MIRA INFORM REPORT

Report Date :

14.03.2012

IDENTIFICATION DETAILS

Name :	CONTINENTAL CONTROLS LIMITED
Registered Office :	Gala No. 202, Krishna House, Shailesh Udyog Nagar, Opposite Nicholas Garage, Sativali Road, Waliv, Vasai (East), Thane-401208, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	02.03.1995
Com. Reg. No.:	11-086040
Capital Investment / Paid-up Capital :	Rs.44.213 Millions
CIN No.: [Company Identification No.]	L31909MH1995PLC086040
Legal Form :	A Public Limited Liability Company. The company’s shares are listed on the Stock Exchanges.
Line of Business :	Manufacturer of Thermal Overload Protectors.
No. of Employees :	180 [Approximately]

RATING & COMMENTS

MIRA’s Rating :

B (29)

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

Maximum Credit Limit :	USD 210000
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 cautions.

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 :	Gala No. 202, Krishna House, Shailesh Udyog Nagar, Opposite Nicholas Garage, Sativali Road, Waliv, Vasai (East), Thane-401208, Maharashtra, India
Tel. No.:	91-250-2454952/53
Fax No.:	91-250-2454956
E-Mail :	info@newkrishna.com
Website :	http://www.newkrishna.com

DIRECTORS

As on 30.09.2011

Name :

Mr. Navin Gordhandas Thakkar

Designation :

Managing Director

Address :

52, Shreeji Vihar, S.V. Road, Kandivali (West), Mumbai-400067, Maharashtra, India

Date of Birth/Age :

31.10.1995

Date of Appointment :

02.03.1995

Din No.:

00251210

Name :

Mr. Amit Navinchandra Thakkar

Designation :

Whole Time Director

Address :

52, Shreeji Vihar, S.V. Road, Kandivali (West), Mumbai-400067, Maharashtra, India

Date of Birth/Age :

26.09.1980

Date of Appointment :

01.01.2000

Din No.:

00251194

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	L31909MH1995PLC086040	CONTINENTAL CONTROLS LIMITED	Whole-time director	01-01-00	01-01-00	Active	NO
2	U74900MH2008PTC184911	SHREE KRISHNA CONTROLS PRIVATE LIMITED	Director	22-07-08	22-07-08	Active	NO

Name :

Mr. Sameer Navin Thakkar

Designation :

Director

Address :

52, Shreeji Vihar, S.V. Road, Kandivali (West), Mumbai-400067, Maharashtra, India

Date of Birth/Age :

11.09.1973

Date of Appointment :

01.01.2000

Din No.:

02466774

Name :

Mr. Pradeep Chhotalal Gaglani

Designation :

Director

Address :

11-A, Ashok Niwas, South Pond Road, Vile Parle (West), Mumbai-400056, Maharashtra, India

Date of Birth/Age :

19.08.1959

Date of Appointment :

02.03.1995

Din No.:

00839845

Name :

Mr. Hareshkumar Shantilal Thakkar

Designation :

Director

Address :

Opposite Aradhna Society, Surendra Nagar-363001, Gujarat, India

Date of Birth/Age :

23.03.1956

Date of Appointment :

09.08.2002

Din No.:

02446743

Name :

Mr. Kanaiyalal Shantilal Thakkar

Designation :

Director

Address :

6, Vadipara Lane, Dev Gopal Building, Surendra Nagar-363001, Gujarat, India

Date of Birth/Age :

25.08.1949

Date of Appointment :

09.08.2002

Din No.:

02410950

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 31.12.2011

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	240,353	5.44
Any Others (Specify)	519,254	11.74
Directors/Promoters & their Relatives & Friends	519,254	11.74
Sub Total	759,607	17.18
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	759,607	17.18
(B) Public Shareholding
(1) Institutions
Financial Institutions / Banks	13,926	0.31
Sub Total	13,926	0.31
(2) Non-Institutions
Bodies Corporate	830,742	18.79
Individuals
Individual shareholders holding nominal share capital up to Rs.0.100 Million	2,028,488	45.88
Individual shareholders holding nominal share capital in excess of Rs.0.100 Million	733,115	16.58
Any Others (Specify)	55,378	1.25
Non Resident Indians	8,133	0.18
Hindu Undivided Families	47,175	1.07
Clearing Members	70	-
Sub Total	3,647,723	82.50
Total Public shareholding (B)	3,661,649	82.82
Total (A)+(B)	4,421,256	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)	4,421,256	-

BUSINESS DETAILS

Line of Business :

Manufacturer of Thermal Overload Protectors.

