MIRA INFORM REPORT

Report Date :

22.11.2007

IDENTIFICATION DETAILS

Name :	GHARDA CHEMICALS LIMITED
Registered Office :	5/6, Jer Mansion, W P Warde Road, Off turner Road, Bandra (West), Mumbai – 400 050, Maharashtra
Country :	India
Financials (as on) :	31.03.2006
Date of Incorporation :	06.03.1967
Com. Reg. No.:	13688
CIN No.: [Company Identification No.]	L24110MH1967PLC013688
TAN No.: [Tax Deduction & Collection Account No.]	MUMG00454G
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturing and Selling of Pesticides, Intermediates, Weedicides, Formulations, Veterinary Drugs, Plant Nutrients and Polymers.

RATING & COMMENTS

MIRA’s Rating :

Aa

RATING		STATUS	PROPOSED CREDIT LINE
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

Maximum Credit Limit :	USD 16105016
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clean
Comments :	Subject is a closely held, established and reputed company engaged in manufacturing and marketing of Pesticides, Intermediates, Weedicides, Formulations, Veterinary Drugs, Plant Nutrients and Polymers. The company is making satisfactory progress in its business. The directors are well-experienced and respectable businessmen. Their trade relations are fair. Payments are usually correct and as per commitments. The company can be considered normal for business dealings at usual trade terms and conditions. It can be regarded as a promising business partner in the long run

LOCATIONS

Registered Office / Head Office :	5/6, “Jer Mansion”, 10, W. P. Warde Road, Off Turner Road, Bandra (West), Mumbai – 400 052, Maharashtra, India
Tel. No.:	91-22-2645 2492 / 2493 / 2642 2230 / 2640 5466 / 26430654
Fax No.:	91-22-2640 4224 / 26514313
E-Mail :	1. ghardaho@gharda.com 2. polymer@gharda.com 3. gclimd@giasbmol.vsnl.net.in 4. michael@gharda.com
Website :	1. http://www.gharda.com 2. http://www.ghardapolymers.com
R and D Center :	· B-27, Phase I, MIDC, Dombivli (East), District Thane – 421 203, Maharashtra Tel. No.: 91-251-2440001 / 04 Fax No.: 91-251-2472777 E-Mail: ghardadom@gharda.com
Overseas Office :	· 115, Obtuse Hill, Brookfield, CT 06804, United States of America Tel. No.: + 1 203 740 1600 Fax No.: + 1 203 740 2501 E-Mail: ghardaus@gharda.com · 660 Newton Yardley Road, Suite 106, Newtown, PA 18940, USA Tel No: 215-9689474 Fax No: 215-9689574 Email: ghardaus@gharda.com Agrochemicals Holbrook House, 72, Lower Addiscombe Road, Croydon CR9 6AD, England, United Kingdom Tel. No.: + 44 208 655 4103 Fax No.: + 44 208 655 4102 E-Mail: ghardauk@gharda.com adam.leniewski@ghraduk.co.uk Polymers Palon International, P. O. Box 4080-2003, EB Haarlem, The Netherlands Tel. No.: + 31 23 5401077 Fax No.: + 31 23 5401247 E-Mail: palon@wxs.nl
Factory :	Dombivali Plant: B-27, Phase I, MIDC, Dombivli (East), District Thane – 421 203, Maharashtra Tel. No.: 91-251-2440001 / 04 / 5690760 /5690761/5690762 Fax No.: 91-251-2472777 / 5690770 E-Mail: ghardadom@Gharda.Com Lote Plant D-1/2, MIDC, Lote Parshuram, Taluka – Khed, District – Ratnagiri, Maharashtra Tel. No.: 91-2356-272252 / 254 /189 / 272018 Fax No.: 91-2356-272190 E-Mail: ghardalote@Gharda.Com Panoli Plant: Plot No. 3525 - 27 GIDC Industrial Estate, Panoli – 394 116, District – Bharuch, Gujarat Tel No.: 91-2646-272152 / 186 / 272575 – 78 / 272186 Fax No.: 91-2646-272141 E-Mail: ghardapan@Gharda.Com Ankleshwar Plant Post Box No. 90, Plot No. 805-806, GIDC Estate, Ankleshwar – 393 002, Gujarat Tel No: 912646-222271/251472/250305 Fax No: 91-2646250116 Email: ghardaankl@Gharda.Com

