MIRA INFORM REPORT

 

 

Report Date :

11.08.2011

 

IDENTIFICATION DETAILS

 

Name :

SARDA PLYWOOD INDUSTRIES LIMITED

 

 

Registered Office :

9, Parsee Church Street, Kolkata – 700 001, West Bengal

 

 

Country :

India

 

 

Financials (as on) :

31.03.2010

 

 

Date of Incorporation :

26.06.1957

 

 

Com. Reg. No.:

21-23493

 

 

Capital Investment / Paid-up Capital :

Rs.40.857 millions

 

 

CIN No.:

[Company Identification No.]

L20211WB1957PLC023493

 

 

Legal Form :

Public Limited Liability Company. The company’s shares are listed on the Stock Exchanges. 

 

 

Line of Business :

Manufacturer, Exporter and Trader of Plywood and Tea.

 

 

No. of Employees :

548 Approximately

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (50)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

USD 1200000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually Correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is a well 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

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

INFORMATION PARTED BY

 

Name :

Ms. Amita and Mr. Santosh

Designation :

Manager

Contact No.:

91-11-45652000

Date :

06.08.2011

 

 

LOCATIONS

 

Registered Office :

9, Parsee Church Street, Kolkata – 700 001, West Bengal, India

Tel. No.:

Not Available

E-Mail :

corp@sardaplywood.com

Website :

http://www.sardaplywood.in

 

 

Corporate Office :

4th Floor, North Block, 113 Park Street, Kolkata – 700 016, West Bengal, India

Tel. No.:

91-33-22652274

Fax No.:

91-33-22493675

E-Mail :

corp@sardaplywood.com

 

 

Factory 1 :

P. O. Jeypore – 786 614, District Dibrugarh, Assam 

 

 

Factory 2 :

Rajkot Gondal Highway, Shanpur – 360 002, Veraval, District Rajkot, Gujarat, India

 

 

Sales Office :

1/52, 2nd Floor, WHS, Kirti Nagar, New Delhi – 110 015, India

Tel. No.:

91-11-45536715/45536756/455598715

Fax No.:

91-11-41755165

E-Mail :

sales.del@sardaplywood.com

 

 

Regional Sales Office :

·         Located at

·         Ahmedabad

·         Bangalore

·         Bhopal

·         Bhubaneswar

·         Chattisgarh

·         Chennai

·         Guwahati

·         Hyderabad

·         Jaipur

·         Kolkata

·         Lucknow

·         Ludhiana

·         Mumbai

·         New Delhi

·         Patna

·         Pune

·         Raipur

·         Ranchi

 

 

DIRECTORS

 

As on 31.03.2010

 

Name :

Dr. Samares Kumar Chanda

Designation :

Chairman

Address :

32B, New Road, Flat – 7 (3rd Floor), Kolkata – 700 027, West Bengal, India

Date of Birth/Age :

03.05.1923

Qualification :

M. Sc. Phd. (Manchester)

Experience :

63 Years

Date of Appointment :

22.01.1994

 

 

Name :

Mr. Sudeep Chitlangia

Designation :

Managing Director

Address :

12B, Judges Court Road, Kolkata – 700 027, West Bengal, India

Date of Birth/Age :

44 Years

Qualification :

Commerce Graduate

Experience :

22 Years

DIN No. :

00093908

 

 

Name :

Mr. Sujit Chakravorti

Designation :

Director

Address :

17/7, James Long Sarani (Formerly : 17/7, Nafar Chandra Das Road, Behala, S 24 PGS, Kolkata – 700 034, West Bengal, India

DIN No. :

00066344

 

 

Name :

Dr. Kali Kumar Chaudhuri

Designation :

Director

Address :

29 Banerjee Para Road, Kolkata – 700 041, West Bengal, India

Date of Birth/Age :

18.09.1945

Qualification :

M. Sc. Phd.

Experience :

37 Years

Date of Appointment :

24.01.2006

Other Directorship :

Manakshia Limited

 

 

Name :

