MIRA INFORM REPORT

Report Date :

15.06.2012

IDENTIFICATION DETAILS

Name :	FLSMIDTH PRIVATE LIMITED FLSMIDTH MINERALS PRIVATE LIMITED AMALGAMATED WITH FLSMIDTH PRIVATE LIMITED
Formerly Known As :	FLS AUTOMATION INDIA PRIVATE LIMITED
Registered Office :	“Flsmidth House” 34, Egatoor, Rajiv Gandhi Salai, Kelambakkam – 603 103 Tamilnadu
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	18.04.2000
Com. Reg. No.:	18-044765
Capital Investment/ Paid-up Capital:	Rs.258.433 Millions
CIN No.: [Company Identification No.]	U26941TN2000PTC044765
TAN No.: [Tax Deduction & Collection Account No.]	CHEF02179C
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturing and Supplying of equipments for cement plants and supervision of erection and commissioning of cement plant and equipments.
No. of Employees:	Not Available

RATING & COMMENTS

MIRA’s Rating :

A (67)

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 26826000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a subsidiary of FL SMIDTH AND COMPANY DENMARK. It is a well established company having good track. Financial position of the company appears to be sound. Directors are reported to be experienced and respectable businessmen. Trade relations are fair. Business is active. Payments are reported to be regular and as per commitments. 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 :	“Flsmidth House” 34, Egatoor, Rajiv Gandhi Salai, Kelambakkam – 603 103 Tamilnadu, India
Tel. No.:	91-44-47481000/ 27411000
Fax No.:	91-44-27470301/ 0302
E-Mail :	indiainfo@flsmidth.com bmh@flsmidth.com
Website :	www.flsmidth.com

DIRECTORS

As on 29.09.2011

Name :

Narayanan Sankar

Designation :

Director

Address :

194, TTK Road, Chennai – 600 018, Tamilnadu, India

Date of Birth/Age :

19.11.1945

Date of Appointment :

22.08.2006

DIN No.:

00007843

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U65993TN1979PLC007711	Sanmar Holdings Limited	Director	06-10-80	06-10-80	-	Active	NO
2	L26942TN1946PLC000931	The India Cements Limited	Director	15-09-89	15-09-89	15-09-07	Active	NO
3	U65991TN1921NPL001337	Chennai Willingdon Corporate Foundation	Director	28-04-91	28-04-91	-	Active	NO
4	U29296TN1984PLC011377	F.L.Smidth Limited	Director	10-12-97	10-12-97	21-07-06	Amalgamated	NO
5	U14299TN1996PTC034056	Flsmidth Minerals Private Limited	Alternate director	11-12-97	11-12-97	18-03-09	Amalgamated	NO
6	U91990TN1999NPL042106	Chennai Heritage	Director	22-03-99	22-03-99	-	Active	NO
7	U73100TN2002NPL050076	SHL Research Foundation	Director	24-02-03	24-02-03	-	Active	NO
8	U45202TN1991PTC021010	Ns Family Consolidations Private Limited	Director	02-05-03	02-05-03	-	Active	NO
9	U65991TN1991PTC021007	NS Family Investments Private Limited	Director	02-05-03	02-05-03	-	Active	NO
10	U65991TN1990PLC019237	SHL Securities (Alpha) Limited	Additional director	31-10-11	01-04-04	-	Active	NO
11	L19201WB1931PLC007261	Bata India Limited	Director	02-02-05	02-02-05	28-07-11	Active	NO
12	U65991TN1991PTC021532	N Sankar Properties and Holdings Private Limited	Director	26-05-05	26-05-05	-	Active	NO
13	L99999MH1961PLC012003	Nocil Limited	Director	29-07-05	29-07-05	-	Active	NO
14	U74990TN1991PTC021361	N K Trading and Consultancy Private Limited	Director	06-02-06	06-02-06	-	Active	NO
15	U74999TN2005PTC057945	V S Trading and Consultancy Private Limited	Director	06-02-06	06-02-06	-	Active	NO
16	U74999TN2005PTC057947	M Sankar Trading and Consultancy Private Limited	Director	06-02-06	06-02-06	-	Active	NO
17	U74999TN2005PTC057946	C Sankar Trading And Consultancy Private Limited	Director	06-02-06	06-02-06	-	Active	NO
18	U74999TN1992PTC022029	Stargate Enterprises Private Limited	Director	03-04-06	03-04-06	08-12-08	Active	NO
19	U26941TN2000PTC044765	Flsmidth Private Limited	Director	22-08-06	22-08-06	-	Active	NO
20	U29199TN2001PLC047307	Sanmar Consolidations Limited	Director	29-09-11	06-06-11	-	Active	NO