Products :

PRODUCT DESCRIPTION	ITEM CODE
Thermal Overload Protectors	85361009 and 85369009

PRODUCTION STATUS [AS ON 31.03.2011]

Particulars	Unit	Installed Capacity	Actual Production
OLP Single Phase	Nos.	60 Lacs Pieces per Single Shift	3187826
OLP Three Phase	Nos.	30 Lacs Pieces per Single Shift	Nil
OLP Refrigeration	Nos.	6 Lacs Pieces per Single Shift	Nil

GENERAL INFORMATION

No. of Employees :

180 [Approximately]

Bankers :

Bank of India, Kandivali Branch, Sanghavi Chambers, 88, Dr. Dalavi Cross Road, Kandivali (West), Mumbai-400067, Maharashtra, India

Facilities :

Secured Loan	As on 31.03.2011 [Rs. in Millions]	As on 31.03.2010 [Rs. in Millions]
Working capital loan [Cash credit from Bank of India]	7.089	5.087
Total	7.089	5.087

Banking Relations :	--
Auditors :
Name :	D. Kothary and Company Chartered Accountants
Address :	149, Behram Mahal, 2^nd Floor, 534 Dhobi Talao, Mumbai-400002, Maharashtra, India
Pan No.:	AAAFD2013L

CAPITAL STRUCTURE

As On 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
9150000	Equity Shares	Rs.10/- each	Rs.91.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
4421256	Equity Shares	Rs.10/- each	Rs.44.213 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		44.213	44.213	44.213
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		11.055	11.055	11.055
4] (Accumulated Losses)		(2.478)	(4.374)	0.000
NETWORTH		52.790	50.894	55.268
LOAN FUNDS
1] Secured Loans		7.089	5.087	7.122
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		7.089	5.087	7.122
DEFERRED TAX LIABILITIES		2.786	3.128	2.598
TOTAL		62.665	59.109	64.988
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		28.100	30.710	31.694
Capital work-in-progress		9.779	5.532	4.734
INVESTMENT		1.592	1.592	1.592
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	10.293	9.833	6.066
	Sundry Debtors	8.863	7.044	8.132
	Cash & Bank Balances	1.847	0.761	1.158
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	7.940	8.947	10.851
Total Current Assets		28.943	26.585	26.207
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	6.933	6.244	5.673
	Other Current Liabilities	0.143	0.538	0.172
	Provisions	0.000	0.000	0.436
Total Current Liabilities		7.076	6.782	6.281
Net Current Assets		21.867	19.803	19.926
MISCELLANEOUS EXPENSES		1.327	1.472	7.042
TOTAL		62.665	59.109	64.988

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	33.031	33.356	25.002
		Other Income	1.725	1.840	2.447
		TOTAL (A)	34.756	35.196	27.449
Less	EXPENSES
		Consumption Materials Changes Inventories	15.075	14.558
		Manufacturing Service Costs	1.745	1.844	34.691
		Employee Related Expenses	4.493	4.565
		Administrative Selling Other Expenses	7.888	8.339
		TOTAL (B)	29.201	29.305	34.691
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		5.555	5.891	(7.242)
Less	FINANCIAL EXPENSES (D)		1.232	1.514	1.099
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		4.323	4.377	(8.341)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		2.769	2.809	2.921
	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		1.554	1.568	(11.262)
Less	TAX (H)		(0.342)	0.516	(1.941)
	PROFIT / (LOSS) AFTER TAX (G-H) (I)		1.896	1.037	(9.321)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(4.374)	(5.425)	(7.825)
Add	EXCESS PROVISION OF INCOME TAX AND FRINGE BENEFIT TAX		0.000	0.014	0.000
	DEMERGER OF SOFTWARE DIVISION		0.000	0.000	11.721
	BALANCE CARRIED TO THE B/S		(2.478)	(4.374)	(5.425)
	Earnings / (Loss) Per Share (Rs.)		0.43	0.23	(2.11)

QUARTERLY RESULTS

PARTICULARS	30.06.2011	30.09.2011	31.12.2011
Type	1^st Quarter	2^nd Quarter	3^rd Quarter
Net Sales	7.470	8.350	5.04
Total Expenditure	6.060	7.010	9.90
PBIDT (Excl OI)	1.410	1.340	(4.860)
Other Income	0.040	0.050	0.04
Operating Profit	1.450	1.390	(4.820)
Interest	0.400	0.34	0.34
PBDT	1.050	1.050	(5.160)
Depreciation	0.700	0.700	0.70
Profit Before Tax	0.350	0.350	(5.860)
Profit After Tax	0.350	0.350	(5.860)
Net Profit	0.350	0.350	(5.860)

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	5.45	2.95	(33.95)
Net Profit Margin (PBT/Sales)	(%)	4.70	4.70	(45.04)
Return on Total Assets (PBT/Total Assets}	(%)	2.72	2.74	(19.45)
Return on Investment (ROI) (PBT/Networth)		0.03	0.03	(0.20)
Debt Equity Ratio (Total Liability/Networth)		0.27	0.23	0.24
Current Ratio (Current Asset/Current Liability)		4.09	3.92	4.17

LOCAL AGENCY FURTHER INFORMATION

NOTE:

The registered office of the company has been shifted from Siddharth Industrial Estate, No. 2, Gala No. 1, Shailesh Udyog Nagar, Opposite Nicolance Garage Vasai (East), Thane-401208, Maharashtra, India to the present address w.e.f. 30.01.2010.

