MIRA
INFORM REPORT
|
Report Date : |
11.04.2012 |
IDENTIFICATION DETAILS
|
Name : |
the state trading corporation of india
limited |
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|
Registered
Office : |
Jawahar Vyapar Bhawan, Tolstoy Marg, |
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Country : |
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Financials (as
on) : |
31.03.2011 |
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Date of
Incorporation : |
18.05.1956 |
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Com. Reg. No.: |
55-002674 |
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Capital
Investment / Paid-up Capital : |
Rs.600.000 Millions |
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|
CIN No.: [Company Identification
No.] |
L74899DL1956GOI002674 |
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|
IEC No.: |
0588094412 |
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|
TAN No.: [Tax Deduction &
Collection Account No.] |
DELS00861A |
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PAN No.: [Permanent Account No.] |
AAACT0102F |
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|
Legal Form : |
Public Limited Liability Company. The Company’s Share are Listed on
Stock Exchanges Government of |
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Line of Business
: |
Subject is the official canalizing agency for exports and imports for
a number of products. |
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No. of Employees
: |
Approximately 864 (Included 536 Managers and 328 Staff) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (63) |
|
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 27178000 |
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|
Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a Government of India Owned Company. It is a well
established and a reputed company having fine track. Financial position of the
company appears to be sound. Fundamentals are strong and healthy. 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.
ECGC Country Risk Classification List – September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
|
|
A1 |
A1 |
|
Risk Category |
ECGC Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
|
Off-credit |
D |
LOCATIONS
|
Registered/ Corproate Office : |
Jawahar Vyapar Bhawan, Tolstoy Marg, |
|
Tel. No.: |
91-11-23313177 |
|
Fax No.: |
91-11-23701191/ 23701123 |
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E-Mail : |
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Website : |
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|
Location : |
Owned |
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|
Branch Offices : |
Located at: v
Mumbai v
Kolkata v
Chennai v
Ahmedabad v
v
v
Jalandhar v
v
Sub Branches
located at: v
v
Gandhidham v
v
Jaipur v
v
|
DIRECTORS
As on 31.03.2011
|
Name : |
Mr. N.K. Mathur |
|
Designation : |
Chairman and Managing Director |
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|
FUNCTIONAL DIRECTORS : |
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|
Name : |
Mr. N.K. Nirmal |
|
Designation : |
Director – Finance |
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|
Name : |
Mr. S.S. Roy Burman |
|
Designation : |
Director – Marketing |
|
Date of Birth/Age : |
15.02.1960 |
|
Qualification : |
B. Tech. (Engg.) MBA |
|
Experience : |
Shri Burman has
an experience of over 30 years in exports of various engineering products,
setting up turnkey projects in countries across Asia, Africa and |
|
Date of Appointment : |
01.05.2007 |
|
|
|
|
Name : |
Mr. M.M. Sharma |
|
Designation : |
Director – Personnel |
|
Date of Birth/Age : |
10.06.1954 |
|
Qualification : |
BA, LLB, PG Diploma in Industrial Relations and Personnel Management |
|
Experience : |
Shri Sharma has
an experience of over 32 years in managing issues concerning IR, Personnel
Management and Law in Central PSUs. Prior to joining STC, he served in MTNL
and NTC Limited in various capacities. He has been responsible for smooth
conduct of administration and personnel activities, besides being member of
Core Team, Instrumental in acquiring telecom business abroad while serving as
GM in MTNL. |
|
Date of Appointment : |
30.07.2008 |
|
|
|
|
Name : |
Mr. Khaleel Rahim |
|
Designation : |
Director – Marketing |
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PART-TIME OFFICIAL DIRECTORS (GOVERNMENT NOMINEES) : |
|
|
Name : |
Mr. P.K. Chaudhery |
|
Designation : |
Non Executive (Government Nominee) Director |
|
|
|
|
Name : |
Dr. Sutanu Behuria (upto 10.11.2010) |
|
Designation : |
Non Executive (Government Nominee) Director |
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|
Name : |
Mr. Saurabh Chandra (from 10.11.2010 to 15.12.2010) |
|
Designation : |
Non Executive (Government Nominee) Director |
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|
|
Name : |
Dr. Rajan Katoch (from 15.12.2010) |
|
Designation : |
Non Executive (Government Nominee) Director |
|
Date of Birth/Age : |
03.02.1956 |
|
Qualification : |
BA (Economics), MA (Economics) and Ph. D (Economics) |
|
Experience : |
Dr. Katoch, is
presently holding the position of Additional Secretary and Financial Adviser,
Ministry of Commerce and Industry. He has 30 years experience of working at
various levels in the State of |
|
Date of Appointment : |
15.12.2010 |
|
Directorship held in other companies : |
MMTC Limited and |
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PART-TIME NON-OFFICIAL DIRECTORS (INDEPENDENT DIRECTORS) : |
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|
Name : |
Dr. (Mrs.) B. Kinnera Murthy |
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Designation : |
Part Time Non-Official Director |
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|
