940

Qualification :

B.Com

Experience :

49 Years

Date of Appointment :

01.04.2012

PAN No.:

AAVPS9367D

DIN No.:

00180875

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	U18101TN1979PTC008039	SRI BAJRANG TEXTILE PRIVATE LIMITED	Director	11/12/1979	11/12/1979	-	Active	NO
2	U65993TN1980PTC008466	BAJRANG INVESTMENT CO PRIVATE LIMITED	Director	28/10/1980	28/10/1980	-	Active	NO
3	U14299TN1990PTC019151	MEENAKSHI BIO -TECH PRIVATE LIMITED	Director	10/05/1990	10/05/1990	-	Active	NO
4	U74140MH1990PTC058925	GAIN FINANCIAL CONSULTANTS PRIVATE LIMITED	Director	09/11/1990	09/11/1990	-	Active	NO
5	U65191TN1990PTC019044	MEENAKSHI FINANCE & PROPERTIES PRIVATE LIMITED	Director	26/11/1992	26/11/1992	-	Active	NO
6	U91990TN1994NPL080261	SREELAL GOENKA MEDICAL INSTITUTE	Director	17/05/1994	17/05/1994	-	Active	NO
7	L65191TN1997PLC039571	LIBRA CONSTRUCTIONS & FINANCE LIMITED	Director	29/04/1998	29/04/1998	-	Active	NO
8	U52321TN1985PTC011511	MILCOM SOFTWARE PRIVATE LIMITED	Director	31/03/2001	31/03/2001	-	Active	NO
9	U51109TN1999PTC043489	BHARAT INDUSTRIAL DEVELOPMENT COMPANY PRIVATE LIMITED	Director	25/12/2002	25/12/2002	-	Active	NO
10	L74300TN1987PLC014678	MEENAKSHI INDIA LIMITED	Whole-time director	01/04/2012	01/04/2005	-	Active	NO
11	U93090TN1985PTC011513	MAYFAIR ENTERPRISES PRIVATE LIMITED	Additional director	14/08/2008	14/08/2008	28/10/2011	Active	NO
12	U28910TN1985PLC012257	MIL STEEL AND POWER LIMITED	Director	30/09/2013	03/06/2013	-	Active	NO

Name :

Mr. Inder Mohan Khosla

Designation :

Director

Address :

No.9, Framroz Court, Marine Drive, Mumbai - 400020, Maharashtra, India

Date of Birth/Age :

11.09.1938

Qualification :

B.Com

Date of Appointment :

28.10.1995

DIN No.:

00195806

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	Company/ LLP Status	Defaulting status
1	U74140MH1990PTC058925	GAIN FINANCIAL CONSULTANTS PRIVATE LIMITED	Director	09/11/1990	09/11/1990	Active	NO
2	U74120MH1975PTC018411	BEAM SERVICES PRIVATE LIMITED	Director	05/08/1995	05/08/1995	Active	NO
3	L74300TN1987PLC014678	MEENAKSHI INDIA LIMITED	Director	28/10/1995	28/10/1995	Active	NO

Name :

Mr. Palayam Meenakshisundaram

Designation :

Director

Address :

Navasri Old No. 3 (417), New No. 2 (594), Singaravelan Sala, Chinna Nelankaraim, Chennai - 600041, Tamilnadu, India

Date of Birth/Age :

20.09.1929

Qualification :

B.Com

Date of Appointment :

22.09.1999

DIN No.:

00715291

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	L74300TN1987PLC014678	MEENAKSHI INDIA LIMITED	Director	22/09/1999	22/09/1999	-	Active	NO
2	U93090TN1912NPL001384	MUTHIALPET HIGHER SECONDARY SCHOOL	Director	20/11/2004	20/11/2004	30/06/2011	Active	NO

Name :

Mr. Kamal Chordia

Designation :

Director

Address :

No.89, Audiappa Naicken Street, 1^st Floor, Sowcarpet, Chennai - 600079, Tamilnadu, India

Date of Birth/Age :

21.07.1971

Qualification :

FCA

Date of Appointment :

29.01.2007

PAN No.:

AGKPK8897M

DIN No.:

01280853

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	Company/ LLP Status	Defaulting status
1	L74300TN1987PLC014678	MEENAKSHI INDIA LIMITED	Director	29/01/2007	29/01/2007	Active	NO
2	U65991TN1991PTC021934	ASK INVESTMENT & FINANCIAL CONSULTANCY PRIVATE LIMITED	Director	15/06/2007	15/06/2007	Active	NO

Name :

Mr. Gopalan Rajendra Prasad

Designation :

Whole-time director

Address :

237A, III Cross, Brindavan Road, Fairlands, Salem – 636016, Tamilnadu, India

Date of Birth/Age :

28.05.1948

Qualification :

B.Com

Date of Appointment :

01.10.2010

PAN No.:

AAEPP8579R

DIN No.:

01793755

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	U51109TN1999PTC043489	BHARAT INDUSTRIAL DEVELOPMENT COMPANY PRIVATE LIMITED	Director	25/01/2005	25/01/2005	25/11/2009	Active	NO
2	L65191TN1997PLC039571	LIBRA CONSTRUCTIONS & FINANCE LIMITED	Director	29/09/2010	25/11/2009	-	Active	NO
3	L74300TN1987PLC014678	MEENAKSHI INDIA LIMITED	Whole-time director	01/10/2010	01/10/2010	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09/2013

NOTE: SHAREHOLDING DETAILS FILE ATTACHED

AS ON 30.09/2013

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	62.00
Directors or relatives of directors	29.00
Other top fifty shareholders	3.00
Others	6.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturing and Exporting of Apparels, Trading in Textiles, Plantations and non-conventional power generation through Windmill.

Products/ Services :

ITC Code No.	Product Descriptions
55140000	Pants and Shorts

GENERAL INFORMATION

No. of Employees :

Not Divulged

Bankers :

· Canara Bank

Thousand Lights Branch, Greams Road, Chennai - 600006, Tamilnadu, India

· The Karur Vysya Bank Limited

Whites Road Branch, 16; Whites Road, Chennai - 600014, Tamilnadu, India

Facilities :

SECURED LOANS	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
LONG-TERM BORROWINGS
Term loans from banks	19.045	24.227
SHORT TERM BORROWINGS
Loans repayable on demand from banks	129.307	131.705
Total	148.352	155.932

Banking Relations :	--
Auditors :
Name :	Singhi and Company Chartered Accountants
Address :	1, Philips Street, Chennai - 600001, Tamilnadu, India
Income-tax PAN of auditor or auditor's firm :	AASFS9578D
Associate :	· Meenakshi Finance and Properties Private Limited Sri Bajrang Textiles Private Limited Milcom Software Private Limited Meenakshi Bio Tech Private Limited
Enterprises which are owned, or have significant influence of or are partners with Key management personnel and their relatives :	· Libra Constructions and Finance Limited Bharat Industrial Development Company Private Limited Bajrang Investment Company Private Limited
Other Related Parties :	· Kanishk Ferrous And Energy Limited Meenakshi Sundaram Goenka Public School

CAPITAL STRUCTURE

AS ON 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
5,000,000	Equity Shares	Rs. 10/- each	Rs. 50.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
3,750,000	Equity Shares	Rs. 10/- each	Rs. 37.500 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	37.500	37.500	37.500
(b) Reserves & Surplus	87.146	65.675	50.826
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	0.000
Total Shareholders’ Funds (1) + (2)	124.646	103.175	88.326
(3) Non-Current Liabilities
(a) long-term borrowings	19.045	24.227	8.112
(b) Deferred tax liabilities (Net)	12.536	11.282	10.156
(c) Other long term liabilities	2.350	2.350	0.000
(d) long-term provisions	3.860	4.513	4.533
Total Non-current Liabilities (3)	37.791	42.372	22.801
(4) Current Liabilities
(a) Short term borrowings	129.335	135.929	124.064
(b) Trade payables	10.062	21.274	9.663
(c) Other current liabilities	37.692	25.922	36.458
(d) Short-term provisions	2.065	0.561	1.359
Total Current Liabilities (4)	179.154	183.686	171.544
TOTAL	341.591	329.233	282.671
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	159.723	149.498	124.672
(ii) Intangible Assets	1.040	0.369	0.478
(iii) Capital work-in-progress	0.000	0.000	9.098
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	10.005	0.061	0.060
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	3.903	5.523	3.776
(e) Other Non-current assets	3.000	1.000	0.000
Total Non-Current Assets	177.671	156.451	138.084
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	48.225	79.579	40.087
(c) Trade receivables	67.657	39.137	38.890
(d) Cash and cash equivalents	19.664	27.319	56.810
(e) Short-term loans and advances	17.570	19.332	4.870
(f) Other current assets	10.804	7.415	3.930
Total Current Assets	163.920	172.782	144.587
TOTAL	341.591	329.233	282.671