Mr. Ratan Lal Gaggar

Designation :

Director

Address :

11 Sarat Bose Road, (Lansdown Road), Kolkata – 700 020, West Bengal, India

 

 

Name :

Mr. Kirti Kumar Maheshwari

Designation :

Director

Address :

61, Navjiwan Vihar, New Delhi – 110 017, Delhi, India

 

 

Name :

Mr. Naresh Pachisia

Designation :

Director

Address :

Flat 9B, 29A, Ballygunge Park Road, Kolkata – 700 019, West Bengal, India 

 

 

Name :

Mr. Sohan Lal Yadav

Designation :

Whole-time Director

Address :

Near Biscuit Factory, Kakrahwa Deokali, Faizabad – 224 001, Uttar Pradesh, India

Date of Birth/Age :

62 Years

Experience :

45 Years

 

 

Name :

Mr. Probir Roy

Designation :

Director

Address :

10, Sourin Roy Road, Kolkata – 700 034, West Bengal, India

 

 

KEY EXECUTIVES

 

Name :

Mr. Bajrang Lal Mundhra

Designation :

Chief Financial Officer and Company Secretary

Address :

89 Salkia School Road, Flat – 34, Howrah – 711 106, West Bengal, India

PAN No. :

ADPPM4489H

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 30.06.2011

 

Category of Shareholders

No. of Shares

% of total No. of Shares

(A) Shareholding of Promoter and Promoter Group

 

 

(1) Indian

 

 

Individuals / Hindu Undivided Family

1547059

37.89

Bodies Corporate

149242

3.66

Sub Total

1696301

41.55

(2) Foreign

 

 

Total shareholding of Promoter and Promoter Group (A)

1696301

41.55

(B) Public Shareholding

 

 

(1) Institutions

 

 

Mutual Funds / UTI

8600

0.21

Financial Institutions / Banks

2300

0.06

Sub Total

10900

0.27

(2) Non-Institutions

 

 

Bodies Corporate

575369

14.09

Individuals

 

 

Individual shareholders holding nominal share capital up to Rs.0.100 million

1197662

29.33

Individual shareholders holding nominal share capital in excess of Rs.0.100 million

525712

12.88

Any Others (Specify)

76941

1.88

Non Resident Indians

76342

1.87

Clearing Members

599

0.01

Sub Total

2375684

58.19

Total Public shareholding (B)

2386584

58.45

Total (A)+(B)

4082885

100.00

(C) Shares held by Custodians and against which Depository Receipts have been issued

-

-

(1) Promoter and Promoter Group

-

-

(2) Public

-

-

Sub Total

-

-

Total

4082885

-

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer, Exporter and Trader of Plywood and Tea.

 

 

Products :

Product Description

ITC Code

Plywood

4412

Black Tea

0902

Veneer

4408

 

 

Exports :

 

Products :

Plywood and Tea

 

 

Terms :

 

Selling :

L/C, Cash and Credit (30 days)

 

 

Purchasing :

Cash and Credit (30 days)

 

PRODUCTION STATUS AS ON 31.03.2010

 

Particulars

Unit

Licensed Capacity

Installed Capacity *

Actual Production

Tea

Kgs.

Not Applicable

37 Lakhs

2633746

Plywood

Sqr.Mtr.on 4mm basis

30 Lakhs

30 Lakhs

3142910

 

*(As certified by the Management)

 

GENERAL INFORMATION

 

Customers :

·         Wholesalers

·         Retailers

·         Others

 

 

No. of Employees :

548 Approximately

 

 

Bankers :

United Bank of India

·         Calcutta Branch, 4 N C Dutta Sarani, Kolkata – 700 001, West Bengal, India 

·         Overseas Branch, 15C, Hemanta Basu Sarani, Kolkata – 700 001, West Bengal, India

 

·         State Bank of India

Commercial Branch, 24, Park Street, Kolkata – 700 016, West Bengal, India

 

 

Facilities :

Secured Loans 

As on 31.03.2010

Rs. in millions

As on 31.03.2009

Rs. in millions

Term Loans

 

 

From Scheduled Banks

2.000

16.300

From Others

47.563

0.000

 

 

 

Buyers Credit

 

 

From Scheduled Banks

86.858

0.000

 

 

 

Working Capital Loan

 

 

From Scheduled Banks

88.403

164.504

Total

224.824

180.804

 

Notes :

 

Nature of Security

·         Term loan from Scheduled Bank is secured by exclusive charge over specified machinery.

