Bombay Rayon Fashions Limited
Climate Impact & Sustainability Data (2014-03 to 2015-03, 2016-04 to 2017-03, 2020-04 to 2021-03)
Reporting Period: 2014-03 to 2015-03
Environmental Metrics
Governance Achievements
- Formulated a Vigil Mechanism Policy for Directors and Employees.
- Constituted a Corporate Social Responsibility (CSR) Committee.
Climate Goals & Targets
Environmental Challenges
- Delays in payment of dues to Bankers as well as to statutory authorities.
- Public shareholding of the Company is less than that prescribed under Clause 40 of the Listing Agreement.
- Remuneration paid to the Vice Chairman and Managing Director exceeds the limits prescribed under the provisions of Schedule XIII of the Companies Act, 1956 / Schedule V of the Companies Act, 2013.
Mitigation Strategies
- Company is in the process of submitting application regarding remuneration payable to Vice Chairman & Managing Director.
- Company and promoters are taking action to comply with SEBI regulations related to Minimum Public Shareholding (MPS).
Supply Chain Management
Climate-Related Risks & Opportunities
Reporting Period: 2016-04 to 2017-03
Environmental Metrics
Environmental Achievements
- Installed a RO plant at Tarapur unit to compensate for water cut by NGT
- Utilized solar energy for water heating
- Made efforts to reuse cooling water in Ash handling plant
Social Achievements
- Several community development and training initiatives are regularly conducted to help people in skill development
Governance Achievements
- Formulated a Vigil Mechanism Policy
- Designed Risk Management Policy and Guidelines
- Amended the scope and terms of reference of the Audit Committee
Climate Goals & Targets
Environmental Challenges
- General market conditions and stress on working capital led to a 7.6% reduction in sales and a net loss of Rs. 151.23 crores.
- Delays in payment of dues to bankers as well as to statutory authorities.
- Liquidity stress increased during the year.
Mitigation Strategies
- Implemented the S4A Scheme to convert part of unsustainable debt into equity shares and Optionally Convertible Debentures (OCDs).
- Developed alternative sourcing strategies
- Strengthened MIS department for better planning and control to smoothen the decision-making process.
Supply Chain Management
Climate-Related Risks & Opportunities
Reporting Period: 2020-04 to 2021-03
Environmental Metrics
Climate Goals & Targets
Environmental Challenges
- Transfer of business (Tarapur Undertaking)
- Continuous financial stress
- COVID-19 pandemic
- Delays in payment of statutory dues
- Rising competition
- Duty-free access to competing countries
- Uncertain business environment
- Fluctuating rupee
- Cost of raw material and its availability
- Slowdown in demand
- Change in fashion trends
- Possibility of increase in interest rates
- Change in government policies, duties & taxes
- Availability of power from the grid
- Availability of labour
Mitigation Strategies
- Business Transfer Agreement (BTA) with BRFL Textiles Private Limited
- Debt restructuring with Axis Bank and JMFARC
- Settlement of debt with Indian Bank, Punjab National Bank, Corporation Bank, and Rajaram Bapu Sahakari Bank Limited
- Manufacturing PPE suits and masks
- Aggressive marketing strategies
- Efficient manufacturing facilities
- Focus on fabric manufacturing
- Sale of non-core assets
- Initiated to settle dues with creditors in tranches
- Strong marketing and distribution network
- Robust Management Information System
- Risk Management Policy and Guidelines
- Internal control and risk-mitigation system