1

Rajendrabhai Dahyabhai Patel

Tobacco Bidi Works Private

Limited

NSIC-CRISIL Rating: SE 2B

'High Performance Capability and

Moderate Financial Strength'

indicates the level of creditworthiness,

adjudged in relation to other SSIs

Report Date Valid Till

July 27, 2012 July 26, 2013

1

Important Notice

This rating has been assigned under the scheme for Rating of Small-Scale Industries, formulated,

and subsidised by the National Small Industries Corporation Limited, New Delhi (NSIC). A copy of

the rating report has been submitted to NSIC. The rating is to be used solely for the purpose for

which this rating was assigned under NSIC’s scheme, and for no other purpose. The rating is a one-

time exercise and the rating will not be kept under surveillance. This rating is valid for one year

from the report date, subject to no significant changes/events occurring during this period that could

materially affect the business or financial parameters of the organisation as mentioned in the report.

CRISIL, however, recommends that the user of the rating seeks a review of the rating, if the

organisation experiences significant changes/events during this period, which could impact the

organisation/its rating. For verifying if this is an accepted and valid rating, please visit:

http://www.crisil.com/credit-ratings-risk-assessment/nsic-ratings-list.htm.

The rating and this report are based on the information provided to CRISIL by the organisation

and/or obtained by CRISIL from sources it considers reliable including published annual reports,

management meetings, industry data and discussions with bankers, customers and suppliers.

CRISIL does not guarantee the accuracy, adequacy or completeness of any information on which

the rating and the report are based and is not responsible for any errors or omissions for the

results/opinions obtained from the use of the rating or the rating report. The rating does not

constitute an audit of the organisation by CRISIL. The rating is also not a recommendation to enter

into or not enter into any transaction with the organisation. CRISIL reserves the right to disclose the

organisation’s rating and the rating report to Government and/or Regulatory Authorities/Courts of

Law if required to do so.

It is especially stated that CRISIL, its Directors, Rating Committee members, employees and others

associated with the rating assignment do not have any financial liability whatsoever including but

not limited to attorney’s or consultant’s fees to the users of this rating or this rating report. No part

of this report may be reproduced by any means without CRISIL’s prior written approval.

2

Index

NSIC-CRISIL PERFORMANCE AND CREDIT RATING........................................................................3 KEY RATING DRIVERS ...............................................................................................................................4

STRENGTHS ........................................................................................................................................... 4 RISK FACTORS ...................................................................................................................................... 4

FACT SHEET...................................................................................................................................................5 BUSINESS PROFILE......................................................................................................................................6

BUSINESS DESCRIPTION .................................................................................................................... 6 PRODUCT PROFILE .............................................................................................................................. 7 CUSTOMER PROFILE AND DEMAND-SIDE ANALYSIS ................................................................ 8 SUPPLIER PROFILE AND SUPPLY-SIDE ANALYSIS ...................................................................... 8 MANUFACTURING FACILITIES......................................................................................................... 9

OWNERSHIP AND MANAGEMENT ........................................................................................................11 PROMOTERS’ PROFILE...................................................................................................................... 11 KEY MANAGEMENT PERSONNEL .................................................................................................. 12 ORGANIZATIONAL STRUCTURE, CONTROLS AND SYSTEMS................................................. 12 OWNERSHIP PATTERN ...................................................................................................................... 13 GROUP COMPANIES AND FIRMS .................................................................................................... 13

FINANCIAL PROFILE.................................................................................................................................14 CURRENT FINANCIAL PERFORMANCE......................................................................................... 14 PAST FINANCIAL PERFORMANCE.................................................................................................. 15

PROFIT AND LOSS ACCOUNT ..................................................................................................... 15 BALANCE SHEET............................................................................................................................ 16 KEY FINANCIAL RATIOS.............................................................................................................. 17 IMPACT ANALYSIS ........................................................................................................................ 18 FUND FLOW STATEMENT ............................................................................................................ 18 GRAPHS ............................................................................................................................................ 20

BANKING FACILITIES........................................................................................................................ 21 SITE VISIT.....................................................................................................................................................22

3

NSIC-CRISIL PERFORMANCE AND CREDIT RATING

SE 2B Financial Strength

indicates

High Moderate Low

Highest SE 1A SE 1B SE 1C

High SE 2A SE 2B SE 2C

'High Performance

Capability and Moderate

Financial Strength' Moderate SE 3A SE 3B SE 3C

Weak SE 4A SE 4B SE 4C

Per

form

an

ce

Ca

pa

bil

ity

Poor SE 5A SE 5B SE 5C

adjudged in relation to

other SSIs

4

KEY RATING DRIVERSi

STRENGTHS • Long track record: The company’s track record of 22 years indicates its ability to survive

business cycles. The promoters are well-qualified, with over two decades of experience in the

same line of business.