Name :

Mr. Jorgen Huno Rasmussen

Designation :

Director

Address :

Vallerod Banevej, 17, DK 2960, Rungsted, KYST, Denmark

Date of Birth/Age :

25.06.1952

Date of Appointment :

22.08.2006

DIN No.:

00590576

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U29296TN1984PLC011377	F.L.Smidth Limited	Director	30-01-04	30-01-04	21-07-06	Amalgamated	NO
2	U26941TN2000PTC044765	Flsmidth Private Limited	Director	22-08-06	22-08-06	-	Active	NO

Name :

Mr. Poul Erik Tofte

Designation :

Director

Address :

Osterbrogade 106, 3TH DK 2100, Copenhagen

Date of Birth/Age :

16.07.1956

Date of Appointment :

22.08.2006

DIN No.:

00590632

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U29296TN1984PLC011377	F.L.Smidth Limited	Director	30-01-04	30-01-04	21-07-06	Amalgamated	NO
2	U26941TN2000PTC044765	Flsmidth Private Limited	Director	22-08-06	22-08-06	-	Active	NO

Name :

Mr. Natrajan Sridharan

Designation :

Director

Address :

D2, New No.4, Old No.40, Sarvana Street, T. Nagar, Chennai - 600 017 Tamilnadu, India

Date of Birth/Age :

19.09.1952

Date of Appointment :

19.08.2009

DIN No.:

01192398

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	U29296TN1984PLC011377	F.L.Smidth Limited	Director	21-07-06	21-07-06	Amalgamated	NO
2	U26941TN2000PTC044765	Flsmidth Private Limited	Director	23-09-09	19-08-09	Active	NO

Name :

Mr. Erik Birch

Designation :

Director

Address :

Hellerupvej 58, 3TH 2900, Hellerup, 2900, Denmark

Date of Birth/Age :

24.02.1953

Date of Appointment :

28.01.2009

DIN No.:

02601397

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	U26941TN2000PTC044765	Flsmidth Private Limited	Director	23-09-09	28-01-09	Active	NO

Name :

Mr. Martin Stig Solberg

Designation :

Director

Address :

2/227, Juhu Beach, Uthandi, Chennai - 600 119 Tamilnadu, India

Date of Birth/Age :

20.08.1974

Date of Appointment :

29.04.2009

DIN No.:

02663125

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	U26941TN2000PTC044765	Flsmidth Private Limited	Director	23-09-09	29-04-09	Active	NO

Name :

Mr. Bjarne Moltke Hansen

Designation :

Managing Director

Address :

Dronn Margrethes, VEJ 36, ROSKILDE 4000

Date of Birth/Age :

11.10.1961

Qualification :

Academy Engineer, INSEAD, Young Managers Programme

Experience :

27 Years

Date of Appointment :

27.09.2010

DIN No.:

03073824

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	U26941TN2000PTC044765	Flsmidth Private Limited	Managing director	27-09-10	06-05-10	Active	NO

Name :

Mr. Christian Jespen

Designation :

Director

Address :

1887, Nottingham Road, Allentown, PA, 18013

Date of Birth/Age :

10.12.1958

Date of Appointment :

29.09.2011

DIN No.:

00708828

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U29296TN1984PLC011377	F.L.Smidth Limited	Director	20-09-95	20-09-95	21-07-06	Amalgamated	NO
2	U26941TN2000PTC044765	Flsmidth Private Limited	Director	29-09-11	22-08-06	-	Active	NO

Name :

Mr. Vegulaparanan Kasi Vishwanthan

Designation :

Director

Address :

15, A1, Palace Road, Bangalore – 560 052, Karnataka, India

Date of Birth/Age :

20.11.0950

Date of Appointment :

05.05.2011

DIN No.:

01782934

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	L85110KA1951PLC000761	Bosch Limited	Managing director	01-01-11	01-11-07	Active	NO
2	U51109KA1992PTC013736	Mico Trading Private Limited	Director	27-02-08	07-01-08	Active	NO
3	U72400KA1997PLC023164	Robert Bosch Engineering and Business Solutions Limited	Director	31-01-08	31-01-08	Active	NO
4	U29120GJ1974PLC002468	Bosch Rexroth (India) Limited	Director	01-02-08	01-02-08	Active	NO
5	U34300PN1982PLC027224	Bosch Chassis Systems India Limited	Director	01-02-08	01-02-08	Active	NO
6	U99999MH1956NPL009708	The Indo German Chamber of Commerce	Director	07-04-08	07-04-08	Active	NO
7	U31103TN2008PTC067493	Bosch Electrical Drives India Private Limited	Director	25-04-08	25-04-08	Active	NO
8	U29221KA2008PTC045987	Bosch Automotive Electronics India Private Limited	Director	29-09-09	01-01-09	Active	NO
9	U29120PN1994PTC079126	Hagglunds Drives (India) Private Limited	Director	02-09-10	02-09-10	Amalgamated	NO
10	U29300MH1997PTC110691	BSH Home Appliances Private Limited	Additional director	09-12-10	09-12-10	Active	NO
11	U26941TN2000PTC044765	Flsmidth Private Limited	Director	29-09-11	05-05-11	Active	NO
12	U34200PN2011PLC140066	Foundation Brake Manufacturing Limited	Director	05-07-11	05-07-11	Active	NO

KEY EXECUTIVES

Name :	Mr. Viraraghavan Viyaygopal
Designation :	Secretary
Address :	GF 2, Akshaya, 12 Chamiers Road, Nandanam, Chennai – 600 035 Tamilnadu, India
Date of Birth/Age :	27.05.1962
Date of Appointment :	06.11.2000
PAN No.:	AADPV2272J
Name :	Rajan R K
Designation :	Vice President Sales and Marketing
Name :	Eriksen Lars Friis
Designation :	Manager
Name :	Simon Bjoern Beiskjaer
Designation :	Vice President
Name :	Martin Stig Solberg
Designation :	Vice President and Chief Finance Officer
Name :	Peter Kappelgaard Daugaard
Designation :	Manager
Name :	Sergio Zamorano
Designation :	General Manager
Name :	Otto Jacobsen
Designation :	Inspector
Name :	Jorgen C. Iversen
Designation :	Vice President
Name :	Michael Kjaersdam
Designation :	Inspector
Name :	Jette Merete Holm
Designation :	Project Coordinator
Name :	Christian Eric Friberg Hansen
Designation :	Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.2011

Names of Shareholders	No. of Shares
Flsmidth Minerals Holding ApS, Denmark	1699900
Flsmidth Minerals Holding ApS and Flsmidth A/S, Denmark	100
Flsmidth Minerals Holding ApS, Denmark	24143314
Total	25843314

As on 29.09.2011

Equity Share Breakup	Percentage of Holding
Category
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]	100.00

BUSINESS DETAILS

Line of Business :

Manufacturing and Supplying of equipments for cement plants and supervision of erection and commissioning of cement plant and equipments.

Products :

Item No. (ITC Code)	Product Description
841989.11	Machinery and Equipments for Cement Industry
842119	Air Pollution Control Equipments
90328904	Process Control Equipments

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

v Canara Bank, Anna Nagar (East) Branch, Chennai – 600 102, Tamilnadu, India

v ICICI Bank Limited, High Road, Chennai, Tamilnadu, India

v ABN AMRO Bank N.V., Haddows Road

v Indo Zambia Bank Limited, Chingola Branch

v Standard Chartered Bank, Rajaji Salai

v The HSBC Limited, Mylapore

v The HSBC Limited, Chennai, Tamilnadu, India

v ABN Amro Bank, Chennai, Tamilnadu, India

v The HSBC Limited, Chennai, Tamilnadu, India

v The HSBC Limited, Vadodara, Gujarat, India

v The HSBC, Limited, Mumbai, Maharashtra, India

Facilities :

Secured Loans	31.03.2011 (Rs. In Millions)	31.03.2010 (Rs. In Millions)
Loan taken for fixed assets secured (abstract)
Loan taken for vehicle secured	(A) 5.717	16.160
Total	(B) 5.717	16.160

Notes:

(A) Secured by Assets taken under Lease

(B) Amount Repayable within One Year : Rs.4.738 millions (PY : Rs.9.038 millions)

Auditors :
Name :	Deloitte Haskins and Sells Chartered Accountants
Address :	ASV N Ramana Towers, 52, Venkatnarayana Road, T. Nagar, Chennai – 600 017, Tamilnadu, India
Tel. No.:	91-44-66885000
Fax No.:	91-44-66885050
PAN No.:	AACFD4815A
Holding Company :	FLSmidth Minerals Holding ApS, Denmark (from 14.11.2008)
Ultimate Holding Company :	FLSmidth and Company A/S, Denmark
Subsidiary Company :	EEL India Private Limited, India (CIN No.: U51909HR1988PTC032878)
Fellow Subsidiary Companies :	v FlSmidth Minerals A/S, Denmark v FLSmidth Airloq A/S, Denmark v FLS MILJØ A/S, Denmark v NL Supervision Company A/S, Denmark v FLSmidth Inc. USA v FLSmidth Kerb Inc. USA v FLSmidth Salt Lake City, Inc., USA (Pekin) v Advanced Filtration Technologies Corp, USA v FLSmidth Boise Inc. USA v FLSmidth Spokane Inc., USA (Rahco) v FLSmid th Dorr-Oliver Inc. USA v FLSmidth Airtech Inc, USA v FLS Minerals Pty Limited, Australia v FLSmidth Pty Limited, Australia v FLSmidth ABON Pty Limited, Australia v FLSmidth Machinery Industry (Qingdao) Limited, China v FLSmidth (Beijing) Limited, China v FLSmidth Wiesbaden GmBH , Germany v FLSmidth Hamburg GmBH, Germany v FLSmidth Wadgassen GmBH, Germany v FLSmidth MVT GmBH - Germany v FLSmidth Pfister Gmbh, Germany v FLSmidth Maag gear AG, Switzerland v FLSmidth Milano S.r.l, Italy v FLSmidth Automation Italia S.r.l, Italy v FLSmidth Ventomatic SPA, Italy v FLSmidth Kovako B.V., Netherlands v FL Smidth SA, Spain v NL Supervision Company A/S, UAE, (Middle East) v FLSmidth Limited,  UK v FLSmidth (Pty) Limited. South Africa v FLS Automation South Africa (Pty.) Limited., South Africa v FLSmidth Maag Gear SP. Z.O.O., Poland v FLSmidth, Canada v FLSmidth LTDa, Brazil v FLSmidth Wuppertal GmBH - Germany v FLSmidth Spol. S.r.o. - Czech Republic v FLSmidth Rus OOO, Russia v S L S Corporation, USA v FLSmidth Dorr-Oliver Eimco UK Limited, United Kingdom
Other Related Parties :	v FLSmidth A/S, Denmark

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
27000000	Equity Shares	Rs.10/- each	Rs.270.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
25843314	Equity Shares	Rs.10/- each	Rs.258.433 Millions

Notes:

The entire paid-up share capital of the Company is held by FLSmidth Minerals Holding ApS, Denmark, the Company's Holding Company and its nominees.

The ultimate Holding Company is FLSmidth and Company A/S, Denmark.

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		258.433	268.433	268.433
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		6448.131	5909.758	4711.973
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		6706.564	6178.191	4980.406
LOAN FUNDS
1] Secured Loans		5.717	16.160	32.545
2] Unsecured Loans		0.000	0.000	99.056
TOTAL BORROWING		5.717	16.160	131.601
DEFERRED TAX LIABILITIES		0.000	57.990	30.525
TOTAL		6712.281	6252.341	5142.532
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		1786.922	1684.731	1894.750
Capital work-in-progress		27.648	3.998	43.266
INVESTMENT		2724.971	2492.813	1323.984
DEFERRED TAX ASSETS		72.529	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	596.099	463.581	296.459
	Sundry Debtors	7607.167	5648.149	6876.713
	Cash & Bank Balances	840.552	976.038	1169.760
	Other Current Assets	1524.954	1864.064	0.000
	Loans & Advances	2077.421	2174.031	2398.995
Total Current Assets		12646.193	11125.863	10741.927
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	2993.909	3055.846	3883.858
	Other Current Liabilities	6989.163	5266.728	4712.223
	Provisions	562.910	732.490	265.314
Total Current Liabilities		10545.982	9055.064	8861.395
Net Current Assets		2100.211	2070.799	1880.532
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		6712.281	6252.341	5142.532

