Business information report

1. Summary Information

		Country	India
Company Name	VIDEOCON INDUSTRIES LIMITED	Principal Name 1	Mr. Pradeepkumar N Dhoot
Status	Good	Principal Name 2	Mr. Venugopal Nandlal Dhoot
		Registration #	11-103624
Street Address	14, K M Stone, Aurangabad – Paithan Road, Village Chittegaon, Taluka Paithan, Aurangabad – 431105, Maharashtra
Established Date	04.09.1986	SIC Code	--
Telephone#	91-2431-251501/ 02/ 03/ 04	Business Style 1	Manufacturer of Electronic / Electric Consumer Durables and Home Appliances.
Fax #	91-2431-240391/ 251551	Business Style 2	--
Homepage	www.videoconworld.com	Product Name 1	Crude Oil and Natural Gas
# of employees	8500 (Approximately)	Product Name 2	Colour Television
Paid up capital	Rs. 3,479,570,000	Product Name 3	Glass Shell Panels and Funnels for C P T
Shareholders	Bodies Corporate 68.14	Banking	State Bank of India
Public Limited Corp.	--	Business Period	25 years
IPO	--	International Ins.	-
Public Enterprise	--	Rating	Ba (47)
Related Company
Relation	Subsidiaries	Company Name	Chhattisgarh Power Ventures Private Limited

2. Summary Financial Statement

Balance Sheet as of	31.12.2010 (15 Months)		(Unit: Indian Rs.)
Assets		Liabilities
Current Assets	105,634,260,000	Current Liabilities	10,300,300,000
Inventories	20,401,380,000	Long-term Liabilities	117,737,650,000
Fixed Assets	60,031,060,000	Other Liabilities	6,369,610,000
Deferred Assets	0	Total Liabilities	134,407,560,000
Invest& other Assets	42,679,630,000	Retained Earnings	90,859,200,000
	0	Net Worth	94,338,770,000
Total Assets	228,746,330,000	Total Liab. & Equity	228,746,330,000
Total Assets (Previous Year)	178,808,310,000
P/L Statement as of	31.12.2010		(Unit: Indian Rs.)
Sales	144,096,910,000	Net Profit	7,446,940,000
Sales(Previous yr)	91,630,410,000	Net Profit(Prev.yr)	4,006,620,000

MIRA INFORM REPORT

Report Date :

07.11.2011

Tel. No.:	91-2431-251501
Fax No.:	91-2431-240391

IDENTIFICATION DETAILS

Name :	VIDEOCON INDUSTRIES LIMITED (w.e.f. 10.11.2003)
Formerly Known as:	VIDEOCON LEASING AND INDUSTRIAL FINANCE PRIVATE LIMITED (w.e.f. 14.02.1991) ADHIGAM TRADING PRIVATE LIMITED
Registered Office :	14, K M Stone, Aurangabad – Paithan Road, Village Chittegaon, Taluka Paithan, Aurangabad – 431105, Maharashtra
Country:	India
Financials (as on):	31.12.2010
Date of Incorporation :	04.09.1986
Com. Reg. No.:	11-103624
Capital Investment / Paid-up Capital :	Rs. 3479.570 millions
CIN No.: [Company Identification No.]	L99999MH1986PLC103624
TAN No.: [Tax Deduction & Collection Account No.)	MUMV09411D NSKV01616G
PAN No.: (Permanent Account No.)	AABCV4012H
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchange.
Line of Business :	Manufacturer of Electronic / Electric Consumer Durables and Home Appliances.
No. of Employees :	8500 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

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

Maximum Credit Limit :	USD 377355080
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established and a reputed company having good track. Financial position of the company appears to be sound. Directors are experienced and respectable businessmen. Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitments. The company can be considered good for normal 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 – June 30, 2010

Country Name	Previous Rating (01.04.2010)	Current Rating (30.06.2010)
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 / Plant :	14, K M Stone, Aurangabad – Paithan Road, Village Chittegaon, Taluka Paithan, Aurangabad – 431105, Maharashtra, India
Tel. No.:	91-2431-251501/ 02/ 03/ 04
Fax No.:	· 91-2431-240391/ 251551
Email :	secretarial1@gmail.com secretarial@videoconmail.com For General Inquiries : contact@videoconmail.com For Services : customercare@vgmail.in For Career : jobs@videocornmail.com For Marketing : marketing@vgmail.in
Website :	www.videoconworld.com
Corporate Office :	Fort House, 2^nd Floor, 221, Dr. D.N. Road, Fort, Mumbai – 400001, Maharashtra, India
Tel. No. :	91-22-66113500
Fax No. :	91-22-66551985
Marketing Office :	296, Udyog Vihar, Phase – II, Gurgaon, Haryana, India
Tel. No. :	91-124-4215402
Factory :	Auto Cars Compound, Adalat Road, Aurangabad – 431005, Maharashtra, India
Tel. No.:	91-240-2320750
Fax No.:	91-240-2333704
Plant 2:	· Videocon Appliances Limited · 15 Km Stone, Aurangabad-Paithan Road, Village Chitegaon, Tq- Paithan Dist: Aurangabad-431105
	·
Plant 3:	· Videocon Communication Limited · Gut No 350, Bhalgaon, Dist: Aurangabad – 431210, India
	·
Plant 4:	· Applicomp (India) Limited · Survey No-6 To 11, Krishna Sagar Village, Attibele, Hosur Road Bangalore –562107
Plant 5:	· Indian Refrigerator Company Limited · Plot No-72 (Phase -1), Sipcot Industrial Complex, Hosur – 635126
Plant 6:	· Kitchen Appliances India Limited · Sector –V, Block B.P, Salt Lake City, Kolkata – 700 091
Plant 7:	· Millennium Appliances India Limited · Hardwar Park, Survey No-1/1, Village Imarat Kancha, Maheshwaram Mandal, Dist. Ranga Reddy – 500 005
Plant 8 :	· Videocon Narmada Glass · P.O Box No-68, Videocon House, Village Chhavaj, Bharuch – 392002
Plant 9:	· Village Majara, Taluka Warora, District Chandrapur, Maharashtra, India
Plant 10:	· Plot No. 28, Khasra No. 293, Industrial Area, Selaklul, Vikasnagar, Dehradun, Uttaranchal
Plot 11:	· Vigyan Nagar, RICO Industrial Area, Shajanpur, District Alwar, Rajasthan
Plot No. 12:	· A-32, Butibon Industrial Area, Village Rukhiri, Nagpur, Maharashtra, India
Branch 1 :	Videocon International Limited Shenzhen Representative Office, Room 5106, 51st Floor, Diwang Commercial Centre 5002, Shun Hing Square, Shennan Road East, Shenzhen, China
Tel. No.:	+ 86-755-25833-845 Upto 850
Branch 2 :	Thomson 46, Quai A. Le Gallo, 92648 Boulogne Cedex - France
Tel. No.:	+ 33-141-86-54-11
Branch 3 :	Thomson Displays Polska Sp. Z O O Ul. Gen. L. Okulickiego 7/9, 05-500 Piaseczno Poland
Tel. No.:	(48 22) 7571112
Branch 4 :	Thomson Displays Italy Localita Fratta Rotonda, 03012 Anagni France Italy
Tel. No.:	+ 39-775-701275