Name : |
Mr. Jayendra N. Shah |
|
Designation : |
Part Time Non-Official Director |
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|
Name : |
Mr. Proshanto Banerjee (from 28.06.2011) |
|
Designation : |
Part Time Non-Official Director |
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Date of Birth/Age : |
30.10.1947 |
|
Qualification : |
B. Tech (Chemical Engg.), Master in Management |
|
Experience : |
Shri Banerjee has
an experience of over 37 years in Petroleum and Gas sector. He held senior
management positions across marketing, operations, infrastructure and
planning and information technology in the Indian Oil Corporation. He held
the position of CMD, GAIL prior to his retirement. |
|
Date of Appointment : |
24.06.2011 |
|
Directorship held in other companies : |
West Bengal
State Electricity Distribution Company Limited and Greater Kolkata Gas Supply
Corporation Limited |
|
|
|
|
Name : |
Prof. Ravindra H. Dholakia (from 24.06.2011) |
|
Designation : |
Part Time Non-Official Director |
|
Date of Birth/Age : |
02.04.1953 |
|
Qualification : |
MA, Ph.D.,
Post-Doctoral Fellow
(University of |
|
Experience : |
Prof. R.H. Dholakia
has about 33 years of experience of teaching Economics to different groups
like students, executives, policy makers and senior Government Officers. He
has carried out numerous consulting assignments in the private and public
sector companies in |
|
Date of Appointment : |
24.06.2011 |
|
Directorship held in other companies : |
PFC Limited and MPSEZ Limited |
|
|
|
|
Name : |
Mr. Naresh Dayal (from 10.07.2011) |
|
Designation : |
Part Time Non-Official Director |
|
Date of Birth/Age : |
14.09.1949 |
|
Qualification : |
BA (Hons), MA (History), MS (Agriculture) |
|
Experience : |
Shri Naresh Dayal
is 1972 batch IAS Officer. He has an experience of over 37 years in various
positions at State and National levels. Prior to his retirement, he held the
position of Secretary, Ministry of Health and Family Welfare. He also held
the position of Additional Secretary, Ministry of Environment and Forests,
Principal Secretary, Home and Internal Security, Government of Uttar Pradesh
etc. |
|
Date of Appointment : |
24.06.2011 |
|
Directorship held in other companies : |
GSK Consumer Health Care Limited |
KEY EXECUTIVES
|
Name : |
Mr. Manoj Mishra |
|
Designation : |
Chief General Manager (Finance) |
|
|
|
|
Name : |
T. Karketta |
|
Designation : |
Deputy General Manager |
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|
|
|
Name : |
C.S. Karki |
|
Designation : |
Deputy General Manager, Finance-In-Charge |
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|
|
|
Name : |
Sameer Kaul |
|
Designation : |
Chief General Manager-Incharge |
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|
|
|
Name : |
R.L. Kaushal |
|
Designation : |
Deputy General Manager |
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|
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|
Name : |
G.C. Khuttan |
|
Designation : |
Deputy General Manager |
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|
Name : |
Surender Kumar |
|
Designation : |
Chief General Manager |
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|
|
Name : |
Babu Lal |
|
Designation : |
Deputy General Manager |
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|
Name : |
A.K. Mahajan |
|
Designation : |
Deputy General Manager |
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|
|
|
Name : |
R.C. Malhotra |
|
Designation : |
Deputy General Manager |
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|
|
Name : |
V. Mani |
|
Designation : |
General Manager |
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|
|
Name : |
D.P. Mishra |
|
Designation : |
Deputy General Manager |
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|
|
|
Name : |
S.C. Moton |
|
Designation : |
Deputy General Manager |
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|
|
|
Name : |
B.S. Negi |
|
Designation : |
Deputy General Manager |
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|
|
|
Name : |
N.B. Pant |
|
Designation : |
Deputy General Manager |
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|
|
|
Name : |
Amit Raha |
|
Designation : |
Chief General Manager |
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|
|
|
Name : |
S. N Rajguru |
|
Designation : |
General Manager |
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|
|
|
Name : |
B. Venkat Ram |
|
Designation : |
Chief General Manager |
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|
|
|
Name : |
Rattan Ram |
|
Designation : |
Deputy General Manager |
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|
|
|
Name : |
G.N. Rao |
|
Designation : |
Deputy General Manager |
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|
|
|
Name : |
B.B. Saha |
|
Designation : |
General Manager |
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|
|
|
Name : |
Bhim Sain |
|
Designation : |
Deputy General Manager |
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|
|
|
Name : |
S. Sarkar |
|
Designation : |
Chief General Manager |
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|
|
|
Name : |
A.K. Sekhri |
|
Designation : |
Deputy General Manager |
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|
|
|
Name : |
Vinod Sharma |
|
Designation : |
Deputy General Manager, Finance-In-Charge |
|
|
|
|
Name : |
Hari Singh |
|
Designation : |
Deputy General Manager |
|
|
|
|
Name : |
S.K. Singhal |
|
Designation : |
Deputy General Manager |
|
|
|
|
Name : |
R.K. Sinha |
|
Designation : |
Chief General Manager |
|
|
|
|
Name : |
B.K. Tuli |
|
Designation : |
Chief General Manager-Incharge |
|
|
|
|
Name : |
Suresh Chowdhary |
|
Designation : |
Chief Vigilance Officer |
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|
|
|
Name : |
Rakesh Kumar Gogia |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.03.2012
|
Category of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding of
Promoter and Promoter Group |
|
|
|
|
|
|
|
|
54,613,600 |
91.02 |
|
|
54,613,600 |
91.02 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
54,613,600 |
91.02 |
|
(B) Public
Shareholding |
|
|
|
|
|
|
|
|
1,080 |
- |
|
|
22,000 |
0.04 |
|
|
659,530 |
1.10 |
|
|
615,569 |
1.03 |
|
|
1,298,179 |
2.16 |
|
|
|
|
|
|
891,348 |
1.49 |
|
|
|
|
|
|
2,988,163 |
4.98 |
|
|
144,926 |
0.24 |
|
|
63,784 |
0.11 |
|
|
2,100 |
- |
|
|
61,684 |
0.10 |
|
|
4,088,221 |
6.81 |
|
Total Public
shareholding (B) |
5,386,400 |
8.98 |
|
Total (A)+(B) |
60,000,000 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
- |
- |
|
|
- |
- |
|
|
- |
- |
|
|
- |
- |
|
Total
(A)+(B)+(C) |
60,000,000 |
- |
(1) Indian
Central Government / State Government(s)
Individual shareholders holding nominal
share capital up to Rs.0.100 millionsBUSINESS DETAILS
|
Line of Business : |
Subject is the official canalizing agency for exports and imports for
a number of products. |
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|
Products : |
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GENERAL INFORMATION
|
No. of Employees : |
Approximately 864 (Included 536 Managers and 328 Staff) |
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Bankers : |
State Bank of |
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Facilities : |
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Banking
Relations : |
-- |
|
|
|
|
Statutory Auditors : |
|
|
Name : |
Chandilok and Guliani Chartered Accountants |
|
Address : |
C-44, Nizamuddin East, |
|
Tel. No.: |
91-11-243539676/ 0860 |
|
Fax No.: |
91-11-24530457 |
|
|
|
|
Subsidiaries : |
STCL Limited (Wholly Owned Subsidiary) |
CAPITAL STRUCTURE
As on 31.03.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
200000000 |
Equity Shares |
Rs.10 /- each |
Rs.2000.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
60000000 |
Equity Shares |
Rs.10 /- each |
Rs.600.000 Millions |
|
|
|
|
|
(Of these 58000000 Equity Shares of Rs.10/- each
allotted as fully paid up by way of Bonus Shares by capitalization of General
Reserve)
FINANCIAL DATA
[all figures are in
Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
600.000 |
600.000 |
600.000 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
6194.588 |
5839.430 |
5102.857 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
6794.588 |
6439.430 |
5702.857 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
14685.122 |
20277.514 |
17100.390 |
|
|
2] Unsecured Loans |
805.772 |
4401.006 |
6672.821 |
|
|
TOTAL BORROWING |
15490.894 |
24678.520 |
23773.211 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
22285.482 |
31117.950 |
29476.068 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
530.648 |
549.551 |
301.729 |
|
|
Capital work-in-progress |
33.705 |
0.000 |
74.700 |
|
|
|
|
|
|
|
|
INVESTMENT |
30.304 |
30.304 |
30.304 |
|
|
DEFERRED TAX ASSETS |
658.179 |
734.053 |
611.736 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
13137.480
|
5670.127
|
14637.395
|
|
|
Sundry Debtors |
45079.440
|
66109.635
|
55585.258
|
|
|
Cash & Bank Balances |
7370.322
|
4868.274
|
6565.998
|
|
|
Other Current Assets |
0.000
|
0.000
|
0.000
|
|
|
Loans & Advances |
4336.230
|
3909.667
|
7386.753
|
|
Total
Current Assets |
69923.472
|
80557.703
|
84175.404
|
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
29752.540
|
19781.590
|
24147.187 |
|
|
Other Current Liabilities |
18199.600
|
30203.877
|
29878.654
|
|
|
Provisions |
938.686
|
768.194
|
1691.964
|
|
Total
Current Liabilities |
48890.826
|
50753.661
|
55717.805
|
|
|
Net Current Assets |
21032.646
|
29804.042
|
28457.599
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
22285.482 |
31117.950 |
29476.068 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Net Sales |
199848.443 |
215086.536 |
197858.388 |
|
|
|
Other Income (Trade) |
4908.080 |
5057.559 |
3511.700 |
|
|
|
Interest Income |
1959.579 |
2580.985 |
2827.177 |
|
|
|
Miscellaneous Income (Non-trade) |
564.499 |
419.686 |
321.818 |
|
|
|
TOTAL (A) |
207280.601 |
223144.766 |
204519.083 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Goods Sold |
202977.772 |
218698.562 |
200239.479 |
|
|
|
Overheads |
1455.212 |
1317.269 |
1493.086 |
|
|
|
Write-Offs |
277.200 |
33.599 |
0.012 |
|
|
|
Provision against doubtful receivables and
investments |
0.000 |
135.071 |
238.028 |
|
|
|
Prior Period Adjustment (Net) |
(31.804) |
22.346 |
91.738 |
|
|
|
TOTAL (B) |
204678.380 |
220206.847 |
202062.343 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
2602.221 |
2937.919 |
2456.740 |
|
|
|
|
|
|
|
|
|
Less |
INTEREST (D) |
1775.279 |
1204.010 |
984.220 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
826.942 |
1733.909 |
1472.520 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
30.659 |
24.590 |
23.828 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
796.283 |
1709.319 |
1448.692 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
231.925 |
639.832 |
663.596 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
564.358 |
1069.487 |
785.096 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
1921.402 |
1497.810 |
1297.593 |
|
|
|
|
|
|
|
|
|
|
Transfer from Bonus Reserve |
0.015 |
0.040 |
0.041 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to Bonus Reserve |
0.010 |
0.011 |
0.013 |
|
|
|
Interim Dividend |
0.000 |
150.000 |
150.000 |
|
|
|
Proposed Dividend |
180.000 |
135.000 |
135.000 |
|
|
|
Tax on Dividend |
29.201 |
47.914 |
46.092 |
|
|
|
Export Import Contingency Reserve |
191.842 |
198.010 |
173.815 |
|
|
|
Transfer to Exchange Fluctuation Reserve |
0.000 |
0.000 |
28.668 |
|
|
|
Transfer to General Reserve |
60.000 |
115.000 |
80.000 |
|
|
BALANCE CARRIED
TO THE B/S |
2024.722 |
1921.402 |
1497.810 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export of goods on FOB basis* |
3766.836 |
14937.384 |
19862.065 |
|
|
|
Dispatch Money |
7.819 |
0.000 |
0.000 |
|
|
|
Others |
49.430 |
1.008 |
2.966 |
|
|
TOTAL EARNINGS |
3824.085 |
14938.392 |
19865.031 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
9.41 |
17.82 |
13.08 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2011 |
30.09.2011 |
31.12.2011 |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
|
Net Sales |
93591.400 |
88678.800 |
71208.500 |
|
Total Expenditure |
93226.800 |
88205.900 |
70708.400 |
|
PBIDT (Excl OI) |
364.600 |
472.900 |
500.100 |
|
Other Income |
72.400 |
73.500 |
168.700 |
|
Operating Profit |
437.000 |
546.400 |
668.800 |
|
Interest |
384.700 |
440.000 |
591.600 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
|
PBDT |
52.300 |
106.400 |
77.200 |
|
Depreciation |
7.800 |
7.700 |
7.400 |
|
Profit Before Tax |
44.500 |
98.700 |
69.800 |
|
Tax |
12.000 |
64.200 |
30.000 |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
32.500 |
34.500 |
39.800 |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
|
Net Profit |
32.500 |
34.500 |
39.800 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
0.27
|
0.48
|
0.38 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
0.40
|
0.79
|
0.73 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
1.13
|
2.11
|
1.71 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.12
|
0.27
|
0.25 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
9.48
|
11.71
|
13.94 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.43
|
1.59
|
1.51 |
LOCAL AGENCY FURTHER INFORMATION
OPERATIONS AND
BUSINESS PERFORMANCE
The Corporation achieved
a turnover of the order of Rs.200000.000 millions during 2010-11 with a trading
profit of Rs.1780.000 millions. The achievement is all the more significant as
the same has been achieved despite a number of factors beyond the control of
the Corporation adversely hampering trade.
The Profit Before
Tax (PBT) during the year amounted to Rs.800.000 millions.
RECOGNITIONS
EARNED/AWARDS WON
During the year,
the Corporation earned a number of recognitions and awards. These included:
- 14th
rank in terms of net sales among 206 PSUs as per Public Enterprises Survey:
2009-10 brought out by the Department of Public Enterprises.
- 22nd
rank in terms of net sales among Top 500 Companies by The Financial Express
(Feb.'2010).
- 25th
rank in terms of net sales among Top 1000 Companies by Business Standard
(Feb.'2010).
- Won 1st prize
under the category of agencies supplying gold to exporters against
replenishment during 2009-10 from the Gems and Jewellery Export Promotion
Council in October 2010.
- Won award for Gentle
Giant Miniratna - I (Largest Non- Manufacturing Company) at the Third DSIJ PSU
Awards 2011 ceremony held at
- Won Greentech HR
Excellence Award 2010 from Greentech Foundation,
- Won
PERFORMANCE OF
SUBSIDIARY COMPANY
STCL Limited
(Formerly Spices Trading Corporation Limited)
STCL, the wholly
owned subsidiary of STC, based at
In view of lack of
funds or banking limits, its activities during 2010-11 remained confined mainly
to issuing NOC in respect of onion exports and undertaking cardamom auctions.
Annual Accounts of
STCL for 2010-11 are yet to be finalised.
As per the
accounts for 2009-10, STCL has a negative net worth of Rs.13420.000 millions,
due to provisions made towards recoveries outstanding from its business
associates in merchanting trade transactions undertaken during 2007- 08 and
earlier.
MANAGEMENT DISCUSSION AND ANALYSIS REPORT
WORLD ECONOMIC OVERVIEW
In the year
2010-11, the global economy continued to expand unevenly, with emerging
economies growing at a faster pace than the advanced economies. World real GDP
growth was a robust 5.1 percent in 2010 as against a negative 0.5 percent in
the previous year.
Growth resumed in
many advanced countries as a result of governments' stimulus spending aimed at
counterbalancing the worst global recession in decades, although their growth
rate still remains below trend. Major advanced economies experienced modest
economic growth of 3 percent in 2010. However, most of these economies remained
burdened by unemployment, weak demand and spiraling debt, and are still
struggling with reforms in the financial and labour markets, among other
challenges. While
EU Zone registered
a growth of 1.8 percent. The recovery in
On the other hand,
the emerging and developing nations remained the engine of growth in the world
economy registering an economic growth of 7.4 percent in 2010. Fuelled by
healthy exports and domestic demand, Asia experienced rapid economic growth of
7.1 percent in 2010 led by
The prospects for
sustained global growth strengthened during this past year as uncertainties
over private domestic demand in advanced economies have reduced. Meanwhile, the
growth was again disrupted by the turmoil in Middle East and North Africa and
the earthquake-related tragedy in
During the year,
world trade grew by 12.4 percent in terms of volume. Commodity prices returned
to high levels owing to stronger than anticipated global demand, especially
from emerging
The rising
commodity prices and disruptions in oil supply could pose new risks to global
economic recovery and world trade. However, the gradual improvement in
financial markets, buoyant activity in many emerging and developing economies
and growing confidence in advanced economies point to good economic prospects
for 2011-12.
OVERVIEW OF INDIAN ECONOMY
The Indian economy
registered a robust growth during 2010-11, with GDP at factor cost touching 8.5
per cent as against 8.0 per cent during 2009-10.
The much improved performance
of the agriculture sector in 2010-11 contributed significantly to the robust
GDP growth. Agriculture and allied activities sector witnessed a growth of 6.6
per cent as compared to a drought induced meager growth of 0.4 per cent in the
previous year. Foodgrain production reached a new record with both Kharif and
Rabi crops turning out to be good.
During 2010-11,
the industrial sector grew in line with the last year at a rate of 8.2 percent
as against 8 percent last year amid fears of a slowdown. Growth in both the
mining and manufacturing sectors was particularly weak with the Index of
Industrial Production falling from 9.9 percent in 2009-10 to 5.8 in 2010-11 for
mining and from 11 percent in 2009-10 to 8.3 percent in 2010-11 for
manufacturing. Manufacturing sector registered lower growth due to a slowdown
in growth of almost all the sectors except consumer goods which recorded a
growth of 7.5 percent as against 6.2 percent in the 2009-10. Capital goods
segment registered negative growth during 2010-11. Performance of the coal
sector was a reason for worry. The growth in services sector also came down
from 10.1 percent in 2009-10 to 9.6 per cent during 2010-11.
According to
UNCTAD,
During the year,
exports grew by 37.5 percent and touched an all time high of US$ 251 billion as
against US$ 179 billion in 2009-10. However, the growth was partly due to a
smaller base resulting from decline in exports experienced during 2009-10. The
CAGR over last three years amounted to 14.7 percent compared to 25.0 percent
during the preceding three years. The better export performance was contributed
by sectors such as engineering products, oil, gems and jewellery, textiles and
pharmaceuticals. Imports also showed a healthy growth of 21.2 percent and
totaled US$ 381 billion. Thus the total trade figure of
The Current
Account Deficit is forecast to remain elevated at around 2.7 per cent of GDP in
2011-12 with a much stronger domestic and import demand. Exports during 2011-12
are forecast to be in the tune of US$ 330 billion while imports are estimated
to be around US$ 484 billion.
The overall
year-on-year WPI inflation stood at 8.98 per cent in March, 2011, which was a
significant decline from the peak of 11.00 per cent recorded in April, 2010.
Total foreign
exchange reserves of
However, a major
concern in the domestic economy has been the inflation which stood at 9.4
percent. During the year, food inflation was high for cereals, sugar, pulses,
vegetables, fruits, milk, eggs, meat and fish etc. Even in the non-food
articles group, strong inflationary pressures were felt from fibres such as
cotton, jute and silk. Mineral prices also went up due to higher global costs
of copper and other base metals. Hardening of the international crude oil
prices and petrol price decontrol introduced by the government led to a steep
increase in petrol prices. Coal prices are also increasing fast and adding to
overall inflationary pressures.
A host of other
factors like high interest rate scenario, high input prices and muted
investment activity along with the heightened uncertainties in the
international economic scenario are likely to limit the GDP growth in the first
half of the coming year. However, with moderating inflation, anticipated
improvement in domestic demand conditions and expected return of normalcy in
the global landscape, domestic economic activity is expected to improve in the
second half of the current year.
STC's PERFORMANCE
The Corporation
achieved a turnover of the order of Rs.200000.000 millions during 2010-11 with
an improved trading profit of Rs.1780.000 millions. The Profit Before Tax (PBT)
during the year amounted to Rs.800.000 millions.
TURNOVER
The Corporation
achieved a turnover of the order of Rs.200000.000 millions during 2010-11 with
a trading profit of Rs.1780.000 millions. The achievement is all the more
significant as the same has been achieved despite a number of factors beyond
the control of the Corporation adversely hampering trade.
During the year,
the Corporation explored a number of new areas of business and effected
increases in business of many existing areas of trade.
SEGMENT-WISE PERFORMANCE
Exports
During the year, the
Corporation laid thrust in developing diverse areas of export such as
iron ore, maize, castor oil, etc. The Corporation successfully expanded
iron ore business and effected shipments worth Rs.1400.000 millions as
against only Rs.460.000 millions in the previous year. The Corporation
also undertook Rs.690.000 millions worth of maize exports and Rs.920.000
millions worth of castor oil exports. Iron and steel items also
contributed an export turnover of Rs.1480.000 millions.
During the year,
the Corporation initiated exports of a number of new items like molasses
(Rs.310.000 millions) to
The overall
exports during the year under amounted to Rs.4920.000 millions.
Imports
The Corporation's
Import turnover at Rs.189380.000 millions was almost at the same level as in
the previous year. Major items of imports are as under:
Bullion
Over the years,
STC has emerged as one of the major importers of bullion in the country. Import
sales of bullion reached an all time high of Rs.149640.000 millions. During the
year, the Corporation not only enlisted many fresh buyers but also expanded the
supply base by finalizing arrangements with new foreign suppliers. The Corporation
provided efficient services to its associates by way of deliveries,
remittances, settlement of dues and maintained close coordination with Indian
Buyers, Foreign Suppliers and Banks.
The Corporation
proposes to further increase this business in the coming year. Steps have
already been initiated for setting up a bullion dealing room at STC Corporate
Office for meeting the requirement of overseas suppliers and for providing
prompt service to customers.
Hydro-carbons
The Corporation
was successful in securing order for supply of 12 million MT of imported steam
coal valued at over Rs.80000.000 millions to NTPC for its various power plants
spread across the country. The order will be fully implemented during 2011-12.
Shipments have
already commenced and, during the year, supplies of imported coal amounting to
over Rs.6700.000 millions were made to various power stations of NTPC. Efforts
are also being made to import coal to meet the requirements of various State
Electricity Boards and other power generation companies.
Non-Ferrous
Minerals
During the year,
the Corporation, for the first time, undertook imports of manganese ore
amounting to Rs.510.000 millions.
It shall be the
endeavor of the Corporation to increase this business in the coming year and to
also include more nonferrous ores to its trading basket.
Fertilizers
During the year,
STC was once again asked by the Government of India to import urea.
Accordingly, STC arranged import sale of approximately 1.5 million MT of urea worth
Rs.22080.000 millions as against imports of only 0.68 million MT amounting to
Rs.8670.000 millions in the previous year.
STC plans to
venture into supply of DAP/MOP/MAP/NPKs and has also got itself registered as
an approved supplier of fertilizers with domestic fertilizer producer/marketing
companies.
Pulses
STC continued to
undertake import of pulses on Government directions for sale in the open market
and also procured pulses on behalf of state governments for distribution under
PDS. A sale turnover of Rs.4080.000 millions was achieved from these
operations. In addition, the Corporation also undertook import of pulses on
commercial account resulting in sales worth Rs.370.000 millions.
Edible Oils
In spite of
extremely volatile market, STC successfully arranged imports of edible oils,
both on its own account as well as for the state governments of Maharashtra,
Domestic sales
During the year,
the Corporation effected total domestic sales worth Rs.5550.000 millions. This
included sale of oils, seeds and extractions amounting to Rs.2680.000 millions
- up from Rs.1650.000 millions in the previous year. The Corporation also
effected sales of hydrocarbons worth Rs.1170.000 millions and that of pulses
amounting to Rs.830.000 millions. Sales of jute goods worth Rs.470.000 millions
were also made.
The Corporation is
also in talks with some state governments for supply of tea under STC's brand.
With a view to expanding tea business, it also proposes to enlist more tea
processing units in future.
Profitability
During the period,
STC earned a trading profit of Rs.1780.000 millions against trading profit of
Rs.1450.000 millions in the previous year. The PBT during the year amounted to
Rs.800.000 millions.
Key initiatives
During the year,
the Corporation took a number of initiatives to increase its business in near
as well as long term. Some of the major initiatives are indicated below:
- Successfully
obtained order for supply of 12 million MT of imported steam coal to NTPC for
its various power plants spread across the country.
- Signed an
agreement with a Government company in
- Joined the
SEA-LAC Consortium 2010-11 for contract farming in
- Diversified into
import of manganese ore and imported over 40,000 MTs during the year.
- Successfully
undertook export of buses, ambulances and construction equipments to countries
like
- Initiated export
of sesame seeds and molasses.
- Re-started
operations from STC's office at
- Initiated sale
of pulses through National Spot Exchange Limited.
THE WAY FORWARD
The Corporation has
drawn up a Business Plan for the next three years taking into consideration its
strengths, past performance and current international and domestic trade
scenario. The Plan aims at achieving significant increases both in the
bottom-line and top-line of the Corporation. The Corporation has identified a
host of countries in the Latin America, Africa and
Strategies
proposed to be pursued by the Corporation include enlargement of supply base
through marketing tieups, leveraging import assistance for generating
additional export opportunities, increased participation in tenders under
Government of India aid/grant programmes, utilization of port based
infrastructure, export of tea under own brand name, undertaking contract
farming abroad, domestic trading on STC's own account in items like soya seeds,
chana, mustard seeds, etc. In addition, the Corporation shall continue to lay
added emphasis on developing business of existing items, such as, bullion,
coal, fertilizers, ferrous and non-ferrous metals, minerals and ores, edible
oils, pulses, etc.
While action for
implementation of some of the plans indicated above has already been initiated,
other plans are also likely to be implemented soon.
Thus, the
Corporation plans to double its turnover from the present level of about
Rs.200000.000 millions to Rs.400000.000 millions by the end of the year 2013-14
with significant improvement in profitability.
CONTINGENT LIABILITIES NOT PROVIDED FOR:
|
Particulars |
31.03.2011 (Rs.
in millions) |
|
i) Claims
against the Company not acknowledged as debt (excluding legal cases where
amounts are unascertainable) |
8111.400 |
|
ii) Guarantees given by Banks on behalf of the Company |
6293.500 |
|
iii) Letter of Credit issued by Bank |
30514.600 |
|
iv) Sales Tax demands in dispute |
7049.300 |
|
v) Bonds given to Customs Authority |
112.000 |
|
vi) Sales Tax liability which may arise on re-assessment or assessment |
21.400 |
|
vii) Estimated Tax incidence on amounts disputed in respect of Income
Tax cases |
200.000 |
|
viii) |
199.500 |
Note:
The above claims/demands
are at various stages of appeal and in the opinion of the company are not
tenable.
