BUSINESS INFORMATION REPORT

1. Summary Information

		Country	INDIA
Company Name	FAG BEARINGS INDIA LIMITED	Principal Name 1	MR. AVINASH GANDHI
Status	GOOD	Principal Name 2	MR. RAJENDRA ANANDPARA
		Registration #	11-012340
Street Address	NARIMAN BHAVAN, 8^TH FLOOR 227, BACKBAY RECLAMATION NARIMAN POINT MUMBAI - 400 021, MAHARASHTRA
Established Date	27.04.1962	SIC Code	--
Telephone#	91-22-22022144 / 362/ 166	Business Style 1	MANUFACTURING
Fax #	91-22-22027022	Business Style 2	MARKETING
Homepage	http://www.fag.co.in	Product Name 1	BALL AND ROLLER BEARINGS
# of employees	1343 (APPROXIMATELY)	Product Name 2	COMPONENTS
Paid up capital	RS.166,172,700/-	Product Name 3
Shareholders	PROMOTER AND PROMOTER GROUP-51.33% PUBLIC SHAREHOLDING-48.67%	Banking	UNION BANK OF INDIA
Public Limited Corp.	YES	Business Period	49 YEARS
IPO	YES	International Ins.	--
Public Enterprise	YES	Rating	A (65)
Related Company
Relation	Country	Company Name	CEO
HOLDING COMPANY	GERMANY	FAG KUGELFISCHER GMBH	--
Note	--

2. Summary Financial Statement

Balance Sheet as of	31.12.2010		(Unit: Indian Rs.)
Assets		Liabilities
Current Assets	5,006,200,000	Current Liabilities	1,788,800,000
Inventories	1,270,200,000	Long-term Liabilities	0,000
Fixed Assets	1,410,000,000	Other Liabilities	252,200,000
Deferred Assets	0,000	Total Liabilities	2,041,000,000
Invest& other Assets	89,200,000	Retained Earnings	5,568,400,000
		Net Worth	5,734,600,000
Total Assets	7,775,600,000	Total Liab. & Equity	7,775,600,000
Total Assets (Previous Year)	6,097,000,000
P/L Statement as of	31.12.2010		(Unit: Indian Rs.)
Sales	10,400,800,000	Net Profit	1,215,000,000
Sales(Previous yr)	7,976,900,000	Net Profit(Prev.yr)	655,400,000

MIRA INFORM REPORT

Report Date :

15.12.2011

IDENTIFICATION DETAILS

Name :	FAG BEARINGS INDIA LIMITED
Registered Office :	Nariman Bhavan, 8^th Floor 227, Backbay Reclamation Nariman Point Mumbai - 400 021, Maharashtra
Country :	India
Financials (as on) :	31.12.2010
Date of Incorporation :	27.04.1962
Com. Reg. No.:	11-012340
Capital Investment / Paid-up Capital :	Rs.166.200 Millions
CIN No.: [Company Identification No.]	L29130MH1962PLC012340
TAN No.: [Tax Deduction & Collection Account No.]	BRDF00097G BRDF00184C
PAN No.: [Permanent Account No.]	AAACF3357Q
Legal Form :	Public Limited Liability Company. The company’s shares are listed on the Stock Exchanges.
Line of Business :	Manufacturing and Marketing of ball and roller bearings and components.
No. of Employees :	1343 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

A (65)

RATING		STATUS	PROPOSED CREDIT LINE
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

Maximum Credit Limit :	USD 22938000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established and reputed company having fine track. Financial position of the company appears to be sound. Directors are reported to be experienced and respectable businessmen. Their trade relations are reported as fair. Business is active. Payments are reported to be regular 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 – September 30, 2011

Country Name	Previous Rating (30.06.2011)	Current Rating (30.09.2011)
India	A1	A1

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

LOCATIONS

Registered Office :	Nariman Bhavan, 8^th Floor 227, Backbay Reclamation Nariman Point Mumbai - 400 021, Maharashtra, India
Tel. No.:	91-22-22022144 / 362/ 166
Fax No.:	91-22-22027022
E-Mail :	fagmum@satyam.net.in shuklah@fag.co.in muralidharan.nair@schaeffler.com raj.sarraf@schaeffler.com
Website :	http://www.fag.co.in
Head Office/ Factory :	P.O. Maneja, Vadodara - 390 013, Gujarat, India
Tel. No.:	91-265-6602000/ 2004
Fax No.:	91-265-2638804
E-Mail :	raj.sarraf@schaeffler.com
Sales Office :	Located at: v Bangalore v Chennai v Kolkata v Coimbatore v Hyderabad v Udaipur v Mumbai v New Delhi v Pune v Jamshedpur
Branch Office :	Located at : v Kolkata v Chennai v Mumbai v New Delhi v Pune

