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Copyright 2001 by the Trustees of the University of Virginia Darden School Foundation.

JIT & Level production combinedHibachi's Just in Time proposal

Summary of Sales, Inventory and Debt ResultsJanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecemberThe YearGross Sales2,616,1202,892,8254,447,4048,804,25013,885,56012,803,8957,575,0097,575,0095,031,0004,447,4043,531,7622,767,05076,377,288Inventories (3)6,410,89917,777,54334,307,32047,678,49050,139,65647,634,57447,025,72445,559,95247,638,88852,615,59562,243,91377,205,089Note Payable- Bank (6)6,342,32916,767,34433,529,48951,765,54662,488,25562,762,48758,497,08854,388,78156,128,80660,036,76069,170,04084,800,065

EXHIBIT 8KOTA FIBRES, LTD.Monthly Forecast of Income StatementsPro Forma(In Rupees)JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecemberThe YearGross Sales2,616,1202,892,8254,447,4048,804,25013,885,56012,803,8957,575,0097,575,0095,031,0004,447,4043,531,7622,767,05076,377,288Excise Taxes392,418433,924667,1111,320,6382,082,8341,920,5841,136,2511,136,251754,650667,111529,764415,05811,456,593Net Sales2,223,7022,458,9013,780,2937,483,61311,802,72610,883,3116,438,7586,438,7584,276,3503,780,2933,001,9982,351,99364,920,695Cost of Goods Sold1,928,0802,132,0123,277,7376,488,73210,233,6589,436,4715,582,7825,582,7823,707,8473,277,7372,602,9092,039,31656,290,061Gross Profit295,622326,889502,557994,8801,569,0681,446,840855,976855,976568,503502,557399,089312,6778,630,634Operating Expenses454,501454,501454,501454,501454,501454,501454,501454,501454,501454,501454,501454,5015,454,006Depreciation84,13084,13087,04787,04787,04789,96489,96489,96492,88092,88092,88095,7971,073,731Interest Expense (Income) (1)42,451139,621303,877515,324690,283756,723732,610682,019667,710701,834780,624930,236512,334Profit Before Taxes(285,461)(351,363)(342,868)(61,992)337,237145,653(421,098)(370,507)(646,588)(746,658)(928,916)(1,167,857)(4,840,417)Income Taxes(85,638)(105,409)(102,860)(18,597)101,17143,696(126,329)(111,152)(193,977)(223,997)(278,675)(350,357)(1,452,125)Net Profit(199,823)(245,954)(240,007)(43,394)236,066101,957(294,769)(259,355)(452,612)(522,661)(650,241)(817,500)(3,388,292)(1) Interest expense = Notes Payable * 14.5%/12 months.==EXHIBIT 8 -contd-KOTA FIBRES, LTD.Forecasted Monthly Balance Sheets for 1990(In Rupees)JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecemberAssetsCash (1)750,000750,000750,000750,000750,000750,000750,000750,000750,000750,000750,000750,000Accounts Receivable (2)2,773,3493,291,5425,012,14410,301,73717,997,15519,964,27614,086,39110,949,0598,405,0506,295,0495,029,2493,715,152Inventories (3)6,410,89917,777,54334,307,32047,678,49050,139,65647,634,57447,025,72445,559,95247,638,88852,615,59562,243,91377,205,089 Total Current Assets9,934,24821,819,08540,069,46458,730,22868,886,81168,348,85061,862,11557,259,01256,793,93859,660,64468,023,16381,670,241Net Prop. Plant & Equip. (4)8,733,0168,648,8858,911,8388,824,7918,737,7448,997,7808,907,8178,817,8539,074,9738,982,0928,889,2129,143,415 Total Assets18,667,26330,467,97048,981,30267,555,01977,624,55577,346,63070,769,93166,076,86565,868,91168,642,73776,912,37590,813,656Liabilities and Owners' EquityAccounts Payable (5)758,4282,485,4825,079,5365,479,1884,488,7784,290,9692,400,7672,186,5141,385,123997,6531,062,9281,002,041Note Payable- Bank (6)6,342,32916,767,34433,529,48951,765,54662,488,25562,762,48758,497,08854,388,78156,128,80660,036,76069,170,04084,800,065Accrued Taxes (7)(85,638)(191,047)(293,907)(312,505)(211,334)(167,638)(293,967)(405,119)(599,096)(823,093)(1,101,768)(1,452,125) Total Current Liabilities7,015,11919,061,77938,315,11956,932,23066,765,70066,885,81860,603,88856,170,17656,914,83460,211,32069,131,20084,349,981Shareholders' Equity (8)11,652,14411,406,19110,666,18310,622,78910,858,85510,460,81210,166,0439,906,6898,954,0778,431,4167,781,1756,463,675 Total Liabilities & Equity18,667,26330,467,97048,981,30267,555,01977,624,55577,346,63070,769,93166,076,86565,868,91168,642,73776,912,37590,813,656