Further, in some
of the cases amounts included under contingent liabilities relate to
commodities handled on
Government of
UNAUDITED
FINANCIAL RESULTS FOR THE QUARTER ENDED 30.06.2011
(Rs in Millions)
|
Particulars |
3 months ended
30.06.2011 (Reviewed) |
|
1. a) Net Sales/Income From Operation |
92575.000 |
|
b) Other Trade Income |
1016.400 |
|
Total Income (a)
+ (b) |
93591.400 |
|
2. Expenditure |
|
|
a)(Increase)/Decrease in stock in trade work in progress |
(6206.100) |
|
b) Purchase of traded goods |
98992.600 |
|
c) Staff Cost |
221.700 |
|
d) Depreciation |
7.800 |
|
e) Other Expenditure |
218.600 |
|
Total |
93234.600 |
|
|
|
|
3. Profit for operations before other
Income, Interest and Exceptional items ( 1-2 ) |
356.800 |
|
4. Other Income |
72.400 |
|
5. Profit before Interest and Exceptional
items ( 3+4 ) |
429.200 |
|
6. Interest |
384.700 |
|
7. Profit after Interest but before
Exceptional items ( 5-6 ) |
44.500 |
|
8. Exceptional items |
-- |
|
9. Profit
(+)/Loss(-) from Ordinary Activities before Tax ( 7+8 ) |
44.500 |
|
|
|
|
10. Tax Expenses |
|
|
- Current Tax |
12.000 |
|
- Income tax relating to earlier years |
-- |
|
- Deferred tax |
-- |
|
- Fringe Benefit Tax relating to earlier years. |
-- |
|
11. Net Profit
(+)/Loss(-) from Ordinary Activities after Tax ( 9-10 ) |
32.500 |
|
12. Extraordinary items (net of tax expenses Rs.) |
-- |
|
13. Net Profit
(+)/Loss(-) for the period (11-12) |
32.500 |
|
14. Paid Up-Equity Share Capital (Face Value of Rs.5/- each) |
600.000 |
|
15.Reserve Excluding, Revaluation Reserve as per balance of previous
accounting year |
-- |
|
16. Earnings per shares (EPS) A.) Basic and diluted EPS before Extraordinary items for the period,
for the year to date and for the previous year (not to be annualised) Rs. |
0.54 |
|
B) Basic and diluted EPS after Extraordinary items for the period, for
the year to date and for the previous year (not to be annualised) Rs. |
0.54 |
|
17. Public Shareholdings |
|
|
- No. of Shares |
5386400 |
|
- Percentage of Shareholding |
8.977 |
|
18. Promoter and
Promoter Group Shareholding |
|
|
a) Pledged /
Encumbered |
|
|
- Number of
Shares |
-- |
|
- Percentage of
Shares (as a % of total shareholding of promoter and promoter group) |
-- |
|
- Percentage of
Shares (as a % of total share capital of the Company) |
-- |
|
b)
Non-Encumbered |
|
|
- Number of
Shares |
54613600 |
|
- Percentage of
shares (as a % of total shareholding of promoter and promoter group) |
100 |
|
- Percentage of shares
(as a % of total share capital of the company) |
91.023 |
SEGMENT WISE
REVENUE, RESULTED AND CAPITAL EMPLOYED
(Rs. In Millions)
|
Particulars |
3 months ended
30.06.2011 (Reviewed) |
|
1. Segment revenue (Net Sales from each segment) |
|
|
a) Export |
1822.500 |
|
b) Import |
90438.800 |
|
c) Domestic |
313.700 |
|
Total |
92575.000 |
|
Less: Inter-segment revenues |
-- |
|
Net Sales |
92575.000 |
|
2. Segment results (Profit)/ Loss before tax and interest from each
segment |
|
|
a) Export |
27.200 |
|
b) Import |
136.100 |
|
c) Domestic |
3.100 |
|
Total |
166.400 |
|
Less: i) Interest |
384.700 |
|
ii) Other unallocable expenditure net off unallocable income |
(262.800) |
|
Profit Before Tax |
44.500 |
|
3. Capital Employed (Segment assets – Segment Liabilities) |
|
|
a) Export |
-- |
|
b) Import |
-- |
|
c) Domestic |
-- |
|
d) Unallocable |
-- |
Note:
1. Deferred Tax
provision and segment wise capital employed WHI be considered at the time of
finalization of Annual Accounts.
2. There were nil
unresolved Investor Complaints at the beginning of the Quarter, further during the
quarter ended
30th
June, 2011. The company received 29 complaints and all complaints have been
disposed off during the period.
3. The above
results have been taken on record at the meeting of the Board of Directors held
on11th August, 2011, after review by the Audit Committee of the company.
4. Limited Review
as per clause 41 of the Listing agreement with SEBI has been carried out by the
Statutory Auditors of the Company.
5. Figures of
thepreviousperiodshavebeenregrouped/rearrangetodmakethemcomparablewiththoseof
tile Current periods wherever necessary.
FIXED ASSETS
v
v
v
v
v
Roads, Culverts, Sewerage and Water Supply System
v
Railway Sidings
v
Plant and Machinery
v
Furniture and Fittings
v
Air Conditioner and Office Equipments
v
Vehicles
v
Computer, Data Processor and Communication
Equipment
WEBSITE DETAILS
BUSINESS
DESCRIPTION
Subject is an India-based company. It operates in two segments: exports
and imports. The Company exports a number of items ranging from agricultural
commodities to manufactured products from
The Corporation trades in a wide range of items comprising mainly the
following: exports of agricultural commodities, sugar, alcohol, molasses,
chemicals, drugs, pharmaceuticals, light engineering goods, construction
materials, consumer goods, sports goods, foods, meat and marine products,
spices, textiles and garments, jute foods, leatherware, gems and jewellery.
Import of edible oils, sugar, rubber, wheat, fertilisers, pulses, scientific
instruments, hospital equipment and gold and silver. The domestic trade
includes imported cars, edible oils, rubber, tea, pulses, footwear and
miscellaneous agricultural items.
BOARD OF DIRECTORS
N.K. Mathur
Chairman, Managing
Director and Whole-Time Director
Shri. N. K. Mathur is Chairman of the Board, Chief Executive Officer and
Managing Director of subject He has 30 years of experience. He holds B. Tech.,
Diploma in Business Management.
Proshanto Banerjee
Part Time
Non-Official Director
Shri. Proshanto Banerjee has been appointed as Part Time Non-Official
Director of subject with effect from June 24, 2011. He is a Former CMD, GAIL.
