MIRA INFORM REPORT

1. Summary Information

		Country	India
Company Name	JSW ISPAT STEEL LIMITED	Principal Name 1	Mr. Sajjan Jindal
Status	Moderate	Principal Name 2	Mr. Vinod Mittal
		Registration #	21-037519
Street Address	The Enclave, 5^th Floor, Behind Marathe Udyog Bhavan, New Prabhadevi Road, Prabhadevi, Mumbai-400025, Maharashtra
Established Date	23.05.1984	SIC Code	--
Telephone#	Not Available	Business Style 1	Manufacturer
Fax #	Not Available	Business Style 2	--
Homepage	www.ispatgroup.com www.ispatind.com	Product Name 1	Iron and Steel Products
# of employees	3499 [Approximately]	Product Name 2	--
Paid up capital	Rs.30015.622 Millions	Product Name 3	--
Shareholders	Shareholding of Promoter and Promoter Group 63.81%, Public Shareholding 36.19%	Banking	Bank of India
Public Limited Corp.	Yes	Business Period	28 Years
IPO	Yes	International Ins.	-
Public Enterprise	Yes	Rating	B (37)
Related Company
Relation	Country	Company Name	CEO
Associates	--	Lakeland Securities Limited	--
Note	-

2. Summary Financial Statement

Balance Sheet as of	30.06.2012		(Unit: Indian Rs.)
Assets		Liabilities
Current Assets	12,190,800,000	Current Liabilities	47,429,200,000
Inventories	17,132,500,000	Long-term Liabilities	62,157,900,000
Fixed Assets	68,222,600,000	Other Liabilities	508,500,000
Deferred Assets	20,879,400,000	Total Liabilities	110,095,600,000
Invest& other Assets	3,484,900,000	Retained Earnings	000
		Net Worth	11,814,600,000
Total Assets	121,910,200,000	Total Liab. & Equity	121,910,200,000
Total Assets (Previous Year)	123,566,900,000
P/L Statement as of	30.06.2012		(Unit: Indian Rs.)
Sales	111,041,100,000	Net Profit	(3,169,200,000)
Sales(Previous yr)	82,312,100,000	Net Profit(Prev.yr)	(18,058,800,000)

MIRA INFORM REPORT

Report Date :

18.02.2013

IDENTIFICATION DETAILS

Name :	JSW ISPAT STEEL LIMITED (w.e.f. 28.06.2011)

Formerly Known As :	ISPAT INDUSTRIES LIMITED

Registered Office :	The Enclave, 5^th Floor, Behind Marathe Udyog Bhavan, New Prabhadevi Road, Prabhadevi, Mumbai-400025, Maharashtra

Country :	India

Financials (as on) :	30.06.2012

Date of Incorporation :	23.05.1984

Com. Reg. No.:	21-037519

Capital Investment / Paid-up Capital :	Rs.30015.622 Millions

CIN No.: [Company Identification No.]	L27106WB1984PLC037519

TAN No.: [Tax Deduction & Collection Account No.]	CALI01452D

PAN No.: [Permanent Account No.]	AAACI6293E

Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on The Stock Exchanges.

Line of Business :	Manufacturer and Selling of Iron and Steel Products.

No. of Employees :	3499 [Approximately]

RATING & COMMENTS

MIRA’s Rating :

B (37)

RATING

STATUS

PROPOSED CREDIT LINE

26-40

Capability to overcome financial difficulties seems comparatively below average.

Small

Maximum Credit Limit :	USD 47200000

Status :	Moderate

Payment Behaviour :	Usually Correct

Litigation :	Clear

Comments :	Subject is a part of Jindal Group, India. It is a well established and reputed company having moderate track. Even though the company has achieved good sales turnover during 2012, it has also incurred some loss. Accumulated losses appears to be huge. However, trade relations are reported as fair. Business is active. Payments are reported to be usually correct. The company can be considered for business dealings with some caution.

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 – June 30, 2012

Country Name

Previous Rating

(31.03.2012)

Current Rating

(30.06.2012)

India

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

INDIAN ECONOMIC OVERVIEW

India is developing into an open-market economy, yet traces of its past autarkic policies remain. Economic liberalization, including industrial deregulation, privatization of state-owned enterprises, and reduced controls on foreign trade and investment, began in the early 1990s and has served to accelerate the country's growth, which has averaged more than 7% per year since 1997. India's diverse economy encompasses traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. Slightly more than half of the work force is in agriculture, but services are the major source of economic growth, accounting for more than half of India's output, with only one-third of its labor force. India has capitalized on its large educated English-speaking population to become a major exporter of information technology services and software workers. In 2010, the Indian economy rebounded robustly from the global financial crisis - in large part because of strong domestic demand - and growth exceeded 8% year-on-year in real terms. However, India's economic growth in 2011 slowed because of persistently high inflation and interest rates and little progress on economic reforms. High international crude prices have exacerbated the government's fuel subsidy expenditures contributing to a higher fiscal deficit, and a worsening current account deficit. Little economic reform took place in 2011 largely due to corruption scandals that have slowed legislative work. India's medium-term growth outlook is positive due to a young population and corresponding low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy. India has many long-term challenges that it has not yet fully addressed, including widespread poverty, inadequate physical and social infrastructure, limited non-agricultural employment opportunities, scarce access to quality basic and higher education, and accommodating rural-to-urban migration.