DIRECTORS

AS ON 31.12.2010

Name :	Mr. Pradeepkumar N Dhoot
Designation :	Whole Time Director
Address :	99, Videocon House, 1^st Floor, Manav Mandir Road, Napean Sea Road, Mumbai – 400006, Maharashtra, India
Date of Birth :	22.03.1960
Date of Appointment :	16.02.1991
Name :	Mr. Venugopal Nandlal Dhoot
Designation :	Chairman cum Managing Director
Address :	90, Manav Mandir, Napean Sea Road, Mumbai – 400006, Maharashtra, India
Date of Birth :	30.09.1951
Qualification :	B.E. (Electrical), FIE
Date of Appointment :	01.06.2005
Name :	Mr. Subramanian Padmanabham
Designation :	Director
Address :	30, Vishrambag Society, Senapati Bapat Marg, Pune – 411016, Maharashtra, India
Date of Birth :	01.09.1939
Date of Appointment :	01.06.2005
Name :	Mr. Radhey Shyam Agarwal
Designation :	Director
Address :	A-102, Chaitanya Tower, Near Karur Vysya Bank, Prabhadevi, Mumbai – 400025, Maharashtra, India
Date of Birth :	02.10.1942
Date of Appointment :	30.03.2009
Name :	Mr. Arun Laxman Bongirwar
Designation :	Director
Address :	2, Jackson House, MBPY Colony, Sasoon Dock, Dumyne Road, Colaba, Mumbai – 400005, Maharashtra, India
Date of Appointment :	08.12.2005
Name :	Mr. Satya Pal Talwar
Designation :	Director
Address :	162, Kshitij, 47, Napean Sea Road, Mumbai – 400036, Maharashtra, India
Date of Birth :	14.06.1939
Date of Appointment :	08.12.2005
Name :	Mr. Ajay Saraf
Designation :	Nominee Director
Address :	702, ICICI Bank Limited, North Tower, Bandra Kurla Complex, Prabhadevi, Mumbai – 400028, Maharashtra, India
Date of Birth :	16.12.1969
Date of Appointment :	07.07.2005
Name :	Mr. Karunchardra Adityaprasad Srivastava
Designation :	Director
Address :	306, Shalaka, Maharshi Karve Marg, Mumbai – 400021, Maharashtra, India
Date of Birth :	10.02.1944
Date of Appointment :	09.04.2007
Name :	Mr. Sudhir Chintamani Nilkanth Jatar
Designation :	Director
Address :	A-102, Neel Sadan, 1426, Sadashiv Peth, Pune – 411030, Maharashtra, India
Date of Birth :	03.09.1932
Date of Appointment :	01.06.2005
Name :	Mr. Birendra Narain Singh
Designation :	Nominee Director
Address :	MMB 1/163, Sector B, Sitapur Road Scheme, Jankipuram, Lucknow – 226021, Uttar Pradesh, India
Date of Birth :	20.03.1943
Date of Appointment :	27.10.2008
Name :	Mr. Birgit Gunilla Antonio Nordstrom
Designation :	Additional Director
Address :	130, The Edge on Cairnhill, Cairnhill Road # 19-02, Singapore – 229717
Date of Birth :	29.01.1959
Date of Appointment :	23.01.2009

KEY EXECUTIVES

Name :	Mr. Vinod Kumar Bohar
Designation :	Company Secretary
Address :	204, Videocon House, Gangapur Gin Compound, Station Road, Ahmednagar – 414001, Maharashtra, India
Date of Birth :	20.05.1974
Date of Appointment :	20.03.2006

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 30.09.2011)

Category of Shareholder	Total No. of Shares	% of total No. of Shares
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Individuals / Hindu Undivided Family	564,233	0.19
Bodies Corporate	206,214,087	68.14
Sub Total	206,778,320	68.32
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	206,778,320	68.32
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	1,155,026	0.38
Financial Institutions / Banks	10,204,715	3.37
Insurance Companies	18,237,250	6.03
Foreign Institutional Investors	9,511,239	3.14
Any Others (Specify)	245,309	0.08
Non Resident Indians	245,309	0.08
Sub Total	39,353,539	13.00
(2) Non-Institutions
Bodies Corporate	29,351,004	9.70
Individuals
Individual shareholders holding nominal share capital up to Rs. 0.100 million	10,623,233	3.51
Individual shareholders holding nominal share capital in excess of Rs. 0.100 million	1,925,638	0.64
Sub Total	41,899,875	13.84
Total Public shareholding (B)	81,253,414	26.85
Total (A)+(B)	288,031,734	95.17
(C) Shares held by Custodians and against which Depository Receipts have been issued	-	-
(1) Promoter and Promoter Group	-	-
(2) Public	14,612,065	4.83
Sub Total	14,612,065	4.83
Total (A)+(B)+(C)	302,643,799	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Electronic / Electric Consumer Durables and Home Appliances.

