MIRA INFORM REPORT

Report Date :

31.01.2013

IDENTIFICATION DETAILS

Name :	ELECTRICA ENGINEERS (INDIA) PRIVATE LIMITED
Registered Office :	W-316, Rabale Block, MIDC Industrial Area, TTC, Ghansoli Post, Navi Mumbai – 400701, Maharashtra, India
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	14.10.2004
Com. Reg. No.:	11-144011
Capital Investment / Paid-up Capital :	Rs.18.100 Million
CIN No.: [Company Identification No.]	U31900MH2004PTC144011
TAN No.: [Tax Deduction & Collection Account No.]	MUME04616D
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Switches and Lamps Required for Automobiles.
No. of Employees :	36 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (29)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 260000
Status :	Moderate
Payment Behaviour :	Slow but Correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. Profitability of the company appears to be under pressure. However, trade relations are reported as fair. Business is active. Payments are reported to be slow but 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 – September 30, 2011

Country Name	Previous Rating (30.06.2011)	Current Rating (30.09.2011)
India	A1	A1

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

INFORMATION PARTED BY

Name :	Mr. Umesh Prasad
Designation :	Finance Department
Date :	28.11.2011

LOCATIONS

Registered/ Head Office :	W-316, Rabale Block, MIDC Industrial Area, TTC, Ghansoli Post, Navi Mumbai – 400701, Maharashtra, India
Tel. No.:	91-22-27606670/ 27606680
Fax No.:	91-22-27693194/ 27606680
E-Mail :	electricaengineers@rediffmail.com
Website :	www.electricaindia.com
Factory :	57/1 Part, Village Bebedohol, Next To Tata Maval Foundry, Taluka Maval, District Pune – 410506, Maharashtra, India
Tel. No.:	91-2114-237725
Fax No.:	91-2114-237727

DIRECTORS

(AS ON 30.09.2011)

Name :

Mr. Arvind Vasant Pendse

Designation :

Managing Director

Address :

D-1301, Balaji Garden CHS, Sector – 11, Bonkode, Kopar Khairane, Navi Mumbai – 400709, Maharashtra, India

Date of Birth/Age :

09.06.1952

Date of Appointment :

15.01.2004

DIN No.:

00903677

Name :

Mr. Niranjan Jagannath Damle

Designation :

Director

Address :

D-1301, Balaji Garden CHS, Sector – 11, Bonkode, Kopar Khairane, Navi Mumbai – 400709, Maharashtra, India

Date of Birth/Age :

06.04.1977

Date of Appointment :

15.01.2004

DIN No.:

00903741

Name :

Mrs. Prerna Pendse

Designation :

Director

Address :

D-1301, Balaji Garden CHS, Sector – 11, Bonkode, Kopar Khairane, Navi Mumbai – 400709, Maharashtra, India

Date of Birth/Age :

21.05.1964

Date of Appointment :

30.09.2010

DIN No.:

00903722

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	U31900MH2004PTC144011	ELECTRICA ENGINEERS (INDIA) PRIVATE LIMITED	Director	30/09/2010	15/01/2004	Active	NO

Name :

Mrs. Rohini Damle

Designation :

Director

Address :

3802, 15^th Ave S. Grand Forks Nd 58201

Date of Birth/Age :

16.07.1953

Date of Appointment :

25.02.2008

DIN No.:

01796967

Name :

Mr. Jayant Damle

Designation :

Director

Address :

3802, 15^th Ave S. Grand Forks Nd 58201

Date of Birth/Age :

05.01.1947

Date of Appointment :

25.02.2008

DIN No.:

01913641

KEY EXECUTIVES

Name :	Mr. Umesh Prasad
Designation :	Finance Department

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 30.09.2011)

Names of Shareholders	No. of Shares
Arvind Vasant Pendse	139000
Niranjan Jagannath Damle	6000
Prerna Pendse	6000
Jayant Damle	10000
Rohini Jayant Damle	5000
Ajitkumar Damle	9999
Chitra Damle	5000
Total	180999