·         Term loan from Others is secured by first charge on the Comapany's immovable properties situated at Jaypore (Assam) by deposit of title deeds and also by hypothecation of all plant and machinery and other fixed assets of the company, both present and future, and is additionally secured by personal guarantee of the Managing Director.

·         Working capital loans and Buyers Credit are secured by hypothecation of present and future stock and book debts and second charge on the Company's immovable and movable properties situated at Jeypore (Assam) and personal guarantees of Managing Director.

·         Details of aggreegate amount of loans outstanding which are guaranteed by the Managing Director.

Loans from Banks-Rs.175.261 millions (Previous year Rs.164.504 millions)

Loans from Others-Rs.475.630 millions (Previous year Rs. Nil)

 

Terms of Repayment

·         Out of Term Loan from Scheduled Bank Rs.2.000 millions (Previous year Rs.14.300 millions) falls due for repayment within one year.

·         Out of Term Loan from others Rs.4.200 millions (Previous year Rs. Nil) falls due for repayment within one year.

 

Unsecured Loans 

As on 31.03.2010

Rs. in millions

As on 31.03.2009

Rs. in millions

Other Loans

 

 

From Bank

2.110

1.612

From Others

0.159

0.372

Total

2.269

1.984

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

G P Agarwal and Company

Chartered Accountant

Address :

7A, Kiran Shankar Ray Road, Kolkata – 700 001, West Bengal, India 

 

 

Associates :

·         Calcutta Technicians and Advisers Limited

·         Madhya Bharat Papers Limited

·         P.S. Plywood Products Private Limited

·         Poushali Sales Private Limited

·         Purma Timber Products Limited

 

·         Ventura International Private Limited

Address : 1/52, 2nd Floor, WHS, Kirti Nagar, New Delhi – 110 015, India

Line of Business : Importer and Marketing company specializing in premium Decorative Architectural and Interior related products

           

 

CAPITAL STRUCTURE

 

As on 31.03.2010

 

Authorised Capital :

No. of Shares

Type

Value

Amount

25000000

Equity Shares

Rs.10/- each

Rs.250.000 millions

 

Issued Capital :

No. of Shares

Type

Value

Amount

4262810

Equity Shares

Rs.10/- each

Rs.42.628 millions

 

Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

4082885

Equity Shares

(Of the above shares 1091900 Equity Scares were allotted as fully paid-up by way of Bonus Shares by capitalisation of General Reserve)

Rs.10/- each

Rs.40.829 millions

 

Add : Forfeited shares (Amount originally paid up)

 

Rs.0.028 million

 

Total

 

Rs.40.857 millions

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2010

31.03.2009

31.03.2008

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

40.857

40.857

36.457

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

259.091

243.855

253.685

4] Convertible Warrants

0.000

0.000

2.383

5] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

299.948

284.712

292.525

LOAN FUNDS

 

 

 

1] Secured Loans

224.824

180.804

169.134

2] Unsecured Loans

2.269

1.984

2.269

TOTAL BORROWING

227.093

182.788

 171.403

DEFERRED TAX LIABILITIES

12.496

5.664

16.354

 

 

 

 

TOTAL

539.537

473.164

480.282

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

84.109

89.564

98.029

Capital work-in-progress

71.006

2.852

0.707

 

 

 

 

 INVESTMENT

105.641

105.627

105.791

DEFERREX TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
302.713

223.583

251.718

 

Sundry Debtors
169.767

145.241

98.808

 

Cash & Bank Balances
19.867

17.136

18.097

 

