MIRA INFORM REPORT

Report Date :

22.10.2011

IDENTIFICATION DETAILS

Name :	JOHNSON AND JOHNSON LIMITED
Registered Office :	Spencer’s Building, 30, Forjett Street, August Kranti, Mumbai – 400 036, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	05.09.1957
Com. Reg. No.:	11-10928
Capital Investment / Paid-up Capital :	Rs.144.000 millions
CIN No.: [Company Identification No.]	U33110MH1957PLC010928
TAN No.: [Tax Deduction & Collection Account No.]	MUMJ05781G
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturing and Selling of various Healthcare Products.
No. of Employees :	108300 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

A (67)

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 25727000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is an established company having fine track. Financial position of the company appears to be sound. However 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 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 DECLINED BY

Management non-cooperative

LOCATIONS

Registered Office :

Spencer’s Building, 30, Forjett Street, August Kranti, Mumbai – 400 036, Maharashtra, India

Tel. No.:

91-22-23861431 / 24241431/23861451 / 66646464

Fax No.:

91-22-23871482 / 23801482

E-Mail :

info@jnjindia.com

sales@jnjindia.com

smoorthy@jnjin.jnj.com

Website :

http://www.jnjindia.com

Factory :

Consumer Products Division, Lal Bahadur Shastri Marg, Mulund (West), Mumbai – 400 080, Maharashtra, India

Overseas Offices :

Located At:

Canada	Egypt
Argentina	Hong Kong
Brazil	Indonesia
Chile	Israel
Colombia	Japan
Mexico	Korea
Panama	Malaysia
Peru	Morocco
Puerto Rico	Pakistan
Uruguay	Philippines
Vruezuela	Saudi Arabia
Austria	Singapore
Belgium	South Africa
Czech Republic	The Netherlands
Denmark, England	Norway
Finland	Poland
France	Portugal
Germany	Russia
Greece	Scotland
Hungary	Slovenia
Ireland	Spain
Italy	Sweden
Switzerland	Australia
Turkey	China

Branches :

Located At: -

· Kolkata,

· Chennai

· New Delhi

DIRECTORS

AS ON 22.09.2009

Name :

Mr. Swami Kumar Gajanan Raote

Designation:

Managing Director

Address :

Samarath Ashraya, 64/P, Parel, Mumbai – 400 012, Maharashtra, India

Age:

23.05.1964

Qualification:

B. Pharm, P.G.D.M., D.C.P.

Date of Appointment :

02.04.2009

Din No.:

02610317

Name :

Mr. Vaidheesh Annaswamy

Designation :

Whole Time Director

Address :

D5, Sea Face Park, 50, Bhulabhai Desai Road, Mumbai – 400 026, Maharashtra, India

Date of Birth/Age :

16.09.1959

Date of Appointment :

12.03.2007

Din No.:

01444303

Other Directorship:

S. No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U33110MH1957PLC010928	JOHNSON AND JOHNSON LIMITED	Whole-time director	12-03-10	12-03-07	Active	YES
2	U51900MH1996PTC104318	DEPUY MEDICAL PRIVATE LIMITED	Director	26-03-07	26-03-07	Active	NO

Name :

Mr. Rajan Sunderdas Tejua

Designation :

Whole time Director

Address :

7 W and 8W, 5^th and 6^th Floor, Shimira, 16^th Road, Khar (West), Mumbai – 400 052, Maharashtra, India

Date of Birth/Age :

17.09.1960

Date of Appointment :

14.12.2006

Din No.:

01478969

Other Directorship:

S. No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U33110MH1957PLC010928	JOHNSON AND JOHNSON LIMITED	Whole-time director	14-12-09	14-12-06	Active	YES
2	U91120MH1965GAP013389	ORGANISATION OF PHARMACEUTICAL PRODUCERS OF INDIA	Director	19-09-08	19-09-08	Active	NO

Name :

Mr. Marco Philipus Ardeshir Wadia

Designation :

Director

Address :

Thakur Nivas 173, Jamshedji Tata Road , Mumbai – 400 020, Maharashtra, India

Date of Birth/Age :

30.01.1956

Date of Appointment :

28.11.2003

Name :

Mr. Clastano Grace

Designation :

Director

Address :

2A, Cornwall Gardens, # 02 20, The Cornwall Singpore-269678

Date of Birth/ Age:

08.06.1963

Date of Appointment :

12.03.2008

Name :

Mr. Narsappa S. Talwar

Designation :

Alternate Director

Address :

10, Shiv Shanti Bhuvan, 146, Maharshi Karve Road, Churchgate, Reclamation, Mumbai – 400 020, Maharashtra, India

Date of Birth/ Age:

21.11.1938

Date of Appointment :

07.03.2009

KEY EXECUTIVES

Name :	Mr. Anil Vasantrai Upadhyay
Designation :	Secretary
Address :	81 – A, Twin Towers, Off Veer Savarkar Marg, Prabhadevi , Mumbai – 400 025, Maharashtra, India
Date of Birth/Age :	22.09.1958
Date of Appointment :	01.09.2000
Pan No.:	AAAPU0992M
Name :	Mr. T. P. Mehta
Designation :	Vice President – Ethicon
Name :	Mr. P. Chakraborty
Designation :	Vice President – Cordis
Name :	Mr. S. G. Raote
Designation :	Vice President – Customer Development and Exports
Name :	Mr. B. B. Shah
Designation :	General Manager – Finance
Name :	Mr. A. K. Singhal
Designation :	Reg. Director Customer Development
Name :	Mr. R. S. Tejuja
Designation :	Vice President – JJM
Name :	Mr. A. Vaidheesh
Designation :	Executive Vice President Endo Sur
Name :	Mr. R. A. Vaidya
Designation :	Reg. Product Development Director

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 22.09.2009

Names of Shareholders	No. of Shares
Johnson and Johnson, USA	1080000
Depuy Medical Private Limited, India	360000
Total	1440000

Equity Shares Breakup (Percentage of Total Equity)

As on 22.09.2009

Category	Percentage
Foreign holdings (Foreign institutional investors ) foreign companies foreign financial institutions , non residents or Overseas corporate bodies or others	75.00
Bodies Corporate	25.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturing and Selling of various Healthcare products.

Products :

Product Description	Item Code No. (ITC Code)
Medicaments	30.03
Sutures	30.06
Skin Care Preparations	33.04

GENERAL INFORMATION

No. of Employees :

108300 (Approximately)

Bankers :

The Hong Kong and the Shanghai Banking Corporation Limited, 52/60, Mahatma Gandhi Road, Fort, Mumbai – 400 001, Maharashtra, India

Facilities :

Unsecured Loan	As on 31.03.2010 [Rs. in Millions]	As on 31.03.2009 [Rs. in Millions]
Term Loan From Bank [Amount repayable within one year Rs.0.550 million]	550.000	1100.000
Inter Corporate Loan [Amount repayable within one year Rs.0.167 million]	166.667	333.333
Total	716.667	1433.333

Banking Relations :	Good
Auditors :
Name :	Lovelock and Lewes Chartered Accountants
Address :	252, Veer Savarkar Marg, Shivaji Park, Dadar , Mumbai – 400 028, Maharashtra, India
Holding Company :	Johnson and Johnson, USA
Subsidiaries:	· Suryalay Investments and Trading Company Limited (CIN No.: U65990MH1981PTC023690) · Deshraj Investment and Trading Company Limited (CIN No.: U65990MH1981PLC023828) · Loyalty Investments and Enterprises Private Limited (CIN No.: U67120MH1984PTC032582) · Key to Riches Investment and Leasing Private Limited (CIN No.: U67120MH1987PTC043329)
Fellow Subsidiary:	· Advanced Sterilization Products, USA · Babycentre LLC · Benefit Risk Management, Australia · Blosense Webster Inc., USA · Centoor USA · Cllag AG International, Switzerland · Cllag GmbH International, Germany · Codman and Shurtle Inc., USA · Codman Sart, Switzerland · Codman, USA · Cordis Corporation, USA · Cordis Europa N.V, Netherlands · Deputy International, UK · Deputy Ireland Limited · Deputy Mitek, USA · Deputy Orthopaedics USA · Deputy Spine Inc., USA · Ethicon Endo Surgery (Europe) GmbH, Germany · Ethicon Endo Surgery Inc, USA · Ethicon Endo Surgery Peurto Rico · Ethicon Inc, USA · Ethicon Inc, Italy · Ethicon Limited, UK · Ethicon Sari, Switzerland · Global Pharmaceutical Supply Corporation LLC · GMED Health Care Limited · CMEE Healthcare, Belgium · Information Technology Infrastructure Services · J.C. General Services CVBA, Belgium · Janssen Cllag Limited, Thailand · Janssen Cllag Limited, UK · Janssen Cllag Pty Limited, Australia · Janssen Cllag, Bangkok · Janssen Cllag, China · Janssen Cllag, Italy · Janssen Cllag, Malaysia · Janssen Cllag, Philippines · Janssen Pharmaceuticalj, Belgium · Janssen Clag Zug SG DC (RDC) · Johnson and Johnson (Hongkong) Limited · Johnson and Johnson (Philippines) Inc. · Johnson and Johnson APSC, Singapore · Johnson and Johnson China Limited · Johnson and Johnson Consumer APSC, Singapore · Johnson and Johnson Consumer Products Company, USA · Johnson and Johnson Consumer Products WW, USA · Johnson and Johnson Consumer Services Eame Limited · Johnson and Johnson European Logistic Centre, Belgium · Johnson and Johnson GFS China, Suzhou · Johnson and Johnson GmbH Germany · Johnson and Johnson Health Care Systems Inc, USA · Johnson and Johnson Indonesia · Johnson and Johnson International Singapore, Philippines · Johnson and Johnson KK Japan · Johnson and Johnson Korea Limited, Korea · Johnson and Johnson Medical (Shanghai) Limited, China · Johnson and Johnson Medical AG Rechnung · Johnson and Johnson Medical Hongkong · Johnson and Johnson Medical Indonesia