Products:

ITC Code	Product Description
2709.00	Crude Oil and Natural Gas
8528.72	Colour Television
7011.20	Glass Shell Panels and Funnels for C P T

GENERAL INFORMATION

No. of Employees :

8500 (Approximately)

Bankers :

• State Bank of India, Corporate Account Group Branch, 3^rd Floor, Neville House, J. N. Heredia Marg, Ballard Estate, Mumbai – 400001, Maharashtra, India
• Indian Bank
• Allahabad Bank
• Bank of India
• Bank of Maharashtra
• Central Bank of India
• ICICI Bank Limited
• Indian Bank
• Indian Overseas Bank
• State Bank of Hyderabad
• State Bank of Indore
• State Bank of Mysore
• State Bank of Patiala
• The Federal Bank Limited
• Union Bank of India
• Vijaya Bank
• Punjab National Bank

Facilities :

Rs. In Millions

SECURED LOANS	31.12.2010 (15 Months)	30.09.2009
A. Non-Convertible Debentures	86.380	494.540
B. Term Loans
i. Rupee Loans from Banks and Financial Institutions	51749.560	58789.970
ii. FCNR-B Loan from Banks	219.410	363.670
C. External Commercial Borrowings	2980.180	4076.330
D. Corporate Loan from Banks	0.000	0.000
E. Vehicle Loans from Banks	247.290	41.660
F Working Capital Loans From Banks	4093.230	3584.200
Total	59376.050	67350.370
Notes :- a) Non-Convertible Debentures The Non-Convertible Debentures are secured by first charge on immovable and movable properties, both present and future, subject to prior charge on specified movables created/to be created in favour of Company’s Bankers for securing borrowings for working capital requirements, and ranking pari passu with the charge created/ to be created in favour of Financial Institutions/Banks in respect of their existing and future financial assistance. Also guaranteed by Mr. Venugopal N. Dhoot and Mr. Pradipkumar N. Dhoot. The Debentures are redeemable at par, in four equal quarterly installments with the earliest redemption being on 31st March, 2011 and last redemption date being 31st December, 2011. b) Term Loans The Term Loans are secured by mortgage of existing and future assets of the Company and a floating charge on all movables assets, present and future except book debts, subject to prior charge of the Bankers on stock of raw materials, finished, semi finished goods and other movables, for securing working capital loans in the ordinary course of business, and exclusive charge created on specific items of machinery financed by the respective lenders. The above charges rank pari passu inter-se for all intents and purposes. The above loans are guaranteed by Mr. Venugopal N. Dhoot and Mr. Pradipkumar N. Dhoot. A part of term loans from banks are secured by first pari passu charge on book debts of consumer electronics and home appliances division which are not charged to bankers for securing working capital loans. A part of term loans from banks are secured by the assignment of fixed and floating charge on all moneys received/to be received by the Company in relation to and from the Ravva Joint Venture, including all receivables of the Ravva Oil and Gas field, subject to the extent necessary, to the charge in favour of the Joint Ventures in terms of the Production Sharing Contract/ Joint Operating Agreement in respect of Ravva Joint Venture; and the assignment/ fixed and floating charge of all the right, title and interest into and under all project documents, including but not limited to all contracts, agreements or arrangements which the Company is a part to, and all leases, licenses, consents, approvals related to the Ravva Joint Venture, insurance policies in the name of the Company, in a form and manner satisfactory to Trustee. A part of term loans from banks are secured by first pari passu charge on existing and future assets of the Subsidiary Company viz. Videocon Telecommunications Limited (VTL), pledge of 51% Equity Shares of VTL, assignment of all telecom licenses held VTL by way of tripartite agreement to be executed between the Department of Telecommunications, VTL and Lenders and personal guarantees of Mr. Venugopal N. Dhoot and Mr. Pradipkumar N. Dhoot. c) External Commercial Borrowings are secured by a first charge ranking pari passu over all the present and future movable and immovable fixed assets. The loan is further secured by personal guarantees of Mr. Venugopal N. Dhoot and Mr. Pradipkumar N. Dhoot. d) Short Term Loans from Banks are secured by negative lien on the telecom license, pledge/non-disposal undertaking of shares of VTL held by Parent Company and personal guarantees of Mr. Venugopal N. Dhoot, Mr. Pradipkumar N. Dhoot and Mr. Rajkumar N. Dhoot. e) Vehicle Loans from Banks are secured by way of hypothecation of Vehicles acquired out of the said loan. The loans are also secured by personal guarantee of Mr. Venugopal N. Dhoot. f) Working capital loans from banks are secured by hypothecation of the Company’s stock of raw materials, packing materials, stock-inprocess, finished goods, stores and spares, book debts of Glass Shell Division only and personal guarantees of Mr. Venugopal N. Dhoot and Mr. Pradipkumar N. Dhoot.
Unsecured Loans	31.12.2010 (15 Months)	30.09.2009
A. From Banks and Financial Institutions
i. Rupee Loan	43279.620	17267.000
ii. Foreign Currency Loan	0.000	62.430
B Foreign Currency Convertible Bonds	13967.570	5257.590
C. Premium Payable on Redemption on Foreign Currency Convertible Bonds	1046.620	824.590
D. Sales Tax Deferral	67.790	83.490
Total	58361.600	23495.100
Notes :- a) Unsecured Loans from Banks are guaranteed by Mr. Venugopal N. Dhoot and/or Mr. Pradipkumar N. Dhoot, the directors of the Company. b) The Company has availed interest free Sales Tax Deferral under Special Incentive to Prestigious Unit (Modified) Scheme. Out of total outstanding, Rs.46.53 million is repayable in three equal annual installments commencing from 30th May, 2011, Rs.8.78 million in seven monthly installments commencing from 20th October, 2013 and Rs.12.48 million in seven monthly installments commencing from 20th October, 2014.