DIRECTORS

As on 31.12.2010

Name :

Mr. Avinash Gandhi

Designation :

Chairman

Date of Birth/ Age :

October 1, 1938

Qualification :

B.Sc. in Mechanical Engineering

Experience :

43 Years

Date of Appointment :

20.04.2006

E-Mail :

avinashgandhi@rediffmail.com

DIN No.:

00161107

Other Directorship :

.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	L74899DL1981PLC012804	Lumax Industries Limited	Director	31-07-02	31-07-02	-	Active	NO
2	U45201HR1982PLC014785	Uniproducts (India) Limited	Director	30-10-03	30-10-03	-	Active	NO
3	L34300MH1990PLC055300	Fairfield Atlas Limited	Director	31-10-03	31-10-03	-	Active	NO
4	U74140DL2004PTC127802	Avinar Consulting Private Limited	Director	22-07-04	22-07-04	-	Active	NO
5	U74899DL1994PTC060689	Panalfa Automotive Private Limited	Director	21-10-04	21-10-04	-	Active	NO
6	L31900DL1983PLC016304	Havells India Limited	Director	12-05-05	12-05-05	-	Active	NO
7	U34300DL1996PLC081210	Continental Engines Limited	Director	06-10-05	06-10-05	-	Active	NO
8	L74899DL1985PLC020401	Minda Corporation Limited	Director	28-01-06	28-01-06	-	Active	NO
9	L29130MH1962PLC012340	Fag Bearings India Limited	Director	21-04-11	20-04-06	-	Active	NO
10	L74999DL1979PLC009937	Indo Alusys Industries Limited	Director	25-09-06	31-07-06	-	Active	NO
11	U28920KA1995PLC017793	Alucast Auto Parts Limited	Director	23-01-07	23-01-07	01-09-08	Active	NO
12	U29221DL2007PLC160549	Panalfa Autoelektrik Limited	Director	19-03-07	19-03-07	-	Active	NO
13	U34300DL2007PTC157344	Minda Valeo Security Systems Private Limited	Director	23-09-08	31-05-07	-	Active	NO
14	U28910PB2001PLC024790	R.N. Gupta and Company Limited	Additional director	06-03-11	03-05-08	-	Active	NO
15	U34102AP1998PLC029977	M.L.R. Motors Limited	Director	30-09-09	20-02-09	-	Active	NO
16	U29253DL2006PTC155275	Minda Furukawa Electric Private Limited	Director	30-09-09	03-03-09	-	Active	NO
17	L34300DL1971PLC005634	Clutch Auto Limited	Director	29-09-09	18-04-09	-	Active	NO
18	U34300DL1988PTC030280	Tech Auto Private Limited	Director	06-03-10	06-03-10	-	Active	NO
19	U31905DL1981PLC127345	Minda Sai Limited	Director	05-08-11	09-04-11	-	Active	NO

Name :

Mr. Rajendra Anandpara

Designation :

Managing Director

Name :

Mr. Bernhard Steinuecke

Designation :

Director

Name :

Mr. Bruno Krauss

Designation :

Director

Name :

Mr. Frank Huber

Designation :

Director

Name :

Mr. Wolfgang Dangel

Designation :

Director

Qualification :

Degree in Economic

Name :

Mr. Moreshwar Digambar Garde

Designation :

Director

Date of Birth/ Age :

September 19, 1945

Qualification :

Master of Business Administration (MBA) FIII (Member of Insurance Institute of India) IRDA's Composite Brokers Exam BE (Electrical)

Date of Appointment :

25.07.2002

E-Mail :

md.garde@yahoo.co.in

DIN No.:

00689103

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	L23209KA1977PLC043357	Gujarat Petrosynthese Limited	Director	11-09-08	31-10-01	Active	NO
2	L29130MH1962PLC012340	Fag Bearings India Limited	Director	21-04-11	25-07-02	Active	NO

