1. Summary Information
|
|
|
Country |
|
|
Company Name |
Goodyear India Limited |
Principal Name 1 |
Mr.
Pierre E Cohade |
|
Status |
Good |
Principal Name 2 |
Mr. Rajeev
Anand |
|
|
|
Registration # |
05-8578 |
|
Street Address |
Mathura Road, Ballabgarh, Faridabad – 121004, Haryana, India |
||
|
Established Date |
28.03.1961 |
SIC Code |
-- |
|
Telephone# |
91-129-6611000 / 6611111 |
Business Style 1 |
Manufacturing |
|
Fax # |
91-129-2305309 |
Business Style 2 |
Selling |
|
Homepage |
Product Name 1 |
Automotive Tyres |
|
|
# of employees |
976 (Approximately) |
Product Name 2 |
Truck |
|
Paid up capital |
Rs.230,665,070/- |
Product Name 3 |
LCV Tyres |
|
Shareholders |
Shareholding of Promoter and Promoter Group-
74.00%, Public Shareholding- 26.00% |
Banking |
Punjab
National Bank |
|
Public Limited Corp. |
Yes |
Business Period |
51 years |
|
IPO |
Yes |
International Ins. |
-- |
|
Public |
Yes |
Rating |
A (63) |
|
Related
Company |
|||
|
Relation
|
Country
|
Company
Name |
CEO |
|
Note |
-- |
||
2. Summary
Financial Statement
|
Balance Sheet as of |
31.12.2010 |
(Unit: Indian Rs.) |
|
|
Assets |
Liabilities |
||
|
Current Assets |
3,338,059,000 |
Current Liabilities |
2,688,692,000 |
|
Inventories |
612,988,000 |
Long-term Liabilities |
0,000,000 |
|
Fixed Assets |
1,385,059,000 |
Other Liabilities |
534,609,000 |
|
Deferred Assets |
0,000,000 |
Total Liabilities |
3,223,301,000 |
|
Invest& other Assets |
594,744,000 |
Retained Earnings |
2,476,884,000 |
|
|
|
Net Worth |
2,707,549,000 |
|
Total Assets |
5,930,850,000 |
Total Liab. & Equity |
5,930,850,000 |
|
Total Assets (Previous Year) |
4,821,263,000 |
|
|
|
P/L Statement as of |
31.12.2010 |
(Unit: Indian Rs.) |
|
|
Sales |
12972,278,000 |
Net Profit |
748,111,000 |
|
Sales(Previous yr) |
10151,036,000 |
Net Profit(Prev.yr) |
730,942,000 |
MIRA
INFORM REPORT
|
Report Date : |
24.03.2012 |
IDENTIFICATION DETAILS
|
Name : |
GOODYEAR INDIA LIMITED |
|
|
|
|
Formerly Known
As : |
GOODYEAR TIRE AND RUBBER COMPANY ( |
|
|
|
|
Registered
Office : |
Mathura Road, Ballabgarh, Faridabad – 121004, Haryana |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.12.2010 |
|
|
|
|
Date of
Incorporation : |
28.03.1961 |
|
|
|
|
Com. Reg. No.: |
05-008578 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.230.665 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L25111HR1961PLC008578 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
DELG00070A / RTKG03767B |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACG3511H |
|
|
|
|
Legal Form : |
It is a Public
Limited liability Company. The
company’s shares are listed on the Stock Exchanges. Subject is a subsidiary of Goodyear Tire and Rubber Company Limited, a multinational giant with a universally recognised brand name. |
|
|
|
|
Line of Business
: |
Manufacturing and selling of Automotive Tyres, Truck, Bus, Car, Tractor, Jeep and LCV Tyres. |
|
|
|
|
No. of Employees
: |
976 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (63) |
|
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 10000000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well established company having good track. Financial position of the company appears to be sound. 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 /Factory : |
|
|
Tel. No.: |
91-129-6611000 / 6611111 |
|
Fax No.: |
91-129-2305309 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Head Office : |
Godrej Bhavan, |
|
Tel. No.: |
91-11-26836567 (8 Lines) |
|
Fax No.: |
91-11-26836170 |
|
|
|
|
Head Quarter: |
|
|
Tel No.: |
330-7962121 |
|
|
|
|
Corporate Office : |
1st Floor, ABW Elegance Tower, Plot No.8, Commercial Centre, Jasola, New Delhi – 110025, India |
DIRECTORS
(AS ON 31.12.2010)
|
Name : |
Mr.
Pierre E Cohade |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. Rajeev Anand |
|
Designation : |
Vice Chairman and Managing Director |
|
|
|
|
Name : |
Mr. R V Gupta |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. C. Dasgupta |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Brad Lakhia |
|
Designation : |
Alternate Director |
|
|
|
|
Name : |
Mr. Rajiv Lochan Jain |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr.
