MIRA
INFORM REPORT
|
Report Date : |
29.11.2007 |
IDENTIFICATION
DETAILS
|
Name : |
RELIANCE TELECOM LIMITED |
|
|
|
|
Registered Office : |
Main Admin
Building, Block GF 1, Village Meghpur – Padana, Taluka Lalpur,
Jamnagar-361280 |
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|
|
Country : |
India |
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|
|
|
Financials (as on) : |
31.03.2007 |
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|
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Date of Incorporation : |
01.03.1994 |
|
|
|
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Com. Reg. No.: |
162841 |
|
|
|
|
CIN No.: [Company
Identification No.] |
U32100MH1994PLC162841 |
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|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
AHMR00755G |
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|
|
|
Legal Form : |
A Closely Held
Public Limited Company |
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|
|
|
Line of Business : |
Subject is
engaged in providing of basic telecom services. The company is engaged in providing
of value added telecom services such as paging, e-mail, cellular phone, video
conferencing, internet, etc. The
company provides Cellular – Mobile Phone Services in Gujarat, Madhya Pradesh,
West Bengal, Himachal Pradesh, Orissa and Assam. The company has obtained a
license from the Directorate of Telecommunication, Government of India for 10
years. |
RATING &
COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 12807208 |
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|
|
|
Status : |
Good |
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|
|
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Payment Behaviour : |
Usually correct |
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Litigation : |
Clear |
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|
Comments : |
Subject is an established company of Anil Dhirubhai Ambani Group, a
progressive industrial house departed from United Reliance Group. Available
information indicates high financial responsibility of the company. Trade
relations are fair. Payments are usually correct and as per commitments. The company can be considered good for any normal business dealings at
usual trade terms and conditions. |
LOCATIONS
|
Registered
Office : |
Main Admin Building,
Block GF 1, Village Meghpur – Padana, Taluka Lalpur, Jamnagar-361280 |
|
Tel. No.: |
91-288-3010101 |
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E-mail : |
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|
Status : |
Owned |
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Head Office : |
“E” Block, 1st
Floor, Dhirubhai Ambani Knowledge City, Opp. Koparkhairana Railway Station, Thane
Belapur Road, Navi Mumbai |
|
Tel. No.: |
91-22-3037333/
27624000 |
|
Fax No. : |
91-22-30376622 |
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|
|
|
Administrative
Office : |
172/2 Premchand
House Annexe, Ground Floor, Opp. High Court Way, Ashram Road, Ahmedabad – 380
009, Gujarat, India |
|
Tel. No.: |
91-79- 30331000,
30331011, 30331012 |
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Fax No. : |
91-79-26586132,
30331623 |
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E-Mail: |
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Website: |
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Corporate Office : |
H Block , 1st Floor, Dhirubhai Ambani, Knowledgge City,
koparkhairane, navi Mumbai – 400 710, Maharashtra |
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Tel. No.: |
91-22-30386286 |
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Fax No.: |
91-22-30376622 |
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E-Mail : |
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Branches : |
3rd Floor, Maker Chambers – IV, 222, Nariman Point, Mumbai – 400 021,
Maharashtra, India |
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Tel. No.: |
91 – 22 – 284 2929 |
DIRECTORS
|
Name : |
Mr. Anil
Dhirubhai Ambani |
|
Designation : |
Director |
|
Address : |
Sea Wind, 39, Cuffe Parade, Mumbai-400005 |
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Date of Birth
: |
04.06.1959 |
|
Date of
Appointment: |
23.07.2005 |
|
|
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|
Name : |
Mr. Mukesh D.
Ambani |
|
Designation : |
Chairman |
|
Address : |
Sea Wind, 39, Cuffe Parade, Mumbai-400005 |
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Date of Birth
: |
19th April 1957 |
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Qualification: |
B.E. (Chemical), MBA From Stanford University, U. S. A. |
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Experience: |
22 Years |
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Date of
Appointment: |
11th December, 2003 |
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Telephone No.: |
91-22-22870303 |
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E-Mail : |
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|
Name : |
Mr. Bhagwan D
Khurana |
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Designation : |
Director |
|
Address : |
Abhishek Row House No. 1, Dn Link Nagar, Juhu, Versova Link Road,
Andheri (W), Mumbai |
|
Date of Birth
: |
12.05.1944 |
|
Date of
Appointment : |
03.03.2001 |
|
|
|
|
Name : |
Mr. Satish P .Seth |
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Designation : |
Director |
|
Address : |
4th Floor, Summer Villa, 7th Road, Santacruz
(E), Mumbai |
|
Date of Birth
: |
13.08.1955 |
|
|
|
|
Name : |
Mr. Alok Agarwal |
|
Designation : |
Director |
|
Address : |
701-B, Falcon Castle Chs Limited, Senapati Bapat Marg, Lower Parel,
Mumbai |
|
Date of Birth
: |
30.12.1957 |
|
|
|
|
Name : |
Mr. Atul S. Dayal |
|
Designation : |
Director |
|
Address : |
21, Valenina
Naoroji Gamadia Road, Mumbai – 400006 |
|
Date of Birth
: |
21.09.1948 |
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Date of
Appointment : |
28.02.1995 |
|
Date of
Ceasing : |
23.07.2005 |
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|
|
|
Name : |
Mr. V
Balasubramanian |
|
Designation : |
Director |
|
Address : |
A-96, New Friends
Colony, New Delhi - 110056 |
|
Date of Birth
: |
21.12.1937 |
|
Date of
Appointment : |
28.02.1995 |
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Date of
Ceasing : |
23.07.2005 |
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|
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|
Name : |
Mr. Shri Prakash
Shukla |
|
Designation : |
Director |
|
Address : |
Flat No. 1703/4,
17th Floor, Chaitanya D Blog, Prabhadevi, Mumbai – 400 025 |
|
Date of Birth
: |
03.10.1959 |
|
Date of
Appointment : |
15.06.2002 |
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|
|
|
Name : |
Mr. Akhil K.
Gupta |
|
Designation : |
Director |
|
Address : |
Seawind, 39 Cuffe
Parade, Colaba, Mumbai |
|
Date of Birth
: |
20.07.1952 |
|
Date of
Appointment : |
25.07.1998 |
|
|
|
|
Name : |
Mr. Satish R.
Parikh |
|
Designation : |
Director |
|
Address : |
6, Nita
Apartments, Shimpoli Road, Borivali (W), Mumbai |
|
Date of Birth
: |
12.01.1955 |
|
Date of
Appointment : |
10.01.1955 |
|
|
|
|
Name : |
Mr. Satish P.
