MIRA INFORM REPORT

Report Date :

28.02.2012

IDENTIFICATION DETAILS

Name :	ELLENBARRIE INDUSTRIAL GASES LIMITED
Registered Office :	3A, Ripon Street, Kolkata – 700016, West Bengal
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	23.11.1973
Com. Reg. No.:	21-029102
Capital Investment / Paid-up Capital :	Rs.65.468 Millions
CIN No.: [Company Identification No.]	L24112WB1973PLC029102
TAN No.: [Tax Deduction & Collection Account No.]	CALE00844E
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchange.
Line of Business :	Manufacturer and Seller of Industrial, Medical and Special Gases as well as related products.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

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

Maximum Credit Limit :	USD 1020000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is a well established and reputed company having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct 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)
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 :	3A, Ripon Street, Kolkata – 700016, West Bengal, India
Tel. No.:	91-33-22491922/22291923/22292441
Fax No.:	91-33-22493396
E-Mail :	ellenbarrie@vsnl.com
Website :	www.ellenbarrie.com

DIRECTORS

As on 30.09.2011

Name :

Ms. Shanti Prasad Agarwala

Designation :

Managing director

Address :

10, Aburdwan Road, Kolkata – 700027, West Bengal, India

Date of Birth/Age :

07.08.1942

Date of Appointment :

01.01.2001

DIN No.:

00187729

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	U15494WB1900PLC000437	Ellenbarrie Tea Company Limited	Director	30/12/1964	30/12/1964	-	Active	NO
2	L51126WB1983PLC035863	Jasmine Commercials Limited	Director	12/07/1984	12/07/1984	30/08/2010	Active	NO
3	U01132WB1981PTC033481	Superior Tea and Allied Industries Private Limited	Director	22/10/1984	22/10/1984	-	Active	NO
4	U24297WB1985PLC039037	Ellenbarrie Food Products and Industries Limited	Director	4/06/1985	4/06/1985	-	Active	NO
5	L70101AS1984PLC002227	Ellenbarrie Properties Limited	Director	7/05/1986	7/05/1986	-	Active	NO
6	L27104AS1985PLC002319	Ellenbarrie Steels Limited	Director	10/06/1987	10/06/1987	-	Active	NO
7	L24112WB1973PLC029102	Ellenbarrie Industrial Gases Limited	Managing director	1/01/2001	1/01/2001	-	Active	NO
8	U23209WB1995PLC074014	Ellenbarrie Cryogenics Limited	Director	2/06/2003	2/06/2003	17/12/2007	Active	NO
9	U01132WB2007PLC115278	Varun Tea Plantations Limited	Director	21/04/2007	21/04/2007	-	Active	NO
10	U51109WB2005PTC102634	Gunjan Suppliers Private Limited	Director	21/05/2007	21/05/2007	-	Active	NO
11	U70102WB2010PLC150052	Ellenbarrie Real Estate Limited	Director	31/05/2010	31/05/2010	-	Active	NO
12	U51101WB2010PLC150051	Comfort Share Trading Limited	Director	31/05/2010	31/05/2010	-	Active	NO

Name :

Mr. Padam Kumar Agarwala

Designation :

Managing director

Address :

14.11.1960

Date of Birth/Age :

10, Aburdwan Road, Kolkata – 700027, West Bengal, India

Date of Appointment :

31.10.2001

DIN No.:

00187727

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	U24299WB1985PLC039294	Gradation Enterprises Limited	Director	26/02/1999	26/02/1999	-	Active	NO
2	L24299WB1985PLC039295	Boulevard Properties Limited	Director	1/03/1999	1/03/1999	-	Active	NO
3	L51909WB1982PLC035367	Lime Light Trade and Commerce Limited	Director	27/08/1999	27/08/1999	-	Active	NO
4	L24112WB1973PLC029102	Ellenbarrie Industrial Gases Limited	Managing director	31/10/2001	31/10/2001	-	Active	NO
5	U01132WB1981PTC033481	Superior Tea and Allied Industries Private Limited	Director	16/12/2004	16/12/2004	-	Active	NO
6	U23209WB1995PLC074014	Ellenbarrie Cryogenics Limited	Director	16/12/2004	16/12/2004	-	Active	NO
7	U01132WB2007PLC115278	Varun Tea Plantations Limited	Director	21/04/2007	21/04/2007	-	Active	NO
8	U51109WB2005PTC102634	Gunjan Suppliers Private Limited	Director	21/05/2007	21/05/2007	-	Active	NO
9	U74999WB2008PTC124858	Lorch Ellenbarrie Welding Products Private Limited	Director	10/04/2008	10/04/2008	12/10/2011	Active	NO
10	U70109WB2009PTC136907	Hornbill Infratech Private Limited	Director	16/07/2009	16/07/2009	13/01/2011	Active	NO
11	U70102WB2010PLC150052	Ellenbarrie Real Estate Limited	Director	31/05/2010	31/05/2010	-	Active	NO
12	U51101WB2010PLC150051	Comfort Share Trading Limited	Director	31/05/2010	31/05/2010	-	Active	NO

