MIRA INFORM REPORT

Report Date :

16.02.2011

IDENTIFICATION DETAILS

Name :	PEST CONTROL (INDIA) PRIVATE LIMITED
Registered Office :	36, Yusuf Building, M. G. Road, Fort, Mumbai – 400 001, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	30.07.1954
Com. Reg. No.:	11-9347
CIN No.: [Company Identification No.]	U74140MH1954PTC009347
TAN No.: [Tax Deduction & Collection Account No.]	MUMP15164C/ MUMP00273A
PAN No.: [Permanent Account No.]	AAACP5994K
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Pest Control Product.

RATING & COMMENTS

MIRA’s Rating :

Ba (52)

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

Maximum Credit Limit :	USD 1976000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well-established and a reputed company having fine track records. Financial position of the company appears to be sound. Directors are reported to be experienced and respectable businessmen. Trade Relations are reported as fair. Business is active. Payments are reported to be regular and as per commitments. 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

LOCATIONS

Registered Office :	36, Yusuf Building, M. G. Road, Fort, Mumbai – 400 001, Maharashtra, India
Tel. No.:	91-22-26865550-4/ 56990252-5/ 22810595
Fax No.:	91-22-26865555/ 56990256/ 22810594
E-Mail :	corporate@pcil.co.in corporate@pcil.in
Website :	http://www.pcilindia.com
Location :	Owned
Corporate Office :	2^nd and 5^th Floor, Jagdamba House, (Next to Anupam Cinema), Peru Baug, P.O. Box 9060, Goregaon (East), Mumbai – 400 063, Maharashtra, India
Tel. No.:	91-22-26865550-4/ 66990256
Fax No.:	91-22-26865555/ 66990256
E-Mail :	corporate@pcil.co.in solutions@pcil.in
Website :	www.pcilindia.com www.pcil.in
Bio-Control Research Laboratories (BCRL) :	No.36/2, Sriramanahalli, Rajankunte Post, P.O. Box 6426, Yelhanka, Bangalore – 560 064, Karnataka, India
E-Mail :	bcrl@pcil.in
Plants / Factory :
Address:	Mira Road A-6/10/11, MIDC Area, Post Box No. 30, Western Express Highway, Beyond Dahisar Check Post, Mira (Dist. Thane) – 401107, Maharashtra, India
Tel No.:	91-22-28456277/ 28454278/ 28456934/ 28455207/ 28455734/ 28455652
Fax No.:	91-22-28457313
Email:	mirafactory@pcil.co.in mirafactory@pcil.in
Address:	Taloja Plot Nos. 38/39, Taloja MIDC (Chemical Zone), Industrial Area, Village :Navade, Taluka : Panvel, Dist : Raigad – 410208, Maharashtra, India
Tel No.:	91-2145-27402263/ 27401024/ 27401025
Fax No.:	91-2145- 27402263
Email:	talojafactory@pcil.co.in talojafactory@pcil.in
Address:	Vasai Bio-Control Research Laboratories (BCRL) No. 36/2, Sriramanahalli,Rajankunte Post, P. O. Box 6426, Yelahanka, Bangalore – 560064, Karnataka, India
Email:	jayanthk@vsnl.com
Sales Division :	127, Keytuo Industrial Estate, 220, Kondivita Road, (Off. Andheri-Kurla Road), Andheri (East), Mumbai – 4000059, Maharashtra, India
Tel No.:	91-22-28212546-7/ 28217385/ 2832 8481
Fax No.:	91-22-28221647
Email:	psd_mumbai@pcil.co.in industrial_products@pcil.co.in

DIRECTORS

As on 30.09.2010

Name :	Mr. Nalkur Sripad Narsing Rao
Designation :	Chairman Emeritus Executive Director
Address :	No. 1, Union Park, Nargis Dutt Marg, Khar, Mumbai – 400 052, Maharashtra, India
Date of Birth/Age :	20.09.1920
Date of Appointment :	20.12.2008
DIN No.:	00239558
Name :	Mr. Anil Sripad Rao
Designation :	Chairman and Managing Director and Chief Executive Officer
Address :	Palmyra, 6^th Floor, Plot No. 593-B, 21^st Khar Pali Road, Bandra, Mumbai – 400 050, Maharashtra, India
Date of Birth/Age :	03.01.1951
Date of Appointment :	01.04.2006
DIN No.:	00151328
Name :	Dr. Pramila Kanu Chatterjee
Designation :	Executive Director (Medical and Welfare)
Address :	319, Sector ‘A’, Packet ‘C’, Vasant Kunj, New Delhi – 110 070, India
Date of Birth/Age :	15.04.1943
Date of Appointment :	01.08.2006
DIN No.:	00239716

KEY EXECUTIVES

Name :	Mr. Sunil Surkund
Designation :	Company Secretary
Address :	10, United House, Manmala Tank Road, Mahim, Mumbai – 400016, Maharashtra, India
Date of Birth/Age :	11.10.1954
Date of Appointment :	29.09.2007
E-Mail :	sunil.surkund@pcil.in
Name :	Mrs. Sandhya
Designation :	Accountant