Banking Relations :

--

Auditors :

Name:

Khandelwal Jain and Company

Chartered Accountant

Address:

12-B, Baldota Bhavan, 117, Maharshi Karve Road, Opposite Churchgate Railway Station, Mumbai-400020, Maharashtra, India

Name:

Kadam and Company

Chartered Accountant

Address:

Ahmednagar College Road, Kothi, Near Badve Petrol Pump, Ahmednagar-414001, Maharashtra, India

Subsidiaries:

a) Chhattisgarh Power Ventures Private Limited (w.e.f. 3rd May, 2010)

b) Eagle ECorp Limited

c) Godavari Consumer Electronics Appliances Private Limited (Upto 15th January, 2010)

d) Mayur Household Electronics Appliances Private Limited (Upto 15th January, 2010)

e) Middle East Appliances LLC

f) Paramount Global Limited (Upto 23rd December, 2010)

g) Pipavav Energy Private Limited

h) Powerking Corporation Limited (Upto 30th November, 2009)

i) Senator Energy Private Limited (w.e.f. 18th May, 2010)

j) Sky Billion Trading Limited (Upto 30th December, 2010)

k) Triumph Energy Private Limited (w.e.f. 5th April, 2010)

l) Venus Corporation Limited (Upto 30th November, 2009)

m) Videocon Display Research Co. Limited (Liquidated w.e.f. 1st September, 2010)

n) Videocon Electronic (Shenzen) Limited (Chinese Name - Wei You Kang Electronic (Shenzhen) Company Limited)

o) Videocon Global Limited

p) Videocon Energy Ventures Limited and its subsidiary

- Videocon Oman 56 Limited

q) Videocon International Electronics Limited and its subsidiaries

- Jumbo Techno Services Private Limited

- Senior Consulting Private Limited

- Videocon Telecommunications Limited and its subsidiary

- Datacom Telecommunications Private Limited

r) Videocon Hydrocarbon Holdings Limited (w.e.f. 21st December, 2010) and its subsidiaries*

- Videocon JPDA 06-103 Limited (w.e.f. 12th May, 2010)**

- Videocon Mozambique Rovuma 1 Limited (w.e.f. 12th May, 2010)**

- Videocon Indonesia Nunukan Inc. (w.e.f. 30th June, 2010)**

- Videocon Energy Brazil Limited (w.e.f. 7th July, 2010)**

- Videocon Australia WA-388-P Limited (w.e.f. 27th August, 2010)***

- Oil Services International S.A.S. (w.e.f. 9th November, 2010)

s) Videocon Energy Limited (w.e.f. 13th January, 2010) and its subsidiaries

- Videocon Oil Ventures Limited (w.e.f. 19th January, 2010)

- Videocon Power Ventures Limited (w.e.f. 30th January, 2010) and its subsidiaries

- Aim Energy Private Limited (w.e.f. 12th October, 2010)

- Viable Energy Private Limited (w.e.f. 12th October, 2010)

- Vital Power Private Limited (w.e.f. 12th October, 2010)

- Marvel Energy Private Limited (w.e.f. 17th July, 2010) and its subsidiaries

- Proficient Energy Private Limited (w.e.f. 17th July, 2010) and its subsidiaries

- Instant Energy Private Limited (w.e.f. 17^th July, 2010)

- Orchid Energy Private Limited (w.e.f. 30^th August, 2010)

- Applied Energy Private Limited (w.e.f. 17^th July, 2010) and its subsidiaries

- Comet Power Private Limited (w.e.f. 17^th July, 2010)

- Galaxy Power Private Limited (w.e.f. 17^th July, 2010)

- Percept Energy Private Limited (w.e.f. 17^th July, 2010)

- Unity Power Private Limited (w.e.f. 17^th July, 2010)

* Videocon Hydrocarbon Holdings Limited was incorporated as a subsidiary of Videocon Energy Ventures Limited on 30th November, 2009. It became subsidiary of Videocon Oil Ventures Limited on 29th April, 2010. From 21^st December, 2010, it became subsidiary of the Company, Videocon Industries Limited, and directly holds 97.54% of ownership.

** Prior to this date subsidiary of Videocon Industries Limited.

*** Incorporated as a subsidiary of Videocon Energy Ventures Limited on 30th

November, 2009. It became subsidiary of Videocon Hydrocarbon Holdings

Limited w.e.f. from 27th August, 2010.

Associates and Joint Ventures:

- Ravva Oil and Gas Field Joint Venture-Participating Interest 25%

- WA-388-P Joint Venture-Participating Interest 8.4%

- Block 56 Oman Joint Venture - Participating interest 25% (Upto 9th January 2010)

- VB (Brasil) Petroleo Private Ltda. - Joint Venture - 50% (Merged with IBV Brasil Petroleo Limitada w.e.f. 1st April 2010)

- IBV Brasil Petroleo Limitada - Joint Venture - 50%

(Was subsidiary of VB (Brasil) Petroleo Private Ltda upto 31^st March, 2010 which merged with this Company, w.e.f. 1^st April, 2010. The Company has transferred its shareholding in VB Brasil to Videocon Energy Brazil Limited, a stepdown subsidiary of the Company incorporated in British Virgin Islands.)

- Videocon Infinity Infrastructure Private Limited – Joint Venture - 50%

- Goa Energy Private Limited - Associate - 26%

- Radium Energy Private Limited - Associate - 26% (w.e.f. 1^st November, 2010)

