MIRA INFORM REPORT

Report Date :

20.02.2012

IDENTIFICATION DETAILS

Name :	APT PACKAGING LIMITED (w.e.f. 29.07.2008)
Formerly Known As :	ANIL CHEMICALS AND INDUSTRIES LIMITED ANIL CHEMICALS PRIVATE LIMITED
Registered Office :	Gat No.72, Pharola Village, Post Beedkin, Aurangabad – 431005, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	24.06.1980
Com. Reg. No.:	11-022746
Capital Investment / Paid-up Capital :	Rs.58.040 Millions
CIN No.: [Company Identification No.]	L24100MH1980PLC022746
Legal Form :	Public Limited Liability Company. The company’s shares are listed on the Stock Exchanges. [The company is listed, but it is suspended due to procedural reasons.]
Line of Business :	Manufacturer and Exporter of Co-extruded Seamless Plastic Tubes.
No. of Employees :	300 [Approximately]

RATING & COMMENTS

MIRA’s Rating :

B (28)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 190000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track. There appears some accumulated losses recorded by the company. However, trade relations are reported as fair. Business is active. Payments are reported to be slow. The company can be considered for business dealings with some caution.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

INFORMATION PARTED BY

Name :	Mr. Deepak
Designation :	Finance Executive
Contact No.:	91-9960100442
Date :	16.02.2012

LOCATIONS

Registered Office/ Factory 1 :	Gat No.72, Pharola Village, Post Beedkin, Aurangabad – 431005, Maharashtra, India
Tel. No.:	91-2431-251413/ 4/ 662000
Fax No.:	91-2431-251691/ 662030
E-Mail :	aniltubes@sancharnet.in marketing@aptpackaging.in deepakkhandelwal@aptpackaging.in
Website :	http://www.aptpackaging.in
Corporate Office :	J-18 MIDC, Chikalthana, Aurangabad – 431210 Maharashtra, India
Tel. No.:	91 240 2485895
Fax No.:	91 240 2485027.
E-Mail :	info@aptpackaging.in
Factory 2 :	Khasra No. 529, 5^th KM Stone, Akabarpur Urd, Laksar-Hardwar Road, Laksar, District Hardwar, Uttarkhand, India
Sales and Marketing Office:	Maurya Estate, 4^th Floor, Room No.418, Opposite Infinity Mall, New Link Road, Andheri (West), Mumbai – 400056, Maharashtra, India
Tel. No.:	91 22 66713960/61
Fax No.:	91 22 66719362
E-Mail :	marketing@aptpackaging.in
Overseas Office:	Universal Toiletories Corporation Limited Unit 14, 59A, Palmerston Road, Wealdstone, Harrow, Middlesex, HA37 RR, UK
Tel. No.:	+ 44-208-4274271
Fax No.:	+ 44-208-4274270
Email:	marketing@aptpackaging.in

DIRECTORS

As on 30.09.2011

Name :	Mr. Arvind Krishnagopal Machhar
Designation :	Chairman cum Managing Director
Address :	Plot 41, Sindhi Jalna Road, Aurangabad-431003, Maharashtra, India
Date of Birth/Age :	21.04.1951
Date of Appointment :	10.07.1980
DIN No.:	00251843

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	L24100MH1980PLC022746	APT PACKAGING LIMITED	Managing director	10-07-80	10-07-80	-	Active	NO
2	U70100MH1996PTC098272	UTSAV PROPERTIES PRIVATE LIMITED	Director	19-03-96	19-03-96	-	Active	NO
3	U65921MP1995PLC009209	RACE COURSE CAPITAL MARKETS LIMITED	Director	05-05-07	05-05-07	-	Active	NO
4	U45202MH2008PLC185168	MACHHAR INDUSTRIES LIMITED	Director	08-11-11	29-07-08	-	Active	NO
5	U18109MH2010PTC201339	APT GARMENTS PRIVATE LIMITED	Director	26-03-10	26-03-10	09-03-11	Active	NO
6	U29290MH1985PLC033956	NAVNEET MACHINE MANUFACTURING COMPANY LIMITED	Director	01-09-10	01-09-10	-	Active	NO

Name :	Mr. Sandeep Bhagwatiprasad Machhar
Designation :	Director
Address :	Plot 41, Sindhi Jalna Road, Aurangabad-431003, Maharashtra, India
Date of Birth/Age :	02.01.1964
Date of Appointment :	14.07.1994
DIN No.:	00251892

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	U29290MH1985PLC033956	NAVNEET MACHINE MANUFACTURING COMPANY LIMITED	Director	17-05-85	17-05-85	-	Active	NO
2	L24100MH1980PLC022746	APT PACKAGING LIMITED	Director	01-04-09	14-07-94	-	Active	NO
3	U70100MH1996PTC098272	UTSAV PROPERTIES PRIVATE LIMITED	Director	19-03-96	19-03-96	-	Active	NO
4	U28900MH1997PTC107487	UTSAV REALITIES PRIVATE LIMITED	Director	16-09-00	16-09-00	25-02-11	Active	NO
5	U51311RJ1949PLC000767	RAILA INDUSTRIAL CORPORATION LIMITED	Additional director	27-06-07	27-06-07	-	Active	NO
6	U45202MH2008PLC185168	MACHHAR INDUSTRIES LIMITED	Whole-time director	01-04-09	29-07-08	-	Active	NO
7	U65921MP1995PLC009209	RACE COURSE CAPITAL MARKETS LIMITED	Director	30-03-09	30-03-09	-	Active	NO

Name :	Mr. Ravi Krishnagopal Machhar
Designation :	Director
Address :	Plot 41, Sindhi Jalna Road, Aurangabad-431003, Maharashtra, India
Date of Birth/Age :	26.02.1952
Date of Appointment :	31.07.2008
DIN No.:	00145000

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	U92100MH1979PTC021225	SHRI SAHAYOG EXHIBITORS PRIVATE LIMITED	Director	15-03-84	15-03-84	Active	NO
2	L29220MH1989PLC052305	AKAR TOOLS LIMITED	Director	10-11-94	10-11-94	Active	NO
3	U67120MH1995PTC088459	MACHHAR HOLDINGS PRIVATE LIMITED	Director	17-05-95	17-05-95	Active	NO
4	U51900MH1995PTC091139	AJINKYA EXPORTS AND CAPITAL SERVICES PRIVATE LIMITED	Director	28-07-95	28-07-95	Active	NO
5	U51900MH1995PTC091136	LIBERAL EXPORTS AND CAPITAL SERVICES PRIVATE LIMITED	Director	28-07-95	28-07-95	Active	NO
6	U70100MH1996PTC098272	UTSAV PROPERTIES PRIVATE LIMITED	Director	19-03-96	19-03-96	Active	NO
7	U67120MH1995PTC088460	LIABLE SECURITIES AND REAL ESTATE PRIVATE LIMITED	Director	03-12-02	03-12-02	Active	NO
8	U24203MH2006PTC159899	ULTRA BEAUTY CARE PRIVATE LIMITED	Director	10-05-07	10-05-07	Active	NO
9	L24100MH1980PLC022746	APT PACKAGING LIMITED	Director	22-09-08	31-07-08	Active	NO

Name :	Mr. Nawnit Bhagwatiprasad Machhar
Designation :	Whole time director
Address :	Plot 41 / 42, Sindhi Jalna Road, Aurangabad-431003, Maharashtra, India
Date of Birth/Age :	16.04.1952
Date of Appointment :	31.08.2011
DIN No.:	00249199

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	U29290MH1985PLC033956	NAVNEET MACHINE MANUFACTURING COMPANY LIMITED	Director	17-05-85	17-05-85	Active	NO
2	U92100MH1979PTC021225	SHRI SAHAYOG EXHIBITORS PRIVATE LIMITED	Director	25-10-85	25-10-85	Active	NO
3	U25209MH1990PTC056172	ANIL POLYMERS PRIVATE LIMITED	Director	27-01-95	27-01-95	Active	NO
4	U67120MH1995PTC088459	MACHHAR HOLDINGS PRIVATE LIMITED	Director	17-05-95	17-05-95	Active	NO
5	U51900MH1995PTC091136	LIBERAL EXPORTS AND CAPITAL SERVICES PRIVATE LIMITED	Director	28-07-95	28-07-95	Active	NO
6	U51900MH1995PTC091139	AJINKYA EXPORTS AND CAPITAL SERVICES PRIVATE LIMITED	Director	28-07-95	28-07-95	Active	NO
7	U70100MH1996PTC098272	UTSAV PROPERTIES PRIVATE LIMITED	Director	19-03-96	19-03-96	Active	NO
8	U74140MH1981PTC024897	UTSAV LOGISTICS PRIVATE LIMITED	Director	15-09-05	15-09-05	Active	NO
9	U51909MH1995PLC092058	ANIL LOGISTICS LIMITED	Director	31-10-05	31-10-05	Active	NO
10	U63020MH2006PTC161917	MAGNET LOGISTIC PARK PRIVATE LIMITED	Director	31-05-06	31-05-06	Active	NO
11	L24100MH1980PLC022746	APT PACKAGING LIMITED	Whole-time director	30-09-11	31-08-11	Active	NO

Name :	Mr. Gheverchand Motilal Bothara
Designation :	Director
Address :	Plot No.30-31, Motikunj, Ahinsa Nagar, Opposite Akashwani, Aurangabad-431001, Maharashtra, India
Date of Birth/Age :	14.07.1947
Date of Appointment :	22.12.2003
DIN No.:	01616919

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	U74140MH1995PTC089011	ARCHER MANAGEMENT SERVICES PRIVATE LIMITED	Director	24-10-97	24-10-97	Active	YES
2	L24100MH1980PLC022746	APT PACKAGING LIMITED	Director	22-12-03	22-12-03	Active	NO
3	U45202MH2008PLC185168	MACHHAR INDUSTRIES LIMITED	Director	29-12-09	30-09-09	Active	NO

Name :	Mr. Balaprasad Harinarayan Tapdiya
Designation :	Director
Address :	Flat No.1, Dashmesh Nagar, Auragabad-431001, Maharashtra, India
Date of Birth/Age :	25.01.1954
Date of Appointment :	22.12.2003
DIN No.:	01295984

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	L24100MH1980PLC022746	APT PACKAGING LIMITED	Director	22-12-03	22-12-03	-	Active	NO
2	U45202MH2008PLC185168	MACHHAR INDUSTRIES LIMITED	Director	29-12-09	30-09-09	-	Active	NO
3	U24299MH2001PTC132934	MACHHAR APPARELS PRIVATE LIMITED	Director	20-08-11	20-08-11	05-11-11	Active	NO
4	U21014MH1994PTC081445	MACHHAR PACKAGING SERVICES PRIVATE LIMITED	Additional director	01-02-12	01-02-12	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Deepak
Designation :	Finance Executive

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 31.03.2011

Category of Shareholder	Total No. of Shares	Total Shareholding as a % of total No. of Shares
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Individuals / Hindu Undivided Family	2,888,112	54.87
Bodies Corporate	879,788	16.71
Any Others (Specify)	50,940	0.97
Trusts	50,940	0.97
Sub Total	3,818,840	72.55
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	3,818,840	72.55
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	133,800	2.54
Financial Institutions / Banks	900	0.02
Insurance Companies	22,840	0.43
Sub Total	157,540	2.99
(2) Non-Institutions
Bodies Corporate	258,222	4.91
Individuals
Individual shareholders holding nominal share capital up to Rs.0.100 Million	955,745	18.16
Individual shareholders holding nominal share capital in excess of Rs.0.100 Million	71,440	1.36
Any Others (Specify)	1,680	0.03
Non Resident Indians	1,680	0.03
Sub Total	1,287,087	24.45
Total Public shareholding (B)	1,444,627	27.45
Total (A)+(B)	5,263,467	100.00
(C) Shares held by Custodians and against which Depository Receipts have been issued	-	-
(1) Promoter and Promoter Group	-	-
(2) Public	-	-
Sub Total	-	-
Total (A)+(B)+(C)	5,263,467	-

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Co-extruded Seamless Plastic Tubes.

Products :

Products Description	Items Code No.
Co Extrute Plastic Tubes	39239090

Exports :

Countries :

European Countries

Terms :

Selling :

Cash, Credit (30 days)

Purchasing :

L/C, Cash, Credit (30 days)

PRODUCTION STATUS (AS ON 31.03.2011)

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Chikal Thana [Ammonium Nitrate]	MT	NA	13000.00	NIL
Nandrabad [Emulsion Matrix and Pre-Emulsion Matrix]	MT	5000.00	5000.00	NIL
Pharola [Coextruded Tubes]	Lacs	760.00	740.00	287.78
Laksar [Coextruded Tubes]	Lacs	800.00	800.00	122.61

Note: The above information is certified by the management and being a technical matter, the same is relied on by auditors.

GENERAL INFORMATION

No. of Employees :

300 [Approximately]

Bankers :

· Punjab National Bank, Ahmedpur Branch, Ranipur More, Haridwar-249401, Uttarakhand, India

· HDFC Bank Limitd

· State Bank of India

Facilities :

Secured Loan	As on 31.03.2011 [Rs. in Millions]	As on 31.03.2010 [Rs. in Millions]
Term Loans From Banks
Punjab National Bank Term Loan - I (Due within one year Rs.8.166 Millions)	19.803	26.638
Punjab National Bank Term Loan - II (Due within one year Rs.8.921 Millions)	16.360	8.549
Punjab National Bank Term Loan - Ill (Due within one year Rs.7.313 Millions)	30.720	18.087
Punjab National Bank Term Loan – IV (Due within one year Rs.2.700 Millions)	15.075	0.000
Punjab National Bank Term Loan – V (Due within one year Rs.1.791 Millions)	5.611	0.000
HDFC Bank Limited “Vehicle Loan” (Due within one year Rs.0.356 Million)	0.995	0.838
Punjab National Bank Vehicles Loan (Due within one year Rs.0.133 Million)	0.315	0.000
State Bank of India Vehicle Loan (Due within one year Rs.0.599 Million)	3.122	0.000
Working Capital Loans from Bank
Punjab National Bank	84.198	61.873
Total	176.199	115.985
Unsecured Loan
Directors	21.273	8.337
Promoters (Interests Free)	10.891	24.776
Inter Corporate Deposit	9.102	0.000
Inter corporate deposit from promoter Group company	15.086	16.059
Total	56.352	49.172

NOTE:

1. Working Capital loans of Rs.84.198 Millions (Rs.61.874 Millions) from Punjab National Bank are secured by way of hypothecation of raw materials, finished goods, goods in process, stores and are against debts invoiced for supplies/documentary proof of dispatch of Co-Ex Tubes and further secured by colletoral charge on all fixed assets situated at Plot No.J-18 Chikalthana, Gat No.72 Pharola, Survey No. 58 at Nandrabad.

2. Term Loans of Rs.87.569 Millions (Rs.53.273 Millions ) due to Punjab National Bank are secured by way of Mortgage of immovable properties situated at Plot No.J-18 Chikalthana, Gat No.72 Pharola, Survey No.58 at Nandrabad and Khasra No.529 Akbarpur Urd, Laksar, Hardwar.

3. Vehicle car loans of Rs.4.432 Millions (Rs.0.838 Million) are secured against the vehicles acquired out of the said loans and which includes Rs. 3.122 Millions from SBI and Rs. 0.427 Million from HDFC Bank are for the vehicles in the name of one of the Director.

4. Term Loans/Working Capital Loans are guaranteed by Chairman cum Managing Director and one Director.

Banking Relations :	--
Auditors :
Name :	Rathi and Bangad Chartered Accountants
Address :	Harshe Court, Opposite IMA Hall, Aurangabad – 431001, Maharashtra, India

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Share	Rs.10/- each	Rs.100.000 Millions

Issued Capital :

No. of Shares	Type	Value	Amount
6036417	Equity Share	Rs.10/- each	Rs. 60.364 Millions

Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
5263467	Equity Share	Rs.10/- each	Rs. 52.635 Millions
	Forfeited Shares		Rs. 5.405 Millions
	Total		Rs. 58.040 Millions

Note: Out of which 25,00,000 paid up shares issued during the year to promoters are not transferrable up to 25.10.2013

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		58.040	33.040	33.040
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		108.570	108.570	108.570
4] (Accumulated Losses)		(116.968)	(88.788)	(72.145)
NETWORTH		49.642	52.822	69.465
LOAN FUNDS
1] Secured Loans		176.199	115.985	84.187
2] Unsecured Loans		56.352	49.172	17.696
TOTAL BORROWING		232.551	165.157	101.883
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
DEFERRED PAYMENTS		97.803	140.281	75.985
TOTAL		379.996	358.260	247.333
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		306.321	305.335	180.231
Capital work-in-progress		18.237	15.430	8.429
INVESTMENT		0.408	0.246	0.244
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	34.725	26.467	24.315
	Sundry Debtors	31.760	31.624	20.826
	Cash & Bank Balances	3.108	3.017	2.097
	Other Current Assets	9.899	10.396	10.838
	Loans & Advances	11.920	11.861	33.451
Total Current Assets		91.412	83.365	91.527
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	20.808	23.464	13.605
	Other Current Liabilities	12.938	21.433	17.830
	Provisions	2.636	1.219	1.663
Total Current Liabilities		36.382	46.116	33.098
Net Current Assets		55.030	37.249	58.429
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		379.996	358.260	247.333

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	203.214	194.902	192.921
		Other Income	3.957	4.758	5.353
		TOTAL	207.171	199.660	198.274
Less	EXPENSES
		Raw Materials Consumed	76.205	56.453	66.396
		Purchases and Expenses (Garments)	10.831	9.222	3.470
		Transportation Expenses	8.577	8.650	2.885
		Other Expenses	120.712	110.524	100.832
		Impairment of Assets	0.000	13.409	0.000
		Transferred to Resulting Company	0.000	0.000	(0.861)
		Increase/ Decrease in Inventory	(2.370)	0.147	1.527
		TOTAL	213.955	198.405	174.249
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		(6.784)	1.255	24.025
Less/ Add	DEPRECIATION/ AMORTISATION		26.307	17.946	19.144
	PROFIT / (LOSS) BEFORE TAX		(33.091)	(16.691)	4.881
Less	EXPENSES RELATED TO EARLIER YEAR		(2.197)	(0.137)	(0.241)
Add	INCOME RELATING TO EARLIER YEAR		0.587	0.186	1.383
Add	EXTRA ORDINARY ITEMS (WAIVER OF FINANCIAL INSTITUTION INTEREST)		6.520	0.000	95.401
Less	TAX		0.000	0.000	0.565
	PROFIT / (LOSS) AFTER TAX		(28.181)	(16.642)	100.859
	BALANCE CARRIED TO THE B/S		(28.181)	(16.642)	100.859
	EARNINGS IN FOREIGN CURRENCY		52.697	82.670	49.567
	IMPORTS VALUE		30.917	24.886	23.091
	Earnings / (Loss) Per Share (Rs.)		(8.29)	(6.02)	1.98

Expected Sales (2011-2012) : Rs. 250.000 Millions

The above information has been parted by Mr. Deepak.

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	(13.60)	(8.34)	50.87
Net Profit Margin (PBT/Sales)	(%)	(16.28)	(8.56)	2.53
Return on Total Assets (PBT/Total Assets}	(%)	(8.32)	(4.29)	1.80
Return on Investment (ROI) (PBT/Networth)		(0.67)	(0.32)	0.07
Debt Equity Ratio (Total Liability/Networth)		5.41	4.00	1.94
Current Ratio (Current Asset/Current Liability)		2.51	1.81	2.77

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

SUNDRY CREDIOTRS DETAILS

(Rs. in Millions)

SOURCES OF FUNDS	31.03.2011	31.03.2010	31.03.2009
Sundry Creditors	20.808	23.464	13.605

PERFORMANCE REVIEW

During the year the company has recorded Sales and Other Income of Rs 207.172 Millions as compared to the earlier year of Rs199.661 Millions. The exports of tubes during the year declined against the previous year due to adverse market conditions overseas. During the year new plant at Uttarakhand could not made fully operational due to various reasons because of which operational losses have increased in comparison with the previous year. Increase in raw material cost and interest has further increased the operational cost whereas the price realization has declined due to competition and thereby operational margins have been adversely affected.

OPERATIONAL PERFORMANCE

During the year 40.882 Millions tubes were dispatched as compared to the previous year dispatches of 38.350 Millions tubes. The new plant of the Company at Uttarakhand is gradually normalizing its dispatches and will become fully operational shortly. The new plant at Uttarakhand is eligible for exemption from payment of Central Excise Duty on sales for ten years and fully / partly exemption from Income Tax for 10 years. With the new plant being fully operational the operational margins will improve in coming year.

MANAGEMENT DISCUSSION AND ANALYSIS

INDUSTRIES STRUCTURE AND DEVELOPMENT

In developing countries the Co-extruded tubes manufactured by the company are used by the cosmetic industry for packaging of their cosmetic products but in the developed countries such as their cosmetics were packed in the laminated tubes. The trends are now changing and the cosmetic industry is shifting from laminated tube packaging to coextruded seamless tube packaging. There is increasing demand of the product in the overseas/foreign markets. The demand in domestic/national as well as in export/International markets is expected to increase. The increased buying capacity of the middle income group in India has also increased the demand of the product.

OUTLOOK

Initially the base of the Indian cosmetic industry was low but yet it was growing with the average annual growth of 12% since 1998 and now the base is reach to a reasonable level.

Foregoing above and due to their marketing efforts they are presently having major market share of seamless plastic tubes in the domestic market.

Further their participation in the international exhibition has helped them in improving their exports year after year.

At present on average basis 65% of their production goes into the domestic market and 35% of it goes to the export market. A The SWOT analysis of the market show encouraging trends. Huge potential is available in the Indian as well export market for their products. The market is unlimited for their products and they are poised to penetrate the market with the enhanced capacities.

CONTINGENT LIABILITIES (AS ON 31.03.2011)

1. Claims not acknowledged as debts are on account of a suit filed against the company by M/s Food Fats and Fertilizers Limited on behalf of Apte Organic Chemicals Private Limited in Mumbai High Court for the recovery of Rs.0.267 Millions. The company is contesting the same. The BIFR have ordered for repayment subject to withdrawal of suit.

2. Guarantee given by the Company for sales tax deferment dues of the resulting Company Machhar Industries Limited as per the sanctioned scheme ordered by BIFR RS. 39.936 Millions.

3. Bonds executed by the company in favour of Commissioner, Central Excise and Customs, Government of India for import of capital goods under the Export Promotion Capital Goods Scheme of the Government of India for import of capital goods Rs. 60.984 Millions, for export obligations to that extent to be completed.

4. In respect of demand raised by Sales Tax authority, Aurangabad for Rs.0.152 Millions for the FY 2004-2005 on assessment for which the company have made appropriate representation for withdrawal of the demand to the department.

5. In respect of notices issued by Sales Tax Authority, Hardwar w.r.t. various compliances for Rs. 0.161 Million.

6. In respect of fiscal liabilities that may arise on account of non-observance of provisions of various fiscal statues, Companies Act and other related laws and interest chargeable on demands raised and not paid if any, amount is not ascertainable.

7. Estimated amount of contract remaining to be executed net of advances on capital account and not provided for Rs.6.134 Millions (Rs.7.462 Millions ).

FORM 8

Corporate identity number of the company	L24100MH1980PLC022746
Name of the company	APT PACKAGING LIMITED
Address of the registered office or of the principal place of business in India of the company	Gat No.72, Pharola Village, Post Beedkin, Aurangabad – 431005, Maharashtra, India
This form is for	Modification of charge
Type of charge	Immovable property Movable property (not being pledge)
Particular of charge holder	Punjab National Bank, Aurangabad- 431001, Maharashtra, India
Nature of instrument creating charge	1. Hypothecation of assets to secure term loans 2. Memorandum of mortgage for creating first charge and second charge
Date of instrument Creating the charge	17.11.2011
Amount secured by the charge	Rs. 41.044 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest 6.25% over prevailing base rate at present 15.25% per annum with monthly rests. Terms of repayment The entire loan is to be paid in graduated monthly installments as under - July 2011 to June 2012 - Rs 0.300 Million pm July 2012 to June 2016 - Rs 0.780 Million pm Margin 48% Extent and operation of the charge The charge shall remain operative till full repayment of loan, interest, charges and other expenses.
Short particulars of the property charged (Including location of the property)	Primary- Hypothecation of combitool header machine and second charge on poly type printing machine stored in premises, godowns at Akarpur, Urd, 5th KM Stone, Lakshar, Haridwar or be in course of transit Collateral-First charge-Mortgage of [A] All that place or parcel of land known as Plot no J-18 in the Chikalthana Industrial Area, village Naregoan, District-Aurangabad admeasuring 2432 sqmtrs together with all buildings and structures thereon and all plant and machinery attached to the earth or permanently fastened to anything attached to the earth, present and future [B] All that place or parcel of land or ground situate at Village-Pharola, Taluka-Paithan, District-Aurangabad bearing Gut No 72, admn 3 acres 30 Gunthas equivalent to 1 hectares 52 ares together with all buildings and structures thereon and all plant and machinery attached to the earth or permanently fastened to anything attached to the earth, present and future [C] All that place or parcel of land or ground situate at Village-Nandrabad, Taluka-Khultabad, District-Aurangabad bearing Gut No 39, admn 0 hectares 65 ares together with all buildings and structures thereon and all plant and machinery attached to the earth or permanently fastened to anything attached to the earth, present and future. [D] All that place or parcel of land or ground situate at Village-Nandrabad, Taluka-Khultabad, District-Aurangabad bearing Gut No 58, admn 0 hectares 55 ares together with all buildings and structures thereon and all plant and machinery attached to the earth or permanently fastened to anything attached to the earth, present and future [E] All that place or parcel of land or ground situate at Akarpur, Urd, 5th KM Stone, Haridwar-Lakshar Road, Lakahar, Haridwar, Uttarakhand together with all buildings and structures thereon [F] All that place or parcel of land or ground situate at J-17, Chikalthana Industrial Area, MIDC, Village Naregaon, Taluka and District Aurangabad
Charge identification number of the charge to be modified	10274648
Date of instrument modifying the charge	17.11.2011
Particulars of the present modification	The company has charged the property situated at J-17, Chikalthana MIDC, Naregaon Taluka and District Aurangabad additionally. The existing charge on the assets will remain as it is.

FIXED ASSETS:

· Leasehold Land

· Freehold Land

· Building

· Plant and Machinery

· Furniture and Fixture

· Office Equipments

· Vehicles

· Computer

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.49.21
UK Pound	1	Rs.77.75
Euro	1	Rs.64.58

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	2
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	YES
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		28

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.