Other Current Assets
0.000

0.000

0.000

 

Loans & Advances
59.892

97.080

127.242

Total Current Assets
552.239

483.040

495.865

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Sundry Creditors
92.904

55.875

75.297

 

Other Current Liabilities
177.553

149.358

142.642

 

Provisions
3.001

2.686

2.171

Total Current Liabilities
273.458

207.919

220.110

Net Current Assets
278.781

275.121

275.755

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

539.537

473.164

480.282

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2010

31.03.2009

31.03.2008

 

SALES

 

 

 

 

 

Net Sales

1167.036

1012.870

885.731

 

 

Other Income

26.003

9.882

21.133

 

 

TOTAL                                     (A)

1193.039

1022.752

906.864

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Purchases of Trading Goods

106.026

75.813

100.389

 

 

Raw Materials Consumed

756.647

590.228

525.727

 

 

Manufacturing Expenses

120.682

118.930

105.733

 

 

Payments to and Provisions for Employees

61.909

57.436

49.306

 

 

Administrative, Selling, Distribution and Other Expenses

140.283

156.228

126.070

 

 

Increase/(Decrease) in Stock

(49.493)

17.896

(41.123)

 

 

TOTAL                                     (B)

1136.054

1016.531

866.102

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)      (C)

56.985

6.221

40.762

 

 

 

 

 

Less

INTEREST                                                         (D)

22.523

25.522

22.026

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                       (E)

34.462

(19.301)

18.736

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

11.575

12.424

12.318

 

 

 

 

 

 

PROFIT/LOSS BEFORE TAX (E-F)                     (G)

22.887

(31.725)

6.418

 

 

 

 

 

Less

TAX                                                                  (H)

7.439

(9.381)

3.556

 

 

 

 

 

 

PROFIT/LOSS AFTER TAX (G-H)                      (I)

15.448

(22.344)

2.862

 

 

 

 

 

Add

EXCESS PROVISION FOR TAXATION FOR EARLIER YEARS WRITTEN BACK

0.000

0.000

0.132

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

47.340

69.684

66.690

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

62.788

47.340

69.684

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials

262.806

236.491

191.861

 

 

Trading Goods

7.979

9.343

36.735

 

 

Machinery and Spares

1.989

0.652

0.000

 

TOTAL IMPORTS

272.774

246.486

228.596

 

 

 

 

 

 

Earnings Per Share (Rs.)

Basic

Diluted

 

3.78

3.78

 

(5.99)

(5.27)

 

0.82

0.73

 

QUARTERLY RESULTS

           

PARTICULARS

 

30.06.2010

30.09.2010

31.12.2010

31.03.2011

30.06.2011

Type

1st Quarter

2nd Quarter

3rd Quarter

4th Quarter

5th Quarter

Net Sales

323.940

398.520

365.800

392.700

376.140

Total Expenditure

303.640

380.530

352.100

383.620

356.880

PBIDT (Excl OI)

20.300

17.990

13.700

9.080

19.260

Other Income

0.300

8.740

1.890

1.050

0.100

Operating Profit

20.600

26.720

15.590

10.140

19.360

Interest

5.420

6.980

7.720

7.930

8.310

Exceptional Items

0.000

0.000

0.000

0.000

0.000

PBDT

15.180

19.740

7.870

2.210

11.050

Depreciation

4.210

4.190

4.120

4.220

4.280

Profit Before Tax

10.970

15.550

3.750

(2.010)

6.770

Tax

0.960

4.980

0.440

(4.350)

(0.580)

Provisions and contingencies

0.000

0.000

0.000

0.000

0.000

Profit After Tax

10.010

10.570

3.310

2.340

7.350

Extraordinary Items

0.000

0.000

0.000

0.000

0.000

Prior Period Expenses

0.000

0.000

0.000

0.000

0.000

Other Adjustments

0.000

0.000

0.000

0.000

0.000

Net Profit

10.010

10.570

3.310

2.340

7.350

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2010

31.03.2009

31.03.2008

PAT / Total Income

(%)
1.29

(2.18)

