MIRA INFORM REPORT

Report No. :	315983
Report Date :	07.04.2015

IDENTIFICATION DETAILS

Name :	SUPER FINE KNITTERS LIMITED
Registered Office :	269, Industrial Area A, Ludhiana – 141003, Punjab
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	18.09.1998
Com. Reg. No.:	16-021814
Capital Investment / Paid-up Capital :	Rs.89.931 Million
CIN No.: [Company Identification No.]	U18101PB1998PLC021814
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	AADCS4217P
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Trading of ladies, gents and kids garments, t-shirts, cotton shirt, hosiery knitted fabrics, cotton fabric etc.
No. of Employees :	800 (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

Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. The rating is constrained on account of moderate financial risk profile and low profit margins of the company. However, trade relations are reported as fair. Business is active. Payment terms are reported to be slow but correct. The company can be considered for business dealings with some 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 – December 31, 2014

Country Name	Previous Rating (30.09.2014)	Current Rating (31.12.2014)
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	Cash credit= BB
Rating Explanation	Moderate risk of default.
Date	February, 2014

Rating Agency Name	CRISIL
Rating	Cash credit= A4+
Rating Explanation	Minimal degree of safety and carry high credit risk.
Date	February, 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. Brij Raj Singh
Designation :	Marketing Manager
Contact No.:	91-9501080507
Date :	04.04.2015

LOCATIONS

Registered Office :	269, Industrial Area A, Ludhiana – 141003, Punjab, India
Tel. No.:	91-161-4689900
Mobile No.:	91-9501080507 (Marketing Manager)
Fax No.:	91-161-4689960
E-Mail :	anju_mangoel@yahoo.com info@superfineknitters.com vivek@superfineknitters.com vikrant@superfineknitters.com
Website :	http://www.superfineknitters.com
Location :	Owned
Locality :	Residential

DIRECTORS

AS ON 10.09.2014

Name :

Mr. Ajit Kumar Lakra

Designation :

Managing Director

Address :

269, Industrial Area- A, Ludhiana - 141003, Punjab, India

Date of Birth/Age :

23.07.1950

Date of Appointment :

01.07.2011

DIN No.:

01067195

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	U18101PB1998PLC021814	SUPER FINE KNITTERS LIMITED	Managing director	01/07/2011	18/09/1998	-	Active	NO
2	U17290PB2004PTC027343	BTN TEXTILES PRIVATE LIMITED	Director	02/08/2004	02/08/2004	10/11/2013	Active	NO
3	U18109PB2009NPL032898	KNITAPEX PROCESSORS LIMITED	Director	05/06/2009	05/06/2009	-	Active	NO

Name :

Mr. Vivek Lakra

Designation :

Whole-time Director

Address :

269, Industrial Area- A, Ludhiana - 141003, Punjab, India

Date of Birth/Age :

07.04.1981

Date of Appointment :

01.10.2012

DIN No.:

01067219

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	U18101PB1998PLC021814	SUPER FINE KNITTERS LIMITED	Whole-time director	01/10/2012	01/06/1999	-	Active	NO

Name :

Mrs. Gita Lakra

Designation :

Director

Address :

269, Industrial Area- A, Ludhiana - 141003, Punjab, India

Date of Birth/Age :

24.09.1954

Date of Appointment :

10.09.2014

DIN No.:

01067233

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	U18101PB1998PLC021814	SUPER FINE KNITTERS LIMITED	Director	10/09/2014	18/09/1998	-	Active	NO

Name :

Mrs. Ridhi Lakra

Designation :

Director

Address :

269, Industrial Area- A, Ludhiana - 141003, Punjab, India

Date of Birth/Age :

04.04.1983

Date of Appointment :

10.09.2014

DIN No.:

01998554

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	U18101PB1998PLC021814	SUPER FINE KNITTERS LIMITED	Director	10/09/2014	01/06/2006	-	Active	NO

Name :

Mr. Amit Gupta

Designation :

Director

Address :

431/1/5, Ajit Street, College Road, Opposite Kumar Arts College, Civil Lines, Ludhiana - 141001, Punjab, India

Date of Birth/Age :

28.08.1979

Date of Appointment :

30.09.2011

DIN No.:

03558223

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	U18101PB1998PLC021814	SUPER FINE KNITTERS LIMITED	Director	30/09/2011	23/06/2011	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Brij Raj Singh
Designation :	Marketing Manager