Yashwant Singh Yadav |
|
Designation : |
Whole-time Director |
KEY EXECUTIVES
|
Name : |
Mr. Pankaj Gupta |
|
Designation : |
Head Legal and
Company Secretary |
|
|
|
|
Name : |
Mr. Philippe Lecerf |
|
Designation : |
Chief Financial Officer |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
(AS ON 31.12.2011)
|
Names of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A)
Shareholding of Promoter and Promoter Group |
|
|
|
|
-- |
-- |
|
|
|
|
|
|
17,069,215 |
74 |
|
|
17,069,215 |
74 |
|
|
|
|
|
Total
shareholding of Promoter and Promoter Group (A) |
17,069,215 |
74.00 |
|
|
|
|
|
(B)
Public Shareholding |
|
|
|
|
|
|
|
|
1,238,524 |
5.37 |
|
|
9,764 |
0.04 |
|
|
59,663 |
0.26 |
|
|
488,201 |
2.12 |
|
|
1,796,152 |
7.79 |
|
|
|
|
|
|
|
|
|
|
524,679 |
2.27 |
|
|
|
|
|
|
3,011,411 |
13.06 |
|
|
408,574 |
1.77 |
|
|
256,476 |
1.11 |
|
|
5,892 |
0.03 |
|
|
151,802 |
0.66 |
|
|
23,650 |
0.1 |
|
|
75,132 |
0.33 |
|
|
4,201,140 |
18.21 |
|
|
|
|
|
Total
Public shareholding (B) |
5,997,292 |
26.00 |
|
|
|
|
|
Total
(A)+(B) |
23,066,507 |
100.00 |
|
|
|
|
|
(C)
Shares held by Custodians and against which Depository Receipts have been
issued |
- |
- |
|
|
- |
- |
|
|
- |
- |
|
|
- |
- |
|
|
|
|
|
Total
(A)+(B)+(C) |
23,066,507 |
100.00 |
(1) Indian
Bodies Corporate
Individual shareholders holding nominal
share capital up to Rs.0.100 Million BUSINESS DETAILS
|
Line of Business : |
Manufacturing and selling of Automotive Tyres, Truck, Bus, Car, Tractor, Jeep and LCV tyres. |
||||||||||||
|
|
|
||||||||||||
|
Products : |
Automotive Tyres, Truck, Bus, Car, Tractor, Jeep and LCV tyres.
|
PRODUCTION STATUS (AS ON 31.12.2010)
|
Particulars |
Unit |
Installed Capacity |
Actual Production |
|
|
|
|
|
|
Automotive Tyres |
(Nos.) |
1422 |
1279 |
NOTE:
1.
The Installed capacity is
as certified by the Management and relied upon by the Auditor’s being a
technical matter.
2.
Production does not
include conversion by outside sources.
|
Tubes (Nos.) |
1,685 |
(1,451) |
|
Flaps (Nos.) |
77 |
(206) |
GENERAL INFORMATION
|
No. of Employees : |
976 (Approximately) |
|
|
|
|
Bankers : |
·
Citibank, ·
Bank of ·
Punjab National Bank, |
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Price Waterhouse Chartered Accountants Cost auditor Dr. Ashok K. Agarwal Cost Auditor |
|
|
|
|
Holding Company: |
·
The Goodyear Tire and Rubber Company, |
|
|
|
|
Fellow Subsidiaries: |
·
Goodyear
International Corporation ·
Goodyear
Dunlop Tires Operations SA ·
Goodyear
Middle East, FZE ·
Goodyear
Earthmovers Pty Limited ·
Goodyear
Dalian Tire Company Limited ·
Goodyear
and Dunlop Tyres (NZ) Limited ·
Goodyear
Dunlop Italia ·
Goodyear
(Thailand) Public Company Limited ·
Goodyear
Taiwan Limited ·
Goodyear
Do Brasil Produtos De Borracha Limited ·
Goodyear
De Colombia S.A. ·
Goodyear
Great Britain Limited ·
PT
Goodyear Indonesia TBK ·
Goodyear
SA (Luxembourg) ·
Compania
Goodyear Del Peru SA ·
Goodyear
South Africa (Pty) Limited ·
Goodyear
Wingfoot KK ·
Goodyear
Philippines Inc. ·
Goodyear
Lastikleri T.A.S. ·
Goodyear
Dunlop Tires, France ·
Goodyear
Singapore Tyres ·
Goodyear
Marketing and Sales SDN Bhd. ·
TC
Debica SA. ·
Goodyear
and Dunlop Tyres (Australia) Pty Limited ·
Goodyear
South Asia Tyres Private Limited |
CAPITAL STRUCTURE
(AS ON 31.12.2010)
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
30000000 |
Equity Shares |
Rs.10/- each |
Rs. 300.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
23066507 |
Equity Shares |
Rs.10/- each |
Rs. 230.665 Millions |
|
|
|
|
|
NOTES:
17,069,215 Shares are held by the Goodyear Tire
and Rubber company, Akron, Ohio, USA (the Holding Company ) Of which 1,203,926
shares are allotted as fully paid up pursuant
to a contract without payment being received in cash.