Source : CIA

EXTERNAL AGENCY RATING

Rating Agency Name	CARE
Rating	BBB – [Long Term Bank Facilities]
Rating Explanation	Moderate degree of safety and moderate credit risk.
Date	06.09.2012

Rating Agency Name	CARE
Rating	A3 [Short Term Bank Facilities]
Rating Explanation	Moderate degree of safety and higher credit risk.
Date	06.09.2012

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 :	The Enclave, 5^th Floor, Behind Marathe Udyog Bhavan, New Prabhadevi Road, Prabhadevi, Mumbai-400025, Maharashtra, India
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	ispat.park@ndil.sprintrpg.ems.vsnl.net.in ispatcal@giascl01.vsnl.net.in sseshadri@scasablanca.iil.co.in ispatcal@vsnl.com
Website :	www.ispatgroup.com www.ispatind.com

Central Marketing Office :	Casablanca, 2nd Floor, Sector 11,CBD, Belapur, Navi Mumbai - 400 614, Maharashtra, India
Tel. No.:	91-22-27582500 / 2600 / 2700
Fax No.:	91-22-27577959 / 7972
E-Mail :	mktg_cmo@ispatind.com

Corporate Office :	7th Floor, Nirmal, Nariman Point, Mumbai - 400 021, Maharashtra, India
Tel. No.:	91-22-66542222
Fax No.:	91-22-22855519
E-Mail :	contactus@ispatind.com communications@ispactind.com corporate.communicatons@ispatind.com

Factory 1 :	Cold Rolling Mill and Coating Plant Complex: A-10/1 and 10/ 2, MIDC Industrial Area, Kalmeshwar – 441 501, District Nagpur, Maharashtra, India

Factory 2 :	Sponge Iron Plant: Geetapuram, Dolvi – 402 107, Taluka Pen, District Raigad, Maharashtra, India

Factory 3 :	Hot Strip Mill Plant: Gettapuram, Dolvi – 402 107, Taluka Pen, District Raigad, Maharashtra, India

Factory 4 :	Blast Furnace Plant: Geetapuram, Dolvi- 402 107, Taluka Pen, District Raigad, Maharashtra, India

Factory 5:	Dolvi : Geetapuram, Taluka Pen, Distriet Raigad, Dolvi – 402 107, Maharashtra, India
Tel. No.:	91-2143-277501-14
Fax No.:	91-2143-277533 / 42

Branches/ Depots/ Consignment Agents :	“Park Plaza”, 1^st Floor, 71, Park Street, Kolkata – 700 016, West Bengal, India
Tel. No.:	91-33-2249 2213 / 3119 / 5102 / 5104 / 2249 1011 / 30265000
Fax No.:	91-33-22491956

Branches/ Depots/ Consignment Agents :	Located At: v Cuttack v Guwahati v Patna v Ahmadabad v Aurangabad v Mumbai v Pune v Ajmer v Bhopal v Chandigarh v Delhi v Ghaziabad v Indore v Kanpur v Karnal v Ludhiana v Parwanoo v Bangalore v Chennai v Cochin v Hyderabad v Hubli

DIRECTORS

AS ON 30.06.2012

Name :	Mr. Sajjan Jindal
Designation :	Chairman

Name :	Mr. Vinod Mittal
Designation :	Vice Chairman

Name :	Mr. Pramod Mittal
Designation :	Director

Name :	Mr. Seshagiri Rao MVS
Designation :	Director

Name :	Mr. U Mahesh Rao
Designation :	Director

Name :	Mr. Vinod Kothari
Designation :	Director

Name :	Mr. Atul Sud
Designation :	Director

Name :	Mr. Haigreve Khaitan
Designation :	Director

Name :	Mr. Krishnendu Banerjee (Nominee - IDBI Bank Limited)
Designation :	Director

Name :	Mr. S N Baheti (Nominee - IDBI Bank Limited)
Designation :	Director

Name :	Ms. Manju Jain (Nominee - IFCI Limited)
Designation :	Director

Name :	Mr. Mayank Agrawal (Nominee - ICICI Bank Limited)
Designation :	Director

KEY EXECUTIVES

Name :	Mr. B K Singh
Designation :	Chief Executive Officer

Name :	Mr. T P Subramanian
Designation :	President & Company Secretary

Name :	Mr. Vishwanath
Designation :	Secretarial Department

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 31.12.2012

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	6441236	0.26
Bodies Corporate	1384425778	55.01
Sub Total	1390867014	55.26
(2) Foreign
Individuals (Non-Residents Individuals / Foreign Individuals)	677576	0.03
Bodies Corporate	214365450	8.52
Sub Total	215043026	8.54
Total shareholding of Promoter and Promoter Group (A)	1605910040	63.81
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	986464	0.04
Financial Institutions / Banks	221170353	8.79
Central Government / State Government(s)	12768	0.00
Insurance Companies	62086077	2.47
Foreign Institutional Investors	29627180	1.18
Sub Total	313882842	12.47
(2) Non-Institutions
Bodies Corporate	121022613	4.81
Individuals
Individual shareholders holding nominal share capital up to Rs.0.100 Million	288717523	11.47
Individual shareholders holding nominal share capital in excess of Rs.0.100 Million	108143733	4.30
Any Others (Specify)	79153750	3.14
Non Resident Indians	29017754	1.15
Foreign Corporate Bodies	1732800	0.07
Hindu Undivided Families	1119830	0.04
Trusts	29445	0.00
Clearing Members	46200093	1.84
Market Maker	1026528	0.04
Overseas Corporate Bodies	300	0.00
Foreign Nationals	27000	0.00
Sub Total	597037619	23.72
Total Public shareholding (B)	910920461	36.19
Total (A)+(B)	2516830501	100.00
(C) Shares held by Custodians and against which Depository Receipts have been issued	0	0.00
(1) Promoter and Promoter Group	0	0.00
(2) Public	0	0.00
Sub Total	0	0.00
Total (A)+(B)+(C)	2516830501	0.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Selling of Iron and Steel Products.

Products :

ITEM CODE NO. (ITC CODE)	PRODUCT DESCRIPTION
720826 00	Hot Rolled Coils
720310 00	Director Reduced Iron
720927 00	Cold Rolled Sheets
721030 00	Galvanised Sheets
720110 00	Pig Iron / Hot Metal

PRODUCTION STATUS [AS ON 30.06.2011]

Particulars	Unit	Installed Capacity	Actual Production
Direct Reduced Iron	MT	1600000	1209360
Hot Rolled Coils	MT	3300000	2203696
Cold Rolled Carbon Steel Sheets/Coils	MT	330000	217107
Galvanised Coils/Sheets#	MT	225000	141161
Galvalume Coils/Sheets#	MT	100000	48748
PVC Coated Sheets	MT	60000	54151
Tubes and Pipes	MT	56000	14557
Pig Iron/ Hot Metal	MT	2000000	1352382

NOTE:

· Licensed Capacity is not applicable as the industry is delicensed.

· Certified by the Company’s Technical Experts.

