MIRA INFORM REPORT

Report Date :

19.02.2013

IDENTIFICATION DETAILS

Name :	FIL INDUSTRIES LIMITED (w.e. f. 31.07.2000)
Formerly Known As :	FUNGICIDES (INDIA) Private LIMITED (w.e.f. 11.02.1992) FUNGICIDES (INDIA) LIMITED
Registered Office :	“Kohinoor House”, 7, Sheikh Bagh, Srinagar – 190001, Jammu and Kashmir
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	29.08.1989
Com. Reg. No.:	07-001136
Capital Investment / Paid-up Capital :	Rs.72.870 Millions
CIN No.: [Company Identification No.]	U24231JK1989PLC001136
TAN No.: [Tax Deduction & Collection Account No.]	AMRF10062D
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturers of Pesticides, Herbicides, Fungicides and Insecticides in form of Powder, Liquid and Granular.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (55)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 5100000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established company having good track. General financial positions is good. Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitments. The company can be considered good for normal business dealings at usual trade terms and conditions.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – June 30, 2012

Country Name	Previous Rating (31.03.2012)	Current Rating (30.06.2012)
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

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

LOCATIONS

Registered Office :	“Kohinoor House”, 7, Sheikh Bagh, Srinagar – 190001, Jammu and Kashmir, India
Tel. No.:	91-194-2474543 / 2455161
Fax No.:	91-194-2452462
E-Mail :	admin@filindustrieslimited.com filsnnagar@filindustrieslimited.com
Website :	www.filindustries.com
Factory /Corporate Office :	H – 88, The South Mall, South Extension I, New Delhi – 110049, India
Tel. No.:	91-11-24620505 / 0707 / 0808 / 24605600
Fax No.:	91-11-24633874 / 24646551
E-Mail :	admin@filindustrieslimited.com

DIRECTORS

As on 23.09.2011

Name :

Mr. Iqbal Mohd Syed

Designation :

Whole time Director

Address :

7, Sheikh Bagh, Srinagar-190001, Jammu and Kashmir, India

Date of Birth/Age :

14.07.1932

Date of Appointment :

29.08.1989

DIN No.:

00094720

Other Directorship

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U24231JK1989PLC001136	FIL INDUSTRIES LIMITED	Director	29/08/1989	29/08/1989	Active	NO
2	U15531JK1998PTC001805	KOHINOOR INTERNATIONAL PRIVATE LIMITED	Director	9/3/1998	9/3/1998	Active	NO

Name :

Mr. Altaf Mohmad Syed

Designation :

Managing Director

Address :

7, Sheikh Bagh, Srinagar-190001, Jammu and Kashmir, India

Date of Birth/Age :

19.02.1959

Date of Appointment :

29.08.1989

DIN No.:

00092283

Other Directorship

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U24231JK1989PLC001136	FIL INDUSTRIES LIMITED	Managing director	29/08/1989	29/08/1989	-	Active	NO
2	U15531JK1998PTC001805	KOHINOOR INTERNATIONAL PRIVATE LIMITED	Director	9/3/1998	9/3/1998	-	Active	NO
3	U01212JK1978SGC000428	JAMMUANDKASHMIR HORTICULTURAL PRODUCE MKT&PROCESSING CORPORATION LIMITED	Director	3/2/2006	3/2/2006	-	Active	YES

Name :

Mr. Tariq Mohd Syed

Designation :

Director

Address :

7, Sheikh Bagh, Srinagar-190001, Jammu and Kashmir, India

Date of Birth/Age :

07.07.1970

Date of Appointment :

29.08.1989

DIN No.:

00094590

Other Directorship

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U24231JK1989PLC001136	FIL INDUSTRIES LIMITED	Director	29/08/1989	29/08/1989	-	Active	NO
2	U15531JK1998PTC001805	KOHINOOR INTERNATIONAL PRIVATE LIMITED	Managing director	9/3/1998	9/3/1998	-	Active	NO
3	U92132JK2008PTC002930	G K NEWS NETWORK PRIVATE LIMITED	Director	14/08/2008	14/08/2008	-	Under Process of Striking off	NO
4	U63040DL2010PTC202566	VALLEY FLIERS SERVICES PRIVATE LIMITED	Director	12/5/2010	12/5/2010	-	Active	NO

Name :	Ms. Begum Hafeza
Designation :	Director
Address :	7, Sheikh Bagh, Srinagar-190001, Jammu and Kashmir, India
Date of Birth/Age :	21.09.1944
Date of Appointment :	23.09.2011
DIN No.	00092517

Name :	Mr. Tabassum Altaf Syed
Designation :	Director
Address :	7, Sheikh Bagh, Srinagar-190001, Jammu and Kashmir, India
Date of Birth/Age :	18.01.1962
Date of Appointment :	22.09.2011
DIN No.:	00092398

