MIRA INFORM REPORT

Report Date :

28.10.2014

IDENTIFICATION DETAILS

Name :	SPRINGFEEL POLYURETHANE FOAMS PRIVATE LIMITED
Registered Office :	No.64, Velacherry Main Road, Sankaren Avenue, Velacherry, Chennai – 600042, Tamilnadu
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	15.12.1997
Com. Reg. No.:	18-039600
Capital Investment / Paid-up Capital :	Rs.30.400 Millions
CIN No.: [Company Identification No.]	U25209TN1997PTC039600
TAN No.: [Tax Deduction & Collection Account No.]	CHES05672C
PAN No.: [Permanent Account No.]	AADCS0733N
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Importer of Flexible Polyurethane Foam.
No. of Employees :	50 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (30)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 290000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. The company possesses a moderate financial profile marked by adequate networth base along with working capital intensive operations during FY14. Management has reported a better increase in its sales volume and has reported as low profit margin with minimal profitability as against a previous year loss. However, trade relations seem to be fair. Business is active. Payment terms are slow but correct. The company can be considered for business dealings with caution.

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 – June 1, 2014

Country Name	Previous Rating (31.03.2014)	Current Rating (01.06.2014)
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

NEWS

Verdict Implications : Apex court order may alter coal import dynamics. Traders go slow on talks over coal supply contracts, uncertainty over cancellation of blocks weigh on stocks.

Recent arrest of the Chennai head of the Registrar of Companies, the ministry of corporate affairs arm that ensures that companies file all the information required by the Companies Act is the latest manifestation of a messy fight between a father and his adopted son for the control of Rs 40000 mn business empire. The Central Bureau of Investigation arrested Manumeethi Cholan after he accepted Rs 10 lakhs as bribe from M A M Ramaswamy, a CBI official said.

Central Bureau of Investigation books Electrotherm for cheating Central Bank of Rs 4360 mn.

Infosys maintains revenue guidance. COO Rao says attrition still an area of concern and it would take a few more quarters to bring down levels to 13-15 %.

DHL  to invest Euro 100 mn in India over next 2 years. The firm has chosen India to pilot its e-commerce business model for the Asia-Pacific region.

Blackstone may buy stake in BlueRidge SEZ in line with the fund’s real estate strategy in India.

Kingfisher Airlines Ltd grounded in October 2012 under the weight of heavy debt and accumulated losses, recently approached the Delhi high court for relief in two separate cases. The airline challenged a notice by Punjab & National Bank alleging that It had wilfully defaulted on Rs 7700 mn of loans and sought more time to comply with the requirements under the listing agreements with the Stock Exchanges.

OnMobile likely to sack another 300 employees. The lay-offs follow a spate of senior-level exits over the past two years, starting with of its founder. The overall lay-offs could number around 600 and are driven by the need to cut costs, says a former employee.

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. Hariharan
Designation :	Finance Department
Contact No.:	91-9789974064
Date :	21.10.2014

LOCATIONS

Registered Office :	No.64, Velacherry Main Road, Sankaren Avenue, Velacherry, Chennai – 600042, Tamilnadu, India
Tel. No.:	91-44-22447908/ 27498005
Mobile No. :	91-9789974064
Fax No.:	91-44-22447908
E-Mail :	dilipkumar@springfeel.in info@springfeel.in
Website :	http://www.springfeel.in
Administrative Office/ Factory :	51/2A, Kelambakkam - Vandalur Road, Pudupakkam Village, Chengalpattu Taluk, Kanchipuram District – 603103, Tamilnadu, India
Tel. No.:	91-44-27498005

DIRECTORS

As on 15.09.2014

Name :

Mr. Dilip Kumar

Designation :

Director

Address :

Apartment No.801, Regalia, No.3,4,5 Sardar Patel Road, Chennai – 600113, Tamilnadu, India

Date of Birth/Age :

16.09.1971

Date of Appointment :

15.12.1997

DIN No.:

00492563

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	U65993TN1993PTC026436	PILLAYAR INVESTMENTS AND FINANCE PRIVATE LIMITED	Director	22/12/1993	22/12/1993	-	Active	NO
2	U25209TN1997PTC039600	SPRINGFEEL POLYURETHANE FOAMS PRIVATE LIMITED	Director	15/12/1997	15/12/1997	-	Active	NO
3	U40300TN2013PTC091193	SPRINGFEEL WIND ENERGY PRIVATE LIMITED	Director	16/05/2013	16/05/2013	-	Active	NO

Name :

Mr. Sameer Malhotra

Designation :

Director

Address :

Flat No.4-A, Kings Mead Apartments, No.14/3, South Mada Street, Srinagar Colony, Saidapet, Chennai – 600015, Tamilnadu, India

Date of Birth/Age :

13.03.1972

Date of Appointment :

15.12.1997

DIN No.:

00492623

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	U25209TN1997PTC039600	SPRINGFEEL POLYURETHANE FOAMS PRIVATE LIMITED	Director	15/12/1997	15/12/1997	-	Active	NO
2	U40300TN2013PTC091193	SPRINGFEEL WIND ENERGY PRIVATE LIMITED	Director	16/05/2013	16/05/2013	-	Active	NO

Name :

Mr. Venkatanarayana Yanepalli

Designation :

Director

Address :

B Block, Flat No.F2, Taj Palace, Flat No.113/3, New Market Street, Chennai – 600094, Tamilnadu, India

Date of Birth/Age :

20.06.1949

Date of Appointment :

07.04.2004

DIN No.:

00492666

KEY EXECUTIVES

Name :	Mr. Hariharan
Designation :	Finance Department

MAJOR SHAREHOLDERS

As on 15.09.2014

Names of Shareholders	No. of Shares
S. Dilip Kumar	420000
Pillayar Investments and Finance Private Limited, India	750000
P. R. Sundaravadivelu	344700
V. Manjula	200000
R. Niranjini	100000
S. Roop Kumar	220000
S. Vasanth Kumar	170000
D. Ranjini	30000
Sameer Malhotra	50000
Shashi Malhotra	40000
Kumaravel Packaging Private Limited, India	50000
R. Padmanaban	210000
Indira Ramachandran	30000
G. Kavitha	30000
Y. S. Chakravarthi	50000
Ravi Chilukuri	345300
Total	3040000

As on 15.09.2014

Equity Share Break up (Percentage of Total Equity)

Category	Percentage of Holding
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	11.35
Bodies corporate	26.31
Directors or relatives of Directors	51.82
Other top fifty shareholders	10.52
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Importer of Flexible Polyurethane Foam.
Imports :
Products :	Raw Material
Countries :	Korea

GENERAL INFORMATION

Suppliers :

• Manali Petro Chemicals Limited

Customers :

• Kerala State Rubber Co-operative Limited

No. of Employees :

50 (Approximately)

Bankers :

• ING Vysya Bank Limited, 185, Anna Salai, Near TVS, Chennai – 600006, Tamil Nadu

Facilities :

SECURED LOANS

Particulars	31.03.2014 (Rs. in Millions)	31.03.2013 (Rs. in Millions)
LONG TERM BORROWINGS
Term Loan from Banks	0.000	8.671
SHORT TERM BORROWINGS
Cash Credit	89.528	83.086
Buyers Credit	81.869	56.098
Total	171.397	147.855

Banking Relations :	---
Auditors :
Name :	SRI and Company Chartered Accountant
Address :	Flat F-2, Sindur Cascade, No.2, Krishna Street, Off North Usman Road, T Nagar, Chennai – 600017, Tamilnadu
Tel. No. :	91-44-28140850 / 1131 / 2064
Email :	sricoindia@gmail.com
Website :	http://www.srico.co.in
PAN No.:	AAXFS6133K

CAPITAL STRUCTURE

As on 15.09.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
3500000	Equity Shares	Rs.10/-each	Rs.35.000 Million
100000	Preference Shares	Rs.100/-each	Rs.10.000 Million
	Total		Rs.45.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
3040000	Equity Shares	Rs.10/-each	Rs.30.400 Million

