MIRA INFORM REPORT

Report No. :	328240
Report Date :	25.06.2015

IDENTIFICATION DETAILS

Name :	TEXTURED JERSEY LANKA PLC
Registered Office :	Block D8-D14 , Seethawaka international industrial park Avissawela
Country :	Sri Lanka
Date of Incorporation :	24.07.2000
Com. Reg. No.:	PV 7617PB/PQ
Legal Form :	Public Limited Liability Company listed with Colombo Stock Exchange (In Operation)
Line of Business :	Manufacture, Exporting, Dyeing, Printing and Finishing of Fabric
No. of Employee :	Approximately 1000

RATING & COMMENTS

MIRA’s Rating :

Ba

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 – March 31, 2015

Country Name	Previous Rating (31.12.2014)	Current Rating (31.03.2015)
Sri Lanka	A2	A2

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

SRI LANKA - ECONOMIC OVERVIEW

Sri Lanka continues to experience strong economic growth following the end of the 26-year conflict with the Liberation Tigers of Tamil Eelam. The government has been pursuing large-scale reconstruction and development projects in its efforts to spur growth in war-torn and disadvantaged areas, develop small and medium enterprises and increase agricultural productivity. The government's high debt payments and bloated civil service have contributed to historically high budget deficits, but fiscal consolidation efforts and strong GDP growth in recent years have helped bring down the government's fiscal deficit. However, low tax revenues are a major concern. The 2008-09 global financial crisis and recession exposed Sri Lanka's economic vulnerabilities and nearly caused a balance of payments crisis. Agriculture slowed due to a drought and weak global demand affected exports and trade. In early 2012, Sri Lanka floated the rupee, resulting in a sharp depreciation, and took steps to curb imports. A large trade deficit remains a concern, but strong remittances from Sri Lankan workers abroad help offset the trade deficit. Government debt of about 80% of GDP remains among the highest in emerging markets.

Source : CIA

GENERAL - Basic information at a glance

a.	Name of Subject of Inquiry	:	TEXTURED JERSEY LANKA PLC
b.	Legal Form & Status	:	Public Limited Liability Company listed with Colombo Stock Exchange (In Operation)
c.	Chairman	:	Wing Tak Bill Lam
d.	Primary Line of Business	:	Manufacture, Exporting, Dyeing, Printing and Finishing of Fabric
f.	Factory	:	Block D8 - D14 Industrial Park, Seethawaka, Avissawella. Tel. No: (00 94 36) 427 9500 Fax No: (00 94 36) 427 9595 Email: upendrah@texturedjersey.com maheekas@texturedjersey.com
g.	No of Employees	:	Approximately 1000

COMPANY DETAILS - Registration and Shareholder Details

a.	Registration No	:	N (PVS) 26471
	Date of Registration	:	24^th July 2000
b.	Re-registration No	:	PV 7617PB/PQ
	Date of Re-registration	:	19th September 2008
c.	Registered Office	:	Block D8-D14 , Seethawaka international industrial park Avissawela
d.	Board of Directors As at 21^st August 2014	:	Wing Tak Bill Lam	Chairman
			M. Ashroff Omar	Director
			Kang Po Tsang (British)	Director
			Hasitha Premaratne	Director
			Amitha Lal Gooneratne	Director
			K.A. Malik Kumar Ranasinghe	Director
			Wai Loi Wan	Director
			Sriyan Joseph De Silva Wijeyeratne	Director
e.	Issued Share Capital	:	Rs. 2,849,899,229.00
	Number of Shares		660,752,465
f.	Nominal Value of Share	:	Not applicable vide Companies Act #7 of 2007