MAJOR SHAREHOLDERS

AS ON 10.09.2014

SHAREHOLDERS DETAILS FILE ATTACHED

Equity Share Break up (Percentage of Total Equity)

AS ON 10.09.2014

Category	Percentage
Bodies corporate	11.81
Directors or relatives of Directors	69.50
Other top fifty shareholders	18.69
Total	100.00

BUSINESS DETAILS

Line of Business :	Trading of ladies, gents and kids garments, t-shirts, cotton shirt, hosiery knitted fabrics, cotton fabric etc.
Products :	Fabrics
Brand Names :	Not Divulged
Agencies Held :	Not Divulged
Exports :
Countries :	Dubai
Imports :	Not Divulged
Terms :
Selling :	L/C, Cash, Cheque and Credit (30 / 60 / 90 Days)
Purchasing :	L/C, Cash, Cheque and Credit (30 / 60 / 90 Days)

PRODUCTION STATUS – NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

Company Name :	Not Divulged
Name of the Person :	Not Divulged
Contact No.:	Not Divulged
Since How Long Known :	Not Divulged
Maximum Limit Dealt :	Not Divulged
Experience :	Not Divulged
Remark :	Not Divulged

Customers :

Company Name :	Not Divulged
Name of the Person :	Not Divulged
Contact No.:	Not Divulged
Since How Long Known :	Not Divulged
Maximum Limit Dealt :	Not Divulged
Experience :	Not Divulged
Remark :	Not Divulged

No. of Employees :

800 (Approximately)

Bankers :

Banker Name :	Union Bank of India
Branch :	SSI Branch, Ludhiana - 141003, Punjab, India
Person Name (With Designation) :	Not Divulged
Contact Number :	Not Divulged
Name of Account Holder :	Not Divulged
Account Number :	Not Divulged
Account Since (Date/Year of Account Opening) :	Not Divulged
Average Balance Maintained :	Not Divulged
Credit Facilities Enjoyed (CC/OD/Term Loan) :	Not Divulged
Account Operation :	Not Divulged
Remark :	Not Divulged

· State Bank of India, Overseas Branch, G.T. Road, Ludhiana – 141003, Punjab, India

Facilities :

SECURED LOANS	31.03.2014 Rs. In Million	31.03.2013 Rs. In Million
Long Term Borrowings
Term loans from banks	8.405	12.917
Loans taken for fixed assets	1.382	0.832
Short Term Borrowings
Working capital loans from banks (Secured against hypothecation of stocks of all types, book debts and other movable assets of the company and personal guarantee of the directors)	139.553	143.902
Total	149.340	157.651

Banking Relations :	--
Auditors :
Name :	Mehta Sharma and Associates Chartered Accountants
Address :	Model Town, Ludhiana, Punjab, India
PAN No.:	AAJFM3477G
Membership :	--
Associates/Subsidiaries :	--

CAPITAL STRUCTURE

AS ON 10.09.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
8050000	Equity Shares	Rs.10/- each	Rs.80.500 Million
1000000	Preference Shares	Rs.10/- each	Rs.10.000 Million
	Total		Rs.90.500 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
8037500	Equity Shares	Rs.10/- each	Rs.80.375 Million
955570	Preference Shares	Rs.10/- each	Rs.9.556 Million
	Total		Rs.89.931 Million

FINANCIAL DATA

[all figures are in Rupees Million]

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	89.931	84.931	77.156
(b) Reserves & Surplus	81.856	74.790	63.396
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	6.700	14.650
Total Shareholders’ Funds (1) + (2)	171.787	166.421	155.202
(3) Non-Current Liabilities
(a) long-term borrowings	35.665	31.843	37.357
(b) Deferred tax liabilities (Net)	11.130	8.888	9.091
(c) Other long term liabilities	0.000	0.000	2.890
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	46.795	40.731	49.338
(4) Current Liabilities
(a) Short term borrowings	139.553	143.902	107.224
(b) Trade payables	78.456	66.232	96.441
(c) Other current liabilities	51.691	35.903	62.275
(d) Short-term provisions	2.356	1.545	1.293
Total Current Liabilities (4)	272.056	247.582	267.233
TOTAL	490.638	454.734	471.773
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	135.655	142.866	144.006
(ii) Intangible Assets	0.000	0.000	0.000
(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	0.000	0.000	0.000
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	135.655	142.866	144.006
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	110.070	114.188	126.553
(c) Trade receivables	174.289	152.497	137.998
(d) Cash and cash equivalents	30.999	13.160	26.648
(e) Short-term loans and advances	27.129	19.057	23.598
(f) Other current assets	12.496	12.966	12.970
Total Current Assets	354.983	311.868	327.767
TOTAL	490.638	454.734	471.773