Seth |
|
Designation : |
Director |
|
Address : |
Sunmar Villa, 4th
Floor, 7th Road, Santacruz [East], Mumbai – 400055, Maharashtra,
India |
|
Date of Birth
: |
13.08.1955 |
|
Date of
Appointment: |
11.04.1997 |
|
|
|
|
Name : |
Mr. Bharat
Morarjijee Patel |
|
Designation : |
Director |
|
Address : |
At & Post Kothamadi,
Navasari, Bulsar – 396445, Gujarat |
|
Date of Birth
: |
13.03.1958 |
|
PAN No. : |
00065453 |
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|
|
|
Name : |
Mr. Bipin
Morarjee Patel |
|
Designation : |
Director |
|
Address : |
At & Post
Kothamadi, Navasari, Bulsar – 396445, Gujarat |
|
Date of Birth
: |
06.04.1965 |
|
PAN No. : |
00065489 |
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|
|
|
Name : |
Mr. Gautma Doshi |
|
Designation : |
Director |
|
Address : |
B -131, Grand Paradi, August Kranti Marg, Mumbai – 400 036,
Maharashtra |
|
Date of Birth/Age : |
23.12.1952 |
|
Date of Appointment : |
31.01.2007 |
|
|
|
|
Name : |
Mr. Bhaskar Guha |
|
Designation : |
Director |
|
Address : |
1647/ 5, Prince Anwar, Shah Road, Lake Garden, Kolkata – 700 045, West
Bengal |
|
Date of Birth/Age : |
08.07.1952 |
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Date of Appointment : |
01.06.2002 |
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|
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|
Name : |
Mr. Gaurang G Shah |
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Designation : |
Director |
|
Address : |
Flat No. 204, A Wing, Raj Vaibhav – 1, Mahavir Nagar, Kandivali
(West), Mumbai – 400 067, Maharashtra |
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Date of Birth/Age : |
13.12.1962 |
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Date of Appointment : |
01.09.2004 |
KEY EXECUTIVES
|
Name : |
Mr. Bhaskar Guha |
|
Designation : |
Manager |
|
Address : |
1647/9/5, Prince Anwar Shah Road, Lake Garden, Kolkata – 700045, West
Bengal, India |
|
Date of Birth : |
08.07.1952 |
|
Date of Appointment: |
01.06.2002 |
|
|
|
|
Name : |
Mr. Subodh Suxena |
|
Designation : |
President |
|
Address: |
172/2 Premchand House Annexe, Ground Floor, Opp. High Court Way,
Ashram Road, Ahmedabad – 380 009, Gujarat, India |
|
Date of Birth/Age : |
58 Years |
|
Qualification: |
B. Sc., B.E. (Electrical and Telecom), MBM, MDP |
|
Experience : |
38 years |
|
E-mail: |
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Tel No.: |
91-79-30331000 / 30331011-20 |
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|
|
|
Name : |
Mr. Ramesh D. Sharama |
|
Designation : |
Company Secretary |
|
Address : |
19/304, Sanskruti Complex, Thakur Complex, Kandivali (East), Mumbai |
|
Date of Birth/Age : |
18.07.1969 |
|
|
|
|
Name : |
Mr. Gaurang C. Shah |
|
Designation : |
Company Secretary |
|
Address : |
Flat 204, A-Wing, Raj Vaibhai – 1, Mahauir Nagar, Kandivali (W),
Mumbai |
|
Date of Birth/Age : |
13.12.1961 |
|
Date of Appointment : |
01.09.2004 |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
|
Names of Shareholders |
No. of Shares |
|
Reliance Infocomm
Infrastructure Private Limited |
4225060 |
|
Reliance Capital
Limited |
39860 |
|
Mr. Shri Satish
Parikh |
2500 |
|
Silvassa
Hydrocarbons & Investments Private Limited |
4185300 |
|
Reliance
Petroproducts Private Limited |
50 |
|
Reliance Business
Management Private Limited |
4382100 |
|
Reliance
Industries Limited |
1993000 |
|
Reliance
Industries Limited |
5102080 |
|
Reliance
Industries Limited |
50 |
|
Reliance
Industries Limited |
45000000 |
|
Total |
64930000 |
Equity Shares Breakup (Percentage of Total Equity):
|
Sr No. |
Category |
Percentage |
|
1 |
Bodies corporate |
100.00 |
BUSINESS DETAILS
|
Line of
Business : |
Subject is engaged
in provision of basic telecom services. The company is engaged in providing
of value added telecom services such as paging, e-mail, cellular phone, video
conferencing, internet, etc. The
company provides Cellular – Mobile Phone Services in Gujarat, Madhya Pradesh,
West Bengal, Himachal Pradesh, Orissa and Assam. The company has obtained a
license from the Directorate of Telecommunication, Government of India for 10
years. |
|
|
|
|
Products : |
Basic and
Cellular Mobile Telephone Services. ‘Reliance India
Mobile’ |
|
|
|
|
Terms : |
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Selling : |
Cash, Credit |
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|
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Purchasing : |
Cash, Credit |
GENERAL
INFORMATION
|
Customers : |
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No. of
Employees : |
270 |
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Bankers : |
Merchant Banking Division, 58/64, Hari Chambers, Shahid Bhagat Singh
Road, Fort, Mumbai – 400023
Address: ICICI Towers, Bandra Kurla Complex, Bandra (East), Mumbai –
400 051 |
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Facilities : |
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Banking Relations : |
Satisfactory |
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Auditors : |
Ř Deloitte, Haskins & Sells Chartered Accountants Mafatlal House, Backbay Reclamation,
Mumbai – 400020, Maharashtra, India Ř Chaturvedi
& Shah Chartered Accountants A3, Laxmi Towers, 1st
Floor, Bandra Kurla Complex, Bandra [East], Mumbai – 400051, Maharashtra, India Tel.: 91-22-2308500 Fax: 91-22-2872703/2846585
PAN No. : AACFD4815A Ř Vilas
Y Rane Chartered Accountants RSM and company 449, Senapati Bapat Marg, lower Parel, Mumbai – 400 013, Maharashtra
|
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Subsidiaries :
|
Reliance
Telephone Limited CIN No. :
U64200GJ1994PLC023476 Reliance Mobile
Limited |
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Affiliates: |
Reliance
Industries Limited Reliance Internet
Services Limited Terene Fibers
Indian Private Limited Silver Industries
Limited Reliance
Consolidated Enterprises Limited Reliance Venture
Limited |
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Group
Companies : |
· Reliance Capital Limited · Reliance Industrial Investment Holding Limited · Reliance Petro Products Limited · Reliance Ada Group Limited CIN of the company: U74999MH2005PTC155907 Designation : director · Reliance Communication Infrastructure Limited CIN of the company: U64203MH1997PLC166329 Designation ; director · Sonata Investment Limited CIN of the company: U29299MH1987PTC045446 Designation : director · Adlabs Film Limited CIN of the company: U10889MH1957PLC010889 Designation : director · Kojam Fininvest Limited CIN of the company: L65990MH1975PLC021833 · Reliance Life Insurance Company Limited CIN of the company: U45200MH2006PLC161190 Designation: director · Reliance Assets Reconstruction Company Limited CIN of the company: U45200M<H2006PLC161190 Designation: director · Medi Assets India Private Limited CIN of the company: U85199KA1999PTC025676 Designation : director · Connect Capital Private Limited CIN of the company: U74140MH1994PTC077688 Designation: director |
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CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
120000000 |
Equity shares |
Rs. 10/- each |
Rs.1200.000 millions |
|
100000000 |
Preference shares |
Rs. 10/- each |
Rs.1000.000 millions |
|
280000000 |