Name :	Ms. Ruhi Syed
Designation :	Director
Address :	7, Sheikh Bagh, Srinagar-190001, Jammu and Kashmir, India
Date of Birth/Age :	10.01.1970
Date of Appointment :	26.09.2009
DIN No.:	00094677

Name :	Ms. Hafiza Iqbal Bukhari
Designation :	Director
Date of Appointment :	29.08.1989
DIN No.:	02469071

Name :	Mr. Sanjay Gupta
Designation :	Director
Address :	4276, Sector 23A, Gurgaon, Haryna, India
Date of Birth/Age :	18.11.1969
Date of Appointment :	03.04.2006
DIN No.:	02468177

SHAREHOLDING PATTERN

As on 23.09.2011

Names of Shareholders	No. of Shares
Iqbal Mohd Syed	13580
Altaf Mohd. Syed	20700
Tariq Mohd. Syed	10294
Hafeeza Begum	8690
Tabassum Altaf	4300
Junaid Altaf	200
Owais Altaf	200
PFB Project Engineering	3906
Ruti Tarlq	4000
Kohinoor International Private Limited, India	7000
Total	72870

As on 23.09.2011

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	5.36
Bodies corporate	9.60
Directors or relatives of Directors	85.04
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturers of Pesticides, Herbicides, Fungicides and Insecticides in form of Powder, Liquid and Granular.

PRODUCTION STATUS

As On 31.03.2011

Pesticides, Herbicides, Fungicides, Insectides, Food Processing and Tetra Pack Plants:	Unit	Licensed Capacity	Installed Capacity	Actual Production
WDP Plant	MT	N.A.	1675	1531
Liquid Plant	KL	N.A.	1920	972
Granual Plant	MT	N.A.	1533	936
Food Processing Plant	MT	N.A.	4800	196
Tetra packing Plant	KL	N.A.	3024	2986

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· The Jammu and Kashmir Bank

· UCO Bank

· ICICI Bank limited

· HDFC Bank limited

Facilities :

Secured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
Rupee Term Loans Secured	438.489	597.139
Working Capital Loans Other Secured	355.590	253.482
Loans Taken for Fixed Assets Secured	13.711	17.573
Total	807.790	868.194

Banking Relations :	---
Auditors :
Name :	Manzoor and Company Chartered Accountants
Address :	3^rd Floor Baba Building, II, Residency Road, Srinagar-190001, Jammu and Kashmir, India
Tel. No.:	91-194-2482495 / 96 / 97 / 98
Mobile No.:	91-9906628861
PAN.:	AATPW6692D

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
220000	Equity Shares	Rs.1000/- each	Rs.220.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
72870	Equity Shares	Rs.1000/- each	Rs.72.870 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		72.870	72.870	31.300
2] Share Application Money		0.260	0.260	174.830
3] Reserves & Surplus		1205.590	1132.795	883.584
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		1278.721	1205.925	1089.714
LOAN FUNDS
1] Secured Loans		807.790	868.194	838.962
2] Unsecured Loans		17.000	17.000	17.500
TOTAL BORROWING		824.790	885.194	856.462
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		2103.511	2091.119	1946.176
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		1109.738	1162.797	1082.428
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	346.497	241.296	304.193
	Sundry Debtors	631.897	653.565	640.801
	Cash & Bank Balances	43.242	58.100	61.989
	Other Current Assets	13.559	37.612	0.000
	Loans & Advances	124.463	91.689	90.948
Total Current Assets		1159.658	1082.262	1097.931
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	114.701	90.824	159.553
	Other Current Liabilities	32.488	45.466	58.168
	Provisions	18.702	17.659	16.474
Total Current Liabilities		165.891	153.949	234.195
Net Current Assets		993.767	928.313	863.736
MISCELLANEOUS EXPENSES		0.006	0.009	0.012
TOTAL		2103.511	2091.119	1946.176