DIRECTORS

Name :	Mr,. Anand Kusre
Designation :	Nominee director
Name :	Mr. Dlip Kirtikant Sheth
Designation :	Director
Address :	A -10, Clifton Birla Lane Corner, Juhu, Mumbai – 400 050, Maharashtra
Date of Birth/Age :	21.01.1946
Date of Appointment :	13.08.2007
Name :	Dr. Keki H. Gharda
Designation :	Chairman & Managing Director
Address :	5/6, “Jer Mansion”, 10, W. P. Warde Road, Off Turner Road, Bandra (West), Mumbai – 400 052, Maharashtra, India
Date of Birth/Age :	25.09.1929
Date of Appointment :	06.03.1967
Name :	Dr. (Mrs.) Aban K. Gharda
Designation :	Director
Address :	5/6, “Jer Mansion”, 10, W. P. Warde Road, Off Turner Road, Bandra (West), Mumbai – 400 052, Maharashtra, India
Date of Birth/Age :	04.03.1932
Date of Appointment :	17.09.1986
Name :	Mr. Hoshang C. Patel
Designation :	Director cum Vice chairman
Address :	50 Kothnur, Bagalpur Road, Bangalore- 560 077, Karnataka
Date of Birth/Age :	08.08.1934
Date of Appointment :	29.06.1991
Name	Mr. Jitendra Somaiya
Designation	Executive Director - Commercial
Age	10.07.1941
Qualification	B. Com., F.C.A.
Experience	32 Years
Date of Joining	01.04.1994
Name :	Ms. Neeta Mukerji
Designation :	Nominee Director (Financial Institutions) (w.e.f. May 25, 2000)
Address :	ICICI Bank Limited, Bandra Kurla Complex, Mumbai – 7400 051, Maharashtra
Date of Birth/Age :	16.10.1965
Date of Appointment :	25.05.2000
Name :	Mr. Udayan Maroo
Designation :	Director – Finance And Company Secretary
Address :	165, Juhu Trishul, gulmohar, Jupd, Vile Parle (West), Mumbai – 400 049, Maharashtra
Date of Birth/Age :	28.12.1953
Date of Appointment :	01.04.1994

KEY EXECUTIVES

Name	Mr. J. P. Somaiya
Designation	Executive Director - Commercial
Age	59 Years
Qualification	B. Com., F.C.A.
Experience	32 Years
Date of Joining	01.06.1967
Name	Dr. Bomi P. Patel
Designation	Executive Director - Technical
Age	38 Years
Qualification	M.Sc., Ph.D. Usa
Experience	13 Years
Date of Joining	10.06.1996
Previous Employment	American Cynamid, Usa
Name	Mr. M. M. Behramkamdin
Designation	Executive Director - Projects
Age	48 Years
Qualification	B. Tech. (Chem. Engg.) M.S. (Chem. Engg.), Usa
Experience	23 Years
Date of Joining	02.01.1997
Name	Dr. A. M. Malte
Designation	Director - International Marketing & Deelopment
Age	60 Years
Qualification	B. Sc. (Hons.), Ph.D.
Experience	34 Years
Date of Joining	08.03.1971
Name :	Mr. L P Bhanusali
Designation :	Director – Operations
Name :	Mr. P S Ramanathan
Designation :	Director – Quality Assurance
Name :	Dr. P D Trivedi
Designation :	Strategic Business Unit Polymer

SHAREHOLDING PATTERN

Equity Shares Breakup (Percentage of Total Equity):

Sr No.	Category	Percentage
1	Bodies corporate	9.00
2	Directors or relative of directors	45.00
3	Other top fifty (50) shareholders	46.00

BUSINESS DETAILS

Line of Business :

Manufacturing and Selling of Pesticides, Intermediates, Weedicides, Formulations, Veterinary Drugs, Plant Nutrients and Polymers.