Unclassified |
Rs. 10/- each |
Rs.2800.000 millions |
|
|
|
Total |
Rs.5000.000
millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
19930000 |
Equity shares |
Rs. 10/-
each |
Rs.199.300
millions |
|
45000000 |
Preference shares |
Rs. 10/-
each |
Rs.450.000
millions |
|
|
|
Total |
Rs.649.300 millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
649.300 |
649.300 |
649.300 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
2552.502 |
443.065 |
140.500 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
3201.802 |
1092.365 |
789.800 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
0.000 |
0.000 |
0.000 |
|
|
2] Unsecured Loans |
16385.115 |
1250.000 |
1550.000 |
|
|
TOTAL BORROWING |
16385.115 |
1250.000 |
1550.000 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
19586.917 |
2342.365 |
2339.800 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
10058.807 |
3243.717 |
3772.169 |
|
|
Capital work-in-progress |
4488.419 |
143.400 |
490.312 |
|
|
|
|
|
|
|
|
INVESTMENT |
10068.410 |
0.519 |
30.500 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
Intangible |
0.000 |
0.000 |
434.977 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
85.500
|
22.526
|
33.422
|
|
|
Sundry Debtors |
294.188
|
259.941
|
206.540
|
|
|
Cash & Bank Balances |
16.521
|
11.346
|
8.620
|
|
|
Other Current Assets |
0.000
|
0.000
|
0.000
|
|
|
Loans & Advances |
1071.288
|
371.539
|
246.395
|
|
Total
Current Assets |
1467.497
|
665.352 |
494.977 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
6466.490
|
|
|
|
|
Provisions |
29.726
|
|
|
|
Total
Current Liabilities |
6496.216
|
1710.648 |
2883.135 |
|
|
Net Current Assets |
[5028.719]
|
[1045.296] |
[2388.158] |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.025 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
19586.917 |
2342.365 |
2339.800 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
|
Sales Turnover |
8733.585 |
6589.352 |
4531.969 |
|
|
Other Income |
0.000 |
0.000 |
0.000 |
|
|
Total Income |
8733.585 |
6589.352 |
4531.969 |
|
|
|
|
|
|
|
|
Profit/(Loss) Before Tax |
2388.561 |
434.290 |
123.810 |
|
|
Provision for Taxation |
275.841 |
43.175 |
9.708 |
|
|
Profit/(Loss) After Tax |
2112.720 |
391.115 |
114.102 |
|
|
|
|
|
|
|
|
Expenditures : |
|
|
|
|
|
|
Consumption of stores and spares parts |
5.898 |
5.931 |
|
|
|
Salaries, Wages, Bonus, etc. |
398.543 |
249.845 |
|
|
|
Managerial Remuneration |
5.664 |
3.101 |
|
|
|
Payment to Auditors |
4.300 |
4.300 |
|
|
|
Interest |
104.655 |
202.954 |
2658.763 |
|
|
Insurance Expenses |
8.856 |
18.480 |
|
|
|
Power & Fuel |
307.325 |
166.464 |
|
|
|
Depreciation & Amortization |
1366.388 |
2617.996 |
|
|
|
Other Expenditure |
4151.665 |
2887.410 |
|
|
Total Expenditure |
6353.294 |
6156.481 |
2658.763 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
PAT / Total Income |
(%) |
24.19
|
5.93 |
2.52 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
27.34
|
6.58 |
2.73 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
14.91
|
11.10 |
2.90 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.74
|
0.39 |
0.16 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
7.14
|
2.71 |
5.61 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.22
|
0.38 |
0.17 |
LOCAL AGENCY
FURTHER INFORMATION
HISTORY
The Company belongs
to Reliance Group. The company was incorporated with Registrar of Companies, Gujarat
on 1-03-1994 as Reliance Telecom private Limited at Sr. 04-21442. the Companies
was promoted mainly for providing basic and Cellular Telephony services. Later
become Reliance Telecom limited on 25-11-1997. The company has Cellular liances
to operate in 7 circles covering 15 states. As per the scheme of demerger
approved by Hon. Gujarat High Court, basic Telephone services of Reliance
Telecom limited was demerged and transferred to Reliance zinfocomm Limited from
6-03-2003.
RTL which began its
operations in 1997-98, provides GSM services in 7 telecom circles covering 206
towns in 11 states in India
RIL and its
subsidiaries hold 35.6 % of RTL after the 10 % holding of Nynex international
Limited was acquired in April 2004. Despite stiff competitions Subscriber base
grew by 32.500 Millions to reach 1.120 millions reflecting 41 % growth. RTL is
increasing its capacity to cater to increased traffic as a result of increase
in usage and subscriber base.
The department of
Telecom, Government of India had earlier directed that prepaid services should
be discontinued in the state of Assam and the North East. In compliance, RTL
had completed subscribers plan migration to postpaid service.
Recently RTL has
launch GSM operation in Kolkatta it has been able to fill up the gap in Estern
corridor.
RTL has drawn up
ambitious plans to expand services in another 500 town in the coming months. As
per provisional figures of 31-03-2005, RTL has registered total income of Rs.
45.300 Millions with total assets base of Rs. 51.300 Millions and net Profit of
Rs. 1.100 Millions.
Financial Review
Operating profit, before other income, was Rs. 7,2780 millions (US$ 1,653
million), against Rs. 5,9750 millions for the corresponding previous period, an
increase of 22%
The company's net operating margin was
lower during the period at 18.9% mainly due to significant increase in price of
crude oil during the half-year, which was not fully absorbed in domestic price
of petroleum products.
Other income decreased to Rs. 4160 millions (US$ 94 million), from Rs. 6430
millions on account of the company exercising its option to convert the
Preference shares of Reliance Infocomm Limited with effect from 1st April 2005.
This was partially offset by higher interest income from current investments
and fixed deposits.
Interest expenditure decreased 49% to Rs. 4580 millions (US$ 104 million) due
to appreciation of the rupee and reduction in debt.
Depreciation was at Rs. 1,5950 millions (US$ 362 million) as against Rs. 1,8300
millions for the corresponding previous period. The decrease is on account of
assets sold during 2004-05 and impact of WDV depreciation on petrochemical
assets
The outflow on account of capital expenditure was over Rs. 4,2000 millions (US$
954 million), primarily on account of oil and gas, petrochemical capacity
expansions and normal capital expenditure.
Business Review
Oil & Gas (E&P)
RIL's oil and gas strategy is aimed at further enhancing the level of vertical
integration in its energy business, and capturing value across the entire
energy chain, while fulfilling important national priorities.
RIL is the largest exploration acreage holder among the Private sector
companies in India with 34 domestic exploration blocks covering an area of
about 340,000 sqkm. This is in addition to its interest in one exploration
block each in Yemen and Oman. Reliance also has 5 coal bed methane blocks
covering an area of about 4000 sq. km.
12 exploration blocks were awarded under the 1st round of the New Exploration
Licensing Policy (NELP-I) of Government of India, 4 blocks in NELP II, 9 blocks
in NELP III and 1 block in NELP IV. Reliance has been awarded 5 more
exploration blocks under the just concluded NELP V. The Production Sharing
Contract has been signed and application for exploration license has been
submitted.
