MIRA INFORM REPORT

Report Date :

10.03.2014

IDENTIFICATION DETAILS

Name :	SUNMAN SPINNING MILLS LTD.

Registered Office :	CDA Annex Building, (2nd floor), Hossain Shaheed Road, Chittagong,

Country :	Bangladesh

Date of Incorporation :	06.02.1994

Com. Reg. No.:	CH-1574

Legal Form :	Private Company

Line of Business :	Manufacturer and Importer of Cotton Yarn.

No. of Employees :	550

RATING & COMMENTS

MIRA’s Rating :

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

Status :	Satisfactory
Payment Behaviour :	No complaints
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 – September 30, 2013

Country Name

Previous Rating

(30.06.2013)

Current Rating

(30.09.2013)

Bangladesh

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

BANGLADESH - ECONOMIC OVERVIEW

Bangladesh's economy has grown roughly 6% per year since 1996 despite political instability, poor infrastructure, corruption, insufficient power supplies, slow implementation of economic reforms, and the 2008-09 global financial crisis and recession. Although more than half of GDP is generated through the service sector, almost half of Bangladeshis are employed in the agriculture sector with rice as the single-most-important product. Garment exports, the backbone of Bangladesh’s industrial sector and 80% of total exports, surpassed $21 billion last year, 18% of GDP. The sector has remained resilient in recent years amidst a series of factory accidents that have killed over 1,000 workers and crippling strikes that shut down virtually all economic activity. Steady garment export growth combined with remittances from overseas Bangladeshis, which totaled almost $15 billion and 13% of GDP IN 2013, are the largest contributors to Bangladesh’s current account surplus and record foreign exchange holdings.

Source : CIA

EXECUTIVE SUMMARY

IDENTIFICATION DETAILS

Correct company Name	:	SUNMAN SPINNING MILLS LTD.
Head Office	:	CDA Annex Building, (2nd floor), Hossain Shaheed Road, Chittagong, Bangladesh.
Tel No	:	88-031-611033-34, 01819-319344
Fax No	:	88-031-610105, 610352
E-mail	:	info@sunman.net
Website	:	Nil
Date/ Year of Incorporation	:	06.02.1994
Incorporation No.	:	CH-1574
Legal Form (General)	:	Public Listed Co Public (but not listed) Private Co State-owned Co Sole Proprietorships Partnership Not Registered others (please specify) ________________
Legal form (Specific)	:	LTD CORP INC CO others (please specify) ________________
Issuing Authority	:	Registrar of Joint Stock Companies & Firms City Corporation Municipal Administration Union Council Cantonment Board Chief Controller of Import & Export (CCIE)

FINANCIALS- SUMMARY

Year	Turnover/ Sales	Assets	Income
July’ 11~June’ 12	Tk. 244 Million.	Tk. 20 Million	Tk. 11.69 Million
July’ 12~June’ 13	Tk. 268 Million	Tk. 28.59 Million.	Tk. 17.35 Million
Exchange Rate	USD1-Tk. 77.8200 EUR 1- Tk. 100.2711 GBP 1- Tk.118.5354 AUD 1 - Tk.82.8563 JPY 1 - Tk.0.9286	CAD 1 - Tk.80.1887 SEK 1 - Tk.12.2870 SGD 1 - Tk.65.3045 CNH 1 - Tk.12.8399

FULLCHECK REPORT DETAILS

Information Parted By

Name	:	Mr. Shakawat.
Designation	:	Asst. Manager.
Contract No	:	88-01818245104

Locations Details

Operating Address	:	CDA Annex Building, (2nd floor), Hossain Shaheed Road, Chittagong, Bangladesh.
Tel No	:	88-031-611033-34, 01819-319344
Fax No	:	88-031-610105, 610352
E-mail	:	info@sunman.net
Website	:	Nil

Location :

: Owned

Rented

Leased

Area

3500

Sq. ft.

Type of Office :	: Commercial Office Bldg.	Ö		Semi-commercial office Bldg.
Retail shop			Industrial Park
Business Center			Home Office
Residential Bldg.

Factory:

Address	:	Keshabpur, Sitalpur, siatkunda, Chittagong, Bangladesh.
Tel No	:	88-031-2780474, 2780475.
Fax No	:	Nil

Location :

Owned

Rented

Leased

Area

56000

Sq. ft.

