MIRA INFORM REPORT

Report Date :

29.08.2013

IDENTIFICATION DETAILS

Name :	ACE DESIGNERS LIMITED (w.e.f.27.12.2001)
Formerly Known As :	ACE DESIGNERS PRIVATE LIMITED ANUPAM MACHINE TOOLS PRIVATE LIMITED
Registered Office :	Plot No. 7 and 8, Phase II, Peenya Industrial Area, Bangalore – 560058, Karnataka
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	25.09.1986
Com. Reg. No.:	08-007816
Capital Investment / Paid-up Capital :	Rs. 142.400 Millions
CIN No.: [Company Identification No.]	U29199KA1998PTC007816
TAN No.: [Tax Deduction & Collection Account No.]	BLRA00221E
PAN No.: [Permanent Account No.]	AABCA2364F
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Subject is primarily engaged in design, development and manufacture of CNC Lathe machines.
No. of Employees :	Not Available

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 6600000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established and reputed company having a good track record. There appears a drastic dip in the sales turnover as well as net profitability during 2013. However financially company performance seems to be good. Liquidity position is strong. The promoters seem to be well experienced and reputed businessmen. Trade relations are reported to be fair. Business is active. Payments are reported to be regular and as per commitment. The company can be considered for business dealings at usual trade terms and condition.

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 – March 31^st, 2013

Country Name	Previous Rating (31.12.2012)	Current Rating (31.03.2013)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

INDIAN ECONOMIC OVERVIEW

We are living in a world where volatility and uncertainty have become the New Normal. We saw a change of government in countries like Tunisia, Egypt, Libya and Vietnam. Once powerful countries in Europe are now fighting for bankruptcy. We have taken growth in the developing part of the world for granted but economic growth in China and India has begun to slow. Companies that were synonymous with their product categories just a few years ago are now no longer in existence. Kodak, the inventor of the digital camera had to wind up its operations, HMV, the British entertainment retailing company and Borders, once the second largest bookstore have shut down due to their inability to evolve their business models with the changing time. Readers’ Digest, Thomson Register are no more !

There is another megatrend happening. The World order is changing as economic power shifts from West to East. According to McKinsey study, it took Britain more than 100 years to double its economic output per person during its industrial revolution and the US later took more than 50 years to do the same. More than a century later, China and India have doubled their GDP per capital in 12 and 18 years respectively. By 2020, emerging Asia will become the world’s largest consuming block, overtaking North America.

The years after the outbreak of the global financial crisis, the world economy continues to remain fragile. The Indian economy demonstrated remarkable resilience in the initial years of the contagion but finally lost ground last year. GDP growth slowed down. Currency has been weakening. There is a marked deceleration in agriculture, industry and services. Dampening sentiment led to a cut-back in investment as well as private consumption expenditure.  Inflation remained at high levels fuelled by the pressure from the food and fuel sectors. The large fiscal and current account deficit s continued to cause grave concern. It is imperative that India regains its growth trajectory of 8-9 % sooner than later. This is crucially important given the need to create gainful livelihood opportunities for the millions living in poverty as also the large contingent of young people joining the job market every year.

EXTERNAL AGENCY RATING

Rating Agency Name	ICRA
Rating	Long term fund based: AA-
Rating Explanation	Having high degree of safety regarding timely servicing of financial obligation it carry very low credit risk.
Date	November 2012

RBI DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

LOCATIONS

Registered Office / Factory 1:	Plot No. 7 and 8, Phase II, Peenya Industrial Area, Bangalore – 560058, Karnataka, India
Tel. No.:	91-80-22186700-719/ 40370400-599/ 22186730
Fax No.:	91-80-22186723
E-Mail :	sampath@acedesigners.co.in gsk@acedesigners.co.in acedesigners@acemicromatic.com chandra@acedesigners.co.in
Website :	http://www.acemicromatic.net http://www.acedesigners.co.in
Corporate Office :	Plot No. 240/241, 11^th Main Road, 3^rd Phase, Peenya Industrial Area, Bangalore – 560058, Karnataka, India
Tel. No.:	91-80-40200555
Fax No.:	91-80-41136066
E-Mail :	mmtblr@acemicromatic.com
Factory 2 :	Plot No. 282, Phase IV, Peenya Industrial Area, Bangalore – 560058, Karnataka, India
Tel. No.:	91-80-28394119
Fax No.:	91-80-28361507
Factory 3 :	Plot No. 533, 10^th Main, Main IV, Peenya Industrial Area, Bangalore – 560058, Karnataka, India
Tel. No.:	91-80-28361503-06
Fax No.:	91-80-28361507
E-Mail :	acetsg@blr.vsnl.net.in
Factory 4 :	Plot No. A-49, 2^nd Main Road, II Stage, Peenya Industrial Area, Bangalore – 560058, Karnataka, India
Tel. No.:	91-80-28361601
Factory 5 :	Plot GF-1, KSSIDC Flat, Peenya Industrial Estate, Bangalore – 560058, Karnataka, India

