MIRA INFORM REPORT

Report Date :

22.01.2013

IDENTIFICATION DETAILS

Name :	VISHAY COMPONENTS INDIA PRIVATE LIMITED (w.e.f. 08.04.2003)
Formerly Known As :	BC COMPONENTS INDIA PRIVATE LIMITED
Registered Office :	Loni Kalbhor, Near Pune Railway Station, Taluka Haveli, Sholapur Highway, Pune-412201, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	18.02.1999
Com. Reg. No.:	25-014320
Capital Investment / Paid-up Capital :	Rs. 916.358 millions
CIN No.: [Company Identification No.]	U32109PN1999PTC014320
TAN No.: [Tax Deduction & Collection Account No.]	PNEV03750F
PAN No.: [Permanent Account No.]	AAACB9652L
Legal Form :	Private Limited Liability Company.
Line of Business :	Manufacturer, Exporter and Dealer in electrical capacitors and resistors.
No. of Employees :	1132 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (43)

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

Maximum Credit Limit :	USD 6500000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. There appears slight dip in sales turnover and profitability recorded by the company. However, trade relations are reported to be fair. Business is active. Payments are reported to be usually correct 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 – 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

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 :	Loni Kalbhor, Near Pune Railway Station, Taluka Haveli, Sholapur Highway, Pune-412201, Maharashtra, India
Tel. No.:	91-20-26913285
Fax No.:	91-20-26913738 / 26914007
E-Mail :	bhavesh.marolia@vishay.com ananth.krishnan@vishay.com
Website :	http://www.vishay.com

DIRECTORS

As on 29.09.2012

Name :	Mr. Christopher Tan Cheng Poh
Designation :	Director
Address :	No. 1, Seletar close, Singapore - 807209
Date of Birth/Age :	17.03.1948
Date of Appointment :	28.02.2003
DIN No.:	00540312
Name :	Mr. Rajan Mukundrao Shringarpure
Designation :	Director
Address :	Manikchand Malabar Hills, BDG A2, D201/2 02 595/2, Lullanagar, Kondhwa, Pune-411056, Maharashtra, India
Date of Birth/Age :	01.10.1954
Date of Appointment :	21.06.2002
DIN No.:	01394331
Name :	Mr. Ananthakrishnan Ramakrishnan
Designation :	Director
Address :	M5, Sacred Heart To WN, Wanawadi, Pune 411040, Maharashtra, India
Date of Birth/Age :	04.07.1967
Date of Appointment :	16.06.2008
DIN No.:	02224645
Name :	Mr. Bee Leng Saw
Designation :	Director
Address :	20, Jalan Jelita, Singapore - 278344
Date of Birth/Age :	29.06.1964
Date of Appointment :	29.09.2008
DIN No.:	02472546
Name :	Mr. Lars Rajen Raoul Erenstein
Designation :	Director
Address :	Kirchbergstr, 25, K Ranzberg-85402
Date of Birth/Age :	13.07.1964
Date of Appointment :	28.09.2011
DIN No.:	03595887

KEY EXECUTIVES

Name :	Mr. Ananthakrishnan Ramakrishnan
Designation :	Company Secretary
Address :	M5, Sacred Heart To WN, Wanawadi, Pune 411040, Maharashtra, India
Date of Birth/Age :	04.07.1967
Date of Appointment :	16.06.2008
PAN No.:	AAYPK8525C

MAJOR SHAREHOLDERS

As on 29.09.2012

Names of Shareholders	No. of Shares
Vishay Components BV (Netherlands)	28174816
Vishay Intertechnology Inc. (USA)	63460940
Total	91635756

Equity Share Break up (Percentage of Total Equity)

As on 29.09.2012

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	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer, Exporter and Dealer in electrical capacitors and resistors.

GENERAL INFORMATION

No. of Employees :	1132 (Approximately)
Bankers :	Bank of Maharashtra Industrial Finance Branch, 1183-A, Sadashiv Vilas, F.C. Road, Shivaji Nagar, Pune, Maharashtra, India Corporation Bank – Industrial Finance Branch Bharat House, Ground Floor, 104, Bombay Samachar Marg, Fort, Mumbai – 400 001, Maharashtra, India

Banking Relations :	----
Auditors :
Name :	S.V. Ghatalia and Associates Chartered Accountants
Address :	C – 401, Fourth Floor, Panchshil Tech Park, Yerwada, (Near Don Bosco School) Pune – 411006, Maharashtra, India
Tel. No.:	91-20-66036000
Fax No.:	91-20-66015900
PAN No.:	AACFS6921Q
Holding Company :	Vishay Intertechnology Inc.-USA
Fellow Subsidiaries :	· BCcomponents Beyschlag GmbH – Germany · BCcomponents Hong Kong Limited – Hong Kong · Siliconix Technology C.V. – IR · Vishay Dale Electronics Inc. – USA · Vishay Electronic GmbH – Germany · Vishay Electronic SPOL SRO - Czech Republic · Vishay Electronics Portugal Limited. - Portugal · Vishay Europe Sales GmbH - Germany · Vishay Intertechnology Asia Pte. Limited - Singapore · Vishay Intertechnology Inc. – USA · Vishay Israel Limited – Israel · Vishay Roederstein Electronics Inc - USA · Vishay S.A., France · Vishay Taiwan Limited · Vishay Thin Film Inc LLC · Vishay Sprague, Inc. –USA · Vishay Sprague Inc- Electro Films Inc – USA · Vishay Semiconductor India Private Limited · Vishay China Company Limited

