MIRA INFORM REPORT

Report Date :

16.04.2011

IDENTIFICATION DETAILS

Name :	ORGANIC INDUSTRIES LIMITED

Registered Office :	72, Raja Industrial Estate, P K Road, Mulund (West), Mumbai – 400 080, Maharashtra

Country :	India

Financials (as on) :	31.03.2009

Date of Incorporation :	25.03.1997

Com. Reg. No.:	11-106819

CIN No.: [Company Identification No.]	U25201MH1997PLC106819

TAN No.: [Tax Deduction & Collection Account No.]	MUMO02097E

PAN No.: [Permanent Account No.]	AAACO3738N

Legal Form :	A Closely Held Public Limited Liability Company

Line of Business :	Manufacturer of Bottles, Caps and Cosmetic Containers.

RATING & COMMENTS

MIRA’s Rating :

Ba (49)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 292000

Status :	Satisfactory

Payment Behaviour :	Usually Correct

Litigation :	Clear

Comments :	Subject is an established company having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments. The company can be considered normal for business dealings at usual trade terms and conditions.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – April 1, 2010

Country Name

Previous Rating

(31.12.2009)

Current Rating

(01.04.2010)

India

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

INFORMATION DECLINED BY

Name :	Mr. Arjun
Designation :	Accountant
Contact No. :	91-22-41622828
Date :	15.04.2011

LOCATIONS

Registered Office :	72, Raja Industrial Estate, P K Road, Mulund (West), Mumbai – 400 080, Maharashtra, India
Tel. No.:	91-22-41622828 (100 Lines) / 25662146
Fax No.:	91-22-41622803
E-Mail :	opl@mtnl.net.in vivek.naik@organicgroup.co.in
Website :	http://www.organicgroup.co.in

Branch Office :	74, 1st Main, Lower Palace Orchards, Sadashiv Nagar, Bhashyam Circle, Bangalore - 560 080, Karnataka, India
Tel. No.:	91-80-23346772 / 6773 / 6774
TeleFax No.:	91-80-23346774
E-Mail :	oppblr@vsnl.net opplblr@gmail.com

Factory 1 :	Plot No.9, Station Road, Opposite Mumbai-Nasik Highway, Taluka Shahapur, Asangaon - 421 601, Maharashtra, India
Tel. No.:	91-2527-272161/ 272164
	91-2527-272983
E-Mail :	opplasn@wspl.net.in

Factory 2 :	S.No.28/1, 28/2, Kempalingana Halli Road, Obanayakana Halli, Nelmangala Tal., Bangalore - 562 123, Karnataka, India
Tel. No.:	91-80–7725685/ 7725687/ 7725689
E-Mail :	opplnla@vsnl.net

Factory 3 :	S/ 163, GIDC, Dahej, Taluka Vaghru, District Bharuch – 392 130, Gujarat, India

DIRECTORS

Name :	Mr. Anand Monappa Shetty
Designation :	Director
Address :	1801, Odyssey I CHS Limited, Hiranandani Gardens, Powai, Mumbai – 400 076, Maharashtra, India
Date of Birth/Age :	08.01.1953
Date of Appointment :	17.02.1997

Name :	Mr. Adish Anand Shetty
Designation :	Director
Address :	1801, Odyssey I CHS Limited, Hiranandani Gardens, Powai, Mumbai – 400 076, Maharashtra, India
Date of Birth/Age :	02.09.1988
Date of Appointment :	16.03.2007

Name :	Mr. Pravir Anand Shetty
Designation :	Director
Address :	1801, Odyssey I CHS Limited, Hiranandani Gardens, Powai, Mumbai – 400 076, Maharashtra, India
Date of Birth/Age :	21.01.1984
Date of Appointment :	28.06.2002

Name :	Mrs. Shashirekha Anand Shetty
Designation :	Director
Address :	1801, Odyssey I CHS Limited, Hiranandani Gardens, Powai, Mumbai – 400 076, Maharashtra, India
Date of Birth/Age :	01.06.1959
Date of Appointment :	17.02.1997

Name :	Mr. Shyamlal Gobindram Jhaverani
Designation :	Director
Address :	Plot No. 381, Sainath Section, Ambernath (East), Thane – 421 501, Maharashtra, India
Date of Birth/Age :	14.03.1945
Date of Appointment :	01.11.2007
Date of Ceasing :	05.10.2009

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2009

Names of Shareholders	No. of Shares
Adish Anand Shetty	321600
Anand Monappa Shetty	2859000
A.M. Shetty (HUF)	50900
Kushal Shetty	1000
Pravir Anand Shetty	197500
Shashirekha Anand Shetty	243500
S.M. Shetty	65500
Total	3739000

Equity share breakup (percentage of total equity)

(As on 30.09.2009)

Category	Percentage
Directors or relatives of directors	96.87
Others	3.13
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Bottles, Caps and Cosmetic Containers.