The Company and various partners, including ONGC Ltd. and Oil India Ltd., were
awarded two exploration blocks prior to NELP. The Company has also acquired the
operating rights of four exploration blocks from Tullow Oil plc, a UK Company.
Three blocks out of the above-awarded blocks have been relinquished as the
expected deposits were found to be sub-economic.
In the Yemen onshore block where Reliance had oil discoveries, the development
plan has been approved by Ministry of Yemen. Further exploration activity is
also under progress and results are quite encouraging.
In the Oman offshore block, where RIL is the Operator, the existing seismic
data has been collected and contract for reprocessing of data is being
finalized.
During the quarter, processing and interpretation of acquired data have been
taken up in an accelerated manner.
Building on the giant Dhirubhai gas discovery, Reliance continued with the
exploratory drilling campaign in the discovery block KG-DWN-98/3 in the Krishna
Godavari Basin. First Development well was spud and drilling operations are in
progress. Detailed evaluation drilled wells are in progress.
The contract for development is slated to be awarded in calendar Q1-06.
The exploration in the CBM block of RIL is also progressing as per plan.
Reliance has deployed state-of-the-art technology, and is working with leading
international technology and service providers for the E&P project,
covering all activities, such as seismic studies, processing and interpretation
of data and drilling.
RIL also holds a 30% interest in an unincorporated Joint Venture with British
Gas and ONGC, to develop the proven Panna-Mukta and Tapti oil & gas fields.
British Gas has a 30% share and ONGC the balance 40% share.
The Panna-Mukta fields produced 725,340 tonnes of crude oil and 22.32 billion
cubic feet (632 MMSCM) of gas during the half year under report.
The Tapti field produced 40.46 billion cubic feet of gas (1,145 MMSCM) during
the half year under report.
Refining & Marketing (R&M)
During the period under report, the domestic demand for petroleum products
reduced by 0.6% compared to first half of last year. This is against 5.5%
growth last year compared to the corresponding previous period.
The consumption of HSD, which accounts for more than a third of the total
consumption of petroleum products, registered a negative growth of 0.6%,
against a growth of 8.8% during the corresponding previous period. LPG demand
showed significantly lower growth of 0.8% against 13.8% growth during the
corresponding previous period. Demand for MS grew by 4.3%. The demand of
Aviation turbine fuel grew by 14.7% during the half year. Naphtha sales fell by
11.2% and Kerosene sales increased slightly by 0.8%.
The average prices of WTI, Brent and Dubai for the half year period were $ 58.1
per barrel, $ 56.7 per barrel and $ 51.7 per barrel respectively while the peak
prices were $ 69.9 per barrel, $ 67.3 and $ 59.2 per barrel respectively.
The global refining industry in general and the US refining industry in
particular was dramatically influenced by the two hurricanes, Katrina and Rita
that hit US Gulf coast on 29th August & 24th September respectively. US
Gulf coast is the major hub for US refining with total capacity of about 4.7 mn
b/d or 27.5% of US capacity. Almost all of this closed during 2 hurricanes.
Reportedly as of end Sep '05 3.1 mn b/d capacity still remains closed.
International Energy Agency revised down its global oil demand growth forecast
for 2005 to 1.26 million b/d, due to regional economic and logistical
disruptions as well as retail price spikes in US due to Katrina and Rita and
weaker outlook for China but has maintained a demand growth forecast of 1.75
million b/d for 2006.
The refinery margins were robust in all the regions as product price increases
were higher than the concomitant rise in crude oil prices.
During the period under review, Reliance recorded 96% capacity utilisation at
its Jamnagar Refinery. The refinery processed 15.87 million tons of crude
during the half year.
This capacity utilisation compares favourably with the utilisation rates for
other refineries, both in India and abroad, at 91% for North America, 87% for
Europe, and 89% for Asia Pacific region.
Exports of refining products during the period under review were 5.2 million
tons, compared to 4.8 million tons in the corresponding period last year.
The implementation of setting up of Retail Outlets at various locations is in
full swing. Reliance already has the necessary approvals for setting up 5,849
retail outlets in India.
As on date, over 850 outlets are operational. The response from these retail
outlets is encouraging as the throughput per outlet is higher than the industry
norms. By the end of March 2006, Reliance will have significant presence in the
retailing of transportation fuels. Reliance will continue to set new standards
for services and product quality through its retail outlets. This will help
improve margins, overall return on capital and consequently, shareholder value.
Petrochemicals
Polyester: Reliance is the
country's largest manufacturer of PFY, PSF and PET, with a market share of 50%.
RIL's production volumes of PFY, PSF and PET increased by 7% to 549,000 tonnes.
Reliance has maintained its focus on speciality products. 56% of PSF production
and 36% of PFY production represented niche products, contributing a premium of
up to 50% over commodity prices.
Demand for PFY, PSF and PET, for the period under review, was 7% higher at
896,000 tonnes.
Reliance also continues to be the largest manufacturer of polyester
intermediates, PX, PTA and MEG, in the country, with a market share of 77%.
Production of PX, PTA and MEG increased by 5% to 16,08,000 tonnes
Polymers: Reliance is the
largest manufacturer of PP, PE and PVC, in the country, with a market share of
46%.
Production volumes of PP, PE and PVC decreased 3% to 939,000 tonnes.
There was an increased focus on high value premium products, with speciality
grades contributing 19% of production, and generating a premium of up to 14%
over commodity prices.
Domestic demand for PP, PE and PVC, for the period under review, was 12% higher
at 1,892,000 tonnes.
RIL operates the world's largest grassroots, multi-feed cracker at its Hazira
petrochemicals complex. During the period under review, Reliance produced
421,000 tonnes of ethylene and 200,000 tonnes of Propylene.
Chemicals: During the half-year
under review, Linear Alkyl Benzene (LAB) production was 56,000 tonnes. Reliance
has a market share of 24% in LAB.
During the half-year, Reliance has successfully commissioned the 140,000 tonnes
per annum capacity Butadiene plant at Hazira. Butadiene production during the
half-year was 33,000 tonnes.
OTHER INFORMATION:
The company’s
registered office was shifted from H Block, 1st Floor, A Wing,
Dhirubhai Ambani Knowledge City, Koparkhairane, Navi Mumbai – 400710 to the
present address w.e.f. 01.05.2006.
Form 8 :-
|
Name of the
company |
RELIANCE
TELECOM LIMITED |
|||||||||||||||||||||
|
Presented
By |
RELIANCE TELECOM LIMITED |
|||||||||||||||||||||
|
1) Date and
description of instrument creating the change |
Debenture Trust
Deed dated February 26, 1998, made between Reliance Telecom Limited [hereinafter
referred to as the company] of the one part and Syndicate Bank [hereinafter
referred to as ‘the Trustees] if the other part Further modified
by deed of additional security dated 21st June, 1999 executed by
the company in favour of on all the company’s fixed assets, both present and
future, as more particularly described in schedule there under written Further modified
by deed of modification and confirmation dated 30th April, 2002,
made between Reliance Telecom Limited [hereinafter referred to as the
company] of the one part and Syndicate Bank [hereinafter referred to as the
trustees] of the other part |
|||||||||||||||||||||
|
2) Amount secured
by the charge/amount owing on the securities of charge |
1. 3007- 9.75%
Secured Redeemable Non – Converitble Debentures of the face value of Rs.