GENERAL INFORMATION

No. of Employees :

3499 [Approximately]

Bankers :

v State Bank of India

v Bank of India

v Punjab National Bank

v Indian Overseas Bank

v The Hong Kong and Shanghai Banking Corporation Limited

v ICICI Bank Limited

v UCO Bank

Facilities :

Secured Loan	30.06.2012 [12 Months]	30.06.2011 [12 Months]
	Rs. in Millions
Term loans
Indian rupee loan from banks	50914.400	17691.200
Indian rupee loan from financial institutions	0.000	13722.700
Foreign currency loan from banks	8224.600	15742.800
Foreign currency loan from Financial Institutions	0.000	2226.000
Working Capital Loans from banks repayable on demand	1809.600	2167.000
TOTAL	60948.600	51549.700

Unsecured Loan	30.06.2012 [12 Months]	30.06.2011 [12 Months]
	Rs. in Millions
Term Loans
Indian rupee loan from a financial Institution	1000.000	0.000
Deferred payment liabilities
Deferred Sales Tax/ Value Added Tax	109.000	121.600
Others	0.000	76.900
Other loans & Advances
Sales Tax Loan from Government of Maharashtra	100.300	114.300
Short Term Indian Rupee Loans
From a bank	0.000	3100.000
From a financial institution	0.000	4000.000
Advances from Customers	0.000	2860.100
TOTAL	1209.300	10272.900


Banking Relations :	--

Auditors :
Name :	S. R. Batliboi and company Chartered Accountants
Address :	22, Camac Street, Block ‘C’, 3^rd Floor, Kolkata – 700 016, West Bengal, India

Associates/Subsidiaries :	· Nippon Ispat Singapore (Pte) Limited · Erebus Limited · Arima Holdings Limited · Lakeland Securities Limited · Ispat Energy Limited · Peddar Realty (Private) Limited (w.e.f. 16th May 2012)

Other Related Parties :	· JSW Steel Limited (w.e.f. 24th January 2011) · Peddar Realty Private Limited (till 15th May 2012, became subsidiary w.e.f. 16th May 2012)

CAPITAL STRUCTURE

AS ON 30.06.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
4000000000	Equity Shares	Rs.10/- each	Rs.40000.000 Millions
100000000	12% Cumulative Redeemable Preferences Shares	Rs.100/- each	Rs.10000.000 Millions
1000000000	12% Cumulative Redeemable Preferences Shares	Rs.10/- each	Rs.10000.000 Millions
	Total		Rs.60000.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2514987174	Equity Shares	Rs.10/- each	Rs.25149.900 Millions
43199500	12% Cumulative Redeemable Preferences Shares	Rs.100/- each	Rs.4319.900 Millions
	Less: Redeemed		Rs.4319.900 Millions
155112156	12% Cumulative Redeemable Preferences Shares	Rs.10/ each	Rs.1551.121 Millions
	Less: Redeemed		Rs.1551.121 Millions
484679959	0.01% Cumulative Redeemable Preferences Shares	Rs.10/- each	Rs.4846.800 Millions
	Total [A]		Rs.29996.700 Millions

1843327	Equity Shares	Rs.10/- each	Rs.18.433 Millions
	Less: Call unpaid [Due from other than directors or officers]		Rs.6.900 Millions
			Rs.11.533 Millions

1228885	0.01% Cumulative Redeemable Preferences Shares	Rs.10/- each	Rs.12.289 Millions
	Less: Call unpaid [Due from other than directors or officers]		Rs.4.900 Millions
			Rs.7.389 Millions
	Total [B]		Rs.18.922 Millions
	Total [A + B]		Rs.30015.622 Millions

NOTES:

(a) Reconciliation of the shares outstanding at the beginning and at the end of the reporting period

PARTICULAR	AS ON 30.06.2012
Equity Shares	Nos.	Rs. in Millions
At the beginning of the period	2386799130	23860.900
Issued during the period - Preferential issue	--	--
Issued during the period - Conversion of Loan #	130031371	1300.300
Call Money received during the period	--	0.200
Outstanding at the end of the period	2516830501	25161.400

12% Cumulative Redeemable Preference Shares (CRPS)
At the beginning of the period	43199500	3283.100
Redeemed during the period	43199500	3283.100
Outstanding at the end of the period	--	--
* Redeemed four installments against nominal value of each CRPS

10% Cumulative Redeemable Preference Shares (CRPS)
At the beginning of the period	155112156	1551.100
Redeemed during the period	155112156	1551.100
Outstanding at the end of the period	--	--

0.01% Cumulative Redeemable Preference Shares (CRPS)
At the beginning of the period	485908844	4854.100
Call Money received during the period	--	0.100
Outstanding at the end of the period	485908844	4854.200

# The Securities Issue Committee of the Board of Directors of the Company, at its meeting held on 18th May 2012, has allotted 130,031,371 Equity Shares of Rs. 10 each on preferential basis, at a premium of Rs. 4.74 per share to CDR lenders on receipt of necessary approvals from the Stock Exchanges.

This has resulted in increase in Share Capital by Rs. 1300.300 Millions and Securities Premium Account by Rs. 616.300 Millions aggregating to Rs. 1916.600 Millions on transfer of Rs. 1509.600 Millions from Share Capital Suspense and Rs. 407.000 Millions from Secured Term Loan.

(b) Terms and Rights attached to equity shares

The Company has only one class of equity shares having a par value of Rs. 10 per share. Holder of equity shares are entitled to voting rights as follows: (i) On voting by show of hands, every holder shall have one vote; (ii) On voting by poll, in proportion to the amount paid on equity shares held. Each holder is entitled to dividend, when declared and approved, in proportion to the amount paid on equity shares held.

In the event of winding-up of the Company, the equity shareholders shall be entitled to participate in profits and assets, subject to preferential payments.

(c) Nil (106,912) equity shares are represented by way of outstanding Global Depository Receipts (GDRs) and each GDR represents 10 underlying equity shares.