Name :

Mr. Varun Agarwal

Designation :

Director

Address :

10, Aburdwan Road, Kolkata – 700027, West Bengal, India

Date of Birth/Age :

06.04.1984

Date of Appointment :

01.10.2008

DIN No.:

01526576

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	L24112WB1973PLC029102	Ellenbarrie Industrial Gases Limited	Director	1/10/2008	14/08/2008	-	Active	NO
2	U01132WB2007PLC115278	Varun Tea Plantations Limited	Director	30/09/2009	31/03/2009	-	Active	NO

Name :

Mr. Indrajit Mookerjee

Designation :

Director

Address :

APTB 202, 7/1, Asunny Park, Kolkata – 700019, West Bengal, India

Date of Birth/Age :

19.09.1947

Date of Appointment :

27.03.2007

DIN No.:

01419627

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	L24112WB1973PLC029102	Ellenbarrie Industrial Gases Limited	Director	27/03/2007	27/03/2007	-	Active	NO
2	U74999WB2008PTC124858	Lorch Ellenbarrie Welding Products Private Limited	Director	10/04/2008	10/04/2008	12/10/2011	Active	NO
3	U70109WB2009PTC136907	Hornbill Infratech Private Limited	Director	16/07/2009	16/07/2009	13/01/2011	Active	NO
4	U74930WB2005PTC106658	Rai Enclave Facilities Management Private Limited	Director	12/09/2010	12/09/2010	-	Active	YES
5	U70100DL2010PTC211424	Magik Homes Infracon Private Limited	Director	1/06/2011	1/06/2011	-	Active	NO

Name :

Mr. Manas Kumar Dutta

Designation :

Director

Address :

45, Blinton Street, Entally, Kolkata – 700014, West Bengal, India

Date of Birth/Age :

01.09.1933

Date of Appointment :

05.10.2006

DIN No.:

01180693

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	L70101WB1982PLC035451	KRICO Traders Limited	Director	14/03/1984	14/03/1984	-	Active	NO
2	U67120WB1981PLC033901	Shimansu Vyaparik Kendra Limited	Director	20/02/1992	20/02/1992	3/09/2007	Active	NO
3	L24112WB1973PLC029102	Ellenbarrie Industrial Gases Limited	Director	28/09/2007	5/10/2006	-	Active	NO
4	U01132WB2007PLC115278	Varun Tea Plantations Limited	Director	21/04/2007	21/04/2007	-	Active	NO
5	U67120WB1981PLC033766	Sutodya Investments and Trading Company Limited	Director	30/09/2008	30/09/2008	-	Active	NO
6	U51101WB2010PLC150051	Comfort Share Trading Limited	Director	31/05/2010	31/05/2010	-	Active	NO

Name :

Mr. Ajit Khandelwal

Designation :

Director

Address :

2, Palm Avenue, 4^th Floor, Kolkata – 700019, West Bengal, India

Date of Birth/Age :

10.11.1957

Date of Appointment :

15.12.2003

DIN No.:

00416445

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	L34202WB1986PLC040542	BNK Capital Markets Limited	Managing director	17/04/1986	17/04/1986	-	Active	NO
2	U17290WB1981PLC034375	Rakesh Textiles Limited	Director	6/06/1988	6/06/1988	-	Amalgamated	NO
3	U67120WB1995PTC071182	BNK Securities Private Limited	Director	24/04/1995	24/04/1995	-	Active	NO
4	U67120WB1995PTC071843	Asian Securities Exchange Private Limited	Director	30/05/1995	30/05/1995	-	Active	NO
5	L15491WB1897PLC001365	Kothari Phytochemicals and Industries Limited	Director	28/08/1996	28/08/1996	-	Active	NO
6	U72900WB2000PTC091231	BNK E Solutions Private Limited	Managing director	29/02/2000	29/02/2000	25/03/2009	Active	NO
7	L24112WB1973PLC029102	Ellenbarrie Industrial Gases Limited	Director	15/12/2003	15/12/2003	-	Active	NO
8	U74999WB2003PTC097491	Bnk Commodities Private Limited	Director	19/12/2003	19/12/2003	-	Active	NO
9	U72900WB2004PTC098653	NKB E Solutions Private Limited	Director	26/05/2004	26/05/2004	3/09/2011	Active	NO
10	U67190MH1996GAP101555	Association of National Exchanges Members of India	Director	8/04/2006	8/04/2006	29/03/2008	Active	NO
11	U67190WB2005PTC102172	Abacus Funds Services Private Limited	Director	10/04/2006	10/04/2006	-	Active	NO
12	U85110KA1961PLC001433	Bharat Fritz Werner Limited	Director	28/09/2007	7/12/2006	-	Active	NO
13	L74140WB1983PLC036495	Nucent Estates Limited	Director	21/02/2007	21/02/2007	-	Active	NO
14	U67120WB1923PLC004707	The Calcutta Stock Exchange Limited	Director	24/12/2007	24/12/2007	-	Active	NO
15	U51909WB2010PTC144596	Rakhi Suppliers Private Limited	Director	24/05/2010	24/05/2010	31/08/2010	Active	NO
16	U45400WB2010PTC142350	Multiple Infra Private Limited	Director	24/05/2010	24/05/2010	-	Active	NO
17	U51109WB1995PTC068868	Patrex Vyapaar Private Limited	Director	15/02/2011	15/02/2011	-	Active	NO
18	U91110WB1926GAP005483	Bharat Chamber of Commerce	Director	24/09/2011	24/09/2011	-	Active	NO

Name :

Mr. Sovan Kumar Dutta

Designation :

Director

Address :

14/2, Kumud Ghosal Road, Kolkata – 700057, West Bengal, India

Date of Birth/Age :

17.12.1954

Date of Appointment :

22.09.2001

KEY EXECUTIVES

Name :	Mr. Anjan Kumar Bandyopadhyay
Designation :	Company Secretary

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 31.12.2011

Category of Shareholders	No. of Shares	Percentage of Holding
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Individuals / Hindu Undivided Family	2,791,080	42.63
Sub Total	2,791,080	42.63
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	2,791,080	42.63
(B) Public Shareholding
(1) Institutions
Central Government / State Government(s)	40,500	0.62
Sub Total	40,500	0.62
(2) Non-Institutions
Bodies Corporate	1,274,778	19.47
Individuals
Individual shareholders holding nominal share capital up to Rs. 0.100 Million	46,122	0.70
Individual shareholders holding nominal share capital in excess of Rs.0.100 Million	2,394,300	36.57
Sub Total	3,715,200	56.75
Total Public shareholding (B)	3,755,700	57.37
Total (A)+(B)	6,546,780	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)	6,546,780	-

BUSINESS DETAILS

Line of Business :

Manufacturer and Seller of Industrial, Medical and Special Gases as well as related products.

Products :

PRODUCT DESCRIPTION	ITC CODE NO
Oxygen	280440
Nitrogen	280430
Argon	280412

PRODUCTION STATUS AS ON 31.03.2011

Particulars	Licensed Capacity (Cu.m.)	Installed Capacity (Cu.m.)	Actual Production (Cu.m.)
Oxygen	26.000	26.000	33314455.69
Acetylene	1.000	1.000	87864.46
Nitrogen	15.000	15.000	23435594.25
Special (High Purity) Gases & Gas Mixture	0.220	0.220	52119.5
Argon	6.000	6.000	207668.84
Argoshield	1.000	1.000	--
Medical Oxygen	1.000	1.000	273348.82
Carbon-di-oxide (MT)	0.002	0.002	976706.1
Zero Air	--	--	1948
Dry Ice	--	--	5397

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· Bank of Baroda, Brabourne Road Branch, 4, Brabourne Road, Kolkata – 700001, West Bengal, India

· ICICI Bank

· HDFC Bank

Facilities :

Secured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
Rupee term loans banks	507.592	533.684
Rupee term loans financial institutions	50.000	43.200
Loans taken for vehicles	3.519	0.264
Other debt secured	197.324	194.469
Interest accrued due	5.666	4.859
Total	764.101	776.476
Unsecured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
Loans directors unsecured	10.250	0.000
Other debt unsecured	48.657	35.157
Total	58.907	35.157

Financial Institute :	West Bengal Financial Corporation, 12A, Netaji Subash Road, Kolkata – 700001, West Bengal, India
Banking Relations :	--
Auditors :
Name :	A. K. Kumar and Company Chartered Accountants
Address :	9/15, Fern Road, Kolkata – 700019, West Bengal, India
PAN.:	AFCPK7868M
Related Parties :	· Superior Tea and Allied Industries Private Limited · Gunjan Suppliers Private Limited · Varun Tea Plantations Limited · Ellenbarrie Cryogenics Limited

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
21000000	Equity Shares	Rs.10/- each	Rs.210.000 Millions
400000	9%Cumulative Redeemable Preference Shares	Rs.100/- each	Rs.40.000 Millions
	TOTAL		Rs.250.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
6546780	Equity Shares	Rs.10/- each	Rs.65.468 Millions

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		65.468	65.468	65.468
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		191.721	162.021	148.228
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		257.189	227.489	213.696
LOAN FUNDS
1] Secured Loans		764.101	776.476	674.157
2] Unsecured Loans		58.907	35.157	15..557
TOTAL BORROWING		823.008	811.633	689.714
DEFERRED TAX LIABILITIES		8.980	8.980	8.980
TOTAL		1089.177	1048.102	912.390
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		920.247	907.425	841.840
Capital work-in-progress		8.547	0.000	0.000
INVESTMENT		8.340	8.340	2.415
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	58.281	70.913	17.103
	Sundry Debtors	143.009	107.731	103.470
	Cash & Bank Balances	35.077	33.470	43.946
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	107.626	104.709	68.958
Total Current Assets		343.993	316.823	233.477
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	60.489	71.809	62.108
	Other Current Liabilities	79.709	70.054	60.094
	Provisions	51.752	42.623	43.140
Total Current Liabilities		191.950	184.486	165.342
Net Current Assets		152.043	132.337	68.135
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		1089.177	1048.102	912.390

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	644.683	493.810	471.596
		Other Income	14.592	16.658	2.810
		TOTAL (A)	659.275	510.468	474.406
Less	EXPENSES
		Consumption materials changes inventories	129.421	131.672	323.658
		Manufacturing service costs	277.977	149.587
		Employee related costs	32.090	22.185
		Administrative selling other expenses	60.722	45.283
		TOTAL (B)	500.210	348.727	323.658
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		159.065	161.741	150.748
Less	FINANCIAL EXPENSES (D)		78.444	66.361	47.366
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		80.621	95.380	103.382
Less/ Add	DEPRECIATION/ AMORTISATION (F)		38.630	75.298	50.900
	PROFIT BEFORE TAX (E-F) (G)		41.991	20.082	52.482
Less	TAX (H)		8.490	3.580	10.679
	PROFIT AFTER TAX (G-H) (I)		33.501	16.502	41.803
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		14.133	1.460	7.317
Less	APPROPRIATIONS
		Transfer to General Reserve	17.801	0.000	40.000
		Proposed Dividend		3.273	6.547
		Tax on Dividend		0.556	1.113
	BALANCE CARRIED TO THE B/S		29.833	14.133	1.460
	EARNINGS IN FOREIGN CURRENCY
		FOB value Basis	2.475	1.746	0.000
	TOTAL EARNINGS		2.475	1.746	0.000
	IMPORTS
		Raw Materials	2.536	10.463	5.094
		Stores & Spares	7.090	2.022	0.619
		Capital Goods	7.423	16.104	83.133
		Trading Goods	67.168	17.463	70.031
	TOTAL IMPORTS		84.217	46.052	158.877
	Earnings Per Share (Rs.)		5.12	2.52	6.38

QUARTERLY RESULTS

PARTICULARS	30.09. 2011 1^st Quarter	31.12.2011 2^nd Quarter
	UnAudited	UnAudited
Net Sales	195.130	196.260
Total Expenditure	161.730	173.680
PBIDT (Excl OI)	33.400	22.580
Other Income	0.870	4.080
Operating Profit	34.270	26.660
Interest	18.270	14.840
Exceptional Items	0.000	0.000
PBDT	16.000	11.820
Depreciation	7.020	12.320
Profit Before Tax	8.990	(0.510)
Tax	0.000	0.000
Provisions and contingencies	0.000	0.000
Profit After Tax	8.990	(0.510)
Extraordinary Items	0.000	0.000
Prior Period Expenses	0.000	0.000
Other Adjustments	0.000	0.000
Net Profit	8.990	(0.510)

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	5.08	3.23	8.81
Net Profit Margin (PBT/Sales)	(%)	6.51	4.07	11.13
Return on Total Assets (PBT/Total Assets}	(%)	3.32	1.64	4.88
Return on Investment (ROI) (PBT/Networth)		0.16	0.09	0.25
Debt Equity Ratio (Total Liability/Networth)		3.95	4.38	4.00
Current Ratio (Current Asset/Current Liability)		1.79	1.72	1.41

LOCAL AGENCY FURTHER INFORMATION

PERFORMANCE

During the financial year 2010-11 the Company registered Sales revenue of Rs. 596.774 Millions (net of Excise) representing 26.26% higher than Financial Year 2009-2010. Increased Sales was resulted from manufacture of Industrial gases. Out of Sales of Manufactured Goods, of Rs.464.503 (net of excise) Visakhapatnam Plant had executed Rs. 210.752 Millions of orders and the composition of balance amount of Sales of Rs. 253.751 Millions, sales from Uluberia Plant was Rs. 183.610 and Rs. 70.141 Millions from Kalyani Plant. Profit before Interest, Depreciation and Tax was Rs. 159.065 Millions compared to Rs. 161.741 Millions for the Financial Year 2009-2010.

