MIRA INFORM REPORT

Report Date :

20.12.2011

IDENTIFICATION DETAILS

Name :	EMMBI POLYARNS LIMITED
Registered Office :	Unit No. 601-604, 6^th Floor, Hari Om Chambers, Off New Link Road, Andheri (West), Mumbai – 400 053, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	29.11.1994
Com. Reg. No.:	11-83322
Capital Investment / Paid-up Capital :	Rs.164.903 millions
CIN No.: [Company Identification No.]	L17120MH1994PLC083322
IEC No.:	0303054930
TAN No.: [Tax Deduction & Collection Account No.]	MUME02122B
PAN No.: [Permanent Account No.]	AAACE3423G
Legal Form :	A Public Limited Liability company. The company’s Shares are Listed on the Stock Exchange.
Line of Business :	Manufacturer, Exporter and Importer of Jumbo Bags and Woven Sacks and various Woven Polymers based products.
No. of Employees :	1000 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (26)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 1900000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. Profitability of the company appears to be low. However trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealings with some caution.

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 :	Unit No. 601-604, 6^th Floor, Hari Om Chambers, Off New Link Road, Andheri (West), Mumbai – 400 053, Maharashtra, India
Tel. No.:	91-22-67845555
Mobile No.:	91-9320271711 (Mr. Piyuesh)
Fax No.:	91-22-67845555/ 67845506
E-Mail :	bharat.mohite@emmbi.com rinku.appalwar@emmbi.com sales@emmbi.com
Website :	www.wovensackindia.com
Area :	1000 Sq. ft
Location :	Rented
Factory 1 :	191/2/4, Massat Village, Meghwad Road, Union Territory of Dadra and Nagar Haveli Silvassa-396230, Vapi-Gujarat, India
Tel. No.:	91-260-3200831
Location :	Owned
Factory 2:	99/1/2, Madhuban Industrial Estate, Madhuban Dam Road, Rakholi Village, Silvassa-396 230,Gujarat, India
Tel. No.:	91-260-3200948
Location :	Owned
Branch Office :	Located at: · Silvassa, Gujarat · Vapi, Gujarat

DIRECTORS

As on 31.03.2011

Name :

Mr. Makarand Appalwar

Designation :

Executive and Non-independent Chairman and Managing Director

Address :

703/ 704, Indradarshan Complex II, Building No.14, Andheri (West), Mumbai – 400 053,Maharashtra, India

Date of Birth/Age :

21.11.1969

Qualification :

B.E

Date of Appointment :

29.11.1994

DIN No.:

00171950

Other Directorship :

S.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	L17120MH1994PLC083322	Emmbi Polyarns Limited	Managing director	01-04-09	29-11-94	-	Active	NO
2	U99999MH1997PTC111985	Emmbi Laboratories Private Limited	Director	12-07-99	12-07-99	-	Active	NO
3	U28932MH2005PTC158155	Maithili Agrotech Private Limited	Director	14-12-05	14-12-05	-	Active	NO

Name :

Mr. Sanjay R. Rathi

Designation :

Non-Executive and Independent Director

Address :

C-6 Kaveri - Mahima, Bangur Nagar , Goregaon (West), Mumbai – 400 090, Maharashtra, India

Date of Birth/Age :

06.05.1965

Date of Appointment :

22.02.2007

DIN No.:

00022432

Other Directorship :

