%20LIMITED%2003-Aug-2007_files/image002.jpg){kind=small}
MIRA
INFORM REPORT
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Report Date : |
03.08.2007 |
IDENTIFICATION DETAILS
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Name : |
KORES ( |
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Registered Office : |
Kores House, Plot No. 10, Off |
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Country : |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
26.05.1936 |
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Com. Reg. No.: |
11-2494 |
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CIN No.: [Company
Identification No.] |
U21198MH1936PLC002494 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
PNEK05297F |
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PAN No.: [Permanent
Account No.] |
AAACK5069Q |
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Legal Form : |
A Closely Held
Public Limited Liability Company. |
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Line of Business : |
Manufacturing and Trading in Carbon Paper, Stencils, Ribbons, Cloth, Yarn, Inks, Barium Carbonate/Granules, Sodium Sulphide, Photocopiers, Rock Roller Bits, Teleprinter & other M/c. Rolls, Duplicating papers, Drilling equipments, Cheque Encoders, PPO-2-5 Diphenyl Oxazole, Castings, Resistors, Theophlline, Caffeine, Victoria Blue and Etophylline. |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 2000000 |
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Status : |
Good |
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Payment Behaviour : |
Slow but Correct |
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Litigation : |
Clear |
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Comments : |
Subject is a well
established diversified company having satisfactory track. Trade relations
are fair. Financial Position is satisfactory. The company is doing well. Its
payments are reported as slow but correct.
The company can
be considered good for normal business dealings at usual trade terms and
conditions. |
LOCATIONS
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Registered Office : |
Kores House, Plot No. 10, Off |
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Tel. No.: |
91-22-2494 6555 |
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Fax No.: |
91-22-2495 0401 |
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E-Mail : |
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Website : |
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Factory : |
Thane: 1st Plot No. 6, Industrial Area No.1, Pithampur, Wankaner: Shri
Amarsinhji Mills, Post Bag No.3, Wankaner – 363 621, Pune: Plant No. I: E-14, 15 & 16, Bhosari Industrial Area, Pune – 411
026, Tel. No.: 91
20 7120741 / 7120511 Fax No.: 91
20 7120014 Plant No. II: Gat No. 149, Chakan, Roha: Plot No. 59A, 65B, 65C & 66A, MIDC, Industrial Area,
Dhatav, Roha, Dist. Raigad, Rudhapur
(Uttranchal): Plot No. 15, Sector 211 E, Panthnagar,
Rudrapur – 263 154, Uttranchal. |
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Zonal &
Branch Offices: |
Ahmedabad Chennai (Zonal Office) Ernakulam Jaipur Kolkata (Zonal Office) Mumbai (Zonal Office) Panchkula Pune |
DIRECTORS
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Name : |
Mr. S. K. Thirani |
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Designation : |
Chairman |
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Date of Birth/Age : |
76 years |
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Qualification : |
Inter
Science
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Experience : |
50 years |
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Date of Appointment : |
30.11.1956 |
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Name : |
Mr. A. K. Thirani |
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Designation : |
Managing Director |
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Date of Birth/Age : |
50 years |
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Qualification : |
B. Com. |
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Experience : |
25 years |
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Date of Appointment : |
29.05.1981 |
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Name : |
Mr. R. K. Saboo |
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Designation : |
Executive
Director |
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Date of Appointment : |
01.03.2006 |
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Name : |
Mr. K. G. Menon |
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Designation : |
Director |
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Date of Birth/Age : |
76 Years |
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Qualification : |
B. Sc., (Tech.),
A.M.I.I. Chem. E., A.M.I. Indus.E. ( |
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Experience : |
54 Years |
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Date of Appointment : |
01.11.1968 |
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Name : |
Mr. J. P. Gupta |
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Designation : |
Director |
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Name : |
Mr. S. K. Patel |
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Designation : |
Director |
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Name : |
Mr. B. K. Binani |
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Designation : |
Director (upto 27.05.2003) |
KEY EXECUTIVES
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Name : |
Mr. M. K. Iyer |
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Designation : |
Company Secretary & Vice President - Legal |
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Name : |
Mr. D. R. Ranawat |
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Designation : |
Company Secretary
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BUSINESS DETAILS
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Line of Business : |