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Revenue from operations	557.145	437.487	260.095
		Other Income	6.234	6.938	10.561
		TOTAL (A)	563.379	444.425	270.656
Less	EXPENSES
		Cost of materials consumed	265.296	211.741	114.765
		Purchases of stock-in-trade	39.215	23.097	22.988
		Changes in inventories of finished goods, work-in-progress and stock-in-trade	(20.534)	(0.942)	(1.210)
		Employee benefit expense	127.205	94.786	66.034
		Other expenses	103.733	70.279	42.896
		TOTAL (B)	514.915	398.961	245.473
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		48.464	45.464	25.183
Less	FINANCIAL EXPENSES (D)		12.959	18.424	8.082
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		35.505	27.040	17.101
Less/ Add	DEPRECIATION/ AMORTISATION (F)		7.885	7.392	5.879
	PROFIT BEFORE TAX (E-F) (G)		27.620	19.648	11.222
Less	TAX (H)		6.149	4.799	2.576
	PROFIT AFTER TAX (G-H) (I)		21.471	14.849	8.646
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		46.714	31.865	23.219
	BALANCE CARRIED TO THE B/S		68.185	46.714	31.865
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	460.468	369.468	202.136
	IMPORTS
		Raw Materials	31.732	52.842	19.042
		Capital Goods	4.116	11.493	5.331
	TOTAL IMPORTS		35.848	64.335	24.373
	Earnings Per Share (Rs.)		5.73	3.96	2.31

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	3.81	3.34	3.19
Net Profit Margin (PBT/Sales)	(%)	4.96	4.49	4.31
Return on Total Assets (PBT/Total Assets}	(%)	8.33	5.97	4.10
Return on Investment (ROI) (PBT/Networth)		0.22	0.19	0.13
Debt Equity Ratio (Total Debt/Networth)		1.19	1.55	1.50
Current Ratio (Current Asset/Current Liability)		0.91	0.94	0.84

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	Yes
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

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	80039204	10/05/2006	84,000,000.00	CANARA BANK	THOUSAND LIGHTS BRANCH, GREAMS ROAD, CHENNAI - 600006, TAMILNADU, INDIA	-
2	80033911	04/10/2013 *	253,000,000.00	CANARA BANK	THOUSAND LIGHTS BRANCH, GREAMS ROAD, CHENNAI - 600006, TAMILNADU, INDIA	B90502774

* Date of charge modification

UNSECURED LOANS

UNSECURED LOANS	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
SHORT TERM BORROWINGS
Intercorporate borrowings	0.028	4.224
Total	0.028	4.224

OPERATIONS:

The Company achieved turnover of Rs.557.145 Millions (Previous Year Rs.437.487 Millions). The performance of your Company for the year has been satisfactory in comparison to market situation.

FUTURE OUTLOOK:

The Company’s performance in the coming year would be a major challenge due to the economic environment prevalent and the slowdown in the growth.

LISTING STATUS:

The Company's Shares are listed both in Chennai and Kolkata Stock Exchanges. At present Listing fees have been paid for the financial year.

MANAGEMENT DISCUSSION AND ANALYSIS REPORT

ORGANISATION - PROFILE

Subject was incorporated in 1982. It has various Divisions consisting of Manufacturing and Export of Apparels, Trading in Textiles, Plantations and non-conventional power generation through Windmill.