CAPITAL STRUCTURE

AS ON 31.12.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
500000000	Equity Shares	Rs.10/- Each	Rs.5000.000 Millions
10000000	Redeemable Preference Shares	Rs. 100/- Each	Rs. 1000.000 Millions
	Total		RS. 6000.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
301963634	Equity Shares	Rs.10/- Each	Rs.3019.640 millions
	Of the above: a) 95,078 (Previous year 95,078) Equity Shares of Rs.10/- each have been issued on conversion of Unsecured Optionally Convertible Debentures. b) 156,394,378 (Previous year 156,394,378) Equity Shares of Rs.10/- each were allotted pursuant to amalgamations without payments being received in cash. c) 45,777,345 (Previous year 45,777,345) Equity Shares of Rs.10/- each were issued by way of Euro issues represented by Global Depository Receipts (GDR) at a price of US$ 10.00 per share (inclusive of premium). d) 8,464,515 (Previous year 8,464,515) Equity Shares of Rs.10/- each have been issued on conversion of 86,529 Foreign Currency Convertible Bonds of US$ 1,000 each (inclusive of premium).
	Less: Calls in Arrears – By Others		Rs. 0.160 million
	TOTAL (A)		Rs. 3019.480 millions
4523990	8% Cumulative Redeemable Preference (redeemable at par in 3 equal installments on 1st October, 2011, 1st October, 2012 and 1st October, 2013)	Rs.100/- Each	Rs. 452.400 millions
76870	8% Cumulative Redeemable Preference (redeemable at par in 3 equal installments on 1st February, 2012, 1st February, 2013 and 1st February, 2014)	Rs.100/- Each	Rs. 7.690 millions
	TOTAL (B)		Rs. 460.090 millions
	TOTAL (A) + (B)		Rs. 3479.570 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.12.2010 (15 Month)	30.09.2009	30.09.2008
SHAREHOLDERS FUNDS
1] Share Capital		3479.570	2754.160	2753.110
2] Share Application Money		0.000	950.010	0.000
3] Reserves & Surplus		90859.200	69296.250	65384.860
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		94338.770	73000.420	68137.970
LOAN FUNDS
1] Secured Loans		59376.050	67350.370	44012.540
2] Unsecured Loans		58361.600	23495.100	36043.400
TOTAL BORROWING		117737.650	90845.470	80055.940
DEFERRED TAX LIABILITIES		6369.610	5123.380	4244.300
TOTAL		218446.030	168969.270	152438.210
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		60031.060	60202.730	59266.710
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		42679.630	30648.990	26955.880
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	20401.380	17634.930	15688.640
	Sundry Debtors	26473.300	17081.130	15828.890
	Cash & Bank Balances	13164.340	4985.060	3882.840
	Other Current Assets	555.240	320.430	185.740
	Loans & Advances	65441.380	47935.040	39932.460
Total Current Assets		126035.640	87956.590	75518.570
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	6645.620	6220.690	7768.760
	Sundry Creditors	2474.840	2316.430	14.480
	Provisions	1179.840	1301.920	1519.710
Total Current Liabilities		10300.300	9839.040	9302.950
Net Current Assets		115735.340	78117.550	66215.620
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		218446.030	168969.270	152438.210

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.12.2010 (15 Month)	30.09.2009	30.09.2008
	SALES
		Income	144096.910	91630.410	97536.540
		Other Income	429.860	340.150	288.220
		TOTAL (A)	144526.770	91970.560	97824.760
Less	EXPENSES
		Manufacturing Expenses	16259.860	9436.940	7815.630
		Raw Material Consumed	91123.170	56143.960	52910.470
		Production and Exploration Expenses – Oil and Gas	8298.070	7206.860	12379.600
		Salaries, Wages, Bonus, etc.	2280.070	1264.230	1158.180
		TOTAL (B)	117961.170	74051.990	74263.880
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		26565.600	17918.570	23560.880
Less	FINANCIAL EXPENSES (D)		8931.560	6363.610	4011.030
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		17634.040	11554.960	19549.850
Less/ Add	DEPRECIATION/ AMORTISATION (F)		7129.620	5771.520	6602.070
	PROFIT BEFORE TAX (E-F) (G)		10504.420	5783.440	12947.780
Less	TAX (I)		3057.480	1776.820	4404.830
	PROFIT AFTER TAX (G-I) (J)		7446.940	4006.620	8542.950
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		22438.440	20619.940	14516.420
Add	EXCESS PROVISION FOR INCOME TAX FOR EARLIER YEARS WRITTEN BACK		0.000	736.820	7.320
Less	SHORT PROVISION OF FRINGE BENEFIT TAX FOR EARLIER YEARS		57.830	0.000	0.170
	TRANSFER FROM DEBENTURE / BONDS REDEMPTION RESERVE		258.600	0.000	0.000
Less	APPROPRIATIONS
		Proposed Dividend – Equity	301.970	462.530	229.450
		Proposed Dividend – Preference	46.080	36.810	36.810
		Tax on Dividend	57.810	84.860	45.250
		Tax on Dividend for earlier years	0.000	0.000	0.070
		Transfer to Debenture/Bonds Redemption Reserve	0.000	1340.740	135.000
		Transfer to General Reserve	1000.000	1000.000	2000.000
	BALANCE CARRIED TO THE B/S		28680.290	22438.400	20619.940
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	4750.330	5224.280	6077.340
		Interest	0.000	1.960	3.430
		Other	490.310	0.000	0.000
	TOTAL EARNINGS		5240.640	5226.240	6080.770
	IMPORTS
		Raw Materials	20492.780	11093.450	11411.610
		Capital Goods	1953.030	1765.760	217.880
	TOTAL IMPORTS		22445.810	12859.210	11629.490
	EARNINGS PER SHARE (RS.)
	BASIC		27.88	20.49	37.44
	DILUTED		26.65	19.47	36.64

QUARTERLY RESULTS

PARTICULARS	31.03.2011	30.06.2011
	1^stQuarter	2^ndQuarter
Net Sales	31825.600	33245.900
Total Expenditure	26009.600	27056.900
PBIDT (Excl OI)	5816.000	6189.000
Other Income	82.700	105.100
Operating Profit	5898.700	6294.100
Interest	2036.500	2138.600
Exceptional Items	0.000	0.000
PBDT	3862.200	4155.500
Depreciation	1495.300	1599.200
Profit Before Tax	2366.900	2556.300
Tax	700.000	800.000
Provisions and contingencies	0.000	0.000
Profit After Tax	1666.900	1756.300
Extraordinary Items	0.000	0.000
Prior Period Expenses	0.000	0.000
Other Adjustments	0.000	0.000
Net Profit	1666.900	1756.300

KEY RATIOS

PARTICULARS		31.12.2010 (15 Month)	30.09.2009	30.09.2008
PAT / Total Income	(%)		4.36	8.73
Net Profit Margin (PBT/Sales)	(%)		6.31	13.27
Return on Total Assets (PBT/Total Assets}	(%)		3.90	9.61
Return on Investment (ROI) (PBT/Networth)			0.08	0.19
Debt Equity Ratio (Total Liability/Networth)			1.38	1.31
Current Ratio (Current Asset/Current Liability)			8.94	8.12

