MIRA INFORM REPORT

Report Date :

11.11.2008

IDENTIFICATION DETAILS

Name :	H AND R JOHNSON INDIA LIMITED
Registered Office :	Windsor, 7^th floor, C S T Road, Kalina, Santacruz (East), Mumbai – 400 098, Maharashtra
Country :	India
Financials (as on) :	31.03.2008
Date of Incorporation :	25.01.1958
Com. Reg. No.:	11 -11013
CIN No.: [Company Identification No.]	U26900MH1958PLC011013
TAN No.: [Tax Deduction & Collection Account No.]	BPLH00064B
Legal Form :	A Closely held public limited liability company
Line of Business :	Manufacturing and Marketing of ceramic glazed wall and floor tiles and fully vitrified granite tiles / Porcelain (glazed / unglazed) tiles.

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 12000000
Status :	Satisfactory
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	The company is now under the new management of Rahejas, India’s largest property developers and hotel owners. They acquired controlling interest from Pedders about 2 years back. Aggregate means of Raheja’s are very large. 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.

LOCATIONS

Registered/Corporate Office:	Windsor, 7^th floor, C S T Road, Kalina, Santacruz (East), Mumbai – 400 098, Maharashtra, India
Tel. No.:	91-22-26547300 / 30647300
Fax No.:	91-22-30647400
E-Mail :	sacheti.rajnish@hrjohnsonindia.com
Website :	www.hrjohnsonindia.com
Head Office :	“Rahejas”, 3^rd Floor, Corner of Main Avenue & V P Road, Santacruz (West), Mumbai – 400 054, Maharashtra, India
Tel. No.:	91-22-26001291/26001292/26055160/26001293/ 26001294/26057975
Fax No.:	91-22-26001286
E-Mail :	exports@hrjohnsonindia.com / santosh@hrjonsonindia.com
Websites:	http://www.hrjohnsonindia.com
Area :	4200 sq. fts.
Location :	Owned - Commercial Area
Factory :	· Pen, District Raigad – 400 107, Maharashtra, India · Dewas, Madhya Pradesh, India · Karaikal, Tamilnadu, India · Kunigal, Karnataka, India
Branches :	· 105, 1^st Floor, Harikrupa Shopping Centre, Near City Gold Cinema, Ashram Road, Ahmedabad – 380 009, Gujarat, India · C/o. J. L. Agencies, N. S. Road, Fatashil, Opp. Glass Factory, Guwahati – 781 009, Assam, India · 48 Lalbagh Road, Bangalore – 560 027, Karnataka, India · Door No. 14/51F, Bismi Tower, Kallai Road, Calicut – 670 001, Kerala, India · Show Room No. 57, Sector 26, Chandigarh – 160 026, India · 645, Mount Road, Chennai – 600 006, Tamilnadu, India · Door No. 61, Part and 62, D.E. F. Thiruvenkadasamy Road (West), R. S. Puram, Coimbatore – 641 002, India · 86 Ripon Street, Kolkata – 700 016, West Bengal, India · 40/937, P. T. Usha Road, Ernakulam – 682 011, Kerala, India · Plot No. 1, Basement of Ram Palace, New Arya Nagar, New Delhi, Meerut Road, Ghaziabad, Uttar Pradesh, India · Ground Floor, Green Garden Cross, Gokul Road, Hubli – 580 030, Karnataka, India · 1^st Floor of Building No. 1-10-73/2, Lumbini Arcade, Begumpet Main Road, Hyderabad – 500 016, Andhra Pradesh, India · 555-GA-81, Bara Birwa, Alambagh, Lucknow – 226 005, Uttar Pradesh, India · 101 and 102, Mamta Tower, 1/1, Manoramgauj, Indore, Madhya Pradesh, India · 173, Heera Nagar, Ajmer Road, Jaipur – 302 024, Rajasthan, India · Door No. 9B, P. T. R. Road, Behind Vadamalayam, Madurai – 570 002, Tamilnadu, India · “Surya Kiran”, Flat No. 501, 19, Kasturba Gandhi Marg, New Delhi – 110 001, India · Shop 2-3-4-5, “Gulistan”, Cantonment House No. 2390-B, K. B. Hidayatullah Road, New Modikhana, Pune, Maharashtra, India · 76-5-13, Bhavanipuram, Bhagwat Singh Road, Vijayawada – 520 012, Andhra Pradesh, India · 50-93-23/5/A, Plot No. 2, Block No. 5, Santipuram, Sethannapet, Vishakhapatnam – 520 016, Andhra Pradesh, India