Products :

· Blow Moulded Containers

· Injection Moulded Components

· Compression Moulded Caps

· Injection Stretch Blow moulded-Single stage Pet Bottles

· Injection Blow Moulded Bottles

GENERAL INFORMATION

Customers :

· Anabond Limited

· Azko Noble Chemicals (India) Limited

· Atofina Peroxide (India) Limited

· Atotech India Limited

· Bharat Petroleum Corporation Limited

Bankers :

· The Shamrao Vithal Co-Operative Bank Limited, G-1, 6, 7 and 8, Ganesh Krupa, RHB Road, Mulund (West), Mumbai – 400 080, Maharashtra, India

· The North Kanara GSB Co-Operative Bank Limited, Mulund (West), Mumbai – 400 080, Maharashtra, India

· HDFC Bank

· ICICI Bank

No. of Employees :

Not divulged by the management.

Unsecured Loan	Rs. In Millions 31.03.2009	Rs. In Millions 31.03.2008
From Directors and Share Holders	22.434	2.905
From Others	71.989	17.265
Deferred Sales Tax Liability	15.332	14.692
Total	109.755	34.862


Banking Relations :	--

Auditors :
Name :	Sadashiv Shetty and Company Chartered Accountants
Address :	102, Datta Ratna Building, Sir Bhalchandra Road, Dadar, Mumbai – 400 080, Maharashtra, India
Tel. No.:	91-22-24112755 / 24114825
E-Mail :	sadashiv_shetty@vsnl.net

Associates/ Subsidiaries :	Trimurthi Polymers Address: Survey No.910/5, Village Amli –Dokmandi, Silvassa - 396230 (D. and N. H.) Tel. No.: 91-260-3090926 Tele Fax No.: 91-260-2630332 E-Mail : trimurthi_silvassa@yahoo.com

CAPITAL STRUCTURE

As on 31.03.2009

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Shares	Rs.10/- each	Rs.100.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
3739000	Equity Shares	Rs.10/- each	Rs.37.390 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2009	31.03.2008	31.03.2007
SHAREHOLDERS FUNDS
1] Share Capital		37.390	13.290	13.290
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		35.686	22.236	15.903
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		73.076	35.526	29.193
LOAN FUNDS
1] Secured Loans		525.173	131.854	120.541
2] Unsecured Loans		109.755	34.862	17.303
TOTAL BORROWING		634.928	166.716	137.844
DEFERRED TAX LIABILITIES		9.200	4.330	4.193

TOTAL		717.204	206.572	171.230

APPLICATION OF FUNDS

FIXED ASSETS [Net Block]		530.589	89.052	83.629
Capital work-in-progress		45.806	16.618	0.000

INVESTMENT		12.138	10.450	4.190
DEFERREX TAX ASSETS		0.000	0.000	0.000

CURRENT ASSETS, LOANS & ADVANCES
	Inventories	79.062	41.934	33.283
	Sundry Debtors	62.268	60.356	50.943
	Cash & Bank Balances	2.569	0.988	6.037
	Other Current Assets	35.186	6.366	15.893
	Loans & Advances	0.000	0.000	0.000
Total Current Assets		179.085	109.644	106.156
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities & Provisions	10.318	6.085	5.916
	Sundry Creditors	52.308	21.164	18.078
Total Current Liabilities		62.626	27.249	23.994
Net Current Assets		116.459	82.395	82.162

MISCELLANEOUS EXPENSES		12.212	8.057	1.249

TOTAL		717.204	206.572	171.230

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2009	31.03.2008	31.03.2007
Sales Turnover		390.290	381.205	328.116
Other Income		1.513	0.891	1.129
Total Income		391.803	382.096	329.245

Profit/(Loss) Before Tax		20.655	8.342	8.197
Provision for Taxation		7.205	2.009	2.100
Profit/(Loss) After Tax		13.450	6.333	6.097