DIRECTORS

AS ON 13.07.2013

Name :

Mr. Shrinivas Govindrao Shirgurkar

Designation :

Managing director

Address :

583, 1^st Main, 2^nd Stage, 3^rd Block, RMV Extension, Bangalore – 560094, Karnataka, India

Date of Birth/Age :

08.04.1948

Qualification:

B.E. Mechanical

Date of Appointment :

01.07.2010

PAN No.:

AKMPS5682E

DIN No.:

00173944

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	U29199KA1986PLC007816	ACE DESIGNERS LIMITED	Managing director	01/07/2010	25/09/1986	Active	NO
2	U02922KA1987PLC008415	AUTO CNC MACHINING LIMITED	Director	11/06/1987	11/06/1987	Active	NO
3	U85110KA1994PLC015321	ACE MANUFACTURING SYSTEMS LIMITED	Director	07/03/1994	07/03/1994	Active	NO
4	U85110KA1995PLC018544	ACE MULTI AXES SYSTEMS LIMITED	Director	16/08/1995	16/08/1995	Active	NO
5	U74899DL1987PTC029798	MICROMATIC MACHINE TOOLS PRIVATE LTD	Director	30/08/1996	30/08/1996	Active	NO
6	U34300KA2005PTC037594	PRAGATI TRANSMISSION PRIVATE LIMITED.	Director	03/11/2005	03/11/2005	Active	NO
7	L85110KA1980PLC003913	WENDT INDIA LIMITED	Director	17/04/2006	17/04/2006	Active	NO
8	U29290MH1973GAP016420	INDIAN MACHINE TOOL MANUFACTURERS ASSOCIATION	Director	29/08/2012	29/08/2012	Active	NO
9	U74900KA2012NPL067059	IMTMA MACHINE TOOL INDUSTRY PARK	Director	06/12/2012	06/12/2012	Active	NO
10	U72200KA2013PTC070078	ACEMICROMATIC MANUFACTURING INTELLIGENCE TECHNOLOGIES PRIVATE LIMITED	Director	26/07/2013	26/07/2013	Active	NO

Name :

Mr. Benedict Machado

Designation :

Managing director

Address :

583, 1^st Main, 2^nd Stage, 3^rd Block, RMV Extension, Bangalore – 560094, Karnataka, India

Date of Birth/Age :

04.12.1948

Qualification:

B.E. Mechanical

Date of Appointment :

01.07.2010

PAN No.:

AEJPM7124C

DIN No.:

00174074

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	U29199KA1986PLC007816	ACE DESIGNERS LIMITED	Managing director	01/07/2010	25/09/1986	Active	NO
2	U02922KA1987PLC008415	AUTO CNC MACHINING LIMITED	Director	11/06/1987	11/06/1987	Active	NO
3	U85110KA1994PLC015321	ACE MANUFACTURING SYSTEMS LIMITED	Director	07/03/1994	07/03/1994	Active	NO
4	U85110KA1995PLC018544	ACE MULTI AXES SYSTEMS LIMITED	Director	16/08/1995	16/08/1995	Active	NO
5	U74899DL1987PTC029798	MICROMATIC MACHINE TOOLS PRIVATE LIMITED	Director	30/08/1996	30/08/1996	Active	NO
6	U34300KA2005PTC037594	PRAGATI TRANSMISSION PRIVATE LIMITED.	Director	03/11/2005	03/11/2005	Active	NO

Name :

Mr. Ashok Vishwanath Sathe

Designation :

Whole-time director

Address :

252, 15^th “D” Cross, 2^nd Phase, 2^nd Stage, Mahalakshmipuram, Bangalore – 560086, Karnataka, India

Date of Birth/Age :

17.03.1940

Qualification:

M. Tech

Date of Appointment :

01.07.2010

PAN No.:

ADOPS5056R

DIN No.:

00174204

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	U29199KA1986PLC007816	ACE DESIGNERS LIMITED	Whole-time director	01/07/2010	25/09/1986	Active	NO
2	U02922KA1987PLC008415	AUTO CNC MACHINING LIMITED	Director	11/06/1987	11/06/1987	Active	NO
3	U74899DL1987PTC029798	MICROMATIC MACHINE TOOLS PRIVATE LIMITED	Director	01/02/1988	01/02/1988	Active	NO
4	U85110KA1994PLC015321	ACE MANUFACTURING SYSTEMS LIMITED	Director	07/03/1994	07/03/1994	Active	NO
5	U85110KA1995PLC018544	ACE MULTI AXES SYSTEMS LIMITED	Director	16/08/1995	16/08/1995	Active	NO
6	U29199KA2001PTC029247	PRAGATI AUTOMATION PRIVATE LIMITED	Director	05/07/2001	05/07/2001	Active	NO
7	U22100PN2007PTC130644	UDYAM PRAKASHAN PRIVATE LIMITED	Director	03/09/2007	03/09/2007	Active	NO
8	U29253KA2011PTC060244	PRAGATI CONTROL SYSTEMS PRIVATE LIMITED	Director	05/09/2011	05/09/2011	Active	NO

Name :

Mr. Shankar Arunachalam

Designation :

Director

Address :

A – 23, Fascinate Homes, 12^th Cross, 6^th Main, Malleswaram, Bangalore – 560003, Karnataka, India

Date of Birth/Age :

02.02.1959

Qualification:

B.Com, ACA, LLB

Date of Appointment :

27.07.2002

DIN No.:

00203948

Name :

Mr. Srinivasan Rangarajan

Designation :

Director

Address :

126, Dhanya, Nandidurga Road, Bangalore – 560046, Karnataka, India

Date of Birth/Age :

10.09.1941

Qualification:

Mechanical Engineer

Date of Appointment :

27.07.2002

DIN No.:

00043658

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	U29221KA1994PTC015104	NTTF INDUSTRIES Private LIMITED	Director	06/01/1994	06/01/1994	-	Active	NO
2	U72400KA1994PTC016526	RAS TRANSFORMATION TECHNOLOGIES PRIVATE LIMITED	Director	19/11/1994	19/11/1994	-	Strike off	NO
3	L35999TN1962PLC004943	SUNDRAM FASTENERS LIMITED	Director	06/03/1995	06/03/1995	-	Active	NO
4	L29150KA1976PLC003017	YUKEN INDIA LIMITED	Director	29/06/1995	29/06/1995	-	Active	NO
5	U26919TN1982PLC009622	MURUGAPPA MORGAN THERMAL CERAMICS LIMITED	Director	24/06/1998	24/06/1998	-	Active	NO
6	U85110KA1999NPL025461	NETTUR TECHNICAL TRAINING FOUNDATION	Director	13/07/1999	13/07/1999	-	Active	NO
7	U27109KA1999PTC025888	TAEGUTEC INDIA PRIVATE LIMITED	Director	01/03/2000	01/03/2000	-	Active	NO
8	L85110TZ1955PLC015049	TTK PRESTIGE LIMITED	Director	09/10/2000	09/10/2000	-	Active	NO
9	U29199KA1986PLC007816	ACE DESIGNERS LIMITED	Director	09/02/2002	09/02/2002	-	Active	NO
10	U66030TN2001PLC047977	CHOLAMANDALAM MS GENERAL INSURANCE COMPANY LIMITED	Director	22/03/2002	22/03/2002	01/11/2012	Active	NO
11	L35921TN1949PLC002905	TUBE INVESTMENTS OF INDIA LIMITED	Director	09/06/2004	09/06/2004	06/08/2012	Active	NO
12	L29112PN1978PLC088972	KIRLOSKAR INDUSTRIES LIMITED	Director	20/01/2005	20/01/2005	30/03/2010	Active	NO
13	U02710KA2004PTC034823	DAKSHIN FOUNDRY PRIVATE LIMITED	Director	29/03/2005	29/03/2005	04/07/2012	Active	NO
14	L24231TN1958PLC003647	TTK HEALTHCARE LIMITED	Director	29/12/2005	29/12/2005	-	Active	NO
15	L72200KA1999PLC025564	MINDTREE LIMITED	Director	24/10/2006	24/10/2006	19/07/2013	Active	NO
16	U74140KA2007PTC042217	EDUTECH NTTF INDIA PRIVATE LIMITED	Director	28/04/2007	28/04/2007	-	Active	NO
17	U29259GJ1979PLC003467	STERLING ABRASIVE LIMITED	Director	04/06/2009	22/04/2009	-	Active	NO
18	U74300KA2009PTC050726	BANGALORE INTERNATIONAL EXHIBITION SERVICES PRIVATE LIMITED	Director	24/08/2009	24/08/2009	-	Active	NO
19	L29120PN2009PLC133351	KIRLOSKAR OIL ENGINES LIMITED	Director	09/07/2010	30/03/2010	-	Active	NO
20	U29290MH1973GAP016420	INDIAN MACHINE TOOL MANUFACTURERS ASSOCIATION	Director	29/08/2012	29/08/2012	-	Active	NO
21	U74900KA2012NPL067059	IMTMA MACHINE TOOL INDUSTRY PARK	Director	06/12/2012	06/12/2012	-	Active	NO