LOCAL AGENCY FURTHER INFORMATION

CHANGE OF ADDRESS:

Registered office of the company has been shifted from Auto Cars Compound, Aadalat Road, Aurangabad – 431105, Maharashtra, India to the present address w.e.f. 11.08.2007

BUSINESS DESCRIPTION

Subject offers range of products in televisions, washing machines, air-conditioners, refrigerators, audio products, home theatre systems and microwave ovens. It operates in four segments: Consumer Electronics and Home Appliances, Crude Oil and Natural Gas, Telecommunications, and Power. It is engaged in manufacture, assemble and distribute a range of consumer electronics, products and home appliances, including finished goods, such as television, home entertainment systems, refrigerators, washing machines, air conditioners and other small household appliances and components , such as glass shell, compressors and motors. It has interests in exploration production in Brazil, Mozambique, East Timor, Indonesia and Australia. The Company is developing the Pipavav power project through a wholly owned subsidiary Pipavav Energy Private Limited. The Company operates the global system for mobile communications mobile services through Videocon Telecommunications Limited. For the fiscal year ended 30 September 2009, Videocon Industries Limited's revenues decreased 12% to RS105.58B. Net income decreased 53% to RS5.11B. Revenues reflects decreased income from Consumer Electronics and Home Appliances and lower revenue from Crude Oil & Natural Gas segment. Net income reflects an increase in purchase of traded goods, higher interest expenses and the absence of share of profit in associate company.

OPERATIONS

CONSUMER ELECTRONICS and HOME APPLIANCES [CE and HA]:

The global economic recovery and improved markets were the welcome signs in the second half of the period under review. The Company continued its growth in CE and HA Business backed by ongoing in-house technological advancement; aggressive marketing, distribution and advertising strategies with focused penetration in the key markets.

OIL AND GAS:

The Company intensified its exploratory efforts both in domestic and overseas basins to identify new oil and gas assets. These efforts paid good dividends in terms of new discoveries and reserve accretion.

MOZAMBIQUE

February 2010: Anadarko Mozambique announced a discovery in the exploration well, Windjammer. The drilling was completed in the first quarter of 2010 and reached an intermediate casing point encountering more than 480 net feet of natural gas pay in high-quality reservoir sands with a gross column of more than 1,200 feet.

March 2010: Anadarko Mozambique announced that it had encountered an additional 75 net feet of natural gas pay. The additional pay intersected in the deeper objective brings the total net feet of natural gas pay in Windjammar to more than 555 feet.

October 2010: Anadarko Mozambique announced a further discovery in the Barquentine exploration well, encountering a total of more than 416 net feet of natural gas in multiple high-quality sands.

November 2010: Anadarko Mozambique announced a discovery of natural gas of more than 550 net pay feet in multiple high quality sands in Lagosta exploration well, approximately 16 miles to the south of the Barquentine discovery. After this discovery, Anadarko Mozambique estimates that there is adequate gas which has been discovered in the Rovuma Block to support a viable LNG facility.

BRAZIL

November 2009: Anadarko, the Operator of block BM-C-30 offshore Brazil in the Campos Basin has announced the Wahoo #2 (also called Wahoo North) exploration well in the Campos Basin, offshore Brazil, has encountered more than 90 feet of high quality net oil pay in the same pre-salt interval, as the original Wahoo discovery. The Wahoo #2 is located in block BM-C-30, five miles to the north and down-dip from the original Wahoo Discovery well, which encountered more than 195 feet of net pay.

April 2010: Anadarko, the Operator of block BM-C-30 offshore Brazil in the Campos Basin, has announced the results of the Wahoo-1 drillstem test in the Wahoo field, located in block BM-C-30, in the deepwater Campos Basin offshore Brazil. The Wahoo-1 well flowed at a test rate of approximately 7500 barrels per day of 31-degree API gravity crude oil and approximately 4 million cubic feet per day of associated natural gas.

October 2010: PETROBRAS, the Operator of the BM-SEAL-11 Concession Block in the Sergipe-Alagos Basin of the Brazilian Offshore, announced that the drilling of first ultra deep water (2321m) well, designated as 1-SES- 158, on “Barra” structure, located 58 km off the Coast of Brazil and 90 km from city Aracaju, in Atlantic Ocean, discovered hydrocarbon in Cretaceous turbidite fan system.

INDONESIA

November 2010: Anadarko, the Operator, announced the Badik Discovery located in the Tarakan Basin of Indonesia. The well encountered approximately 133 net feet of oil and gas pay. These world-class finds have positioned the Company as one of the most successful private Indian explorer globally.

TELECOM

Videocon Telecommunications Limited (“VTL”), a subisidiary of the Company, has been awarded licences to provide Unified Access Services in 21 circles in India with effect from January 25, 2008 which is valid for 20 years. VTL has been allotted spectrum in 20 circles and has launched its services in 16 circles as on the Balance Sheet Date.

POWER

Pipavav Energy Private Limited (“PEPL”) and Chhattisgarh Power Ventures Private Limited (“CPVPL”), subsidiaries of the Company are assigned to implement Power Projects in the State of Gujarat and Chhattisgarh respectively. Status brief of these projects:

PIPAVAV ENERGY PRIVATE LIMITED:

The Power Project in Gujarat is a thermal power project with a capacity of 1,200 MW comprising of two units of 600 MW each based on sub-critical technology. PEPL has signed the necessary Memorandum of Understanding with the Government of Gujarat and has also obtained necessary approvals to commence construction including the environmental clearances from Gujarat Pollution Control Board and the Ministry of Environment and Forests. Notice to Proceed has already been issued to BHEL, the BTG Contractor.