• Strong business model: The company’s revenues show a compounded annual growth rate

(CAGR) of 26.55 per cent from 2009-10 to 2011-12 (refers to financial year, April 1 to March

31).

• Diversified customer base: The company’s diverse base of 500 customers dilutes its dependence

on any single entity for regular product demand.

• Good customer relationships lead to continued placing of orders; payments from customers are

also timely and prompt.

• Adequate profitability, as reflected in operating profit before depreciation interest and tax

(OPBDIT) of 5.43 per cent and profit after tax (PAT) margin of 1.86 per cent for the year ended

March 31, 2012.

RISK FACTORS • Geographic concentration risks: The company has presence only in Maharashtra.

• Weak working capital management: As on March 31, 2012, the company had gross current

assets of 162 days and inventory of 132 days. This may lead to blockage of funds.

• Stretched payables at 144 days as on March 31, 2012 may strain supplier relationships in the

long run.

• Weak credit protection measures, as reflected in debt-to-equity ratio (not including promoter

loans) of 2.25 times as on March 31, 2012, interest coverage at 1.94 times, and net cash accruals

at 9.26 per cent to total debt for the year ended March 31, 2012.

• Raw material price volatility and intense competition may pressure margins in future.

i After considering depreciation charged on assets

5

FACT SHEET

Name of the company Rajendrabhai Dahyabhai Patel Tobacco Bidi Works Private

Limited

Year of incorporation 1990

Legal status Private limited company

Legal history There has been no change in the company since inception

Registered with Registrar of Companies, Maharashtra

Registration number 11 – 56427 (dated May 17, 1990)

SSI Registration number 112501573 (dated July 21, 1997)

Promoter / Managing Director Mr. Vipul C Patel

Category of entrepreneur General

Registered and administrative

office

Patel Bhawan,

Patel Chowk,

Wardha – 442 001,

Maharashtra

Tel: +91 7152 240 345

Fax: +91 7152 240 727

Email: vipulcpatel1@rediffmail.com

Manufacturing facilities Nizamabad, Andhra Pradesh

Number of employees Permanent: 2,520

Contractual: 50

Total: 2,570

Certifications and awards None

Brands 43 (registered)

Statutory compliance • Income tax filing: Regular and timely

• Excise duty filing: Regular and timely

• Sales tax filing: Regular and timely

• Wealth tax filing: Not applicable

• ESIC and EPF dues: Regular and timely

(As provided by management, not independently verified)

6

BUSINESS PROFILE

BUSINESS DESCRIPTION

Nature of business : Manufacturing

Industry : Tobacco

Industry prospects : Strong

Business description : • The company manufactures bidi.

• The raw materials required are:

o Tendu leaves and tobacco (mixed in the ratio of 70:30)

o Paper and thread

• The production process involves:

o Blending tendu leaves and tobacco

o Adding flavour

o Binding and finishing

o Final packing

• Production is carried out in-house, through semi-automated

processes.

• Binding and packing are outsourced to about 50 contractors.

• Product quality is checked by Mr. Vipul C Patel. The

company takes feedback from its labourers on the bidi

flavour and possible hazards.

• Average shelf life of the product is around six months.

• The company operates in one 8½-hour shift.

• The company has an installed capacity of producing

25,00,000 bidis per day, but currently produces 18,00,000

bidis a day.

• The company has five sales offices across Maharashtra.

End-user : General public

Experience in the business : 22 years

Product range : Limited

Degree of competition : High; entry barriers are low

Plans : The company does not have any expansion or capital

expenditure plan to be executed in the current year.

Customer profile : Distributors and wholesalers

7

DETAILS ON THE MANUFACTURING PROCESS:

Particulars Description

Procurement

of raw

material

• The company bids for tendu-growing land, specifically, areas that can generate

around 10,000.00 standard bagsii of tendu leaves in a year.

• On winning the bid, the company plucks the leaves and pays royalty to the

government as per the amount of leaves plucked.