CAPITAL STRUCTURE

As on 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
1500000	Equity Shares	Rs.100/- each	Rs.150.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1440000	Equity Shares	Rs.100/- each	Rs.144.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010 (12 Months)	31.03.2009 (15 Months)	30.12.2007 (12 Months)
SHAREHOLDERS FUNDS
1] Share Capital		144.000	144.000	144.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		6287.787	4878.630	3361.702
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		6431.787	5022.630	3505.702
LOAN FUNDS
1] Secured Loans		0.000	0.000	0.000
2] Unsecured Loans		716.667	1433.333	0.000
TOTAL BORROWING		716.667	1433.333	0.000
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		7148.454	6455.963	3505.702
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		4337.817	3797.395	1805.310
Capital work-in-progress		195.960	650.963	319.723
INVESTMENT		0.051	0.051	0.051
DEFERREX TAX ASSETS		169.901	172.867	364.372
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	2405.440	2061.361	1505.000
	Sundry Debtors	1840.901	1303.908	612.807
	Cash & Bank Balances	480.945	1269.510	1043.404
	Other Current Assets	0.000	0.973	0.279
	Loans & Advances	3705.844	3218.489	2807.966
Total Current Assets		8433.130	7854.241	5969.456
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	4291.410	4742.280	3524.957
	Other Current Liabilities	373.347	271.206	243.821
	Provisions	1323.648	1006.068	1184.432
Total Current Liabilities		5988.405	6019.554	4953.21
Net Current Assets		2444.725	1834.687	1016.246
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		7148.454	6455.963	3505.702

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010 (12 Months)	31.03.2009 (15 Months)	30.12.2007 (12 Months)
	SALES
		Income	23982.820	24972.596	16670.609
		Other Income	2113.185	2291.994	1166.891
		TOTAL (A)	26096.005	27264.590	17837.500
Less	EXPENSES
		Material Cost of Sales	9835.622	10827.051	7171.848
		Other Expenses	13163.933	12204.603	8518.741
		Exceptional Item – Demand raised by NPPA	0.000	125.913	0.000
		TOTAL (B)	22999.555	23157.567	15690.589
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		3096.450	4107.023	2146.911
Less	INTEREST (D)		111.589	228.488	1.912
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		2984.861	3878.535	2144.999
Less/ Add	DEPRECIATION/ AMORTISATION (F)		710.867	694.489	300.964
	PROFIT BEFORE TAX (E-F) (G)		2273.994	3184.046	1844.035
Less	TAX (H)		534.976	1077.463	688.327
	PROFIT AFTER TAX (G-H) (I)		1739.018	2106.583	1155.708
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		3542.135	2235.866	1080.158
Less	APPROPRIATIONS
		Interim Dividend
		- First	0.000	504.000
		- Second	0.000	0.000	NA
		Proposed Dividend	252.000	0.000
		Tax on Interim Dividend	0.000	85.655
		Tax on Proposed Dividend	41.854	0.000
		General Reserve	173.902	210.659
	BALANCE CARRIED TO THE B/S		4813.397	3542.135	2235.866
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	NA	NA	907.549
		Rebate on Imports	NA	NA	6.377
		Other Earnings	NA	NA	800.776
	TOTAL EARNINGS		NA	NA	1714.702
	IMPORTS
		Raw Materials	NA	NA	4268.083
		Stores & Spares	NA	NA	6.790
		Capital Goods	NA	NA	182.997
	TOTAL IMPORTS		NA	NA	4457.870
	Basic and Diluted Earnings Per Share (Rs.)		1207.65	1462.90	802.58