0.32

 

 
 

 

 

Net Profit Margin

(PBT/Sales)

(%)
1.96

(3.13)

0.72

 

 
 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)
3.60

(5.54)

1.08

 

 
 

 

 

Return on Investment (ROI)

(PBT/Networth)

 
0.08

(0.11)

0.02

 

 
 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 
1.67

1.37

1.34

 

 
 

 

 

Current Ratio

(Current Asset/Current Liability)

 
2.02

2.32

2.25

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

OPERATIONS

 

During the year, the general economic scenario has improved as compared to the previous financial year. The Company has been able to take advantage of the changed circumstances and thereby the performance of both the Divisions of the Company i.e. Plywood and Tea, has substantially improved as compared to the preceding financial year. During the year the Company has achieved a gross turnover of Rs.1226.747 millions as against Rs.1058.274 millions in the preceding year, an increase of 15.92% and has earned a net profit of Rs.15.448 millions as against a net loss of Rs.22.345 millions during the preceding year.

 

MANAGEMENT DISCUSSION AND ANALYSIS REPORT

 

OVERVIEW

 

Subject is one of the key players in the plywood industry and its DURO range of products are well known for its superior quality and commands premium in the market. The Company also owns a bought leaf tea processing factory and the tea produced by it is well accepted in the market.

 

PLYWOOD

 

The global recession and/or slow down has adversely affected the Indian manufacturing sector also. Signs of recovery are clearly visible and it is expected that growth in the housing and infrastructure sector will gain momentum in the days ahead. Consequently, the demand for plywood and allied products is also expected to grow rapidly. The Company has already set up a new plywood factory in Assam and is well poised to seize the available opportunities in the plywood market. There is no significant threat to the industry and/or Company from any product and/or sector.

 

During the year 2009-10, segment revenue increased from Rs.777.148 millions to Rs.891.853 millions i.e. a growth of 14.76%. The Company has earned segment profit before tax and interest of Rs.32.703 millions as against segment loss before tax and interest of Rs.8.663 millions in the preceding financial year.

 

With the increase in the purchasing power of people, preference for branded product is also increasing and outlook for the organized sector in the plywood industry remains positive.

 

Since the major portion of the raw materials is imported by the Company, volatile foreign exchange rate is a matter of concern and all possible efforts are taken to minimize the risk.

 

TEA

 

Tea Industry is doing much better as compared to previous year with revival of demand for CTC tea and increased sales realization leading to higher operating margins.

 

During the year Company has been able to produce 26.34 lacs Kgs of CTC tea as against 23.46 lacs Kgs of CTC tea in the preceding financial year. Segment revenue during the year was Rs.263.855 under review as against Rs.228.702 millions in the preceding financial year representing a growth of 15.37%. Segment profit before tax and interest increased from Rs.0.539 millions to Rs.19.966 millions. Outlook for the tea industry is expected  to remain positive in the days ahead.

 

Tea industry is directly dependent on weather conditions. Although demand for Tea has increased, there is no improvement in raw material availability. Lower availability and high cost of raw materials is a matter of concern.

 

FINANCIAL PERFORMANCE

 

During the year, the gross turnover of the Company has increased from Rs.1058.274 millions to Rs.1226.747 millions registering a growth of 15.92%. The Company has earned a net profit of Rs.15.448 millions as against a net loss of Rs.22.344 millions in the preceding year.

 

HUMAN RESOURCES

 

The Company continued to maintain harmonious relationship with all its employees. Continued efforts are taken to upgrade the knowledge and skill of the employees and thereby increase their productivity. The Company attaches utmost importance to all round development and growth of all its employees. The performance of the employees is evaluated through a transparent appraisal system. The1 total manpower strength as on 31st March 2010 was 548.