EXHIBIT 9KOTA FIBRES, LTD.Schedule of Cash Receipts and Disbursements(In Rupees)JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecemberJanuaryFebruaryAssume:Sales2,616,1202,892,8254,447,4048,804,25013,885,56012,803,8957,575,0097,575,0095,031,0004,447,4043,531,7622,767,0503,400,9563,616,031Purchases 1,591,0541,589,9473,317,0015,911,0556,310,7075,320,2975,122,4873,232,2863,018,0332,216,6421,829,1721,894,4471,833,560Debt Outstanding684,1026,342,32916,767,34433,529,48951,765,54662,488,25562,762,48758,497,08854,388,78156,128,80660,036,76069,170,04084,800,065Receipts:Accts Rcvble Collected2,515,5002,374,6322,726,8023,514,6576,190,14210,836,77413,452,89410,712,3417,575,0096,557,4054,797,5624,081,147New Borrowings (Repayments)493,559783,9423,993,4676,696,6205,493,823274,232(4,265,399)(4,108,307)(803,984)(1,763,660)(581,582)1,107,206Disburs.:Accounts Paid 1,591,0541,589,9473,317,0015,911,0556,310,7075,320,2975,122,4873,232,2863,018,0332,216,6421,829,1721,894,447Capital Expenditures00350,00000350,00000350,00000350,000Interest Payments42,451139,621303,877515,324690,283756,723732,610682,019667,710701,834780,624930,236Excise Tax Paid392,418433,924667,1111,320,6382,082,8341,920,5841,136,2511,136,251754,650667,111529,764415,058Operating Expenses454,501454,501454,501454,501454,501454,501454,501454,501454,501454,501454,501454,501Accrued Income Tax Paid000000000000Wages540,958540,5821,127,7802,009,7592,145,6401,808,9011,741,6461,098,9771,026,131753,658621,919644,112Dividends00500,00000500,00000500,00000500,000Subtotal: Disbursements3,021,3823,158,5746,720,26910,211,27611,683,96611,111,0069,187,4956,604,0336,771,0254,793,7454,215,9805,188,353Receipts - Disbursements(12,323)00000000000

BOP Cash Balance762,323750,000750,000750,000750,000750,000750,000750,000750,000750,000750,000750,000EOP Cash Balance762,323750,000750,000750,000750,000750,000750,000750,000750,000750,000750,000750,000750,000

Exhibit 10KOTA FIBRES, LTD.Forecasted T-Accounts Supporting Financial Statements(In Rupees)JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecember1. Schedule of Accounts ReceivableBeginning of Period2,672,7292,773,3493,291,5425,012,14410,301,73717,997,15519,964,27614,086,39110,949,0598,405,0506,295,0495,029,249 Plus Sales2,616,1202,892,8254,447,4048,804,25013,885,56012,803,8957,575,0097,575,0095,031,0004,447,4043,531,7622,767,050 Less Collections, Last Month (1)885,4561,046,4481,157,1301,778,9623,521,7005,554,2245,121,5583,030,0043,030,0042,012,4001,778,9621,412,705 Less Collections, Month before Last (2)1,630,0441,328,1841,569,6721,735,6952,668,4425,282,5508,331,3367,682,3374,545,0054,545,0053,018,6002,668,442End of Period2,773,3493,291,5425,012,14410,301,73717,997,15519,964,27614,086,39110,949,0598,405,0506,295,0495,029,2493,715,152(1) 40% of sales in period (T-1).(2) 60% of sales in period (T-2).