(AS ON 30.09.2011)

Category	Percentage
Directors or relatives of directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Switches and Lamps Required for Automobiles.
Exports :
Products :	Auto Mobile Lamps
Countries :	European Countries
Terms :
Selling :	Credit
Purchasing :	Credit

GENERAL INFORMATION

Customers :

End Users

· Tata Motors

· Flat Automobiles

· Volvo India

· Reva Electric Cars

· Mahindra Navistar

· Asia Motor Works Limited

· Automobile corporation Goa Limited

· ANTOLIN

· Mahindra

· Visteon

· Varroc

· Alma Motors Limited

· Philips Automobile Lighting

· TYCO Electronics

· SABIC Innovative Plastics

· DSM Engineering

No. of Employees :

36 (Approximately)

Bankers :

· IDBI Bank Limited

IDBI Tower, WTC Complex, Cuffe Parade, Mumbai – 400005, Maharashtra, India

· New India Co-operative Bank Limited

Facilities :

Secured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Vehicles Loans (secured against Hypothecation of Vehicles)	1.065	1.453
Term Loan from financial Institution / New India Co-operative Bank Limited/ IDBI Bank Limited (Secured by way of Mortgaged of certain Fixed Assets)	91.166	76.682
Cash Credit Facilities from IDBI (Secured against Hypothecation of stock and debtors)	9.594	12.585
Total	101.825	90.720
Unsecured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
From Directors
Mr. Arvind Pendse	17.010	12.785
Mrs. Prerna Pendse	1.334	0.000
Mr. Niranjan Damle	0.583	0.526
Total	18.927	13.311

Banking Relations :	--
Auditors :
Name :	GPS and Associates Chartered Accountant
Address :	A-1, Sindhi Niwas, Sitaladevi Temple Road, Mahim, Mumbai – 400016, Maharashtra, India
PAN No.:	AADHG4422H

CAPITAL STRUCTURE

(AS ON 31.03.2011)

Authorised Capital :

No. of Shares	Type	Value	Amount
200000	Equity Share	Rs.100/- each	Rs.20.000 Millions

Issued, Subscribed & Paid-up Capital:

No. of Shares	Type	Value	Amount
180999	Equity Share	Rs.100/- each	Rs.18.100 Millions

NOTE:

(Including 9,999 Shares of Rs.100/- each fully paid with premium of Rs.900 per share issued during the current year)

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		18.100	17.100	17.100
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		46.738	53.270	52.470
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		64.838	70.370	69.570
LOAN FUNDS
1] Secured Loans		101.825	90.720	67.817
2] Unsecured Loans		18.927	13.311	14.398
TOTAL BORROWING		120.752	104.031	82.215
DEFERRED TAX LIABILITIES		5.694	5.463	3.278
TOTAL		191.284	179.864	155.063
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		164.846	143.430	62.739
Capital work-in-progress		0.000	0.000	61.711
INVESTMENT		0.050	0.050	0.050
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	26.061	19.399	13.685
	Sundry Debtors	24.927	25.117	16.677
	Cash & Bank Balances	0.512	0.769	4.999
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	8.320	29.712	16.015
Total Current Assets		59.820	74.997	51.376
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	20.808	33.479	18.211
	Other Current Liabilities	10.825	3.423	1.114
	Provisions	1.799	1.711	1.488
Total Current Liabilities		33.432	38.613	20.813
Net Current Assets		26.388	36.384	30.563
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		191.284	179.864	155.063

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		TOTAL	169.788	122.129	NA
Less	EXPENSES
		TOTAL	158.658	106.014	NA
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)		11.130	16.115	19.277
Less/ Add	DEPRECIATION/ AMORTISATION		26.430	13.130	9.376
	PROFIT BEFORE TAX		(15.300)	2.985	9.901
Less	TAX		0.232	2.185	3.117
	PROFIT AFTER TAX		(15.532)	0.800	6.784
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		35.270	34.470	27.855
	Add/(Less) Prior Period Adjustment (Net)		--	--	(0.169)
	BALANCE CARRIED TO THE B/S		19.738	35.270	34.470
	EARNINGS IN FOREIGN CURRENCY		7.817	0.000	0.000
	IMPORTS
		Raw Materials	2.648	1.887	2.221
	TOTAL IMPORTS		2.648	1.887	2.221
	Earnings Per Share (Rs.)		(0.89)	0.05	--

Expected Sales (2011-12): Rs.200.000 Millions.