Manufacturing and Trading in Carbon Paper, Stencils, Ribbons, Cloth, Yarn, Inks, Barium Carbonate/Granules, Sodium Sulphide, Photocopiers, Rock Roller Bits, Teleprinter & other M/c. Rolls, Duplicating papers, Drilling equipments, Cheque Encoders, PPO-2-5 Diphenyl Oxazole, Castings, Resistors, Theophlline, Caffeine, Victoria Blue and Etophylline. |
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Products : |
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Exports : |
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Countries : |
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Imports : |
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Countries : |
Europe and |
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Terms : |
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Purchasing : |
L/C and D/P terms |
PRODUCTION STATUS
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Particulars |
Unit |
Licensed
Capacity |
Installed
Capacity |
Actual
Production |
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Drilling Equipment etc. |
Nos. |
90 |
45 |
4 |
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Yarn |
Kgs. |
25000 Spindles |
50160 |
1613147 |
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Castings |
MT |
15960 |
15960 |
14699 |
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Bulk Drug & Drug Intermediates |
Kgs. |
NA |
300000 |
299945 |
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Speciality Chemical |
MT |
22 |
18 |
5668 |
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Industrial Adhesive |
MT |
6000 |
960 |
- |
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Encoders/ Reader Sorter |
Nos. |
3600 |
3600 |
213 |
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Photo Copier Machine |
Nos. |
NA |
4000 |
- |
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Adhesive & Emulsion |
MT |
6000 |
4000 |
1044 |
GENERAL INFORMATION
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Suppliers : |
Ø
Amruta
Industries Ø
Kulswamini
Enterprises Ø
Yogesh
Enterprises Ø
Trimurti
Engineering Works Ø
Asha
Industries Ø
Triple
Engineers Ø
Amar
Industries & Fine Chemical Ø
S.B.
Enterprises Ø
Aniket
Felting Works Ø
Metaplast
Engineering Works Ø
Vishal
Fetting Works Ø
Mahalaxmi
Industries Ø
Gurudatta
Enterprises Ø
Pepega
(I&P) Limited Ø
Techno
Craft Ø
Soni
Engineers Ø
Parmar
Industries Ø
Akshya
Enterprises Ø
Khushboo
Enterprises Ø
Shree
Ganesh Enterprises Ø
B. K.
Industries Ø
Solar
Packaging Private Limited Ø
Polar
Chem Industries Ø
Lunar
Motor Private Limited |
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No. of Employees : |
2000 |
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Bankers : |
Ø
Central Bank of Ø
Bank of Ø Dena Bank Ø
State Bank of Ø
State Bank of |
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Facilities : |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Singhi & Company Chartered Accountants |
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Associates/Subsidiaries : |
Ø
Kores Services Limited (up to 31 -8-05) Ø
Solar Packaging Private Limited Ø
Shashi Finance Limited Ø
Pepega (Insulation & Packaging) Limited Ø
Quality Inks Limited Ø
Amarsinhji Stationery Industries Limited Ø
Kores Printer Technology Limited Ø
Nandini Chemicals Private Limited |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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7500000 |
Equity Shares |
Rs. 10/- each |
Rs. 75.000 Millions |
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250000 |
11% Redeemable
Preference Shares |
Rs. 100/- each |
Rs. 25.000 Millions |
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Total: |
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Rs. 100.000 Millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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5500000 |
Equity Shares |
Rs. 10/- each |
Rs. 55.000 Millions |
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200000 |
11% Redeemable Preference
Shares |
Rs. 100/- each |
Rs. 20.000 Millions |
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Total: |
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Rs. 75.000 Millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
75.000 |
75.000 |
75.000 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
443.571 |
329.364 |
283.400 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
518.571 |
404.364 |
358.400 |
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LOAN FUNDS |
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1] Secured Loans |
534.203 |
497.036 |
391.400 |
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2] Unsecured Loans |
330.588 |
142.318 |
100.100 |
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TOTAL BORROWING |
864.791 |
639.354 |
491.500 |
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DEFERRED TAX LIABILITIES |
39.197 |
40.780 |
0.000 |
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TOTAL |
1422.559 |
1084.498 |
849.900 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
509.820 |
420.183 |
323.300 |
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Capital work-in-progress |
46.816 |
22.113 |
11.700 |
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INVESTMENT |
12.272 |
0.713 |
1.100 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
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Technical Know-how |
0.000 |
0.400 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
758.507
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604.654 |
392.600 |
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Sundry Debtors |
869.684
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581.693 |
449.700 |
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Cash & Bank Balances |
130.253
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64.866 |
54.600 |
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Other Current Assets |
2.981
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3.825 |
0.000 |
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Loans & Advances |
362..219
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305.279 |
254.500 |
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Total Current Assets |
2123.644