Products :

Product Description

Ø Chlorpyriphos

Ø Cyper Methrin Technical

Ø Isoprpturon Technical

Ø Pesticides, Intermediates & Weedicides

Ø Insecticides

Item code	Product Description
380810.29	Cypermethrin Technical
380810.29	Chlorpyriphos
380810.22	Isoproturon Technical

PRODUCTION STATUS as on 31.03.2004:-

Particulars	Unit	Installed Capacity	Actual Production
Pesticides, Intermediates and Weedicides	Kgs.	12533000	6873608
Formulation	Kgs. Ltrs.	2000000 8000000	1157692 4214418
Veterinary Drugs	Kgs.	100000	43815
Plant Nutrients	Ltrs	--	2500
Polymers	Kgs.	3044000	703350

GENERAL INFORMATION

No. of Employees :

2000

Bankers :

· Canara Bank

Address: Hill Road, Bandra West, Mumbai – 400 050

· Canara Bank

Address: CSB, Dalamal Tower, Nariman point, CBI BOB, UCO and KVB Member Banks, Mumbai – 400 021, Maharashtra

· Bank of Baroda

· Central Bank of India

Address; Flora Fountain Branch, Mumbai – 400 023

· Central Bank of India

Address: Mumbai Main Office, MG Road, Fort, Mumbai – 400 023

· Societe Generale

Address: Maker chambers IV

Nariman point, Mumbai – 400 021

Facilities :

Secured Loans	As on 31.03.2003
Term loans – financial institutions	(Rs. in million)
The ICICI Limited	1061.269
Term loans – from Banks
Karur Vyasya Bank Limited	200.000
Cash Credit and Packing Credit	871.053
Interest accrued and due	1.120
Unsecured Loans
Fixed Deposits	38.829
Short terms loans from Bank	47.076
Others	34.642

Banking Relations :

Good

Auditors :

P. C. Hansotia & Company

Chartered Accountants

Address:

12, Dr. Annie Besant Road, Opposite Sagar Estate, Worli, Mumbai – 400 018, Maharashtra

Associates :

Ø Gujarat Insecticides Limited

Ø Post Box No. 90, Plot No. 805-806, GIDC Estate, Ankleshwar - 393 002, Gujarat, India

Ø Gharda USA Inc, USA

Ø Gharda Australia Pty Limited, Australia

Ø Gharda Argentina Pty Limited, Argentina

Ø Gharda Investment Syndicate

Subsidiaries ;

Ø Gujarat Insecticides Limited, Gharda USA Inc.

Ø Gharda Australia Private Limited

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
100000	Equity shares	Rs. 100/- each	Rs. 10.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
64514	Equity shares	Rs. 100/- each	Rs. 6.451 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2006	31.03.2005	31.03.2004
SHAREHOLDERS FUNDS
1] Share Capital		6.451	6.451	6.500
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		4019.803	3878.872	3164.400
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		4026.254	3885.323	3170.900
LOAN FUNDS
1] Secured Loans		2752.042	2161.008	1798.900
2] Unsecured Loans		565.520	492.650	303.200
TOTAL BORROWING		3317.562	2653.658	2102.100
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		7343.816	6538.981	5273.000
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		2023.466	1940.333	1540.000
Capital work-in-progress		436.171	474.921	0.000
INVESTMENT		145.476	145.261	863.700
DEFERREX TAX ASSETS		28.552	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	3182.500	2649.428	1619.200
	Sundry Debtors	1736.773	1624.069	1709.500
	Cash & Bank Balances	136.471	169.418	96.700
	Other Current Assets	616.859	590.432	0.00
	Loans & Advances	451.361	344.934	750.200
Total Current Assets		6123.964	5378.281	4175.600
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	1359.850	1344.706	1273.100
	Provisions	53.963	55.109	80.100
Total Current Liabilities		1413.813	1399.815	1353.200
Net Current Assets		4710.151	3978.466	2822.400
MISCELLANEOUS EXPENSES		0.000	0.000	46.900
TOTAL		7343.816	6538.981	5273.000