S.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	U51909WB1995PTC067435	Neelpath Traders Private Limited	Director	15-10-04	15-10-04	-	Amalgamated	NO
2	U74140PN2006PTC022176	MRM Corporate Advisor Private Limited	Director	15-09-07	01-05-06	-	Active	NO
3	L17120MH1994PLC083322	Emmbi Polyarns Limited	Director	22-02-07	22-02-07	-	Active	NO
4	U92490MH2006PTC166327	Future Entertainment Private Limited	Director	08-05-07	08-05-07	-	Active	NO
5	U52399MH2007PLC171178	Future E-Commerce Infrastructure Limited	Director	25-05-07	25-05-07	24-12-09	Active	NO
6	U52100MH2007PLC171524	Future Value Retail Limited	Director	11-06-07	11-06-07	06-01-11	Active	NO
7	U51900MH2007PLC171946	Future Mobile and Accessories Limited	Director	23-06-07	23-06-07	-	Active	NO
8	U74999MH2007PLC173727	Mobile Repair Service City India Limited	Director	01-09-07	01-09-07	-	Active	NO
9	U51900MH2007PLC174027	Future Consumer Products Limited	Director	11-09-07	11-09-07	20-03-08	Active	NO
10	U72900MH2007PLC174787	Nufuture Digital (India) Limited	Director	08-10-07	08-10-07	-	Active	NO
11	U70102MH2007PLC175707	Future Ideas Realtors India Limited	Director	05-11-07	05-11-07	-	Active	NO
12	U45400MH2008PLC179914	Agre Developers Limited	Director	10-03-08	10-03-08	24-09-10	Active	NO
13	U45201MH2008PLC179913	Agre Properties and Services Limited	Director	10-03-08	10-03-08	17-10-10	Active	NO
14	U51909MH2006PTC164092	Edmon Trading Private Limited	Director	30-06-08	10-03-08	01-10-09	Active	NO
15	U52100MH2008PLC179919	Future Consumer Enterprises Limited	Director	10-03-08	10-03-08	-	Active	NO
16	U74999MH2008PLC181051	Future Learning and Development Limited	Director	10-04-08	10-04-08	09-10-09	Active	NO
17	U22300MH2008PLC181041	Future Outdoor Media Solutions Limited	Director	10-04-08	10-04-08	-	Active	NO
18	U74994MH2008PLC181891	Celio Future Fashion Limited	Director	05-05-08	05-05-08	16-12-08	Active	NO
19	U80301MH2008PLC184089	Future Education Limited	Director	27-06-08	27-06-08	21-10-09	Active	NO
20	U51110MH2005PTC156855	Chaste Investrade Private Limited	Additional director	01-06-09	01-06-09	10-07-09	Amalgamated	NO
21	U51109MH2009PLC195415	Rural Fairprice Wholesale Limited	Director	01-09-09	01-09-09	-	Active	NO
22	U01403MH2010PLC201760	Future Freshfoods Limited	Director	06-04-10	06-04-10	-	Active	NO
23	U17291MH2007GOI195402	Goldmohur Design And Apparel Park Limited	Director	18-09-10	08-06-10	-	Active	NO
24	U65900MH2006PLC159526	Future Ideas Company Limited	Director	30-09-10	15-06-10	-	Active	NO
25	U51109MH2008PLC189032	FSC Brand Distribution Services Limited	Additional director	29-06-11	29-06-11	-	Active	NO

Name :

Mrs. Rinku M. Appalwar

Designation :

Executive and Non-independent Director - Finance

Address :

703/ 704, Indradarshan Complex II, Building No.14, Andheri (West) Mumbai, Maharashtra, India

Date of Birth/Age :

19.08.1972

Date of Appointment :

29.11.1994

DIN No.:

00171976

Other Directorship :

S.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	L17120MH1994PLC083322	Emmbi Polyarns Limited	Whole-time director	01-04-09	29-11-94	-	Active	NO
2	U99999MH1997PTC111985	Emmbi Laboratories Private Limited	Director	12-11-99	12-11-99	-	Active	NO
3	U28932MH2005PTC158155	Maithili Agrotech Private Limited	Director	14-12-05	14-12-05	-	Active	NO

Name :

Dr. Mitravinda Appalwar

Designation :

Non-Executive and Non-Independent Director

Address :

703/ 704, Indradarshan Complex II, Building No.14, Andheri (West) Mumbai, Maharashtra, India

Date of Birth/Age :

03.10.1945

Date of Appointment :

29.11.1994

DIN No.:

02716731

Name :

Mr. Prashant Lohiya

Designation :

Non-Executive and Independent Director (w.e.f. 31^st May, 2010)

DIN No.:

02990858

Other Directorship :

S.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	L17120MH1994PLC083322	Emmbi Polyarns Limited	Director	30-09-10	31-05-10	-	Active	NO
2	U51900MH1995PLC090524	Blooming Dales Exports Limited	Director	25-06-10	25-06-10	-	Active	NO
3	U80904MH2007PTC175985	Creators Academy Private Limited	Director	18-11-10	18-11-10	-	Active	NO

Name :

Mr. Ashesh Y. Garg

Designation :

Non-Executive and Independent Director Upto 11.12.2010

Address :

C-55, Anand Nagar, Juhu Tara Road, JVPD Scheme, Mumbai, Maharasahtra, India

DIN No :

02716719

Date of Ceasing :

11.12.2010

KEY EXECUTIVES

Name :	Ms. Ashvini Godbole
Designation :	Company Secretary
Experience :	info@emmbi.com
PAN No :	AKJPG9030B

