MIRA INFORM REPORT

Report Date :

20.04.2012

IDENTIFICATION DETAILS

Name :	PUNJAB STATE POWER CORPORATION LIMITED

Registered Office :	PSEB, Head Office, The Mall, Patiala-147001, Punjab

Country :	India

Date of Incorporation :	16.04.2010

Com. Reg. No.:	16-033813

Capital Investment / Paid-up Capital :	Rs. 0.500 Million

CIN No.: [Company Identification No.]	U40109PB2010SGC033813

TAN No.: [Tax Deduction & Collection Account No.]	AMRP12976F AMRP12923B PTLP14332D AMRP12899F JLDP03772G JLDP03596F

PAN No.: [Permanent Account No.]	AAFCP5120Q

Legal Form :	A Closely Held Public Limited Liability Company

Line of Business :	Power generating and distribution organization

No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

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

Maximum Credit Limit :	USD 2000

Status :	Satisfactory

Payment Behaviour :	Usually Correct

Litigation :	Clear

Comments :	Subject is a relatively new and government of Punjab company having satisfactory track. Trade relations are fair. Business is active. Payments are reported to be usually correct and as per commitment. Since government company can be considered good for normal business dealings at usual trade terms and conditions. Balance Sheet, Profit and loss account is not available.

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

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

LOCATIONS

Registered Office :	PSEB, Head Office, The Mall, Patiala-147001, Punjab, India
Tel. No.:	91-175-2301367
Fax No.:	Not Available
E-Mail :	cspunjabpower@yahoo.com
Website :	www.punjabpower.com

DIRECTORS

AS ON 15.10.2011

Name :	Mr. Subash Chand Arora
Designation :	Whole Time Director
Address :	4155, Phase-II, Urban Estate, Patiala-147001, Punjab, India
Date of Birth/Age :	15.08.1957
Date of Appointment :	03.06.2010
DIN No.:	00154601

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	U99999DL2001PLC110319	PANEM COAL MINES LIMITED	Nominee director	25-06-10	04-04-01	Active	NO
2	U40102PB2008SGC032201	GIDDERBAHA POWER LIMITED	Director	14-08-08	14-08-08	Active	NO
3	U40109PB2010SGC033813	PUNJAB STATE POWER CORPORATION LIMITED	Whole-time director	03-06-10	03-06-10	Active	NO

Name :	Mr. Gurbachan Singh Chhabra
Designation :	Whole Time Director
Address :	1, Thermal Power Colony, GHTP, Lehra Mohabbat-151111, Punjab, India
Date of Birth/Age :	29.05.1952
Date of Appointment :	03.06.2010
DIN No.:	01631670

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	U99999DL2001PLC110319	PANEM COAL MINES LIMITED	Nominee director	25-06-10	01-03-07	Active	NO
2	U40109PB2010SGC033813	PUNJAB STATE POWER CORPORATION LIMITED	Whole-time director	03-06-10	03-06-10	Active	NO
3	U40102DL2006GOI152423	ORISSA INTEGRATED POWER LIMITED	Nominee director	14-07-10	14-07-10	Active	NO
4	U40102PB2008SGC032201	GIDDERBAHA POWER LIMITED	Director	12-10-10	12-10-10	Active	NO

Name :	Mr. Anirudh Tewari
Designation :	Nominee Director
Address :	#2-A, Vikas Colony, Outside Sirhndi Gate, Patiala-147001, Punjab, India
Date of Birth/Age :	02.04.1967
Date of Appointment :	26.07.2011
DIN No.:	02682553

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	U45202CH1979SGC003951	PUNJAB TOURISM DEVELOPMENT CORPORATION LIMITED	Nominee director	04-05-09	04-05-09	10-08-10	Active	YES
2	U51219CH1966SGC002630	PUNJAB AGRO INDUSTRIES CORPORATION LIMITED	Director	26-05-09	26-05-09	29-09-10	Active	NO
3	U40102PB2007SGC031039	NABHA POWER LIMITED	Additional director	08-06-09	08-06-09	06-07-09	Active	NO
4	U51219CH1962SGC002427	PUNJAB SMALL INDUSTRIES AND EXPORT CORPORATION LIMITED	Director	07-07-09	07-07-09	-	Active	YES
5	U45201CH1989PLC009202	PUNJAB POLICE HOUSING CORPORATION LIMITED	Director	25-02-10	25-02-10	25-02-11	Active	NO
6	U40109PB2010SGC033814	PUNJAB STATE TRANSMISSION CORPORATION LIMITED	Director	26-07-11	26-07-11	-	Active	NO
7	U40109PB2010SGC033813	PUNJAB STATE POWER CORPORATION LIMITED	Nominee director	26-07-11	26-07-11	-	Active	NO

Name :	Mr. Arun Kumar Verma
Designation :	Whole Time Director
Address :	H. No.2420, Sector 35 C, Chandigarh-160022, Haryana, India
Date of Birth/Age :	10.03.1953
Date of Appointment :	03.06.2010
DIN No.:	03111696

Name :	Mr. Karan Deep Chaudhari
Designation :	Chairman cum Managing Director
Address :	7, Power Colony-1, Model town, Patilala-147001, Punjab, India
Date of Birth/Age :	09.02.1952
Date of Appointment :	03.06.2010
DIN No.:	03114565

Name :	Mr. Karanbir Singh Sidhu
Designation :	Director
Address :	# 60, Sector-19A, Chandigarh-160019, India
Date of Birth/Age :	31.07.1961
Date of Appointment :	08.06.2010
DIN No.:	03128133

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	U90000PB2009NPL032677	PUNJAB MUNICIPAL INFRASTRUCTURE DEVELOPMENT COMPANY	Nominee director	24-07-09	24-07-09	Active	NO
2	U45202CH1979SGC003951	PUNJAB TOURISM DEVELOPMENT CORPORATION LIMITED	Nominee director	07-04-10	07-04-10	Active	YES
3	U52110CH1974SGC003404	PUNJAB STATE CIVIL SUPPLIES CORPORATION LIMITED	Nominee director	08-04-10	08-04-10	Active	NO
4	U40109PB2010SGC033814	PUNJAB STATE TRANSMISSION CORPORATION LIMITED	Nominee director	08-06-10	08-06-10	Active	NO
5	U40109PB2010SGC033813	PUNJAB STATE POWER CORPORATION LIMITED	Nominee director	08-06-10	08-06-10	Active	NO
6	U99999CH2003SGC025837	PUNJAB STATE GRAINS PROCUREMENT CORPORATION LIMITED	Nominee director	30-06-10	30-06-10	Active	YES

Name :	Mr. Gurbachan Singh
Designation :	Whole Time Director
Address :	H. No.14-B, Punjabi Bagh, Patiala-147001, Punjab, India
Date of Birth/Age :	10.04.1956
Date of Appointment :	03.06.2010
DIN No.:	03134256

Name :	Mr. Harish Chandra Seth
Designation :	Whole Time Director
Address :	Flat No.1318, Sector-D, Pocket-1, Vasant Kunj, New Delhi-110070, India
Date of Birth/Age :	16.11.1950
Date of Appointment :	03.07.2010
DIN No.:	03160813

Name :	Mr. Surinder Pall
Designation :	Whole Time Director
Address :	H. No.528, Sector-16D, Chandigarh-160016, Punjab, India
Date of Birth/Age :	05.10.1954
Date of Appointment :	30.08.2010
DIN No.:	03249782

KEY EXECUTIVES

Name :	Mr. Jaspal Singh
Designation :	Secretary
Address :	#MIG-550, Urban Estate, Phase-1, Patiala, Punjab, India
Date of Birth/Age :	01.04.1967
Date of Appointment :	27.04.2010
Pan No.:	AFWPS4196Q

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 15.10.2011

Names of Shareholders	No. of Shares
Subodh Chandra Agarwal	10000
Arun Goel	10000
Anurag Agarwal	10000
Gopal Krishan Singh	5000
Anirudh Tewari	5000
Rakesh Kumar Verma	5000
Vijoy Kumar Singh	5000
Total	50000

AS ON 15.10.2011

Equity Shares Break Up	Percentage
Government [Central and State]	100.000
Total	100.00

BUSINESS DETAILS

Line of Business :

Power generating and distribution organization

GENERAL INFORMATION

No. of Employees :	Not Available

Bankers :	Not Available

Banking Relations :	--

Financial Institution :	Rural Electrification Corporation Limited, Core 4 Scope complex, 7, Lodi Road, New Delhii-110003, India

Auditors :	Not Available

CAPITAL STRUCTURE

AS ON 15.10.2011

Authorised Capital :

No. of Shares	Type	Value	Amount

20000000000	Equity Shares	Rs.10/- each	Rs. 200000.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

50000	Equity Shares	Rs.10/- each	Rs. 0.500 Million

FINANCIAL DATA

[all figures are in Rupees Millions]

Not Available

LOCAL AGENCY FURTHER INFORMATION

Check List by Info Agents	Available in Report (Yes / No)
1. Year of Establishment	Yes
2. Locality of the firm	Yes
3. Constructions of the firm	Yes
4. Premises details	No
5. Type of Business	Yes
6. Line of Business	Yes
7. Promoter’s background	Yes
8. No. of Employees	No
9. Name of person contacted	No
10. Designation of contact person	No
11. Turnover of firm for last three years	No
12. Profitability for last three years	No
13. Reasons for variation <> 20%	------
14. Estimation for coming financial year	No
15. Capital in the business	No
16. Details of sister concerns	No
17. Major suppliers	No
18. Major customers	No
19. Payments terms	No
20. Export / Import details	No
21. Market information	-------
22. Litigations that the firm / promoter involved	------
23. Banking Details	No
24. Banking facility details	No
25. Conduct of the banking account	------
26. Buyer visit details	------
27. Financials, if provided	No
28. Incorporation details, if applicable	No
29. Last accounts filed at ROC	No
30. Major Shareholders, if available	No

FORM 8

Corporate identity number of the company	U40109PB2010SGC033813
Name of the company	PUNJAB STATE POWER CORPORATION LIMITED
Address of the registered office or of the principal place of business in India of the company	PSEB, Head Office, The Mall, Patiala-147001, Punjab, India
This form is for	Creation of charge
Type of charge	Movable property (not being pledge)
Particular of charge holder	Rural Electrification Corporation Limited, Core 4 Scope complex, 7, Lodi Road, New Delhii-110003, India
Nature of instrument creating charge	Rupee Term Loan Agreement Dated 15.12.2011 Hypothecation of 100% Future Assets Dated 15.12.2011 In Respect of Scheme Code No 4847
Date of instrument Creating the charge	15.12.2011
Amount secured by the charge	Rs. 649.377 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest Applicable rate of interest (as per REC guidelines) on the date of disbursement with a reset clause option of 3 years. Terms of repayment The period of moratorium for repayment of principal shall be 2 years from the 15th day of the month of disbursement of first installment of loan but the entire loan shall be repaid by the borrower within the period of 7 years from the date of disbursement of the first installment of loan. The principal installment is payable in equal annual installments on 15th of the month in which the first disbursement was made. Margin As per Term Loan Extent and operation of the charge As per Term Loan
Short particulars of the property charged (Including location of the property)	All the future assets and movables to be created out of project loan sanctioned to the extent of 110% of loan amount sanctioned.

WEBSITE DETAILS

MILESTONE

All the power Stations operated at their best ever plant load factor since their installation.
Net Power generated during 2008-09 is 37222 Million units, which is more than 2006-07 by 2238 Million Units resulting of 6.40% increase in two years.
The 1980 MW (3x660) Talwandi Sabo Power Project awarded to M/s Sterlite Energy Limited. Mumbai on 4.7.08 and PPA signed on 1.9.08.
Power purchase agreement with M/S GVK for installing 2x270 MW thermal power station at Goindwal Sahib signed on 26th May, 2009.The foundation stone has been laid and the company has started the construction.
Second stage of Lehra Mohabbat Thermal Power Station for 2x250 MW has been commissioned. Its Unit-III achieved CoD on 16.10.08 and Unit-IV synchronized on 2.8.08 on coal.
4.76 lakh new connections including 61849 No. tubewell connections were released during 2007-09.
24 Hrs. Urban pattern supply made available to 12428 villages and 6158 Deras/ Dhanies with 5 or more houses.
To help SC AND BPL consumers, free monthly consumption up to 200 units allowed for connected load of 1000 watts w.e.f. 12-10-06 instead of earlier 500 watts.
Strict measures have been taken to reduce power theft. Disciplinary action taken against the erring employees and 5 numbers Anti Power Theft Police Stations have been set up.
New technologies like electronic meters, remote control of transformers, remote meter reading and HVDS system for AP/ Industries introduced.
20.29 lakh meters out of 55.98 lakh General/ Industrial Consumers shifted out of their premises as on 31.3.09 to curb theft of energy.
All these measures have helped in reducing losses by 4% from 23.92% (2006-07) to 19.91% (2008-09) / which resulted in substantial increase in revenue.
During 2007-09, 62 numbers New Grid substations erected and capacity at 132 number Grid substations augmented besides addition of 1070 circuit Kms. Transmission line and 149 MVAR shunt capacitors to State Grid.

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. 51.89
UK Pound	1	Rs. 83.18
Euro	1	Rs. 68.06

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--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	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		45

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.

MIRA INFORM REPORT

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