Name :

Mr. Kamlesh Tapadar

Designation :

Director (Alternate to Mr. Krauss)

Name :

Mr. R. Sampath Kumar

Designation :

Director (Alternate to Mr. Huber)

Name :

Mr. Yezad Kapadia

Designation :

Director (Alternate to Mr. Dangel)

KEY EXECUTIVES

Name :	Mr. Satish Patel
Designation :	Chief Financial Officer
Name :	Mr. Raj Sarraf
Designation :	Company Secretary

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2011

Category of Shareholders	No. of Shares	Percentage of Holding
(A) Shareholding of Promoter and Promoter Group
(1) Indian
(2) Foreign
Bodies Corporate	8529183	51.33
Sub Total	8529183	51.33
Total shareholding of Promoter and Promoter Group (A)	8529183	51.33
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	2704855	16.28
Financial Institutions / Banks	3085	0.02
Insurance Companies	245715	1.48
Foreign Institutional Investors	2300519	13.84
Any Other (Specify)
Foreign Financial Institution	3360	0.02
Sub Total	5257534	31.64
(2) Non-Institutions
Bodies Corporate	835358	5.03
Individuals
Individual shareholders holding nominal share capital up to Rs.0.100 Million	1533558	9.23
Individual shareholders holding nominal share capital in excess of Rs.0.100 Million	427709	2.57
Any Others (Specify)
Trusts	2910	0.02
Non Resident Indians	24238	0.15
Clearing Members	6780	0.04
Sub Total	2830553	17.03
Total Public shareholding (B)	8088087	48.67
Total (A)+(B)	16617270	100.000
(C) Shares held by Custodians and against which Depository Receipts have been issued
(1) Promoter and Promoter Group	-	-
(2) Public	-	-
Sub Total	-	-
Total (A)+(B)+(C)	16617270	100.000

BUSINESS DETAILS

Line of Business :

Manufacturing and Marketing of ball and roller bearings and components.

Products :

Product Description	ITC Code
Ball and Roller Bearings (Including Spherical and cylindrical roller bearings)	8482

• Deep Groove Ball Bearings
• Four Point Ball Bearings
• Self Aligning Ball Bearings
• Cylindrical Roller Bearings
• Spherical Roller Bearings
• Tapered Roller Bearings

PRODUCTION STATUS (As on 31.12.2010)

Particulars	Installed Capacity Nos.**	Production# Nos.
Manufactured ***
(i) Ball and Roller Bearings	50038000	67749073
(ii) Manufactured Components	--	22425637

Notes

** Installed capacity is as certified by the management on which the auditors have placed reliance without verification, being a technical matter.

# Includes bearings partially processed in-house are considered manufactured products in accordance with The Central Excise Act, 1944.

*** Under a notification dated July 25, 1991 issued by the Ministry of Industry, the Company's industrial undertaking is exempt from the licensing provisions of the Industries (Development and Regulation) Act, 1951. Accordingly, the requirement concerning disclosure of licensed capacity is not applicable.

GENERAL INFORMATION

No. of Employees :	1343 (Approximately)
Bankers :	v Union Bank of India v ICICI Bank Limited

Banking Relations :	--
Auditors :
Name :	Mohinder Puri and Company Chartered Accountants
Address :	New Delhi, India
Holding Company:	FAG Kugelfischer GmbH, Germany
Collaborators :	Schaeffler Group, Germany
Fellow Subsidiary/ Associate Companies :	v Schaeffler Australia Pty. Limited, Australia v Schaeffler Brasil Ltda, Brazil v Schaeffler (China) Company Limited, China v Schaeffler Holding (China) Company Limited, China v Schaeffler Trading (Shanghai) Company Limited, China v Schaeffler (Ningxia) Company Limited, China v Schaeffler KG and it's successor Schaeffler v Technologies GmbH and Company KG, Germany v Schaeffler Automotive Aftermarket GmbH and Company oHG, Germany v FAG Industrial Services GmbH, Germany v WPB Water Pump Bearing GmbH and Company KG, Germany v FAG Magyarorszag Ipary KFT, Hungary v Schaeffler Hong Kong Company Limited, Hong Kong v INA Bearings India Private Limited, India v FAG Roller Bearings Private Limited, India v Schaeffler Bearings Indonesia, PT v LuK India Private Limited, India v Schaeffler Japan Company Limited, Japan v Schaeffler Korea Corporation, Korea v Schaeffler Nederland B.V., Nederland v Schaeffler Portugal S.A., Portugal v Schaeffler Philippines Inc., Philippines v SC Schaeffler Romania S.R.L., Romania v Schaeffler (Singapore) Pte. Limited, Singapore v Schaeffler South Africa (Pty.) Limited, South Africa v Schaeffler (Thailand) Company Limited, Thailand v Schaeffler (UK) Limited v The Barden Corporation, UK v The Barden Corporation, USA v Schaeffler Group USA Inc. v Schaeffler Vietnam Company Limited, Vietnam