• The leaves are then sent to the factory for further processing.

Outsourced

processes • The company has outsourced bidi binding and finishing to 50 contractors, who

employ mostly women to perform this work.

Packing

process • 24 bidis = 1 bundle

• 20 bundles = 1 packet

• 40 packets = 1 box

• Bidis are sold in boxes and not loose.

Statutory

compliance

The company places a statutory health warning on each bidi bundle, regarding the

hazards of smoking.

PRODUCT PROFILE

Product name Price (in Rs.) Share in net sales (%)

Bidi 300.00 for 1,000.00 bidis (taxes extra) 100.00

Total 100.00

Note: The company manufactures only a single variety of bidi.

ii 1 standard bag = 1,000 bundles

8

CUSTOMER PROFILE AND DEMAND-SIDE ANALYSIS

Customer name and location Product Length of

relationship

% share

in sales

Dinesh Trading Company, Pulgam 22 years 6.00

Hitesh Traders, Maharashtra 1.00

Suresh Trading Company, Maharashtra 1.00

G Centre, Maharashtra

20 years

1.00

Manulal Gupta, Asti, Maharashtra

Bidi

2 years 1.00

Note:

• The company caters to around 500 customers across Maharashtra.

• The management has confirmed that none of its customer contributes to more than 10.00 per

cent of its annual sales.

Terms of credit : Credit of 30 days

Feedback from customers : Satisfied with the relationship

Process of getting orders : Regular orders from customers

Exports : Nil

Marketing network : • The company has placed a manager at each sales office in order

to source orders.

• The office managers engage in marketing and product

promotions mostly with local vendors.

• The company also places their latest offers on the bidi boxes

for visibility and publicity.

Geographical reach : Limited to Maharashtra

SUPPLIER PROFILE AND SUPPLY-SIDE ANALYSIS

Supplier's / Wholesaler's name Product Length of relationship

Ashishkumar Bardiya

DD Patel and Sons

Tobacco

Shakti Press Limited

Sadhana Litho Offset Works

Vrushali Offset Works Private Limited

Paper and thread

12 years

Terms of purchase : Credit of 30 days

Feedback from suppliers : Satisfied with the relationship

Raw material availability : Ample

Raw material price volatility : High

Ability to pass on raw material price increases : No

Imports : Nil

9

MANUFACTURING FACILITIES

Labour oriented operations : Yes

Labour union : No

Labour relationships : Cordial

Automation : Semi-automatic process

In-house R&D, designing facilities : No

Factory layout : Spacious and well-organised

10

Photographs:

Fig 1: Name plate of the company Fig 2: Manufacturing of bidi in progress

Fig 3: Work space in the office premises Fig 4: Inside view of the promoter’s cabin

11

OWNERSHIP AND MANAGEMENT

PROMOTERS’ PROFILE

Promoter's name : Mr. Vipul C Patel

Age : 39 years

Qualification : Bachelor of Commerce

Designation / responsibilities : Managing Director / Overall

management

Relevant experience : 22 years through the rated entity

Personal net worth : Data not provided to CRISIL

Promoter's residence address : Bachelor Road,

Wardha, Maharashtra

Ownership of residence : Owned

Vehicles used : Mahindra XUV

Promoter's name : Mrs. Nehal Vipul Patel

Age : 35 years

Qualification : Bachelor of Arts

Designation / responsibilities : Managing Director / Inactive

Previous experience : None

Relevant experience : NA

Personal net worth : Data not provided to CRISIL

Promoter's name : Mr. Piyush Maheshbhai Patel

Age : 33 years

Qualification : Bachelor of Arts

Designation / responsibilities : Managing Director / Administration

Relevant experience : 5 years through the rated entity

Personal net worth : Data not provided to CRISIL

Personal net worth of promoters is as disclosed by management and not certified.