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Income	705.919	673.777	693.870
		Other Income	5.583	3.659	1.310
		TOTAL (A)	711.502	677.436	695.180
Less	EXPENSES
		Cost of Materials Consumed	368.210	365.516	296.878
		Purchase of stock-in-trade	0.000	0.000	238.989
		Changes in Inventories of finished goods, work-in-progress and stock-in-trade	3.822	(4.771)	54.300
		Employee Benefits Expenses	12.574	15.539	15.254
		Other Expenses	273.080	252.677	41.481
		Extraordinary Items	1.598	0.000	0.000
		TOTAL (B)	659.284	628.961	646.902
	PROFIT/(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		52.218	48.475	48.278
Less	FINANCIAL EXPENSES (D)		30.964	25.675	27.235
	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		21.254	22.800	21.043
Less	DEPRECIATION/ AMORTISATION (F)		13.219	14.188	13.287
	PROFIT/(LOSS) BEFORE TAX (E-F) (G)		8.035	8.612	7.756
Less	TAX (H)		5.080	3.327	2.431
	PROFIT/(LOSS) AFTER TAX (G-H) (I)		2.955	5.285	5.325
	Earnings Per Share (Rs.)		0.26	0.58	0.66

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

The above information has been parted by Mr. Brij Raj Singh (Marketing Manager)

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin PAT / Sales	(%)	0.42	0.78	0.77
Operating Profit Margin (PBDIT/Sales)	(%)	7.40	7.19	6.96
Return on Total Assets (PBT/Total Assets)	(%)	1.64	1.89	1.64
Return on Investment (ROI) (PBT/Networth)		0.05	0.05	0.05
Debt Equity Ratio (Total Debt /Networth)		1.02	1.06	0.93
Current Ratio (Current Asset/Current Liability)		1.30	1.26	1.23

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	Rs. In Million	Rs. In Million	Rs. In Million
Share Capital	77.156	84.931	89.931
Reserves & Surplus	63.396	74.790	81.856
Share Application money pending allotment	14.650	6.700	0.000
Net worth	155.202	166.421	171.787
long-term borrowings	37.357	31.843	35.665
Short term borrowings	107.224	143.902	139.553
Total borrowings	144.581	175.745	175.218
Debt/Equity ratio	0.932	1.056	1.020

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	Rs. In Million	Rs. In Million	Rs. In Million
Sales	693.870	673.777	705.919
		(2.896)	4.770

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	Rs. In Million	Rs. In Million	Rs. In Million
Sales	693.870	673.777	705.919
Profit	5.325	5.285	2.955
	0.77%	0.78%	0.42%

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	No
18]	Major customers	No
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	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	Yes

OPERATIONS

Subject has achieved gross revenue of Rs.711.502 Million during the year as compared to gross revenue of Rs.677.436 Million for the previous year. Similarly subject has earned a profit after tax of Rs.2.955 Million during this year as against the profit after tax of Rs.5.285 Million for the previous year. The directors expect better results in future.

UNSECURED LOANS:

Particulars	31.03.2014 Rs. In Million	31.03.2013 Rs. In Million
Long Term Borrowings
Loans and advances from directors	12.963	5.442
Loans and advances from others	12.915	12.652
Total	25.878	18.094

INDEX OF CHARGE:

Sr. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10263308	18/12/2014 *	223,400,000.00	Union Bank of India	B-23/1700, Industrial Area-A, Link Road, Near Cheema Chowk, Ludhiana, Punjab - 141003, India	C40264673

*Date of modification Charges

FIXED ASSETS:

· Land

· Building

· Plant and Machinery

· Furniture and Fixture

· Office Equipment

· Computer

· Vehicles

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 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.62.16
UK Pound	1	Rs.92.73
Euro	1	Rs.68.23

INFORMATION DETAILS

Information Gathered by :	MNJ
Analysis Done by :	DIV
Report Prepared by :	NKT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILITY	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	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		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.