12,159,379 shares were allotted as fully paid up
way of bonus shares by capitalisation of General reserve Rs.114.188 Millions
and shares premium Account Rs.7.406 Millions)
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.12.2010 |
31.12.2009 |
31.12.2008 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
230.665 |
230.665 |
230.665 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
2476.884 |
1917.672 |
1376.905 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
2707.549 |
2148.337 |
1607.570 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
0.000 |
0.000 |
0.000 |
|
|
2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
|
|
TOTAL BORROWING |
0.000 |
0.000 |
0.000 |
|
|
DEFERRED TAX LIABILITIES |
101.760 |
107.723 |
110.081 |
|
|
|
|
|
|
|
|
TOTAL |
2809.309 |
2256.060 |
1717.651 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
1385.059 |
1203.241 |
1152.457 |
|
|
Capital work-in-progress |
594.744 |
363.173 |
125.061 |
|
|
|
|
|
|
|
|
INVESTMENT |
0.000 |
0.000 |
0.000 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
612.988
|
516.629
|
714.052 |
|
|
Sundry Debtors |
976.632
|
986.667
|
1018.982 |
|
|
Cash & Bank Balances |
2179.401
|
1587.722
|
552.293 |
|
|
Other Current Assets |
0.000
|
0.000
|
0.000 |
|
|
Loans & Advances |
182.026
|
163.831
|
115.363 |
|
Total
Current Assets |
3951.047
|
3254.849
|
2400.690 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditor |
1803.249
|
1569.690
|
1020.274 |
|
|
Other Current Liabilities |
885.443
|
551.788
|
505.228 |
|
|
Provisions |
432.849
|
443.725
|
435.055 |
|
Total
Current Liabilities |
3121.541
|
2565.203
|
1960.557 |
|
|
Net Current Assets |
829.506
|
689.646
|
440.133 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
2809.309 |
2256.060 |
1717.651 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.12.2010 |
31.12.2009 |
31.12.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
12972.278 |
10151.036 |
9190.985 |
|
|
|
Other Income |
171.047 |
48.704 |
135.680 |
|
|
|
TOTAL (A) |
13143.325 |
10199.740 |
9326.665 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Raw material Consumed |
6528.379 |
4296.745 |
4689.808 |
|
|
|
Work in Process and finished Goods |
2888.364 |
2660.605 |
2382.256 |
|
|
|
Increase/ (Decrease) in Excise duty on finished Goods |
4.924 |
(13.522) |
(7.430) |
|
|
|
Other manufacturing expenses |
2423.452 |
1981.668 |
1602.340 |
|
|
|
TOTAL (B) |
11845.119 |
8925.496 |
8666.974 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
1298.206 |
1274.244 |
659.871 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
35.569 |
34.034 |
24.667 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
1262.637 |
1240.210 |
635.204 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/ AMORTISATION (F) |
153.386 |
126.089 |
111.883 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
1109.251 |
1114.121 |
523.321 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
361.140 |
383.179 |
201.431 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
748.111 |
730.942 |
321.890 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
1033.047 |
571.012 |
451.042 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
80.000 |
80.000 |
40.000 |
|
|
|
Proposed Dividend |
161.466 |
161.466 |
138.399 |
|
|
|
Tax on Dividend |
26.194 |
27.441 |
23.521 |
|
|
BALANCE CARRIED
TO THE B/S |
1513.498 |
1033.047 |
571.012 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
594.020 |
572.050 |
762.929 |
|
|
|
Other Earnings |
25.010 |
7.168 |
4.567 |
|
|
TOTAL EARNINGS |
619.030 |
579.218 |
767.496 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
889.180 |
511.987 |
777.993 |
|
|
|
Stores & Spares |
5.120 |
16.605 |
4.321 |
|
|
|
Capital Goods |
100.580 |
182.652 |
66.225 |
|
|
|
Others |
885.590 |
0.000 |
0.000 |
|
|
TOTAL IMPORTS |
1880.470 |
711.244 |
848.539 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
32.43 |
31.69 |
13.95 |
|
QUARTERLY RESULTS
|
PARTICULARS |
31.03.2011 |
30.06.2011 |
30.09.2011 |
31.12.2011 |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
4th
Quarter |
|
Net Sales |
3364.000 |
3894.500 |
3949.100 |
3951.700 |
|
Total Expenditure |
3120.300 |
3642.800 |
3668.500 |
3608.100 |
|
PBIDT (Excl OI) |
243.700 |
251.700 |
280.600 |
343.600 |
|
Other Income |
17.700 |
21.500 |
25.500 |
27.100 |
|
Operating Profit |
261.400 |
273.200 |
306.100 |
370.700 |
|
Interest |
8.800 |
9.200 |
18.600 |
15.500 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
0.000 |
|
PBDT |
252.600 |
264.000 |
287.500 |
355.200 |
|
Depreciation |
43.300 |
49.000 |
51.200 |
53.400 |
|
Profit Before Tax |
209.300 |
215.000 |
236.300 |
301.800 |
|
Tax |
71.500 |
69.700 |
76.600 |
98.700 |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
137.800 |
145.300 |
159.700 |
203.100 |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
0.000 |
|
Net Profit |
137.800 |
145.300 |
159.700 |
203.100 |
KEY RATIOS
|
PARTICULARS |
|
31.12.2010 |
31.12.2009 |
31.12.2008 |
|
PAT / Total Income |
(%) |
5.69
|
7.17
|
5.61
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
8.55
|
10.98
|
5.69
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
20.79
|
24.99
|
14.73
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.41
|
0.52
|
0.33
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
1.15
|
1.19
|
1.21
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.27
|
1.27
|
1.22
|
LOCAL AGENCY FURTHER INFORMATION
BUSINESS
DESCRIPTION
Subject develops, manufactures, distributes and sells tires for
most applications. It manufactures its products in more than 57 facilities in
23 countries around the world. Goodyear develops, manufactures, distributes and
sells tires for most applications. This includes tires for cars, trucks, buses,
motorcycles, airplanes, earthmoving and mining equipment, industrial and
agricultural equipment, and more. Goodyear has two plants, one each in
Ballabgarh and Aurangabad. In the passenger car segment, Goodyear supplies
tires to many original equipment manufacturers in India. In the farm segment,
Goodyear tires are supplied to all the major tractor companies. The Company
manufactures automotive bias tyres viz. Farm tyres and Medium Commercial Truck
tyres at its Ballabgarh plant and also trades in Goodyear' branded tyres (including
Radial passenger and Off the- road Bias Tyres) manufactured by Goodyear South
Asia Tyres Private Limited (GSATPL) Aurangabad. For the three months ended 31
March 2010, company revenues increased 16% to RS3.36B. Net income decreased 2%
to RS137.8M. Revenues reflect an increase in income from operations and higher
other operating income. Net income was offset by an increase in consumption of
raw materials, a rise in employee cost, higher depreciation charges, an
increase in interest and increased other expenditure.
HISTORY:
Goodyear
In 1993, a joint venture South Asia Tyres, was effected with RPG-Ceat to manufacture
steel radial passenger tyres, truck tyres and bias earthmover tyres earlier
imported. Goodyear's product profile includes ultra large earthmover tyres,
which are import substitutes, power tread passenger radial tyres, light and
medium commercial truck tyres, farm tyres, automotive tyres, etc, which are
marketed under the Goodyear brand.
The company undertook modernisation and expansion of its units to increase
productivity. It was accredited with ISO 9002 certification by National Quality
Assurance,
In 1999, it launched
It introduced three new products for truck and light truck segments.