(d) Terms of Redemption and Rights of 0.01% CRPS

Each holder of CRPS is entitled to one vote per share, in proportion to the amount paid on CRPS held, only on resolutions placed before the Company which directly affect the rights attached to CRPS. It carries dividend @ 0.01% p.a., when declared. The dividend is cumulative. CRPS is redeemable at par in eight quarterly installments commencing from 15th June 2018. In the event of winding-up of the Company before redemption of CRPS, the holders of CRPS will have priority over equity shares in the payment of dividend and repayment of capital.

(e) Terms of Redemption of 12% and 10% CRPS

During the year, 12% and 10% CRPS were fully redeemed as per the refinancing proposal approved by the CDR Empowered Group. These CRPS were redeemable at par in thirteen annual installments from 31st March 2008 and eight quarterly installments from 15th June 2018 respectively.

(f) Details of shareholders holding more than 5% shares in the Company

NAME OF THE SHAREHOLDER	AS ON 30.06.2012
	Nos.	% Holding in the Class
Equity shares of Rs. 10 each fully paid
JSW Steel Limited	1176590764	46.75
Ispat Steel Holdings Limited	207793401	8.26
0.01% CRPS of Rs. 10 each fully paid
Ispat Steel Holdings Limited	162352551	33.41
Goldline Tracom Private Limited	35825455	7.37

As per of the Company, including its register of shareholders/members and other declaration received from shareholders regarding beneficial interest, the above shareholding represent both legal and beneficial ownership of shares.

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		30.06.2012 [12 Months]	30.06.2011 [12 Months]	30.06.2010 [15 Months]
SHAREHOLDERS FUNDS
1] Share Capital		30015.600	33549.200	22250.900
2] Share Application Money		0.000	1509.600	180.000
3] Reserves & Surplus		0.000	0.000	14718.300
4] (Accumulated Losses)		(18201.000)	(14794.800)	(21342.300)
NETWORTH		11814.600	20264.000	15806.900
LOAN FUNDS
1] Secured Loans		60948.600	51549.700	71569.000
2] Unsecured Loans		1209.300	10272.900	248.500
TOTAL BORROWING		62157.900	61822.600	71817.500
DEFERRED TAX LIABILITIES		0.000	0.000	0.000

TOTAL		73972.500	82086.600	87624.400

APPLICATION OF FUNDS

FIXED ASSETS [Net Block]		68222.600	72451.400	79273.500
Capital work-in-progress		1875.000	529.900	637.300

INVESTMENT		1609.900	1634.200	2293.700
DEFERREX TAX ASSETS		20879.400	13087.600	9642.800
Foreign Currency Monetary Item Translation Difference Account		0.000	0.000	20.800

CURRENT ASSETS, LOANS & ADVANCES
	Inventories	17132.500	20401.300	19341.700
	Sundry Debtors	5911.700	3945.700	7589.700
	Cash & Bank Balances	98.200	3931.900	2030.600
	Other Current Assets	1081.800	2294.000	0.000
	Loans & Advances	5099.100	5290.900	7968.700
Total Current Assets		29323.300	35863.800	36930.700
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	38250.900	30855.500	18289.700
	Other Current Liabilities	9178.300	10135.100	22519.600
	Provisions	508.500	489.700	365.100
Total Current Liabilities		47937.700	41480.300	41174.400
Net Current Assets		(18614.400)	(5616.500)	(4243.700)

MISCELLANEOUS EXPENSES		0.000	0.000	0.000

TOTAL		73972.500	82086.600	87624.400

PROFIT & LOSS ACCOUNT

	PARTICULARS		30.06.2012 [12 Months]	30.06.2011 [12 Months]	30.06.2010 [15 Months]
	SALES
		Income	111041.100	82312.100	101327.300
		Other Income	4242.400	3197.800	4459.600
		TOTAL (A)	115283.500	85509.900	105786.900

Less	EXPENSES
		Cost of raw material consumed	73238.300	55913.900	58952.500
		Cost of traded power	962.800	--	--
		Excise Duty & Cess on Stocks	--	--	295.400
		Personal Cost	--	--	2733.600
		Manufacturing, Selling & Distribution & Administrative Expenses	--	--	29271.300
		Employee benefits expense	2608.600	2192.900	--
		Other expenses [Including Prior period items Rs. 3.200 Millions (Rs. 22.500 Millions)]	26074.700	21787.100	--
		Exceptional items	5864.600	11806.200	--
		(Increase)/ decrease in inventories of finished goods and work-in-progress	467.200	(878.300)	(2695.300)
		TOTAL (B)	109216.200	90821.800	88557.500

Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		6067.300	(5311.900)	17229.400

Less	FINANCIAL EXPENSES (D)		10760.000	10229.100	12854.500

	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		(4692.700)	(15541.000)	4374.900

Less/ Add	DEPRECIATION/ AMORTISATION (F)		6268.300	5962.600	7739.500

	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		(10961.000)	(21503.600)	(3364.600)

Less	TAX (H)		(7791.800)	(3444.800)	(141.200)

	PROFIT / (LOSS) AFTER TAX (G-H) (I)		(3169.200)	(18058.800)	(3223.400)

Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(39401.100)	(21342.300)	(18321.500)

Add / Less	DEBENTURE REDEMPTION RESERVE WRITTEN BACK		0.000	0.000	(202.600)

	BALANCE CARRIED TO THE B/S		(42570.300)	(39401.100)	21342.300

	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	1378.100	4861.600	4334.400
		Vessel Rentals	0.000	0.000	0.000
	TOTAL EARNINGS		1378.100	4861.600	4334.400

	IMPORTS
		Raw Materials	24764.700	22950.300	30464.700
		Stores & Spares	1675.800	1669.600	2896.000
		Capital Goods	613.100	44.400	737.900
	TOTAL IMPORTS		27053.600	24664.300	34098.600

	Earnings / (Loss) Per Share (Rs.)		(1.27)	(10.60)	(3.37)

QUARTERLY RESULTS

PARTICULARS	30.09.2012	31.12.2012
Type	1^st Quarter	2^nd Quarter
Net Sales	26405.000	27708.100
Total Expenditure	25345.500	26417.700
PBIDT (Excl OI)	1059.500	1290.400
Other Income	1002.300	1176.300
Operating Profit	2061.800	2466.700
Interest	1803.700	2475.100
Exceptional Items	2353.600	(825.100)
PBDT	2611.700	(833.500)
Depreciation	1617.100	1584.400
Profit Before Tax	994.600	(2417.900)
Tax	(229.300)	(1110.500)
Provisions and contingencies	0.000	0.000
Profit After Tax	1223.900	(1307.400)
Other Adjustments	0.000	0.000
Net Profit	1223.900	(1307.400)

