MIRA INFORM REPORT

Report Date :

27.03.2014

IDENTIFICATION DETAILS

Name :	GALUKU EXPORTS (INDIA) PRIVATE LIMITED
Registered Office :	Yadav Apartments, Jayaranga Illam, Vijarahavan Street, Mahalingapuram, Pollachi - 642002, Tamilnadu
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	31.01.2005
Com. Reg. No.:	18-011566
Capital Investment / Paid-up Capital :	Rs. 0.100 Million
CIN No.: [Company Identification No.]	U51909TZ2005PTC011566
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Coir Pith Block.
No. of Employees :	20 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ca (18)

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 :	Moderate
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. The management has failed to file its financial with government department since 2011. As per previous financial of 2010, rating takes reflects the company’s small scale of business operational and its huge external borrowing which acts as threatening to the liquidity position of the company. Business is active. Payment terms are slow and delayed. The company can be considered for business dealings on safe and secured 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 – December 1, 2013

Country Name	Previous Rating (30.09.2013)	Current Rating (01.12.2013)
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 for the fiscal third quarter ended September 2013 narrowed to $4.2 billion or 0.9 % of the gross domestic product from $31.9 billion or 6.5 % of GDP a year earlier, thanks to a pick-up in exports and moderation in gold imports. Manufacturing activity and new orders in India showed their strongest growth in a year in February. The news comes as a relief after data showed Asia’s third largest economy grew by a slower-than-expected 4.7 % annually in the three months through December. The HSBC Manufacturing Purchasing Managers’ Index which gauges the business activity of India’s factories but not its’ utilities, rose to 52.5 in February, its highest in a year from 51.4 in January. Overall new orders for factory goods which rose to a one-year high of 54.9 contributed to the surge. China has emerged as India’s biggest trading partner in the current financial year replacing the United Arab Emirates and pushing it to the third spot. India-China trade has reached $49.5 billion with a 8.7 % share in India’s total trade. The US comes second at $46 billion with 8.1 % share during the first nine months of the current financial year.

The Reserve Bank of India has granted an additional nine months to the public to exchange currency notes printed before 2005 including Rs 500 and Rs 1,000 denominations, pushing the deadline to January 1, 2015. A day before dates for the Lok Sabha polls were announced, the government decided to hike interest rates on fixed deposit schemes offered by post offices up to 0.2 per cent. The new rates will be effective April, 1. The Supreme Court will resume hearing on March, 11 Nokia’s appeal against a ruling over transferring ownership of its local mobile phones plant which is the subject of a tax dispute to Microsoft Corp.

In the last days of the current Government, another scam has surfaced. The defence ministry has ordered a probe into Hindustan Aeronautics Limited’s contracts from Britain’s Rolls-Royce Holdings worth at least $ 1.2 billion. The Central Bureau of Investigation will look into allegations that over $80 million was paid in kickbacks in a deal signed in 2011. India has asked Boeing Co. to find a solution for problems with state-owned Air India’s 787 Dreamliners. The aircraft has experienced a series of malfunctions since its debut in 2011.

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

Name :	Mr. Kumar
Designation :	Accounts Manager
Contact No.:	91-7373020977
Date :	25.03.2014

LOCATIONS

Registered Office :	Yadav Apartments, Jayaranga Illam, Vijarahavan Street, Mahalingapuram, Pollachi - 642002, Tamilnadu, India
Tel. No. :	Not Available
Mobile No. :	91-7373020977 (Mr. Kumar)
Fax No. :	Not Available
E-Mail :	r_rameshkumar1977@rediffmail.com kumar@galuku.com pravin@cocopeat.biz
Website :	www.galuku.com
Corporate Office/ Factory :	Galuku India Hydroponics, Galuku Coco Mulch, 70, Kuruncheri Village, Pollachi – 642123, Tamilnadu, India
Tel. No. :	91-4259-266069/ 294711`
Fax No.:	91-4259-294711
Area :	2 Acres
Location :	Owned

DIRECTORS

As on 29.04.2010

Name :	Mr. Manikiam Pravin
Designation :	Managing Director
Date of Appointment :	31.01.2005
DIN No. :	00695842
Name :	Mr. Gopalsamy Duraisamy
Designation :	Director
Address :	1/20, Mullupadi Thamaraikulam Post, Pollachi, Coimbatore – 642109, Tamilnadu, India
Date of Birth/Age :	10.07.1965
Date of Appointment :	01/09/2006
DIN No. :	02386989
Name :	Mr. Pravin Beena
Designation :	Director
Address :	12, Chidambaram Gardens, Opposite to Kerala Samajam, Pollachi, - 642001, Tamilnadu, India
Date of Birth/Age :	25.05.1982
Date of Appointment :	08.04.2011
DIN No. :	03482753

KEY EXECUTIVES

Name :	Mr. Kumar
Designation :	Accounts Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.04.2010

Names of Shareholders	No. of Shares
Manikiam Pravin	5000

As on 29.04.2010

Equity Share Break up (Percentage of Total Equity)

Category	Percentage of Holding
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Coir Pith Block.
Exports :
Products :	Coir Pith
Countries :	Australia