2. Schedule of InventoriesBeginning of Period1,249,1856,410,89917,777,54334,307,32047,678,49050,139,65647,634,57447,025,72445,559,95247,638,88852,615,59562,243,913 Plus Purchases (1)1,591,0541,589,9473,317,0015,911,0556,310,7075,320,2975,122,4873,232,2863,018,0332,216,6421,829,1721,894,4471,833,560 Plus Labor540,958540,5821,127,7802,009,7592,145,6401,808,9011,741,6461,098,9771,026,131753,658621,919644,112Finished good Inventories from Level production4,958,8899,641,07312,768,67811,539,4375,228,8860002,544,0095,671,6149,714,86114,522,820 Less Shipments (COGS)1,928,0802,132,0123,277,7376,488,73210,233,6589,436,4715,582,7825,582,7823,707,8473,277,7372,602,9092,039,316End of Period6,410,89917,777,54334,307,32047,678,49050,139,65647,634,57447,025,72445,559,95247,638,88852,615,59562,243,91377,205,0893. Schedule of Accounts PayableBeginning of Period759,535758,4282,485,4825,079,5365,479,1884,488,7784,290,9692,400,7672,186,5141,385,123997,6531,062,928 + Purchases (1)1,589,9473,317,0015,911,0556,310,7075,320,2975,122,4873,232,2863,018,0332,216,6421,829,1721,894,4471,833,560 - Payments (2)1,591,0541,589,9473,317,0015,911,0556,310,7075,320,2975,122,4873,232,2863,018,0332,216,6421,829,1721,894,447End of Period758,4282,485,4825,079,5365,479,1884,488,7784,290,9692,400,7672,186,5141,385,123997,6531,062,9281,002,041(1) Equal to 55 percent of sales in period (T+1).(2) Equal to purchases in period (T-1).4. Schedule of Shareholder's EquityBeginning of Period11,851,96711,652,14411,406,19110,666,18310,622,78910,858,85510,460,81210,166,0439,906,6898,954,0778,431,4167,781,175 Plus Net Profit(199,823)(245,954)(240,007)(43,394)236,066101,957(294,769)(259,355)(452,612)(522,661)(650,241)(817,500) Less Dividends00500,00000500,00000500,00000500,000End of Period11,652,14411,406,19110,666,18310,622,78910,858,85510,460,81210,166,0439,906,6898,954,0778,431,4167,781,1756,463,6755. Schedule of Accrued TaxesBeginning of Period0(85,638)(191,047)(293,907)(312,505)(211,334)(167,638)(293,967)(405,119)(599,096)(823,093)(1,101,768) Plus Monthly Tax Expense (@ 30%)(85,638)(105,409)(102,860)(18,597)101,17143,696(126,329)(111,152)(193,977)(223,997)(278,675)(350,357) Less Quarterly Tax Payments000000000000End of Period(85,638)(191,047)(293,907)(312,505)(211,334)(167,638)(293,967)(405,119)(599,096)(823,093)(1,101,768)(1,452,125)6. Schedule of Property, Plant and EquipmentBeginning Gross PP&E10,095,64610,095,64610,095,64610,445,64610,445,64610,445,64610,795,64610,795,64610,795,64611,145,64611,145,64611,145,646127,447,752 Plus Capital Expenditures00350,00000350,00000350,00000350,0001,400,000Ending Gross PP&E10,095,64610,095,64610,095,64610,445,64610,445,64610,445,64610,795,64610,795,64610,795,64611,145,64611,145,64611,145,64611,495,646128,847,752 Monthly Depreciation Expense84,13084,13087,04787,04787,04789,96489,96489,96492,88092,88092,88095,7971,073,731 Less Cumulative Depr'n.1,278,5001,362,6301,446,7611,533,8081,620,8551,707,9021,797,8661,887,8291,977,7932,070,6732,163,5542,256,4342,352,23123,456,837Ending Net PP&E8,817,1468,733,0168,648,8858,911,8388,824,7918,737,7448,997,7808,907,8178,817,8539,074,9738,982,0928,889,2129,143,415106,669,415

Exhibit TN2JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecember Gross sales2,616,1202,892,8254,447,4048,804,25013,885,56012,803,8957,575,0097,575,0095,031,0004,447,4043,531,7622,767,050Net profit(199,823)(245,954)(240,007)(43,394)236,066101,957(294,769)(259,355)(452,612)(522,661)(650,241)(817,500)