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2006	31.03.2005	31.03.2004
Sales Turnover		2992.414	2914.812	6186.600
Other Income		327.574	657.948	0.000
Total Income		3319.988	3603.9905	6186.600
Profit/(Loss) Before Tax		421.429	1025.113	952.000
Provision for Taxation		148.624	383.957	264.500
Profit/(Loss) After Tax		272.805	641.156	687.500
Export Value		4156.314	3774.066	3.488
Import Value		0.000	0.893	0.497
Expenditures :
	Raw Material Consumed	3014.889	1923.180
	Purchases made for re-sale	222.831	324.831
	Consumption of stores and spares parts	167.312	192.375
	Increase/(Decrease) in Finished Goods	524.625	811.730
	Salaries, Wages, Bonus, etc.	541.502	492.299
	Managerial Remuneration	26.087	55.690
	Payment to Auditors	1.813	1.057
	Interest	196.767	154.543	4712.400
	Insurance Expenses	39.238	34.195
	Power & Fuel	475.530	450.672
	Depreciation & Amortization	610.202	476.015
	Other Expenditure	1234.077	1405.126
Total Expenditure		7054.873	6321.713	4712.400

KEY RATIOS

PARTICULARS		31.03.2006	31.03.2005	31.03.2004
PAT / Total Income	(%)	8.21	17.79	11.11
Net Profit Margin (PBT/Sales)	(%)	14.08	35.16	15.38
Return on Total Assets (PBT/Total Assets}	(%)	4.90	13.15	16.65
Return on Investment (ROI) (PBT/Networth)		0.10	0.26	0.30
Debt Equity Ratio (Total Liability/Networth)		1.17	1.04	1.08
Current Ratio (Current Asset/Current Liability)		4.33	3.84	3.08

LOCAL AGENCY FURTHER INFORMATION

History

The highly prolific Dombivli Plant was set up in 1971. The Lote Parshuram plant was commissioned in 1989. A plant manufacturing chloropyrifos was commissioned in September 1996.

Subject is the first company world wide to go into the large-scale production of anilofos, the rice weedicide. New R and D and Quality Control laboratories were commissioned in August 1996.

In late 1999, the company secured ISO 9001 certification for the designing, manufacturing and marketing of high performance speciality engineering alloys and composites and related monomers and chemicals.

Form 8:-

Corporation identity number or foreign company registrations number of the company	L24110MH1967PLC013688
Name of the company	Gharda Chemicals Limited
Address	5/6, “Jer Mansion”, 10, W. P. Warde Road, Off Turner Road, Bandra (West), Mumbai – 400 052, Maharashtra, India
This Form is for	Modification of charge
Type of Charges	· Book debts · Movable property · Floating Charge · Others
Particular of the charge holder	Canara Bank (Lead bank) Address: CSB, Dalamal Tower, Nariman Point, CBI, BOB, UCO and KVB Members Banks, Mumbai – 400 021, Maharashtra Email ID: sjatechmumbai@vsnl.net
Nature or description of the instrument creating charge	7^th supplemental working consortium agreement , joint deed of hypothecation and Inter se agreement
Date of the instrument creating charge	18.05.2007
Amount Secure by the charge	Rs. 3400.000 millions
Brief of the principal terms and conditions and extent and operation of the charge	Rate on interest: As per consortium agreement Terms of repayments: On Demand Margin As per consortium agreement Extent and operation of the charge; The charge shall rank Pari passu with Canara Bank as lead Bank and CBI, BOB, UCO and KVB as consortium member in the ratio of 40%, 25%, and 10% respectively.
Description of the property charge whether it is a charge on	Pari passu charge on the entire current assets and second mortgage / charge on Entire fixed assets including immovable and movable property (other than current assets) more particularly in 3^rd schedule of the consortium agreement.
Particulars of the present modification	Extent of operation off Pari passu charge on the entire current assets and second mortgage / charge on entire fixed assets including immovable property and movable property (other than current assets) more particularly in 3^rd schedule of the consortium agreement. Stand enhanced To Rs. 3400.000 millions of bob, Rs.510.000 millions, UCO and Rs.340.000 millions of KVB other terms and conditions remain same.

