MIRA INFORM REPORT

Report Date :

12.03.2013

IDENTIFICATION DETAILS

Name :	GUJARAT FOILS LIMITED
Registered Office :	309, Aakashnath, Opposite National Handloom Corporation, Off C. G. Road, Ahmedabad – 380006, Gujarat
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	16.11.1992
Com. Reg. No.:	04-018570
Capital Investment / Paid-up Capital :	Rs.82.018 Millions
CIN No.: [Company Identification No.]	L28999GJ1992PLC018570
TAN No.: [Tax Deduction & Collection Account No.]	AHMG00263E
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.
Line of Business :	Manufacturers of Aluminium Strips and Foils.
No. of Employees :	250 (Approximately) (In Office 50) (In Factory 200)

RATING & COMMENTS

MIRA’s Rating :

Ba (46)

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

Maximum Credit Limit :	USD 2890000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a well established company having satisfactory track record. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments. The company can be considered normal for 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

EXTERNAL AGENCY RATING

Rating Agency Name	CARE
Rating	BBB (Long Term Bank Facilities)
Rating Explanation	Having moderate degree of safety regarding timely servicing of financial obligation it carry moderate credit risk.
Date	March 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.

INFORMATION PARTED BY

Name :	Mr. Kartik
Designation :	Export Import Department
Contact No.:	91-9033947139
Date :	01.03.2012

LOCATIONS

Registered Office :	309, Aakashnath, Opposite National Handloom Corporation, Off C. G. Road, Ahmedabad – 380006, Gujarat, India
Tel. No.:	91-2764-2336956
Mobile No.:	91-9033947139 (Mr. Kartik)
Fax No.:	Not Available
E-Mail :	info@gujaratfoils.com divyang_oza@gujaratfoils.com richa.gole@topworthgroup.com jigna@gujaratfoils.com
Website :	http://www.gujaratfoils.com
Location :	Rented
Factory :	3436-3449, Chhatral GIDC, Phase-IV, Taluka Kalol, District Gandhinagar – 382 721, Gujarat, India
Tel. No.:	91-2712-233656/ 233657
Fax No.:	91-2712-233658
Location :	Owned
Corporate Office :	308, 3rd Floor, Ceejay House, Dr Annie Besant Road, Worli, Mumbai- 400018, Maharashtra, India
Tel. No.:	91-22-24812000
Fax No.:	91-22-24812122
E-Mail :	shareholders@gujaratfoils.com
Office Address :	102, 1st Floor, "Sumer Kendra", Off: P.B. Marg, Worli, Mumbai - 400018, Maharashtra, India
Tel. No.:	91-22-24823300
Fax No.:	91-22-24936966

DIRECTORS

As on: 31.03.2012

Name :	Mr. Abhay Lodha
Designation :	Executive, Chairman and Managing Director
Address :	603, Vaitarna, Sir Pochkhanwala Road, Worli Seaface, Worli, Mumbai – 400030, Maharashtra, India
Date of Birth / Age :	01.06.1971
Date of Appointment :	14.07.2008
Name :	Mr. Satish Chander Gupta
Designation :	Non-Executive, Independent Director
Address :	A – 1/135, Inder Puri, New Delhi – 110012, India
Date of Birth / Age :	05.05.1947
Date of Appointment :	31.01.2009
Name :	Mr. Prasenjit P. Datta
Designation :	Executive, Whole Time Director
Name :	Mr. Kanchan Murarka
Designation :	Non-Executive, Non-Independent Director
Date of Birth / Age :	06.01.1966
Qualification :	C.A., C.S., ICWA, B.Com
Date of Appointment :	16.05.2011
Name :	Mr. Surender Kumar Tuteja
Designation :	Non-Executive, Independent Director
Date of Birth / Age :	15.06.1945
Qualification :	I.A.S., M.COM., F.C.S.
Date of Appointment :	11.04.2012
Name :	Mr. Rahul B. Chhajed
Designation :	Non-Executive, Independent Director
Date of Birth / Age :	08.01.1972
Qualification :	B.Com
Date of Appointment :	10.07.2012
Name :	Mr. Viresh Mathur
Designation :	Non-Executive, Independent Director
Date of Birth / Age :	09.04.1946
Qualification :	M.A., Fiscal Studies (Diploma) from University of Bath (U.K.)
Date of Appointment :	14.08.2012
Name :	Mr. Sanjiv Goel
Designation :	Non Executive, Non-Independent Director
Date of Birth / Age :	27.02.1958
Qualification :	B. Tech
Date of Appointment :	14.08.2012

