INTRODUCTION TATA Group is a leading player of textile industry in Pakistan.

It has acquired a status which is desired by many but achieved by a few. The industrial side of the group took a concrete shape with the acquisition of Island Textile in 1981. As the years passed by TATA Group is today one of the most modern yarn manufacturing organizations in Pakistan. We are fully equipped to meet both domestic as well as International clients requirements. TATA Group with its various interests is rolling ahead with drive and determination to be the best in all the areas it operates. Backed by a high density of advanced technology and sophisticated manufacturing facilities, its only natural that the Group is leap fogging for an outstanding future. TATA group is being managed by highly qualified technical as well as management professionals some of them coming from leading business school from within and outside Pakistan. Whatever the future holds for us, our aim is very clear and simple We will deliver more than what we promise. We will keep our fundamental correct and we will keep our brand as symbol of quality in all what we manufacture. Today the mills run on 24 hour/365 days basis. TATA is considered one of the finest brands in the international yarn markets. No wonder TATA is the only brand the knitters and weavers ask for

QUALITY MANAGEMENT. TATA Group believes that quality an evolving process, not a fixed standard. Consequently it makes sustainable and vigorous effort to continuously improve the quality of its products at every stage of the production process. Tata Textile Mills is the first mills in Pakistan and 10th in the World to achieve the excellence of USTERIZED certificate which was awarded by USTER TECHNOLOGIES two years back after a thorough quality audit of our process and yarn quality and our testing and monitoring systems. TATA Group has incorporated a unique system of developing a full fledged Quality Assurance Department having a total independent staff and infrastructure without the influence of the staff involved in the actual production processes. This system gives a confidence to our customers that every cone being delivered to them has been tested and certified for a consistent quality. The department has access to the most modern instrumentation installed in our climatic controlled lab as per ISO 139. Our 3-tier testing system monitors the quality from cotton selection till the final yarn stuffed in the FCL ready to be dispatched to our valued customer. This system has been duly certified and endorsed by Uster Technologies.

We have defined our quality standards based on Uster Statistics and our Customer feedbacks and are reviewed after every 6 months. The concept being used by us is that each delivery point of all processes must give us a consistent quality and any delivery point not fulfilling the requirement must not produce until the problem is resolved. 1st Tier (FIBER TESTING): > Each Cotton bale / lot is first approved by the Quality Department before the > procurement. > The cotton bale / lot are stored in the ware house as per the results / grade. > > The cotton is selected for processing on the basis of the grades on daily basis in > such a way that we have a homogenous blend throughout the year which is the first step in ensuring the consistent quality. > Instruments used: Uster HVI 1000 Classing and Uster AFIS PRO > 2nd Tier (OFF LINE TESTING): > In our second step we adjust all our processes by testing the material on AFIS > PRO and then carrying out the adjustments based on the results. > All the material in each step of our process is checked as per our standardized > Quality Plan and if any kind of abnormality is found the machine is stopped immediately until the problem is rectified. > Instruments used: Uster Tester 5 S 800 (with all modules), Uster Tensojet 4, > Zweigle Hairiness Tester, Zweigle TPI Tester. 3rd Tier (100% ON LINE TESTING OF FINISHED YARN): > Each of the cones being produced is checked at the winding stage by the Uster > Quantum and the system is fed with our quality standards. > Any bobbin which does not fulfill the quality standards is automatically rejected > by the machine it self and it will never allow any one to use this bobbin. > Instrument used: Uster Quantum Clearers with Quantum Expert, Online > Classmat, Computer Aided Yarn Clearing (CAY), Contamination removal (FChannel).

EXPORT INFORMATION Tata Textile was built in 1991 and started the production in the same year. An additional spinning unit with 25,200 spindles were added to the group inside the same prmises in 2005. With 44,400 spindles and outfitted with most modern machineries and contamination control equipments available in the marketplace, TATA Textile Mills Ltd. is now one of the most contemporary spinning unit in Pakistan. In a very short episode, TATA achieved the honor to become the first USTRIZED spinning unit in Pakistan. It has the opportunity of to have the benefit of the experience gained by the maneuver of two additional spinning units which were acquired previously.