Name :

Mr. Badkilaya Raghavendra

Designation :

Whole-time director

Address :

17, Bhel Officers Colony, Nandini Layout, Bangalore - 560096, Karnataka, India

Date of Birth/Age :

10.05.1963

Date of Appointment :

13.07.2013

DIN No.:

01807643

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	U85110KA1995PLC018544	ACE MULTI AXES SYSTEMS LIMITED	Director	16/08/1995	16/08/1995	-	Active	NO
2	U29299KA2002PTC031340	ANUPAM CNC MACHINING PRIVATE LIMITED	Director	26/03/2011	26/03/2011	20/07/2013	Active	NO
3	U29199KA1986PLC007816	ACE DESIGNERS LIMITED	Whole-time director	13/07/2013	13/07/2013	-	Active	NO

KEY EXECUTIVES

Name :	K Chandra Sekhar
Designation :	Secretary
Address :	16 – A, G.B. Layout, 2^nd Stage, Mahalakshmipuram, Bangalore – 560086, Karnataka, India
Date of Birth/Age :	01.06.1974
Date of Appointment :	05.02.2010
PAN No.:	AIYPK1629D

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 13.07.2013

Names of Shareholders	No. of Shares
Shrinivas G Shirgurkar	432000
Bharati S Shirgurkar	108000
Madhavi Trust	13500
Manisha Trust	13500
G D Shirgurkar (HUF)	27000
Benedict Machado	432000
Philomena Machado	148500
Preethi Trust	13500
Ashok Vishnanath Sathe	77000
Padma A Sathe	159000
Total	1424000

AS ON 13.07.2013

Equity Share Breakup	Percentage of Holding
Category
Directors or relatives of directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Subject is primarily engaged in design, development and manufacture of CNC Lathe machines.

Products/ Services :

ITC Code No.	Product Descriptions
84589100	CNC Lathes

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

v Syndicate Bank, Industrial Finance Branch, 204-205, North Block, Manipal Centre, Dickenson Road, Bangalore - 560042, Karnataka, India

v Standard Chartered Bank, 3rd Floor, Vaishnavi Serenity, 112, Koramangala Industrial Area, 5th Block, Koramangal, Bangalore - 560095, Karnataka, India

v Export- Import Bank of India, Centre One Building, Floor 21, World Trade Center, Cuffe Parade, Mumbai - 400005, Maharashtra, India

Facilities :

Secured Loans	31.03.2013	31.03.2012
	(Rs. In Millions)
LONG-TERM BORROWINGS
Term loans from banks	532.983	0.000
Rupee term loans from others	97.500	47.500
Other external commercial borrowings	6.682	51.833
Deposits	91.843	43.026
Total	729.008	142.359