KEY EXECUTIVES

Name :	Mr. Amit Kumar Gupta
Designation :	Company Secretary and Compliance Officer
Name :	Mr. Kartik
Designation :	Export Import 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	4041271	49.27
Bodies Corporate	792876	9.67
Sub Total	4834147	58.94
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	4834147	58.94
(B) Public Shareholding
(1) Institutions
(2) Non-Institutions
Bodies Corporate	892382	10.88
Individuals
Individual shareholders holding nominal share capital up to Rs. 0.100 Million	343054	4.18
Individual shareholders holding nominal share capital in excess of Rs. 0.100 Million	2119583	25.84
Any Others (Specify)	12644	0.15
Clearing Members	5493	0.07
Non Resident Indians	7151	0.09
Sub Total	3367663	41.06
Total Public shareholding (B)	3367663	41.06
Total (A)+(B)	8201810	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)	8201810	0.00

BUSINESS DETAILS

Line of Business :

Manufacturers of Aluminium Strips and Foils.

Products :

ITC Code No.	Product Description
76071991	Aluminium Foil / Sheet / Strip
76061200	Aluminium Coil / Sheet / Strip
76069290	Aluminium Foil / Sheet / Strip

Exports :

Products :

· Finished Goods

Countries :

· Dubai

· Pakistan

Imports :

Products :

Raw Materials

Countries :

China

Terms :

Selling :

L/C and Advance

Purchasing :

L/C and Advance

GENERAL INFORMATION

Customers :

Wholesalers, Retailers, End Users and OEM’s

No. of Employees :

250 (Approximately) (In Office 50) (In Factory 200)

Bankers :

• State Bank of India, Backbay Reclamation Branch, Raheja Chambers, Free Press Journal Marg, Nariman Point, Mumbai-400021, Maharashtra, India
• Allahabad Bank, Industrial Finance Branch, Parliament Street, New Delhi, India
• Oriental Bank of Commerce, Mumbai Overseas Branch, Nariman Point, Mumbai, Maharashtra, India
• Dena Bank, Corporate Business Branch, Bandra-Kurla Complex, Bandra – East, Mumbai, Maharashtra, India
• HDFC Bank Limited
• ICICI Bank Limited
• Union Bank of India
• Bank of India
• IDBI Bank

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2012	As on 31.03.2011
Term loans
From Banks	351.999	401.340
Other loans and advances (Secured By Hypothecation of Motor Vehicle)	0.761	0.925
Loans repayable on demand from banks	1030.780	548.318
Total	1383.540	950.583
Unsecured Loan	As on 31.03.2012	As on 31.03.2011
Other loans and advances
Other than Bank	371.778	127.872
Total	371.778	127.872

a. Term loan from State Bank of India and Dena Bank has been secured by first mortgage / equitable mortgage on pari-passu basis on the Land, Building, Plant and Machinery and other fixed asset of the Company situated on plot no 3436 to 3439 and 3442 to 3446 at Chhatral Industrial Area of GIDC, Phase IV, Tal: Kalol, Dist. Gandhinagar, Gujarat and second pari-passu charge on all the Current Assets of the Company (excluding Current Assets relating to Aluminium Pharma Foil Project and Wind Mill).

b. Term loan from Bank of India for Aluminium Pharma Foil Project has been secured by mortgage / equitable mortgage on exclusive basis on the Land, Building, Plant and Machinery and other fixed asset of the Company situated on plot no 3440 to 3441 at Chhatral Industrial Area of GIDC, Phase IV, Taluka: Kalol, District Gandhinagar, Gujarat, India

c. Term loan from Allahabad Bank for Wind Mill has been secured by mortgage / equitable mortgage on exclusive basis on all the Land, Building, Plant and Machinery and other fixed asset relating to Wind Mill of the Company

d. Car loans have been secured by hypothecation of respective cars.

e. Working Capital availed under the Consortium arrangement (Allahabad Bank, IDBI Bank, State Bank of India, Union Bank of India, Dena Bank and Oriental Bank of Commerce) [excluding Working Capital limits availed from Bank of India for Aluminium Pharma Foil Project] by the Company is secured by way of first pari-passu hypothecation charge on all the Stocks, Receivables, Book Debts and other Current Assets of the Company and second pari-passu charge on entire Fixed Assets (excluding that of Aluminium Pharma Foil Project and Wind Mill ) of the Company.