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2010

Names of Shareholders	No. of Shares
Geeta Mohan Rao / Mohan S. Rao	19296
Anil Sripad Rao	21735
Nalkur Sripad Rao	58
Marianne A.Rao	9054
Mohan S.Rao	6159
Geeta Mohan Rao	5034
Ratna D. Rao	1200
Pramila Chatterjee	5300
Joshua A. Rao	1956
Nathan A. Rao	1800
Marianne A.Rao / Anil S. Rao	987
Ajit Sripad Rao	1359
Nikhil Chatterjee	1799
Ritwick Chatterjee	1738
Anils. Rao/ Marianne Rao	10745
Anil S. Rao/Anusha Babbar	1600
Sunil Surkund	348
Anjali Nalkur	6096
Radha M. Bhatkal	3360
Ravi Bhatkal	3000
N. G. Wagle	1500
Srikant D. Nalkur	1266
Umesh Rao Tavanandi	1200
Surekha D. Rao	800
G. N. Surkund	775
Manohar N. Shanbhag	774
Lebereta D'souza	750
Susheela S. Tavanandi	648
Archana A. Mavinkurve	600
T. Durgadas Rao	500
Dipak Rajnikant Shah	360
Narayan N. Solanki	210
J.N.Irani	180
Sathianathan K. Nambisan	180
Usha Dipak Shah	180
Pradeep Aidoor	114
Geeta Srikanth Nalkur	112
Isidore R. Saldanha	90
Somashekar Karkal	90
K. Raghunandan Rao	78
UVI Holidays Limited	60
Devamma M. Gowda	24
Augustine H. Sequeira	48

As on 30.09.2010

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	0.05
Directors or relatives of directors	75.14
Other top fifty shareholders	24.81
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Pest Control Product.

Products/ Services :

Item Code No. (ITC Code)	--
Product Description	Pest Control Services
Item Code No. (ITC Code)	380810.00
Product Description	Insecticides
Item Code No. (ITC Code)	854300.00
Product Description	Electric Pest Exterminators

PRODUCTION STATUS (AS ON 31.03.2008)

Particulars	Unit	Actual Production
Technical Pesticides	M. Tones	91.74
Solvents	K. Litres	358.57
Emulsifiers	M. Tonnes	3.13
Gases	M. Tonnes	--

GENERAL INFORMATION

Customers :

Wholesalers

No. of Employees :

78 (Corporate – 75, Office – 3) (Approximately)

Bankers :

· Indian Overseas Bank, 2/10, Elphinstone Building, Veer Nariman Road, Fort, Mumbai – 400 023, Maharashtra, India

· HDFC Bank Limited, HDFC Bank house, Senapati Bapat Marg, Lower Parel (West), Mumbai 400 013, Maharashtra, India

Facilities :

Secured Loans	31.03.2010 Rs. In Millions	31.03.2009 Rs. In Millions
A) From INDIAN OVERSEAS BANK, secured by
a) Hypothecation of Book Debts and Stock of Raw Materials and Finished Goods	2.307	29.034
b) Term Loan against equitable Mortgage of all immovable properties and hypothecation of Plant and Machinery, Equipment and all movable assets at Taloja and Mira Factory.	88.466	94.346
c) Clean Term Loan (Further collaterally secured by building premises at Sewri, Belapur, Mira and Taloja and Plant and Machinery at Mira and Directors ' personal guarantees)	19.580	27.161
B) Term Loan from Banks against hypothecation of vehicles and Directors' personal guarantees	4.761	3.881
Total	115.114	154.422

Unsecured Loans	31.03.2010 Rs. In Millions	31.03.2009 Rs. In Millions
I.C.I.C.I	0.547	0.547
Loan against Land and building	1.825	0.025
Total	2.372	0.572

Banking Relations :	--
Auditors :
Name :	Sharat Shanbag and Company Chartered Accountants
Address :	“Vagdevi”, 369 - B, S.B. Marg, Mahim, Mumbai – 400 016, Maharashtra, India
Tel No :	91-22-24226986/24377598 (Res.)
PAN No :	AAEPS4136R

CAPITAL STRUCTURE

As on 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
300000	Equity Shares	Rs.100/- each	Rs.30.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
120000	Equity shares	Rs.100/- each	Rs.12.000 millions

Note:

Of the above shares 100000 equity shares of Rs.100/-each were allotted on 15.12.1995 for consideration other than cash as fully paid up bonus shares by capitalisation of General Reserves.

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		12.000	12.000	12.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		482.011	393.441	336.811
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		494.011	405.441	348.811
LOAN FUNDS
1] Secured Loans		115.114	154.422	118.027
2] Unsecured Loans		2.372	0.572	1.072
TOTAL BORROWING		117.486	154.994	119.099
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		611.497	560.435	467.910
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		415.441	357.695	288.767
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		11.086	11.038	9.617
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	165.023	184.416	161.244
	Sundry Debtors	228.110	237.581	183.433
	Cash & Bank Balances	211.170	116.558	112.702
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	78.023	79.389	93.903
Total Current Assets		682.326	617.944	551.282
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	13.914	10.697	32.121
	Other Current Liabilities	494.033	420.352	345.460
	Provisions	(10.591)	(4.807)	4.175
Total Current Liabilities		497.356	426.242	381.756
Net Current Assets		184.970	191.702	169.526
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		611.497	560.435	467.910

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	1898.800	1740.300	1408.400
		Other Income	10.715	6.215	19.372
		TOTAL	1909.515	1746.515	1427.772
Less	EXPENSES
		Office Expenses	1739.286	1605.025	1302.179
		Administrative Expenses
		Advertising Expenses
		TOTAL	1739.286	1605.025	1302.179
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		170.229	141.490	125.593
Less/ Add	DEPRECIATION/ AMORTISATION		33.957	30.098	25.038
	PROFIT BEFORE TAX		136.272	111.392	100.555
Less	TAX		47.702	54.762	39.648
	PROFIT AFTER TAX		88.570	56.630	60.907
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		103.438	96.808	75.901
Less	APPROPRIATIONS
		Transfer to General Reserve	60.000	50.000	40.000
	BALANCE CARRIED TO THE B/S		132.008	103.438	96.808
	EARNINGS IN FOREIGN CURRENCY
		Export at F.O.B	29.595	23.370	15.615
		Other (Freight, Insurance etc.)	2.100	2.337	1.133
		Sales Service	0.000	0.527	3.518
		Technical Fees and Commission	4.359	0.779	2.443
	TOTAL EARNINGS		36.054	27.013	22.709
	IMPORTS
		Value of Import of Chemicals and Equipment on CIF basis	104.468	143.648	129.468
	TOTAL IMPORTS		104.468	143.648	129.468
	Earnings Per Share (Rs.)		738.08	471.92	507.56

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	4.64	3.24	4.27
Net Profit Margin (PBT/Sales)	(%)	7.18	6.40	7.14
Return on Total Assets (PBT/Total Assets}	(%)	12.41	11.42	11.97
Return on Investment (ROI) (PBT/Networth)		0.28	0.27	0.29
Debt Equity Ratio (Total Liability/Networth)		1.24	1.43	1.09
Current Ratio (Current Asset/Current Liability)		1.37	1.45	1.44

LOCAL AGENCY FURTHER INFORMATION

FINANCIAL RESULTS:

During the year, the Sales have increased to Rs.1898.800 millions from Rs.1740.300 millions during the corresponding previous year and the profit before tax has increased to Rs.136.272 millions (Previous Year – Rs.111.392 millions).

BUSINESS PERFORMANCE AND REVIEW:

The profit of the Company has been maintained despite overall increase in personnel and other input Costs.

The Service Sales turnover has shown an increase of 14% over the previous year. The financial Year 2009-10 was very challenging with respect to the business growth due to worldwide recession and its impact on Indian Economy. The reduction of contract values, losses of many contracts to competitors due to low rates, etc., exports from India reduced drastically and so also the fumigation business and in general, trend in the commercial segment was to cut down on the cost of operation to improve their bottom line. Despite all odds the Service Sales registered a positive growth by retaining several of these customers and also acquired many new customers due to its improved service delivery and enhancement in competency of the field staff. A concerted effort was made towards implementation of new structured training program on RBU and CBU front involving Technicians as well as operations and Sales staff. Various measures were instituted within branches to streamline operations and service delivery. The Company also secured Consultancy and Service Contracts in the Gulf and neighbouring Countries.

The Company has acquired sole distributorship rights for GrainPro Inc. products which are related with hermetic storage techniques and made a beginning to position itself in a totally new segment of business.

The Company managed to maintain the Product Sales despite stiff competition. Apart from continuing its successful run in residential and industrial segments, BirdPro has made progress and inroads into several newer segments like, Petro-chemical, aviation and ordinance factory, etc. The Company has also included "Plasma Sterilizer" to its product offering. This inclusion will go well with their focus on offering solutions for sterilisation needs of hospitals. There are several other products that are at various levels of development that would be made commercially available in coming years.

BCRL designed and launched “Bioassay Vials” containing breeding colonies of stored product insects as a tool to check quality of stack, silo, bin and container fumigation.

PCI introduced Exoroach Trap, an unique and non-toxic method of managing cockroaches at homes and industry, which results in saving repeat operator visits to attend to complaints and also reduction in chemicals used, in association with Exosect Limited, UK, which specialises in providing Intelligent Pest Management Solutions, as part of their service contract.

Under a distribution tie-up with Exosect Limited, UK, large scale trials were carried out over 1600 acres across the Country, which established the suitability of their patented pheromone based auto-confusion technology in managing yellow stem borer of rice.

BCRL, which spearheads the commitment of PCI towards environmentally-friendly pest management techniques, achieved another milestone by attaining self sufficiency in pheromone synthesis. Today all sex and aggregation pheromone lures manufactured at BCRL are produced from pheromone blends synthesized in house, the only Indian Company to have achieved this feat.

BCRL commercially launched a formulation with the trade name “LASTRAW” for management of soft bodies sucking pests such as aphids, white flies, thrips, jassids, mealy bugs, soft scale insects and red spider mites affecting various agricultural and horticultural crops.

BCRL has been recognized a part of the Global Plant Clinic (GPC) alliance after 10 scientific, technical, field and marketing staff were certified as Plant Doctors, based on two modules of a training course conducted by Global Plant Clinic of CABI, UK in October 2009 and February 2010. BCRL has already started Plant Clinics with a view to create durable plant health services for the benefit of farmers in and around Bangalore to start with.

During the period under report commercial sale of BCRL products has been initiated for the first time in Indonesia, UAE and Iran through local distributors.

The Company has deployed Tally ERP at all Billing Locations across the Country and the modified TCP file has also been installed in these locations with a view to generate requisite Reports under different Classification of Services for Service Tax purposes.

Their Joint Venture Company PCI Environmental Services Private Limited has progressed satisfactorily and has expanded its operations to major metro cities.

The Company's Joint Venture in Mauritius, Alpha – PCI Pest Management Limited is also progressing satisfactorily.

FORM 8: 

Corporate identity number of the company	U74140MH1954PTC009347
Name of the company	PEST CONTROL (INDIA) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	36, Yusuf Building, M. G. Road, Fort, Mumbai – 400 001, Maharashtra, India E-Mail: corporate@pcil.in
This form is for	Modification of charge
Charge identification number of the modified	90243896
Type of charge	Book Debts Movable Property
Particular of charge holder	Indian Overseas Bank, 2/10, Elphinstone Building, Veer Nariman Road, Fort, Mumbai – 400 023, Maharashtra, India E-Mail: m.g.kalelkar.associates@gmail.com
Nature of description of the instrument creating or modifying the charge	Letter of Hypothecation (For securing Machineries/ Vehicles/ Goods/ Book Debts)
Date of instrument Creating the charge	03/09/2010
Amount secured by the charge	Rs.10.600 millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest: As may be prescribed by the Bank, from time to time. Terms of Repayment: Repayable in 60 monthly installments Margin: Margin : 25% Extent and Operation of the charge: To secure the due repayment of Term Loan of Rs.10.600 millions granted by the Bank to the Company.
Short particulars of the property charged	All present and future, raw materials, stock in process, finished goods, stores and consumables, of the Company. All present and future, book debts due to the Company. All present and future, plant and machinery, equipments, scientific instruments, vehicles, software and hardware, etc., of the Company.
Date of latest modification prior to the present modification	18/08/2008
Particulars of the present modification	By this modification, Term Loan of Rs.10.600 millions, granted by the Bank to the Company, has been renewed and shall continue to be in force. Therefore, the overall charge still stands at Rs.10.600 millions.

Name of the company	PEST CONTROL (INDIA) PRIVATE LIMITED
Presented By	PEST CONTROL (INDIA) PRIVATE LIMITED
1) Date and description of instrument creating the change	Letter of Hypothecation of securing Machineries/ Vehicles/Goods/Book debts dated 16.08.2003
2) Amount secured by the charge/amount owing on the securities of charge	Rs.30.000 Millions
3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given	1. Hypothecation of all Raw materials, Stocks in Process, Finished Goods, Consumables, present and future, of the company; 2. Hypothecation of all book debts, present and future, due to the company; 3. Hypothecation of plant and machinery, Equipments, Scientific Instruments and Vehicles of the Company;
4) Gist of the terms and conditions and extent and operation of the charge.	To secure the due repayment of Clean Term Loan Facility together with all further charges and expenses, granted by the Bank to the company.
5) Name and Address and description of the person entitled to the charge.	Indian Overseas Bank 2/10, Elphinstone Building, Veer Nariman Road, Fort, Mumbai – 400 023, Maharashtra, India
6) Date and brief description of instrument modifying the charge	Letter of hypothecation (for securing Machinery/ Vehicles/ Goods/ Book Debts) dated 27.08.2005
7) Particulars of modifications specifying the terms and conditions or the extent of operations of the charge in which modification is made and the details of the modification.	By 1^st modification dated 16.11.2003 the clean term loan facility had been renewed for Rs.30.000 Millions (Registered on 18.12.2003 under document serial No.443); By this modification term loan of Rs.30.000 Millions granted by the bank to the borrower has further been renewed and shall continue to be inforce. Therefore, the overall charge still remains at Rs. 30.000 Millions.

This form is for	Modification of charge
Charge identification number of the modified	80003076
Corporate identity number of the company	U74140MH1954PTC009347
Name of the company	PEST CONTROL (INDIA) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Yusuf Building 36 M G Road, Mumbai – 400001, Maharashtra, India.
Type of charge	Immovable property
Particular of charge holder	Indian Overseas Bank, 2/10, Elphinstone Biulding, Veer Nariman Point, Fort, Mumbai – 400001, Maharashtra, India. E-Mail : m.g.kalelkar.associates@gmail.com
Nature of description of the instrument creating or modifying the charge	Second Deed of Further Supplementary Equitable Mortgage of Fourth Extension
Date of instrument Creating the charge	17.06.2009
Amount secured by the charge	Rs.290.800 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of interest As may be decided, from time to time by the Bank Margin As may be decided, from time to time by the Bank Extent and operation of the charge To secure the due repayment of credit facilities aggregating to Rs.290.800 Millions granted, from time to time, by the Bank to the company.
Short particulars of the property charged	Immovable properties belonging to the company – Industrial Unit No.A-3; Industrial Unit No.4/A/c; Shop Nos. 11,12,31,32; Shop Nos. 6 and 7; Survey No.36/2 Khata Nos.168-58/1 and 168-58/2; Shop No.1, Shop No.2; Shop No.15; Shop No.47, Unit/ Gala No.1027, shop Nos.11,13,14 and 15; Office No. BR-1/439, 440,441; Unit No.B-151, Unit No. B-152; Site Nos.11 and 12.

CONTINGENT LIABILITIES: (Not Provided for) (As on 31.03.2010)

a) Counter guarantees for the guarantees issued by the Bank, as at 31^st March, 2010: Rs.7.824 millions.

b) Letter of Credit issued by the Bank, as at 31^st of March, 2010: Rs.3.317 millions.

c) Claims against the Company not acknowledged as debts in respect of Excise Duty: Rs.1.384 millions.

d) Claims against the Company not acknowledged as debts in respect of Service Tax: Rs.4.931 millions.

FIXED ASSETS

· Land

· Building

· Plant and Machinery

· Equipments

· Furniture and Fixtures

· Electrical Installations

· Motor Vehicles

· Cycles

· Capital Work in Progress

WEBSITE DETAILS:

HISTORY

The PCI story

Early Days

During World War II, the Allies operated a land link, transporting lease land supplies from Iranian ports through Armenia and Azerbaijan to Russia. A young Indian was in charge of fumigating the wartime supplies with Methyl Bromide. Sometimes, he and his colleagues had to dust refugees with 10% DDT against typhus-causing lice! In 1946, the 26-year-old returned to India from Britain with all his savings and decided to start his own pest control business. The firm called “Goodwill Pest Control”, introduced pest control as a service for the first time in the country, but soon folded up due to the lack of awareness and thus, business.

Ruined financially, he decided to get a job and was soon working with a prestigious organisation as their Estate Manager. His dream, however, remained alive and with his brother, he continued the business part-time. They landed their first major contract with the Oil Seeds Trading Company when they started fumigating railway wagons carrying groundnuts for export. A post-construction termite treatment with Raghuvanshi Mills followed a year later. Soon, things started looking up and he gave up his job, rented a tiny office near Flora Fountain in Mumbai and launched a private limited company. That young man was none other than their Chairman Emeritus, Nalkur Sripad Rao, who with his brother, the late Nalkur Bhavani Shankar Rao, set up Subject on 30 July 1954.

The Fifties : PCI was then the only company of its kind in India, with fumigation as the main business. Services soon expanded to include termite control (1955), rodent control and household disinfestation (1956). Those were the early days when Pest Control as a private service was virtually non-existent in India. There were no institutes to impart training and no specific equipment for urban pest control was available. Also, the restrictive import policies meant that new technologies were not easily accessible.

The Sixties : N.S. Rao then embarked on a worldwide pest control training visit. In 1960, he became a member of the National Pest Control Association, NPCA (now NPMA), the first member from the far-east excluding Japan. He visited the U.K. and trained at Rentokil, thus setting up the basis for a long association.

PCI soon set about its task and virtually wrote the handbook on pest control in the country. Specific training programmes were created in-house. With the Green Revolution and the pesticide manufacturers’ focus squarely on agriculture, the Company decided to set up its own chemical formulation and filling plant to ensure reliability, standards and efficacy at Ville Parle, Mumbai (1962). The available range of agricultural spraying equipment was modified for urban pest control use while technical teams were sent out of the country to source new technology and information.

A significant outcome was the introduction of Warfarin (1966), a multiple dose anti-coagulant rodenticide, under the brand name Rodafarin®. Soon PCI was offering all major services and its network of branches and bases grew steadily.

Realising that the trade would not have a voice or any significant representation unless there was a united forum, PCI spearheaded the setting up of the Indian Pest Control Association (IPCA), with N.S. Rao as its Founder President, in 1967. Since then PCI has had regular representation in the IPCA, with many senior executives having served the Association in various capacities over the years.

The Seventies : The need for regular interraction within PCI was transformed into the PCI Convention. This biennial event, which has been regularly held since 1972, is a gathering of every manager from across the country.

In 1974-75, the Agricultural Department, Govt. of Maharashtra, sought PCI’s help for a large-scale intensive and extensive agricultural rodent control programme at Nannaj, Sholapur, which was heavily infested by rats. The programme, covering 7000 acres and 739 houses, carried out Rodafarin® baiting in fields and houses for commensal rats and included training facilities for village level workers and farmers.

PCI’s philosophy of client satisfaction and its resultant goodwill meant that it was often approached for solutions to problems not usually associated with pests. The medical fraternity expressed the need for alternate and better means of sterilisation for their equipment; this was developed into the first ethylene oxide gas based sterilizer, Freoster®, which was patented and introduced in 1977. To ensure a smooth and reliable supply of gas mixtures, the development of a dedicated gas filling and formulation unit was also set in motion.

Chlordane and Heptachlor were introduced into services; the former was also commercially introduced as a ready to use liquid termiticide, Termiseal® in 1976. PCI was the exclusive distributor in the region for Velsicol-USA, for the two chemicals. The same year, Pyrethrum was made commercially available in an aerosol form, under the brand name PestSeal®.

Fumigation services had hitherto been limited to stored commodities in warehouses, containers and silos; 1978 saw ship fumigation being introduced, where bagged commodities in holds were fumigated.

In 1977-78, PCI demonstrated that a successful mosquito campaign could be carried out for a large area such as an entire township, when it bagged the contract for mosquito control at Faridabad, near Delhi. Residential and industrial areas (including surrounding villages) were treated using larvicides and adulticides. Motan swing foggers, PCI’s first import of fogging equipment, were also introduced in this project which was highly successful and well appreciated by all residents.

In 1979, PCI undertook its largest ever agricultural rodent control job for the Department of Agriculture, Govt. of Karnataka, in an area covering more than 25,000 acres. The project was dubbed the Pied Piper Project and was the first of a series of many similar campaigns. The success of PPP-I led to PPP-II in the next year. The projects had, however, exposed the limitations of Warfarin; this to comprehensive field trials with the new generation, single dose anti-coagulant Bromadiolone (1979), which offered considerable advantages over conventional and first generation rodenticides.

PCI soon realised that excess use of chemical pesticides in agriculture and the resistance being developed in pests meant that alternate means of control were sorely needed. In 1979, an operational field trial project for suppression of the pink bollworm (Pectinophora gossypiella) employing the “Gossyplure hollow fibre” controlled-release sex pheromone, was undertaken near Bhatinda, Punjab. This extensive project, carried out jointly with the Directorate of Plant Protection Quarantine and Storage (PPQ and S), Directorate of Agriculture-Aviation, New Delhi, Conrel an Albany International company from the US and the Indian Cotton Mills Federation, Bombay, was a great success and proved that the pink bollworm was the major problem on cotton in Punjab. The effectiveness of biological control was demonstrated when subsequent yields increased by almost 34%.

The KARMA (Karjat Agriclutural Rural Management Assistance) Project was initiated by the Rural Development Cell in 1975. The effort won national acclaim in the form of the Assocham Award from the Association of Chambers of Commerce, for Rural Development and Agricultural Activities, in 1978.

The electric flying insect control system was introduced under the brand name Pest-O-Flash®, in 1979. PCI had spread its network to many more cities in the country, offering a wide range of professional services.

The Eighties : PCI had begun to spread its wings, and in 1980, started providing technical consultancy in Muscat, Sultanate of Oman, through Muna Noor Incorporated. The operational and managerial staff were sent on deputation from PCI and major jobs were undertaken for termite, rodent and general pest control in palaces, residences and hotels.

Sterifume®, the microbial sterilisation service, was developed and introduced in hospitals and medical facilities in 1980.

The trials with pink cotton bollworm pheromone culminated with the setting up of the Bio-Control Research Laboratories, BCRL, in 1981. It was the first commercial insectary in India, with the aim of developing and perfecting “lab-to-land” bio-control technology.

In 1981-82, PCI was appointed as technical consultants by Greenfield MiddleEast Group, Dubai, U.A.E., and Four Eyes Consultants, to oversee the technical aspects and operations of aerial spraying against the Dubas Bug on date palms and on citrus orchards. Helicopters from Dollar Helicopters, U.K., were hired for the operation.

From 1982-84, PCI carried out PPP-III using Bromadiolone at East and West Godavari Districts in Andhra Pradesh.

With the overall increase in business, a dedicated factory with increased chemical filling and formulation capabilities was set up at Mira Road, near Mumbai, in 1983. This would ensure that the same chemicals would be used as per standards, at every PCI service establishment across the country. The gas formulation and filling unit was also made operational at the same premises.

As a diversification, horticultural jobs including landscape designing and their implementation, were taken up for defence establishments such as Defence Research and Development Organisation (DRDO) and RCI Imarat at Hyderabad in 1985-86.

Received the prestigious Jamnalal Bajaj Award for Fair Business Practices from the President of India, in 1983.

The availability of synthetic pyrethroids such as Cypermethrin saw this chemical become one of the active ingredients in the new formula PestSeal® aerosol in 1984. PCI became the exclusive agent in the region for Lipha-France for Bromadiolone (which was commercially introduced under the brand name Roban® (1985).

In October 1988, PCI became a public limited company due to amendments in the Companies Act; the word “Private” was dropped from the title and the company became Pest Control (India) Limited.

An emergency request from the country’s international flag carrier, Air India, led to the introduction of the Aircraft Fumigation service (1989).

The Nineties : Undertook the Pied Piper Project at Colaba, in south Mumbai, in 1992. The aim of this large scale rodent control programme was to demonstrate the long term efficacy and economy of a scientific approach using Roban®.

The rapid strides made by BCRL led to the National Award for Excellence in Research and Development Efforts in the Industry in the Agro-Industry Category, in 1993. This award is given by the Department of Scientific and Industrial Research (DSIR), Ministry of Science and Technology, Government of India.

Fumigation services achieved another first in the form of Bubble Fumigation in 1994, thus becoming the only PCO in the country to offer stack, structural, ship, aircraft, vacuum chamber and bubble fumigation.

1995 : PCI became the sole agent in India for IGEBA Geraetebau GmbH-Germany and introduced the advanced technology range of IGEBA® thermal fog generators. These are now standard equipment for the company’s mosquito control operations and also sold commercially. Glue traps for rats and mice were also introduced under the brand name Trubble Gum® in the same year.

1996 : PCI managed and implemented The Getty Conservation Trust’s Picture Mumbai Project, which was completed and opened at the Price of Wales Museum, Mumbai.

Development of specialised services led to the introduction of the Baiting Technique for Cockroach Control, specially designed to minimise client inconvenience (1997).

Introduced the concept of using natural extracts to stimulate facultative bacteria for odour control and waste management, through an agency for the Biologic™ range of products from SciCorp-Canada in 1997.

The fully automatic sterilizer, Auto Eto™ (1999) and Custom Sterilisation Service was added to the sterilisation range. Own chambers were set up at Cochin (1998), Bangalore and Mumbai (1999).

First decade 2000

Fumigation services were further strengthened with the installation of their own fumigation containers at Cochin in August 2000. The same month also saw PCI become the exclusive distributors in India for Goliath® Gel, the new generation cockroach control bait from Aventis CropScience.

Further amendments to the Companies Act, led to the re-insertion of the word “private” and so PCI reverted to its earlier name : Subject. The company logo also adopted a stronger and more contemporary identity.

2001 : In January, the company’s corporate headquarters moved into the present premises at Jagdamba House, Goregaon. The large new office space afforded the setting up of a well-equipped training room and library as well.

PCI introduced the new generation glue based Insect Light Trap, Spider®, from Brandenburg, UK. These Electrical Flying insect Catcher (EFC) machines comply to international food safety standards and are an ideal tool for monitoring insect activity as they catch and preserve insects on Control (glue) Boards.

The same year, PCI became the sole distributors in India for Trece Inc., USA, for their Storgard® range of pheromone monitoring systems for Stored-product Insect Pests.

PCI’s association with the OCS Group, UK, was cemented with the creation of a 50:50 joint venture company, PCI Cannon Hygiene Private Limited, which was formally launched in April 2001. This marked PCI’s foray into service diversification, adding Feminine hygiene and Bio-medical Waste Disposal services into its large basket of pest management services.

BCRL moved into its new, sprawling premises on the outskirts of Bangalore and was officially inaugurated in April, 2001. This coincided with the PCI Convention 2001, with the theme : A Brave New World - New Alliances, New Synergies, New Challenges, New Opportunities, showcasing the company’s achievements and enhanced capabilities with the addition of new technologies and products.

2002 : PCI became the first pest management company in India to hold education and awareness programmes on food safety as per international norms. The series of seminars were held in association with the American Institute of Baking (AIB) International, a well-known food safety auditing company from the USA.

The Field Extension and Education (FEE) Unit was started, headquartered at BCRL with teams located at various branches across the country. FEE’s main objective is to conduct product trials and validations and gather various feedback from field conditions.

2003 : January,  Termiseal® was relaunched with Chlorpyriphos 2%. Trubble Gum™ Economy pack was also introduced alongwith the unique Road-Box™ Bait’n’Board station, which complies with latest standards and is lockable, tamper-proof and fixable. Roda-Box™ can be used with Roban® cake and also Trubble Gum™ Economy pack.

New lines of service, Stored-product Insect Management, SIM™ Service (using the StorGard® range of products from Trece Inc., USA) was launched.

BCRL division grew from strength to strength. Procedures for mass production of various products were further improved and standardised. The close association with University of Agricultural Sciences (UAS), Bangalore, resulted in the go-ahead for their M.Sc./ Ph.D. students to carry out their research at BCRL. This was further strengthened when a formal Memorandum of Understanding (MOU) was signed between the two institutions for collaborative research, training and extension, making BCRL the first and so far only private institution to have done so in the country.

In June 2003, PCI’s standardisation programme was launched, which included a smart new uniform for technicians and managers. This programme implemented the new standard operating procedures for upgradation of all services and also provided training to staff nationwide, enabling the company to re-equip itself to cater to the changed scenarios and requirements of its customers.