 

CONTINGENT LIABILITIES NOT PROVIDED FOR IN RESPECT OF

 

Particulars

As on 31.03.2010

Rs. in millions

As on 31.03.2009

Rs. in millions

Uncalled Capital against partly paid-up shares held as investment

0.008

0.008

Demand raised by Govt. authorities in respect of Taxes and Duties and contested by the Company

24.385

24.459

 

 

AUDITED FINANCIAL RESULTS FOR THE YEAR ENDED 31ST MARCH 2011

 

                                                                                                                                                 (Rs. in millions)

Particulars

Year Ended

As on 31.03.2011

(Audited)

1. (a) Net Sales / Income from operations

1477.002

(b) Other Operating Income

3.956

Total Income (a+b)

1480.958

 

 

2. Expenditure

 

a) (Increase)/Decrease in Stock in Trade & WIP

(34.126)

b) Consumption of Raw-materials

884.831

c) Purchase of traded goods

94.618

d) Employees cost

95.018

e) Depreciation

16.738

f) Exchange Rate Fluctuation Loss / (Gain)

(5.451)

g) Other Expenditure

373.882

h) Total

1425.510

 

 

3. Profit from operations before other income and interest (1 - 2)

55.448

 

 

4. Other Income

0.861

 

 

5. Profit before interest

56.309

 

 

6. Interest

28.052

 

 

7. Profit(+)/Loss (-) from Ordinary Activities before tax (5 - 6)

28.257

 

 

8. Tax expense

 

a) Provision for Current Tax

5.620

b) Provision for Deferred Tax

0.763

c) Earlier Years

0.025

d) MAT Credit Entitlement

(4.382)

 

 

9. Net Profit(+) / Loss(-) for the period (7-8)

26.231

 

 

10. Paid up Equity Share Capital (Face Value Rs.10/- per share)

40.857

 

 

11. Reserves excluding Revaluation Reserve

281.537

 

 

12. Earning per Share (not annualised) [in Rs.]

 

(i) Basic

6.42

(ii) Diluted

6.42

 

 

13. Public shareholding

 

- No. of Shares

2386584

- Percentage of Shareholding

58.45%

 

 

14. Promoters & Promoter Group Shareholding

 

a) Pledged / Encumbered

 

- Number of Shares

Nil

- % of Shares (as a % of total shareholding of promoter and promoter group)

Nil

- % of Shares (as a % of the total Share Capital of the Company)

Nil

 

 

b) Non-encumbered

 

- Number of Shares

1696301

- % of Shares (as a % of total shareholding of promoter and promoter group)

100%

- % of Shares (as a % of the total Share Capital of the Company)

41.55%

 

 

SEGMENTWISE REVENUE, RESULTS AND CAPITAL EMPLOYED

 

                                                                                                                                                (Rs. in millions)

Particulars

Year Ended

As on 31.03.2011

(Audited)

1. Segment Revenue

 

(Net sales/Income from each segment)

 

a) Plywood and allied Products

1208.185

b) Tea

254.863

c) Others

17.910

Total

1480.958

Less: Inter-segment revenue

0.000

Net Sales/Income from operations

1480.958

 

 

2. Segment Results

 

[Profit(+)/loss(-) before tax and interest]

 

a) Plywood and allied Products

61.814

b) Tea

8.204

c) Others

(7.986)

Total

62.032

Less: (i) Interest

28.052

(ii) Other unallocable expenditure net of unallocable income

5.723

Total Profit before Tax

28.257

 

 

3. Capital Employed

 

(Segment Assets - Segment Liabilities)

 

a) Plywood and allied Products

436.561

b) Tea

58.681

c) Others

18.415

d) Unallocated

(187.690)

Total

325.967

 

STATEMENT OF ASSETS AND LIABILITIES

 

 

                                                                                                                                                (Rs. in millions)

Particulars

Year Ended

As on 31.03.2011

(Audited)

Shareholders’ Funds

 

(a) Share Capital

40.857

(b) Reserves and Surplus

285.109

 

 

Loan Funds

 

(a) Secured Loans

276.420

(b) Unsecured Loans

12.861

 

 

Deferred Tax Liability (Net)

13.259

 

 

Total

628.506

 

 