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	1682.637	1643.931	1525.793
		Other Income	64.614	118.240	62.131
		TOTAL (A)	1747.251	1762.171	1587.924
Less	EXPENSES
		Consumption Materials Charges Inventories	1194.584	1229.379
		Manufacturing Service Cost	88.215	67.917
		Contract Cost	6.122	5.005	1355.538
		Employee Related Expenses	80.747	68.283
		Administrative Selling Other Expenses	95.321	95.687
		TOTAL (B)	1464.989	1466.271	1355.538
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		282.262	295.900	232.386
Less	INTEREST FINANCIAL EXPENSES (D)		118.044	126.040	93.891
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		164.218	169.860	138.495
Less/ Add	DEPRECIATION/ AMORTISATION (F)		70.604	66.393	46.133
	PROFIT BEFORE TAX (E-F) (G)		93.614	103.467	92.362
Less	TAX (H)		20.818	33.744	16.474
	PROFIT AFTER TAX (G-H) (I)		72.796	137.211	75.888
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		840.424	703.213	627.325
	BALANCE CARRIED TO THE B/S		913.220	840.424	703.213
	EARNINGS IN FOREIGN CURRENCY
		Manufacturing Good	3.048	3.512	N.A
		Traded Goods	42.287	0.000	N.A
	TOTAL EARNINGS		45.335	3.512	N.A
	IMPORTS
		Raw Materials	62.508	56.003	N.A
		Stores & Spares	0.996	0.030	N.A
		Capital Goods	2.282	0.109	N.A
	TOTAL IMPORTS		65.786	56.142	N.A
	Earnings Per Share (Rs.)		998.98	1882.962	2950.86

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	4.17	7.79	4.78
Net Profit Margin (PBT/Sales)	(%)	5.56	6.29	60.45
Return on Total Assets (PBT/Total Assets}	(%)	4.13	4.61	4.24
Return on Investment (ROI) (PBT/Networth)		0.07	0.09	0.08
Debt Equity Ratio (Total Liability/Networth)		0.77	0.86	1.00
Current Ratio (Current Asset/Current Liability)		6.99	1.17	1.27

LOCAL AGENCY FURTHER INFORMATION

PERFORMANCE REVIEW:

This year there is a marginal increase in the turnover of the company for Rs.1.644 Millions in the previous year 2009-10 to Rs.1.683 Millions in current year 2010-11

The Net profit for the year showed a marginal decrease from Rs.85.800 Millions in the year 2009-10 to Rs.74.900 Millions in the current tear 2010-11.

This Year has been a marginal year. The Crop Protection division saw a major dip in the sales as compared to previous year due to loss of sales in seeds business as compared to the previous year. The profits however were maintains with contributions from other divisions.

ACHIEVEMENTS AND EXPANSIONS:

The errant weather conditions hampered the growth in the Indian Agrochemicals Industry. However, subject was able to achieve optimum growth in its agro chemicals business, though the sales on the whole were hit due to the Company’s conscious decision to reduce sales in the seeds business. Company continues with its efforts for increasing brand awareness of its products, control of inventories, and focus on products with higher returns.

The Company launched new products which include Calbaan (Chelated Calcium and Boron). Teeka (2-bromo-2-nitropropane-1,3-diol) and lmida power (Imidacloprid 35% SC.)

The Food and Beverage Division, Warehousing Division and the Engineering Division showed optimum growth during the year. Subject entered into retail of fresh fruits and tied up with the players in the retail business. The company had filed fruits a recovery suit against one Unifrutti India Private Limited for charges of usage of CA stores and interest on dues delayed. Out of the total amount claimed in the petition, an amount of Rs.72.826 Millions pertaining to the last financial year i.e.2010-2011 against changes of usage, and compensation on account of loss opportunity, Has not been accounted for the book of account due to the fact of its uncertainty and being contingent in nature. However once the claims are duly finalized by the honorable court, the same shall be accounted for in the book of account in the of finalization.

FUTURE OUTLOOK:

Agribusiness is a sector which is bound to grow in the coming years. Subject realizes that the need now is to develop a well integrated cold chain to handle effectively the produce from farm level to the customer; to eliminate with help of appropriate technology Post harvest losses, to ensure availability of good quality fruits round the year and to exploit the potential of fruits by providing the right technology, Facilities and services too the farmer.

Subject is working on these requirements and to provide a complete cold chain logistic solution as well as back end support for the retail. These solutions would not only give an edge to the Company’s business, but would also provide the much needed infrastructure and facilities to the farmer. Subject is working in close proximity to the farmer to educate him on usage of quality farm inputs and on the different verities available. They hope to on the export potential in the coming years.

UNSECURED LOAN

Rs. In Millions

Particular	As on 31.03.2011	As on 31.03.2010
Other Debt Unsecured	(A)17.000	(B)17.000
Total	17.000	17.000
Footnotes (A) Himachal Futuristic Communication Limited (B) Himachal Futuristic Communication Limited

FIXED ASSETS:

• Land
• Land(Leasehold)
• Office building
• Factory Building
• Plant and Machinery
• Vehicles
• Furniture and Fixture
• Office Equipments

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 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.54.29
UK Pound	1	Rs.84.09
Euro	1	Rs.72.44

INFORMATION DETAILS

Report Prepared by :

NTH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	6
--RESERVES	1~10	7
--CREDIT LINES	1~10	6
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		55

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.