They are the Power 2000, the Power Torq+ and the Power Max+, targeted at the
medium, commercial and light truck segments, respectively. The new tyres were
created state-of-the-art computer modelling techniques to reduce tread wear.
The company explored new markets beyond the borders and expanded the areas of
its marketing influence in
During 2005, the company launched a new Rear Farm Tyre 'Sampurna' which was ver
well accepted in the Market. During the year the companies production capacity
of Automotive Tyre stood at 1264 Nos.
The companies strategic initiative in tyre retailing took off in 2006. The
stores were inaugurated in Multiple cities across
FINANCIAL
During the year, the net sales and other income increased
from Rs.10,200 Million in the previous year to Rs.13,143 Million. The export
sales stood at Rs.594 Million. Other Income rose by 250 % mainly due to
reversal of Provision of Rs.47 Million related to Price Differential pends
settlement matter and Increase in interest Income on Deposits by Rs.37 Million.
The depreciation for the year is inclusive of the
accelerated depreciation amounting to Rs.5 Million, in respect of a category of
equipment due for replacement.
OPERATIONS:
At macroeconomic level, the Indian economy has been
experiencing strong growth, with the Central Economic Advisory (CEA) expecting
GDP up 8.5% for 2010-2011. The strong economy, coupled with improving consumer
confidence and a good monsoon, helped spark strong demand for tractors and
passenger vehicles, the primary focus segments for the Company.
The tractor industry in India has witnessed an exponential
growth of 27% in 2010 (Source: Tractor Manufacturers Association). This
resulted in an increased demand for tyres which your Company capitalized on,
with strong sales growth of tractor tyres to OEM customers and in the replacement
market.
Similarly, new passenger vehicles sales grew an
unprecedented 29% (Source: Society of Indian Automobile Manufacturers),
translating into strong consumer tyres demand from OEM customers. The
replacement market increased as well, following the brief slowdown experienced
late 2008 and early 2009. This fueled strong growth in the Companies consumer
tyres sales.
FINANCE
AND ACCOUNTS
During the year, additions to fixed assets amounted to
Rs.342 Million as against Rs.180 Million in the previous year. The Capital
expenditure incurred amounted to Rs.573 Million. The interest cost during the
year has increased from Rs.34 Million in the previous year to Rs.36 Million.
As at the end of December 2010, an amount of NIL matured deposits
remained unclaimed.
FUTURE
OUTLOOK
As per the Central Economic Advisory (CEA), the Indian
economy is expected to continue to grow at a fast pace, with GDP growth
forecasted at 9% for 2011-2012. However, cost and competitive pressures are
expected to stay.
In this context, the Company will continue to focus on the
review of activities in different areas of operations under the umbrella of the
Continuous Improvement System (CIS). The CIS is an integral part of the
Companies philosophy to maximize gains and reduce costs in order to address the
market realities.
In the tyre industry, strong growth is expected to continue
in both the farm tyres and the consumer tyres segments. The Company intends to
maintain its focus on the production of farm tyres to retain its leadership in
the said segment, and to further consolidate its strong position in the
consumer tyres segment.
MANAGEMENT
DISCUSSION AND ANALYSIS
Industry Structure and
Developments
At macroeconomic level, the Indian economy has been experiencing
strong growth, with the Central Economic Advisory (CEA) expecting GDP up 8.5%
for 2010-2011. The strong economy, coupled with improving consumer confidence
and a good monsoon, helped spark strong demand for tractors and passenger
vehicles, the primary focus segments for the Company.
The tractor industry in India has witnessed a growth of 27%
in 2010 (Source: Tractor Manufacturers Association). This resulted in an
increased demand for tyres which the Company capitalized on, with strong sales
growth of tractor tyres to OEM customers and inthe replacement market.
Similarly, new passenger vehicles sales grew at 29% (Source:
Society of Indian Automobile Manufacturers), translating into strong consumer
tyres demand from OEM customers. The replacement market increased as well,
following the brief slowdown experienced late 2008 and early 2009. This fueled
strong growth in the Company's consumer tyres sales.
OUTLOOK
As per the Central Economic Advisory (CEA), the Indian
economy is expected to continue to grow at a fast pace, with GDP growth
forecasted at 9% for 2011-2012. However, cost and competitive pressures are
expected to stay.
In this context, the Company will continue to focus on the
review of activities indifferent areas of operations under the umbrella of the
Continuous Improvement System (CIS). The CIS is an integral part of the
Company's philosophy to maximize gains and reduce costs in order to address the
market realities.
In the tyre industry, strong growth is expected
to continue in both the farm tyres and the consumer tyres segments. The Company
intends to maintain its focus on the production of farm tyres to retain its
leadership in the said segment, and to further consolidate its strong position
in the consumer tyres segment.
CONTINGENT
LIABILITIES* (RS. IN MILLIONS)
|
Particulars
|
31.12.2010 |
31.12.2009 |
|
|
|
|
|
1] Bills Discounted |
14.957 |
-- |
|
|
|
|
|
2] Guarantee to Gurgaon Gramin Bank |
11.765 |
11.833 |
|
|
|
|
|
3] Claims against the company not acknowledged as debts |
|
|
|
Rent Cases |
43.875 |
43.875 |
|
Sales tax |
30.176 |
19.733 |
|
Excise and services Tax
matters |
82.714 |
50.552 |
|
Income Tax Matters |
48.447 |
15.281 |
|
Price Differential pending Settlement
|
47.392 |
-- |
|
Others |
28.146 |
31.856 |
|
|
|
|
|
*
(Excluding Interests and Penalty, if any) |
|
|
UNAUDITED
FINANCIAL RESULTS FOR THE YEAR ENDED DECEMBER 31, 2011
(RS.