Product Detail Fiber Types We deal in 100% Cotton of Pakistani Origin, 100% Cotton made from USA upland and SUPIMA Cotton We also deal in 100% polyester and 100% viscose, prepare PC and CVC yarns Product details of TATA unit-1 Yarns of Count range Ne 16/1 to Ne 26/1 Carded/Combed & Plied Yarns of 100% Cotton of Pakistani Origin. Product details of TATA unit-2 Yarns of Count range Ne 16/1 to Ne 120/1 Combed & Plied Yarns of 100% Cotton made from USA upland and SUPIMA Cotton Product details of Island Yarns of Count range Ne 10/1 to Ne 36/1 Carded/Combed Blended Yarn of PC & CVC Blends. Products details of Salfi unit -1 Synthetic Yarns of Count range Ne 10/1 to Ne 60/1 & Plied Yarns of 100% Polyester & 100% Viscose. Products details of Salfi unit-2 Yarns of Count range Ne 7/1 to Ne 20/1 Carded of 100% Cotton with speciality yarns such as MULTI COUNT AND MULTI TWIST YARNS( Slub and S twist) Machinery BLOW ROOM TRUETZSCHLER (Germany) with two Multimixers (MPM-8 & MPM-6) along with Cleanomat CVT-4 including RIETER UNIclean B11 for high level of cleaning efficiency with the most gentle treatment of fibers and best blending of cotton needed for hosiery yarns.

RIETER Vision Shields Direct and Compact with POLYTECT in each line for best contamination control. CARDING TRUETZSCHLER High Performance Cards DK-903, DK-760 & DK-740 (All cards equipped with Short & Long-term Auto-levelers). COMBING RIETER with UNIlap E30, E32 and Combers E62. DRAWING State of the art RIETER RSB D40 and RSB D30C with short-term auto leveling for best quality and evenness. High performance draw frames RIETER SB20 used as Pre-Combed / Breaker Passage. ROVING TOYOTA FL-16 RING SPINNING 19,200 spindles of TOYOTA RY-5. All frames equipped with ABB inverters to control the speeds as per the required quality level. WINDING MURATEC PROCESS CONER 21C, SCHLAFHORST AC-338 & MURATEC MACH CONER 7-V. Equipped with auto tense devices, Uster Quantum Clearers with Q-Data (online monitoring of IPIs, Classimat, CVms etc of 100% production), F-Channel (100% contamination monitoring), CAY (Computer Aided Yarn Clearing) and Quantum Expert. ASSEMBY WINDING SSM Winders TFO 1344 spindles of OERLIKON VOLKMANN FOCUS 09. HUMDIFICATION LUWA

Markets The Tata Group has earned the reputation of being the leader in quality, innovation and unmatched customer service. This is due to its philosophy of putting the customers first in everything that it does. It has made consistent and congruent efforts in surpassing the customers expectations and keeping them involved with respect to quality and product development. Today Tata Group Brands are considered to be synonymous with quality. They have earned this benchmark reputation due to the groups emphasis and adherence to strict quality standards and a will to modify with the changing of era. From its inception Tata Group has been export oriented. It does not want to confine itself to any single market but relishes the challenge of global competition. Keeping in mind its superb quality and outstanding service, its no wonder that it has managed to find customers in a large number of countries, including Hong Kong, China, Taiwan, Korea, Thailand, Vietnam, UAE, Mauritius, Portugal, Spain, UK, France, Germany, Italy, Canada and USA, among others.

As the barriers go down and competition heats up around the globe we are working relentlessly to expand our export base significantly. And have our presence felt throughout the Globe, particularly in Europe and North America. We have progressed by leaps and bounds on this front, and with tight focus on our objectives and effective marketing, we plan to achieve a commanding presence in the global yarn market.

INTRODUCTION:

Tata Textile Mills Limited was incorporated in Pakistan by TATA Group in 1987 as a public limited Company and is listed on Karachi and Lahore Stock Exchanges. The Company is primarily involved in the manufacturing and sale of yarn.The company produces one of the finest yarns in Pakistan and its manufacturing facilities are located at District of Muzaffargarh, Punjab.FINANCIAL ANALYSIS OF TATA TEXTILE MILLS LIMITED Profitability Global recession, high interest rates, high inputs cost, poor law and order condition, energy shortages even in summers affected the competitiveness of the textile industry.