Name of the company	GHARDA CHEMICALS LIMITED
Presented By	GHARDA CHEMICALS LIMITED
1) Date and description of instrument creating the change	Dated 12.04.1993 a) deed of Hypothecation b) Inter se Agrement (Both creating a single Charge)
2) Amount secured by the charge/amount owing on the securities of charge	Rs. 483.900 millions
3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given	All types of current assets such as raw materials, semi finished good such as pesticides/ weededes, insecticides And bulk drugs, book debts, etc
4) Gist of the terms and conditions and extent and operation of the charge.	All the three member banks *(banks giving advance for working capital) namely, Canara bank, Central Bank of India and societe General will have pari passu charge as described in “inter-Se-0agreemnt” as per the terms and conditions detailed out in hypothecation agreement both dated 12.04.1993 is stated above in para -1
5) Name and Address and description of the person entitled to the charge.	· Canara Bank Address: Hill Road, Bandra (west), Mumbai – 400 050 · Central Bank of India Address: Mumbai Main Office, MG Road, Fort, Mumbai – 400 023 · Societe Generale Address: Maker chambers IV Nariman point, Mumbai – 400 021
6) Date and brief description of instrument modifying the charge	Dated 31.12.2004 Letter regarding the grant of individual limits within overall limit.
7) Particulars of modifications specifying the terms and conditions or the extent of operations of the charge in which modification is made and the details of the modification.	Past modification: The original charge on 12.04.1993 for Rs. 483.900 millions was modified and increased to Rs. 1297.500 millions on 02.06.1998 Further modified on 25.01.1999 notifying the transfer of credit facilities from the Bandra 9West) Branch, Mumbai – 400 050 to Corporate Service Branch of Canara bank, Mumbai – 400 005 and the said corporate service Branch of Canara branch has since been shifted to Dalamal Tower, “B” Wing, 1st Floor, Nariman point , Mumbai – 400 021 Further modified on 103.052002 for Rs. 154.000 millions Further modified on 16.01.2002 for Rs. 154.000 millions Further modified on 26.07.2004 for Rs. 1960.000 millions. Present modification: I. The bank having at the request of the borrower has approved (FCNR) (B) Loan of USD 10.00 lacs by keeping in abeyance company WCDL facility for a period of six month with effect from 06.10.2004 out of the deposits held by the central bank of India under FCNR (B) deposit scheme allowed by RBI, which the borrower may avail by way of Demand loan. II. The said FCNRB(DL) shall be repaid in full in one lump sum bullet payment on the due dated i.e on 06.04.2005 hereinafter called date of repayment in the foreign currency in which loan has been taken. III. The interests on the FCNR (DL) will be payable at the rate of interest of LIBOR +1.5% p.a, subject to minimum of 5.5% p.a, payable on the last working day of March, June, September, December, hereinafter called end quarter. Interest for the broken period, ie, from the dated of loan disimbursement to the next end of quarter will be payable on the latter date; similarly, interest from the last end of quarter to the date of repayment shall be payable on the date of repayment. IV. Delayed repayment of loan will attract a penal rate of interest at 2% over the applicable rate and recovery of SWAP charges for delayed pick up/ non –pick up of forward contract. Subject to above mentioned modification, there is no change in the amount of overall aggregate charge which stands secured at Rs. 1960.000 millions in favour of the Consortium of banks.