KEY RATIOS

PARTICULARS		30.06.2012 [12 Months]	30.06.2011 [12 Months]	30.06.2010 [15 Months]
PAT / Total Income	(%)	(2.75)	(21.12)	(3.05)

Net Profit Margin (PBT/Sales)	(%)	(9.87)	(26.12)	(3.32)

Return on Total Assets (PBT/Total Assets}	(%)	(11.23)	(19.85)	(2.90)

Return on Investment (ROI) (PBT/Networth)		(0.93)	(1.06)	(0.21)

Debt Equity Ratio (Total Debt/Networth)		5.26	3.05	4.54

Current Ratio (Current Asset/Current Liability)		0.61	0.86	0.90

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

HISTORY

Subject is one of the integrated steel makers and the largest private sector producer of hot rolled coils in India. Incorporated in the year 1984 by founding chairman M. L. Mittal, A corporate powerhouse with operations in iron, steel, mining, energy and infrastructure. The company's core competency is the production of high quality steel, for which it employs cutting edge technologies and stringent quality standards. It produces world-class sponge iron, galvanised sheets and cold rolled coils, in addition to hot rolled coils, through its two state-of-the art integrated steel plants, located at Dolvi and Kalmeshwar in the state of Maharashtra. To better provide steel solutions to an increasingly sophisticated marketplace, subject had sets up a highly advanced cold rolling reversing mill during the year 1988, in collaboration with Hitachi of Japan, to manufacture a wide range of cold rolled carbon steel strips. In the same year, the company installed a colour coating line, the first of its kind in India for the manufacture of pre-painted colour steel sheets. During the year 1994, Business interests within the Ispat Group are demarcated. The eldest son, Mr. L N Mittal continues to manage the international operations while Mr. Pramod Mittal and Mr. Vinod Mittal, the younger brothers focused on steel and other businesses in India. In the identical year 1994, it commissioned the world's largest gas-based single mega module plant for manufacturing direct reduced iron (sponge iron), at its Maharashtra-based Dolvi plant. Within three months, the plant exceeds its capacity of 1 million tonnes per annum (MTPA) of high quality DRI. The company came out with a Euro-issue of 125-mln fully convertible bonds in 1994 to part-finance the expansion of its hot strip mill (HSM) capacity to 2.50 lac TPA. During the year 1995, A 1.5 MTPA hot strip mill with Continuous Strip Processing (CSP) technology was installed at Dolvi. A mechanised multi-functional jetty situated close to the plant facilitates the automation of raw material handling. A world-class integrated steel plant for the production of hot rolled coils was launched in the year 1998, armed with cutting edge technologies, such as the Conarc Process for steel making and the Compact Strip Process, both introduced for the first time in Asia. The year 2000 was new millennium to the company, witnessed to the erection and commissioned a 2 MTPA blast furnace at the Dolvi steel complex in record time. During the year 2003, the company's Blast Furnace was commissioned and the Sponge iron capacity was increased from 1.2 mtpa to 1.4 mtpa. The Hot rolled coil steel-making capacity increased from 1.5 mtpa to 2.4 mtpa in the year 2004 and also the Sponge iron capacity increased from 1.4 mtpa to 1.6 mtpa in during the same period. Ispat Metallics India Limited (IMIL) was merged with subject with effect from 1st April of the year 2004 in the ratio of 1:1. Oxygen Plant of the company with daily capacity of 1260 Tons has been commissioned in December 2005. Plant Operations have since stabilized, consequently, no dependence on external sources for oxygen supply and also Sinter Plant of the annual capacity of 2.24 Million Tons per annum has been commissioned in December of the year 2005. The Company received the Golden Peacock Environment Management Award, 2006, awarded by Institute of Directors. During the year 2006-07, The Company entered into the separate Memoranda of Understanding with the respective State Governments, such as Government of Maharashtra for expansion in steel-making capacity at Dolvi Steel Complex to 5 Million Tons annually and with Government of Chattisgarh for setting-up a coal-based power plant of the capacity of 1200 MW. In January of the year 2007, the company signed a memorandum of understanding (MoU) with the Jharkhand government for setting up an initial production of 2.8 million tonne, to be scaled up to five million tonne in phases. The cost of the integrated steel plant, which would come up at Manoharpur in West Singhbhum district, was estimated to be Rs.67500 millions. Ispat Industries has decided to offload around 25% stake in its wholly owned subsidiary, Ispat Energy, to private equity funds to raise around Rs.8000 millions during January of the year 2008. The Company aims to consolidate its market leadership in the national specialty steel market by capitalising on the proximity of its manufacturing facilities to major consumers of flat steel products in Maharashtra, while increasing its presence in international markets by using its convenient port location. In the short span of time since its inception, Ispat Industries has steadily raised the bar - in terms of its relentless pursuit of technological advancement, unwavering focus on innovation, strident emphasis on quality products and its constant initiatives aimed at ensuring customer satisfaction.

STANDALONE RESULTS:

Revenue from operations during the year was Rs. 121235.500 Millions representing growth of 35% over previous year. Profit before interest and finance costs and depreciation was Rs. 11931.900 Millions. After providing for interest and finance costs of Rs. 10760.000 Millions, profit before depreciation was Rs. 1171.900 Millions, compared to loss before depreciation of Rs. 3734.800 Millions during the previous year, registering marked improvement in operations during the year.

After providing for depreciation of Rs. 6268.300 Millions, loss before considering exceptional items was Rs. 5096.400 Millions. Exceptional items (details of which are set-out in Note No. 28 of the Notes forming part of the accounts) aggregating to Rs. 5864.600 Millions have been provided for in the accounts and, consequently, loss before tax was Rs. 10961.000 Millions. After considering Deferred Tax Credit of Rs. 7791.800 Millions, net loss during the year was Rs. 3169.200 Millions. The loss is proposed to be carried to next year’s accounts.