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2011

Category of Shareholder	No. of Shares	Percentage of Holding
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Individuals / Hindu Undivided Family	5042900	30.58
Bodies Corporate	2675000	16.22
Any Others (Specify)
Any Other	217450	1.32
Sub Total	7935350	48.12
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	7935350	48.12
(B) Public Shareholding
(1) Institutions
(2) Non-Institutions
Bodies Corporate	1430222	8.67
Individuals
Individual shareholders holding nominal share capital up to Rs.0.100 million	4269512	25.89
Individual shareholders holding nominal share capital in excess of Rs.0.100 million	2754597	16.70
Any Others (Specify)
Non Resident Indians	100569	0.61
Sub Total	8554900	51.88
Total Public shareholding (B)	8554900	51.88
Total (A)+(B)	16490250	100.000
(C) Shares held by Custodians and against which Depository Receipts have been issued	-	-
Total (A)+(B)+(C)	16490250	100.000

BUSINESS DETAILS

Line of Business :

Manufacturer, Exporter and Importer of Jumbo Bags and Woven Sacks and various Woven Polymers based products.

Products :

Product Description	Item Code No. (ITC Code)
H.D.P.E./ PP Circular Woven Sacks products	392390

PRODUCTION STATUS (AS ON 31.03.2011)

Particulars	Unit	Installed Capacity	Actual Production
Polymer based finished Products	MT	5000 up to 15.01.2011 12197 from 16.01.2011	4612.108

* Installed capacity is as certified by the management

GENERAL INFORMATION

No. of Employees :

1000 (Approximately)

Bankers :

Punjab National Bank, Branch - Cama Industrial Estate, Goregaon (East), Mumbai, Maharashtra, India

Facilities :

Secured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
From Bank
Term Loan (Note 1)	57.586	52.586
Working Capital (Note 1)	228.041	68.261
Hire Purchase Loan (Note 2)	4.713	0.000
Other Loan
From Bank	0.000	0.582
From Corporate	0.762	1.026
Total	291.102	122.455
Notes : 1. (a) Secured by way of deposit of the title deed in respect of all the immovable properties of the Company situated at plot no. 191/2/4 at village Masat, Taluka Silvassa within UT of Dadara and Nagar Haveli plot no. 191/2/4 at village Masat and at plot no. 99/2/1, Madhuban Ind. Estate, Rakholi, Taluka Silvassa within UT of Dadara and Nagar Haveli Dadara and Nagar Haveli (b) Secured by way of hypothecation of movables including movable machinery, machinery spares, tools and accessories, present and future. (c) Secured by hypothecation of all inventories, book debts and other current assets. 2. The Company has purchased cars and transport vehicles under hire purchase scheme and the said loan is secured by the hypothecation of vehicles acquired under the loan. 3. Rupee term loan repayable within twelve months Rs.22.153 millions (Previous year Rs.17.150 millions).
Unsecured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
From Banks and Inter Corporates (Amount repayable within twelve months Rs.3.111 Millions) (Previous Year Rs.12.869 millions)	4.410	17.120
Loans from Directors and shareholders (Amount repayable within twelve months Rs. NIL/-) (Previous Year Rs. NIL/-)	0.000	0.284
Total	4.410	17.404

Banking Relations :	--
Auditors :
Name :	K.J. Shah and Associates Chartered Accountants
Address :	Shop No.D-11,Sai Darshan-B, Ram Baug Lane, Opposite Mulji Nagar, Borivali, Mumbai – 400 092,Maharashtra, India
Associate Company :	Maithilee Agrotech Private Limited Emmbi Laboratories Private Limited

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
18000000	Equity Shares	Rs.10/- each	Rs.180.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
16490250	Equity Shares	Rs.10/- each	Rs.164.903 millions

Of the above:

i) 4699530 Equity Shares of Rs.10 Each fully paid up were allotted on Dated: 20.08.2009 by way of bonus shares by capitalizing free reserves of the company.

ii) 50000 Preferences Shares fully converted to Equity shares of Rs. 10 each during the year ended 31^st March, 2007.

iii) 8657700 Equity Shares of Rs.10/- each were issued during the year ended 31^st March, 2010 for cash as initial public offer in February, 2010