DIRECTORS

Name :	Mr. Vijay Aggarwal
Designation :	Managing Director
Address :	4^th Floor, “Sterling Diamond”, 24, Mount Mary Road, Bandra (West), Mumbai – 400 050, Maharashtra, India
Date of Birth:	08.07.1968
Date of Appointment:	27.07.1999
Qualification :	B. Tech., PGDBM
Previous Employment:	Hathway Investment Limited – Manager
Name :	Mrs. Suman R. Raheja
Designation :	Director
Address :	“Rahejas”, 87/1 G. B. Marg, Juhu, Mumbai – 400 049, Maharashtra, India
Date of Birth:	06.08.1964
Date of Appointment:	11.09.1993
Name :	Mr. Joseph Mathews
Designation :	Director
Address :	Bar House, Bar Road, Baslow, Derbyshire, DE 45 ISS, U.K.
Date of Birth:	23.06.1945
Date of Appointment:	29.01.1992
Name :	Mr. Aziz Habib Parpia
Designation :	Director
Address :	Blooming Heights, Pali Hill, Bandra, Mumbai – 400 050, Maharashtra, India
Date of Birth:	21.06.1929
Date of Appointment:	10.09.1993
Name :	Mr. Rajesh Kapadia
Designation :	Director
Address :	9-C Woodlands, New Woodland CHS Limited, 67 Dr G Deshmukh Marg, Mumbai – 400 006, Maharashtra, India
Date of Birth:	02.11.1956
Date of Appointment:	11.09.1993
Name :	Mr. Anil Shridhar Supanekar
Designation :	Director
Address :	694/2, Swami Kripa, Market Yard Road, Pune – 411 037, Maharashtra, India
Date of Birth:	24.10.1940
Date of Appointment:	26.02.2003
Name :	Mr. Akshay Raheja
Designation :	Director
Address :	“Rahejas”, 87/1 G. B. Marg, Juhu, Mumbai – 400 049, Maharashtra, India
Date of Birth:	25.05.1982
Date of Appointment:	16.09.2002
Name :	Mr. Anil Shridhar Supanekar
Designation :	Director (IDBI Nominee)
Name :	Mr. Rajan B Raheja
Designation :	Director
Address :	“Rahejas”, 87/1 G. B. Marg, Juhu, Mumbai – 400 049, Maharashtra, India
Date of Birth:	17.06.1954
Date of Appointment:	10.09.1993

KEY EXECUTIVES

Name :	Mr. Rajnish Sacheti
Designation :	Company Secretary
Address:	2/701 Garden Estate, Pokhran Road No.2, Thane – 400 601, Maharashtra, India
Date of Birth:	19.06.1963
Date of Appointment:	04.10.1997
Name :	Mr. K. K. Rathi
Designation :	President - Finance
Name :	Mr. Rajan B. Raheja
Designation :	Chairman
Address :	Rahejas, 87/1, G. B. Marg, Juhu, Mumbai – 400 049, Maharashtra, India
Date of Birth:	17.06.1954
Date of Appointment:	10.09.1993

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(As on 03.07.2008)

Names of Shareholders	No. of Shares
Ranjan B. Raheja	972
Suman R. Raheja	972
Akshay R. Raheja	216
Viren R. Raheja	216
Varahagiri Investment and Finance Private Limited	150977
Coronet Investment Private Limited	271296
Manali Investment and Finance Private Limited	229608
Matsyagandha Investments and Finance Private Limited	133963
R Raheja Properties Private Limited	177600
Peninsula Estates Private Limited	143625
Bloomingdale Investment and Finance Private Limited	129600
H and R Johnson (Overseas) Limited	281534
Mona Ninad Desai	16000
Ameeta Aziz Parpia	28000
Aziz Habib Parpia	20000
Rama Aziz Parpia	11000
Total	1595579

List of Allotment (As on 27.06.2007)