Subject is the Flagship Company of the group. The group is having other major Companies such as Meenakshi Bio-Tech Private Limited, Libra Constructions and Finance Limited, Sri Bajrang Textiles Private Limited, Meenakshi Finance and Properties Private Limited, Bajrang Investments Company Private Limited, etc.

The group is founded and headed by Shri. S.S. Goenka who brings in 49 years of rich experience. The Managing Director of the Company Shri. Ashutosh Goenka, aged about 43 years, has rich experience in the apparel Manufacturing and Exports. He has widely traveled globally and has also developed good business relationships.

The company has 3 plants at Salem which are fully equipped to handle quality control aspects such as Fabric inspection, In-line inspection of cut garments and Assembly lines. The facilities are versatile to work with both imported piece goods and domestic piece goods from renowned mills and conventional power looms. The factories are equipped with the latest technologies and conform to national and international quality registrar guidelines.

The Company’s Plantation Estate is situated at Sirumalaipudur, Dindigul in Tamilnadu and the Windmill is operated from Palladam,Vadamacherry village, Coimbatore Dist. The Trading Division is located in Chennai.

BUSINESS:

Subject has set up its own Apparel Manufacturing unit in the year 1992 for Apparel export. The Company mainly exports to USA, Europe and Canada. The Company’s Export Division works with major labels such as Timber Land, Diesel, VF etc.

In the Textile Trading, the Company acts as a wholesale dealer / Distributor for Grasim in the Sates of Tamilnadu and Kerala since 1982.

Under the Plantation Division, the present area of Cultivation is about 282 acres and the main crops grown there are Coffee, Cardamom, Pepper, etc.

The Company has also put up its own wind power generator at Palladam, Vadamacherry Village near Coimbatore. The Annual Power generation is around 3.00 Lacs units and the entire power is sold to the GRID of TNEB.

OUTLOOK:

Given the challenging operating environment led by the uncertainty over demand growth, volatility in raw-material prices and persistent increases in other operating costs coupled with the stress on liquidity, it is unlikely that the sector`s Outlook will turn Positive.

The country’s apparel exports are anticipated to be flat at $14 billion in the current fiscal. However, if falling cotton prices translate into revival of demand and capacity utilisation, the Outlook on garment sector could turn Stable in 2014. Selling prices are likely to remain lower depending on companies’ bargaining power which is very low for small exporters or for low value added products.

A reduced cost competitiveness in China due to significant wage increases and a reduction in capacities in China for exports offers an advantage to India as a Apparel Manufacturing Destination.

Furthermore, the recent events and incidents of unrest, safety and non-compliance issues in Bangladesh has significantly increased the country risk and may see a lot of customers change their sourcing strategy to increase India exposure given the stability of the country and the strict adherence to social compliance issues.

OPERATING RESULTS/ FINANCIAL HIGHLIGHTS:

The Financial statements have been prepared in compliance with the requirements of the Companies Act, 1956. The Management accepts the responsibility for the integrity and objectivity of these financial statements and on the basis for the various estimates and judgments used in preparing the financial statements.

The Company could achieve a total Sales Turnover of Rs.557.100 Millions during the financial year when compared to the previous year’s sales Turnover of Rs.437.500 Millions.

The Export Division could achieve a turnover of Rs. 464.900 Millions, compared to the previous year’s export turnover of Rs.370.500 Millions.

The company could achieve a PBDT of Rs.35.500 Millions and PBT of Rs.27.600 Millions.

FIXED ASSETS:

· Land

Buildings

Office building

Factory building

Plant and equipment

Factory equipments

Furniture and fixtures

Vehicles

Motor vehicles

Office equipment

Computer equipments

Other equipments

Computer software

CMT REPORT (Corruption, Money Laundering and 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. 62.38
UK Pound	1	Rs. 102.25
Euro	1	Rs. 84.97

INFORMATION DETAILS

Information Gathered by :	PDT
Report Prepared by :	BVA

SCORE and 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	4
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	4
--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	YES
--LISTED	YES/NO	YES
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTERS
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		43

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 and 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.