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1560.317 |
1151.400 |
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Less : CURRENT LIABILITIES & PROVISIONS |
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Current Liabilities |
1245.093
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898.718 |
631.600 |
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Provisions |
30.932
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31.855 |
27.800 |
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Total Current Liabilities |
1276.025
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930.573 |
659.400 |
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Net Current Assets |
847.619
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629.744 |
492.000 |
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MISCELLANEOUS EXPENSES |
6.032 |
11.345 |
21.800 |
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TOTAL |
1422.559 |
1084.498 |
849.900 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
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Sales Turnover [including other income] |
6536.985 |
4679.806 |
3678.700 |
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Profit/(Loss)
Before Tax |
163.827 |
80.460 |
54.300 |
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Provision for
Taxation |
44.603 |
23.450 |
9.200 |
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Profit/(Loss)
After Tax |
119.224 |
57.010 |
45.100 |
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Export Value |
171.232 |
171.778 |
NA |
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Import Value |
224.435 |
233.928 |
NA |
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Total Expenditure |
6369.358 |
4575.550 |
3513.100 |
KEY RATIOS
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PARTICULARS |
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31.03.2006 |
31.03.2005 |
31.03.2004 |
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PAT / Total Income |
(%) |
1.82
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1.22 |
1.23 |
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Net Profit Margin (PBT/Sales) |
(%) |
2.51
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1.72 |
1.48 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
6.08
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4.02 |
3.65 |
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Return on Investment (ROI) (PBT/Networth) |
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0.32
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0.20 |
0.15 |
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Debt Equity Ratio (Total Liability/Networth) |
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4.13
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3.88 |
3.21 |
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Current Ratio (Current Asset/Current Liability) |
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1.66
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1.68 |
1.75 |
LOCAL AGENCY FURTHER INFORMATION
BUSINESS
The company is engaged in manufacturing and trading in Carbon Paper, Stencils, Ribbons, Cloth, Yarn, Inks, Barium Carbonate/Granules, Sodium Sulphide, Photocopiers, Rock Roller Bits, Teleprinter & other M/c. Rolls, Duplicating papers, Drilling equipments, Cheque Encoders, PPO-2-5 Diphenyl Oxazole, Castings, Resistors, Theophlline, Caffeine, Victoria Blue and Etophylline.
THE
Ø Typewriter Carbons
Ø Pencil Carbons
Ø Duplicating Stencils
Ø Duplicating Inks
Ø Typewriter Ribbons
Ø MICR Ribbons
Ø Eraz-ex-Fluid
Ø Art Materials
Ø Fax Rolls
Ø Tracing Papers
Ø Glue Sticks
Ø Staple Pins & Stapling Machines
FOUNDRY DIVISION:
During the year
under review, there was overall improvement in the Automobile Market. Inspite
of increase in the price of raw materials such as Copper, Nickel and increase
in power rates, the division has gained better profit during the year under
review. During the year under review, many items are converted from raw supplies
to Machined Components. Looking to the current orders' position, they are
expanding the capacity of Chakan Plant in the current year. On completion of
this expansion, better sales growth and also profitability is expected.
TEXTILE DIVISION:
During the year
under review, 20,000 spindles were working in full capacity. Looking to the
increased demand new project of 10,000 spindles will be started and also
considering for further installation of 10,000 spindles in the second phase.
The working results of the division are better and expected further better
results in the coming years.
ENGINEERING
DIVISION :
During the year
under review, there were good orders and order position for the current year is
also encouraging. During the current year the Company is planning to enter into
a market joint venture with a foreign party, which will boost the performance
of the division in the coming year/s.
EXPORT:
Export during the
year is Rs.171.200 Millions as compared to Rs.171.800 Millions in the previous
year.
DIVIDEND:
The Directors are pleased to recommend dividend @ 11% on 2,00,000 Redeemable Preference Shares for the Financial Years 2002-03 and 2003-04. The Dividend if approved, will absorb Rs.4.400 Millions apart from dividend tax of Rs.0.617 Millions.
FIXED ASSETS:
Land, Building –
(On Leasehold & Freehold land), Plant & Machinery, Furniture&
Fixtures, Office Equipments, Motor Car & Vehicles, Bore-Wells & Water
Connections, etc.
THE COMPANY IS IN TRADE TERMS WITH :
Ø Akshay Enterprises
Ø Khushboo Enterprises
Ø S. B. Engineers
Ø Durgman Engineering Company
Ø Quality Tubes & Cones Company
Ø Shree Ganesh Enterprises
Ø
Ø Amar Industries & Fine Chem
Ø Snam Alloys
Ø Amruta Industries
Ø Ahura Flux
Ø Ashwini Industries
Ø Shiv Shakti Engineers
Ø Mahalaxmi Enterprises
Ø Khushbu Enterprises
Ø Roltex Comp. Industries
Ø Pepega (I&P) Limited
Ø Quality Tubes and Cones Company
Ø Techno Craft
Ø Harish Enterprises
Ø Mrityunjay Engineering Works
Ø Amar Industries & Fine Chemical
Ø Soni Engineers
AS PER WEBSITE
DETAILS:
KORES was established in the year 1932 in collaboration with an Austrian company.