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	19837.644	14873.758	18819.068
		Other Income	424.127	223.815	408.328
		TOTAL	20261.771	15097.573	19227.396
Less	EXPENSES
		Office Expenses	18682.857	13313.643	16626.084
		Administrative Expenses
		Advertising Expenses
		Interest
		Depreciation
		TOTAL	18682.857	13313.643	16626.084
	PROFIT BEFORE TAX		1578.914	1783.930	2601.312
Less	TAX		586.428	594.756	959.288
	PROFIT AFTER TAX		992.486	1189.174	1642.024
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		2309.480	1112.233	1714.002
Less	DEFICIT ON AMALGAMATION ADJUSTED		0.000	0.000	2268.836
Less	APPROPRIATIONS
		Transfer from Foreign Projects Reserve	0.000	8.073	(40.693)
		Transfer to Capital Redemption Reserve	10.000	0.000	0.000
		Transfer to General Reserve	0.000	0.000	15.650
	BALANCE CARRIED TO THE B/S		3291.966	2309.480	1112.233
	EARNINGS IN FOREIGN CURRENCY
		Export of goods - (FOB basis)	NA	535.515	1659.652
		Commission	NA	7.523	7.421
		Technical Services	NA	1190.480	1732.153
		Others	NA	5.661	0.000
	TOTAL EARNINGS		NA	1739.179	3399.226
	IMPORTS
		Capital goods	NA	9.692	77.998
		Raw material	NA	47.643	123.427
		Spares and components	NA	1086.073	1631.500
	TOTAL IMPORTS		NA	1143.408	1832.925
	Earnings Per Share (Rs.)		38.40	44.30	132.75

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	4.90	7.88	8.54
Net Profit Margin (PBT/Sales)	(%)	7.96	11.99	13.82
Return on Total Assets (PBT/Total Assets}	(%)	10.94	13.93	20.59
Return on Investment (ROI) (PBT/Networth)		0.24	0.29	0.52
Debt Equity Ratio (Total Liability/Networth)		1.57	1.47	1.81
Current Ratio (Current Asset/Current Liability)		1.20	1.23	1.21

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) Constitutions 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	Yes
12) Profitability for last three years	Yes
13) Reasons for variation <> 20%	--
14) Estimation for coming financial year	No
15) Capital in the business	Yes
16) Details of sister concerns	Yes
17) Major suppliers	No
18) Major customers	No
19) Payments terms	No
20) Export / Import details (if applicable)	No
21) Market information	--
22) Litigations that the firm / promoter involved in	--
23) Banking Details	Yes
24) Banking facility details	Yes
25) Conduct of the banking account	--
26) Buyer visit details	--
27) Financials, if provided	Yes
28) Incorporation details, if applicable	Yes
29) Last accounts filed at ROC	Yes
30) Major Shareholders, if available	Yes

BACK GROUND

The Company was incorporated on 18^th April, 2000. The Company is in the business of manufacturing and supplying of equipments for cement plants and supervision of erection and commissioning of cement plants and equipments and also undertakes turn-key projects (including erection and commissioning) for minerals industries. The Company also renders certain Engineering/Information Technology elated Services to its Group Companies.

Note:

FFE Minerals India Limited (Merged with FLSmidth Private Limited w.e.f. 1^st April, 2008) had obtained an Advance Authorization Licence from the Office of Directorate General of Foreign Trade (DGFT), Chennai for a CIF Value of Rs.58.503 millions for import of items duty free as specified in the Licence with an obligation to export the resultant export product for a FOB value of Rs.90.000 millions within 24 months from the date of issue of License. The Export Obligation period expired on 30^th April, 2008. During the current year ended 31^st March, 2011, the Company has received an order from the Joint Directorate General of Foreign Trade (JDGFT) dated 25^th March, 2011, specifying that the Company has not submitted the required import / export documents towards the export commitment for duty free import of goods / items and hence an amount of Rs.34.475 millions has been levied as penalty towards non-fulfillment of export obligations in full against the Licence in addition to the Customs Duty and Interest. The Company has quantified the anticipated customs duty claim on this account as Rs.22.912 millions. The Company has filed a reply on 4^th May, 2011 with the Additional Director of Foreign Trade, New Delhi against the above order and the same is pending to be heard.