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		164.903	164.903	31.330
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		303.919	282.076	47.113
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		468.822	446.979	78.443
LOAN FUNDS
1] Secured Loans		291.102	122.455	189.745
2] Unsecured Loans		4.410	17.404	14.092
TOTAL BORROWING		295.512	139.859	203.837
DEFERRED TAX LIABILITIES		23.556	13.320	7.476
TOTAL		789.890	600.158	289.756
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		222.478	151.739	141.776
Capital work-in-progress		108.810	10.224	0.000
INVESTMENT		3.677	125.463	0.125
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	203.420	115.795	75.755
	Sundry Debtors	159.160	120.683	70.523
	Cash & Bank Balances	26.647	7.626	5.020
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	109.866	117.340	23.983
Total Current Assets		499.093	361.444	175.281
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	8.214	20.684	8.497
	Other Current Liabilities	13.133	18.014	11.635
	Provisions	23.107	10.355	7.689
Total Current Liabilities		44.454	49.053	27.821
Net Current Assets		454.639	312.391	147.460
MISCELLANEOUS EXPENSES		0.286	0.341	0.395
TOTAL		789.890	600.158	289.756

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Net Turnover	754.020	518.362	397.386
		Other Income	4.068	0.918	0.078
		TOTAL (A)	758.088	519.280	397.464
Less	EXPENSES
		Cost of Materials	525.371	345.306	240.119
		Manufacturing Expenses	66.198	59.957	50.332
		Payment to and provisions for employees	34.174	20.085	20.191
		Selling and administrative expenses	57.872	36.420	37.889
		TOTAL (B)	683.615	461.768	348.531
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		74.473	57.512	48.933
Less	FINANCIAL EXPENSES (D)		18.830	20.522	23.809
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		55.643	36.990	25.124
Less/ Add	DEPRECIATION/ AMORTISATION (F)		10.369	8.538	7.855
	PROFIT BEFORE TAX (E-F) (G)		45.574	28.452	17.269
Less	TAX (H)		18.667	10.739	4.573
	PROFIT AFTER TAX (G-H) (I)		26.607	17.713	12.696
	EXPENSES OF PREVIOUS YEAR		0.920	0.000	0.000
Add	SURPLUS CARRIED TO THE BALANCE SHEET		25.687	17.713	12.696
Less	APPROPRIATIONS
		Proposed Dividend	3.298	0.000	0.000
		Dividend Distribution Tax	0.548	0.000	0.000
	BALANCE CARRIED TO THE B/S		21.841	17.713	12.696
	EARNINGS IN FOREIGN CURRENCY
		Sales Value of FOB	274.922	204.946	224.900
	TOTAL EARNINGS		274.922	204.946	224.900
	IMPORTS
		Raw Materials	47.318	38.937	2.452
	TOTAL IMPORTS		47.318	38.937	2.452
	Earnings Per Share (Rs.)
	Basic		1.56	2.04	1.62
	Diluted		1.56	2.04	1.62

QUARTERLY RESULTS

PARTICULARS	30.06.2011 1^st Quarter	30.09.2011 2^nd Quarter
Net Sales	191.320	242.590
Total Expenditure	171.740	218.670
PBIDT (Excl OI)	19.580	23.920
Other Income	0.260	0.110
Operating Profit	19.840	24.030
Interest	4.970	5.980
Exceptional Items	0.000	0.000
PBDT	14.870	18.050
Depreciation	3.450	3.530
Profit Before Tax	11.420	14.510
Tax	2.200	2.950
Provisions and contingencies	0.000	0.000
Profit After Tax	9.210	11.560
Extraordinary Items	0.000	0.000
Prior Period Expenses	0.000	0.000
Other Adjustments	0.000	0.000
Net Profit	9.210	11.560

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	3.51	3.41	3.19
Net Profit Margin (PBT/Sales)	(%)	6.04	5.49	4.35
Return on Total Assets (PBT/Total Assets}	(%)	6.32	5.54	5.45
Return on Investment (ROI) (PBT/Networth)		0.10	0.06	0.22
Debt Equity Ratio (Total Liability/Networth)		0.73	0.42	2.95
Current Ratio (Current Asset/Current Liability)		11.23	7.37	6.30

LOCAL AGENCY FURTHER INFORMATION

NOTES:

Registered office of the company has been shifted from 309/310, 3^rd Floor, Kuber Complex, Village Oshivara, Andheri (W), Mumbai – 400053, Maharashtra, India to the present address

EXPANSION PROJECT

The planned capacity expansion project for the company was for increasing production capacity from the 5000 MTA in pre IPO period to 17200 MTA after completion of IPO. The expansion was planned in two phases and the first phase of expansion to increase the capacity to 12000 MTA has been completed during the year as per schedule. Second phase of increasing the capacity from 12000 MTA to 17200 MTA will be completed before 30th September 2011 as per schedule.