They have branches all over
Ø Office Products
Ø Foundry
Ø Business Machines & Systems
Ø Office Automation
Ø Engineering
Ø Chemical
Ø Textile & Wires
The Annual Sales Turnover was
@US $ 55 Million in 1996-97.
Ø KORES has collaborations with
Ø
Mita Corporation,
Ø
Kliendienst Darentechnic
Ø
George E. Faling CO.,
Ø Amox Division,
Ø
Vbm Corporation,
Ø
Generon Systems,
They cater to major Automobile, Refrigeration, Pumps, Valves, Locomotive and
Construction industries in
CENTRIFUGAL
CASTINGS:
Equipped with
horizontal centrifugal casting machines from OD 200 mm to 500 mm and length
upto 2.2 mtrs in Grey Iron, Alloy and Ductile Iron, Stainless steel and HR
grades. Cylinder liners to any international standards or as per customer's
specifications supplied duly - Chrome Plated, - Phosphated, or Nitrated. Pefco
is first in
DUCTILE IRON
CASTINGS:
Produced to any
international specifications catering to major automobile, refrigeration,
compressor and engineering industries with weight ranging from 200 gms to 60
Kgs. each. Produced by Green sand, CO2 & Shell moulding facilities and
supported by well equipped sand and metal laboratories. The present Product
Range of Ductile Iron Castings are Steering Gear Box Housings, Suspension
elements and Brackets,Brake Caliper and Carrier, Wheel Hubs for LCVs, MCVs and
HCVs, Refrigeration Crank Shafts and Crank cases. These and many more
engineering and automotive castings Supplied in Raw cast condition , proof and
or fully machined condition on case to case basis.
VALVE TAPPETS:
Valve Tappets are
made in 'Chilled' Cast Iron in shell moulds. They are ground finished to within
2 microns. Close tolerances on chilled depth are maintained. Tappets chilled on
both cam as well as push rod side are also produced.
VALVE SEAT INSERTS:
Valve seat insert
rings produced by centrifugal process to obtain closed grain dense structure
assuring homogenous and sound castings. Rings conforming to customer
specifications in various metal compositions are manufactured. Pefco is the
first in
An ISO - 9002 company crepitated by Bureau Veritas Quality
International. (Preparation for QS- 9000 accreditation undertaken)
A division of KORES (INDIA) Limited . Established in 1969. Situated in Pune, at
the Bhosari Industrial Estate All the leading Automobile manufacturers, Railways
and other Engineering Equipment manufactures are the customers of Pefco
Foundry.
This Foundry is a front liner in centrifugal, shell & conventional castings
in S G Iron, Cast Iron and Various Alloy Steels .
Capacity Per Annum
Ductile Iron castings - 6,000 Tons
Cylinder liners-10,000 Nos
Valve Seat Inserts- 12,00,000 Nos
Valve Tappets - 12,00,000 Nos
Enough Spare Capacity available
QUALITY POLICY : They at PEFCO Foundry are totally committed to
manufacture products as per mutually agreed customer's specifications &
maximise customer satisfaction.
An ISO - 9002 company a crepitated by Bureau Veritas Quality International.
( Preparation for QS- 9000 accreditation undertaken )
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners, controlling
shareholders or senior officers as terrorist or terrorist organization or whom
notice had been received that all financial transactions involving their assets
have been blocked or convicted, found guilty or against whom a judgement or
order had been entered in a proceedings for violating money-laundering,
anti-corruption or bribery or international economic or anti-terrorism sanction
laws or whose assets were seized, blocked, frozen or ordered forfeited for
violation of money laundering or international anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper payments
to government officials for engaging in prohibited transactions or with
designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority for
any financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws, regulations
or policies that prohibit, restrict or otherwise affect the terms and
conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
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Indian Rupees |
|
US Dollar |
1 |
Rs.40.36 |
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|
1 |
Rs.82.18 |
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Euro |
1 |
Rs.55.31 |
SCORE & RATING EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
7 |
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PAID-UP CAPITAL |
1~10 |
6 |
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OPERATING SCALE |
1~10 |
5 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
6 |
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--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
6 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
52 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this report.
The assessed factors and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average/normal. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
|