OPERATIONS:

Production of Hot Rolled Coils at 2.48 Million MTs was higher by 13% compared to the previous year. Production of Direct Reduced Iron (Sponge Iron) at 1.27 Million MTs and production of Hot Metal at 1.59 Million MTs were respectively higher by 5% and 17% compared to previous year. Availability of administered price gas and natural gas continues to be extremely restricted with consequent severe adverse impact on input prices and production of Direct Reduced Iron. Production of Cold Rolled Steel Coils/Sheets and Galvanized Coils/ Sheets was higher at 0.33 Million MTs and 0.26 Million MTs, respectively, compared to previous year.

Sales of Hot Rolled Coils at 2.50 Million MTs was higher by 20%, compared to previous year. Sales of Galvanized Coils/Sheets at 0.23 Million MTs was higher by 117% compared to previous year. Sales of PVC Coated Sheets at 0.06 Million MTs had improved by 21% compared to previous year. While prices of coke and coal had moderated, cost of iron ore and pellets had increased substantially during the year. As a result, steel production cost had registered marked increase during the year.

Various initiatives have been undertaken for improving operating efficiencies and also ensuring raw material security. The Company has undertaken rolling of thinner gauge coils upto 1.22 mm, which would result in multiple product applications. Alternate cost-effective sources of supply have been identified for critical inputs, such as iron ore, coke etc. During the year, Maharashtra State Electricity Distribution Company Limited (MSEDCL) had accorded open access permission to the Company for wheeling of 220 MW power from one of the units (captive to the Company) of JSW Energy Limited. The approval was granted during January, 2012 and the Company has entered into an “Energy Wheeling Agreement” with JSW Energy Limited to ensure availability of power supply on long term basis. The Company has, therefore, been receiving power from JSW Energy Limited since January, 2012 and excess power, if any, is sold to MSEDCL. Consequently, the Company has been able to achieve valuable savings in cost of power.

Due to depreciation in value of Indian Rupee against foreign currencies, the Company had incurred net foreign exchange fluctuation loss of Rs. 3790.000 Millions during the year on operating balance/forward exchange contracts and Mark-to-Market position on derivative contracts.

EXPORTS:

Global steel demand has been slack due to negative economic indicators in various economies. Export earnings during the year was Rs. 1380.000 Millions, signifying reduction of 72% over the previous year. The Company would continue to integrate its export strategies with global steel demand conditions.

ECONOMIC SCENARIO:

Global economy continues to be volatile and faces constraints owing to the Eurozone debt crisis and the slow recovery of US economy. There has been a marked deterioration in the overall environment in Europe leading to sharp contraction in steel demand. US economy, meanwhile, has been registering slow growth and demand for steel is expected to improve. Chinese GDP growth appears to have moderated, though its economy is expected to benefit in 2013 due to the easing of credit conditions and fresh investments in large projects.

Indian GDP is widely expected to grow by 6% during the current year. Indian economy is facing an outflow of investment funds, lower industrial production and delays in start-up of major privately-financed projects. Manufacturing output is lower by 4% year-to-year. Current account deficit is a major concern and the Indian Rupee has weakened sharply. Inflationary threat looms large and limits the ability of Reserve Bank of India to reduce interest rates. Policy initiatives aimed at speeding-up of infrastructure projects are likely to accelerate steel demand in the country.

Steel prices have been depressed owing to overall global economic condition. Steel capacity utilization has been below 80% and margin continues to remain under intense pressure. Iron ore and coking coal prices, however, remain stable and the volatility witnessed in the previous year appears to have moderated.

PROJECTS:

Speedy progress is being made in implementation of the Company’s planned projects, namely, power plant of the capacity of 55 MW, lime calcining plant of the capacity of 600 Tons per day, railway siding at Dolvi steel complex and the second colour coating line of the capacity of 0.1 Million Tons per annum at Kalmeshwar complex. The lime calcining plant, railway siding and second colour coating line are scheduled to be completed during the current financial year of the Company. The power plant is likely to be commissioned during the first quarter of next fiscal.

The coke oven project of the capacity of 1 Million Tons per annum being set up at the Company’s Dolvi steel complex, through a Special Purpose Vehicle company, is expected to be commissioned by March 2014. Financial closure has already been achieved and project activities are presently in progress. Iron ore pellet project of the capacity of 4 Million Tons per annum is also being set-up at the Company’s Dolvi steel complex, through a special Purpose Vehicle company. The project is expected to be commissioned by September, 2014.

Additionally, the Company is planning to install a 6 Hi Mill of the capacity of 0.2 Million Tons per annum at its Kalmeshwar complex. Addition of the mill would increase coating volume by over 15000 MTs per month by utilizing existing coating capacities. The project is expected to be commissioned by December 2013.

SUBSIDIARY COMPANIES:

During the year, the Company has acquired the entire outstanding equity shares of Peddar Realty Private Limited and, consequently, Peddar Realty Private Limited has become a wholly owned subsidiary of the Company effective 16th May, 2012. The equity shares have been acquired with a view to ensure, inter-alia, higher degree of control over the amount due by Peddar Realty Private Limited to the Company.

During the year, the Company divested its equity holdings in Ispat Jharkhand Steels Limited, since the Memorandum of Understanding entered into by Ispat Jharkhand Steels Limited with Government of Jharkhand for setting-up an integrated steel plant is not being pursued. Consequently, Ispat Jharkhand Steels Limited ceased to be a subsidiary of the Company effective 29th June, 2012.

MANAGEMENT DISCUSSION AND ANALYSIS:

INDUSTRY STRUCTURE AND DEVELOPMENTS:

GLOBAL STEEL SCENARIO:

The global steel industry has been significantly impacted due to the Eurozone crisis and imbalances in several major economies. The overall fall in real disposable income in major economies and high degree of unemployment have impacted business confidence levels. Financially restricted conditions across the world have reduced many manufacturing companies’ optimism and a sizable number of enterprises are reassessing their capital spending plans. In the prevailing economic and political global situation, the steel industry faces unique challenges and uncertainties. The major challenge for steel manufacturers is insufficient demand to sustain cost-effective operations and the battle for market share. Steel buyers are challenged to find the perfect timing to finalize deals over fear of either suffering inventory losses or missing procurement at appropriate prices.