Banking Relations :	--
Auditors 1 :
Name :	S.R. Batliboi and Associates LLP Chartered Accountants
Address :	12 and 13^th Floor, U.B. City, Canberra block - 24, Vittal Malya Road, Bangalore - 560001, Karnataka India
Income-tax PAN of auditor or auditor's firm :	AABFS3421N
Auditors 2 :
Name :	P.A. Ghatage and Company Chartered Accountants
Address :	Bangalore, Karnataka India
Income-tax PAN of auditor or auditor's firm :	AANPG1439N
Associates :	v Ace Manufacturing Systems Limited [U85110KA1994PLC015321] v Ace Multi Axes Systems Limited [U85110KA1995PLC018544] v Micromatic Machine Tools Private Limited [U74899DL1987PTC029798]
Enterprises which are owned, or have significant influence of or are partners with Key management personnel and their relatives :	v Auto CNC Machining Limited [U02922KA1987PLC008415] v Anupam CNC Machining Private Limited [U29299KA2002PTC031340] v Ace Micromatic Charitable Trust v Ace Micromatic Institute of Learning v Micromatic Machine Tools (Shanghai) Limited, China v Pragati Automation Private Limited [U29199KA2001PTC029247] v Pragati Transmission Private Limited [U34300KA2005PTC037594] v Pioneer Computing Technologies

CAPITAL STRUCTURE

AS ON 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
2,000,000	Equity Shares	Rs. 100/- each	Rs. 200.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1,424,000	Equity Shares	Rs. 100/- each	Rs. 142.400 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	142.400	142.400	155.200
(b) Reserves & Surplus	1508.105	1223.894	1115.668
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	0.000
Total Shareholders’ Funds (1) + (2)	1650.505	1366.294	1270.868
(3) Non-Current Liabilities
(a) long-term borrowings	729.008	142.359	34.556
(b) Deferred tax liabilities (Net)	3.863	13.290	6.944
(c) Other long term liabilities	4.370	2.039	1.471
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	737.241	157.688	42.971
(4) Current Liabilities
(a) Short term borrowings	0.000	0.000	6.325
(b) Trade payables	673.014	868.506	505.535
(c) Other current liabilities	457.012	397.074	331.705
(d) Short-term provisions	114.417	148.636	91.200
Total Current Liabilities (4)	1244.443	1414.216	934.765
TOTAL	3632.189	2938.198	2248.604
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	829.967	879.125	664.925
(ii) Intangible Assets	5.074	4.597	0.000
(iii) Capital work-in-progress	747.663	45.851	52.299
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	11.894	11.894	11.894
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	98.337	167.128	86.872
(e) Other Non-current assets	22.148	21.000	21.000
Total Non-Current Assets	1715.083	1129.595	836.990
(2) Current assets
(a) Current investments	0.000	62.498	92.209
(b) Inventories	924.757	840.595	642.023
(c) Trade receivables	462.754	390.789	302.943
(d) Cash and cash equivalents	358.997	315.328	116.572
(e) Short-term loans and advances	164.728	187.269	149.480
(f) Other current assets	5.870	12.124	108.387
Total Current Assets	1917.106	1808.603	1411.614
TOTAL	3632.189	2938.198	2248.604

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Revenue from operations	3693.746	4901.769	3355.096
		Other Income	66.327	72.461	43.638
		TOTAL (A)	3760.073	4974.230	3398.734
Less	EXPENSES
		Cost of materials consumed	2528.586	3358.462	2321.759
		Changes in inventories of finished goods, work-in-progress and stock-in-trade	(146.748)	(66.118)	(91.463)
		Employee benefit expense	419.854	390.865	295.195
		Other expenses	311.231	363.565	272.344
		TOTAL (B)	3112.923	4046.774	2797.835
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		647.150	927.456	600.899
Less	FINANCIAL EXPENSES (D)		25.711	22.670	10.316
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		621.439	904.786	590.583
Less/ Add	DEPRECIATION/ AMORTISATION (F)		94.084	86.460	67.303
	PROFIT BEFORE TAX (E-F) (G)		527.355	818.326	523.280
Less	TAX (H)		126.853	248.279	167.628
	PROFIT AFTER TAX (G-H) (I)		400.502	570.047	355.652
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		1128.724	1054.738	1169.779
Less	APPROPRIATIONS
		Proposed Final Dividend	56.960	92.560	54.320
		Interim Dividend paid	42.720	49.840	31.040
-		Corporate Tax on Dividend (Interim and final)	16.611	23.101	13.968
		Transferred to General Reserves	40.050	57.005	35.565
		Reserves utilised for buy back of shares	0.000	260.755	312.800
		Capital Redemption Reserve created	0.000	12.800	23.000
	BALANCE CARRIED TO THE B/S		1372.885	1128.724	1054.738
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	304.5816	289.277	192.820
	IMPORTS
		Raw Materials	147.506	222.041
		Capital Goods	172.609	141.600
	TOTAL IMPORTS		320.115	363.641	NA
	Earnings Per Share (Rs.)		281.00	380.41	216.17