f. Working Capital availed from Bank of India for Aluminium Pharma Foil Project of the Company is secured by way of exclusive hypothecation charge on all the Stocks, Receivable, Book Debts and other Current Assets of the Aluminium Pharma Foil Project of the Company and also secured by mortgage / equitable mortgage on exclusive basis on the Land, Building, Plant and Machinery and other fixed asset of the Company situated on plot no 3440 to 3441 at Chhatral Industrial Area of GIDC, Phase IV, Taluka: Kalol, District Gandhinagar, Gujarat, India

Banking Relations :	--
Auditors :
Name :	H.R. Agarwal and Associates Chartered Accountants
Address :	Kolkata, West Bengal, India

CAPITAL STRUCTURE

As on: 26.09.2012

Authorised Capital : Rs.500.000 Millions

Issued, Subscribed & Paid-up Capital : Rs.82.018 Millions

As on: 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
15000000	Equity Shares	Rs.10/- each	Rs.150.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
8201810	Equity Shares	Rs.10/- each	Rs.82.018 Millions

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

Particulars	2011-12 No. of Shares
Shares outstanding at the beginning of the year	8201810
Shares outstanding at the end of the year	8201810

(B) Shares in the Company held by each shareholder holding more than 5% shares in the Company

Name of Shareholder	2011-12
	No. of Shares	% of Holding
Abhay Narendra Lodha	3047104	37.15
Parmod Jain	1260204	15.36
Akshata Realtors Private Limited	792876	9.67
Rockdude Financial Services Private Limited	718013	8.75
Ashwin Narendra Lodha	703994	8.58

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		82.018	82.018	320.418
2] Share Application Money		433.900	357.400	0.000
3] Reserves & Surplus		207.080	183.865	165.211
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		722.998	623.283	485.629
LOAN FUNDS
1] Secured Loans		1383.540	950.583	706.573
2] Unsecured Loans		371.778	127.872	0.000
TOTAL BORROWING		1755.318	1078.455	706.573
DEFERRED TAX LIABILITIES		62.889	40.732	27.026
TOTAL		2541.205	1742.470	1219.228
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		1145.403	861.040	763.535
Capital work-in-progress		80.072	284.416	43.812
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	783.912	470.687	407.803
	Sundry Debtors	861.773	508.118	219.115
	Cash & Bank Balances	31.061	60.902	31.497
	Other Current Assets	78.270	72.784	0.000
	Loans & Advances	0.000	0.000	148.348
Total Current Assets		1755.016	1112.491	806.763
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	239.562	313.940	332.721
	Other Current Liabilities	197.866	200.324	55.441
	Provisions	1.858	1.213	6.720
Total Current Liabilities		439.286	515.477	394.882
Net Current Assets		1315.730	597.014	411.881
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		2541.205	1742.470	1219.228

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2012	31.03.2011	31.03.2010
	SALES
		Income	2612.273	2251.353	1308.350
		Other Income	0.000	0.000	1.245
		TOTAL (A)	2612.273	2251.353	1309.595
Less	EXPENSES
		Cost of materials consumed	2191.703	1987.730
		Changes in inventories of finished goods work-in-progress and Stock-in-Trade	(153.418)	(98.332)
		Employee benefits expenses	33.432	17.218
		Other expenses	177.890	114.663
		TOTAL (B)	2249.607	2021.279	1224.240
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		362.666	230.074	85.355
Less	FINANCIAL EXPENSES (D)		209.495	110.002	33.281
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		153.171	120.072	52.074
Less/ Add	DEPRECIATION/ AMORTISATION (F)		97.793	79.227	12.467
	PROFIT BEFORE TAX (E-F) (G)		55.378	40.845	39.607
Less	TAX (H)		32.164	22.191	20.639
	PROFIT AFTER TAX (G-H) (I)		23.214	18.654	18.968
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		85.971	67.317	48.349
	BALANCE CARRIED TO THE B/S		109.185	85.971	67.317
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	87.655	37.364	20.428
	TOTAL EARNINGS		87.655	37.364	20.428
	IMPORTS
		Raw Materials	287.488	135.038	128.187
		Capital Goods	13.147	34.788	162.008
	TOTAL IMPORTS		300.635	169.826	290.195
	Earnings Per Share (Rs.)		2.83	2.27	2.31

QUARTERLY RESULTS

(Rs. In Millions)