During the year 2010-11 the Company had to incur an additional expenditure of Rs. 131.000 Millions on account of Power Consumption mainly because of substantial increase of Power Tariff by the Government. Inspite of growth in Sales and production, profitability was eroded due to such increase in Cost of Power.

The Company achieved Rs. 41.991 Millions Profit before Tax for the reporting period i.e. 109.11% higher than the previous financial year 2009-10.

MANAGEMENT DISCUSSION AND ANALYSIS

MANAGEMENT OUTLOOK

The outlook for the gases industry is mixed. While on one hand, the Indian economy continues to grow at a fast pace there is pressure on traditional consuming sectors of gases such as steel and metals. Sectors such as Pharmaceuticals continue to do well providing a robust market for gases. Inflation remains a big threat to the overall growth of the economy. Gases being a strong indicator of the health of the economy as a whole, should witness cautions growth.

OPPORTUNITIES AND THREATS

The Company has identified pharmaceuticals and bulk drugs as a focus industry. They see a growing market for gases in this sector and are working towards increasing their volumes.

The third Air Separation plant project of the Company is under implementation to cater specifically to this sector. With a number of large scale mega projects under construction, the packaged gases requirement should also be strong. The growing medical market is another thrust area for the company. The company has also seen good response to its efforts to develop application for its products in areas such as food freezing and specialized welding.

Inflation remains a big threat not only for gases sector but for the economy as a whole. The liberalisation of diesel prices could exert an upward push to the transportation and distribution costs of the company. Inflation of coal prices may result in higher power prices for the company.

Lastly, addition of capacities by consumers through on-site plants may reduce consumption of certain customers.

MANAGEMENT STRATEGY

The management will continue to follow a strategy of diversifying its customer portfolio and reducing dependence on traditional sectors such as Steel. The customer mix today is much more diverse than few years ago and in couple of years time, the management expects traditional sectors to account for less than 50% of the volume. The management is also focusing on application development. This has two fold benefit - a steady market for its products and additional revenue stream through selling of hardware. On the costs front, in order to counter the inflation threat, the management will pursue a strong programme of cost-optimisation.

FIXED ASSETS

· Freehold Land

· Leasehold Land

· Factory Building and Compound

· Furniture

· Plant and Machinery

· Vehicles

· Electric Installation

· Office Equipment

· Tube well

· Computer

· Howrah Shed

· Howrah Flat

· Storage Tank

Business Description

Subject is one of the leading providers of industrial and medical gases in India. The company manufactures and supplies a range of packaged argon, nitrogen, acetylene and mixed gases. It owns and operates a number of fully equipped manufacturing plants that offer bulk and packaged liquid oxygen, nitrogen and argon. In addition, the company manages a fleet of cryogenic transport tanks used in the distribution of gases to various steel mills, power plants and refineries and the chemical, fertiliser and petroleum industries. It also undertakes various projects for the import, trading and processing of ferrous products.

More Business Descriptions

Subject is an India-based company engaged in the cryogenics and industrial gases business. The Company operates in two segments: gases and related products, and sheets. Gases and related products consist of manufacture and sale of industrial, medical and special gases, as well as related products. During the fiscal year ended March 31, 2011, the Company manufactured 33314,455 cubic meters of oxygen; 23435,594 cubic meters of nitrogen; 976,706 cubic meters of carbon-di-oxide; 273,348 cubic meters of medical oxygen; 207,668 cubic meters of argon; 87,864 cubic meters of acetylene, and 52,119 cubic meters of gas mixture. The Company operates manufacturing facilities in several locations in East and South India. For the nine months ended 31 December 2010, Subject's revenue increased 50% to RS96.2M. Net income totaled RS44.1M, up from RS21.9M. Revenues reflect an increase in income from operations. Net income also reflects a decrease in consumption of raw materials, a significant decrease in purchase of traded goods and higher operating profit margins. It is an India-based company.

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.49.05
UK Pound	1	Rs.77.78
Euro	1	Rs.65.89

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--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	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	YES
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		47

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.