AssetsCash (1)750,000750,000750,000750,000750,000750,000750,000750,000750,000750,000750,000750,000Accounts Receivable (2)2,773,3493,291,5425,012,14410,301,73717,997,15519,964,27614,086,39110,949,0598,405,0506,295,0495,029,2493,715,152Inventories (3)6,410,89917,777,54334,307,32047,678,49050,139,65647,634,57447,025,72445,559,95247,638,88852,615,59562,243,91377,205,089 Total Current Assets9,934,24821,819,08540,069,46458,730,22868,886,81168,348,85061,862,11557,259,01256,793,93859,660,64468,023,16381,670,241Net Prop. Plant & Equip. (4)8,733,0168,648,8858,911,8388,824,7918,737,7448,997,7808,907,8178,817,8539,074,9738,982,0928,889,2129,143,415 Total Assets18,667,26330,467,97048,981,30267,555,01977,624,55577,346,63070,769,93166,076,86565,868,91168,642,73776,912,37590,813,656 Liabilities and Owners' Equity Accounts Payable (5)758,4282,485,4825,079,5365,479,1884,488,7784,290,9692,400,7672,186,5141,385,123997,6531,062,9281,002,041Note Payable- Bank (6)6,342,32916,767,34433,529,48951,765,54662,488,25562,762,48758,497,08854,388,78156,128,80660,036,76069,170,04084,800,065Accrued Taxes (7)(85,638)(191,047)(293,907)(312,505)(211,334)(167,638)(293,967)(405,119)(599,096)(823,093)(1,101,768)(1,452,125) Total Current Liabilities7,015,11919,061,77938,315,11956,932,23066,765,70066,885,81860,603,88856,170,17656,914,83460,211,32069,131,20084,349,981Shareholders' Equity (8)11,652,14411,406,19110,666,18310,622,78910,858,85510,460,81210,166,0439,906,6898,954,0778,431,4167,781,1756,463,675 Total Liabilities & Equity18,667,26330,467,97048,981,30267,555,01977,624,55577,346,63070,769,93166,076,86565,868,91168,642,73776,912,37590,813,656

Schedule of InventoriesBeginning of Period1,249,1856,410,89917,777,54334,307,32047,678,49050,139,65647,634,57447,025,72445,559,95247,638,88852,615,59562,243,913 Plus Purchases (1)1,589,9473,317,0015,911,0556,310,7075,320,2975,122,4873,232,2863,018,0332,216,6421,829,1721,894,4471,833,560 Plus Labor540,958540,5821,127,7802,009,7592,145,6401,808,9011,741,6461,098,9771,026,131753,658621,919644,112 Less Shipments (COGS)1,928,0802,132,0123,277,7376,488,73210,233,6589,436,4715,582,7825,582,7823,707,8473,277,7372,602,9092,039,316End of Period6,410,89917,777,54334,307,32047,678,49050,139,65647,634,57447,025,72445,559,95247,638,88852,615,59562,243,91377,205,089

Level Prod.LEVEL PRODUCTION PLAN

JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecember

Sales as percentage of year2.88%3.18%4.89%9.69%15.28%19.35%17.95%9.43%5.53%4.89%3.89%3.04%Production as percentage of year8.33%8.33%8.33%8.33%8.33%8.33%8.33%8.33%8.33%8.33%8.33%8.33%

JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecemberTotal Forecasted sales for 200190,900,108Forecasted Sales/month2,616,1202,892,8254,447,4048,804,25013,885,56017,588,37616,315,5338,572,8245,031,0004,447,4043,531,7622,767,050Production due to level production7,575,0097,575,0097,575,0097,575,0097,575,0097,575,0097,575,0097,575,0097,575,0097,575,0097,575,0097,575,009Finished goods Inventory4,958,8899,641,07312,768,67811,539,4375,228,8860002,544,0095,671,6149,714,86114,522,820Actual Sales/ month2,616,1202,892,8254,447,4048,804,25013,885,56012,803,8957,575,0097,575,0095,031,0004,447,4043,531,7622,767,050

Base ModelBASE CASE MODEL ExhibitLocationSummary of Forecast ParametersA19Forecast of Income StatementsA38Forecast of Balance SheetsA58Schedule of Cash Receipts and DisbursementsA79Forecast of T-AccountsA125Monthly Actual Sales and Forecasted SalesA161Historical Income StatementsA182Historical Balance SheetsA199Cycle AssumptionsU161GraphV71..AD89

Exhibit 11KOTA FIBRES, LTD.