Risks for the steel mills are expected to intensify in the second half of 2012. Economic indicators in developed nations, with USA being one of the major exceptions, seem to be worsening. Outside of Germany, the European Union appears to be sliding into a deeper recession. Among BRIC Countries, Brazil’s economy appears to be stagnating and growth prospects in Russia look mixed. The Indian economy is suffering profoundly from an outflow of investment funds and lower industrial production. More worrying is the fact that Chinese economic indicators seem to be slackening.

The US economy so far has remained stronger than expected. Steel demand has been up 7% year-over-year. However, domestic hot-rolled spot price slipped to about $649 per ton in late-May 2012, down from the recent high of $740 per ton in late-January 2012, which is a reflection on the prevailing market sentiments. For 2012, Chinese steel demand is expected to rise 6% to 685 million tons, with net exports at about 40 million tons. In the first quarter of 2012, net exports were over 9 million tons. Chinese economy in 2013 is expected to benefit from government’s easing of credit conditions. Less restrictive credit is likely to lead to rise in capital spending and apparent steel consumption.

INDIAN STEEL SCENARIO:

Price stability and growth are major challenges facing the Indian policy makers. Indian economy is expected to grow at 6% during the current year down from over 8% in 2010-11. While GDP growth has been low, the growing trade deficit, inflationary pressures and weakening currency have led to a weak investment sentiment and slowed industrial growth. Crude steel production during 2011-12 was 74 Million tons, registering a growth of 4% over the previous year. Steel demand in the country is expected to grow by 6% during the current year, in tandem with growth in GDP.

The steady depletion in availability of key raw material sources is a matter of significant concern for Indian steel makers. Domestic supply of iron ore has been significantly impacted due to environmental concerns. As a result, Indian steel makers are exposed to the vagaries of international demand pulls and price fluctuations. Supply of coking coal has also been limited in domestic markets leading to surge in imports. Volatility in prices of key inputs threaten stability of operations of steel majors in the country.

High fiscal deficit levels have cast doubts on the country’s ability to meet the budget goals. Price pressures remain elevated and infrastructure output growth has further slowed down. The domestic demand-driven economy has been steadily slowing down and government’s revenue receipts have been severely impacted. Contraction in key sectors of the economy, namely, natural gas, cement, coal and infrastructure are reflected in weakening industrial activity.

Growth of capital goods sector is vital for stability of the steel industry. High level of investment in the capital goods sector is crucial for industrial growth. The dip in index of Industrial Production and the current inflationary pressures have resulted in slow growth of the capital goods sector during last few months. Thrust on infrastructure spending is essential to revive the growth pattern in the capital goods sector in the coming months.

OUTLOOK:

Macroeconomic policy-making in our country is expected to be driven largely by the twin issues of growth and inflation control. While continuing its efforts to achieve price stability, the government has not been able to fast-track policies on accelerating economic growth. Meanwhile, global economic under-currents continue to impact our country’s growth prospects.

Domestic steel consumption would be driven by the growth in manufacturing, infrastructure and consumer durable segments. Steel demand is expected to grow structurally, notwithstanding downside risks of slower growth in the short term, due to macroeconomic deficiencies. Increasing urbanization and infrastructure growth opportunities are likely to propel domestic steel demand.

The Company is committed to ensuring timely implementation of its projects, so as to achieve rationalization in input costs. The Company is taking proactive steps to reduce cost and improve its operating processes. The Company shall focus on improving the market share of its products.

FIXED ASSETS:

v Leasehold Land

v Freehold Land

v Buildings

v Railways Sidings and Locomotives

v Plant and Machinery

v Vessels

v Electrical Installations

v Vehicles

v Furniture and Fixtures

v Office Equipment

v Computers

Statement of Standalone Unaudited Financial Results for the Quarter & Six months ended 31st December, 2012

Rs. in Millions

Sr. No.	Particular	Quarter Ended		Half Year Ended
		31.12.2012	30.09.2012	31.12.2012
1.	Net Sales/Income from Operations	26783.700	25470.000	52253.700
	Other Operating Income	924.400	935.000	1859.400
	Total Income From Operations	27708.100	26405.000	54113.100

2.	Expenditure
	Cost of materials consumed	17392.700	19387.700	36780.400
	Cost of traded power	607.500	605.900	1213.400
	Changes in inventories of finished goods, work in progress and stock in trade	1230.100	(1917.800)	(687.700)
	Power & fuel cost	4755.900	4780.200	9536.100
	Employee benefits expenses	626.700	671.500	1298.200
	Depreciation and amortization expenses	1584.400	1617.100	3201.500
	Other expenses	1804.800	1818.000	3622.800
	Total Expenses	28002.100	8886.800	54964.700

3.	Profit From Operations before Other Income, Interest and Exceptional Items (1-2)	(294.000)	(557.600)	(851.600)

4.	Other Income	1176.300	1002.300	2178.600

5.	Profit Before Interest and Exceptional Items (3+4)	882.300	444.700	1327.000

6.	Interest	2475.100	1803.700	4278.800

7.	Profit After Interest but before Exceptional Items (5-6)	(1592.800)	(1359.000)	(2951.800)

8.	Exceptional Items	825.100	(2353.600)	(1528.500)

9.	Profit from Ordinary Activities before Tax (7+8)	(2417.900)	994.600	(1423.300)

10.	Tax Expense
	a) Current tax	--	--	--
	b) Deferred tax	(1110.500)	(229.300)	(1339.800)

11.	Net Profit from Ordinary Activities after Tax (9-10)	(1307.400)	1223.900	(83.500)

12.	Extraordinary Item (net of expense)	--	--	--

13.	Net Profit for the period (11-12)	(1307.400)	1223.900	(83.500)

14.	Paid-up Equity Share Capital (Face Value of Rs.10/- Each)	25161.400	25161.400	25161.400

15.	Reserves Excluding Revaluation Reserve	--	--	--

16.	Basic and Diluted Earning Per Share (EPS) (Rs.)-Not Annualised
	a) Basic and diluted EPS before extraordinary items	(0.52)	0.49	(0.03)
	b) Basic and diluted EPS after extraordinary items	(0.52)	0.49	(0.03)