CAPITAL STRUCTURE

As on 31.12.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
20000000	Equity Shares	Rs.10/- each	Rs.200.000 Millions

Issued Capital :

No. of Shares	Type	Value	Amount
16818270	Equity Shares	Rs.10/- each	Rs.168.200 Millions

Subscribed & Paid-up Capital

No. of Shares	Type	Value	Amount
16617270	Equity Shares	Rs.10/- each	Rs.166.200 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.12.2010	31.12.2009	31.12.2008
SHAREHOLDERS FUNDS
1] Share Capital		166.200	166.200	166.200
2] Share Application Money		0.000	0.000	0.00
3] Reserves & Surplus		5568.400	4451.200	3883.900
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		5734.600	4617.400	4050.100
LOAN FUNDS
1] Secured Loans		0.000	0.000	0.000
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		0.000	0.000	0.000
DEFERRED TAX LIABILITIES		29.300	45.100	57.600
TOTAL		5763.900	4662.500	4107.700
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		1410.000	1416.100	1483.500
Capital work-in-progress		61.700	44.000	132.800
Capital Advances		24.300	24.300	18.200
INVESTMENT		3.200	3.200	3.200
DEFERREX TAX ASSETS		0.000	0.0000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	1270.200	1007.300	1592.900
	Sundry Debtors	1314.500	1089.100	1145.000
	Cash & Bank Balances	2880.100	1730.700	635.500
	Other Current Assets	53.200	13.100	10.900
	Loans & Advances	758.400	769.200	470.100
Total Current Assets		6276.400	4609.400	3854.400
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	1771.700	1214.400	1145.600
	Other Current Liabilities	17.100	16.500	21.200
	Provisions	222.900	203.600	216.900
Total Current Liabilities		2011.700	1434.500	1383.700
Net Current Assets		4264.700	3174.900	2470.000
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		5763.900	4662.500	4107.700

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.12.2010	31.12.2009	31.12.2008
	SALES
		Sales Turnover (Net)	10400.800	7976.900	7444.100
		Other Income	252.700	287.300	216.400
		TOTAL (A)	10653.500	8264.200	7660.500
Less	EXPENSES
		Manufacturing and other expenses	8599.100	6945.400	5932.500
		Prior period adjustments	25.600	115.200	43.800
		TOTAL (B)	8624.700	7060.600	5976.300
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		2028.800	1203.600	1684.200
Less	FINANCIAL/ INTEREST EXPENSES (D)		8.900	7.000	4.800
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		2019.900	1196.600	1679.400
Less/ Add	DEPRECIATION/ AMORTISATION (F)		201.100	200.800	205.900
	PROFIT BEFORE TAX (E-F) (G)		1818.800	995.800	1473.500
Less	TAX (H)		603.800	340.400	516.300
	PROFIT AFTER TAX (G-H) (I)		1215.000	655.400	957.200
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		2609.700	2291.800	1722.100
Less	APPROPRIATIONS
		Transfer to General Reserve	350.000	250.000	300.000
		Proposed Dividend	83.100	74.800	74.800
		Income Tax on Dividend	14.100	12.700	12.700
	BALANCE CARRIED TO THE B/S		3377.500	2609.700	2291.800
	EARNINGS IN FOREIGN CURRENCY
		Service income	1.700	4.700	45.100
		FOB value of exports	996.800	541.800	1114.200
		Others	5.700	36.900	3.100
	TOTAL EARNINGS		1004.200	583.400	1162.400
	IMPORTS
		Raw Materials and components	982.000	436.400	429.500
		Products Purchased for sale	2204.300	1733.800	1582.300
		Stores & Spares for maintenance of machinery	57.000	53.500	54.500
		Capital Goods	83.200	10.200	175.300
	TOTAL IMPORTS		3326.500	2233.900	2241.600
	Earnings Per Share (Rs.)		73.11	39.44	57.60

QUARTERLY RESULTS

PARTICULARS	31.03.2011	30.06.2011	30.09.2011
	1^st Quarter	2^nd Quarter	3^rd Quarter
Net Sales	3097.200	3192.700	3336.000
Total Expenditure	2463.400	2543.600	2674.900
PBIDT	633.800	649.100	661.100
Other Income	62.90	68.400	72.700
Operating Profit	696.700	717.500	733.800
Interest	2.800	3.100	3.100
Exceptional Income	0.000	0.000	0.000
PBDT	693.900	714.400	730.700
Depreciation	53.200	51.100	58.500
Profit Before Tax	640.700	663.300	672.200
Tax	211.900	216.100	218.100
Provision and Contingencies	0.000	0.000	0.000
Profit After Tax	428.800	447.200	454.100

KEY RATIOS

PARTICULARS		31.12.2010	31.12.2009	31.12.2008
PAT / Total Income	(%)	11.40	7.93	12.50
Net Profit Margin (PBT/Sales)	(%)	17.49	12.48	19.79
Return on Total Assets (PBT/Total Assets}	(%)	23.66	16.53	27.60
Return on Investment (ROI) (PBT/Networth)		0.32	0.22	0.36
Debt Equity Ratio (Total Liability/Networth)		0.32	0.31	0.34
Current Ratio (Current Asset/Current Liability)		3.12	3.21	2.78

LOCAL AGENCY FURTHER INFORMATION

FINANCIAL AND OPERATIONAL PERFORMANCE

The Company's sales have been consistently growing at a rate better than the growth of the bearing industry in India. The Company has realised sales growth of 30% (2009: 7%) amidst growth in Automotive and Industrial Segments as well as exports.

MANAGEMENT'S DISCUSSION AND ANALYSIS

Industry Structure and Development

The size of Indian Bearings market is estimated at around Rs. 80 billions Imports (inclusive of duties) account for over 45% of this demand.

Production of the organized bearing industry as represented under BRBMA (Ball and Roller Bearing Manufacturers' Association) was placed at Rs.37 billion.

Indigenous bearing manufacturers which hitherto focussed on small and medium diameter range bearings consumed by large volume industries like Automotive, Electrical Engineering and Rail have been expanding their manufacturing footprints to include large size bearings.

It is difficult to arrive at an accurate estimation of production of unorganized sectors as there are number of players who mainly cater to requirements in replacement sector besides supplying to certain niche demands. At the same time, small scale companies are often the origin for spurious (counterfeit) products and thus pose a severe threat - both to bearing companies and to consuming industries.

Original Equipment Manufacturers (OEMs) account for approximately 60% to 65% of the total bearings demand while the rest is supplied to Aftermarket. Automotive Industry is the largest consumer of bearings among OEMs - while Electrical Engineering, Power Transmission, Rail Production Machineries and Wind are among other important user sectors.

During the period April - December 2010, India's GDP growth averaged at 8.6% with quarterly development as follows:

Period	April – June 2010	July – September 2010	October – December 2010
% GDP growth over last year	8.9%	8.9%	8.2%

Industrial Production during April - December 2010 also rose by 8.6%. Developments in Mining, Manufacturing and Electricity sectors were placed at 7.7%, 9.1% and 4.7% respectively.

The Automotive industry saw one of the strongest periods of demand in 2010.

Segment Wise Performance

The business of the Company falls under a single segment, i.e., ‘Ball/Roller Bearings and related components’ for the purpose of Accounting Standard AS-17.

Outlook

Recent data suggests that Indian economy is fast getting back to growth trajectory. Private and public investments in new projects will certainly increase as the business confidence improves. Demand for the Company's products in domestic market will thus grow in the coming years. At the same time there are concerns that rising fiscal deficit, increasing inflation, sluggish growth of core sectors, uncertainties in global situation may slow down the grow.

FINANCE PERFORMANCE

The Company delivered superior financial performance with improvement across key parameters. Turnover crossed Rs.10000.000 millions and reached to Rs.10400.800 millions, a growth of 30% over the previous year. Increase in revenue was due to the overall growth in Automotive and Industrial segments as well as significant growth in exports.

Profit before tax reached to Rs.1818.800 millions, a growth of 82% over the previous year. The increase is mainly attributable to the volume increase in sales as well as better sales/product mix and the continued focus on cost.

The Company has been able to reap the benefits from the market by following a very structured financial policy with strong emphasis on cash and liquidity. Through focus on control over working capital and prudent approach on investment, the Company has been able to further improve its liquidity. This has resulted substantial increase in interest income by 118% over the previous year.

Contingent liabilities not provided for in respect of: (As on 31.12.2010)

a) Claims against the Company not acknowledged as debts:

i) Employees and ex-employees related matters:

• Matters pending in Labour Court / Civil Court / High Court for reinstatement of service / recovery of salary Rs.85.900 millions.

• Applicability of provident fund on certain benefits to employees Rs.125.800 millions;

• Demand for discontinuing of contract system and for differential wages Rs.73.400 millions;

• Applicability of Employees State Insurance on certain benefits to employees etc. Rs.5.200 millions

ii) Letters of Credit discounted Rs.25.500 millions.

b) Sales tax:

i) For interest on tax paid under the Amnesty Scheme and for non receipt of C Forms in respect of assessment years 1995-96 to 2002 Rs. Nil.

ii) For non receipt of C Forms and rejection of Company's claim of certain sales as exempt sales in respect of assessment years 2003, 2004, 2005-06 and 2006-07 Rs.16.100 millions.

c) Excise and Service Tax:

Excise Duty

(i) In respect of matters decided against the Company, for which the Company is in appeal with higher authorities Rs.11.900 millions.

Service Tax

(ii) In respect of matters decided against the Company, for which the Company is in appeal with higher authorities Rs. Nil.

(iii) In respect of matters where the Company has received favourable orders / partial relief from the First Appellate authorities but the Central Excise and Customs Department is pursuing further with higher Appellate authorities (excluding the matters if not ultimately allowed, would be allowed in the following assessment years) Rs.2.400 millions.

d) Income Tax:

i) In respect of matters decided against the Company, for which the Company is in appeal with higher authorities Rs.137.700 millions.

ii) In respect of matters where the Company has received favourable orders / partial relief from the First Appellate authorities but the Income Tax Department is pursuing further with higher Appellate authorities (excluding the matters if not ultimately allowed, would be allowed in the following assessment years) Rs.202.200 millions.

Future ultimate outflow of resources embodying economic effect in respect of matters stated above is uncertain as it depends on the final outcome of judgements / decisions on the matters involved and no effect has been taken of these matters in deciding the liabilities for the subsequent years with similar facts.

UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED SEPTEMBER 30, 2011

(Rs. in millions)

Sr. No.	Particulars	THREE MONTHS ENDED	NINE MONTHS ENDED
		30.09.2011 (Unaudited)	30.09.2011 (Unaudited)
1	a) Net sales / Income from Operations	3306.100	9534.700
	b) Other Operating Income	29.900	91.200
		3336.000	9625.900
2	Expenditure
	a) (Increase) / Decrease in stock in trade & work in progress	(80.700)	(135.200)
	b) Consumption of Raw Materials and Components	1091.800	3133.300
	c) Purchase of traded Goods	911.600	2437.700
	d) Employees Cost	251.000	739.100
	e) Depreciation	58.500	162.800
	f) Other expenditure	501.200	1507.000
	g) Total	2733.400	7844.700
3	Profit from Operations before Other Income, Interest and Exceptional Items (1-2)	602.600	1781.200
4	Other Income
	a) Interest	72.000	202.200
	b) Others	0.700	1.800
5	Profit before Interest and Exceptional Items (3+4)	675.300	1985.200
6	Interest	3.100	9.000
7	Profit after Interest but before Exceptional Items (5-6)	672.200	1976.200
8	Exceptional Items (Including prior period adjustments)	-	-
9	Profit from Ordinary Activities before tax (7+8)	672.200	1976.200
10	Tax expense	218.100	646.100
11	Net Profit from Ordinary Activities after tax (9-10)	454.100	1330.100
12	Extraordinary Items (Net of tax expense)	-	-
13	Net Profit for the period (11-12)	454.100	1330.100
14	Paid-up equity share capital (Face value of Rs.10/- per share)	166.200	166.200
15	Reserves excluding Revaluation Reserves as per balance sheet of previous accounting year	-	-
16	Earning per Share (EPS)
	a) Basic and diluted EPS before Extraordinary Items for the period, for the year to date and for the previous year (not to be annualised)	27.32	80.03
	b) Basic and diluted EPS after Extraordinary Items for the period, for the year to date and for the previous year (not to be annualised)	27.32	80.03
17	Public Shareholding
	- Number of Shares	8088087	8088087
	- Percentage of shareholding	48.7	48.7
18	Promoters and promoter group Shareholding
	a) Pledged / Encumbered
	- Number of Shares	-	-
	- Percentage of shares (as a % of the total shareholding of promoter and promoter group)	-	-
	- Percentage of shares (as a % of the total share capital of the Company)	-	-
	b) Non-encumbered
	- Number of Shares	8529183	8529183
	- Percentage of shares (as a % of the total shareholding of promoter and promoter group)	100	100
	- Percentage of shares (as a % of the total share capital of the Company)	51.3	51.3