Branches:

Address	:	Nil
Tel No	:	Nil
Fax No	:	Nil

Employee:

No. of Employees	In Office	:	30	In Factory	:	520
	In Branch:	:	-	Total	:	550
Details:

OWNERSHIP/SHAREHOLDERS

Names of Shareholders	No. of Share
Mr. Sunman Textiles Ltd	551000
Dress Co Ltd	545000
Alfa Textiles Ltd	675500
Delta Furnishers Ltd	141500

DIRECTORS

Name	Designation
Mr. Major Retd. Abdul Mannan	Chairman
Mrs. Umme Kulsum Mannan	Managing Director
Mr. Lutse M. Ayub	Director

MANAGEMENT

Name	:	Mr. Kamal Hossain.
Job Description	:	Deputy General Manager.(Accounts & Finance)
Nationality	:	Bangladeshi.
Email address	:	N/A
Other details	:	Nil

Name	:	Mr. Shakawat.
Job Description	:	Asst. Manager.
Nationality	:	Bangladeshi.
Email address	:	N/A
Other details	:	88-01818245104

BUSINESS OPERATIONS

Nature of Activity :	Manufacturer	Ö	Trader		Dealer	Distributor

	Exporter		Importer	Ö	Services	Others

Range of Products:

Products	:	Cotton Yarn.
Production Capacity	:	3448785 kgs per year.
Last Year Production	:	Do.

Trading Terms:

Purchasing Terms:	L/C	Ö	Cash		Others
	Credit :		30 days		60 days	Ö	90 days			days

Selling Terms :	L/C		Cash	Ö	Others
	Credit :	Ö	30 days		60 days		90 days			days

DETAILED DATA

Trade Reference & Related Parties	:	Overseas Clients			:		Local Clients	:	N/A
		Overseas Suppliers			:		Local Suppliers	:	N/A
Trade Markets	:	Exports			:	Europe
		Imports			:	China, India, Pakistan, Italy.

Brand Name			:	N/A
Certified			:	N/A
Auditors			:	N/A
Operation Status			:	Active.
Member			:	Bangladesh Textile Mills Association.

CAPITAL STRUCTURE

Authorized Capital	:	Tk. 30 Million.
Paid-up Capital	:	Tk. 19, 13,00,000	No. of Shares	:	19,13,000	Share Value	:	Tk.100.00Each
Main Assets	:	Tk. 28.59 Million.

FINANCIAL STATEMENT- DETAILED

The subject company don’t submit update full financial figure to local registry office.

ASSOCIARES/SUBSIDIARIES/ RELATED PARTIES

Sister Concerns

Sunman Apparel ltd.

Sunman Sweaters Ltd.

Sunmark Jeans Ltd.

Banglalion Communications Ltd.

Golden Horizon Limited.

Ishaqpur Sweater Industries Ltd.

Delta Furnishers Ltd.

Dress Co. Ltd.

Alfa Textiules Ltd.

Sunman Textiles Ltd

Subsidiary

N/A

Name of The Group

Sunman Group of Companies.

BANKING

Bank Name	:	Citi Bank.
Bank Address	:	Agrabad Branch. 11, Rnlay House Agrabad Commercial Area Chittagong-4100. Cable: CITYAGRA Phone: 716210, 502638 PABX: 720631-3,726279-80 Fax: 880-31-720962

Bank Name	:	Pubali Bank Ltd.
Bank Address	:	CDA Avenue Branch C.D.A. Building P.O. - GPO Chittagong Dist. - Chittagong Bangladesh 880 31 611381, 634710

Bank Name

Dhaka Bank Ltd.

Bank Address

Jubilee Road Branch.

183 Jubilee Road, Chittagong

Tel: 88-031-630186, 630183-5

Fax: 88-031-630187

E-mail: jubilee@dhakabank.com.bd

ADVERSE DATA MONITORING

Dishonored Checks	:	No Record Found
Debt	:	No Record Found
Litigation	:	Clear
Performance Defaults	:	No Record Found
Adverse Local Media Coverage/ Adverse Filling History	:	No Record Found

SITE VISIT COMMENTARY

Our representative visited the subject company Head Office which is situated at CDA Annex Building, (2nd floor), Hossain Shaheed Road, Chittagong, Bangladesh. The subject Asst. Manager-Mr. Shakawat welcome us & given us all information. Its office is situated at commercial area & decorated by western furniture

GENERAL COMMENTS

The subject company is a well-known reputed company in Bangladesh. Their products popular to the foreign customers. So day by day the subject companies increase their goodwill.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.60.99
UK Pound	1	Rs.102.07
Euro	1	Rs.84.53

INFORMATION DETAILS

Report Prepared by :

NNA

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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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.