The company is in trade terms with:

· Anup Engineering

· Durametalic Sanmar

· Fisher Rosemount (India) Limited

· H. K. Industries

· IAEC Industries Madras Limited

· Horizon Polymers Engineers Limited

· Yash Rasayan

The company’s fixed assets of important value

· Leasehold Land,

· Freehold Land and Property,

· Buildings,

· Plant and Machinery,

· Computers,

· Vehicles,

· Furniture,

· Fixtures

· Office Equipments.

WEBSITE DETAILS:

For 32 years innovation has marked the rise of subject from a small unit in 1964 to one of the most successful and reputed companies in the Agrochemical Industry. A strong and vibrant R and D program and expertise in process development has enabled the company to capitalize on superior technology. This has led to the production of vital import-substitute products and cost effective agrochemicals on a large scale and consequently to a strong, competitive national and international presence. And all this has been made possible by the vision and unswerving dedication and commitment of Dr. Keki Gharda, Founder and Chairman and Managing Director of subject.

Subject, established in 1967, is a research-based company with three manufacturing units. The company has won several national awards for technical innovation in the chemical industry and has many firsts in the field of dyestuffs, pesticides, veterinary drugs and polymers.

With world-class products, and 1997-98 (12 months) sales of Rs. 3100 million including exports of Rs. 1400 million, Subject today is among the top-ranking chemical companies in India. Subject has commissioned a world-class plant which manufactures Chlorpyrifos 99% + purity.

Both plants of Subject (Dombivli and Lote) have received ISO 9001 certification. Subject has successfully introduced Deltamethrin, Dicamba, Metamitron, Chlorpyrifos, Triclopyr and MPB Alcohol during 1997 - 1998.

Subject is the only Indian company which has received U.S. Registration (EPA Approval) for the sale of Chlorpyrifos (Insecticide) and Dicamba (Herbicide) in the U.S.A.

It is a matter of great pride that Subject has been awarded the prestigious "Chemexcil Trishul Award" for outstanding exports among large-scale chemical manufacturers for 1995 - 96.

The highly prolific Dombivli Plant, set up in 1971, is located on the outskirts of Mumbai and is the biggest chemical unit in the MIDC complex in Dombivli. The plant houses the Research and Development, Design, Engineering and Quality Control Departments.

At present, the Dombivli factory has three main plants manufacturing Isoproturon Technical, CMAC, Cypermethrin, Alphacypermethrin and Oxyclozanide. In addition there is a formulation palnt for Isoproturon and for liquid formulations like Cyperguard 10EC, Cyperguard 25EC and Alphaguard 10EC.

The company has commissioned a state-of-the-art pilot plant facility which has equipments capable of investigating the kinetics and thermodynamics of high temperature gas phase reactions.

The Lote Plant

The Lote Parshuram plant in the Ratnagiri district, located 320 kms south of Mumbai, was commissioned in 1989. Located on a 22-acre plot, the Lote plant manufactures the rice-weedicide, Anilofos, the pesticide intermediate Cypermethric Acid Chloride (CMAC), and several other products like Rafoxanide, Mepiquat Chloride, Temephos, etc. A plant manufacturing Chloropyrifos was commissioned in September 1996. Lote also has plant faclities for scale up, kinetic study and manuacture of new products for market trials.

The Lote unit is growing fast and has had a 100% growth in turnover since 1994. Subject is the first company world wide to go into the large-scale production of Anilofos, the rice weedicide. New RandD and Quality Control laboratories were commissioned in August 1996. A large number of scientists are involved in a parallel research program for the discovery of the next generation of Gharda's fine chemicals, both polymers and agricultural.