Notes:

1) The business of the Company falls under a single segment i.e. "Ball / Roller Bearings and related components" for the purpose of Accounting Standard AS - 17.

2) There was no investor's complaint pending at the beginning and end of the quarter. Total 3 complaints were received and resolved during the quarter.

3) The above financial results were reviewed by the Audit Committee and approved by the Board of Directors at the meeting held on October 20, 2011.

4) The Statutory Auditors have performed a 'Limited Review' of the above financial results for the three months ended September 30, 2011.

FIXED ASSETS

Intangible Assets

v Software up gradation - acquired

v Lump sum fees for technical know-how

Tangible Assets

v Land-freehold

v Buildings and roads

v Plant and Machinery

v Furniture, fittings and equipment

v Motor vehicles

WEBSITE DETAILS

OVERVIEW:

Subject is the oldest bearing company in the world. Its founder, Freidrich Fischer, is credited with the invention of Ball Making Machine in 1883.This invention set the foundation of modern bearing industry. With headquarters in Germany, FAG's multinational operations include 75 companies in four continents.

In its operations over the past 120 years, FAG has established itself as a world leader in bearing technologies, by designing and implementing highly advanced bearing systems for diverse and critical applications. For example, FAG bearings are successfully used in NASA space shuttles, in tunneling machines which cut the 50 km Euro Tunnel, in high-speed trains like ICE, which run at speeds of 280 Km per hour and more. FAG is also a preferred supplier of bearing systems to the world's manufacturers of cars and trucks like GM, Ford, Volkswagen, Volvo, Daimler Chrysler to name a few.

FAG's strategy of focusing on innovative products and processes has proved to be a clear winner in the highly competitive bearing market, as evident by the group's successful performance in recent years. Today, FAG is a Euro 2.22 Billion (2001) group worldwide, with net income of 57 Billion Euro.

BUSINESS DESCRIPTION:

Subject is engaged in the manufacture of ball/roller bearings and related components. The Company’s products include deep groove ball bearings, four point ball bearings, self aligning ball bearings, cylindrical roller bearings, spherical roller bearings and tapered roller bearings. The Company's products are used in industrial, automotive and railway industry. The Company’s manufacturing plants are located at Vadodara, Gujarat. Its joint venture company, FAG Roller Bearings Private Limited, produces taper roller bearings at Chakan near Pune. For the three months ended 31 December 2010, Subject revenues increased 32% to Rs.3.160 millions Net income increased 91% to Rs.428.800 millions Revenues reflect an increase in income from operations and higher interest income. Net income also reflects a decrease in purchase of traded goods and improved gross operating margins. Subject is engaged in production of Ball or roller bearings.

BOARD OF DIRECTORS:

Avinash P. Gandhi

Mr. Avinash P. Gandhi is Independent Non-Executive Chairman of the Board of Subject since July 25, 2002. Mr. Gandhi is B.Sc. in Mechanical Engineering from Birla Institute of Technology, Mesra, Ranchi. He was the President and Director of Hyundai Motor India Limited. He has served at senior positions in reputed organizations like Escorts, Telco and the Indian Ordnance factories. He has experience of over 43 years He is not having any shareholding in the company. He is a Director in the following Companies , namely Subject, CLAAS India Limited, Lumax Industries Limited ,Fairfield Atlas Limited, Uni Products (India) Limited, Havell’s India Limited, Panalfa Investments Limited ,Continental Engines Limited.

Wolfgang H. Dangel

Mr. Wolfgang Dangel is Non-Executive Non-Independent Director of Subject. He is President, Schaeffler Group Asia / Pacific and Member of Extended. Management Board of Schaeffler Group (Global). He has a Degree in Economics, Graduated from University of Applied Sciences, Germany. He spent his college term in USA.

Moreshwar D. Garde

Mr. Moreshwar D. Garde is Independent Non-Executive Director of FAG Bearings India Limited. He has Master of Business Administration (MBA), Fill (Member of Insurance Institute of India), IRDA's Composite Brokers Exam, BE (Electrical) degrees. He is a Consultant (Insurance and Management) Visiting Faculty: Mumbai Education Trust, National Insurance Academy, International School of Business and Media, Balaji Management Institute. He is with FAG Bearings India Limited since 2002. His other Directorship is with Gujarat Petresynthese Limited.

PRESS RELEASES:

FAG BEARINGS INDIA BOARD TO CONSIDER DIVIDEND

India, January 24 -- FAG Bearings India has informed that a meeting of the board of directors of the company will be held on February 17, 2011, to discuss and consider annual statements of accounts for the year ended December 31, 2010,quarterly financial results for the period ended December 31, 2010 and recommendation of dividend for the year 2010.The company has noted that, it will publish audited results for the quarter and year ended December 31, 2010 within two months of end of the accounting year. The above information is part of the company's filing submitted to the BSE.

UNIVERSAL SALES CORPORATION (USC), TOP MOST DISTRIBUTORS WITH FAG INDIA TO SPREAD ITS NETWORK IN PUNE

09 December 2010

Pune, Maharashtra, December 9 -- Universal Sales Corporation headquartered at Hyderabad is one of the top most Industrial Distributors with FAG India from close to 2 decades. Universal Sales Corporation (USC) in its endeavour of spreading its network in Pune is all set to open its first office in the city. USC has already established is office network at Nagpur.

FAG India is part of the 65,000 employee - strong and 9 billion euros Schaeffler Group, Germany. FAG India's plant at Vadodara, Gujarat is focused in manufacturing Ball Bearings, Cylindrical Roller Bearings and Spherical Roller Bearings ranging from 35mm to 320mm. The plant rates among the group's most technologically advanced plants and features, high level of automation and computer controlled manufacturing technology.

At FAG the satisfaction of customers is the top priority. That is why, from design and engineering to manufacturing and service, they stay committed to global standards of excellence. They network the wealth of expertise and application knowledge that exists throughout the group to bring advanced product development to India customers. They constantly innovate in the areas of research, development, design, production, testing, marketing and services. With so much at stake in every business relationship, FAG India is driven by single minded commitment to deliver their customers superior value and advanced yet practical solutions.

Speaking to reporters the vice President of FAG (Marketing ) Mr. Sarabjit Singh said that Pune had acquired special importance with location of companies like Bajaj, Mahindra, John Deere, Crompton Greaves being located here . He added that the total bearing business in India was over Rs.80000.000 millions and Fag had a 14 % share in the market.

Its product range is such that it covers nearly all applications in automotive, production machinery, power transmission, machine tools, steel, cement, mining, construction, wind power, paper, rail technology, aerospace and heavy industry. These bearings are made to stringent international quality standards of the Schaeffler Group and are designed to perform efficiently even in demanding operating conditions.

FAG India has earned global qualifications both in terms of quality and productivity and the group is now actively looking at Indian operations as an important manufacturing hub in the region.

The strength of Universal Sales Corporation is the relationship they share and enjoyed with their end customers and knowledge of Schaeffler products. The ability to plan, forecast and network customer's requirement along with ability to keep the right kind of stocks have helped them make rapid strides in last 4 to 5 years. The journey continues and Pune certainly will not be the last stop.

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.53.57
UK Pound	1	Rs.82.97
Euro	1	Rs.69.89

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	8
--PROFITABILIRY	1~10	8
--LIQUIDITY	1~10	8
--LEVERAGE	1~10	7
--RESERVES	1~10	8
--CREDIT LINES	1~10	7
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--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		65

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.