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	10.65	11.46	10.46
Net Profit Margin (PBT/Sales)	(%)	14.28	16.69	15.60
Return on Total Assets (PBT/Total Assets}	(%)	18.36	28.41	23.96
Return on Investment (ROI) (PBT/Networth)		0.32	0.60	0.41
Debt Equity Ratio (Total Debt/Networth)		0.44	0.10	0.03
Current Ratio (Current Asset/Current Liability)		1.54	1.28	1.51

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	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
31]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10388496	16/11/2012	250,000,000.00	SYNDICATE BANK	INDUSTRIAL FINANCE BRANCH, MANIPAL CETNRE, II FLOOR, BANGALORE - 560043, Karnataka, INDIA	B62782875
2	10335783	08/08/2012 *	450,000,000.00	STANDARD CHARTERED BANK	# 112, SERENITY, 3RD FLOOR, EAST WING, KORAMANGALA INDUSTRIAL AREA, 5TH BLOCK, KORAMANGALA, BANGALORE - 560095, KARNATAKA, INDIA	B45507399
3	10337548	22/05/2012 *	250,000,000.00	EXPORT- IMPORT BANK OF INDIA	CENTRE ONE BUILDING, FLOOR 21, WORLD TRADE CENTER, CUFFE PARADE, MUMBAI - 400005, MAHARASHTRA, INDIA	B41625997
4	10330850	16/11/2012 *	550,000,000.00	SYNDICATE BANK	INDUSTRIAL FINANCE BRANCH, MANIPAL CETNRE, II FLOOR, BANGALORE - 560043, KARNATAKA, INDIA	B62782958
5	10269632	04/08/2011 *	107,000,000.00	STANDARD CHARTERED BANK	RAHEJA TOWERS, 6TH FLOOR, # 26-27, BANGALORE - 560001, KARNATAKA, INDIA	B17762576
6	10070140	08/08/2012 *	155,000,000.00	STANDARD CHARTERED BANK	3RD FLOOR, VAISHNAVI SERENITY, 112, KORAMANGALA INDUSTRIAL AREA, 5TH BLOCK, KORAMANGAL, BANGALORE - 560095, KARNATAKA, INDIA	B45507845

* Date of charge modification

CORPORATE INFORMATION

Ace Designers Limited (the Company) is a public company domiciled in India and incorporated under the provisions of the Companies Act, 1956. The Company is primarily engaged in design, development and manufacture of CNC Lathe machines. The Company caters to both domestic and international markets.

OPERATIONS

The Company achieved a turnover of Rs.3693.700 Millions during the financial year as against 4901.700 Millions during the corresponding financial year by selling 1,905 CNC lathes during the current year as against 2,962 CNC lathes. The current year turnover has declined by 24.64% over the previous year and 35.68% in terms of quantity. The decline in turnover is due to poor market conditions, slow down of automobile, general engineering and infrastructure based industries, coupled with high interest rates. The other income is Rs.66.300 Millions. Depreciation for the year was Rs.94.000 Millions as compared to Rs.86.400 Millions during the corresponding year. The additional depreciation is on account of procurement of certain high end machines during the year; The Company achieved Earnings before Interest Tax and Depreciation (EBITDA) of Rs.647.100 Millions as compared to Rs.927.400 Millions during the corresponding year by registering a negative growth of 30.22%. The year was challenging from many fronts. Inflation pressure unabated during the year coupled with steep depreciation of Indian Rupee impacted company’s profitability.

During the year realization from premium products and tooled up products increased due to sale of machines to new projects which were in pipe line. However, per unit realisation from standard products got reduced due to stiff competition for such products from unorganized sector. The company saw stagnation in revenues from the second quarter of the year due to sluggish demand. To mitigate sluggish demand, the company offered new schemes for standard machines like Jobber XL, Jobber LM under “Dhamaka” scheme during Sept’- Nov 2012 and again re-introduced the same for Super Jobber, Super Jobber LM and Super Jobber 500 LM post IMTEX-2013, which enhanced sales for standard products with improved topline.

According to the latest estimate, the Indian economy grew by 5% for the year 2012-13, reflecting lower than expected growth in industry. However, with various policy initiatives coming through, the economy is estimated to grow above 5.5% for the financial year 2013-14 with inflation under control. The performance of Machine Tool business is likely to be impacted for the financial year 2013-14 also due to the sluggish business environment.