GENERAL INFORMATION

No. of Employees :	20 (Approximately)
Bankers :	· The Karur Vysya Bank Limited, Door No 92/4-2, New Scheme Road, Pollachi - 642001, Tamilnadu, India Axis Bank Limited, 39 Kovai Road, Pollachi - 642001, tamilnadu, India

Banking Relations :	--
Auditors :
Name :	G Saravanan Chartered Accountants
Address :	106, Gopal Buildings, Pollachi – 642001, Tamilnadu, India
Income-tax PAN of auditor or auditor's firm :	BHYPS9153A

CAPITAL STRUCTURE

As on 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
50,000	Equity Shares	Rs.10/- each	Rs. 0.500 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
10,000	Equity Shares	Rs.10/- each	Rs. 0.100 Million

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		0.100	0.100	0.100
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		0.084	0.059	0.057
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		0.184	0.159	0.157
LOAN FUNDS
1] Secured Loans		3.462	4.494	2.941
2] Unsecured Loans		0.000	0.000	2.495
TOTAL BORROWING		3.462	4.494	5.436
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		3.646	4.653	5.593
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		2.683	2.976	3.341
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERRED TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.807	0.783	1.665
	Sundry Debtors	0.000	0.646	1.846
	Cash & Bank Balances	0.070	0.162	0.022
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	0.065	0.065	0.064
Total Current Assets		0.942	1.656	3.597
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	0.000	0.000
	Other Current Liabilities	0.000	0.000	1.366
	Provisions	0.000	0.000	0.000
Total Current Liabilities		0.000	0.000	1.366
Net Current Assets		0.942	1.656	2.231
MISCELLANEOUS EXPENSES		0.021	0.021	0.021
TOTAL		3.646	4.653	5.593

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	18.808	14.402	10.601
		Other Income	0.024	0.000	0.000
		TOTAL (A)	18.832	14.402	10.601
Less	EXPENSES
		Raw material consumed	11.210	7.806
		Consumption of Stores and Spare	0.200	0.191
		Salaries, Wages and Bonus	0.623	0.620
		Power and Fuel	0.236	0.203
		Other Expenditure	5.610	4.601
		TOTAL (B)	17.879	13.421	10.536
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		0.953	0.981	0.065
Less	FINANCIAL EXPENSES (D)		0.635	0.615	0.011
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		0.318	0.366	0.054
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.293	0.364	0.034
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)		0.025	0.002	0.020
Less	TAX (H)		0.000	0.000	0.009
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)		0.025	0.002	0.011
	Earnings / (Loss) Per Share (Rs.)		2.50	0.20	1.10

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	0.13	0.01	0.10
Net Profit Margin (PBT/Sales)	(%)	0.13	0.01	0.19
Return on Total Assets (PBT/Total Assets}	(%)	0.69	0.04	0.29
Return on Investment (ROI) (PBT/Networth)		0.14	0.01	0.13
Debt Equity Ratio (Total Debt/Networth)		18.82	28.26	34.62
Current Ratio (Current Asset/Current Liability)		0.00	0.00	2.63

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2008	31.03.2009	31.03.2010
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Share Capital	0.100	0.100	0.100
Reserves & Surplus	0.057	0.059	0.084
Net worth	0.157	0.159	0.184
Secured Loans	2.941	4.494	3.462
Unsecured Loans	2.495	0.000	0.000
Total borrowings	5.436	4.494	3.462
Debt/Equity ratio	34.624	28.264	18.815

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2008	31.03.2009	31.03.2010
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	10.601	14.402	18.808
		35.855	30.593

NET PROFIT MARGIN

Net Profit Margin	31.03.2008	31.03.2009	31.03.2010
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	10.601	14.402	18.808
Profit	0.011	0.002	0.025
	0.10%	0.01%	0.13%

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	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	No
18]	Major customers	No
19]	Payments terms	No
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	No
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

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10226973	19/10/2012 *	11,515,000.00	THE KARUR VYSYA BANK LIMITED	DOOR NO 92/4-2, NEW SCHEME ROAD, POLLACHI - 642001, TAMILNADU, INDIA	B64094816
2	10054295	24/10/2008 *	4,400,000.00	AXIS BANK LIMITED	39, KOVAI ROAD, POLLACHI - 642001, TAMILNADU, INDIA	A52848157

* Date of charge modification

REVIEW OF OPERATION

The Company was incorporated on 31st January 2005 to carry on the business of Coir Pith and Coconut Pith. The Administrative and Operational cost have been hiked compared to previous year. This year company has decided to reduce its expenses and have planned to achieve 125% of its previous year Export sales. Packing materials, Terminal handling charges, forwarding charges etc. has to be reduced by better Financial and Technical aspects. Innovative method of marketing technologies have been planned by the company to maintain its Increasing trend of export sales graph.

FIXED ASSETS

· Land

Laptop

Printer

Computer

Furniture and Fixture

Two Wheeler

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.60.17
UK Pound	1	Rs.99.39
Euro	1	Rs.83.09

INFORMATION DETAILS

Information Gathered by :	HNA
Report Prepared by :	MRI

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	2
PAID-UP CAPITAL	1~10	2
OPERATING SCALE	1~10	2
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	2
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	2
--LEVERAGE	1~10	2
--RESERVES	1~10	2
--CREDIT LINES	1~10	2
--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	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		18

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.