Assumptions--Ratio of: Income Tax/Profit Before Tax30% Excise Tax/Sales15% This Month Collections of Last Month's Sales40% This Month Collections of Month-before-Last Sales60% Purchases/Two Months Advance Sales55% Wages/Purchases34%Annual Operating Expenses/Annual Sales6.00%Capital Expenditures (every third month)350,000Interest Rate on Borrowings (and deposits)14.5%Minimum Cash Balance750,000Depreciation/Gross PP&E (per year)10% (per month)0.83%Dividends Paid (every third month)500,000

EXHIBIT 8KOTA FIBRES, LTD.Monthly Forecast of Income StatementsPro Forma(In Rupees)JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecemberThe YearGross Sales2,616,1202,892,8254,447,4048,804,25013,885,56017,588,37616,315,5338,572,8245,031,0004,447,4043,531,7622,767,05090,900,108JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecemberExcise Taxes392,418433,924667,1111,320,6382,082,8342,638,2562,447,3301,285,924754,650667,111529,764415,05813,635,016Sales2,616,1202,892,8254,447,4048,804,25013,885,56017,588,37616,315,5338,572,8245,031,0004,447,4043,531,7622,767,050Net Sales2,223,7022,458,9013,780,2937,483,61311,802,72614,950,12013,868,2037,286,9004,276,3503,780,2933,001,9982,351,99377,265,092A/R2,773,3493,291,5425,012,14410,301,73717,997,15524,748,75725,697,60417,191,1899,003,7396,295,0495,029,2493,715,152Cost of Goods Sold1,928,0802,132,0123,277,7376,488,73210,233,65812,962,63312,024,5486,318,1713,707,8473,277,7372,602,9092,039,31666,993,380Inv2,308,1355,850,12511,855,84117,637,31519,666,22714,469,6526,815,2723,883,9702,950,2571,854,8371,639,8922,225,373Gross Profit295,622326,889502,557994,8801,569,0681,987,4861,843,655968,729568,503502,557399,089312,67710,271,712A/P1,614,5534,010,8196,805,5398,842,0888,142,0243,883,5341,935,5311,614,5531,110,950690,3591,039,0071,157,298Operating Expenses454,501454,501454,501454,501454,501454,501454,501454,501454,501454,501454,501454,5015,454,006n/p1,146,2692,962,6238,767,03117,419,37926,997,55732,950,66527,167,19315,795,7938,352,8995,002,0113,278,0553,463,702Depreciation84,13084,13087,04787,04787,04789,96489,96489,96492,88092,88092,88095,7971,073,731Interest Expense (Income) (1)11,05824,82570,867158,210268,352362,187363,212259,568145,89880,68650,02540,7311,835,620Profit Before Taxes(254,068)(236,566)(109,858)295,123759,1681,080,835935,979164,697(124,776)(125,510)(198,317)(278,352)1,908,354 Income Taxes(76,220)(70,970)(32,957)88,537227,751324,251280,79449,409(37,433)(37,653)(59,495)(83,506)572,506Net Profit(177,847)(165,596)(76,900)206,586531,418756,585655,185115,288(87,343)(87,857)(138,822)(194,847)1,335,848(1) Interest expense = Notes Payable * 16%/12 months.=EXHIBIT 8 -contd-KOTA FIBRES, LTD.Forecasted Monthly Balance Sheets for 1990(In Rupees)JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecemberAssetsCash (1)750,000750,000750,000750,000750,000750,000750,000750,000750,000750,000750,000750,000Accounts Receivable (2)2,773,3493,291,5425,012,14410,301,73717,997,15524,748,75725,697,60417,191,1899,003,7396,295,0495,029,2493,715,152Inventories (3)2,308,1355,850,12511,855,84117,637,31519,666,22714,469,6526,815,2723,883,9702,950,2571,854,8371,639,8922,225,373 Total Current Assets5,831,4849,891,66717,617,98528,689,05338,413,38239,968,40933,262,87621,825,15912,703,9968,899,8867,419,1426,690,525Net Prop. Plant & Equip.8,527,2388,443,1078,706,0608,619,0138,531,9668,792,0028,702,0398,612,0758,869,1958,776,3148,683,4348,937,637 Total Assets14,358,72218,334,77426,324,04537,308,06646,945,34848,760,41141,964,91430,437,23421,573,19117,676,20016,102,57615,628,162Liabilities and Owners' EquityAccounts Payable (5)1,614,5534,010,8196,805,5398,842,0888,142,0243,883,5341,935,5311,614,5531,110,950690,3591,039,0071,157,298Note Payable- Bank (6)1,146,2692,962,6238,767,03117,419,37926,997,55732,950,66527,167,19315,795,7938,352,8995,002,0113,278,0553,463,702Accrued Taxes (7)(76,220)(147,190)(180,148)(91,611)136,1400280,794330,2030(37,653)(97,148)(180,654) Total Current Liabilities2,684,6026,826,25115,392,42226,169,85735,275,72136,834,20029,383,51817,740,5499,463,8505,654,7164,219,9144,440,346Shareholders' Equity (9)11,674,12011,508,52310,931,62311,138,20911,669,62711,926,21112,581,39712,696,68412,109,34112,021,48411,882,66211,187,815 Total Liabilities & Equity14,358,72218,334,77426,324,04537,308,06646,945,34848,760,41141,964,91430,437,23421,573,19117,676,20016,102,57615,628,162