12

KEY MANAGEMENT PERSONNEL

Name : Mr. Natwarbhai Patel

Age : 58 years

Qualification : Secondary School Certificate

Designation / responsibilities : General Manager / Administration

Previous experience : 22 years through the rated entity

Name : Mr. Bhartbhai Patel

Age : 45 years

Qualification : Higher Secondary Certificate

Designation / responsibilities : Accountant / Accounts

Previous experience : 20 years through the rated entity

ORGANIZATIONAL STRUCTURE, CONTROLS AND SYSTEMS

Promoter / Managing Director : Mr. Vipul C Patel

Constitution : Private limited company

Second tier management : Qualified and experienced

Decision making powers : Centralised with the promoters

Reporting system or MIS : Yes

Type of reporting system : Computerised

Frequency of MIS / reporting : Daily

Litigations against the SSI :

Litigations against the promoters :

None

Severity of litigations :

Susceptibility to foreign exchange fluctuations :

Hedging against foreign exchange risks :

Susceptibility to commodity price fluctuations :

Hedging against commodity prices :

Not applicable

Asset insurance : Adequate

13

OWNERSHIP PATTERN

Shareholding pattern as on: July 27, 2012

Name of the shareholder Relationship with promoter Share in capital

Mr. Vipul C Patel Promoter 40.00 %

Mrs. Nehal Vipul Patel Wife 15.00 %

Mr. Piyush Maheshbhai Patel Cousin 10.00 %

Ms. Devyaniben C Patel Mother 10.00 %

Mr. Janak C Patel Brother 10.00 %

Mr. Maheshbhai D Patel Uncle 5.00 %

Mr. Riteshbhai M Patel Cousin 5.00 %

Mrs. Toral P Patel Relative 5.00 %

Total 100.00 %

GROUP COMPANIES AND FIRMS

None

14

FINANCIAL PROFILE

CURRENT FINANCIAL PERFORMANCE

Performance for the period ended July 27, 2012

Net sales* Rs. Lakh 250.00

PBT Rs. Lakh

PBT margin %

Total debt Rs. Lakh

Data not

provided to

CRISIL

Current order book Rs. Lakh -

* As per the management

Note: The management has confirmed that the production is undertaken on a continuous basis

without any booked order and the product is dispatched to the distributors and wholesalers as and

when they raise a requirement.

Projected / estimated performance during 2012-13

Net sales Rs. Lakh

PBT Rs. Lakh

PBT margin %

Data not

provided to

CRISIL

* As per the management

15

PAST FINANCIAL PERFORMANCE

PROFIT AND LOSS ACCOUNT

For the year ended 2011-12 2010-11 2009-10

Provisional Audited Audited

Number of months 12 12 12

Net sales Rs. Lakh 1,301.96 837.04 813.01

Operating income Rs. Lakh 1,307.01 837.06 813.01

Cost of sales Rs. Lakh 1,236.01 806.13 785.35

OPBDIT Rs. Lakh 71.00 30.93 27.66

Interest and finance costs Rs. Lakh 36.65 19.07 16.76

OPBDT Rs. Lakh 34.35 11.86 10.90

Depreciation Rs. Lakh - 8.60 10.95

OPBT Rs. Lakh 34.35 3.26 -0.05

Non-operating income / (expense) Rs. Lakh - 8.49 2.70

PBT Rs. Lakh 34.35 11.75 2.65

Extraordinary income / (expense) Rs. Lakh -0.03 -3.12 -3.84

Reported PBT Rs. Lakh 34.32 8.63 -1.19

Provision for taxes Rs. Lakh - 2.07 -

Deferred tax liability / (asset) Rs. Lakh - 1.48 -

PAT Rs. Lakh 34.32 5.08 -1.19

Dividends Rs. Lakh - - -

Net cash accruals Rs. Lakh 34.32 13.68 9.76

Notes:

• For the year ended March 31, 2012:

o Net sales increased by 55.54 per cent due to increase in demand from customers.

o Operating income refers to Rs.5.05 lakh of interest earned on fixed deposits.

o Details regarding interest and finance costs are not provided to CRISIL.

• Details are not provided to CRISIL on non-operating income for the year ended March 31,

2011.

• Extraordinary expense for the year ended March 31, 2012 refers to provision for income tax

for the previous years.