0.500 million each, aggregating Rs. 1503.500 millions [Scrics 1 Debentures] 2. 1036-10.25%
secured redeemable non-convertible debentures of the face value of Rs. 0.500
million each, aggregating Rs. 518.000 millions [Series II Debentures] 3. 7957 – 10.50%
Secured redeemable non – convertible debentures of the face value of Rs.
0.500 million each, aggregating Rs. 3978.500 millions [Scrics III Debentures] Series I
debentures, Series II Debentures and Series III Debentures collectively referred
to as the Debentures all aggregating [i], [ii], [iii], all aggregating Rs.
6000.000 millions By deed of
modification and confirmation dated 30th April, 2002 made between
Reliance Telecom Limited of the one part and Syndicate Bank of the other part,
debentures shall mean ICICI Debentures and RIL Debentures wherein “ICICI
Debentures’ mean collectively : 2506, 9.75%
non-convertible debentures of Rs. 0.500 million each aggregating Rs. 1253.000
millions guaranteed by ICICI [hereinafter referred to as “ICICI Series I
Debentures] 516, 10.25%
Non-convertible Debentures of Rs. 0.500 million each, aggregating Rs. 258.000
millions guaranteed by ICICi [hereinafter referred to as “ICICI series II
debentures] 4710, 10.50% non
– convertible debentures of Rs. 0.500 million each, aggregating Rs. 2355.000
millions guaranteed by ICICI [hereinafter referred to as ICICI Series III
Debentures] Allotted by the
company on December 9, 1997; RIL Debentures
mean, collectively; i. 501, 9.75%
non-convertible debentures of Rs. 0.500 million each, aggregating Rs. 250.500
millions guaranteed by RIL [hereinafter referred to as the RIL Series I
Debentures] ii. 520, 10.25%
Non-Convertible debentures of Rs. 0.500 million each, aggregating Rs. 260.000
millions guaranteed by RIL [hereinafter referred to as the RIL Series II
Debentures] iii. 3247, 10.50%
non – convertible debentures of Rs. 0.500 million each, aggregating Rs.
1623.500 millions guaranteed by RIL [hereinafter referred to as the RIL
Series III Debentures allotted by the
company on December 9, 1997 ICICI Debentures
and RIL debentures collectively referred to as the debentures all aggregating
Rs. 6000 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 and singular
the lands and all other fixed assets as more particularly described in the
first schedule of the aforesaid debenture trust deed together with all buildings,
structures, erections, masts, antennas, towers, godowns, and constructions of
every description which are now erected, standing or attached or shall at any
time hereafter during the continuance of the security thereby constituted be
erected and standing or attached to the aforesaid lands and premises or any
part thereof and all the plant and machinery attached to the earth or
permanently fastened to anything attached to the earth [save and except the
Excluded assets viz. the licenses of the company] and all trees, fences,
hedges, ditches, ways, sewages, drains, waters, water-courses, liberties
easements and appurtenances whatsoever to the aforesaid lands or any part
thereof belonging to or in anywise appertaining or usually held, occupied,
enjoyed therewith or reputed or belong or be appurtenant thereto and all the
estate, right, title, interest, property, claim and demand whatsoever o the
company into and upon the same, to have and to hold all and singular the
aforesaid premises unto and to the use of the trustees upon trust and subject
to the powers and provisions therein contained and subject also to the
proviso for redemption thereinafter mentioned. Provided the
mortgage referred to above shall rank second to the mortgages and charges
created / ot be created on first charge basis in favour of the financial
institutions / banks / other lenders for their various loans and / or the
debenture trustees for any further series of debentures to be issued by the
company |
|||||||||||||||||||||
|
4) Gist of the
terms and conditions and extent and operation of the charge. |
For securing the principal amount of the debentures interest, trustees
remuneration and all other monies, the company assured, assigned and
transferred to the trustees the whole of the mortgaged premises as and by way
of mortgage subject to the powers and provisions contained therein and
subject also to the proviso for redemption ; Debentures to rank Pari passu a. The series I Debentures shall rank pari passu interest without any
preference or priority of one over the other or others of them b. The series II debentures shall rank pari passu interest without any
preference or priority of one over the other or others of them c. The series III debentures shall rank pari passu interest without
any preference or priority of one over the other or others of them iii. Interest on Debentures The company shall pay interest on the principal amount of the
debentures at the following rates [subject to deduction of Income – tax at
source at the rates for the time being prescribed under the Income Tax Act,
1961 and rules made thereunder or any statutory modification or re-enactment
thereof for the time being in force :
Interest would be payable from the Date of allotment and would be
payable half yearly on January 1 and July 1 for the six monthly interest
period ending on December 31 and June 30 in each year throughout the tenure
of the debentures and on redemption thereof.
However, the first interest payment will be made on January 1, 1998
and will cover interest due from the date of allotment upto December 31, 1997
and the last interest payment will be on redemption. Payment will be made by way of cheque[s] /
interest warrant[s] which will be dispatched to the debenture holders 7 days
before the due dates by registered post Redemption Unless previously redeemed or repurchased by the company, the
debentures shall be redeemed inhte following manner :
V. [a] Deposit of Money in Designated Account The company shall deposit into the designated account on or before the
Trigger Date[s], all or any amount of principal and / or interest in respect
of the debentures payable to the debenture holders on the due dates The company shall irrevocably authorize the designated bank [the
scheduled bank with whom the designated account has been opened] to inform
the amount lying to the credit of the designated as on the trigger dates b. Payments : Payment of the principal, all interest and other monies will be made
to the registered debenture holders and in case of joint holders to the one
whose name stands first in the register of debentures holders. Such payments
shall be made by cheque or warrant drawn in favour of the debenture holders
by the company on its bankers VI. the company shall with the prior approval of the Trustees be
entitled to make further issue of debentures and / or raise term loans or
raise further funds from time to time from any persons / banks / financial
institutions / body corporate / any other agency VII. Proceeds arising out of
the sale, collection of the mortgaged premises to be distributed to the
debenture holders on a Pari passu basis VIII Certain covenants on the part of the company IX Power of removing trustees and appoint new trustees X Various Powers of Trustees XI Remuneration of the Trustees to be as follows : a. Initial Fee of Rs. 0.050 million to be paid in January, 1998 b. Annual Fee of Rs. 0.350 million payable in two equal half yearly
installments in January and July of every year till redemption In addition to all legal fees and out –of-pocket expenses etc. By deed of modification and confirmation dated 30.04.2002, made
between Reliance Telecom Limited of the one part and Syndicate Bank of the
other part following modification were carried out : a. The definition of debentures shall stand modified and be read as
under : debentures shall mean “ICICI Debentures and RIL Debentures wherein : ‘ICICI Debentures mean, collectively : 2506, 9.75% non-convertible
debentures of Rs. 0.500 million each aggregating Rs. 1253.000 millions
guaranteed by ICICI [hereinafter referred to as “ICICI Series I Debentures] 516, 10.25%
Non-convertible Debentures of Rs. 0.500 million each, aggregating Rs. 258.000
millions guaranteed by ICICI [hereinafter referred to as “ICICI series II
debentures] 4710, 10.50% non
– convertible debentures of Rs. 0.500 million each, aggregating Rs. 2355.000
millions guaranteed by ICICI [hereinafter referred to as ICICI Series III Debentures] Allotted by the
company on December 9, 1997; RIL Debentures
mean, collectively; i. 501, 9.75%
non-convertible debentures of Rs. 0.500 million each, aggregating Rs. 250.500
millions guaranteed by RIL [hereinafter referred to as the RIL Series I Debentures] ii. 520, 10.25%
Non-Convertible debentures of Rs. 0.500 million each, aggregating Rs. 260.000
millions guaranteed by RIL [hereinafter referred to as the RIL Series II
Debentures] iii. 3247, 10.50%
non – convertible debentures of Rs. 0.500 million each, aggregating Rs.