Export Value		0.734	Nil	39.124

Import Value		16.393	17.540	0.000

Expenditures :
	Manufacturing Expenses	291.691	320.064	277.086
	Personnel Expenses	18.450	12.770	10.602
	Administrative Expenses	15.800	14.830	10.071
	Financial Expenses	23.287	18.791	12.972
	Increase/(Decrease) in Finished Goods	3.837	(7.047)	(1.422)
	Depreciation & Amortization	18.083	14.346	11.739
Total Expenditure		371.148	373.754	321.048

Earnings Per Share (Rs.)		3.60	4.77	NA

KEY RATIOS

PARTICULARS		31.03.2009	31.03.2008	31.03.2007
PAT / Total Income	(%)	3.43	1.66	1.85

Net Profit Margin (PBT/Sales)	(%)	5.29	2.19	2.50

Return on Total Assets (PBT/Total Assets}	(%)	2.91	4.20	4.32

Return on Investment (ROI) (PBT/Networth)		0.28	0.23	0.28

Debt Equity Ratio (Total Liability/Networth)		9.55	5.46	5.54

Current Ratio (Current Asset/Current Liability)		2.86	3.82	4.42

LOCAL AGENCY FURTHER INFORMATION

Details of Sundry Creditors:

Particulars	31.03.2009 (Rs. in millions)	31.03.2008 (Rs. in millions)	31.03.2007 (Rs. in millions)
Sundry Creditors for Capital Expenditure	33.827	1.258	0.097
Sundry Creditors for Goods (purchased)	4.731	4.187	4.656
Sundry Creditors for Raw Materials	7.475	7.714	8.069
Sundry Creditors for Expenses	4.900	7.739	5.256
Sundry Creditors for Capital Retention	0.868	--	--
Sundry Creditors for Packing Expenses	0.507	--	--
Sundry Creditors (Bharuch)	--	0.266	0.000

Name of the company

ORGANIC INDUSTRIES LIMITED

Presented By

The Shamrao Vithal Co-Operative Bank Limited, Mulund (West) Branch, Mumbai – 400 080

1) Date and description of instrument creating the change

Agreements dated 16.02.2005

· Joint Deed of Hypothecation

· Working Capital Consortium Agreement

(Both these agreements together constitute a single charge)

2) Amount secured by the charge/amount owing on the securities of charge

Rs.80.000 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

The whole of the current assets of the Borrower namely stocks of raw material, stock in process, semi finished and finished goods, stores and spares not relating to plant and machinery (consumable stores and spares), bills receivables and book debts and all other movables, both present and future, of the borrower.

4) Gist of the terms and conditions and extent and operation of the charge.

To secure due repayment of the various credit facilities granted by the following banks to the borrower, the details are as follows

	Amount (Rs. in millions
	SVC Bank	NKGSB Bank
Cash credit Limits Hypothecation of stock and goods and book debts	45.000	10.000

Sub-Limits
Cheque Purchase Limit – Sub Limit	10.000	10.000
Import/Inland Letter of Credit Sight / DA upto 180 days – Limit

Guarantee Limit – Drawing Against Uncleared Effects	5.000	Nil

Total	60.000	20.000

Particulars of Interest and Commission
Rate of interest
Cash Credit Limit	12% p.a.	12.5% p.a.
Import/Inland Letter of Credit / Inland Revolving Letter of Credit	As per FERA Act
Guarantee Limit – Commission	3%	3%

5) Name and Address and description of the person entitled to the charge.

The Shamrao Vithal Co-Operative Bank Limited

Mulund (West), Mumbai – 400 080, Maharashtra, India

The North Kanara GSB Co-Operative Bank Limited

Mulund (West), Mumbai – 400 080, 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