16

BALANCE SHEET

31-Mar-2012 31-Mar-2011 31-Mar-2010

Provisional Audited Audited

Liabilities

Tangible net worth Rs. Lakh 136.77 102.45 97.37

Deferred tax liabilities / (assets) Rs. Lakh 1.47 1.47 -

Long-term debt Rs. Lakh 110.18 65.90 47.35

of which, current portion of long-term debt Rs. Lakh - - -

Short-term debt Rs. Lakh 260.32 135.31 103.05

of which, working capital borrowing from

banks

Rs. Lakh 260.32 127.58 101.00

Other liabilities and provisions Rs. Lakh 217.23 277.98 180.16

Total liabilities Rs. Lakh 725.97 583.11 427.93

Assets

Net fixed assets Rs. Lakh 85.18 73.17 76.65

Investments Rs. Lakh 57.43 0.26 0.26

Inventory Rs. Lakh 446.64 385.80 207.00

Receivables (total) Rs. Lakh 1.79 18.54 15.82

of which, receivables greater than six

months

Rs. Lakh - - -

Cash and bank balance Rs. Lakh 89.88 54.86 78.55

Other current assets Rs. Lakh 45.05 50.48 49.65

Total assets Rs. Lakh 725.97 583.11 427.93

Notes:

• Long-term debt as on March 31, 2012 comprises:

o Unsecured loans of Rs.63.20 lakh from family and friends at 18.00 per cent interest.

o Secured loans:

� Rs.14.45 lakh of term loan from Bajaj Finance

� Rs.14.93 lakh of term loan from Religare Finance

� Rs.11.05 lakh of vehicle loan from Cholamandalam Investment and Finance

Company Limited

� Rs.6.55 lakh of term loan from HDFC Finance

• Other liabilities and provisions as on March 31, 2012 mainly comprise:

o Rs.176.00 lakh of sundry creditors

o Rs.41.23 lakh of other provisions (breakup is not provided to CRISIL)

• Breakup of the net fixed assets as on March 31, 2012 is not provided to CRISIL.

• Investments as on March 31, 2012 mainly comprise:

o Rs.54.67 lakh of fixed deposit in Central Bank of India.

o Rs.2.50 lakh of recurring deposit in Bank of Baroda.

• Cash and bank balance as on March 31, 2012 comprises:

o Rs.53.04 lakh of cash in hand

o Rs.36.84 lakh of cash at bank

• Other current assets as on March 31, 2012 mainly comprise:

o Rs.37.39 lakh of other loans and advances given

o Rs.4.34 lakh of value added tax receivable

o Rs.3.27 lakh of advance tax paid

17

KEY FINANCIAL RATIOS

For the year ended / as at 31-Mar-2012 31-Mar-2011 31-Mar-2010

Provisional Audited Audited

OPBDIT margin % 5.43 3.70 3.40

PAT margin % 2.63 0.61 -0.15

Return on capital employed % 17.44 10.02 -

Gross current assets days 162 222 156

Days inventory (on COP) days 132 175 96

Days receivable (on gross sales) days 1 8 7

Days payable (on materials) days 144 253 180

Current ratio Times 1.34 1.23 1.24

PBDIT Interest cover Times 1.94 1.90 1.58

Net cash accruals/Total debt % 9.26 6.80 6.49

Debt service coverage ratio Times 0.84 0.83 -0.97

Average cost of borrowing % 12.82 10.85 -

Total outside liabilities/Tangible net

worth

Times 4.31 4.69 3.39

Gearing - Total debt/Tangible net worth Times 2.71 1.96 1.54

Gearing (not including promoter loans as

debt)

Times 2.25 1.32 1.06

Notes:

• Operating margin for the year ended March 31, 2012 has increased by 1.73 per cent mainly

due to:

o Decline in material cost to Rs.389.91 lakh (29.83 per cent of sales during 2011-12)

from Rs.261.52 lakh (31.24 per cent of sales during 2010-11)

o Decline in employee cost to 48.63 per cent (Rs.389.91 lakh during 2011-12) from

55.09 per cent (Rs.261.52 lakh during 2010-11)

• Net margin for the year ended March 31, 2010 has been in the negative mainly due to high

depreciation charged and Rs.3.84 lakh of provision for income tax for the previous years

(breakup and details are not provided to CRISIL).

• Reasons are not provided to CRISIL for stretched payables as on March 31, 2010, March

31, 2011 and March 31, 2012.

18

IMPACT ANALYSIS

As the financials for the year ended March 31, 2012 are provisional, the firm has not charged

depreciation thereon. For the purpose of this analysis, CRISIL has calculated depreciation

applicable and has computed the related key parameters.

Key Financials 31-Mar-2012 31-Mar-2011 31-Mar-2010

Provisional Audited Audited

Net sales Rs. Lakh 1,301.96 837.04 813.01

Depreciation Rs. Lakh 10.01 8.60 10.95

Net cash accruals Rs. Lakh 34.32 13.68 9.76

PAT margin % 1.86 0.61 -0.15

Return on capital employed % 14.98 10.02 -

Net cash accruals/Total debt % 9.26 6.80 6.49

FUND FLOW STATEMENT

For the year ended 31-Mar-2012 31-Mar-2011

Sources of funds

Net cash accruals Rs. Lakh 34.32 13.68

Equity infusion / Share application money Rs. Lakh - -

Long-term debt borrowed (net) Rs. Lakh 44.28 18.55

Short-term debt borrowed (net) Rs. Lakh 125.01 32.26

Decrease in net current assets Rs. Lakh - -

Sale of investments / fixed assets Rs. Lakh - -

Other sources Rs. Lakh - 1.47

Total sources of funds Rs. Lakh 203.61 65.96

Uses of funds

Investment and fixed assets purchased Rs. Lakh 12.01 5.12

Decrease in tangible net worth Rs. Lakh - -

Long-term debt repaid (net) Rs. Lakh - -

Short-term debt repaid (net) Rs. Lakh - -

Increase in net current assets Rs. Lakh 191.60 60.84

Other uses Rs. Lakh - -

Total uses of funds Rs. Lakh 203.61 65.96

Notes:

• Other sources as on March 31, 2011 refer to deferred tax liability.

• Increase in net current assets as on March 31, 2012 is mainly due to increase in cash and

bank balance, inventory and investment in fixed deposit and decline in sundry creditors.

19

CONTINGENT LIABILITIES

Contingent liabilities as on March 31, 2011: None

AUDITORS

Rajendra Bhutada and Company

Wardha, Maharashtra

Auditors’ have not mentioned any adverse comments in their audit report for 2009-10 and

2010-11.

20

GRAPHS

Turnover and business growth analysis

0

100

200

300

400

500

600

700

800

900

1,000

1,100

1,200

1,300

2009-10 2010-11 2011-12

Rs.

la

kh

Operating income Cost of sales

Profitability analysis

-2

0

2

4

6

8

10

12

14

16

18

20

2009-10 2010-11 2011-12

%

Operating profit margin (OPM)

Net profit margin (NPM)Return on capital

Liquidity analysis

0.00

0.20

0.40

0.60

0.80

1.00

1.20

1.40

1.60

31-Mar-2010 31-Mar-2011 31-Mar-2012

Current Ratio Quick Ratio

Working capital analysis

0.00

25.00

50.00

75.00

100.00

125.00

150.00

175.00

200.00

225.00

250.00

Gross

current

assets

Days

inventory

Days

receivable

Days

payable

Da

ys

31-Mar-2010 31-Mar-2011 31-Mar-2012

Asset Profile

0%

20%

40%

60%

80%

100%

31-Mar-

2010

31-Mar-

2011

31-Mar-

2012

Cash and bank

Other current assets

Inventory

Debtors

Investments

Fixed Assets

Leverage analysis

0.00

0.50

1.00

1.50

2.00

2.50

3.00

3.50

4.00

4.50

5.00

Total outside

liabilities/Tangible net worth

Total debt/Tangible net

worth

31-Mar-2010 31-Mar-2011 31-Mar-2012

21

BANKING FACILITIES

Name and location of

the bank

Length of

relationship

Facilities

availed

Type of facility Loan amount Rate

(%)

Bank of Baroda

Wardha – 442 001

Maharashtra

1 year 6

months

Cash credit Fund based limit Rs.300.00 lakh 13.25

Feedback: Performance of the account held in Bank of Baroda is satisfactory. CRISIL has received

this information verbally from the bank.

Note: The company utilises 90.00 per cent of its cash credit facility.

OTHER FACILITIES

Name and location of

the entity

Length of

relationship

Facilities

availed

Type of facility Loan amount Rate (%)

Bajaj Finserv Limited,

Maharashtra

Term loan Fund-based limit Rs.14.45* lakh

Religare Finvest

Limited

Term loan Fund-based limit Rs.14.93* lakh

Data not

provided

to CRISIL

Cholamandalam

Investment and

Finance Company

Limited

Vehicle loan Fund-based limit Rs.11.05* lakh 5.98

HDFC Finance

2 years

Term loan Fund-based limit Rs.6.55* lakh Data not

provided

to CRISIL

* Outstanding as on March 31, 2012.