Names of Shareholders	No. of Shares
Coronet Investment Private Limited	45216
Matsyagandha Investments and Finance Private Limited	22327
Akshay R. Raheja	36
Viren R. Raheja	36
Gokul Construction Company Private Limited	29600
Peninsula Estates Private Limited	54354
Bloomingdale Investment and Finance Private Limited	21600
Manali Investment and Finance Private Limited	38268
Ranjan B. Raheja	162
Suman R. Raheja	162
Varahagiri Investment and Finance Private Limited	41669
Total	253430

Equity share Breakup (percentage of total equity):

(As on 30.09.2008)

Category	Percentage
Foreign holdings (Foreign institutional investor(s), Foreign companie(s), Foreign Financial institution(s), Non – resident Indian(s) or Overseas corporate bodies or Others	18.51
Bodies corporate	81.33
Other top fifty (50) shareholders	0.16
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturing and Marketing of ceramic glazed wall and floor tiles and fully vitrified granite tiles / Porcelain (glazed / unglazed) tiles

Products :

Product Description	ITC Code
Ceramic Glazed Tiles	69089090
Unglazed Ceramic Vitrified Tiles	69079010
Ceramic Glazed Vitrified Tiles	69089090

Brand Names :

“SPECTRUM H AND R J and JOHNSON GRANITO”

Exports :

Countries :

· Africa

· Middle East

· Far East

· Europe

· U.S.A.

Imports :

Countries :

· U.K.

· Germany

· Nepal

· Bangladesh

Terms :

Selling :

Contract (30 days) or L/C terms

Purchasing :

Cash, L/C and Credit (30 days)

PRODUCTION STATUS

(As on 31.03.2008)

Particulars	Unit	Installed Capacity	Actual Production
Ceramic Tiles	Tons	332720	258176

GENERAL INFORMATION

Suppliers :

· Al-Karmiee Est., Bharain

· Binatwala Ceramics, Mumbai, Maharashtra, India

· K. Raheja and Company (Private) Limited, Mumbai, Maharashtra, India

· Kukreja Builders Limited, Mumbai, Maharashtra, India

· City, Italy

· Larson and Toubro Limited, Mumbai, Maharashtra, India

· Industrial Minerals and Plastics Limited, Mumbai, Maharashtra, India

· Birla Cement Limited, Rajasthan, Gujarat, India

· Nesettice, Italy

· Travancore Minerals Limited, Quilon

Customers :

· Government bodies

· Wholesalers

· Retailers

No. of Employees :

2055

Bankers :

· IDBI Bank Limited, IDBI Tower WTC Complex, Cuffe Parade, Mumbai – 400 005, Maharashtra, India

· Indian Overseas Bank, Tembi Naka, Opposite Town Hall, Thane – 400 601, Maharashtra

· Vijaya Bank

· State Bank of Bikaner and Jaipur

· The British Bank of the Middle East

· Syndicate Bank

· ICICI Bank Limited

· State Bank of India

Commercial Branch, NGN Vaidya Marg, P B No 10141, Mumbai – 400 023, Maharashtra, India

· State Bank of Hyderabad

Facilities :

Secured Loans	(As on 31.03.2008) Rs. In millions
Working Capital Facilities from Banks
Cash Credit and Demand Loans	731.918
Term Loans from Institutions and Others
Vehicle Loan	15.728
ICICI Bank Limited	300.000
Indian Overseas Bank	520.000
State Bank of India	99.228
State Bank of Hyderabad	124.993
Foreign Currency Loans
IDBI $ Loan	15.301
Export Import Bank of India $ Loan	77.005
ING Vysya Bank Limited $ Loan	18.393
State Bank of India $ Loan	36.053
State Bank of India $ Loan	89.177
Total	2027.796

Notes

1. Secured by first pari passu charge by way of hypothecation of stocks, book debts and second pari passu charge on the assets by way of mortgage and hypothecation in respect of those assets which are first charged to lenders under (ii) below.
2. Secured by first pari passu charge on immovable properties situated at Kunijal and Pen, both present and future, and first pari passu charge by way of hypothecation of all the movables fixed assets located at Pen, Dewas and Kunigal, both present and future.
3. Secured by first charge on vehicles together with all accessories and addition to or in the vehicles, whether present and future.
4. Secured by first charge on all present and future movable and Immovable fixed assets situated at Karaikal.
5. Secured by first and exclusive charge on all present and future movable and Immovable fixed assets situated at Kalina office of the Company.
6. Term Loans due within a year amount to is Rs.592.815 millions