CAPITAL STRUCTURE

As on 29.09.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
95000000	Equity Shares	Rs.10/- each	Rs. 950.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
91635756	Equity Shares	Rs.10/- each	Rs. 916.358 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2012	31.03.2011	31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		916.358	916.358	916.358
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		731.230	576.855	326.333
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		1647.588	1493.213	1242.691
LOAN FUNDS
1] Secured Loans		0.000	0.000	0.000
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		0.000	0.000	0.000
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		1647.588	1493.213	1242.691
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		1108.510	794.949	713.933
Capital work-in-progress		10.840	154.992	140.801
INVESTMENT		0.000	0.000	0.000
DEFERRED TAX ASSETS		31.620	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	557.349	457.039	442.521
	Sundry Debtors	78.779	202.506	240.396
	Cash & Bank Balances	191.180	129.731	70.230
	Other Current Assets	1.470	0.000	0.000
	Loans & Advances	348.430	261.145	144.000
Total Current Assets		1177.208	1050.421	897.147
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	364.660	305.348	362.424
	Other Current Liabilities	200.410	99.186	63.087
	Provisions	115.520	102.615	83.679
Total Current Liabilities		680.590	507.149	509.190
Net Current Assets		496.618	543.272	387.957
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		1647.588	1493.213	1242.691

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	NA	NA	NA
		Other Income
		TOTAL (A)	NA	NA	NA
Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses
		TOTAL (B)	NA	NA	NA
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		NA	NA	NA
Less	FINANCIAL EXPENSES (D)		NA	NA	NA
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		319.160	366.990	149.693
Less/ Add	DEPRECIATION/ AMORTISATION (F)		145.920	114.870	139.143
	PROFIT BEFORE TAX (E-F) (G)		173.240	252.120	10.550
Less	TAX (H)		18.910	1.55	1.829
	PROFIT AFTER TAX (G-H) (I)		154.330	250.570	8.721
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		417.963	167.393	158.672
	BALANCE CARRIED TO THE B/S		572.293	417.963	167.393
	Earnings Per Share (Rs.)		1.68	2.73	0.10

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
Return on Total Assets (PBT/Total Assets}	(%)	7.58	13.66	0.65
Return on Investment (ROI) (PBT/Networth)		0.11	0.17	0.01
Debt Equity Ratio (Total Liability/Networth)		0.41	0.34	0.41
Current Ratio (Current Asset/Current Liability)		1.73	2.07	1.76

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	No
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	No
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	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

BACKGROUND

Subject was incorporated in India on February 18, 1999 primarily to carry on the business of manufacturing and dealing in electrical capacitors and resistors. The Company is a subsidiary of Vishay Intertechnology Inc, USA.

OPERATIONS:

Following an year of phenomenal growth of revenue in previous year in the financial year there was marginal drop in sales by about 2.62%. Contributed by higher depreciation and increased fixed costs associated with project expansion of Power Capacitors, the profit before tax dropped to 8.29% compared to 11.75% in the previous financial year.

POWER CAPACITORS

The revenue from the low voltage power factor correction capacitors dropped by about 8% compared to the previous year. The slowdown in the infrastructure segment has caused this drop. The Power Electronic Capacitors expansion project was completed in the last quarter with minor delays. These products find application in the power and infrastructure sector and supplies can commence only after product certifications and approvals. Approvals from customers were delayed which affected our revenue projections adversely.

Majority of the raw materials used in this product are imported. There is a significant scope to source these locally which will increase our competitiveness and inventory management.

FILM CAPACITORS

The revenue levels were marginally lower by about 1.5% compared to the previous year. Infrastructure was upgraded which enable us improve productivity and yields. New suppliers were identified for raw materials with better prices. These actions coupled with close monitoring of the process enabled us improved profitability compared to previous year despite drop in revenue. Cost reductions actions are ongoing and expected to yield improved results in future also.

Additional thrust has been placed on components miniaturization. This is expected to improve our cost competitiveness and improve our market share in the automotive segment.

RESISTORS

Revenue dropped by about 10% in the year compared to previous year. Wire wound resistor range has been expanded from 3 watts to 6 watts. This meets the energy meter, inverter and power supplies requirements. Design changes were made on certain production machinery which enabled reduction in fabrication costs. There are ongoing efforts to design in Wire wound resistors for safety applications which has high market potential.

FIXED ASSETS

· Freehold Land

· Buildings

· Plant and Machinery

· Tools and Moulds

· Furniture, Fixture and Equipments

· Motor Vehicles

CMT REPORT (Corruption, Money Laundering & Terrorism]

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

1] INFORMATION ON DESIGNATED PARTY

No 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 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.53.94
UK Pound	1	Rs.86.24
Euro	1	Rs.72.20

INFORMATION DETAILS

Report Prepared by :

SPN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		43

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.