1623.500 millions guaranteed by RIL [hereinafter referred to as the RIL
Series III Debentures allotted by the
company on December 9, 1997 as more specifically described in the Schedule V thereto b.’Debenture holders’ or the Holders of Debentures shall stand
modified and be read as under : Debenture holders or the holders of debentures means the several
persons who are, for the time being, holders of the ICICI Debentures and RIL
debentures. Designated Account shall stand modified and be read as under : Designated Account means the bank account number 05/1077 opened by the
company with the Bank, into which the company shall deposit the principal,
interest and other monies payable on the due dates in respect of the ICICI debentures
and RIL debentures and shall include two separate sub accounts of such
designated account one of which shall be in respect of RIL debentures and the
other in respect of the ICICI Debenture into which sub accounts the
principal, interest and other monies in respect of the RIL debentures and
ICICI debentures respectively to be
transferred from the designated account by the bank on a pro rata basis or
deposited by RIL or ICICI, as guarantors, into the sub-account in respect of
the RIL debentures or the ICICI debentures respectively, when called upon by
the trustees d. Due dates shall modified and be read as under : Due dates shall mean the dates for payment of interest and principal
in respect of the ICICI debentures and RIL debentures to the debenture
holders as more particularly specified in Schedule VI thereunder written e. Redemption Amounts shall stand modified and be read as under : Redemption Amounts shall mean the amounts i.e. principal and interest
as are due in respect of ICICI debentures and RIL debentures as set forth in
Schedule VII thereof. F. redemption dates shall stand modified and be read as under : Redemption dates shall mean the dates of redemption of RIL Series I
Debentures, RIL Series II debentures and RIL series III debentures, as more
particularly described in Schedule VIII thereunder written g. Guarantor shall stand modified and be read as under : guarantor shall mean ICICI in respect of ICICI debentures and RIL in
respect of RIL debentures respectively h. The debentures of Rs. 6000 millions were secured by way of second
charge under the debenture trust deed dated 26.02.1198 by a legal mortgage on
the mortgaged premises and on all the company’s fixed assets, both present
and future |
|||||||||||||||||||||
|
5) Name and
Address and description of the person entitled to the charge. |
Syndicate Bank Merchant Banking Division, 58/64, Hari Chambers, Shahid Bhagat Singh
Road, Fort, Mumbai – 400023 |
|||||||||||||||||||||
|
6) Date and brief description of instrument
modifying the charge |
Deed of modification
and confirmation dated August, 2003, made between Reliance Telecom Limited
[hereinafter referred to as the company] of the one part and Syndicate Bank
[hereinafter referred to as the trustee] of the other part |
|||||||||||||||||||||
|
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. |
The definition of
debentures shall stand modified and be read as under : ICICI debentures
means collectively : 516, 10.25%
Non-convertible Debentures of Rs. 0.325 million each, aggregating Rs. 167.700
millions guaranteed by ICICI 710, 10.50%
Non-convertible Debentures of Rs.0.500 million each, aggregating Rs. 355.000
millions each guaranteed by ICICI Allotted by the
company on December 9, 1997 as more specifically detailed in Schedule V
thereto |
|
Name of the
company |
RELIANCE
TELECOM LIMITED |
|
Presented
By |
RELIANCE TELECOM LIMITED |
|
1) Date and description
of instrument creating the change |
Deed of
hypothecation dated 4th day of December 1997 executed by reliance
Telecom limited (therein and herein
after referred to as the company) in favour of ICICI Limited (therein and
hereinafter referred to ass “the Guarantor) As subsequently
modified when no instrument was executed , but on the 3rd day of
June 1998, the guarantee assistance together with all interest, commission
charges, liquidated damages , guarantee commission cost charges , expenses
and all other monies Payable by the company to ICICI in respect thereof
secured under the above mentioned deed of hypothecation was also secured by
mortgage by deposit of title deed in respect of the company immovable
properties situate at Flat No. 45, 4rth floor, Anurag apartments, Dombivali
(East), District Thane at Mumbai in the State of Maharashtra (more
particularly described thereto together with all fixtures and fittings
thereon. Further modified
by deed of modification to the deed of hypothecation dated 31th April 2002,
executed between Reliance telecom Limited and ICICI Limited to record the
reduction in the amount of guarantee assistance from Rs. 600.000 crores to
Rs. 386.60 crores. |
|
2) Amount secured
by the charge/amount owing on the securities of charge |
Guarantee Assistance not exceeding Rs.
600.00 crores (therein and hereinafter referred to as “the guarantee assistance”) By deed of
modification to the deed of hypothecation dated 30th April 20025,
executed between Reliance Telecom limited and ICICI Limited , the amount
secured stands reduced to Rs. 386.60 crores. |
|
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 |
The whole of the
movable properties of the company situate in the states of Madhya Pradesh,
West Bengal, Himachal Pradesh, Orissa, Assam, Arunachal Pradesh, Mizoram,
Nagaland, Manipur, Tripur And Meghalaya, Bihar, Gujarat or wherever else the
same may be held including the company movable plant and machinery spares,
tools and accessories and other movables , both present and future (therein
and hereinafter referred to as “the said Goods”) |
|
4) Gist of the terms
and conditions and extent and operation of the charge. |
In consideration of ICICI having agreed to advance to the company the
guarantee Assistance, agreement and declaration by the company, inter alia as
follows: Covenant by the company discharged its obligation and guarantee
commission and a all other monies in the manner set out in the guarantee
agreement between the company and the guarantor and to comply with the terms
and conditions of the said guarantee agreement. The said goods where thereby hypothecated and by way of first charge
as security for and be charged with the repayment of the guarantee assistance
together with all interest thereon, commitments charge, liquidated damages,
premium on prepayments or on redemption guarantee commission, cost., charges
and other expenses payable by the company to the guarantor in respect
thereof. The company to keep the said goods in marketable and good condition
and also insured as provided therein. Power of entry, power to take charge and / or possession of seize,
recover, receive, appoint receivers of and remove and / or resale by public
auction or private contract , dispatch for realization or otherwise dispose
off or deal with all or any part of the said goods, etc. as provided therein.
|
|
5) Name and
Address and description of the person entitled to the charge. |
ICICI Bank Limited Address: ICICI Towers, Bandra Kurla Complex, Bandra (East), Mumbai –
400 051 |
|
6) Date and brief description of instrument
modifying the charge |
Deed of modification
to the deed of hypothecation dated 6th September 2003, executed by
Reliance Telecom Limited in favour of ICICI Bank Limited. |
|
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. |
Pursuant to
modification to the deed of hypothecation – II dated 6th September
2003, the amount of guarantee assistance stands reduced to Rs. 52.27 crores.
