Long Term. Short Term. Total Rated Limits INR One Hundred Thirty Crores and Twenty Four Lakhs Only

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1 Rating Rationale Brickwork Ratings revises the ratings to BWR A- & BWR A2+ of Go Go International Private Limited s Bank Loan Facilities enhanced from Cr to Cr Brickwork Ratings has revised the Ratings 1 of Go Go International Private Limited s ( GGIPL or the Company ) Bank Loan Facilities enhanced from Cr to Cr as: Facility Previous Limits ( Cr) Present Limits ( Cr) Term Loans Fund Based Working Capital (FBWC) Non Fund Based Working Capital (LC/BG as a sublimit of FBWC) (7.) (1.) Tenure Previous Rating Present Rating Long Term Short Term BWR BBB+ (Pronounced BWR Triple B Plus) (Outlook:Stable) BWR A3+ Three Plus) BWR A- Minus) (Outlook:Stable) BWR A2+ Two Plus) Total Rated Limits INR One Hundred Thirty Crores and Twenty Four Lakhs Only Note: Details of the Bank-wise facilities are as per the Annexure- I BWR has principally relied upon the audited financial results of FY12, FY13, FY14 and projected financials of FY15 & FY16 of Go Go International Private Limited, publicly available information and information/clarification provided by the Company management. The rating factors, inter alia, the promoter s strength, professional and experienced key management personnel, diversified and reputed customer base and product mix consistent and better capacity utilization, geographical spread, efficient value chain, promoter's experience in same line of business, and continuous focus on process improvement. However, the rating is constrained by exposure to currency and country risks, demand seasonality in textile industry, ability to continue the conservative volume growth in the changing economic conditions and maintain increasing profitability margins. Background Go Go International Private Limited (GGIPL) was promoted in 1983 by Mr. Shyamsunder for yarn and fabric exports. Since then it has evolved into manufacturing and export of both knitted and woven garments for men, women and children. The Registered Office of GGIPL is in Mumbai and Corporate Office is in Bangalore. It has fully integrated manufacturing facilities with the necessary support departments at Bangalore and Hassan (Karnataka). The Company employs around 55 employee across all its factories and offices. GGIPL has received various Export Performance Awards in the last 7 years, recognized by government and nongovernment organizations. 1 Please refer to for definition of the Ratings Nov 214

2 Management Profile Go Go International Private Limited is owned and controlled by the members of family. Mr Shyamsunder has been leading the Company since His two sons - Mr Rajeev S and Mr Achal S, subsequently joined the management team. Mr. Jitendra Dugar, and CEO, a Chartered Accountant by qualification and with a vast industry experience, is a professional director presently handling business strategy, finance and operational efficiency roles in the Company. Different family members support the Company functioning by handling different roles like procurement, pricing and marketing. Name Designation Qualification Experience Functional Responsibility Mr. Shyamsunder G Mr. Rajeev S Mr. Achal S Mrs. Nirmala R Mrs. Lalita A Mr. Jitendra Dugar Mr. Suresh Jain Mr. Kailash Jatwala MA 51 years Business Strategies, Growth & Expansion Plans and Finance BE 26 years Marketing, Production and Administration MBBS,MD 25 years Marketing/ Process House/ Procurement B.COM 16 years Procurement (Accessories and Allied) & General Administration MA 17 years Printing & Designing B.Com, FCA 25 years Business Strategy, Business Growth, Finance & Banking, Customs, Taxation, HR, Audits, RoC & Secretarial, Cost reduction & Operational Efficiency B.Com, FCA 26 years Process House, Procurement (Capex and Fabrics) and Costing B.Com, FCS 28 years Investments Nov 214

3 Financial Performance GGIPL reported net sales of Cr in FY14 in comparison to Cr in FY13. The Operating Profit margins has improved to 1.99% in FY14 in comparison to 8.48% in FY13. The Net Profit margin has improved to 2.89% in FY14 in comparison to 2.79% in FY13. The promoters funding in the form of unsecured loans to be retained during the entire tenor of loans stands at 15.7 Cr in FY14, thereby Net worth of the Company has increased to Cr in FY14 from 85.2 Cr in FY13 and with further infusion by promoters during FY15 and FY16, is estimated to cross 1 Cr. Company's debt-equity ratio stands at 1.1x in FY14 in comparison to 1.2x in FY13 due to the increasing working capital facilities as a requisite for expanding operations. With the increasing business and expansion, the Company s fixed assets turnover ratio also has improved from 2.82x in FY13 to 3.22x in FY14 Rating Outlook: The outlook is expected to be stable over the year. The professionally qualified Board, following of best practices for Corporate Governance and timeliness of its profile are the key factors for the rating upgrade. The ability to continue the same and create its own brand awareness, apart from the above shall remain the key rating sensitivities. Going forward, the Company's ability to continue to manage currency and country risks, consistently grow in scale of operations while maintaining the increasing streak of profit margins, thereby supported with promoters funding would be the other key rating sensitivities. Analyst Contact analyst@brickworkratings.com Phone Relationship Contact bd@brickworkratings.com Media Contact media@brickworkratings.com Disclaimer: Brickwork Ratings (BWR) has assigned the rating based on the information obtained from the issuer and other reliable sources, which are deemed to be accurate. BWR has taken considerable steps to avoid any data distortion; however, it does not examine the precision or completeness of the information obtained. And hence, the information in this report is presented as is without any express or implied warranty of any kind. BWR does not make any representation in respect to the truth or accuracy of any such information. The rating assigned by BWR should be treated as an opinion rather than a recommendation to buy, sell or hold the rated instrument and BWR shall not be liable for any losses incurred by users from any use of this report or its contents. BWR has the right to change, suspend or withdraw the ratings at any time for any reasons Nov 214

4 BAN K SCB Kotak SBM Go Go International Private Limited BLR Cr Annexure-I VIJA YA HSB C UBI IDBI INDUS IND EXIM 1 (Amount Cr.) EXIM AXIS 2 TOTAL SANCTION LIMITS FUND & NON FUND BASED WORKING CAPITAL (WC) PC/P CFC/ BD BD OD/C C - WCD L LC - exclu sive LC - BG [2] [5] [1] [1] [5] [5] [5] [1]. - [2]..... [1]. [1] [1] Work ing capita l TERM LOANS (TL) Sanct ioned Outst andin g Undr awn Nov 214

5 Term Loan s Total Limit s Aforesaid term loan outstanding and undrawn as on Aug 214 Banks: SCB: Standard Chartered Bank; KOTAK: Kotak Bank Ltd; SBM: State Bank of Mysore; VIJAYA: Vijaya Bank; HSBC: Hongkong & Shanghai Banking Corporation Bank Ltd; UBI: Union Bank of India; IDBI: Industrial Development Bank of India; EXIM: Export Import Bank of India; AXIS: Axis Bank; INDUSIND: IndusInd Bank Ltd Facilities: PC: Packing Credit/PCFC; Packing Credit in Foreign Currency; WCDL: Working Capital Demand Loan; LC: Letter of Credit; BG: Bank Guarantee Nov 214