Banking Relations :

Satisfactory

Auditors :

Name :

Borkar and Muzumdar

Chartered Accountants

Address 1:

Address 2:

Anand Nagar OM CHS, Anand Nagar lane, off Nehru Road, Vakola, Santacruz (East), Mumbai – 400 055, Maharashtra, India

235-37, Dr. D. N. Road, Fort, Mumbai – 400 001, Maharashtra, India

Tel. No.:

91-22-22613766/22696359/26451340/26426849

Fax No.:

91-22-22615241

E-Mail :

bmca@vsnl.com

Associates/Subsidiaries :

· Porselano Tiles Limited

CIN No.: U14103MH2006PLC160848

· Varahagiri Investment and Finance Private Limited

· Coronet Investments Private Limited

· Manali Investment and Finance Private Limited

· Matsyagandha Investment and Finance Private Limited

· Gokul Construction Company Private Limited

· Peninsula Estates Private Limited

· Bloomingdale Investment and Finance Private Limited

· Finance Private Limited

· Raheja Builders

· Raheja Brothers

· Raheja Housing and Financing

· Arjuna Agencies Private Limited

· Sri Krishna Agencies Private Limited

· Prism Cements Limited

· Supreme Petrochem Limited

· Indus Hotel Corporation Limited

· Asianet Communication Limited

· Out Look

· Indian Council of Ceramic Tiles and Sanitaryware (ICCTAS)

· Indian Ceramic Society

· Indian Merchants Chambers (IMC)

· Bombay Chamber of Commerce and Industry (BCCI)

· Confederation of Commerce and Industry (FICCI)

· Employers Federation of India (EFI)

· Construction Industry Development Council (CIDC)

· Chemical and Allied Products Export Promotion Council (CAPEXIL)

· Hathway Investments Private Limited

· Hathway Cable and Datacom Private Limited

· R and S Business Centre

· Windsor Reality Private Limited (Formerly known as Emgeen Holding Private Limited)

· Globus Stores Private Limited

· H and R Johnson Tiles Private Limited

· Philkeram Johnson S.A.

· Johnson Tiles Pty. Limited

Joint Venture :

· Ardex Endura (India) Private Limited

· Sentini Cermica Private Limited

· RMC Ready Mix (India) Private Limited

· Antique Granito Private Limited

· Milano Bathroom Fittings Private Limited

· Ferro Glaze Tiles Private Limited

· Falcon Glaze Tiles Private Limited

· Shine Ceramic Private Limited

· Fine Ceramics Private Limited

· Silica Ceramic Private Limited

CAPITAL STRUCTURE

(As on 30.09.2008)

Authorised Capital :

No. of Shares	Type	Value	Amount
2000000	Equity shares	Rs.100/- each	Rs.200.000 millions
2000000	Preference shares	Rs.100/- each	Rs.200.000 millions
		Total	Rs.400.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1520579	Equity shares	Rs.100/- each	Rs.152.058 millions
75000	Preference shares	Rs.100/- each	Rs.7.500 millions
	Total		Rs.159.558 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2008	31.03.2007	31.03.2006
SHAREHOLDERS FUNDS
1] Share Capital		159.558	134.215	139.215
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		2143.757	1822.740	1724.201
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		2303.315	1956.955	1863.416
LOAN FUNDS
1] Secured Loans		2027.796	2425.575	2309.550
2] Unsecured Loans		507.202	739.422	1065.323
TOTAL BORROWING		2534.998	3164.997	3374.873
DEFERRED TAX LIABILITIES		666.072	662.847	645.565
TOTAL		5504.385	5784.799	5883.854
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		4037.581	4038.540	3960.413
Capital work-in-progress		44.606	239.601	131.119
INVESTMENT		748.891	501.185	480.785
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	1415.870	1547.901	1509.616
	Sundry Debtors	794.901	682.018	538.992
	Cash & Bank Balances	234.867	215.647	340.123
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	301.005	325.104	300.517
Total Current Assets		2746.643	2770.670	2689.248
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	2006.997	1740.431	1365.803
	Provisions	79.346	53.754	57.302
Total Current Liabilities		2086.343	1794.185	1423.105
Net Current Assets		660.300	976.485	1266.143
MISCELLANEOUS EXPENSES		13.007	28.988	45.394
TOTAL		5504.385	5784.799	5883.854