EXPORTS

Exports during the year Rs. 281.800 millions (CIF) as against Rs. 212.900 millions (CIF) in the previous financial year and contributed to 37% in the net sales. Company has expanded its presence in 29 countries from 18 Countries in the previous year which has resulted in this 34 % growth.

MANAGEMENT DISCUSSION AND ANALYSIS

INDUSTRY OVERVIEW

Subject Based Packaging Industry has matured over past 25 years in this country. The industry had initially progressed in 1970 era in the developed economies like USA and EU. Over the years the industry was compelled to shift the manufacturing bases to satellite countries like Mexico and other East European countries due to uncontrollable increasing labour cost. This shift took place during 1985 to 1995. With increase in popularity in the NAFTA agreement and the formation of “European Union” the labour costs in these satellite countries went through the roof and highly labour oriented packaging industry once again started looking for the New Place to settle. This was the same period when India experienced the “Polymer Revolution”.

DOMESTIC BUSINESS OUTLOOK

The Company is involved in producing various types of packaging material for the Domestic as well as Export Markets. In Domestic market, the Company remains one of the most active players for the packaging needs of the FMCG products such as Detergent Powder, Branded Salt and Branded Wheat flour etc.

The year was very successful and company has achieved a Top line growth of 46% and the profit before tax has increased by around 60%. Company continued to improve its operational profitability by conserving costs and improving efficiencies.

The Company has the philosophy of long term partnerships with clients while addressing their packaging requirements. The focused customer-centric approach of the Company has resulted in high levels of client satisfaction and retention resulting in high level of business growth year after year.

It is estimated that till the year 2015 the domestic Raffia Sector will double itself considering 2010 as a reference year. Presently around 3 Lac people are employed by this sector though out the country.

The management has initiated steps to increase the product base that has shown many positive results during the Year 2010-11.The Company was able to increase its export by 34% vis a vis previous year. Company has also expanded its sales footprint from 18 Countries in the last year to around 29 Countries this year. There was also a steep growth of 51 % in the Domestic market that was achieved by launching new products such as “Aqua Save” which encompasses the Range of Water Storage Tanks from 250 Liters to 2000 Liters, Canal Liners and Pond Liners and various other property packaging products. The management is also in the process of creating a network of retail distributors for our new product range.

INTERNATIONAL BUSINESS OUTLOOK

In recent years, the Company has acquired substantial share in the international market for various packaging needs for products like Construction Aggregates, Chemicals, Seeds, Fertilizers, and Cement and Food Grains etc. Some of the high value added products, the Company makes for the international market are Car/Automobile Covers, Container Liners, Anti Corrosive Packaging, Electrically conductive polymer based packaging etc. In the past few years Company has set a very strong base across the globe distributing its products through various distribution channels in around 29 countries. Company has reached a level where the Company can reap the fruits for all the hard work put in developing the product line and distribution network across the world. The global demand of the raffia sector, which is a principal focus product line of the Company, will show a tremendous growth in years to come.

NEW PRODUCTS

As planned phase I of expansion from IPO proceeds was completed during the year increasing the production capacity of the company to the tune of 12000 MT per annum. Phase II of the expansion will be completed before 30th September, 2011.

Company will be focusing its marketing efforts in developing the network in the Rural India for the distribution of its Specialty product “Flexi Tank”. This will give company a sound footage in the market of water storage which is estimated to be in the range of Rs. 100000.000 millions.

Company was able to maintain the sale of its rural shopping bags through the rural weekly markets.

The Company has developed skills and facility to manufacture “Technical Textile” that will be converted in various value added usages. These applications of Technical Textile are under development by the Company on its own and also along with the users.

OPPORTUNITIES AHEAD

The Company has maintained a steady growth inspite of intense competition and rising raw material prices due to its ability to adapt new technologies, product innovation, identifying and meeting the customers’ expectation in terms of high quality, prompt service and performance and development of new markets through retail distribution network. The management expertise and their association with the polymer packaging industry for the past decade have always been an added advantage to the Company.

The Company is focusing on new product development to increase its offerings to existing customers and also to tap demand from the new customers. The planned capacity addition will enable them to achieve growth and increase their geographical coverage. The Management intends to increase the share of higher value added products in total sales mix.

SEGMENTWISE OR PRODUCTWISE PERFORMANCE

The Company operates only in one segment which wide range of custom made products for the packaging need of the customers.