17.	Public Shareholding
	-Number of Shares	910920461	846365566	910920461
	- Percentage of Shareholding	36.19	33.63	36.19

18.	Promoters and Promoter Group Shareholding
	a) Pledged/Encumbered
	- Number of Shares	--	477730463	--
	- Percentage of Shares (as a % of the Total Shareholding of promoter and promoter group)	--	28.60	--
	- Percentage of Shares (as a % of the Total Share Capital of the Company)	--	18.98	--

	b) Non Encumbered
	- Number of Shares	1605910040	1192734472	1605910040
	- Percentage of Shares (as a % of the Total Shareholding of Promoter and Promoter Group)	100.00	71.40	100.00
	- Percentage of Shares (as a % of the Total Share Capital of the Company)	63.81	47.39	63.81

Particulars	3 Months ended 31.12.2012
Pending at the beginning of the quarter	Nil
Received during the quarter	47
Disposed of during the quarter	47
Remaining unresolved at the end of the quarter	Nil

Rs. in Millions

PARTICULARS	31.12.2012 Unaudited
Equity and liabilities
Shareholders' fund
Share capital	30015.600
Reserve & surplus	(18697.200)
Sub-total - Shareholders' funds	11318.400
Non - current liabilities
Long term borrowings	56935.100
Other long-term liabilities	2359.500
Long term provisions	463.700
Sub-total - Non-current liabilities	59758.300
Current liabilities
Short term borrowings	2263.700
Trade payables	43614.500
Other current liabilities	10705.300
Short term provisions	69.100
Sub-total - Current liabilities	56652.600

Total - Equity & Liabilities	127729.300

Assets
Non-current assets
Fixed assets	68578.200
Non-current investment	1609.900
Deferred tax assets (net)	22219.200
Long term loans & advances	4721.300
Other non-current assets	228.000
Sub-total - Non-current Assets	97356.600
Current assets
Inventories	18336.300
Trade receivables	7795.100
Cash & bank balances	368.700
Short term loans & advances	3636.900
Other current assets	235.700
Sub-total - Current Assets	30372.700

Total – Assets	127729.300

NOTES:-

1. a) The Auditors in their audit report on the Company’s financial statements for the year ended 30th June 2012 and limited review report on the unaudited financial results for the quarter ended 30th September 2012 had qualified the recognition of net Deferred Tax Asset (DTA) of Rs. 20879.400 Millions and Rs. 21108.700 Millions respectively.

Deferred Tax Asset of Rs. 1110.500 Millions has been recognised during the quarter ended 31st December 2012 and net DTA as on 31st December 2012 stands at Rs. 22219.200 Millions. There are carried forward unabsorbed depreciation and business losses as at 31st December 2012. In view of various measures taken by the Company for enhancing operating efficiency, tie-up of reliable alternate sources of power and critical inputs, setting-up of crucial projects aimed at achieving raw material integration, major savings in input costs as well as future profitability projections and the Composite Scheme of Arrangement and Amalgamation set out in (b) below, the Company is virtually certain that there would be sufficient taxable income in future, to claim the above tax credit.
These financial results have been drawn up as per the going concern assumption, which is appropriate in the opinion of the Company.

b) The Board of Directors of the Company on 1st September 2012 approved a Composite Scheme of Arrangement and Amalgamation under section 391 to 394 of the Companies Act, 1956 amongst JSW Steel Limited, JSW ISPAT Steel Limited, JSW Building Systems Limited, JSW Steel Coated Products Limited (formerly Maharashtra Sponge Iron Limited) and their Respective Shareholders and Creditors with 1st July 2012 being the 'Appointed Date'. Approval for the Scheme has been received from the shareholders and certain regulatory authorities. Approval of creditors and the Hon’ble High Court of Bombay is pending to be received and, hence, no accounting impact of the Scheme has been considered in the results above.

2. There was a significant depreciation in the value of the Indian rupee against the US dollar and other foreign currencies during the quarter. Hence, loss on account of foreign exchange fluctuation on operating balances/ forward exchange contracts and Mark to Market loss on derivative contracts aggregating to Rs. 825.100 Millions (Gain of Rs. 756.200 Millions for the six months ended 31st December 2012) has been treated as an exceptional item.

3. There were no extra-ordinary items during the respective periods reported above.

4. Other income includes a sum of Rs.1026.600 Millions and Rs.1969.400 Millions for the quarter and six month ended 31st December 2012 (Rs.926.400 Millions and Rs.1840.800 Millions for the quarter and six month ended 31st December 2011), being gain arising on account of pre-payment on Net Present Value basis of a portion of deferred Value Added / Sales Tax liability, in terms of Section 94(2) of Maharashtra Value Added Tax Act, 2002 read with Rule 84 of Maharashtra Value Added Tax Rules, 2005.

5. The Company has identified Iron & Steel products as its sole operating segment and hence no further disclosure is required under Accounting Standard 17 ‘Segment Reporting’.

6. Previous period figures have been re-grouped / re-arranged wherever necessary.

7. During the quarter, the Company has divested its holding in the equity share capital of Ispat Energy Limited. Consequently, Ispat Energy Limited has ceased to be a wholly-owned subsidiary of the Company.

8. The auditors of the Company have carried out a Limited Review of the Standalone Financial Results for the quarter ended 31st December 2012 in compliance with Clause 41 of the Listing Agreement. The Standalone Financial Results have been reviewed by the Audit Committee and approved by the Board of Directors at their respective meetings held on 11th February 2013.

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.53.99
UK Pound	1	Rs.83.72
Euro	1	Rs.72.09

INFORMATION DETAILS

Report Prepared by :

TPT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	4
--RESERVES	1~10	4
--CREDIT LINES	1~10	3
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	YES
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		37

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.

MIRA INFORM REPORT

Foreign Currency Monetary Item Translation Difference Account

17132.500

5911.700

98.200

1081.800

5099.100

7968.700

29323.300

38250.900

18289.700

9178.300

22519.600

508.500

365.100

47937.700

41174.400

(18614.400)

(4243.700)

(2.75)

(3.05)

(9.87)

(3.32)

(11.23)

(2.90)

(0.93)

(0.21)

5.26

4.54

0.61

0.90

Unit