The Lote facility is the first plant of Subject to achieve the coveted ISO 9001 certification as a manufacturing site for fine chemicals.

The Panoli Plant

From producing high quality agrochemicals in three existing manufacturing facilities, Subject has now diversified into polymers at a new site- Panoli.

The polymer plant of Subject, located at Panoli, Gujarat, went on stream in March 1997. Built along international standards on a huge area of 75 acres, the plant manufactures specialty polymers.

Two core technologies for the manufacture of Polymers- solution and emulsion polymerisation- have been developed by Subject at this plant to enable it to produce a series of basic polymer resins. Subject has built a world class plant at Panoli to manufacture Polyether Sulfone (PES) under the trade name GAFONE^TM. The new facility will also produce Polyether ether Ketone (PEEK), under the trade name GATONE and Polysulfone under the trade name GAFONE-S.

Gujarat Insecticides Limited

Gujarat Insecticides Limited (GIL), a joint sector company, was started in 1980 by Subject as a step in diversification, in association with the Gujarat Government-owned "Gujarat Agro Industries Corporation Limited". GIL is now a subsidiary of Gharda Chemicals Limited.

Since inception, GIL has recorded a steady growth in sales and profits with turnover touching Rs. 800 million in 1997-98 including exports of Rs.200 million. In the process, the company has established a strong presence in the domestic as well as international market.

GIL is an ISO 9001 certified Company with impressive manufacturing facilities at Ankleshwar where it employs 500 people. Here, sophisticated technical grade pesticides like Quinalphos, Carbendazim, Cypermethrin, Fenvalerate and an intermediate Metaphenoxy Benzaldehyde are manufactured. An excellent capacity utilization for all the products has led to major expansion plans. The company's RandD programme is helping to upgrade several of its manufacturing processes using modern techniques and analytical equipment.

Over the past 17 years, GIL has grown from strength to strength. Today, together with GCL, the group is the largest agrochemical manufacturer and exporter in India.

GIL has just been awarded the "Chemexcil Certificate of Merit" for excellent exports during 1995 - 96.

QUALITY ASSURANCE:

Subject is a proud achiever of ISO 9001 Certifiaction for all its manufacturing sites including its subsidiary, Gujarat Insecticides Limited. The company has also received Good Laboratory Practices Certification and ISO 9002 accreditations from Quality Assurance Services, Australia, and National Accreditation Board for Testing Laboratories (NABL) of the Government of India for its Quality Assurance Department at its Dombivli plant. The Design and Projects department has also been certified by LRQA for ISO 9001.

Board Of Directors

· Dr. Keki Gharda 

Chairman and Managing Director

· Dr. Mrs. Aban Gharda 

Director

· Mr. Hoshang Patel        

Vice Chairman

· Mr. Jitendra Somaiya   

Executive Director-Commercial

· Dr. Bomi Patel  

Executive Director-Technical

· Mr. Anand Kusre

Nominee Director

Management Team

· Mr. M. M. Behramkamdin

Executive Director-Projects

· Mr. U. A. Maroo

Director-Finance and Company Secretary

· Dr. A. M. Malte        

Director-International Marketing Department

· Mr. L. P. Bhanushali

Director-Operations

· Dr. P. S. Ramanathan

Director-Quality Assurance

· Dr. P. D. Trivedi

Strategic Business Unit-Polymers

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No 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	Indian Rupees
US Dollar	1	Rs.39.39
UK Pound	1	Rs.81.49
Euro	1	Rs.58.49

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	8
PAID-UP CAPITAL	1~10	8
OPERATING SCALE	1~10	8
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	8
--PROFITABILIRY	1~10	8
--LIQUIDITY	1~10	8
--LEVERAGE	1~10	8
--RESERVES	1~10	8
--CREDIT LINES	1~10	8
--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	YES
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		72

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

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions