MIRA INFORM REPORT

Report Date :

22.06.2011

IDENTIFICATION DETAILS

Name :	USHDEV INTERNATIONAL LIMITED
Registered Office :	6^th Floor, Apeejay House, 130 Mumbai Samachar Marg, Fort, Mumbai – 400001, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	18.05.1994
Com. Reg. No.:	11-078468
Capital Investment / Paid-up Capital :	Rs.294.258 Millions
CIN No.: [Company Identification No.]	L40102MH1994PLC078468
Legal Form :	Public Limited Liability Company. The company’s shares are listed on the Stock Exchanges.
Line of Business :	Manufacturer of Power Generation.
No. of Employees :	Not Divulged by the management.

RATING & COMMENTS

MIRA’s Rating :

A (59)

RATING		STATUS	PROPOSED CREDIT LINE
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large

Maximum Credit Limit :	USD 10000000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established company having fine track. Financial position of the company appears to be sound. Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitments. The company can be considered normal for business dealings at usual trade terms and conditions.

NOTES :

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

INFORMATION PARTED BY

Name :	Ms. Gauri
Designation :	Finance Executive
Date :	20.06.2011

LOCATIONS

Registered Office :	6^th Floor, Apeejay House, 130 Mumbai Samachar Marg, Fort, Mumbai – 400001, Maharashtra, India
Tel. No.:	91-22-22672450/60/66368888
Fax No.:	91-22-22671931
E-Mail :	ushdev@vsnl.com
Website :	http://www.ushdev.com
Factory 1 :	Taluka Dharapuram, Periyaa District, Tamilnadu, India
Factory 2 :	Chinnapthur Village, Taluka Dharapuram, Tamilnadu, India
Factory 3 :	Gundikere Village, Halalkere Taluka, Chitradurga District, Karnataka, India
Factory 4 :	Bhu Village, Kita Village, Jaisalmer District, Rajasthan, India
Factory 5 :	Hadmatiya Village, Taluka Kalyanpur, Jamnagar District, Gujarat, India
Factory 6 :	Methan Village, Taluka Jamjodhpur, Jamnagar District, Gujarat, India
Factory 7 :	Andipatti Taluka, Theni District, Tamilnadu, India

DIRECTORS

As on 31.03.2010

Name :	Ms. Suman Gupta
Designation :	Chairperson
Name :	Mr. Prateek Gupta
Designation :	Managing Director
Name :	Mr. Narayan Hegde,
Designation :	Non Executive Independent Director
Name :	Mr. Vinay Kamal,
Designation :	Non Executive Independent Director
Name :	Mr. Suresh Lakhiani
Designation :	Non Executive Independent Director

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2010

Names of Shareholders	Total No. of Shares	Total Shareholding as a % of total No. of Shares
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Individuals / Hindu Undivided Family	9,231,659	31.37
Bodies Corporate	6,792,170	23.08
Sub Total	16,023,829	54.46
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	16,023,829	54.46
(B) Public Shareholding
(1) Institutions
Foreign Institutional Investors	233,021	0.79
Sub Total	233,021	0.79
(2) Non-Institutions
Bodies Corporate	1,638,509	5.57
Individuals
Individual shareholders holding nominal share capital up to Rs.0.100 Million	186,832	0.63
Individual shareholders holding nominal share capital in excess of Rs.0.100 Million	11,263,985	38.28
Any Others (Specify)	79,624	0.27
Clearing Members	47,786	0.16
Non Resident Indians	31,838	0.11
Sub Total	13,168,950	44.75
Total Public shareholding (B)	13,401,971	45.54
Total (A)+(B)	29,425,800	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of power generation.
Terms :
Purchasing :	Cash and Cheque
Selling :	Cash and Cheque

GENERAL INFORMATION

Customers :

· Others

· End Users

· Corporate Company

No. of Employees :

Not Divulged by the management

Bankers :

• ICICI Bank Limited
• IDBI Bank Limited
• Indian Overseas Bank
• Oriental Bank of Commerce
• State Bank of India
• Union Bank of India
• The Shamrao Vithal Co-op. Bank Limited

Facilities :

Secured Loan	As on 31.03.2010 (Rs. in Millions)	As on 31.03.2009 (Rs. in Millions)
The Shamrao Vithal Co-op. Bank Limited (Secured agst Windmills at Karnataka andTamilnadu)	78.241	92.822
IDBI Bank Limited . (Secured by shares of Promoters and Group Companies Assets)	700.000	0.000
Canara Bank Limited (Secured against windmills at Tamilnadu)	426.301	0.000
Total	1204.542	92.822
Unsecured Loan
Short Term Loans from Banks (Buyers Credit)	367.653	667.804
Total	367.653	667.804

Banking Relations :	--
Auditors :
Name :	M.P. Chitale and Company Chartered Accountant
Address :	Hamam House, Ambalal Doshi Marg, Fort, Mumbai-400001, Maharashtra, India
Associates/Subsidiaries :	Ushdev Securities Limited Ushdev Commercial Services Pvt. Limited Ushdev Trade Limited (formerly Ushdev Power Limited ). Montex Trading Private Limited (Formerly Moments Candles (India) Private Limited ) UIL(Singapore) Pte Limited UIL Hongkong Limited

CAPITAL STRUCTURE

As on 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
30000000	Equity Shares	Rs.10/- each	Rs.300.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
29425800	Equity Shares	Rs.10/- each	Rs.294.258 Millions

Note:

Of the above

• 20000 (Previous year 20000) equity shares issued on conversion of 19% optionally convertible redeemable preferences shares
• 5742900 (Previous year 5742900) equity shares allotted as fully paid up bonus shares by capitalisaton of share premium account.

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		294.258	276.258	114.900
2] Share Application Money		0.000	0.000	341.700
3] Reserves & Surplus		2387.053	1656.985	379.900
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		2681.311	1933.243	836.500
LOAN FUNDS
1] Secured Loans		1204.542	92.822	186.500
2] Unsecured Loans		367.653	667.804	0.000
TOTAL BORROWING		1572.195	760.626	186.500
DEFERRED TAX LIABILITIES		41.568	43.443	0.000
TOTAL		4295.074	2737.312	1023.000
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		1058.160	499.797	533.500
Capital work-in-progress		49.000	0.000	11.300
INVESTMENT		1.031	1.108	1.100
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.000	0.000	0.000
	Sundry Debtors	5192.151	3178.160	1180.100
	Cash & Bank Balances	880.202	401.247	19.000
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	1608.404	1097.992	376.600
Total Current Assets		7680.757	4677.399	1575.700
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	1177.683	1926.405	1027.853
	Other Current Liabilities	3243.892	446.714	42.547
	Provisions	72.299	67.873	28.200
Total Current Liabilities		4493.874	2440.992	1098.600
Net Current Assets		3186.883	2236.407	477.100
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		4295.074	2737.312	1023.000

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	17359.818	13804.165	7840.600
		Other Income	134.637	53.708	2.900
		TOTAL (A)	17494.455	13857.873	7843.500
Less	EXPENSES
		Cost of goods sold	16684.104	13177.304
		Personnel cost	4.956	4.175
		Administration and other charges	19.976	24.241
		TOTAL (B)	16709.036	13205.720	7470.500
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		785.419	652.153	373.000
Less	FINANCIAL EXPENSES (D)		406.252	367.549	165.500
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		379.167	284.604	207.500
Less/ Add	DEPRECIATION/ AMORTISATION (F)		50.789	34.480	32.600
	PROFIT BEFORE TAX (E-F) (G)		328.378	250.124	174.900
Less	TAX (H)		58.811	34.963	18.800
	PROFIT AFTER TAX (G-H) (I)		269.567	215.161	156.100
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		331.010	205.239	NA
Less	APPROPRIATIONS
		Proposed dividend on equity shares	61.794	58.014	NA
		Corporate distribution tax on above	10.505	9.860	NA
		Transfer to general reserves	26.957	21.516	NA
	BALANCE CARRIED TO THE B/S		501.321	331.010	NA
	Earnings Per Share (Rs.)		9.72	16.97	13.59

Particulars	31.03.2011
Sales Turnover (Approximately)	20000.000

The above information has been parted by Ms. Gauri.

QUARTERLY RESULTS

PARTICULARS	30.06.2010	30.09.2010	31.12.2010	31.03.2011
Type	1^st Quarter	2^nd Quarter	3^rd Quarter	4^th Quarter
Net Sales	7072.370	6263.490	5088.490	7445.630
Total Expenditure	6755.990	5960.580	4779.670	7011.850
PBIDT (Excl OI)	316.380	302.910	308.820	433.780
Other Income	7.720	87.880	2.790	(25.830)
Operating Profit	324.100	390.790	311.610	407.950
Interest	159.140	201.440	240.240	280.530
PBDT	164.960	189.350	107.370	127.420
Depreciation	16.700	16.610	16.750	26.080
Profit Before Tax	148.260	172.740	90.620	101.340
Tax	28.610	35.090	17.240	18.480
Profit After Tax	119.650	137.650	73.380	82.860
Net Profit	119.650	137.650	73.380	82.860

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	1.54	1.55	1.99
Net Profit Margin (PBT/Sales)	(%)	1.89	1.81	2.23
Return on Total Assets (PBT/Total Assets}	(%)	3.08	4.83	8.29
Return on Investment (ROI) (PBT/Networth)		0.12	0.13	0.21
Debt Equity Ratio (Total Liability/Networth)		2.26	1.66	1.54
Current Ratio (Current Asset/Current Liability)		1.71	1.92	1.43

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITORS DETAILS :

(Rs. In Millions)

Particulars	31.03.2010	31.03.2009	31.03.2008
Micro, Small and Medium Enterprises	0.000	0.000	0.000
Others	1177.683	1926.405	1027.853
Total	1177.683	1926.405	1027.853

MANAGEMENT DISCUSSION AND ANALYSIS

INDUSTRY STRUCTURE AND DEVELOPMENT

The Industry is on a growth path in terms of capacities and global consumption with global demand and supply growing in tandem.

OPPORTUNITIES

Opportunities will exist with the increase in higher value added steel consumption on a steady growth path in the country and the expectation of strengthening of the Indian economy. As far as the power sector is concerned, the deficit between the demand and supply is so large that the Government of India requires the private sector participation and offers excellent infrastructure for completion of the same. The Company benefits from the same and is thus able to consolidate and increase its presence in this sector due to the same.

OUTLOOK

The Company is well respected in both the Steel and Power Sectors. A detailed expansion is on an anvil specially in the Power sector to increase power generating capacity's year on the most competitive terms.

AUDITED FINANCIAL RESULTS FOR THE YEAR ENDED 31.03.2011

Rs. in Millions

Particular	Standalone year ended 31.03.2011
	(Audited)
Net Sales/ Income form operation	25681.512
Other Operating Income	188.474
Total Expenditure	25869.986
Purchase of traded goods	24584.240
Employees cost	24425.244
Depreciation	9.342
Other expenditure	76.141
Profit from operation before other income, interest and exceptional items	73.514
Exceptional Item	1285.745
Other income	72.560
Profit before interest and exceptional items	1358.305
Interest	845.347
Profit after interest but before exceptional items	512.958
Exceptional items	--
Profit / Loss from ordinary activities before tax	512.958
Tax expenses
Current year	102.300
Earlier year	2.185
Deferred tax assets/ liability	(5.064)
Net profit/ Loss from ordinary activities after tax	413.537
Extra ordinary items	--
Net profit / Loss for the period	413.537
Paid up equity share capital (face value of equity shares of Rs. 10/- each)	294.258
Reserves excluding revaluation reserves	2728.533
Earning per shares (in Rs) Basic/ Diluted	14.05
Public shareholding	14.05
Number of Shares
% of Shareholding	13352354
Promoters and Promoter Group Shareholding	45.38%
a) Pledged/Encumbered
- Number of Shares	9758706
- Percentage of Shares (as a % of the Total Shareholding of Promoter and Promoter Group)	60.71%
- Percentage of Shares (as a % of the Total Share Capital of the Company)	33.16%
b) Non Encumbered
- Number of Shares	6314740
- Percentage of Shares (as a % of the Total Shareholding of Promoter and Promoter Group)	39.29%
- Percentage of Shares (as a % of the Total Share Capital of the Company)	21.47%

Note:

• The audited accounts for the year ended 31^st March, 2011 have been taken on record in the meeting of the board of directors held on 30^th May, 2011
• The figures of the previous year/ period have been regrouped/ reclassified wherever necessary.
• There were no investor complaints pending as at the beginning of the quarter. No complaints was received by the company during the quarter ended 31.03.2011.
• The above mentioned pledged equity shares by the promoters of the company are collateral security for company borrowing.
• The Consolidated financial Results / Incorporated the audited results of Wholly Subsidiary, UIL ( Singapore) Pte. Limited for the financial year 2010-2011 and UIL. Hongkong Limited for the period November 2009 to March 2011, Being the First Accounting Year.

SEGMENT INFORMATION AS PER CLAUSE 41 OF THE LISTING AGREEMENT FOR THE QUARTER ENDED 31^ST MARCH, 2011

(Rs. in Millions )

Particular	STANDALONE YEAR ENDED
	31.03.2010
	Audited
Segment Revenue Net Sales
Metal	25528.332
Power Generation	153.182
Total Segment Revenue	25681.512
Segment Results
Profit/ Loss before tax, interest and extraordinary items
Metal	1085.482
Power Generation	65.968
Total	1151.450
Less: Interest and Financial Charges	845.347
Add: Other Unallocated Income	246.034
Less: Other Unallocated Expenses	39.178
Profit before tax	512.958
Less: Provision for tax
Current year	102.300
Earlier year	2.185
Deferred tax liability/ assets	(5.064)
Net profit/ loss	413.537
Capital employed
Metal	645.831
Power Generation	771.565
Unallocated Assets	2545.355
Unallocated Liabilities	939.960

STATEMENT OF ASSETS AND LIABILITIES AS REQUIRED UNDER CLAUSE 41(V) (h) OF Listing AGREEMENT

(Rs. in Millions )

Particular	(Audited)
Shareholders Fund
Share capital	294.258
Reserve and Surplus	2728.533
Loan Funds	3600.279
Deferred Tax Liability (Net)	36.504
Total	6659.574
Fixed Assets	1522.432
Investment	694.742
Current Assets, Loans and Advances
Inventories	149.439
Sundry Debtors	11096.851
Cash and Bank Balance	1620.979
Loans and Advances	2883.753
Less: Current Liabilities and Provisions	11308.623
Total	6659.574

FIXED ASSETS:

• Freehold Land
• Office Premises
• Building
• Leased Plant and Machinery
• Office Equipments
• Computer Equipments
• Furniture and Fixture

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

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

3] Asset Declaration :

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

4] Record on Financial Crime :

Charges or conviction registered against subject : None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

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

Charges or investigation registered against subject: None

7] Criminal Records

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

8] Affiliation with Government :

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

9] Compensation Package :

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

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

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

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

CONTRAVENTION

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

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs. 44.91
UK Pound	1	Rs. 72.89
Euro	1	Rs. 64.48

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	7
PAID-UP CAPITAL	1~10	7
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	7
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	7
--LEVERAGE	1~10	7
--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	YES
--LISTED	YES/NO	YES
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		59

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.