Consequently the amount secured stands reduced o Rs. 52.27 crores. |
FIXED ASSESTS:
· Leasehold land
· Building
· Plant and machinery
· Equipments
· Furniture and fittings
· Vehicles
· Office equipments
AS PER
WEBSITE:-
Reliance Telecom Limited (RTL) is promoted by the Reliance Group.
RTL provides Cellular Services in 7 Telecom Circles encompassing 10 States of
India. RTL's subscriber base increased by 46 per cent during the FY 2003-04 to
79.00 millions.
International Roaming was implemented from 1st December 2003 in all RTL
circles, except Assam and North East where there is a restriction on
international roaming. Roaming with more than 300 operators across the globe
has been opened up through sponsor network using the signalling and billing
solution from Roamware.
"TRAI approves Reference Interconnect Offer ( RIO ) of RTL vide their
letter no 101-6/2002-MN (Pt) dated 9th October has approved the RIO of Reliance
Telecom Ltd. for Cellular Licenses, to view details
Award
Growth
is achievement
Reliance's commitment to excellence and the management's outstanding
performance brought in several national and international awards, rankings and
recognition for the company.
Corporate Rankings
RIL emerged as the first and only private sector company from India to
feature in the 2004 Fortune Global 500 list of World's Largest Corporations,
July 2004.
RIL was the only Indian private sector company to be listed in the Top-500
companies in the world in terms of market value in BusinessWeek's The Global 1000
List, July 2004.
Reliance
emerged in top positions in the following in Business Barons - TNS Mode Opinion
Poll for 2004, August 2004.
- The
Reliance Group emerged as India's Most Admired Business House
for the fourth consecutive year.
- RIL emerged as
India's Most Admired Company and was rated first in the
poll on financial performance, returns to shareholders, growth prospects
and ethics, and at second place on Management Quality
RIL received the following ranks in the survey by IMRB
International based on a peer-perception survey published in Businessworld,
November 2004.
- No.2
among India's Most Respected Companies.
- Emerged
as India's Most Dynamic
Organisation.
- No.2
among India's Most Globally
Competitive Organisations.
RIL emerged as Asia's Best Chemical Company in the seventh annual survey of the World's Best Companies in 2004 conducted by the Global Finance magazine, November 2004.
RIL received the following ranks in the seventh annual global survey of corporate reputation conducted jointly by PricewaterhouseCoopers and the Financial Times, November 2004:
- Ranked
9th in the Top 10 list of the World's
Most Respected Energy / Chemicals Companies.
- Ranked
3rd in India list of countrywise ranking of the World's Most Respected Companies.
- Ranked
45th in the world list of CEOs-Companies
that create the Most Value for their Shareholders
- Ranked
55th in CEOs- Companies that
demonstrate the Most Innovation.
RIL emerged as the Petrochemicals Company of the Year at the sixth annual
Platts Global Energy Awards in New York, USA, December 2004 RIL was awarded International Refiner of the Year 2005
at the World Refining and Fuels Conference in San Francisco, March 2005, USA,
by Hart Energy Publishing LP. RIL was the first Asian company to be so honoured
in the 20-year history of this award.
Health, Safety and Environment (HSE)
The Naroda Textile Division was awarded the
Certification of OHSAS 18001 - 1999, for Occupational Health
& Safety Management Systems, May 2004.
- RIL
emerged as India's Greenest
Company amongst the private sector with an overall rank of
No. 2 in a BT - ACNielsen ORGMARG survey of shareholder perception
published in Business Today, October 2004.
- Greentech's
Platinum Award in the petroleum refinery sector was awarded to the
Jamnagar refinery for Outstanding
Achievement in Environment Management, November 2004.
Energy Management
The Jamnagar refinery received the award for Excellence in Energy Conservation from the Federation of Gujarat Industries, April 2004. Reliance refinery was ranked in the top position in Shell Benchmarking 'Energy & Loss' performance for the fourth consecutive year from around 50 refineries the world over, August 2004. The Jamnagar complex received CII's Excellence in Energy Management Award for the second successive year, October 2004. RIL won the following National Energy Conservation Awards 2004, December 2004.
- The
Hazira and Jamnagar complexes claimed the first position in the
Petrochemicals
Sector and Refinery Sector respectively.
- The
Patalganga complex received the special award in the Petrochemicals Sector
The Jamnagar complex received the FICCI Award
Certificate and Shield in recognition of its high degree of energy efficiency,
excellent water and energy conservation practices, commendable waste management
practices and excellent pollution control facilities with innovative features,
December 2004.
Quality
The Hazira complex received top honours and bagged the International
Asia-Pacific Quality
Award in the category of Big
Industry Organisation of more than 250 employees, September
2004. RIL was awarded the IT Excellence Award
for 2004 by NASSCOM, September 2004.
The Jamnagar
complex received a total of 9 Gold Certificates from Shell
Global Solutions, Netherlands under SMPCS (Shell Main Products Correlation
Scheme) Quality Pacesetting for its excellence in testing of fuel products,
December 2004.
Exports
RIL won the following Synthetic and Rayon Textiles Export Promotion Council (SRTEPC) awards for exports, March 2005:
- Three
Gold Trophies, for the sixth year in a row, for exports in the year
2003-04
- The
Gold for Best Overall Export
Performance in the category of SRTEPC Special Award
- Best Export Performance
in the categories of Polyester Staple Fibre and Polyester Filament Yarn
Management Awards
Mukesh D. Ambani was conferred the Asia Society Leadership Award by the Asia Society, Washington, USA, May 2004.
Mukesh D. Ambani ranked 13th in Asia's Power 25 list
of The Most Powerful People in Business published by Fortune
magazine, August 2004.
Mukesh D. Ambani was chosen Telecom Man of the Year
2004 by Voice and Data magazine, September 2004.
The Ambani brothers were the only
two CEOs from one business group to feature amongst India's top five Most
Admired CEOs. Anil D. Ambani ranked at number one and Mukesh D.
Ambani at number five in Business Barons- TNS Mode Opinion Poll of India's Most
Admired CEOs, published in Business Barons, September 2004.
Mukesh D. Ambani was conferred the
World Communication Award for the Most Influential Person in Telecommunications
in 2004 by Total Telecom, October 2004.
Mukesh D. Ambani ranked 42nd among
the World's Most Respected Business Leaders and second
among the four Indian CEOs featured in a survey conducted by
PricewaterhouseCoopers and published in the Financial Times, London, November
2004.