PARTICULARS	30.06.2012 1st Quarter	30.09.2012 2^ndQuarter	31.12.2012 3^rd Quarter
Type	Unaudited	Unaudited	Unaudited
Net Sales	778.570	801.400	984.700
Total Expenditure	664.060	692.900	897.100
PBIDT (Excl OI)	114.510	108.600	87.600
Other Income	0.000	0.000	0.000
Operating Profit	114.510	108.600	87.600
Interest	71.080	72.300	29.300
Exceptional Items	0.000	0.000	0.000
PBDT	43.430	36.200	58.200
Depreciation	27.640	28.000	28.000
Profit Before Tax	15.790	8.300	30.300
Tax	3.160	1.700	6.100
Provisions and contingencies	0.000	0.000	0.000
Profit After Tax	12.630	6.600	24.200
Extraordinary Items	0.000	0.000	0.000
Prior Period Expenses	0.000	0.000	0.000
Other Adjustments	0.000	0.000	0.000
Net Profit	12.630	6.60	24.200

KEY RATIOS

PARTICULARS		31.03.2012	31.03.2011	31.03.2010
PAT / Total Income	(%)	0.89	0.83	1.45
Net Profit Margin (PBT/Sales)	(%)	2.12	1.81	3.03
Return on Total Assets (PBT/Total Assets}	(%)	1.91	2.07	2.52
Return on Investment (ROI) (PBT/Networth)		0.08	0.07	0.08
Debt Equity Ratio (Total Liability/Networth)		3.04	2.56	2.27
Current Ratio (Current Asset/Current Liability)		4.00	2.16	2.04

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	Yes
10]	Designation of contact person	Yes
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	No
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	Yes
21]	Market information	--
22]	Litigations that the firm / promoter involved in	--
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	--
26]	Buyer visit details	--
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	Yes
29]	Last accounts filed at ROC	Yes
30]	Major Shareholders, if available	Yes
31]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

REVIEW OF OPERATIONS

During the year, the Company’s Net Income from operations stood at Rs.2612.273 Millions as compared to Rs.2251.353 Millions in the previous year, thereby registering a growth of about 16.03%. Profit before finance cost and taxation for the year stood at Rs.264.873 Millions against Rs.150.847 Millions in the previous year, thereby registering a growth of about 75.59%. Profit after Tax registered a growth of about 24.45% and increased from Rs.18.654 Millions to Rs.23.214 Millions.

MANAGEMENT DISCUSSION AND ANALYSIS

Industry Structure and Developments

Indian Aluminium Foil Industry’s growth was driven by the strong performance of end-user markets of Fast Moving Consumer Goods (‘FMCG’) and Pharmaceuticals Industries, in which domestic consumption increased significantly and which resulted in greater demand for Aluminium Foil Packaging, one of the most preferred flexible packaging category.

Aluminium Foil Packaging recorded robust sales growth during the Financial Year 2011-12, supporting the overall growth of the sector.

There are around 7 Major Aluminium Foil manufacturers in India with rolling capacity of around 6000 tons per month to cater to the total demand of around 8000 tons per month in FMCG, Pharmaceuticals and other Packaging Industries. In the present scenario, market demand of the product is growing with a rate of 12% p.a. Because of its barrier properties in preventing exposure to light, oxygen, moisture, odours, flavours and specifically bacteria, the Aluminium foil has been a primary material in protective packaging. Aluminium foils are being used extensively and regularly for packaging of various medicines, tablets and capsules by pharmaceutical industry. The food packaging industry also uses extensively Aluminium foils for packaging various foods so as to make foods safe and healthy.

Aluminium Industry in India is one of the leading Industries in the Indian economy. The growth of the Aluminium Metal Industry in India would be sustained by the diversification and exploration of new horizons for the Industry.

India has huge deposits of natural resources in the form of minerals like copper, chromite, iron ore, bauxite, gold etc. The Indian Aluminium Industry falls under the category of non- ferrous based which include the production of copper, tin, brass, lead, zinc aluminium and manganese. The main operations of Indian Aluminium Industry is mining of ores, refining of the ore, casting, alloying, sheet and rolling into foils. India has to develop Research and Development to assist production and improve quality. The Indian Aluminium Industry has a bright future in the global market to cater to international need for Aluminium which is used widely for its several applications.

The disposable food packing / consumption occasion products are on an aggressive growth path in India over the last decade. It will continue to do so across semi urban areas. The market has three broad components: retail trade, wholesale modern trade (retail chains), and food service (hotels and restaurants). The industry is highly fragmented and has many local / regional entrepreneurs; however the industry structure has been primarily unorganized. The entry barriers are typically low for SRC (Aluminium semi rigid containers and EPS (thermocol) products.