CONTINGENT LIABILITIES NOT PROVIDED FOR:

(Rs. in millions)

Particulars	31.03.2011	31.03.2010
Guarantee given by the Company to Electricity Department	2.850	2.850
L.C.	9.791	10.416
TOTAL	12.641	13.266

FIXED ASSETS

· Land: Freehold

· Building

· Compound Wall

· Office premises

· Plant and Machinery

· Electrical Installation

· Furniture and Fixture

· Crates

· Office Equipment

· Other Equipment

· Vehicles

UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED 30^TH SEPTEMBER, 2011

(Rs. in millions)

Sr. No.	Particulars	Quarter Ended 30.09.2011 (Unaudited)	Half Year Ended 30.09.2011 (Unaudited)
1.	Operating Income
	a. Net Sales	242.588	433.907
	b. Other Operating Income	0.000	0.000
	Total Income (a+b)	242.588	433.907
2.	Expenditure
	a) (Increase) / Decrease in Stock in Trade and Work In Process	(10.285)	(30.178)
	b) Consumption of Raw Materials	111.247	202.839
	c) Purchase of Traded Goods	64.388	122.484
	d) Manufacturing Expenses	23.217	41.983
	e) Employee Cost	14.104	24.941
	f) Other Expenditure	16.007	28.349
	g) Depreciation and Impairment	3.532	6.981
	Total	222.208	397.399
3.	Profit From Operations before Other Income, Interest and Exceptional Items (1-2)	20.379	36.508
4.	Other Income	0.113	0.371
5.	Profit Before Interest and Exceptional Items (3+4)	20.492	36.879
6.	Interest (net)	5.980	10.951
7.	Profit After Interest but before Exceptional Items (5-6)	14.512	25.928
8.	Exceptional Items – Charge / (Credit)	0.000	0.000
9.	Profit from Ordinary Activities before Tax (7-8)	14.512	25.928
10.	Tax Expense
	a) Current tax Charge / (Credit)	2.825	5.047
	b) Deferred tax Charge / (Credit)	0.122	0.000
11.	Net Profit from Ordinary Activities after Tax (9-10)	11.564	20.881
12.	Tax Adjustments in respect of earlier years
	Short Provision of Taxes	--	--
	Deferred Tax Charge / (Credit)	--	--
13.	Net Profit for the period (11-12)	11.564	20.881
14.	Extraordinary Item	--	--
15.	Net Profit for the period (13-14)	11.564	20.881
16.	Paid-up Equity Share Capital (Face Value of Rs.10/- Each)	164.903	164.903
17.	Reserves Excluding Revaluation Reserve	11.532	324.661
18.	Earning Per Share (EPS)
	a) Basic and diluted EPS before extraordinary items for the year to date and for the previous year
	-Basic-Rs.	0.70	1.26
	-Diluted-Rs.	0.70	1.26
19.	Public Shareholding
	-Number of Shares	8554900	8554900
	- Percentage of Shareholding (%)	51.88%	51.88%
20.	Promoters and Promoter Group Shareholding
	a) Pledged/Encumbered
	- Number of Shares	--	--
	- Percentage of Shares (as a % of the Total Shareholding of promoters and promoter group)	--	--
	- Percentage of Shares (as a % of the Total Share Capital of the Company)	--	--
	b) Non Encumbered
	- Number of Shares	7935350	7935350
	- Percentage of Shares (as a % of the Total Shareholding of Promoters and Promoter Group)	100.00%	100.00%
	- Percentage of Shares (as a % of the Total Share Capital of the Company)	48.12%	48.12%

NOTES

UNAUDITED STATEMENT OF ASSETS AND LIABILITIES AS AT 30^TH SEPTEMBER, 2011

(Rs. in millions)

Particulars	As at 30.09.2011 (Unaudited)
SOURCES OF FUNDS
1. SHAREHOLDERS FUNDS
Share Capital	164.903
Share Warrants	5.100
Reserves & Surplus	324.661
NETWORTH	494.663
2. LOAN FUNDS
Secured Loans	380.243
2] Unsecured Loans	2.829
TOTAL BORROWING	383.073
DEFERRED TAX LIABILITIES	23.695
TOTAL	901.431
APPLICATION OF FUNDS
1. Fixed Assets (At Cost)
Gross Block	273.953
Less : Depreciation	55.708
Net Block	218.245
Capital work-in-progress	152.309
	370.554
2. Investments	3.677
3. Current Assets, Loans & Advances
(a) Inventories	252.348
(b) Sundry Debtors	290.998
(c) Cash & Bank Balances	8.207
	551.554
Loans & Advances	140.368
	691.922
Less : Current Liabilities & Provisions
Current Liabilities	136.744
Provisions	28.237
Total Current Liabilities	164.980
Net Current Assets	526.941
4. Miscellaneous Expenditure
Miscellaneous Expenses (to the extent not written off or adjusted)	0.259
TOTAL	901.431