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2008	31.03.2007	31.03.2006
Sales Turnover		10105.610	9025.708	7164.917
Other Income		90.951	65.744	33.586
Total Income		10196.561	9091.452	7198.503
Profit/(Loss) Before Tax		90.780	154.040	270.997
Provision for Taxation		12.654	53.382	103.566
Profit/(Loss) After Tax		78.126	100.658	167.431
FOB Value		45.192	50.787	0.000
Expenditures :
	Material Cost	7455.372	6371.319	4783.375
	Staff Cost	584.373	454.737	400.683
	Other Cost	1392.339	1491.108	1200.914
	Interest	307.475	277.158	219.542
	Depreciation & Amortization	350.241	326.684	302.878
	Exceptional Expenditure	15.981	16.406	20.114
Total Expenditure		10105.781	8937.412	6927.506

KEY RATIOS

PARTICULARS		31.03.2008	31.03.2007	31.03.2006
PAT / Total Income	(%)	0.77	1.11	2.33
Net Profit Margin (PBT/Sales)	(%)	0.90	1.71	3.78
Return on Total Assets (PBT/Total Assets}	(%)	1.34	2.26	4.08
Return on Investment (ROI) (PBT/Networth)		0.04	0.08	0.15
Debt Equity Ratio (Total Liability/Networth)		2.01	2.53	2.57
Current Ratio (Current Asset/Current Liability)		1.32	1.54	1.89

LOCAL AGENCY FURTHER INFORMATION

Form No. 8

Name of the company	H AND R JOHNSON INDIA LIMITED
Presented By	Shri Rajnish Sacheti, Company Secretary
1) Date and description of instrument creating the change	27.09.2005 Joint Deed of Hypothecation Executed in favour of State Bank of India (SBI) and ING Vysya Bank Limited (ING) Further no document was executed but Joint Mortgage created by deposit of Title Deeds on 27.09.2005 for creation of Mortgage in favour of SBI (SBI acting on behalf of SBI itself and ING) (The hypothecation and mortgage constitute a single charge)
2) Amount secured by the charge/amount owing on the securities of charge	FCNR (B) TL from SBI Corporate Loan of Rs.100.000 millions Corporate Loan of Rs.150.000 millions Aggregating to Rs.250.000 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	Loan 1 First pari passu hypothecation charge on the company’s entire movable fixed assets / properties, both present and future, including entire plant and machinery of the Company situated at Karaikal Plant of the Company; First pari passu charge / mortgage of immovable property and fixed assets pertaining to Karaikal Plant of the Company. Loan 2 First exclusive hypothecation charge on entire movable fixed assets / properties, both present and future of the Company situated at Kalina office of the Company. First exclusive charge / mortgage of immovable property and fixed assets pertaining to Kalina office of the Company.
4) Gist of the terms and conditions and extent and operation of the charge.	Repayment : Loan 1 – in 7 quarterly instalments after 18 months moratorium. (first 4 instalments of 1/10 and balance of 1/5 of loan amount). Loan 2 – In 6 quarterly instalments after 24 months moratorium. (first 2 instalments of Rs.15.000 millions, next 2 instalments of Rs.20.000 millions and balance 2 instalments of Rs.40.000 millions each.) Interest : 200 basis points above 6 months LIBOR; Security Loan 1 – First pari passu charge created in favour of State Bank of India along with ING Vysya Bankon the movable fixed assets and immovable properties situated at Karaikal Plant of the Company. Loan 2 – First Exclusive Charge in favour of State Bank of India on the movable fixed assets and immovable properties situated Kalina Office of the Company.
5) Name and Address and description of the person entitled to the charge.	State Bank of India Commercial Branch (Advances) N G N Vaidya Marg, P B No. 10141, Mumbai – 400 023, Maharashtra, India
6) Date and brief description of instrument modifying the charge	Not Applicable
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.	Not Applicable

Dividend

Dividend of Rs.0.406 million on Preference Shares has already been paid during the Financial Year and balance amount of Rs.0.081 million is proposed for payment. In view of the fund requirement for Investments and the ongoing expansion plans of the company the Board of Directors propose the declaration of a dividend of Rs.1/- per share on Equity Shares for the year.