EXHIBIT 9KOTA FIBRES, LTD.Schedule of Cash Receipts and Disbursements(In Rupees)JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecemberJanuaryFebruaryAssume:Sales2,616,1202,892,8254,447,4048,804,25013,885,56017,588,37616,315,5338,572,8245,031,0004,447,4043,531,7622,767,0503,400,9563,616,031Purchases (1)1,591,0542,446,0724,842,3387,637,0589,673,6078,973,5434,715,0532,767,0502,446,0721,942,4691,521,8781,870,5261,988,817Debt Outstanding684,1021,146,2692,962,6238,767,03117,419,37926,997,55732,950,66527,167,19315,795,7938,352,8995,002,0113,278,0553,463,702Receipts:Accts Rcvble Collected2,515,5002,374,6322,726,8023,514,6576,190,14210,836,77415,366,68617,079,23913,218,4497,156,0944,797,5624,081,147New Borrowings (Repayments)462,1661,816,3545,804,4088,652,3499,578,1785,953,108(5,783,473)(11,371,400)(7,442,894)(3,350,889)(1,723,956)185,647Disburs.:Accounts Paid (2)1,591,0542,446,0724,842,3387,637,0589,673,6078,973,5434,715,0532,767,0502,446,0721,942,4691,521,8781,870,526Capital Expenditures00350,00000350,00000350,00000350,000Interest Payments11,05824,82570,867158,210268,352362,187363,212259,568145,89880,68650,02540,731Excise Tax Paid392,418433,924667,1111,320,6382,082,8342,638,2562,447,3301,285,924754,650667,111529,764415,058Operating Expenses454,501454,501454,501454,501454,501454,501454,501454,501454,501454,501454,501454,501Accrued Income Tax Paid00000460,39000292,770000Wages540,958831,6651,646,3952,596,6003,289,0263,051,0051,603,118940,797831,665660,439517,438635,979Dividends00500,00000500,00000500,00000500,000Subtotal: Disbursements2,989,9894,190,9868,531,21012,167,00515,768,32016,789,8829,583,2145,707,8395,775,5553,805,2063,073,6064,266,794Receipts - Disbursements(12,323)00000000000

BOP Cash Balance762,323750,000750,000750,000750,000750,000750,000750,000750,000750,000750,000750,000EOP Cash Balance762,323750,000750,000750,000750,000750,000750,000750,000750,000750,000750,000750,000750,000(1) Equal to 55 percent of sales in period (T+1).(2) Equal to purchases in period (T-1).

