MIRA INFORM REPORT

Report Date :

14.04.2012

IDENTIFICATION DETAILS

Name :	GUJARAT TEA PROCESSORS AND PACKERS LIMITED
Registered Office :	“Waghbakri House”, Opposite Parimal Garden Ambawadi, Ahmedabad – 380006, Gujarat
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	22.09.1980
Com. Reg. No.:	04-003946
Capital Investment / Paid-up Capital :	Rs.174.281 Millions
CIN No.: [Company Identification No.]	U01132GJ1980PLC003946
TAN No.: [Tax Deduction & Collection Account No.]	AHMG00554B
PAN No.: [Permanent Account No.]	AAACG5594L
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Dealers of Tea Business
No. of Employees :	Not Available

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 6100000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is an established company having fine track. Financial position the company appears to be sound. Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitments. The company can be considered 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 – September 30, 2011

Country Name	Previous Rating (30.06.2011)	Current Rating (30.09.2011)
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 :	“Waghbakri House”, Opposite Parimal Garden Ambawadi, Ahmedabad – 380006, Gujarat, India
Tel. No.:	91-79-26409631/ 26409632 / 26409633 / 26409639
Fax No.:	91-79-26409640 / 26409639
E-Mail :	vijay.shah@wbtea.com feedback@waghbakritea.com corp@wbtea.com
Website :	http://www.waghbakritea.com

DIRECTORS

As on 05.072011

Name :

Mr. Paraskumar Pankajkumar Desai

Designation :

Whole Time Director

Address :

“Parag” Mithakhali Six Road, Ellis Bridge, Ahmedabad – 380006, Gujarat, India

Date of Birth/Age :

09.08.1973

Date of Appointment :

01.01.2007

DIN No.:

00112503

Other Directorship

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U51909GJ1992PTC017128	JAYALAXMI MULTI TRADE PRIVATE LIMITED	Director	20/02/1992	20/02/1992	-	Active	NO
2	U15540GJ1999PLC036065	EVERGREEN BEVERAGES LIMITED	Director	2/6/1999	2/6/1999	-	Amalgamated	NO
3	U01130GJ1999PLC036108	PIOJI TEA LIMITED	Director	10/6/1999	10/6/1999	6/4/2010	Active	NO
4	U01132GJ1980PLC003946	GUJARAT TEA PROCESSORS AND PACKERS LIMITED	Whole-time director	1/1/2012	1/1/2007	-	Active	NO

Name :

Mr. Parag Raseshkumar Desai

Designation :

Whole Time Director

Date of Appointment :

01.10.1996

DIN No.:

00095112

Other Directorship

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U51909GJ1992PTC017129	KRISHNALAXMI MULTI TRADE PRIVATE LIMITED	Director	20/02/1992	20/02/1992	-	Active	NO
2	U01132GJ1980PLC003946	GUJARAT TEA PROCESSORS AND PACKERS LIMITED	Whole-time director	1/7/2009	1/10/1996	-	Active	NO
3	U15540GJ1999PLC036065	EVERGREEN BEVERAGES LIMITED	Director	2/6/1999	2/6/1999	-	Amalgamated	NO
4	U01130GJ1999PLC036108	PIOJI TEA LIMITED	Director	10/6/1999	10/6/1999	6/4/2010	Active	NO

Name :

Mr. Piyushkumar Ochhavlal Desai

Designation :

Chairman and Managing Director

Address :

“Punit” Mithakhali Six Road, Ellis Bridge, Ahmedabad – 380006, Gujarat, India

Date of Birth/Age :

05.12.1939

Date of Appointment :

01.04.1995

DIN No.:

00095244

Other Directorship

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U51909GJ1992PTC017128	JAYALAXMI MULTI TRADE PRIVATE LIMITED	Director	20/02/1992	20/02/1992	-	Active	NO
2	U51909GJ1992PTC017129	KRISHNALAXMI MULTI TRADE PRIVATE LIMITED	Managing director	20/02/1992	20/02/1992	-	Active	NO
3	U01132GJ1980PLC003946	GUJARAT TEA PROCESSORS AND PACKERS LIMITED	Managing director	1/7/2009	1/4/1995	-	Active	NO
4	U51909GJ1992PTC017127	JAGRUTI MULTI TRADEPRIVATE LIMITED	Managing director	1/4/1995	1/4/1995	-	Active	NO
5	U15540GJ1999PLC036065	EVERGREEN BEVERAGES LIMITED	Director	2/6/1999	2/6/1999	-	Amalgamated	NO
6	U01130GJ1999PLC036108	PIOJI TEA LIMITED	Director	10/6/1999	10/6/1999	6/4/2010	Active	NO

Name :

Mr. Pankajkumar R. Desai

Designation :

Managing Director

Address :

“Parag” Mithakhali Six Road, Ellis Bridge, Ahmedabad – 380006, Gujarat, India

Date of Birth/Age :

02.06.1942

Date of Appointment :

01.07.2009

Name :

Mr. Raseshkumar R. Desai

Designation :

Managing Director

Address :

“Parag” Mithakhali Six Road, Ellis Bridge, Ahmedabad – 380006, Gujarat, India

Date of Birth/Age :

05.05.1947

Date of Appointment :

01.07.2009

Name :

Mr. Paragkumar R. Desai

Designation :

Whole Time Director

Address :

“Parag” Mithakhali Six Road, Ellis Bridge, Ahmedabad – 380006, Gujarat, India

Date of Birth/Age :

08.02.1973

Date of Appointment :

01.07.2009

Name :

Mrs. Pratimaben P. Desai

Designation :

Director

Address :

“Parag” Mithakhali Six Road, Ellis Bridge, Ahmedabad – 380006, Gujarat, India

Date of Birth/Age :

28.07.1941

Date of Appointment :

09.10.1998

Name :

Mr. Krishnaben R. Desai

Designation :

Director Director

Address :

“Parag” Mithakhali Six Road, Ellis Bridge, Ahmedabad – 380006, Gujarat, India

Date of Birth/Age :

08.05.1950

Date of Appointment :

09.10.1998

Name :

Mrs. Maitriben D. Zaveri

Designation :

Director

Address :

Fagun, Near BCS Society, Near Kashiram Hall, Ahmedabad – 380006, Gujarat, India

Date of Birth/Age :

25.08.1968

Date of Appointment :

09.10.1998

Name :

Mr. Mayankbhai P. Shah

Designation :

Director

Address :

Shantiniketan, 5^th Floor, Prabhat Colony, Santacruz (East), Mumbai – 400055, Maharashtra, India

Date of Birth/Age :

27.02.1953

Date of Appointment :

16.12.1994

Name :

Mr. Harishbhai M. Parekh

Designation :

Director

Address :

Flat No.3-A, Navin Apartment, Bali Gunj, Kolkata – 700079, West Bengal, India

Date of Birth/Age :

23.02.1937

Date of Appointment :

13.07.1995

Name :

Mr. Rajeshbhai C. Shah

Designation :

Director

Address :

“Shakar” Opposite U S Pizza Near St. Xavier Sladies Hostel, University Road, Navrangpura, Ahmedabad – 380015, Gujarat, India

Date of Birth/Age :

20.07.1953

Date of Appointment :

25.12.2003

Name :

Mr. Bhushan B. Punani

Designation :

Director

Address :

34, Spring Field, Vastrapur, Ahmedabad – 380015, Gujarat, India

Date of Birth/Age :

03.01.1954

Date of Appointment :

22.03.2001

Name :

Mrs. Pannaben P. Desai

Designation :

Director

Address :

“Punit” Mithakhali Six Road, Ellis Bridge, Ahmedabad – 380006, Gujarat, India

Date of Birth/Age :

22.07.1939

Date of Appointment :

28.05.2007

DIN No.:

00112563

Other Directorship

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U51909GJ1992PTC017127	JAGRUTI MULTI TRADEPRIVATE LIMITED	Director	20/02/1992	20/02/1992	-	Active	NO
2	U01132GJ1980PLC003946	GUJARAT TEA PROCESSORS AND PACKERS LIMITED	Director	18/09/2007	18/09/2007	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Vijay Arvindbhai Shah
Designation :	Company Secretary
Address :	64, Surchi Apartment, B/H Doctor House, Ellis Bridge, Ahmedabad – 380006, Gujarat, India
Date of Birth/Age :	12.01.1957
Date of Appointment :	10.02.2006
PAN No.:	ADRPS2350R

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 05.07.2011

Names of Shareholders	No. of Shares
Piyushkumar Ochhavlal Desai Pannaben P. Desai	620820
Piyushkumar Ochhavlal Desai (HUF) Pannaben P. Desai	63000
Pannaben P. Desai Piyushkumar Ochhavlal Desai	888222
Jagrutiben Desai Piyushkumar Ochhavlal Desai	433125
Maitriben Zaveri Pannaben P. Desai	299250
Namrataben Mehta Pannaben P. Desai	299250
Kshamaben Merchant Pannaben P. Desai	283500
Shradhhaben Shah Pannaben P. Desai	409500
PankajKumar Desai Pratimaben Desai	676125
Pratimaben Desai PankajKumar Desai	542250
Paraskumar Desai Pratimaben Desai	1134000
Sapnaben Modi Pratimaben Desai	283500
Pankajkumar Desai (HUF) Pratimaben Desai	546278
Raseshkumar Desai Krishnaben Desai	707625
Raseshkumar Desai (HUF) Krishnaben Desai	613777
Krishnaben Desai Raseshkumar Desai	411750
Paragkumar Desai Krishnaben Desai	1102500

AS ON 12.03.2011

Names of Allottee	No. of Allotted
Piyushkumar O. Desai Pannaben P. Desai	3000
Pankajkumar R. Desai Pratimaben P. Desai	6000
Raseshkumar R. Desai Krishnaben R. Desai	6000
Paragkumar R. Desai Raseshkumar R. Desai	6000
Paraskumar P. Desai Pankajkumar R. Desai	6000
Jayalaxmi Multi Trade Private Limited, India	102000
Pratimaben P. Desai Pankajkumar R. Desai	6000
Krishnalaxmi Multi Trade Private Limited, India	102000
Krishnaben R. Desai Raseshkumar R. Desai	6000
Jagruti Multi Trade Private Limited, India	54000
Pannaben P. Desai Piyushkumar O. Desai	3000
Total	300000

AS ON 05.07.2011

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Bodies corporate	34.00
Directors or relatives of Directors	66.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Not Available

Products :

Products Descriptions	Item Code No.
Tea	09

PRODUCTION STATUS (AS ON 31.03.2011)

Particulars	Unit	Actual Production
Packed Tea	Kg	25,169,252
Blended Tea	Kg	747,603

GENERAL INFORMATION

No. of Employees :

The information Decline by Management

Bankers :

State Bank of India, Specialised commercial Branch, Gandhigram 1^st Floor, Nepture Tower Annexe, Ahmedabad-380009, Gujarat, India

Facilities :

Rs. In Millions

Secured Loan	As on 31.03.2011	As on 31.03.2010
Rupee term loans banks secured	(A)27.518	(B)9.342
Working capital loans secured	(E)172.660	(F)0.000
Other debt secured	(G)4.795	(H)2.656
Interest accrued due other debt secured	(I)0.217	(J)0.006
Total	205.190	12.004
Footnotes (A) Term Loan [Amount Due within one year Rs. 27,517,724 ] (B) Term Loan [Amount Due within one year Rs. 467,087] (C) Term Loan from a bank is secured by a charge by way of hypothecation of machinery purchased / to be purchased out of the bank finance and equitable mortgage of specific immovable properties of the Company and also by hypothecation of present and future current assets of the Company as collateral security (D) Term Loan from a bank is secured by a charge by way of hypothecation of machinery purchased / to be purchased out of the bank finance and equitable mortgage of specific immovable properties of the Company and also by hypothecation of present and future current assets of the Company as collateral security (E) Cash Credit and Packing Credit is secured by hypothecation of entire present and future current assets of the Company and charge over entire fixed assets of the Company as collateral security. (F) Cash Credit and Packing Credit is secured by hypothecation of entire present and future current assets of the Company and charge over entire fixed assets of the Company as collateral security. G) Overdraft against Fixed Deposits [Overdraft against Fixed Deposits are secured by pledge of Fixed Deposit Receipts of respective banks. (H) Overdraft against Fixed Deposits [Overdraft against Fixed Deposits are secured by pledge of Fixed Deposit Receipts of respective banks. (I) Interest accrued and due on Term Loan (J) Interest accrued and due on Term Loan
Unsecured Loan	As on 31.03.2011	As on 31.03.2010
Rupee term loan from Unsecured	0.000	200.000
Total	0.000	200.000

Banking Relations :	--
Auditors :
Name :	C.C. Chokshi and Company Chartered Accountant
Address :	“Heritage” 3^rd Floor, Near Gujarat Vidhyapith, Off Ashram Road, Ahmedabad – 380014, Gujarat, India
Tel. No.:	91-79-27582542/ 27582543/ 66073100
Fax No.:	91-79-27582551
PAN.:	AACFC2938D

CAPITAL STRUCTURE

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
20150000	Equity Shares	Rs.10/- each	Rs.201.500 Millions
10000	Preference Shares	Rs.100/- each	Rs.1.000 Millions
	Total		Rs.202.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
17428125	Equity Shares	Rs.10/- each	Rs.174.281 Millions

NOTE:

FOOTNOTES

1. 15009375 Equity Shares were allotted as fully paid up Bonus Shares by way of capitalisation of amounts from the balances of General Reserve and Profit and Loss Account. 2. 1968750 Equity Shares of Rs.10 each were allotted as fully paid-up to the shareholders of erstwhile Standard Tea Processing Company Limited during the year 2006-2007 pursuant to the scheme of amalgamation, for consideration other than cash. 3. 300000 Equity Shares of Rs.10 each have been allotted as fully paid-up to the shareholders of erstwhile Evergreen Beverages Limited during the year pursuant to the scheme of amalgamation, for consideration other than cash.

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		174.281	171.281	171.281
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		1363.097	1157.007	943.908
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		1537.378	1328.288	1115.189
LOAN FUNDS
1] Secured Loans		205.190	12.004	0.000
2] Unsecured Loans		0.000	200.000	0.000
TOTAL BORROWING		205.190	212.004	0.000
DEFERRED TAX LIABILITIES		3.000	4.077	4.287
TOTAL		1745.568	1544.369	1119.476
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		243.902	252.486	267.675
Capital work-in-progress		108.656	28.902	0.000
INVESTMENT		0.193	0.193	2.724
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	956.895	886.506	751.243
	Sundry Debtors	154.882	132.380	99.900
	Cash & Bank Balances	638.921	554.832	224.282
	Other Current Assets	12.415	6.930	11.217
	Loans & Advances	20.354	16.126	15.812
Total Current Assets		1783.467	1596.774	1102.454
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	165.911	130.160	104.299
	Other Current Liabilities	193.010	163.494	129.193
	Provisions	31.729	40.332	19.885
Total Current Liabilities		390.650	333.986	253.377
Net Current Assets		1392.817	1262.788	849.077
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		1745.568	1544.369	1119.476

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	5269.333	4514.366	3599.865
		Other Income	NA	42.767	53.072
		TOTAL (A)	NA	4557.133	3652.937
Less	EXPENSES
		Manufacturing Expenses	NA	650.052	608.969
		Raw Material Consumed	NA	3268.919	2555.038
		Increase/(Decrease) in Finished Goods	NA	(28.026)	(11.282)
		Payments for Employees	NA	143.168	114.293
		TOTAL (B)	NA	143.168	114.293
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		NA	523.020	385.919
Less	FINANCIAL EXPENSES (D)		NA	21.473	24.259
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		453.882	501.547	361.660
Less/ Add	DEPRECIATION/ AMORTISATION (F)		32.992	31.363	24.773
	PROFIT BEFORE TAX (E-F) (G)		420.890	470.184	336.887
Less	TAX (I)		139.476	156.955	124.819
	PROFIT AFTER TAX (G-I) (J)		281.414	313.229	212.068
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		637.169	456.070	403.752
	Transferred on Amalgamation of Evergreen Beverages Limited with the company		11.424	0.000	0.000
Less	APPROPRIATIONS
		Transfer to General Reserve	30.000	32.000	22.500
		Interim Dividend	0.000	68.512	68.512
		Tax on Interim Dividend	81.291	11.644	11.644
		Proposed Dividend	17.428	17.128	0.000
		Tax on Proposed Dividend	2.827	2.845	0.000
	BALANCE CARRIED TO THE B/S		798.461	637.170	456.070
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	NA	97.897	67.709
	TOTAL EARNINGS		NA	97.897	67.709
	IMPORTS
		Raw Materials	18.740	15.288	11.579
		Stores & Spares	1.955	0.104	NA
		Packing Materials	1.560	0.824	NA
	TOTAL IMPORTS		22.255	16.216	11.579
	Earnings Per Share (Rs.)		16.15	18.29	12.38

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	NA	6.87	5.81
Net Profit Margin (PBT/Sales)	(%)	7.99	10.41	9.36
Return on Total Assets (PBT/Total Assets}	(%)	20.76	25.42	24.59
Return on Investment (ROI) (PBT/Networth)		0.39	0.35	0.30
Debt Equity Ratio (Total Liability/Networth)		0.39	0.41	0.23
Current Ratio (Current Asset/Current Liability)		4.57	4.78	4.35

LOCAL AGENCY FURTHER INFORMATION

Check list by info Agents	Available in Report (Yes/ No)
Year of Establishment	Yes
Locality of the Firm	Yes
Constitution of the Firm	Yes
Premises details	No
Type of Business	Yes
Line of Business	Yes
Promoter’s Background	Yes
No. of Employees	No
Name of Person Contacted	No
Designation of Contact person	No
Turnover of Firm for last three years	Yes
Profitability for last three years	Yes
Reasons for variation <> 20%	-----
Estimation for coming financial year	No
Capital in the business	Yes
Details of sister concerns	No
Major Suppliers	No
Major Customers	No
Payments Terms	No
Export/ Imports Details (If applicable)	No
Market Information	-----
Litigations that the firm/ Promoters Involved in	-----
Banking details	Yes
Banking Facility Details	Yes
Conduct of the Banking Account	-----
Buyer visit details	-----
Financials, if provided	Yes
Incorporation details is applicable	Yes
Last Accounts filed at ROC	Yes
Major Shareholders, if available	Yes

AMALGAMATION

During the year, Evergreen Beverages Limited ( EBL ) has been amalgamated with There Company as per the scheme of amalgamation duly approved by the High Court of Gujarat in the month of February, 2011 and accordingly the accounts of EBL have been merged with the Company effective from 1st April, 2010, being the Appointed Date of amalgamation. There Company has also allotted 300000 Equity Shares of Rs.10/- each to the shareholders of EBL as per the scheme of amalgamation on 12th March, 2011.

TEA SCENARIO

So far as production of Indian tea is concerned, the weather at producing states has remained quite favourable for the months of April and May, 2011 as a result the production is well maintained and statistics show that till March, 2011 production at North East India is up by 5 million kgs., while South India is down by 5 million kgs. as compared to last year. Good information is that till date, there is no problem of insects as last year much crop was badly damaged by Helopeltis insects.

At present, the prices quoted by producers are approximately 10% higher than last year’s corresponding period and if this continues, they have to take price rise once again in coming month.

So far as export of Indian Tea is concerned, there has been less inquiry from overseas buyers in the months of April and May, 2011 as they find rates quoted by Indian tea producers much higher compared to other countries. Due to less export inquiry, tea prices of South Indian teas have gone down compared to last year.

If they look at other major tea producing countries, tea production during January to April, 2011 at Kenya is lower by 30 million kgs. as compared to the same period of last year. However, this deficiency in production has not reflected in price of Kenyan teas as they have not received good inquiries from Gulf countries due to some political disturbances and secondly, the ongoing big strike at Libya is also the main reason. So far as production of tea at Sri Lanka is concerned, it is up by 5 million kgs

Furthermore, due to lack of export inquiry for orthodox teas, prices of Indian orthodox teas are down compared to last year.

Packet Tea :They have maintained approximate 8% growth rate, last year 2009-10 sales in volume was 23.900 Millions kgs., while this year 2010-11, it is 25.900 Millions kgs. I am happy to mention that there Company has surpassed milestone of Rs.5000.000 Millions annual sales turnover as this year 2010-11 sales in value has touched Rs.5270.000 Millions. During 2010-11, they have faced severe competition in other states of Rajasthan and Madhya Pradesh, as a result outside Gujarat state, there growth rate is less if compared with Gujarat.

REVIEW OF OPERATIONS

The year was quite significant for development, expansion and venturing in to new categories and they have made leading strides on the path to growth. There Company has expanded judiciously in to the markets of Maharashtra, Delhi and NCR resulting in deeper penetration and reach. They have developed good distribution network. Recently, they have also launched there tea products in Chhattisgarh thereby taking there count to 7 States now in domestic market. The Hyderabad market has been further explored with satisfying results.

They have introduced new products like Wagh Bakri Masala Tea, Wagh Bakri Ginger and Elaichi tea bags, new range of tea bags –Green Tea and English Break fast under “Good Morning” brand has catapulted the image of the company to new heights. They have taken ambitious online initiative - www.buytea.com, which has crossed new barriers during the year with a significant increase in the online sales through sustained digital marketing.

They, the Directors mention that the net profit after tax during the year was reduced by around 10% from Rs.313229 Millions to Rs.281.414 Millions specifically due to increase in raw material and packing material cost as well as increase in advertisement & sales promotion expenses.

FINANCE

The Net worth of the Company as at 31st of March 2011 stands at Rs.1537.400 Millions and the book value of equity share of the company works out to be Rs. 88.21 per share of Rs. 10/- each.

ICRA has re-affirmed the LAA (pronounced as L double A) rating for the fund-based bank facilities of The company. The outlook on the rating is “stable”. The re-affirmation of rating reflects the sustained leadership position of there company in the packet tea segment in Gujarat and also the company’s improving geographical diversification with increasing volumes from new markets.

Inventories were maintained at optimum level by effective monitoring by proper use of bank borrowing during the year . The overall liquidity position of the company was comfortable throughout year

During the year, there Company has borrowed at a competitive interest rates benchmarking with Commercial Paper rate and Base Rate of Company’s bankers (i.e. State Bank of India).

There company has also taken available Packing Credit facility (Both pre & post shipment) from the company’s bankers at very attractive rate. There company has maintained interest outgo on working capital at minimal level with very effective cash-flow management.

EXPANSION PLANS

The Directors state that construction work for setting up of Tea Blending factory and storage facilities at Dholka location is in progress and is likely to complete by October, 2011. “Semi Automated Storage and Retrieval System [SAS/RS]” purchased from Godrej Efacec Automation and Robotics Limited will be installed at the new Dholka factory which will enhance overall effectiveness in storage and handling of materials within the factory premises.

The Directors have pleasure to report that Tea Testing laboratory has already established and started operations during the year at Khokhra location in Ahmedabad with latest equipments and machineries to strengthen and streamline its Tea testing with finest quality standards and best parameters.

EXPORTS

During the year, they have initiated several steps to strengthen its international operations. The Directors are pleased to inform that The Company’s Exports turnover during the year has increased by 46.06% to Rs.142.989 Millions from Rs.97.897 Millions during the previous year. During the year, they have exported there various tea products to USA, UK, Australia, UAE, New Zealand, Singapore, Canada and Greece.

During the year, there Company participated in GULFOOD exhibition held in DUBAI during February/ March, 2011, which is a premium Trade Event in the Middle East region. During the exhibition, there company has received numerous potential business inquiries pertaining to distributorship, bulk tea, private labeling etc. from various FMCG distributors and Retail Chains from all across the Middle East region. Visitors were highly impressed with there packaging of new range of flavour and premium teas.

Recently, they have appointed new distributor in New Zealand and initial response from the market is encouraging. The distributor is putting best efforts for deep penetration of Wagh Bakri tea products into New Zealand market. In UK, there products in special international packs are now available at all leading grocery stores in London and nearby cities. They have also received good response for Wagh Bakri Pot Tea from Canada and this product is registered in Wal-Mart, Loblaw and other leading supermarkets in Canada.

NOTE:

The Registered Office of the Company has been shifted from Vipul Estate, Near Pragati HG School, Khokhra Mehabebad, Ahmedabad – 380008, Gujarat, India, to the present address w.e.f 16.06.2006

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U01132GJ1980PLC003946
Name of the company	GUJARAT TEA PROCESSORS AND PACKERS LIMITED
Address of the registered office or of the principal place of business in India of the company	“Waghbakri House”, Opposite Parimal Garden Ambawadi, Ahmedabad – 380006, Gujarat, India Vijay.shah@wbtea.com
This form is for	Modification of Charge
Charge identification (ID) number of the charge to be modified	90096388
Type of charge	Immovable Property
Particular of charge holder	State Bank of India, Overseas Branch, Amrit Jayanthi Bhavan P.O., Ahmedabad-380014, Gujarat, India Mclau.zoahm@sbi.co.in
Nature of instrument creating charge	Memorandum of deposit of Title Deeds by way of Equitable mortgage dated 20^th August ’09 for securing cash credit limit (Hypothecation of stocks) of Rs.230.000 Millions and term loan of Rs.200.000 Millions
Date of instrument Creating the charge	20.08.2009
Amount secured by the charge	Rs.430.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest For C.C Facilities of Rs. 230.000 Millions @ SBAR (State Bank Advance Rate) For Term loan facilities of Rs. 200.000 Millions = @ SBAR (State Bank Advance Rate) Terms of Repayment 1. 12 Months for working capital limit of Rs.230.000 Millions subject to renewal of credit limit 2. The term loan of Rs.200.000 Millions is to be repaid within a period of 68 months by 20 quarterly installments of Rs.10.000 Millions each commencing form 01.04.2010 Margin Raw Materials : Ndigenous – 25% Finished Goods : 30% Export Packing Credit : 10% Term Loan = 29.789% Extent and Operation of the charge The charge on immovable property a) Situated at S. No. 1779/P adm. 17300 sq. mtrs and S. No. 1781 adm. 12647 sq. mtrs. of Mouje Dholka is extended and b) Fresh charge created on land bearing S. No. 1777 adm. 14063 sq. mtrs. And S No. 1778/ P adm. 11685 sq.mtrs. of Mouje Dholka and land bearing consolidated S. No. 179 part adm. 12595 sq.mtrs. of Mouje Tunldel, Taluka Nadiad, District Kheda to secure both CC Limit (Hypothecation of stocks) of Rs.230.000 Millions and Term Loan of Rs.200.000 Millions aggregating to total facilities of Rs.430.000 Millions
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Immovable property being land, bearing survey no. 1779/ Part and 1781 of Moje Dholkal, Taluka Dholka (Charge is Extended) Immovable property being land, bearing survey No. 1777 and 1778/ Part of Moje Dholka Taluka Dholka (Fresh Charge is created) Immovable property, being land, bearing consolidated survey no. 179 of village tundel, taluka nadiad (Fresh Charge is created)
Date of instrument modifying the charge	30.06.2009
Particulars of the present modification	The charge on immovable property Situated at S. No. 1779/P adm. 17300 sq. mtrs and S. No. 1781 adm. 12647 sq. mtrs. of Mouje Dholka is extended and Fresh charge created on land bearing S. No. 1777 adm. 14063 sq. mtrs. And S No. 1778/ P adm. 11685 sq. mtrs. of Mouje Dholka and land bearing consolidated S. No. 179 part adm. 12595 sq. mtrs. of Mouje Tunldel, Taluka Nadiad, District Kheda to secure both CC Limit (Hypothecation of stocks) of Rs.230.000 Millions and Term Loan of Rs. 200.000 Millions aggregating to total facilities of Rs.430.000 Millions

FIXED ASSETS:

§ Land

§ Building

§ Improvements to leasehold property

§ Plant and Machinery

§ Furniture and Fixture

§ Computers

§ Office Equipment

§ Vehicles

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.51.42
UK Pound	1	Rs.81.93
Euro	1	Rs.67.67

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	8
PAID-UP CAPITAL	1~10	7
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	7
--PROFITABILIRY	1~10	7
--LIQUIDITY	1~10	7
--LEVERAGE	1~10	7
--RESERVES	1~10	8
--CREDIT LINES	1~10	6
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--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	-

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.