Net Fixed Assets

156.544

 

 

Investments

105.651

 

 

Current Assets, Loans And Advances

 

(a) Inventories

377.055

(b) Sundry Debtors

220.337

(c) Cash and Bank balances

19.955

(d) Other current assets

25.696

(e) Loans and Advances

57.833

Sub-total

700.876

 

 

Less: Current Liabilities and Provisions

 

(a) Liabilities

330.719

(b) Provisions

3.846

Sub-total

334.565

 

 

Net Current Assets

366.311

 

 

Total

628.506

 

Notes

 

1.       Results for the year 2010-11 include operations of the Plywood unit at Jeypore (Assam) and hence not comparable with that of the previous year.

2.       There are no exceptional / extra ordinary items.

3.       Number of investor complaints received and disposed off during the quarter ended 31st March 2011 was 1. No complaints were outstanding at the beginning and at the closing of the quarter.

4.       The above results have been reviewed by the Audit Committee and subsequently approved by the Board of Directors at their meetings held on 9th May 2011.

 

 

FIXED ASSETS

 

·         Freehold Land

·         Buildings

·         Plant and Machinery

·         Motor Vehicles

·         Furniture Fixture and Office Equipments

 

FORM 8

 

Corporate identity number of the company

L20211WB1957PLC023493

Name of the company

SARDA PLYWOOD INDUSTRIES LIMITED

Address of the registered office or of the principal place of  business in India of the company

9, Parsee Church Street, Kolkata – 700 001, West Bengal, India

This form is for

Modification of charge

Charge identification (ID) number of the charge to be modified

80010298

Type of charge

Immovable property

Particular of charge holder

United Bank of India

Overseas Branch, 15C, Hemanta Basu Sarani, Kolkata – 700 001, West Bengal, India

Nature of instrument creating charge

No instrument was executed. A mortgage by deposit of title deeds by constructive delivery was created by the Borrower, in favour of the lenders viz. United Bank of India and State Bank of India at United Bank of India, Overseas Branch, Kolkata.  

Date of instrument Creating the charge

09.04.2011

Amount secured by the charge

Rs.490.100 millions

Brief of the principal terms an conditions and extent and operation of the charge

Rate of Interest

As per respective sanction letters subject to change with the change in respective Base Rates.

 

Terms of Repayment

Entire sale proceed of the Plywood Division of the borrower are to be deposited in the Cash Credit Accounts maintained with UBI and SBI.

 

Margin

Raw Materials 25%

Finished Goods 25%

Stock-in-Process 25%

Stores and Spares 25%

Book debts 25% (Retention / cover period – 90 days) 

 

Extent and Operation of the charge

United Bank of India shall to continue to hold and retain the Title Deeds by the constructive delivery as security for repayment and discharge by the Borrower on 2nd charge basis (pari-passu between UBI and SBI) to UBI Consortium of its overall working capital limits of Rs.490.100 millions together with interest, additional interest, liquidated damages, compound interest, costs, charges, expenses and other monies payable under its loan agreements / letters of sanctions, as amended from time to time.   

 

Others

The Borrower shall keep all the assets in good condition and fully insured against loss or damage and pay the insurance premium regularly.

The borrower shall pay all rents, payments and outgoings in respect of the immovable properties mortgaged to UBI Consortium.  

Short particulars of the property or asset(s) charged (including complete address and location of the property)

All immovable properties belonging to the borrower and situated at Mouza, Jeypore, District Dibrugarh in the State of Asom such as land, buildings, other structures, fixed plant and machinery etc.   

Particulars of the present modification

The overall limit has been increased from Rs.333.400 millions to Rs.490.100 millions (share of United Bank of India is Rs.247.300 millions and share of State Bank of India is Rs.242.800 millions) 

 

 

 

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.45.20

UK Pound

1

Rs.73.50

Euro

1

Rs.64.76

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

7

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

6

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

5

--PROFITABILIRY

1~10

5

--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

YES

--LISTED

YES/NO

YES

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

50

 

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.