· The above results have been reviewed by Audit Committee and approved by Board of Directors in its meeting held on 14^th November, 2011. The above results have been reviewed by Statutory Auditors of the Company under Clause 41 of the Listing Agreement.

· No. of complaints received from investors / shareholders for the quarter ended 30^th September, 2011.

Pending at the beginning of the quarter Nil

Received during the quarter Nil

Disposed during the quarter Nil

Pending at the ending of the quarter Nil

· The Entire operation of the Company relate to only one segment viz. Polymer based multiple products.

· Details of fund utilization of IPO proceeds.

No	Particulars	Amount to be utilized as per Prospectus (Rs. In Millions)	Amount Utilized Till 30^th September, 2011 (Rs. In Millions)
1	Machinery purchased (including advance paid)	173.915	185.604
2	Land and Building (including advance paid)	90.007	86.560
3	Electrification and Plumbing	12.600	2.088
4	Market development expenses	10.000	9.966
5	Contingencies	11.696	10.030
6	Working Capital Margin	62.500	67.500
7	Issue and other miscellaneous expenses	32.879	38.775

· During the quarter both phases of expansion is completed and machine capacity for Polymer based finished products processing enhanced from 5000 MTPA before IPO to be proposed 17800 MTPA as stated in the prospectus in respect of maiden IPO of the company. Accordingly the issue proceeds from IPO has been utilized for the purpose as proposed in the Prospectus.

· Warrant Application money of Rs.5.100 millions received in the previous quarter has been utilized during the quarter for the purpose as stated in the objects of the issue for Preferential Offer i.e. for general corporate purpose, including capital expenditure.

· The figures of previous year have been regrouped / reclassified wherever necessary to correspond with those of the current year

WEBSITE DETAILS:

PROFILE:

They are engaged in manufacture and sale of FIBC (Jumbo Bags) and Woven Sacks and various woven polymer based products like Container Liners, Protective irrigation system, Canal Liners, Flexi Tanks, Car covers etc.  Their Company is promoted by the first-generation entrepreneurs, Mr. Makrand Appalwar and Mrs. Rinku Appalwar in  November 1994.  They are one of the well established brands in the field of woven polyethylene and polypropylene product manufacturing industry.  They have a track record of business in the field of woven sacks and Flexible Intermediate Bulk Container (FIBC) container liners, Canal Liners, Protective Irrigation Systems, Flexi Tanks, Car Covers which find large scale application in the segments like cement and fertilizer.  Their manufacturing facility is located at Silvassa.

They have been awarded SME 2 Rating by CRISIL Limited which indicated 'High' level of credit worthiness  adjudged in relation to other SMEs.  They have constantly shown growth in production and sales.  The production has increased from 961 MT in 2000-01 to 3857 MT in 2008-09.  They are amongst the first few companies in India to achieve ISO 9000.2008 Certification for the Management system in Woven Sack Industry.

In addition to FIBC they manufacture various woven polypropylene products including Small bags, Box woven bags, Roofing underlayment fabric, Courier bags, Ground covers, Silt fence and Geotextiles.  They offer woven bags and fabrics in both PP and HDPE.  Their products are UV stabilized and pre-conditioned against shrinkage.

They specialize in high strength, low GSM FIBC with high safety factor.  They are among the first few global manufacturers to offer Jumbo Bags (FIBCs) with 130 GSM Bags, 5:1 Safety factor for 1000 KG Safe Working Load and 160 GSM Bags, 6:1 Safety Factor for 1500 KG Safe Working Load, Their Extrusion machinery is capable of producting tapes with very high  linear tenacity.  This ensures that their woven plastic products are of the highest strength.  They produce FIBCs of U+2 panel, Circular Jumbo bags, Baffle bags, All panel bags, Conductive FIBC and Static dissipative FIBCs.