Corporate identity number of the company	U25201MH1997PLC106819
Name of the company	ORGANIC INDUSTRIES LIMITED
Address of the registered office or of the principal place of business in India of the company	72, Raja Industrial Estate, P K Road, Mulund (West), Mumbai – 400 080, Maharashtra, India
This form is for	Modification of charge
Charge identification number of the modified	10136136
Type of charge	Book Debts Movable Property
Particular of charge holder	The Shamrao Vithal Co-Operative Bank Limited, G-1, 6, 7 and 8, Ganesh Krupa, RHB Road, Mulund (West), Mumbai – 400 080, Maharashtra, India E-Mail: m.g.kalelkar.associates@gmail.com
Nature of description of the instrument creating or modifying the charge	First Supplemental Joint Deed of Hypothecation for Working Capital
Date of instrument Creating the charge	14/10/2009
Amount secured by the charge	Rs.147.500 millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest: As may be decided from time to time by the Banks. Margin: As may be decided from time to time by the Banks. Extent and Operation of the charge: To secure the due repayment of credit facilities aggregating Rs.147.500 millions (being Rs.81.500 millions of SVC Bank, Rs.53.600 millions of Thane Janata Sahakari Bank Limited and Rs.12.400 millions of Punjab and Maharashtra Co-operative Bank), together with interest, all costs, charges and expenses and other monies payable thereon, granted to the Company.
Short particulars of the property charged	Current Assets namely, stocks of raw materials, stocks in process, semi finished and finished goods, stores and spares not relating to plant and machinery and all other movables, present and future. All, present and future, book-debts, outstanding monies, receivables, claims, bills, rights to or in moveable properties and moveable assets of the Company. All tangible movable machinery, plant machinery, fixtures, fittings other installation, cranes, furniture, computers and other accessories, as described in Third Schedule to the said deed.
Particulars of the present modification	By this modification, the additional Cash Credit (Chemical Division) of Rs.11.500 millions has been granted by SVC Bank and Cash Credit (Chemical Divn) of Rs.11.000 millions has been granted by Thane Janata Sahakari Bank to the Company. Hence, the aggregate credit facilities have been enhanced from Rs.125.000 millions to Rs.147.500 millions, the details whereof are more particularly described Schedule I attached hereto and also in the said Deed. Therefore, the overall charge now stands at Rs.147.500 millions.

Corporate identity number of the company	U25201MH1997PLC106819
Name of the company	ORGANIC INDUSTRIES LIMITED
Address of the registered office or of the principal place of business in India of the company	72, Raja Industrial Estate, P K Road, Mulund (West), Mumbai – 400 080, Maharashtra, India
This form is for	Modification of charge
Type of charge	Immovable property
Particular of charge holder	The Shamrao Vithal Co-Operative Bank Limited G-1, 6, 7 and 8, Ganesh Krupa, RHB Road, Mulund (West), Mumbai – 400 080, Maharashtra, India
Nature of instrument creating charge	No instrument was executed. However, the equitable mortgage has been extended, over the immovable properties.
Date of instrument Creating the charge	10.01.2009
Amount secured by the charge	Rs.477.853 millions
Brief of the principal terms an conditions and extent and operation of the charge	· Rate of interest As may be decided, from time to time, by the Bank. · Margin As may be decided, from time to time, by the Bank. · Extent and operation of the charge To secure the due repayment of credit facilities aggregating Rs.477.853 millions granted by The Shamrao Vithal Co-Operative Bank Limited (SVCB), The Thane Janata Sahakari Bank Limited, (TJSB) Punjab and Maharashtra Co-Operative Bank Limited (PMCB) to the Company, as per schedule IV.
Particulars of the property charged	Immoveable properties being S. No. 28/1 and S. No. 28/2 belonging to the company

FIXED ASSETS:

Goodwill
Land
Building
Plant and Machinery
Electrical Installation
Dies and Tools
Office Equipments
Air Conditioner
Furniture and Fixtures
Interior Decoration
Computer
Motor Car
Clean Room

WEB DETAILS

PROFILE

Organic Industries - One of the Premier Plastic processing company in India having established over two decades strive to be the one stop source for all plastic containers and speciality injection moulded components. Over the years of packaging excellence and dedicated efforts has resulted in achieving total customer satisfaction and continued association with India's top notch business houses and multinationals.

Subject entered the field of plastic packaging in the year 1979 with manufacturing of Bottles, Caps and Cosmetic Containers. In the year 1985, it started with the manufacturer of Jerrycan, Carbouys, Barrels and Drums

They are the only company in India having the latest technologies in plastic processing-Injection Moulding, Blow Moulding, Compression Moulding, Injection Stretch and Injection blow Moulding with installed capacity of 24000 metric tons per annum and technical support from Milacron Ferromatik-USA, NISSEI, Sacmi and Yamamura-Japan.

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 records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.44.52
UK Pound	1	Rs.72.71
Euro	1	Rs.64.41

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--CREDIT LINES	1~10	5
--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		49

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	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
-	NB	New Business	-

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

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.

MIRA INFORM REPORT

Unit