As a result of all these problems, TTML was unable to perform to its potential and made a net loss of Rs 234 million in FY09. The loss may also be attributed to the increase in power tariff, a rise in the borrowing rate, increase in minimum wage and a sudden fall in the global cotton price (which is bought 6 months in advance). In FY10, better product margins, improvement in the business performance and the management's focus on cost management led to the net earnings of R 440 million. Increase in domestic and international cotton demand caused the sales to increase by 35 percent, moving from Rs 2.805 billion in FY09 to Rs 3.78 billion in FY10. Despite these positives, the profit for the year was affected due to quota on yarn export, frequent energy shortages and regular changes in the government policies. Cotton prices fluctuated a lot during FY11; even though demand remained the same, lower cotton production in China, India and Pakistan led to an increase in cotton prices. This adversely affected the textile demand, and although the company generated positive profits for the first three quarters of FY11, the fall in cotton prices in the final quarter covered up for the positive earnings. As a result, the company earned Rs 330 million in FY11, a decline of 31 percent compared with last year's earnings.The company continues to operate in the challenging environment, marked with

high interest rates, rising input costs, severe energy shortages, poor law and order situation and inflation. These added to the cost of sales, which increased by 56 percent from Rs 2.836 billion in FY10 to Rs 4.428 billion in FY11. An indicator of the company's profitability is the EBIT ratio, which improved drastically as the company earned positive profit in FY10, after a loss making year of FY09. The ratio went up from 3.87 percent to 19.07 in a year. In FY11, with a decline in the profits, the ratio fell to 10.55 percent. Liquidity The company's short term capital status has improved over the year as can be seen by the increase in the current ratio value. It increased from 0.74 in FY09 to 0.89 in FY10, increasing again by 11.24 percent to reach 0.99 in FY11.However, the changes in the quick ratio reflect an overestimate of the company's short term financial strength shown by the current ratio.The company has struggled with its ability to meet its short-term obligations as can be analysed by the quick ratio values, which fell from 1.45 in FY09 to as low as 0.22 in FY11.Debt Management As a result of the prudent management, the long term obligations of the company have declined over the years.Long term debt of TTML fell from Rs 475 million in FY09 to Rs 262 in FY11.Interest expense has also fallen from Rs 326 million in FY09 to Rs 182 million in FY11.The decline in the value of the long term debt to equity ratio of the company highlights its strong equity position and low leverage.

The ratio has fallen steadily from 1.55 in FY09 to 0.24 in FY11.Operational Efficiency The management of the company has made constructive efforts in favour of the company's shareholders, with effectively converting the company's sales into cash.This can be seen by the progress in the fixed asset turnover value, which has increased by 89.17 percent over the past three years. The ratio has gone up from 1.20 in FY09 to 2.27 in FY11.Future Prospects Going forward, the company plans to implement ERP (oracle E-business suite 12R) solution to help design a dynamic business solution that can be executed in a cost efficient manner.

The Tactical & Strategic Report on Tata Textile Mills

Pakistan-Karachi Stock Exchange Edition Substantial interest, recent commentary and overall performance speculation persuaded DataGroup Analysts to publish the new edition of the Tactical & Strategic Report on Tata Textile Mills - now available as the 2012 Edition.

The new 2012 Edition of the report represents a complete re-evaluation, re-assessment and reformulation of the last edition. The results are extensive, far reaching and essential research for all those searching for highly sophisticated Tactical & Strategic information on Tata Textile Mills. Report Contents:- The report has three main constituent parts, the Corporate data, the Market Research data, and the Business Planning tools. Corporate Coverage:- The report covers the main Subsidiaries, Divisions & Geographic Market areas of Tata Textile Mills. Product Coverage:- The report covers the major Product Groups and Product Areas of Tata Textile Mills. Market Coverage:- The report covers up to thirty Market Areas, Product and Market Sectors for Tata Textile Mills. Geographic:- The report covers Company home markets plus fourteen other important national markets within the trade cell. Also covered are the Regions or States within each country. Time Series:- The Report covers both Historic and Forecast data. The Historic data covers the previous 3-6 years and the Forecast data is presented in two time series, being: a Medium-Term forecast for the years up to 2016 and a Long-Range projection for the period 2016-2028. The volumes indicate the essential elements of the Tactical & Strategic Report on Tata Textile Mills in relation to the Markets, Industry, Products, and Competitors. The DVD tables and spreadsheets provide an enormous amount of detailed information. The current edition comprises of 19493 web pages, 12967 spreadsheets, 12080 database tables, 462 diagrams & maps. Contents change for each edition. The report DVD is designed to give readers a highly detailed insight into Tata Textile Mills.