Advances in eco-friendly management techniques for agriculture continued; PCI is the first company to develop and patent a portable water trap, Wota-T™, to be used in conjunction with pheromone lures (also developed indigenously) for managing the four major sugarcane borers, Early Shoot Borer (Chilo infuscatellus), Inter-Node Borer (Chilo sacchaiphagus indicus), Stalk Borer (Scirpophaga excerptalis) and White Top Borer (Chilo auricilius). Other pheromones introduced were for the Brinjal Fruit and Shoot Borer (Leucinodes orbonalis) and Melon Fly (Bactrocera cucurbitae) and Fruit Fly (Bactrocera dorsalis). A specially designed trap for the last two, Fligh-T™ , was introduced along with an improved, water resistant trap with sticky liners, Del-Ta™, for trapping smaller moths such as Diamond Back Moth (Plutella xylostella). A singnificant break-through was the development of the indigenous lure for the Red Palm Weevil (Rhyncophorus ferrugineus), a serious pest of palm trees. RPW Lure™ is easy to use and is far cheaper than its imported counterparts.

2004 : In its Golden Jubilee year, the company was uniquely poised to provide a comprehensive range of professional services and quality products and equipment for Pest Management. It had made the transition from mere “pest control” to Intelligent Pest Management™ (IPM).

April saw the addition of a much-needed facility. PCI’s in-house residential Training Centre at Karjat, or KTC as it is now called, was made operational. KTC, situated on the banks of the Ulhas river, is fully equipped with the latest audio-visual aids and provides a conducive environment for all kinds of training courses, whether induction, refresher, new technology or soft skills.

New Line of service for pest bird proofing, BirdPro™ Service (in association with Network Pest Control - Sorex International, UK), was launched. BirdPro™ Service soon made great strides and PCI, in a short span of time, acquired an impressive clientele for this unique service in the country.

November : The Grand Convention 2004, commemorating 50 years of PCI’s existence, was held at the Renaissance Mumbai Hotel and Convention Centre, on the banks of Powai Lake.

It was at the very place that N.S. Rao had contemplated starting his business, 50 years ago. The theme, “An Odyssey of Success, Redefining the Future” aptly summed up the confident, new approach and the strides the company had taken since inception. PCI’s business associates were in full attendance for the technical sessions and the glittering grand finale, the Awards Nite.

In November, PCI became exclusive distributors for Marolex, Poland, for their range of lightweight and durable spraying equipment.

2005 : In March, PCI became the exclusive user of Termatrac™ termite detection and Tracking unit from Termatrac, Australia. The unit has significantly enhanced Termiseal™ Service by providing the unique ability to detect and track termite activity inside walls and surfaces without damaging them.

In May, PCI established its in-house Customer Care Centre at the Corporate Office. Fully staffed and operational, it caters to customer enquiries, complaints and other CRM issues. This has expanded to a network of 20 dedicated centres across the country.

2006 : PCI became one the first companies in India to be certified to the new AQIS-AFAS Methyl Bromide standard. More than 28 PCI establishments all over India are registered and accredited with Directorate of PPQ and S, Govt. of India, as per the latest national and international standards (NSPM 11and12, ISPM 15) for methyl bromide fumigation and treatment of wooden packaging materials.

BCRL celebrated 25 years of stellar achievement; trail-blazing research efforts have led to numerous successes and a host of new products and technology.

PCI’s Biennial Convention was held in September, at the Goa Marriott Resort, in sunny Goa. This time, it was a completely in-house affair with PCI managers taking centre-stage. The theme was “The Onward March : Progression with Competence and Integrity” .

COMPANY PROFILE

Subject was established in the year 1954 and is the first and largest pest management company in the country. They offer a comprehensive range of professional pest management services and quality products and equipment through a countrywide network of over 125 Offices and a dedicated workforce of over 3000 personnel.

Their own product formulation and manufacturing (liquid and gas) facilities are equipped with state-of-the-art quality control, analysis and research and development (R and D) facilities. Bio-Control Research Laboratories (BCRL) is a modern facility engaged in the propagation and production of various biological control agents and bio-pesticides and spearheads the company’s commitment towards environment-friendly pest management techniques.

Subject has constantly endeavoured to introduce better and more cost-effective pest management technology for both services and products. Vision and foresight coupled with the desire to constantly improve has enabled them to retain their premier status in the country today. On the threshold of their 50^th year of existence, they reaffirm their commitment: that of providing comprehensive, one-stop solutions in their field of expertise.

AWARDS:

2010: ABCI Award

PCI wins the Bronze Prize in the Internal Magazine Category during the 50th anniversary celebration, for their periodical called “Antenna”.

2007

National Award for Excellence in Research and Development Efforts in the Agro and Food Processing Industry Category, given by the Department of Scientific and Industrial Research (DSIR), Ministry of Science and Technology, Government of India

1993

National Award for Excellence in Research and Development Efforts in the Industry in the Agro-Industry Category, given by the Department of Scientific and Industrial Research (DSIR), Ministry of Science and Technology, Government of India.

1993

National Award for Excellence in Research and Development Efforts in the Industry in the Agro-Industry Category, given by the Department of Scientific and Industrial Research (DSIR), Ministry of Science and Technology, Government of India.

1978

Assocham Award from the Association of Chambers of Commerce for Rural Development and Agricultural Activities.

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] 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.45.45
UK Pound	1	Rs.72.91
Euro	1	Rs.61.43

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--CREDIT LINES	1~10	6
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		52

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.