S.S. Roy Burman
Board Member,
Director-Marketing and Whole-Time Director
Shri. S.S. Roy Burman is Director - Marketing and Whole time Director of
subject He holds B.Tech., MBA. He has 28 years of experience.
P. K Chaudhary
Board Member and
Independent Director
Shri. P.K. Chaudhery is Non-Executive Director - Government Nominee of
subject He holds M.Sc. (Hons.) Physics. Shri. Chaudhery, is presently holding
the position of Addl. Secretary, Min. of Commerce and Industries. He has 33
years of experience working at various levels with Government of India. He also
worked in the area of Industrial Development and IT in the State of
Naresh Dayal
Part Time
Non-Official Director
Shri. Naresh Dayal has been appointed as Part Time Non-Official Director
of subject with effect from June 24, 2011. He is a Former Secretary to GOI.
Ravindra
Harshadrai Dholakia
Part Time
Non-Official Director
Prof. Ravindra Harshadrai Dholakia has been appointed as Part Time
Non-Official Director of subject with effect from June 24, 2011. He is a RBI
Chair and Professor, IIM Ahmedabad.
N. K. Nirmal
Board Member and
Finance Director and Whole-Time Director
Shri. N. K. Nirmal is Director - Finance and Whole time Director of
subject He has experience in specific functional areas Shri. Nirmal has
experience of over 29 years of working in Banks and PSUs in various capacities.
Prior to joining Board of STC, Mr. Nirrnal has worked as Chief General Manager
(Finance and Accounts) of MMTC Limited He has experience of working as head of
various departments, Regional Office and a Foreign office of MMTC. He is
graduated in B.Sc., C.A.l.l.B., M.B.A. and he holds directorship with STCL
Limited.
Khaleel Rahim
Board Member,
Marketing Director and Whole-Time Director
Shri. Khaleel Rahim is Director (Marketing) and Whole time Director of
subject He holds BE (Hons.) Mech. Engg. Shri. Rahim has experience of over two
decades in the Indian Oil Sector and has handled key positions in bulk and
retail marketing operations in Hindustan Petroleum Corp. and in ONGC’s
subsidiary MRPL.
M. M Sharma
Board Member and Director-Personnel, Whole Time Director
Shri. M. M. Sharma is Director - Personnel and Whole Time Director
of subject He is graduated in BA.
L.L.B., PG Diploma in Industrial Relations and Personnel Management. He has
experience of over 30 years in managing issues concerning IR, Personnel
Management and Law in Central PSUs. Prior to joining Board of Sit, he served in
MTNL and NTC Limited in various capacities. He has been responsible for overall
smooth conduct of administration and personnel activities, besides being member
of Core Team, instrumental in acquiring telecom business abroad while serving
as GM in MTNL.
PROFILE
Subject is a premier international trading house owned by the Government
of India. Having been set up in 1956, the Corporation has developed vast
expertise in handling bulk international trade. Though dealing largely with the
East European countries during the early years of its formation, today it
trades with almost all the countries of the world.
By virtue of infrastructure and experience possessed by the Corporation,
it plays an important role in arranging import of essential items into
The eventful track record of more than 53 years has helped STC to gear
itself to face the fierce competitive challenges, seize business initiatives
and build on its core competencies.
With a global vision in effective management, result oriented approach,
strong belief in productivity and accountability, STC is future ready to take
advantage of the opportunities in the 21st century and help propel
PRESS RELEASES:
10 August 2011
27 June 2011
NEW DELHI, June 27Asia Pulse - International procurement agency subject
on Friday reported 47.2 per cent decline in its net profit to Rs 564.300
millions (US$12.5 million) for the 2010-11 fiscal year.
During 2009-10, the PSU had registered a net profit of Rs 1069.000
millions, according to a BSE filing.
The company, which sells items in the range of textiles, commodities,
chemicals and drugs, witnessed its domestic sales decline to Rs.5546.900
millions in 2010-11 from Rs.9557.600 millions in the previous fiscal year,
while its exports nosedived from Rs.15037.900 millions in 2009-10 to
Rs.4919.300 millions in the reported period.
Net sales declined by seven per cent to Rs.199840.000 millions in the
period compared to the previous fiscal year.
17 June 2011
NEW DELHI, June 17Asia Pulse - State-owned procurement firm subject has
invited bids for the import of 18,000 tonnes of RBD palmolein to boost domestic
supply of edible oil.
The last date of submission of the bids is June 27 and a decision on
awarding the contract will be taken on the same day.
While 12,000 tonnes of refined, bleached and deodorised palmolein is to
be shipped between June 29-July 14, the remaining 6,000 tonnes of the edible
oil is to be shipped between July 5-July 20, it said.
The country of origin is
MMTC, PEC and STC import edible oils on behalf of the government for
distribution through ration shops.
04 February 2011
It should be noted that the Directorate General of Foreign Trade (DGFT)
had made it mandatory for metals importing companies - MMTC, STC and MSTC -- to
provide a minimum of 15 percent of imported metals to exporters, every six
months.
However, according to Gems and Jewellery Export Promotion Council
(GJEPC) Chairman Rajiv Jain, this latest move by the Indian Government is not
going to have any bearing on the gems and jewellery sector. He said, "The
changes would not have any major impact on the gems and jewellery sector."
Further adding he said that it is easier for a Special Economic Zone
(SEZ) unit to import precious metals directly as it requires less paper work.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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.51.20 |
|
|
1 |
Rs.81.50 |
|
Euro |
1 |
Rs.67.15 |
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 |
7 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
7 |
|
--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 |
|
63 |
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 |
- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.