IN MILLIONS)
|
Particulars
|
3 Months Ended 31.03.2011 |
Previous 3 Months Ended 30.09.2011 |
Corresponding 3 Months Ended 31.12.2010 |
Year to date figures for current year ended
31.12.2011 |
Year to date figures for current year ended
31.12.2010 |
|
|
(Unaudited) |
(Unaudited) |
(Unaudited) |
(Audited) |
(Audited) |
|
|
|
|
|
|
|
|
1. (a) Net sales/ Income from Operations |
3946.100 |
3943.700 |
3394.300 |
15134.300 |
12972.300 |
|
(b) Other operating income |
5.600 |
5.400 |
12.800 |
25.000 |
40.600 |
|
Total Income
[(a) + (b)] |
3951.700 |
3949.100 |
3407.100 |
15159.300 |
13012.900 |
|
|
|
|
|
|
|
|
Expenditure |
|
|
|
|
|
|
a) (Increase)/decrease in stock in trade and work in progress |
240.600 |
(186.500) |
78.300 |
(122.300) |
(52.100) |
|
b) Consumption of raw materials |
1929.600 |
2167.900 |
1583.700 |
8220.700 |
6528.400 |
|
c) Purchase of Traded Goods |
738.400 |
957.100 |
782.000 |
3211.600 |
2945.400 |
|
d) Employee cost |
197.600 |
183.400 |
152.400 |
728.700 |
582.400 |
|
e) Depreciation |
53.400 |
51.200 |
40.900 |
196.900 |
153.400 |
|
f) Other expenditure |
501.900 |
546.600 |
516.800 |
1997.100 |
1841.100 |
|
g) Total |
3661.500 |
3719.700 |
3154.100 |
14232.700 |
11998.600 |
|
|
|
|
|
|
|
|
3. Profit/ (Loss) from operations before other income, interest and
Exceptional items (1-2) |
290.200 |
229.400 |
253.000 |
926.600 |
1014.300 |
|
4. Other income |
27.100 |
25.500 |
84.600 |
87.900 |
130.500 |
|
5. Profit / (Loss) before interest and Exceptional items (3+4) |
317.300 |
254.900 |
337.600 |
1014.500 |
1144.800 |
|
6. Interest/ Finance Charges |
15.500 |
18.600 |
12.300 |
52.100 |
35.600 |
|
7. Profit / (Loss) after interest but before Exceptional items (5-6) |
301.800 |
236.300 |
325.300 |
962.400 |
1109.200 |
|
8. Exceptional items |
-- |
-- |
-- |
-- |
-- |
|
9. Profit/ (Loss) from Ordinary Activities before tax (7+8) |
301.800 |
236.300 |
325.300 |
962.400 |
1109.200 |
|
10. Tax Expenses |
98.700 |
76.600 |
100.400 |
316.500 |
361.100 |
|
11. Net Profit/ (Loss) from Ordinary Activities after tax (9-10) |
203.100 |
159.700 |
224.900 |
645.900 |
748.100 |
|
12. Extraordinary Item (Net of Tax expense Rs. Nil) |
-- |
-- |
-- |
-- |
-- |
|
13. Net profit/ (loss) for the period (11-12) |
203.100 |
159.700 |
224.900 |
645.900 |
748.100 |
|
|
|
|
|
|
|
|
14. Paid up equity share capital (Face value of Rs.10 per share) |
230.700 |
230.700 |
230.700 |
230.700 |
230.700 |
|
15. Reserves (excluding revaluation reserves as per Balance Sheet of
previous accounting year) |
-- |
-- |
-- |
2444.900 |
1884.400 |
|
|
|
|
|
|
|
|
16. Earning Per Share
(Rs.) (EPS) |
|
|
|
|
|
|
a) Basic and diluted EPS before Extraordinary Item for the year |
8.80 |
6.92 |
9.75 |
28.00 |
32.43 |
|
b) Basic and diluted EPS after Extraordinary Item for the year |
8.80 |
6.92 |
9.75 |
28.00 |
32.43 |
|
|
|
|
|
|
|
|
17. Public
shareholding |
|
|
|
|
|
|
- Number of shares |
5997292 |
5997292 |
5997292 |
5997292 |
5997292 |
|
- Percentage of shareholding |
26 |
26 |
26 |
26 |
26 |
|
|
|
|
|
|
|
|
18. Promoter and Promoter Group Shareholding |
|
|
|
|
|
|
a) Pledged / Encumbered |
|
|
|
|
|
|
- Number of
Shares |
-- |
-- |
-- |
-- |
-- |
|
- Percentage of
Shares (as a % of total shareholding of promoter & promoter group) |
-- |
-- |
-- |
-- |
-- |
|
- Percentage of Shares
(as a % of total share capital of the Company) |
-- |
-- |
-- |
-- |
-- |
|
|
|
|
|
|
|
|
b) Non-Encumbered |
|
|
|
|
|
|
- Number of
Shares |
17069215 |
17069215 |
17069215 |
17069215 |
17069215 |
|
- Percentage of Shares
(as a % of total shareholding of promoter & promoter group) |
100 |
100 |
100 |
100 |
100 |
|
- Percentage of
Shares (as a % of total share capital of the Company) |
74 |
74 |
74 |
74 |
74 |
NOTES FOR THE QUARTER ENDED ON DECEMBER 31,
2011
1] Tax Expenses includes following:
|
|
3 Months Ended 31.03.2011 |
Previous 3 Months Ended 30.09.2011 |
Corresponding 3 Months Ended 31.12.2010 |
Year to date figures for current year ended
31.12.2011 |
Year to date figures for current year ended
31.12.2010 |
|
|
(Unaudited) |
(Unaudited) |
(Unaudited) |
(Audited) |
(Audited) |
|
Current Tax |
91.900 |
75.100 |
104.900 |
307.900 |
367.100 |
|
Deferred Tax |
6.800 |
1.500 |
(4.500) |
8.600 |
(6.00) |
2] Statement of
Assets and Liabilities
(Rs. In Millions )
|
Particulars |
31.12.2011 |
31.12.2010 |
|
SHAREHOLDERS FUNDS |
|
|
|
1] Share Capital |
230.700 |
230.700 |
|
2] Reserves & Surplus |
2934.600 |
2476.900 |
|
LOAN FUNDS |
0.000 |
0.000 |
|
|
|
|
|
TOTAL |
3165.300 |
2707.600 |
|
|
|
|
|
FIXED ASSETS [Net Block] |
2107.000 |
1979.900 |
|
INVESTMENT |
0.000 |
0.000 |
|
|
|
|
|
CURRENT ASSETS,
LOANS & ADVANCES |
|
|
|
Inventories |
855.000 |
612.900 |
|
Sundry Debtors |
1307.900 |
976.600 |
|
Cash & Bank Balances |
2491.000 |
2179.400 |
|
Loans & Advances |
220.800 |
182.100 |
|
Total Current
Assets |
4874.700 |
3951.000 |
|
Less : CURRENT LIABILITIES & PROVISIONS |
|
|
|
Current Liabilities |
3401.700 |
2790.400 |
|
Provisions |
414.700 |
432.900 |
|
Total Current
Liabilities |
3816.400 |
3223.300 |
|
Net Current
Assets |
1058.300 |
727.700 |
|
|
|
|
|
TOTAL |
3165.300 |
2707.600 |
Includes Deferred
Tax Liability (Net) amounting to Rs. 110.300 Millions (Previous year Rs.