22

SITE VISIT

Site 1:

Address of the site visited : Patel Bhawan, Patel Chowk, Wardha - 442 001,

Maharashtra

Date of site visit : July 24, 2012

No. of floors occupied : One ground floor of two-storey building

Size of premises : 3,000 square feet

Number of employees at the location : 40

Child labour at the site : No

Locality : Commercial and residential

Location area : Urban

Site location : Main road

Site used as : Administrative office

Site layout : Spacious and well-organised

Location advantages : Easy availability of transportation

State of infrastructure : Power: Stable

Backup power: Available

Water: Available

Labour unions: Do not exist

Transportation: Easily available

Overall infrastructure: Satisfactory

Building structure : Permanent structure

Ownership of premises : Self-owned

Facilities available at the site : • Telephone

• Internet

• Fax

• Generator

• Drinking water

• Transport arrangement

Other observations : None

23

Site 2:

Address of the site visited : Rajendrabhai Dahyabhai Patel Tobacco Bidi Works

Private Limited, Kisan Nagar, Armoor, Nizamabad

District - 503 218, Andhra Pradesh

Date of site visit : August 13, 2012

No. of floors occupied : One

Size of premises : 1,561 square feet

Number of employees at the location : 20

Child labour at the site : No

Locality : Industrial

Location area : Semi-urban

Site location : Main road

Site used as : Administrative office

Sales office

Factory or works

Warehouse

Site layout : Spacious and well-organised

Space around the building/structure : Front porch

Backyard

Side space

Location advantages : Located at industrial area

State of infrastructure : Power: Stable

Backup power: Available

Water: Available

Labour unions: Do not exist

Transportation: Easily available

Overall infrastructure: Satisfactory

Building structure : Permanent structure

Ownership of premises : Rented by Mr. B N Reddy

Facilities available at the site : • Telephone

• Internet

• Fax

• Generator

• Security guards

• Name or sign board

• Fire extinguisher

• Boundary walls

• Drainage and sewerage

• Drinking water

• Transport arrangement

• Pantry and canteen

Other observations : None

CRISIL SME Ratings Contacts Head Office CRISIL House Central Avenue Hiranandani Business Park Powai, Mumbai 400 076 Tel: +91 22 3342 3000 / 8400 Fax: +91 22 3342 3757 Contact: Mr. Kashif Khan E-mail: kashif.khan@crisil.com Mr. Avinash Gidwani E-mail: avinash.gidwani@crisil.com Mr. Sujit Agrawal E-mail: sujit.agrawal1@crisil.com

Pune 1187/17, Ghole Road Shivaji Nagar Pune 411 005 Tel: +91 20 4018 1900 Fax: +91 20 4018 1930 Contact: Mr. Prashant Borole E-mail: prashant.borole@crisil.com Mr. Rahul Prasad E-mail: rahul.prasad@crisil.com Mr. Uday Revankar E-mail: uday.revankar@crisil.com Mr. Rahul Nigam E-mail: rahul.nigam@crisil.com Mr. Shriganesh Pardhi E-mail: shriganesh.pardhi@crisil.com

Ahmedabad 706, 7th Floor, Venus Atlantis Vejalpur, Near Reliance Petrol Pump Anandnagar to Prahladnagar Road Satellite, Ahmedabad 380 015 Tel: +91 79 4024 4500 Fax: +91 79 4024 4520 Contact: Mr. Arunraj Rajmohan E-mail: arunraj.rajmohan@crisil.com

New Delhi The Mira G-1, First Floor, Plot No 1& 2 Ishwar Nagar, (Near Okhla Crossing) New Delhi 110 065 Tel: +91 11 4250 5141 / 50 Fax: +91 11 2684 2212 Contact: Mr. Abhik Sen E-mail: abhik.sen@crisil.com Mr. Kunal Raman E-mail: kunal.raman@crisil.com Mr. Tejendra Kushwaha E-mail: tejendra.kushwaha@crisil.com

Kolkata HORIZON, 4th Floor, Block B 57, Chowringhee Road Kolkata 700 071 Tel: +91 33 2289 1949/4011 8200 Fax: +91 33 2283 0597 Contact: Mr. Sambit Das E-mail: sambit.das@crisil.com Ms. Jhumur Chowdhury E-mail: jhumur.chowdhury@crisil.com Mr. Abhipshit Datta E-mail: abhipshit.datta@crisil.com