The above information has been parted by Mr. Umesh Prasad.

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	(9.15)	0.66	NA
Return on Total Assets (PBT/Total Assets}	(%)	(6.81)	1.37	8.68
Return on Investment (ROI) (PBT/Networth)		(0.24)	0.04	0.14
Debt Equity Ratio (Total Liability/Networth)		2.38	2.03	1.48
Current Ratio (Current Asset/Current Liability)		1.79	1.94	2.47

LOCAL AGENCY FURTHER INFORMATION

Check list by info Agents	Available in Report (Yes/ No)
Year of Establishment	Yes
Locality of the Firm	Yes
Constitution of the Firm	Yes
Premises details	Yes
Type of Business	Yes
Line of Business	Yes
Promoter’s Background	-------
No. of Employees	Yes
Name of Person Contacted	Yes
Designation of Contact person	Yes
Turnover of Firm for last three years	Yes
Profitability for last three years	-------
Reasons for variation <> 20%	-------
Estimation for coming financial year	Yes
Capital in the business	No
Details of sister concerns	No
Major Suppliers	No
Major Customers	No
Payments Terms	Yes
Export/ Imports Details (If applicable)	Yes
Market Information	-------
Litigations that the firm/ Promoters Involved in	-------
Banking details	Yes
Banking Facility Details	No
Conduct of the Banking Account	-------
Buyer visit details	-------
Financials, if provided	Yes
Incorporation details is applicable	-------
Last Accounts filed at ROC	-------
Major Shareholders, if available	-------

CONTINGENT LIABILITIES

Particulars	31.03.211	31.03.2010
	(Rs. In Millions)
Estimated amount of Contracts remaining to be executed on Capital Accounts and not provided for (Net of advance)	2.842	20.135
Claims against the company for service tax not acknowledge as debt and not provided (FY 2007-08)	0.224	0.224
Claims against the company for Central Excise not acknowledge as debt and not provided (F. Y. 2008-09)	0.043	0.064
Claims against the company for Central Excise not acknowledge as debt and not provided (F.Y. 2007-08)	0.144	0.000
Total	3.253	20.423

FORM 8:

Corporate identity number of the company	U31900MH2004PTC144011
Name of the company	ELECTRICA ENGINEERS (INDIA) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	W-316 Rabale Block, MIDC Industrial Area, T T C Ghansoli Post, Navi Mumbai – 400701, Maharashtra, India electricaengineers@rediffmail.com
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10148183
Type of charge	Book debts Movable property (not being pledge) Others: Machinery
Particular of charge holder	IDBI Bank Limited IDBI Tower, WTC Complex, Cuffe Parade, Mumbai – 400005, Maharashtra, India pm.awate@idbi.co.in
Nature of instrument creating charge	Loan-Cum-Hypothecation Agreement
Date of instrument Creating the charge	23.03.2010
Amount secured by the charge	Rs.55.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interests: Interest for Term Loan Rs.35.000 Millions and CC Rs.20.000 Millions @ 12.75% p. a. with monthly rest. Terms of Repayment: For CC - 12 months - on demand For TL - 54 EMI (Excluding moratorium of 6 months , interest to be served during the moratorium) Margin: For CC-25% Stocks & 40% on Book Debts For TL- 36.36% Extent and Operations of the charge: Security to secure CC Rs.20.000 Millions with as sub limit of Rs. 4.000 Millions for LC and Rs.2.000 Millions for BG. and TL of Rs.35.000 Millions with interest, cost, expenses, charges, commission etc.
Particulars of the property charged	Hypo. of present and future stocks, raw materials, goods, book debts, vehicles and all other movable assets including receivables, documents of title to goods, outstanding monies, bills, invoices, documents, contracts, insurance policies, guarantees, investments and rights and present and future machinery wherever lying stored and/or in transit.
Particulars of the present modification	By this modification charge extended to secure enhanced facilities to the extent of Rs. 55.000 Millions consisting of existing CC Rs. 20.000 Millions with a sub limit of Rs. 4.000 Millions for LC and Rs. 2.000 Millions for BG and fresh loan of Rs. 35.000 Millions.