101.700 Millions)
3] The Board of
Directors' has recommended a dividend @ Rs 7 per equity share of a face value
of Rs 10/- each The dividend, if declared, at the ensuing Annual General
Meeting will be paid to those shareholders whose names would appear in the
Register of members on May 14, 2012. The dividend would absorb Rs 161.500
Millions and Rs 26.200 Millions would be payable as tax thereon. The registrar
of members and share transfer books will remain closed from May 14, 2012 to May
25, 2012 both days inclusive
4] The Company's
business activity falls within a single primary business segment viz
'Automotive lyres, tubes, flaps and related rubber product
5] There were no
investor complaints pending at the beginning of the quarter ended on December
31, 2011, 2 complaints received during the quarter have been disposed off and
there were no complaints lying unresolved at the end of quarter
6] In the Board
Meeting held on February 21, 2011, the board considered and approved the sale
of a part of land located in Ballabgarh subject to obtaining of necessary
approvals for such sale As of February 27,2012, the company had still not
received any Government approval and therefore the sale had not yet happened
7] The above
annual audited results were approved at the meeting of the Board of Directors
held on February 27, 2012
8] The figures of the
last quarter are the balancing figures between Audited figures in respect of
the full financial year and the published year to date figures up to the third
quarter of the current financial year
9] Figures have
been regrouped wherever necessary to confirm current quarter / year
classification
FIXED ASSETS
·
·
Buildings
·
Plant and Machinery
·
Furniture and Fittings
·
Vehicles
WEBSITE DETAILS
GOODYEAR
Goodyear's presence in
A chronology of Goodyear's continued success in
1922: Goodyear tyre and
Rubber company
1961: Goodyear
1965: The Ballabgarh
plant was expanded which increased the plant production by 35%
1969-70: The production increased
by nearly 100%
1993: Goodyear formed a
50-50 joint venture with South- Asian Tyres Limited (SATL) at
tate-of-art radial tyres for car and light truck and bias construction
tyres for graders and earthmovers.
1996: The first tyre
GPS2 radial Passenger was rolled out from
1998: SATL becomes a
fully owned Goodyear Company
1999: A significant
investment of 9.3 MM USD was made in the farm tyre manufacturing process.
2002: Goodyear becomes
the first tyre manufacturer to roll out tubeless tyres on Indian roads.
In the passenger car segment, Goodyear supplies tyres to many of the
leading Original Equipment Manufacturers in India. These include Maruti, Telco,
Mahindra and Mahindra, Ford, Fiat and many more.
Goodyear India has been a pioneer in introducing tubeless radial tyres
in the passenger car segment.
In the farm segment, Goodyear tyres are supplied to all the major
Tractor manufacturers like PTL, ITL, TAFE, Eicher and Escorts. Similarly, for
buses and trucks, vehicles rolling out of the assembly line of the leading OEMs
like TELCO, Ashok Leyland, and Swaraj Mazda are often seen with Goodyear tyres.
Goodyear commands a major market share in the Off The Road (OTR) segment
by being a major supplier to Coal India Limited, Escorts, LandT, TISCO and
major steel plants of the country.
2004: A very significant year with three product launches including GT3,
Eagle F1 and
2006: Launch of branded retail “shop-in-shop” concept – a part of the company’s
strategic initiative in organized tyre retailing, aimed at strengthening its
presence in the large tyre replacement market in the country. These outlets
will offer customers an unmatched tyre purchase experience.
Goodyear
HISTORY OF THE BRAND
The Goodyear Tire and Rubber Company started in 1898 when Frank
Seiberling purchased the company's first plant using money he borrowed from a
brother-in-law. The rubber and cotton had to be transported from halfway around
the world, to a landlocked town that had only limited rail transportation.
Seiberling named the company after the courageous pioneer Charles Goodyear, the
discoverer of vulcanisation. He also determined the distinctive winged-foot
trademark that remains a symbolic link with the company's past.
MILESTONES
For well over 100 years Goodyear has been at the forefront of tyre
technology and innovation, from Charles Goodyear creating vulcanisation in 1839
to the introduction of Bubble Blade technology in 2004. Through advanced
research and manufacturing practices, Goodyear continues to produce tyres that
revolutionize the industry and push the boundaries of innovation.
For innovation, technology and performance in tires, Goodyear continues to lead
the way and is clearly 'One Revolution Ahead' of the competition.
1898 Frank Seilberling founded the Goodyear Tire
and Rubber Company and chose the name "Goodyear" to honour Charles
Goodyear.
1908 Henry Ford's Model T, fitted with Goodyear
tyres, is a sensation with middle class consumers and car registrations
skyrocket.
1964 Using Goodyear tyres,
Craig Breedlove becomes the first man to top 600 miles (960km) an hour.
1969 Goodyear Aerospace helps
send astronauts to the moon and return them safely to earth.
1971 Goodyear tyres were the
first tyre tracks to land onto the Moon.
1992 The Goodyear Aquatreds
revolutionary design makes it a hit with consumers and designs.
1998 Goodyear celebrates its
100th year anniversary.
2001 Goodyear launches Trinuum Technology, the
integration of its 3 main engineering and technical centres from around the
world, including Europe, the
2003 Goodyear stands at the pinnacle of drag
racing, winning the most championships in both the professional and sportsman
categories, in the National Hot Rod and International Hot Rod Association
competitions.
2004 Marks Goodyear's 50th anniversary of
involvement with NASCAR, and as the longest-running sponsor of the sport.
2005
RunOnFlat
As a cutting-edge technology, RunOnFlat is still undergoing heavy development.
While the basic system, consisting of reinforced tires together with a TPMS
system, has been developed, tested and is now commercially available, there are
more technical innovations and enhancements that are just around the corner.
NEWS RELEASE:
GOODYEAR BLIMP PROGRAM COMMITS TO FUTURE WITH NEW
ZEPPELIN AIRSHIPS
4 May 2011
Company’s 85-year history of
airship operations looks at its past to pave the way for its future.
AKRON, Ohio, May 3, 2011 – Goodyear and blimps. Two things that go
together like America and apple pie.
And that long-standing tradition continues thanks to a new agreement with German
zeppelin manufacturer ZLT Zeppelin Luftschifftechnik – to supply The Goodyear
Tire and Rubber Company with airships well into the next decade.
"The Goodyear blimp is one of the most recognizable brand icons in the
world. An event isn't considered truly special unless the Goodyear blimp
is there to provide aerial coverage," said Richard J. Kramer, Goodyear
chairman, chief executive officer and president. "I am pleased this
investment will ensure that future generations will have the opportunity to experience
the joy of seeing the Goodyear blimp grace the skies."
During its long operational history, Goodyear has built and operated more than
300 airships – including two large rigid airships the U.S.S. Macon and U.S.S.
Akron.
"Our current airships are approaching the end of their lifecycle, and we
saw this as an opportunity to take the next evolutionary step in our airship
program," said Nancy Jandrokovic, Goodyear’s director of Global Airship
Operations. "Throughout the history of blimps, Goodyear has been an
innovative leader. With Goodyear and Zeppelin working together again, we
believe a new standard is about to set."
The Zeppelin LZ N07 – 101 model airships will be built with Zeppelin and
Goodyear airship teams at Goodyear’s Wingfoot Lake Airship Hangar near Akron,
Ohio. Construction on the first airship is scheduled to start in 2013 and
begin operating in 2014.
"We are extremely pleased to renew the Zeppelin connection with the famous
Goodyear blimp program," said Thomas Brandt, Chief Executive Officer of
ZLT Zeppelin Luftschifftechnik GmbH & Co. KG. "Goodyear and
Zeppelin worked together almost 90 years ago to bring rigid airship technology
to America and we’re thrilled to be working together again."
The new Goodyear-Zeppelin airships will be slightly larger than the airships in
Goodyear’s current fleet, fly faster, carry more passengers and include
state-of-the art avionics and flight control systems.
ZLT Zeppelin Luftschifftechnik said the airships and technical support cost
about $21 million (U.S.) each.
For more than 85 years, the Goodyear blimps have appeared at the most watched
news, entertainment and sporting events around the world. The blimps also
heavily support local and national charities, and community emergency response
programs.
The company currently operates three airships in North America – the Spirit of
Goodyear in Akron, Ohio; the Spirit of Innovation in Pompano Beach, Florida;
and the Spirit of America in Carson, California. The company also has
leased blimp operations in Europe and China.
Goodyear is one of the world’s largest tire companies. It employs
approximately 72,000 people and manufactures its products in 55 facilities in
22 countries around the world. Its two Innovation Centers in Akron, Ohio
and Colmar-Berg, Luxembourg strive to develop state-of-the-art products and
services that set the technology and performance standard for the
industry.
PRESS RELEASE:
GOODYEAR
INDIA REAPPOINTS ALTERNATE DIRECTOR
01 August 2011
India, Aug. 01 -- Goodyear India has informed that the board
of directors of the company at its meeting held on August 01, 2011, has
reappointed Brad Lakhia as an alternate director to Pierre Eric Cohade,
Director. The above information is part of the company's filing submitted to
the BSE. Published by HT Syndication with permission from Accord Fintech.
LOW-CAP FUNDS TOP
BROADER MARKET IN RETURNS RACE
23 June 2011
By Shailesh Menon, The Economic Times, India
June
23--MUMBAI: Several low-cap funds have yielded robust returns in the
past one year despite weakness in mid- and small-cap stocks. Sporadic rally in
low-cap stocks, coupled with portfolio churning and low asset bases, have led
35 of the 60 mid- and small-cap funds to outperform their benchmark indices.
In the past one year, while BSE Mid-cap index gave minus 6
percent and BSE Small-cap index gave minus 11 percent return, funds such Magnum
Emerging Business, HDFC Mid-cap Opportunities, Escorts High Yield Equity, and
Canara Robeco Emerging Equities returned 9-15 percent.