Exhibit 10KOTA FIBRES, LTD.Forecasted T-Accounts Supporting Financial Statements(In Rupees)JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecember1. Schedule of Accounts ReceivableBeginning of Period2,672,7292,773,3493,291,5425,012,14410,301,73717,997,15524,748,75725,697,60417,191,1899,003,7396,295,0495,029,249 Plus Sales2,616,1202,892,8254,447,4048,804,25013,885,56017,588,37616,315,5338,572,8245,031,0004,447,4043,531,7622,767,050 Less Collections, Last Month (1)885,4561,046,4481,157,1301,778,9623,521,7005,554,2247,035,3506,526,2133,429,1302,012,4001,778,9621,412,705 Less Collections, Month before Last (2)1,630,0441,328,1841,569,6721,735,6952,668,4425,282,5508,331,33610,553,0269,789,3205,143,6943,018,6002,668,442End of Period2,773,3493,291,5425,012,14410,301,73717,997,15524,748,75725,697,60417,191,1899,003,7396,295,0495,029,2493,715,152(1) 40% of sales in period (T-1).(2) 60% of sales in period (T-2).

2. Schedule of InventoriesBeginning of Period1,249,1852,308,1355,850,12511,855,84117,637,31519,666,22714,469,6526,815,2723,883,9702,950,2571,854,8371,639,892 Plus Purchases (1)1,591,0542,446,0724,842,3387,637,0589,673,6078,973,5434,715,0532,767,0502,446,0721,942,4691,521,8781,870,5261,988,817 Plus Labor540,958831,6651,646,3952,596,6003,289,0263,051,0051,603,118940,797831,665660,439517,438635,979 Less Shipments (COGS)1,928,0802,132,0123,277,7376,488,73210,233,65812,962,63312,024,5486,318,1713,707,8473,277,7372,602,9092,039,316End of Period2,308,1355,850,12511,855,84117,637,31519,666,22714,469,6526,815,2723,883,9702,950,2571,854,8371,639,8922,225,3733. Schedule of Accounts PayableBeginning of Period759,5351,614,5534,010,8196,805,5398,842,0888,142,0243,883,5341,935,5311,614,5531,110,950690,3591,039,007 + Purchases (1)2,446,0724,842,3387,637,0589,673,6078,973,5434,715,0532,767,0502,446,0721,942,4691,521,8781,870,5261,988,817 - Payments (2)1,591,0542,446,0724,842,3387,637,0589,673,6078,973,5434,715,0532,767,0502,446,0721,942,4691,521,8781,870,526End of Period1,614,5534,010,8196,805,5398,842,0888,142,0243,883,5341,935,5311,614,5531,110,950690,3591,039,0071,157,298(1) Equal to 55 percent of sales in period (T+1).(2) Equal to purchases in period (T-1).4. Schedule of Shareholder's EquityBeginning of Period11,851,96711,674,12011,508,52310,931,62311,138,20911,669,62711,926,21112,581,39712,696,68412,109,34112,021,48411,882,662 Plus Net Profit(177,847)(165,596)(76,900)206,586531,418756,585655,185115,288(87,343)(87,857)(138,822)(194,847) Less Dividends00500,00000500,00000500,00000500,000End of Period11,674,12011,508,52310,931,62311,138,20911,669,62711,926,21112,581,39712,696,68412,109,34112,021,48411,882,66211,187,8155. Schedule of Accrued TaxesBeginning of Period0(76,220)(147,190)(180,148)(91,611)136,1400280,794330,2030(37,653)(97,148) Plus Monthly Tax Expense (@ 30%)(76,220)(70,970)(32,957)88,537227,751324,251280,79449,409(37,433)(37,653)(59,495)(83,506) Less Quarterly Tax Payments00000460,39000292,770000End of Period(76,220)(147,190)(180,148)(91,611)136,1400280,794330,2030(37,653)(97,148)(180,654)6. Schedule of Property, Plant and EquipmentBeginning Gross PP&E10,095,64610,095,64610,095,64610,445,64610,445,64610,445,64610,795,64610,795,64610,795,64611,145,64611,145,64611,145,646127,447,752 Plus Capital Expenditures00350,00000350,00000350,00000350,0001,400,000Ending Gross PP&E10,095,64610,095,64610,095,64610,445,64610,445,64610,445,64610,795,64610,795,64610,795,64611,145,64611,145,64611,145,64611,495,646128,847,752 Monthly Depreciation Expense84,13084,13087,04787,04787,04789,96489,96489,96492,88092,88092,88095,7971,073,731 Less Cumulative Depr'n.1,484,2781,568,4081,652,5391,739,5861,826,6331,913,6802,003,6442,093,6072,183,5712,276,4512,369,3322,462,2122,558,00926,131,951Ending Net PP&E8,611,3688,527,2388,443,1078,706,0608,619,0138,531,9668,792,0028,702,0398,612,0758,869,1958,776,3148,683,4348,937,637104,200,079