Chennai Thapar House, Mezzanine Floor 43/44, Montieth Road, Egmore Chennai 600 008 Tel : +91 44 6616 3100 Fax: +91 44 2854 7531 Contact: Mr. B. Venugopal E-mail: b.venugopal@crisil.com Mr. Varaprasad Godi E-mail: varaprasad.g@crisil.com Mr. Harikrishnan A E-mail: harikrishnan.a@crisil.com

Bengaluru W 101, Sunrise Chambers 22, Ulsoor Road, Bengaluru 560 042 Tel: +91 80 2558 0899 Fax: +91 80 2559 4801 Contact: Mr. Sudhir Narayan E-mail: sudhir.narayan@crisil.com Mr. Ravikiran Apte E-mail: ravikiran.apte@crisil.com

Hubli Unit No. 53 and 54 2nd floor, Eureka Junction Above Hubli Scan Centre, Opp. Revankar Comfort T.B. Road, Hubli 580 029 Tel: +91 836 2256 777 Mr. Kashiraya Kadaganchi E-mail: kashiraya.kadaganchi@crisil.com

Hyderabad 3rd Floor, Uma Chamber Plot no 9 & 10, Nagarjuna Hills, Punjagutta, X Road Hyderabad 500 082 Tel: +91 40 2335 8103/05 Fax: +91 40 2335 7507 Contact: Mr. Mansur Basha E-mail: mansur.basha@crisil.com Mr. Rahul Deshpande E-mail: rahul.deshpande@crisil.com

Coimbatore New No. 750-7, Old No. 1055-6 1st Floor, Gowtham Centre Opp. Nilgiri Nest, Avinashi Road Coimbatore 641 018 Tel: +91 422 224 4559 Contact: Mr. Abraham L E-mail: abraham.l@crisil.com

Surat 811, 8th Floor, Rajhans Complex Opp. J K Tower, Ring Road Surat 395 002 Tel: +91 261 400 2230 Contact: Mr Devesh Kemkar E-mail: devesh.kemkar@crisil.com

Nashik 1, Deep Aarti Apartments Opp. Bohora Park, Gangapur Road Nasik 422 002 Contact: Mr. Pratik Shukla E-mail : pratik.shukla@crisil.com

Jaipur C/14/13, 1st Floor, Shopping Centre Swarn Path Mansarovar, Jaipur 302 020 Phone: +91 141 302 1688/81 Contact: Mr. Vikas Banthia E-mail: vikas.banthia@crisil.com Jamshedpur Office No 7 Meghdeep Building, 2nd Floor “Q” Road, Bistupur, P.S. Bistupur Jamshedpur, Singhbhum (East) Jharkhand 831 001

Phone: +91 657 654 5958

Mr. Abhishek Kumar

E-mail: abhishek.kumar@crisil.com

Raipur 323, 3rd Floor, Crystal Arcade Lodipara Chowk, Shankar Nagar Road Raipur 492 001 Tel: +91 771 409 9997 Contact: Mr. Yash Naidu E-mail: yash.naidu@crisil.com Indore 422, 4th Floor, Raffel Tower 8/2, Old Palasia, Indore 452 001 Tel: +91 731 402 0042 Contact: Mr. Amit Jajora E-mail: amit.jajora@crisil.com Ludhiana Sai Tower 202, Industrial Area Ludhiana 141 003 Tel: +91 161 501 1575 Contact: Mr. Munish Dhawan E-mail: munish.dhawan@crisil.com Ms. Manisha Sharma E-mail: manisha.sharma@crisil.com Mr. Amit Maidh E-mail: amit.maidh@crisil.com Mr. Abhinandan Sharda E-mail: abhinandan.sharda@crisil.com Kochi 40/2908, F-14, 4th Floor Penta Menaka, Marine Drive Kochi 682 031 Phone +91 484 237 3337 Contact: Mr. Martin George Email: martin.george@crisil.com Vadodara 509, Centre Point, R.C.Dutt Road Alkapuri, Vadodara 390 007 Tel: +91 265 3025 946 Contact: Mr. Prashant Menon E-mail: prashant.menon@crisil.com Visakhapatnam Cabin No.S-5, Vishaka Business Centre, 46-19-5, Manda Vari Street, Dondaparthy, Visakhapatnam 530 016 Tel: +91 891 6661 770 Contact: Mr. Kanuparthy Vamsi E-mail: vamsi.kanuparthy@crisil.com