CHHATTISGARH

POWER VENTURES PRIVATE LIMITED:

The Chhattisgarh Power Project is also a thermal power project with a capacity of 1,200 MW and is located in District Champa- Janjgir in Chhattisgarh. It will consist of two units of 600 MW each . The Company has signed an Implementation Agreement with the Government of Chhattisgarh with respect to the said project. The Government of Chhattisgarh has agreed to facilitate the process of obtaining statutory clearances as well as help in acquisition of land for setting up the Chhattisgarh Power Project and provide the incentives available under the industrial policy of Chhattisgarh for similar projects. The Company has already obtained coal linkage from the Ministry of Coal for 600 MW whereas an application seeking coal linkage for the balance quantity has already been filed. Further, the Company has also undertaken few solar power projects in the other parts of the country through step-down subsidiaries.

ISSUES / ALLOTMENT

9th December, 2009: The Company issued and allotted 1,858,275 Equity Shares, on preferential basis, at a price of Rs. 242.16 per Equity Share inclusive of a premium of Rs. 232.16 per Equity Share to Infotel Telecom Infrastructure Private Limited.

22nd April, 2010: The Company allotted 51,392,243 partly paid Equity Shares of Rs. 10/- each at RS, 225/- consisting of premium of Rs. 215/- per Equity Share, aggregating to RS. 11563.300 millions, on rights basis, to the successful applicants. As per the terms of the rights issue, an amount of Rs. 112.50 per Equity Share was payable on application; and the balance on the first and the final call. The first and the final call was made; and was payable by 15th June, 2010. Subsequently, the Company sent the reminders to the shareholders who failed to make payment by the due date. As on 31st December, 2010, the Company received the first and the final call money in respect of 51,361,328 Equity Shares which were confirmed as fully paid whereas 30,915 partly paid Equity Shares remained outstanding as on the same date.

7th July, 2010: The Company issued and allotted 7,541,300 Equity Shares, on preferential basis, at a price of Rs. 211.96 per Equity Share inclusive of a premium of Rs. 201.96 per Equity Share to IDBI Bank Limited, ING Vysya Bank Limited, Oriental Bank of Commerce Limited, State Bank of Patiala and Life Insurance Corporation of India.

7th December, 2010: The Company allotted 11,765,000 equity shares, at a price of Rs. 170/- per Equity Share, to Bennett, Coleman and Company Limited ("BCCL") pursuant to option exercised by BCCL to subscribe to 1 (One) Equity Share of the Company per warrant. These warrants were allotted on preferential basis on 1^st June, 2009.

15th December, 2010:

The Company issued Foreign Currency Convertible Bonds (the “FCCBs”) amounting to USD 200 Million. These FCCBs are convertible, by the exercise of option by Bondholders, into fully paid equity shares of the Company at any time between 25th January, 2011 to 7 days before maturity date i.e. 16th December, 2015. The initial conversion price is ` 239.5265 per Equity Share.

MANAGEMENT DISCUSSION AND ANALYSIS

The Company is among the emerging giants of the world in consumer electronics and home appliances category. Videocon offers a full range of products including televisions, washing machines, air-conditioners, refrigerators, audio products etc. The Consumer Electronics and Home Appliances division has achieved a 20% growth over the last year. Emphasis has been given by manufacturers on improving efficiencies, consumer research, brand building, retail refurbishments, strengthening after sales service and focusing on high end products to maintain the bottom line. Videocon is also strengthening its distribution network, with an organized distribution channel for

each district. Further, advertising remains a focal point for the Company. Technological Innovations continue to be a priority area for manufacturers and emphasizes on offering that go beyond fulfilling basic necessities of consumers. The Company being a leader in consumer electronic and home appliances industry in India, is now focusing on this segment by customizing the products which suits Indian tastes, as Indian market is now changing dramatically and moving towards digitalized products like LCDs, satellite LCDs, LEDs, fully automatic washing machines and music systems which are high on sound bars. At macro level, the Indian Consumer Electronics Industry is scaling new heights, undeterred by the global melt-down, and is expected to continue its growth trajectory to become a key market in the global Consumer Electronics industry. The Videocon brand has been driven by the philosophy of delighting its customers with unique offerings, which not only allows them to experience technologically advanced, innovative products and services, but also provides them with valuefor- money proposition. Moreover, by mobilizing service engineers, aligning service centers with adequate spares and above all catering on-time and at the doorstep of the customer, Videocon intends to create an additional customer base which will generate additional volumes for the Company. Videocon today enjoys a pre-eminent position in terms of Sales and Customer Satisfaction in most of its consumer products like Color Televisions, Washing Machines, Air Conditioners, Refrigerators, Microwave Ovens and Small Home appliances, selling them through a Multi-Brand strategy. 2010 was a year of great innovations when the Company launched various products such as:

• The world’s first satellite LCD Range in India

• India’s first tilt drum washing machine

• India’s first top load fully-automatic washing machine with a direct drive motor

• India’s first touch-pad microwave

• India’s first five star and four star BEE rated washing machines

The Company intends to invest significantly into Research and Development activities, develop new products to meet the ever increasing demands of the customers. The Company, in coming year, plans to focus on launching innovative products in washing machine, LCD and LED Segments. The Company’s vision for 2011 is that for every ten products sold in the Indian Market for any category of consumer durables, at least four should be from the Videocon Group.

Color Televisions:

Televisions continue to be the mainstay of the Consumer Electronics Industry in India, along with the transition occurring to new technologies such as LCD and LED. The demand for LCD TVs has been growing at a rapid scale and is showing a consistent growth in sales with increasing preference for Full High Definition TV with better image quality, audio clarity, and color resolution. The growing preference for LCD televisions in India reflects the global trend in the category at large. LED TVs are to be the next big force in India. The Flat Panel Display (FPD) TV segment in India is poised for significant growth in the coming years and is growing at a rate of over 60% Year on Year basis. The Company plans to focus on launching of innovative products in LCD and LED segments. The Company is also looking at increasing television exports in the markets of the Middle East, Europe and China. Growth drivers for the CTV business in India are:

• Growth in income levels resulting in more disposable incomes;

• Emergence of nuclear families;

• Growth of entertainment and media and the rising penetration of cinemas;

• Pride of ownership to own an FPD among the middle class;

• Decline in prices with economies of scale making technology more affordable;

• Availability of credit;

• Rising aspirational levels amongst Indian consumers to have a better and better life style; and

• Growth of retail industry thereby making products easily available.