Exhibit 1HISTORICAL CYCLE100.0115.0170.0350.0600.0760.0705.0355.0200.0170.0135.0110.0SENGUPTA FIBRES, LTD.FORECAST CYCLE130.0125.0130.0125.0115.0115.0115.0120.0125.0130.0130.0125.0Monthly Sales for 2000 and 2001(in million Rupees)2000.02001.0(historical)(forecast)January2,012,4002,616,120February2,314,2602,892,825March3,421,0804,447,404April7,043,4008,804,250May12,074,40013,885,560June15,294,24017,588,376July14,187,42016,315,533August7,144,0208,572,824TOTALSeptember4,024,8005,031,0002000 (historical)75,867,4802,012,4002,314,2603,421,0807,043,40012,074,40015,294,24014,187,4207,144,0204,024,8003,421,0802,716,7402,213,640October3,421,0804,447,404November2,716,7403,531,7622001 (forecast)90,900,1082,616,1202,892,8254,447,4048,804,25013,885,56017,588,37616,315,5338,572,8245,031,0004,447,4043,531,7622,767,050December2,213,6402,767,050GROSS UP RATIO1.0Year75,867,48090,900,108

Exhibit 2SENGUPTA FIBRES, LTD.Historical Annual Income Statements(In Rupees)1999.02000.02001.0(Actual)(Actual)(Forecast)Gross Sales64,487,35875,867,48090,900,108Excise Tax9,673,10411,380,12213,635,016Net Sales54,814,25464,487,35877,265,092Cost of Goods44,496,27753,865,91166,993,380Gross Profits10,317,97710,621,44710,271,712Operating Expenses3,497,3054,828,7215,454,006Depreciation769,103908,6081,073,731Interest Expense910,0481,240,0661,835,620Profit Before Tax5,141,5213,644,0521,908,354Income Tax1,542,4561,093,216572,506Net Profit3,599,0652,550,8361,335,848

Exhibit 3SENGUPTA FIBRES, LTD.Historical Balance Sheets(In Rupees)2000.02001.0(Actual)(Forecast)Cash762,323750,000Accounts Receivable2,672,7293,715,152Inventories1,249,1852,225,373 Total Current Assets4,684,2376,690,525Gross PP&E10,095,64611,495,646 Accumulated Depreciation1,484,2782,558,009Net PP&E8,611,3688,937,637 Total Assets13,295,60515,628,162Accounts Payable759,5351,157,298Notes to Bank (Deposits at Bank)684,1023,463,702Accrued Taxes0.0(180,654) Total Current Liabilities1,443,6374,440,346Owners' Equity11,851,96711,187,815 Total Liabilities and Equity13,295,60415,628,162=======Debt Trial BalancesFrom Balance Sheet1,146,2692,962,6238,767,03117,419,37926,997,55732,950,66527,167,19315,795,7938,352,8995,002,0113,278,0553,463,702From CR&D1,146,2692,962,6238,767,03117,419,37926,997,55732,950,66527,167,19315,795,7938,352,8995,002,0113,278,0553,463,702DIFFERENCE000000000000

MayJuneJulyAugustSeptemberOctoberNovemberDecember00000000000000000000000000000000ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!================JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecemberSalesERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!A/RERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!InvERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!A/PERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!n/pERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!ERROR:#REF!================JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecemberSales2,616,1202,892,8254,447,4048,804,25013,885,56012,803,8957,575,0097,575,0095,031,0004,447,4043,531,7622,767,050A/R2,773,3493,291,5425,012,14410,301,73717,997,15519,964,27614,086,39110,949,0598,405,0506,295,0495,029,2493,715,152Inv6,410,89917,777,54334,307,32047,678,49050,139,65647,634,57447,025,72445,559,95247,638,88852,615,59562,243,91377,205,089A/P758,4282,485,4825,079,5365,479,1884,488,7784,290,9692,400,7672,186,5141,385,123997,6531,062,9281,002,041n/p6,342,32916,767,34433,529,48951,765,54662,488,25562,762,48758,497,08854,388,78156,128,80660,036,76069,170,04084,800,065================