KEY RATIOS

PARTICULARS		31.03.2010 (12 Months)	31.03.2009 (15 Months)	30.12.2007 (12 Months)
PAT / Total Income	(%)	6.66	7.73	6.48
Net Profit Margin (PBT/Sales)	(%)	9.48	12.75	11.06
Return on Total Assets (PBT/Total Assets}	(%)	17.81	27.33	23.72
Return on Investment (ROI) (PBT/Networth)		0.35	0.63	0.53
Debt Equity Ratio (Total Liability/Networth)		1.04	1.48	1.41
Current Ratio (Current Asset/Current Liability)		1.41	1.30	1.18

LOCAL AGENCY FURTHER INFORMATION

DETAILS OF SUNDRY CREDITORS:

(Rs. in millions)

Particulars	31.03.2010 (12 Months)	31.03.2009 (15 Months)	30.12.2007 (12 Months)
Sundry Creditors	4291.410	4742.280	3524.957

BANKERS CHARGES REPORT AS PER REGISTRY

Name of the company	JOHNSON AND JOHNSON LIMITED
Presented By	The Hong Kong and Shanghai Banking Corporation Limited (Hong Kong Bank 52/60 , Mahatma Gandhi Road, Mumbai – 400 001, Maharashtra, India)
1) Date and description of instrument creating the change	Deed of hypothecation dated 05.02.1999
2) Amount secured by the charge/amount owing on the securities of charge	Rs. 100.000 millions
3) Gist of the terms and conditions and extent and operation of the charge.	In consideration of the Bank subscribed / agreed to subscribe to the non- convertibles secured Debentures of the company, the company has hypothecated and charged to the bank by way of first charge as a continuing security , the assets mentioned in above to secure the repayment of the advances together with Interest cost and all other charges. Interest at the rate on 13.00% per annum shall be payable by the company, subject however that the bank shall have the right to change the rate of Interest after giving notice to the company. The company shall maintain such margin of security as may be specified by the bank form time to time. in case the company fails to fulfill its obligations under the agreement , the bank shall be entitled to take possession of the hypothecation properties and sell them by public auction or private contract and utilize the proceeds in full or part settlements of its claims.
4) Name and Address and description of the person entitled to the charge.	The Hong Kong and the Shanghai Banking Corporation Limited Address: 52/60, Mahatma Gandhi Road, Fort, Mumbai – 400 001, Maharashtra, India
The Schedule referred to above The whole of the movable properties of the borrower including its movable plant and machinery , machinery spares, tools and accessories and other movables , both present and future whether installed or not and whether now lying loose or in case or which are now lying or stored in or about or shall hereafter from time to time during the continuance of the security of the charge by way of hypothecation be brought into or upon or be stored or be in or about the borrower factories premises and godown or wherever else the same may be or be held by any party to the order or disposition of the borrower or in the course of transit or on high possession of the borrower and either by way of substitution or addition and all documents of title, negotiable instrument, policies of Insurance and other documents and / or instruments relating thereto.

FIXED ASSETS:

• Freehold Land
• Leasehold Land
• Land Improvement
• Buildings
• Building Improvement
• Machinery and Equipments
• Computer/ IM Equipments
• Software
• Vehicles
• Office Furniture and Equipments
• Patents and Trade Marks

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.50.07
UK Pound	1	Rs.79.15
Euro	1	Rs.69.04

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	7
PAID-UP CAPITAL	1~10	7
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	8
--PROFITABILIRY	1~10	8
--LIQUIDITY	1~10	8
--LEVERAGE	1~10	7
--RESERVES	1~10	8
--CREDIT LINES	1~10	7
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		67

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.