Refrigerators:

Refrigerators for long have remained a high involvement purchase but once bought and in use, their utility and indispensability takes an edge over any other parameter. Thus, the Company now realizes that it is important to give customers that extra something in order to sell and gain top-of-the-mind recall. Improved and Premium Exteriors (multi-colored PCM finish, designer patterns, mirror finish, VCM finishes) with Innovative technology, would be the prime focus for the Company in the coming year. The Refrigerator market is estimated to grow at a CAGR of 10% with the Frost-Free segment gaining mind space with urban consumers.

The Direct Cool category will continue to grow at a steady rate, but the demand for Frost Free refrigerators will grow at a faster rate with consumer lifestyles and preferences changing . Entry level and medium segment models would see more changes with regards to finish and energy efficiency features whereas premium segment (HEFF and SBS) would be driven by lifestyle features like mirror finish, aesthetically improved designer patterns with utility features in the interiors.

Air Conditioners:

The Air Conditioning industry in India, contrary to its global counterpart has a positive growth outlook. The domestic demand for Air Conditioners is rising because of major growth in Infrastructure Sector. The current construction boom is enabling India to emerge as one of the World’s leading user of Green Building Technology, in the larger Eco Living framework. Due to high temperatures all round the year and the rising disposable incomes, this country offers the air conditioning sector unparalleled prospects for growth. The Air Conditioner market has been witnessing a phenomenal growth of around 25%. This trend is expected to continue in this year and consequently make the main players take a bullish stance with the new product and technology offers.

The unique growth drivers of the Air Conditioner industry are:

• Change in weather conditions with prolonged summers;

• Acceptance of Air conditioners as a utility product rather than luxury;

• Consumer trend shifting towards more energy efficient Air Conditioners;

• Growth in real estate and infrastructure industry;

• Easy finance options; and

• Increase in disposable income.

Washing Machines:

The washing machine industry has shown a steady growth over the last decade and is expected to grow at a rate of 20% over the next few years. Semi-automatic machines have better penetration in rural and semi-urban areas due to their easy operation-ability and low cost; whereas Fully Automatic machines have found their buyers in metros. Various key drivers for growth in washing machine industry are:

• Rapid urbanisation leading to fast and busy lifestyles. Washing clothes has always been considered tedious and time-consuming;

• Growth of nuclear families;

• Growth in working women and youth populations;

• Easy credit availability;

• Rise in competition leading to price decline across segments; and

• Washing machine now considered a necessity rather than a luxury.

Microwave Ovens:

The Indian Microwave market has registered a healthy growth of 29% in 2009-10, after a period of slow growth in 2008-09. As a result of economic revival and domestic spends going up, microwaves are slowly creeping up the shopper’s priority list of appliances, for the home. Predominantly, the Microwave market in India consists of Solo, Grill and Convection segments. Solo microwaves have seen a steady decline in popularity in urban and semi-urban areas but still finds buyers in smaller cities and rural areas, due to low prices. Convections due to their wider applicability , growing consumer awareness, focus by manufacturer’s on building this sub category and price erosion due to competition, continues to register maximum growth.

Glass Shells:

Glass panels and funnels are the key components of Cathod Ray Tubes (CRTs). The Company is one of the largest companies to manufacture glass panels and funnels for colour TVs in India. The Company also sell panels and funnels internationally to Europe, South East Asia and Russia. The Company provides a broad range of glass panels and funnels with sizes ranging from 14” to 29”. These products also include glass panels and funnels for true flat and slim CRTs.

OUTLOOK

The Company is looking to expand its product portfolio. This will be executed through R and D as well as innovations. The Company has adopted the best and suitable technology to suit Indian needs. The Company aims to focus on getting more production done in-house and expand its manufacturing base in India. The Company plans to step up raw-material sourcing and focus on R and D activities to control costs. The Company plans to identify further oil and gas blocks that are suitable for exploration and have potential for production.

FORM 8 :

Corporate identity number of the company	L99999MH1986PLC103624
Name of the company	VIDEOCON INDUSTRIES LIMITED
Address of the registered office or of the principal place of business in India of the company	14, K M Stone, Aurangabad – Paithan Road, Village Chittegaon, Taluka Paithan, Aurangabad – 431105, Maharashtra
This form is for	Creation of Charge
Type of charge	Movable property
Particular of charge holder	State Bank of India, Corporate Account Group Branch, 3^rd Floor, Neville House, J. N. Heredia Marg, Ballard Estate, Mumbai – 400001, Maharashtra, India
Nature of instrument creating charge	Deed of Hypothecation dated 31^st March, 2011 executed by Videocon Industries Limited (the company or the Borrower) in favour of State Bank of India (the Bank)
Date of instrument Creating the charge	31.03.2011
Amount secured by the charge	Rs.5000.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest : 3.50% over Base Rate. Present effective rate being 11.75% (floating) with monthly rests. Terms of Repayment : The loan will be repaid in bullet payment of Rs.5000.000 Millions on the 366^th day from the date of first disbursement. Extent and operation of the charge : First Charge on the entire movable properties of the company consisting of movable plant and machinery (including capital work-in-progress), machinery spares, tools, accessories, and all other movable both present and future, whether installed or not and whether now lying loose or in cases or which are now lying or stored in or about all the Companys factories, premises and godowns situated at Bharuch and Aurangabad. Others : As may be agreed to between the company and the Bank from time to time.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	First Charge on the entire movable properties of the company consisting of movable plant and machinery (including capital work-in-progress), machinery spares, tools, accessories, and all other movable both present and future, whether installed or not and whether now lying loose or in cases or which are now lying or stored in or about all the Companys factories, premises and godowns situated at Bharuch and Aurangabad.

Fixed Assets:

· Freehold Land

· Leasehold Land

· Building

· Leasehold Improvements

· Plant and Machinery

· Furnace

· Electrical Installation

· Office Equipments

· Computer System

· Furniture and Fixture

· Vehicles

· Computer System

· Goodwill

· Computer Software

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 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.49.08
UK Pound	1	Rs.78.65
Euro	1	Rs.67.79

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	YES
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		47

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.