OPERATION:

During the year the Company's turnover has decreased from Rs. 33.356 Millions to Rs. 33.031 Millions. The Net Profit Before tax is Rs. 1.554 Millions against the last year profit of Rs. 1.568 Millions.

BANKERS CHARGES REPORT AS PER REGISTRY

This form is for	Modification of charge
Charge identification number of the modified	90215861
Corporate identity number of the company	L31909MH1995PLC086040
Name of the company	CONTINENTAL CONTROLS LIMITED
Address of the registered office or of the principal place of business in India of the company	Gala No. 202, Krishna House, Shailesh Udyog Nagar, Opposite Nicholas Garage, Sativali Road, Waliv, Vasai (East), Thane-401208, Maharashtra, India
Type of charge	Book Debts Movable Property [not being pledge] Immovable Property
Particular of charge holder	Bank of India, Kandivali Branch, Sanghavi Chambers, 88, Dr. Dalavi Cross Road, Kandivali (West), Mumbai-400067, Maharashtra, India
Email	kandivli.mumbainorth@bankofindia.co.in
Nature of description of the instrument creating or modifying the charge	1) Supplemental agreement of hypothecation of Plant and Machinery, Stocks, and Book Debts dated 08/09/2010 2) Extension of equitable mortgage dated 08/09/2010 (Both documents constitute modification to single charge)
Date of instrument Creating the charge	08.09.2010
Amount secured by the charge	Rs.13.000 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest CC (St. and BDs):0.50% over BOIPLR at present 12.50% p.a. with monthly rests, FBP/FBD: As per FEDAI Rules, Imp. L/C DP/DA 90 days: As per extant guidelines or as may be notified by Bank from time to time. Terms of Repayment On Demand/Annual Review. Margin i) CC (Hypothecation Stock):25% ii) CC (Book Debts): 40% iii) Import LC (DP/DA 90 days):25% or as specified by the Bank from time to time. Extent and Operation of the charge The security and charge hereby created shall be a security by way of first charge on all the said hypothecated assets and the mortgaged property for the due payment as provided in this deed of all moneys, including the principal sums, interest/commission, costs, charge and expenses and all other moneys, whatsoever due owing and payable by Borrower to Bank, under or in respect of or in connection with or in anywise concerning or relating to said facilities agreed to be granted and/or granted.. Continue in13(e)other Others By Bank to Borrower and also for due repayment of all present and future indebtedness and liabilities of Borrowers to bank of any kind in any manner whether solely or jointly primary or collateral ,accrued or accruing with all relative interest, commission, charges, costs and expenses Revised Facilities and Limits(Rs. in Millions):1) FB: CC: i) Hypothecation of Stocks Rs.6.000,ii) Hypothecation of BD Rs.2.000 Max.(I and ii) Rs.7.000, iii)FBP/FBD Rs.5.000 Max.(i, ii and iii) Rs.9.500, Max.(ii and iii) Rs.5.000 2) NFB:I mp LC DA/DP 90 days Rs.3.500 Total Max.(1 and 2) Rs.13.000.
Short particulars of the property charged	1 )a) All tangible movable machineries and plant, both present and future b) All tangible movable properties and assets of whatsoever nature (both present and future) Continue(ii), (iii), (iv) and (v) c) All the present and future book debts, outstanding, money receivables, claims, bills etc. Details as per Supplemental Agreement of Hypothecation (2) All that piece of land and buildings and structures thereon, fixed P and M, fixtures and fittings (present and future) situate at Unit No.17 Ground Floor, Ind. Building No. 'B' Complex, Tirupati Udyog Nagar, Village Waliv, Tal. Vasai, Dist Thane. Details as per oral assents.
Date of latest modification prior to the present modification	28.04.2009
Particulars of the present modification	3rd Modification. The Bank has enhanced CC sub limits but retained the aggregate limit at Ra.13.000 Millions. The principal amount of charge on hypothecated assets and on immovable properties remain unchanged at Rs.13.000 Millions. Revised Facilities and Limits (Rs. in Millions):1) FB: CC: i) Hypothecation of Stocks Rs.6.000,ii) Hypothecation of BD Rs.2.000 Max.(I and ii)Rs.7.000, iii) FBP/FBD Rs.5.000 Max.(i, ii and iii) Rs.9.500, Max.(ii and iii) Rs.5.000, 2) NFB: Imp LC DA/DP 90 days Rs.3.500 , Total Max.(1 and 2) Rs.13.000.

FIXED ASSETS:

· Computer

· Factory Premises

· Furniture and Fixtures

· Land Quarters

· Plant and Machineries

· Vehicles

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.49.85
UK Pound	1	Rs.77.97
Euro	1	Rs.65.62

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	4
--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	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	YES
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		29

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.