BUSINESS DESCRIPTION

Subject is an India-based company. The Company manufactures woven polymer-based products in multifaceted applications. The products manufactured by the Company are used in packaging, automobiles, infrastructure and various other sectors. The Company manufacture and sale high-density polyethylene (HDPE), polypropylene (PP) and raffia products. During the fiscal year ended March 31, 2010 (fiscal 2010), the Company launched products range of AquaSave, which is focused on the water conservation-based products. The Company is engaged in producing various types of packaging material for the domestic, as well as export markets. In domestic market, the Company provides packaging needs for the fast moving consumer goods (FMCG) products, such as detergent powder, branded salt and branded wheat flour. The Company also provides packaging needs for products like construction aggregates, chemicals, seeds, fertilizers, and cement and food grains. For the nine months ended 31 December 2010, Subject revenues totaled Rs. 535.900 millions. Net income before extra ordinary items totaled Rs.27.000 millions. Revenues reflect an increase in income from the operations. Net income also reflects increase in operating profit margin. The company is engaged in manufacturing of various woven polymer based products in multifaceted applications. The products manufactured by the company are used in packaging.

BOARD OF DIRECTORS

.

Makrand M. Appalwar - Executive Non-Independent Chairman of the Board, Managing Director

Mr. Makrand Appalwar B.E. (Electronics and Telecommunication) is the Executive Non-Independent Chairman of the Board, Managing Director, Non Independent Director of Subject. He completed his engineering graduation in Electronics and Telecommunication from Maharashtra Institute of Technology, Pune in the year 1992. He later started his marketing organization with Mrs. Rinku Appalwar to supply woven sacks to fertilizer and other industries. An enthusiast towards his work, he learnt the intricacies of a manufacturing organization and later started a contract manufacturing unit of products. He commenced his own manufacturing operation in Silvassa in the year 1997 with one extrusion line and allied equipments. In the span of twelve years, the company has increased its manufacturing capacity from 540 MT to 5000 MT. He has been awarded with Udhyog Rattan award by Institute of Economic Studies (IES) in the year 2007.

Rinku M. Appalwar - Executive Non-Independent Director - Finance, Director

Ms. Rinku Appalwar is Executive Non-Independent Director - Finance, Director of Subject. She is B.Sc. (Chemistry) and has done MBA in marketing from Mumbai University and had joined Mr. Makrand Appalwar in the marketing organization set by him. Presently, she tools full responsibility of finance, procurement and administration of the Company. She also plays an important role by arranging finances to meet the growth plans of the Company.

Sanjay Rathi - Non-Executive Independent Director

Mr. Sanjay Rathi is Non-Executive Independent Director of Subject. He holds a degree in B.Com, LLB, and CS. A fellow Member of Institute of Company Secretaries of India since 1988. He has been working in various capacities in the field of corporate laws and related activities. He has an experience in the finance, Insurance, Costing and Policy Formulations. He has directorship in Future E-Commerce Infrastructure Limited, Future Mobile and Accessories Limited., Mobile Repair Services City India Limited, Erudite Knowledge Services Limited, Pantaloon Future Ventures Limited, Future Ideas Realtors Limited, Future Value Retail Limited, Future Specialty Retail Limited, Future Mall Management Limited, Future Learning and Development Limited, Future Outdoor Media Solutions Limited, Future Entertainment Private Limited, Future Brands Limited, MRM Corporate Advisor Private Limited

PRESS RELEASE

Emmbi Polyarns Limited To Consider Raising Of Funds

May 04, 2011

Emmbi Polyarns Limited announced that a meeting of the Board of Directors of the Company will be held on May 08, 2011, inter alia, to consider and approve the raising of funds through issue of equity or debt or hybrid instruments (including convertible securities, warrants etc.) on Preferential basis or in such other manner, to Promoters and / or other investors, as per the applicable SEBI Regulations and other applicable laws.

Address Change

Accord Fintech (India)

04 November 2011

India, November 04 -- Emmbi Polyarns Limited has informed the Exchange that the Company has received order from Hon'ble Company Law Board, Western Region Bench, Mumbai approving the Petition for shifting of Registered Office from the State of Maharashtra to the State of Gujarat. The Address of the Registered Office of the Company is as under: 99/2/1 and 9, Madhuban Industrial Estate, Madhuban Dam Road, Rakholi Village, U.T. of Dadra and Nagarhaveli, Silvassa 396230. Published by HT Syndication with permission from Accord Fintech

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.52.95
UK Pound	1	Rs.82.04
Euro	1	Rs.68.91

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	2
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	2
--CREDIT LINES	1~10	3
--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	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	YES
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		26

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.