Registration and Shareholder Details Cont…

g.	Major Share Holders As at 31^st March 2014 (Total Number of Share Holders 8,982)	:	Share Holders	No. of Shares
			PACIFIC TEXTURED JERSEY HOLDINGS LTD	262,001,464
			BRANDIX LANKA LIMITED	197,000,976
			Y.S.H.I. SILVA	15,956,500
			EMPLOYEES PROVIDENT FUND	13,813,200
			MELSTACORP (PRIVATE) LIMITED	12,622,428
			J.B. COCOSHELL (PRIVATE) LTD	9,180,485
			SEYLAN BANK PLC/ARC CAPITAL (PRIVATE) LTD	6,879,687
			HSBC INTL NOM LTD-HBFS-NAVIS YIELD FUND	5,730,319
h.	Auditors	:	Price Water House Coopers # 100, Braybrooke Place, Colombo 02
i.	Company Secretaries	:	Corporate Services (Private) Limited # 216, De Saram Place, Colombo 10
j.	Bankers	:	HSBC Commercial Bank PLC National Development Bank

FINANCIAL DETAILS - Most recent available Financial Information

FINANCIAL DETAILS - Most recent available Financial Information (Cont/d….)

Condensed Interim Financial Statements

Period Ended 31 March 2015.

Condensed Interim Financial Statements

Period Ended 31 March 2015

CURRENT INVESTIGATION

Company Logo

History.

The Subject Company TEXTURED JERSEY LANKA PLC was incorporated as a Private Limited Liability company on 24^th July 2000 under registration number N (PVS) 26471 and then the company was re-registered on 19th September 2008 under registration number PV 7617.

On 12th April 2011 the Subject Company was converted as Public Limited Liability Company listed with Colombo Stock Exchange, therefore name of the company changed to TEXTURED JERSEY LANKA PLC and registered number of the company changed to PV 7617 PB/PQ. Therefore present name of the Subject Company is TEXTURED JERSEY LANKA PLC

Location.

The Subject Company (Factory) is located at the client Block D8 D14, Industrial Park, Seethawaka, Avissawella.

Operational Details

General

The subject company primary line of business is Manufacture, Exporting, Dyeing, Printing and Finishing of Fabric.

Import Products

Knitted Fabric

Export Products & Brands

Textured Jersey is a clear leader in specialised fabrics such as Viscose, Modal, Micro-Modal, and Tencel and it is the market leader in cotton blended fabric in the country.

Single Jersey, Rib and Interlock product categories are manufactured by Textured Jersey for Intimate Apparel, Active and Leisure wear in the form of Yarn Dyes, Solids, Prints and Marls.

The wide ranging finishing capabilities include Encapsulation, Moisture Management, sueding and other customized finishes.

Brands

Import Countries

China, Indonesia, India and Malaysia.

Export Countries

UK, USA

No of Employees

Approximately 1000

Director’s Details

01)

Name	Wing Tak Bill Lam
PP Number	HA9055655
Nationality	British

02)

Name	M. Ashroff Omar
ID Number	551352110 V
Nationality	Sri Lankan
Gender	Male
Date of Birth	14^th May 1955
Age	59 Years

03)

Name	Kang Po Tsang
PP Number	GBR761289657
Nationality	British

04)

Name	Hasitha Premaratne
ID Number	781480134 V
Nationality	Sri Lankan
Gender	Male
Date of Birth	27^th May 1978
Age	37 Years

05)

Name	Amitha Lal Gooneratne
ID Number	521182830 V
Nationality	Sri Lankan
Gender	Male
Date of Birth	27^th April 1952
Age	63 Years

06)

Name	K.A. Malik Kumar Ranasinghe
ID Number	580880100 V
Nationality	Sri Lankan
Gender	Male
Date of Birth	28^th March 1958
Age	57 Years

07)

Name	Wai Loi Wan
PP Number	GBR76123035
Nationality	British

08)

Name	Sriyan Joseph De Silva Wijeyeratne
ID Number	663040260 V
Nationality	Sri Lankan
Gender	Male
Date of Birth	30^th October 1966
Age	48 Years

Trade references

The subject company did not provide any trade references

Credit Recommendations

No computerised data bases exist to make checks whether the Directors or the company has any legal action or lawsuit initiated against any of them but informal (but not in-depth) checks do not indicate any such cases in the public knowledge.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.63.66
UK Pound	1	Rs.100.50
Euro	1	Rs.71.31

INFORMATION DETAILS

Analysis Done by :	DIV
Report Prepared by :	SDA

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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