FIXED ASSETS:

OWNED

TANGIBLE:

v Freehold Land

v Building Factory

v Building Office

v Computers

v Electrical Installation

v Furniture and Fixtures

v Lease Hold Improvements

v Office Equipments

v Plant and Machinery

v Air-conditioners and refrigerators

v Temporary Shed at Site

v Vehicles

INTANGIBLE:

v Software

LEASED

v Computers

v Vehicles

WEBSITE DETAILS:

ICRA has reaffirmed the long term rating of LAA-(pronounced as L double A minus) to the fund based and non-fund based bank limits of FLSmidth Private Limited (FLSPL)* aggregating to Rs.19875.000 millions† (enhanced from Rs.12275.000 millions); the outlook on the long term rating is Stable. ICRA has also reaffirmed the short term rating of A1+ (pronounced as A one plus) to the short term non-fund based limits of FLSPL aggregating to Rs.19082.000 millions (enhanced from Rs.11775.000 millions). The total utilisation of non-fund based limits should not exceed Rs.19082.000 millions.

The reaffirmation in ratings continues to reflect the strong business risk profile of FLSPL, resulting from the leading market position of FLSPL in cement machinery / equipment and material handling and mineral processing machinery business, aided by the strong technical strengths derived from its ultimate parent FLSmidth and Co A/S, Denmark, low industry concentration risks with business exposure across industries like cement, power, iron and steel, coal and alumina and the strong order book position of Rs.28220.000 millions as on 31^st December, 2010 which is further supported by the expected high levels of investments in the end-user industries like power and infrastructure. ICRA also takes note of the strong financial risk profile of FLSPL as reflected in negligible gearing, strong debt protection metrics and comfortable liquidity position. With the healthy cash and liquid investment balance at present and strong accruals from operations, ICRA expects the capital structure of FLSPL to remain favourable going forward. ICRA also draws comfort from the corporate guarantee extended by the parent company to the working capital facilities of FLSPL. The ratings are, however, constrained by the cyclicality inherent in the capacity additions of user industries, as well as the significant competitive pressures from other well established players in the industry. ICRA also notes that the company’s efforts to manage raw material costs within bid levels remain critical to the profitability of FLSPL, given the raw material intensive nature of operations and the ‘fixed price’ nature of most supply contracts. Going forward, increased bargaining power of customers and high competition for high value orders may exert downward pressure on the margins of the company, with a few such orders currently being executed.

Company Profile

FLSmidth Private Limited (FLSPL), an engineering organization and a member of the FLSmidth group, was incorporated on April 18, 2000 as FLS Automation India Private Limited, a subsidiary of Dan Indian Holding Aps, Denmark. It started commercial operations from 01 July, 2000 and the company was initially engaged in designing, selling, supervision of erection and commissioning, rendering engineering, after-sales service and consultancy for the complete automation and control systems for cement and other process industries only. However, with effect from 01 January 2005, FLSmidth Limited, a company engaged in the business of design, manufacture, supply and supervision of erection and commissioning of cement machinery, spares and equipment merged with FLS Automation India Private Limited and the merged entity was renamed as FLSmidth Private Limited. Further, during CY 2009, three group companies namely FLSmidth Minerals Private Limited, FLSmidth Designs Private Limited and FLSmidth Infotech Private Limited were amalgamated with FLSPL with effect from 1^st April 2008. The merger between the above mentioned Indian entities was done after the merger of their immediate parents at the global level and as a result, FLSmidth Mineral Holdings ApS has replaced Dan Indian Holding ApS as FLSPL’s new immediate parent company. The company has a foundry in Arakonnam for manufacturing special small castings (spare parts) used in the cooler section of cement plants. The facility has an installed capacity of 800 MT/year and was commissioned in CY 2009.

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.55.79
UK Pound	1	Rs.86.37
Euro	1	Rs.70.07

INFORMATION DETAILS

Report Prepared by :

SMN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	7
OPERATING SCALE	1~10	8
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	8
--PROFITABILIRY	1~10	8
--LIQUIDITY	1~10	8
--LEVERAGE	1~10	7
--RESERVES	1~10	8
--CREDIT LINES	1~10	7
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		67

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.