Operations

The Company has completed 50 year of Leadership in India this year. Incorporated in 1958, the company has transformed from being a small wall-tile company to being the only company in India today to provide complete bathroom solutions to the customers which includes tiles, sanitaryware, bathroom fittings and bathroom fixtures. This year when the company is celebrating the Golden Jubilee., it has also become the only company in the industry to surpass the benchmark of Rs.10000 millions in sales.

The company has achieved a Gross Sales of Rs.10305 million and Net sales of Rs.10027 million during ten year recording a growth of 11.2% and 11.5% respectively over the previous year. Operating Profit (Profit before interest, Depreciation, Tax and exceptional items) during the year was Rs.764 million as compared to Rs.774 million last year. Profit Before Tax for the year was Rs.91 million as compared to Rs.154 million last year.

The original Anti-Dumping Duty of US$ 8.28 per m2 imposed on vitrified / porcelain tiles imported from China came to an end on May 1, 2007. On an application made by the Domestic Industry, the Designated Authority initiated a Sunset Review. The original Anti-Dumping Duty of US$ 8.28 per m2 was continued during the period of Sunset Review. The Designated Authority concluded the Sunset Review by returning a Final Finding dated 21^st April 2008 wherein it was observed that there exists significant current injury to the Domestic Industry and therefore an Anti-Dumping Duty of Rs.155/- per m2 was recommended. However, certain Chinese manufacturers were granted exemption from Anti-Dumping Duty which is certain to hurt the Domestic Industry and depress domestic prices. The Customs Notification for imposition of the new Ant-Dumping Duty is awaited.

The Company has started an all – India toll-free service for the customers. The customers van now Call from anywhere in India at 1800-22-7484 using a BSNL / MTNL service or 022-3064-7684 from their mobile. Various facilities like answering customer queries, FAQs, addressing complaints etc. are offered free of charge. This service is available during business hours Monday through Saturday. It would allow them to be in close contact with the customers and offer better services.

On the product front, the Company has launched Marbonite Metallium in the vitrified range and Highlighter Series in the Wall category. In Endura range, the Company has launched Timborama – Engineered Wood Floors. These new offerings are in the line with the Company’s ongoing efforts to improve lifestyles of its customers by offering innovative products and service.

All the plant of the Company have performed satisfactorily, Marbonite production at Pen Plant has been increased by improving the capacity utilization of the Plant. However, inadequate availability of natural gas at Pen continues to exert pressure on margins. The product range ay Karaikal Plant has been shifted to manufacture value-added rectified products.

Fixed Assets

· Purchase of Rights

· Goodwill

· Leasehold Land

· Freehold Land

· Roads and Buildings

· Plant and Machinery

· Furniture, Fittings and Air Conditioning Equipment

· Vehicles

· Water Installation

· Moulds

WEBSITE DETAILS:

Company Profile

Subject is India's No. 1 tile company offering a wide range of wall and floor tile products across various segments viz. wall, floor, vitrified, exterior applications and industrial applications. The company also caters to customer needs in sanitary ware and bathroom accessories segments.

As a member of Johnson Ceramics International, UK, the global leader in the international tile industry, they have access to the latest trends and designs prevalent in the international market. With a vast portfolio comprising 5 well-known brands in India (Johnson, Marbonite, Porselano, Endura and Milano) the company provides the most innovative products meeting international standards.

They have state-of-the-art machinery at the manufacturing plants located at Dewas, Pen, Kunigal and Karaikal. All the plants are ISO compliant with both 9001, 14001 certifications, as well as OHSAS 18001, which is given for excellence in safety standards.

Management Focus

Subject believe that sustainable growth comes only with a powerful product and to create that product it is necessary to have synergy between the people and the process. They have established such a synergetic environment, where empowerment arises through the principles of trust, transparency and team spirit.

The core management team is an Executive Committee comprising the Managing Director and Presidents of various functions. This committee meets at regular intervals to formulate company policies and review performance. In effect, this committee strives to constantly innovate and apply global standards to provide excellent products and services to the customers.

They strive to continuously excel, grow and create more value to all the customers.

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 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.47.32
UK Pound	1	Rs.74.20
Euro	1	Rs.60.73

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.	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