FIXED ASSETS:

· Leasehold Land

· Leasehold Improvement

· Factory Building

· Staff Quarter

· Plant and Machinery

· Lift

· Furniture and Fixture

· Office Equipment

· Motor Car

· Computers

WEBSITE DETAILS:

1993	Founded by Mr. A.V. Pendse at Rabale, Navi Mumbai with switches as our main products.
1995	Established wide product range of switches and lighting products for Tata Motors - Main line switch, Starter switch, Piano switch, Piano Bank, Reverse light switch, Cab lamp, Door safety lamp, Hatch back lamp, Roof lamp, Map reading lamp
1995	Entered Tata Indica project as single source for 3 lighting products, 50% source for 2 lighting products. Captured 100% business by 2000
2002	Developed Headlamp & Tail lamp prototypes for Tata Indigo displayed at Auto Expo, New Delhi and LED Tail lamp prototypes for Aston Martin V8 displayed at Detroit Motor show
2003	Awarded 100% business for interior and exterior small lighting in Indigo and Marina projects
2004	Started business with Fiat India by developing Number plate lamp for Fiat Palio as import substitution.
2004	Converted to Private Limited Company. Start of Badlapur facility with production capacity of 12,000 lamps per day.
2006	Awarded 100% business for interior and exterior small lighting of three new vehicle platforms of Indian OEM
2007	Awarded 100% business for interior and exterior lighting for two new vehicle platforms of Indian OEM
2007	Certified for ISO/TS 16949 Quality system
2008	MoU with Korean company for technical support in design and tooling of automotive lighting products
2008	Awarded 100% business for interior, exterior small lighting parts for two new vehicle platforms of a European OEM.
2008	Awarded business for 6 new lighting parts for AMW HCV platform.
2008	Nominated as single source for Roof lamp of the prestigious NANO car project.
2008	Start of new facility at Talegaon for manufacturing of Front, Rear Fog lamps and Tail lamps. Facility to be operational by September 2009.

CERTIFICATION AND MEMBERSHIPS

· ISO/ TS16949 certified by TÜV Rheinland group.

· Member of ACMA and Indian Society of Lighting Engineers (ISLE)

MILESTONES

· First Indian company to develop LED Third stop lamp (CHMSL)

· First Indian company to develop LED Side Repeater in Outer Mirror

MANAGEMENT TEAM

Mr. Arvind V. Pendse – Chairman and Managing Director

With a background in basic Electrical sciences, he is the founder of Electrica Engineers. A technocrat himself, Mr. Pendse is a self-made personality who has led from the front Electrica’s journey from a single 500square feet manufacturing unit in Mumbai to being one of the leading automotive lighting manufacturers in India with two manufacturing facilities and one corporate office. With an industry experience of more than 20years, he has the best of resources in terms of business development, finance and technical expertise.

Mr. Niranjan Damle

An instrumentation engineer, Mr. Damle deals with the operations of Electrica Engineers facilities. Procurement, Manufacturing process and Quality assurance systems are the key areas coming under his scope.

Mrs. Prerana A. Pendse

With a 10 years background in the field of academics, Mrs. Prerana deals with the HR, Training and Administration activities across all levels of organization.

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.53.57
UK Pound	1	Rs.84.37
Euro	1	Rs.72.23

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		29

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.