The Company’s expansion plan of setting up of state-art Foundry Division at Thyamagondlu Hobli, Nelamangala, Bangalore, is at completion stage. Commercial Production is expected to start by next month. The Company has already invested Rs.820.000 Millions on land and building and plant and machinery etc., as against the projected cost of Rs.1030.000 Millions. The project is expected to complete within the budget. The installed capacity of newly commissioned foundry plant is 12,000 M.T per annum and will meet part of Company’s input casting requirements. Further expansion plan of CNC assembly unit is temporarily on hold and will start once the market recovers.

BUSINESS PROSPECTS

To reduce the lead time in delivery of fast moving machines, a warehouse is taken on rent to stock standard finished goods, which helps ex-stock delivery. In order to achieve targeted sales, the Company has planned to increase in manpower in certain strategic areas. Also creation of SBU and Small Group based on product portfolios should enhance the business volume.

In order to focus on segmented customer market and to meet ACE vision 2020, the Company’s business model is proposed for a change. Strategic Business Units (SBU) will be created based on product portfolios in order to achieve synergy in operations. In that direction, during the year HVM-SBU for high volume Machines like Jobber XL, Super Jobber and Jobber LM and for low volume like Machines Simple Turn, a separate Group is planned. HVM Business and Special Business Units will concentrate on the specific segments and can manufacture the products in advance based on the market expectation leading to reduced lead time.

FIXED ASSETS:

v Land

v Buildings

v Factory building

v Plant and equipment

v Other plant and equipment

v Furniture and fixtures

v Vehicles

v Motor vehicles

v Office equipment

v Computer equipments

v Computer software

PRESS RELEASE

ACE DESIGNERS EMBARKS ON RS 2500.000 MILLIONS EXPANSION

FEBRUARY 13, 2013

To commission foundry at Nelamangala in April; expand plant capacity

Bangalore-based machine tools major Ace Designers Limited has embarked on a major expansion drive involving an investment of over Rs 2500.000 Millions. The company, which manufactures CNC machines, is planning to expand capacity at its plant and is also setting up a foundry for captive consumption.

“We had planned this expansion about six years ago and acquired 82 acres in Nelamangala taluk from the Karnataka Industrial Area Development Board (KIADB) for Rs 280.000 Millions. We are now building a modern foundry with Italian technology which will be commissioned by the end of March or early April this year,” Shrinivas G Shirgurkar, managing director, Ace Designers, said.

He said, the foundry will produce 12,000 tonnes of castings per annum. Of this, about 60 per cent of the capacity would be used for captive requirements and the balance would be for outside orders.

Shirgurkar said, the company’s proposed plan to expand capacity of CNC machines’ plant in Bangalore will be executed from June onwards. The company planned to expand capacity nearly three times to 10,000 machines per annum. The company’s products include 2-axis, 3-axis and 5-axis CNC (computer numerically controlled) machines used in automobile, general engineering and electrical among other sectors.

“We have already secured all approvals from the state government for the proposed expansion. However, we delayed the expansion due to economic slowdown last year. As the market has shown signs of improvement this year, we are going ahead with the expansion during the next fiscal,” Shirgurkar told Business Standard.

The State High Level Clearance Committee (SHLCC) headed by chief minister has approved the company’s proposal to set up a foundry and expand its plant capacity at a meeting held in September last year. SHLCC also approved the company’s request for a two-year extension to execute the expansion programme.

He said, the company has also tied up finances for the project. Of a planned investment of Rs 2500.000 Millions, the foundry has seen an investment of Rs 1100.000 Millions, he said. Shirgurkar said, the company had witnessed slowdown in order booking during the second half of the present fiscal and as a result its turnover would decline 20 per cent for year-ending March 2013. It reported a turnover of Rs 4900.000 Millions in 2011-12.

“There are signs of improvement for the next fiscal and we are getting enquiries from the user industries. During the next fiscal, we are looking at recovering the lost business in this year and hope to report 10-15 per cent growth,” he added. Ace Designers exports about 10 per cent of its capacity to China, Italy, France, Russia and Germany.

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 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 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 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. 68.36
UK Pound	1	Rs. 106.03
Euro	1	Rs. 91.47

INFORMATION DETAILS

Report Prepared by :

BVA

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	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
DEFAULTERS
--RBI	YES/NO	NO
--EPF	YES/NO	NO
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	-

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.