"We adopted a bottom-up approach while selecting stocks
for our fund. Mid-cap, as a segment, has become a stock-pickers' basket over
the past one year," said Navneet Munot, chief investment officer, SBI
Mutual Fund "We are not really concerned about broader markets or sectoral
outlook while picking midand small-cap stocks. The focus is wholly on
scalability of business, competitive advantage, and valuation that has enough
margin of safety," he added.
Low-cap stock momentum has changed, post the global
financial meltdown in 2008, fund managers said. Now small- and midcap stocks
don't fall or rise simultaneously as it did before the downturn. There are more
stock-specific movements and rarely "parallel correction" of all
stocks in one particular heterogeneous group, fund managers said. However, fund
managers are not investing in mid-cap companies where stock prices have not
reached the pre-meltdown level.
"Small- and mid-cap companies usually exhibit unique
characteristics. These are under researched with niche market dominance and
experience fast growth. Mid- and small-cap funds are likely to outperform
diversified or large-cap funds in growing economies, over a longer
timeframe," said KN Sivasubramanian, chief investment officer, Franklin
Templeton Investments.
Shares of mid-cap companies such as Titan Industries, United
Breweries, Petronet LNG, Bhushan Steel, and Cadila Healthcare have logged
annual returns above 40 percent. Hawkins Cookers, Goodyear India, Page
Industries, eddington India, Kaveri Seeds, VST Industries, Vardhman Textiles,
and Tulip Telecom are stocks that feature in most mid- and small-cap
portfolios.
Several fund houses are also churning their mid and small
portfolios to increase the return profile. In portfolio churning, the fund
manager takes short-term trading calls (or indulge in intra-day trading) to
maximise returns.
A look at scheme portfolios reveal that funds such as Kotak
Mid-cap Equity, DSP Blackrock Small and Mid-cap Fund, ING Mid-cap, and Magnum
Emerging Business Fund have been churned or turned around one to three times
over the past one year. Fund managers, however, said that they don't resort to
unnecessary churning of portfolios.
"Our portfolio is built of quality stocks; we focus on
balance sheet strength, business and management quality while picking small and
mid-cap stocks," said Apoorva Shah, executive vice-president, DSP
Blackrock Mutual Fund. "The entire mid-cap space is showing value
characteristic currently. The mid-cap index is currently ranging 30-40 percent
discount to large-cap indices. Themes related to consumption will do well in
the coming months," Mr. Shah said.
Fund managers, however, are not advising investors to trade
in individual stocks. "It is unsafe to invest in individual stocks of mid
and small caps, given their volatility and downside risk," said Mr. Shah.
According to Mr. Sivasubramanian, investors with higher risk appetite and
longer investment horizon should only consider investing in mid- and small-cap
products.
GOODYEAR
GETS RELIEF FROM INDIAN TRIBUNAL IN STAKE TRANSFER CASE
05 May 2011
NEW
DELHI, May 5 Asia Pulse - India's Authority for Advance
Rulings has said that US-based Goodyear Tire and Rubber Company (GTRC) is not
liable to pay tax if it transfers stake from Indian subsidiary Goodyear India
(GIL) to its Singapore arm.
GTRC is the promoter of GIL and holds 74 per cent stake in
it. Singapore-based Goodyear Orient Company (GOCPL) is a wholly owned
subsidiary of GTRC.
"As GIL is a company in which public is substantially
interested and its shares are listed on BSE, any income arising from the
transfer of the shares (long-term capital asset) are otherwise exempt
under...the (Income Tax) Act," AAR said in its ruling.
According to AAR, the ruling is an answer to the Revenue
department's argument that the transaction is designed for avoidance of tax and
the applicant has resorted to "treaty- shopping".
Treaty shopping refers to transactions whereby a resident of
a third country takes unfair advantage of the beneficial provisions of a tax
treaty between two other countries.
GTRC was seeking to expand the role of GOCPL for the benefit
of its other group entities within the Asia-Pacific Region by making it a
financially strong and important entity of the group.
GOCPL is an operating company and manages the natural rubber
purchasing, delivery, financing, treasury and quality of the worldwide
operations of GTRC and there is commonality of business interests of the group
with GIL.
GTRC proposed to contribute voluntarily the entire 74 per
cent shares it holds in GIL to GOCPL, without any consideration.
The revenue department argued that the proposed transaction
is virtually tantamount to transferring shares from one pocket to another.
"As the consideration for transferring the shares is
for creation of a better business environment, that it is a
consideration," the revenue department said.
However, AAR said that no consideration will pass on
transfer of shares of GIL by GTRC and so no income will arise, adding that transfer
pricing provision is also not attracted.
Transfer pricing law says that goods and services should be
sold to subsidiary companies at arm's length price -- the price at which goods
are traded between unconnected companies.
GOODYEAR
INDIA REPORTS MARGINAL DROP IN ITS Q1 NET PROFIT
04 May 2011
India,
May 04 -- Goodyear India has announced the financial results for the
first quarter ended March 31, 2011.The Company has reported a marginal drop of
2% in its net profit at Rs.137.800 Millions for the quarter ended March 31,
2011 against Rs.140.600 Millions for the quarter ended March 31, 2010. The
total income has surged by 16.74% to Rs.3384.000 Millions for the quarter
against Rs.2898.800 Millions for the corresponding previous quarter. However,
its parent company - Goodyear tyres - has recorded first quarter sales of $5.4
billion, up 27 percent from the 2010 quarter and the highest ever achieved by
the company in any quarter. Goodyear India is engaged in the manufacturing and
marketing automotive tyres, tubes and flaps. Automotive tyres include farm,
truck and passenger tyres. Other products of the company include tubes/flaps,
rubber products and two and three-wheeler tyres. Published by HT Syndication
with permission from Accord Fintech.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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.50.59 |
|
|
1 |
Rs.80.34 |
|
Euro |
1 |
Rs.67.13 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
7 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
NO |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
63 |
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 |
- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.