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2014	31.03.2013	31.03.2012
I.              EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	30.400	30.400	30.400
(b) Reserves & Surplus	71.512	70.284	80.194
(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)	101.912	100.684	110.594
(3) Non-Current Liabilities
(a) long-term borrowings	11.765	27.410	31.499
(b) Deferred tax liabilities (Net)	0.000	0.000	0.000
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	11.765	27.410	31.499
(4) Current Liabilities
(a) Short term borrowings	171.397	139.184	128.605
(b) Trade payables	79.809	61.874	44.549
(c) Other current liabilities	19.313	36.256	34.255
(d) Short-term provisions	4.868	3.477	15.056
Total Current Liabilities (4)	275.387	240.791	222.465
TOTAL	389.064	368.885	364.558
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	137.950	191.508	202.769
(ii) Intangible Assets	0.495	0.483	0.410
(iii) Capital work-in-progress	0.000	0.000	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.000	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	6.080	5.193	17.312
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	144.525	197.184	220.491
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	59.216	54.000	49.482
(c) Trade receivables	115.820	96.390	69.835
(d) Cash and cash equivalents	10.086	10.541	11.611
(e) Short-term loans and advances	59.417	10.770	13.139
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	244.539	171.701	144.067
TOTAL	389.064	368.885	364.558

PROFIT & LOSS ACCOUNT

PARTICULARS	31.03.2014	31.03.2013	31.03.2012
SALES
Income	840.786	691.581	620.044
Other Income	17.123	2.341	(2.112)
TOTAL	857.909	693.922	617.932
EXPENSES	837.980	701.490	619.025
PROFIT/ (LOSS) BEFORE TAX	NA	NA	NA
TAX	NA	NA	NA
PROFIT/ (LOSS) AFTER TAX	1.836	(9.909)	1.019
IMPORTS
Raw Materials	371.018	230.628	205.516
TOTAL IMPORTS	371.018	230.628	205.516
Earnings / (Loss) Per Share (Rs.)	0.60	(3.26)	0.34

Expected Sales (2014-2015) : Rs.1000.000 Million

The above information has been parted by Mr. Hariharan (Finance Department).

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
PAT / Total Income	(%)	0.21	(1.43)	0.16
Debt Equity Ratio (Total Debt /Networth)		1.80	1.65	1.45
Current Ratio (Current Asset/Current Liability)		0.89	0.71	0.65

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	30.400	30.400	30.400
Reserves & Surplus	80.194	70.284	71.512
Net worth	110.594	100.684	101.912
long-term borrowings	31.499	27.410	11.765
Short term borrowings	128.605	139.184	171.397
Total borrowings	160.104	166.594	183.162
Debt/Equity ratio	1.448	1.655	1.797

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	620.044	691.581	840.786
		11.537	21.574

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	620.044	691.581	840.786
Profit	1.019	(9.909)	1.836
	0.16%	(1.43%)	0.22%

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	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	Yes
15]	Capital in the business	Yes
16]	Details of sister concerns	No
17]	Major suppliers	Yes
18]	Major customers	Yes
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	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 LOANS

PARTICULAR	31.03.2014 (Rs. in Millions)	31.03.2013 (Rs. in Millions)
LONG TERM BORROWINGS
Long Term Maturities of Finance obligations	3.265	3.239
From others	8.500	15.500
Total	11.765	18.739

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	80026475	29/03/2014 *	265,900,000.00	ING VYSYA BANK LIMITED	185,ANNA SALAI, NEAR TVS, CHENNAI, TAMIL NADU - 600006, INDIA	C06987028

FIXED ASSETS

Tangible Assets

• Land
• Buildings
• Plant and Machinery
• Office Equipments
• Computers
• Furniture and Fixtures
• Vehicle

Intangible Assets

• Software

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.61.22
UK Pound	1	Rs.98.52
Euro	1	Rs.77.75

INFORMATION DETAILS

Information Gathered by :	DIP
Analysis Done by :	SUB
Report Prepared by :	ASH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--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		30

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.