Mukesh D. Ambani and Anil D. Ambani ranked No.2 by
IMRB International in The Power 100 list of India Inc.'s Most Powerful CEOs, published
in The Economic Times Corporate Dossier, December 2004. Anil D. Ambani was adjudged CEO of the Year
at The Platts 2004 Global Energy Awards, December 2004.
The performance highlights of
Reliance Industries Limited for the half-year ended September 30, 2005 are:
- Turnover of Rs. 427770 millions (US$ 9,718 million) against Rs. 33,6100
millions for the corresponding previous period, an increase of 27%
- Operating Profit (PBDIT) increased to Rs. 7,6940 millions (US$
1,748 million) against Rs. 6,6180 millions for the corresponding previous
period, an increase of 16%.
- Cash Profit (before depreciation and deferred tax) of Rs. 6,7390
millions (US$ 1,531 million) against Rs. 5,4190 millions for the
corresponding previous period, an
increase of 24%.
- Net Profit of Rs. 4,7910 millions (US$ 1,088 million) against Rs. 3,1890
millions for the corresponding previous period, an increase of 50%.
- The total paid
up equity share capital stood at Rs. 1,3940 millions (US$ 317 million).
- Earnings Per
Share (EPS) for the half-year is Rs. 34.4 (US$ 0.78) & Cash Earnings
Per Share (CEPS) for the half-year is Rs. 48.3 (US$ 1.10).
[Annualised Earnings Per Share (EPS) is Rs. 68.8 (US$ 1.56) & Annualised Cash Earnings Per Share (CEPS) is Rs. 96.6 (US$ 2.20).] - The company's
contribution to the national exchequer in the form of various taxes was Rs. 8,1730 millions (US$ 1,857 million)
against Rs. 7,0770 millions for the corresponding previous period, an increase of 15%.
- The Company's
production of oil & gas and petrochemicals, including toll conversion,
is 6.54 million tonnes during
the half-year, against 6.29 million tonnes for the corresponding previous
period, an increase of 4%.
- The Company's refinery
operated at 96% capacity utilisation and processed 15.87 million tonnes of
crude during the half-year.
- Exports including deemed exports were Rs. 15,1760 millions (US$
3,447 million), against Rs. 10,0360 millions for the corresponding previous period,
an increase of 51%.
Notes:
1. The figures for the corresponding periods have been restated, wherever
necessary, to make them comparable.
2. The Company has filed an application with the Honourable High Court of
Mumbai to demerge certain undertakings into four new resulting companies. The
shareholders, secured and unsecured creditors at their respective meetings held
on 21st October 2005, have approved the demerger scheme as directed by the High
Court of Mumbai with effect from the appointed date i.e., 1st September, 2005.
The Company has filed a petition along with the Scheme with the Honorable High
Court of Mumbai for approving the scheme. Necessary accounting effect shall be
given once the scheme becomes effective.
3 (a) The Company, based on the report by international valuers, has revalued
plant, equipment and buildings situated at Patalganga, Hazira and Jamnagar as
at 1st August 2005 by an amount of Rs 22,4970 millions (US$ 5,111 million) and
an equivalent amount has been credited to Revaluation Reserve Account.
Consequent to the revaluation, there is an additional charge for depreciation
of Rs. 3530 millions (US$ 80 million) for the half-year ended 30th September
2005 and an equivalent amount has been withdrawn from Revaluation Reserve. This
has no impact on profit for the period.
(b) The
Company had revalued its plant and machinery situated at Patalganga and Naroda
in 1997-98. Consequent to the revaluation, there is an additional charge for
depreciation of Rs. 220 millions (US$ 5 million) for the half-year ended 30th
September 2005 and an equivalent amount, which was hitherto being withdrawn
from General Reserves, has been withdrawn from Revaluation Reserve. This has
no impact on profit for the period.
4.
During the quarter the Company has appropriated an amount of Rs 12,8500
millions from the Profit and Loss Account to the General Reserve.
5.
During the quarter Reliance Industries (Middle East) DMMC, Relene
Petrochemicals Limited, Reliance Capital Ventures Limited, Reliance
Communication Ventures Limited, Global Fuel Management Services Limited,
Reliance Energy Ventures Limited, Reliance Power Limited, Reliance Patalganga
Power Limited, Reliance Thermal Energy Limited, Hirma Power Limited and
Jayamkondam Power Limited have become subsidiaries of the Company.
6.
Provision for Current Tax includes, provision for Fringe Benefit Tax of Rs 70
millions (US$ 2 million) for the quarter and Rs 120 millions (US $ 3 million)
for the half year. (Previous Year Rs NIL)
7.
There were no investors' complaints pending as on July 1, 2005. All the 2,983
complaints received during the quarter were resolved and no complaints were
outstanding as on 30th September 2005.
8. The
statutory auditors of the Company have carried out a Limited Review of the
results for half-year ended 30th September 2005.
9. The
above results were reviewed by the Audit Committee. The Board of Directors at
its meeting held on 27th October 2005 approved the above results and its
release.
News:-
31-Oct-2005
Reliance made purchases of Iraqi crude oil suppliers at prevailing
international prices
Mumbai, October 31, 2005: Some recent media
reports about the Volcker's Report on the Iraqi Oil-For-Food Programme have
made a reference to Reliance Industries Limited
The company would like to make it abundantly
clear that it purchased Iraqi crude oil from suppliers, pursuant to UN approved
contracts under "Oil for Food Programme", for use in its refinery.
Reliance Industries categorically states that
the company made all purchases of Iraqi crude oil suppliers at the prevailing
international prices.
Apart from payment at prevailing price of
crude oil, no other payments were involved in these purchases. The Volcker
Committee report has clearly brought out these facts.
Reliance Industries Limited
Reliance Industries Limited (RIL) is India's
largest private sector company on all major financial parameters with turnover
of Rs 73,1640 millions (US$ 16.7 billion), cash profit of Rs 12,0870 millions
(US$ 2.8 billion), net profit of Rs 7,5720 millions (US$ 1.7 billion), net
worth of Rs 40,4030 millions (US$ 9.2 billion) and total assets of Rs 80,5860
millions (US$ 18.4 billion).
RIL is the first and only private sector company from India to feature in the
2004 Fortune Global 500 list of 'World's Largest Corporations' and ranks
amongst the world's Top 200 companies in terms of profits. RIL emerged in the
world's 10 most respected energy/chemicals companies and amongst the top 50
companies that create the most value for their shareholders in a global survey
and research conducted by PricewaterhouseCoopers and Financial Times in 2004. RIL also features in the Forbes
Global list of world's 400 best big companies and in FT Global 500 list of world's largest
companies.
RIL emerged as the 'Best Managed Company' in
India in a study by Business Today and A.T. Kearney in 2003. In 2004,
the company emerged as 'India's biggest wealth creator' in the private sector
over a 5-year period in a study by Business Today - Stern Stewart and as
India's 'Most Admired Company' in a Business Barons - TNS Mode Opinion
Poll.
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.39.68 |
|
UK Pound |
1 |
Rs.82.11 |
|
Euro |
1 |
Rs.58.81 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--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 |
NO |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
54 |
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 |
|