There are very few “Complete Disposable Products” FMCG Company in India. The Company through its Consumer Product Business (“CPB”) division strategizes to have its footprint as the leading Company in India in the near future

COMPANY AND BUSINESS OVERVIEW

GFL is presently dealing in Manufacturing and supply of Aluminium Sheet, Foils, Strips, Containers for food, pharmaceuticals and packaging applications.

GFL team strongly believes in Company’s mission statement:

“To Add Value and create wealth by Ethical and Innovative means to improve quality of life for all Stakeholders and Society at large.”

Here as advised in their mission statement, they at GFL strictly adhere to the ethical way of doing the business. They don’t entertain dubious Pharma companies on principle.

Considering the advantage of Aluminium Foil in preventing exposure to light, oxygen, moisture, odours, flavours and specifically bacteria; the pharmaceutical industry uses Aluminium Foil extensively and regularly for packaging of different medicines such as tablets and capsules etc. They also form the seal under the bottle top for several bottled medicinal mixtures in syrups or bundled pill bottles. In view of shorter dosages and less recuperative time these days as prescribed by doctors the importance of aluminium based foil packaging is the uppermost today.

In order to achieve better value addition they had completed their expansion project of in house conversion for supplies to the Pharmaceutical industry during the F.Y. 2011 - 2012. In addition to this to gain a foothold in the direct Pharma industry, GFL had set up a State of Art Battery of Gravure Printing Machines with special capability to print on both sides of the Aluminium Foils which are processed in the Laminators and Coaters. This type of printing facility can be used by pharma companies as anti-counterfeit against spurious drugs supplied in market. These coupled with Surface Slitters as well as Doctoring/ rewinding machines make GFL a proven quality supplier to the Pharmaceutical Industry.

The above mentioned facility with the availability of foil from the existing state of the art Achenbach Mill which is in the same premises had ensured that GFL is one of the most preferred vendors to the Pharmaceutical Industry. Considering the limited availability of such kind of facilities today in the country, this has enabled GFL to considerably enrich the product mix and bring about better realisation for the Company.

The list of direct Pharma customers added during the Financial Year 2011–12 are evidence of strong GFL positioning in the Indian Foil Market.

List of direct Pharma Customers added during the Financial Year 2011–12.

1) Lupin

2) Sun Pharma

3) Macleods

4) Aurobindo

5) Cipla

6) Cadila Pharma

7) Maxheal

8) Kina Pharma

9) Ayrton Drugs

10) Emzor Pharma

11) Inventia / Pharose Remedies

12) Impact Labs

13) Anglo French

14) KAPL

15) Hetero Drugs

16) Major Pharma converters i.e. Protech, Supermak, Swastik, Roto Group

Under the Consumer Products Business (“CPB”) segment, the Company is engaged in the manufacturing and marketing of House Foils, SRC and Cling Film over three years and has managed to have its presence felt strongly in North India retail market and Modern Trade (retail chain businesses). The demand for disposable food packing /serving products is increasing and the Company foresees huge opportunity. The Company is focusing on introducing new products in the CPB segment leading to product portfolio enhancement. It is also active in the process of strengthening its Sales and Distribution system across India so as to optimize available business opportunity. The Company also sees opportunities in export markets.

Product portfolio enhancement will be guided by business volume, growth and synergy with Sales and Distribution set up. Disposable products’ portfolio has been identified as a good synergistic opportunity. They are actively exploring outsourcing of same and marketing under their brand name. These products have pan India opportunities and growth rate is around 20 % and is expected to grow similarly for the next 10 years.

FIXED ASSETS:

Tangible Assets

· Land

· Buildings

· Non Factory building

· Plant and Equipment

· Furniture and Fixtures

· Vehicles

· Office equipment

· Computer

UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED 30TH JUNE, 2012

(Rs. In Millions)

SR. NO.	Particulars	Quarter Ended
		30.06.2012
		Unaudited
	PART -1
1	a) Income from Operations (Net)	778.573
	0) Other Operating income
	Total income from operations (Net)	778.573
2	Expenses
	a. Cost of Material Consumed	640.790
	b. Purchase of Traded Goods	-
	c. Changes in inventories of finished goods, work-in-progress and stock -in-trade	(42.102)
	d Employee benefits expense	12.290
	e. Depreciation and Amortisation expense	276.642
	f Other Expenses	53.080
	Total Expenses	691.700
3	Profit / (Loss) from Operations before other Income, finance costs and exceptional items (1 - 2)	86.873
4	Other income	-
5	Profit / (Loss) from ordinary activities before finance costs and exceptional Items (3 + 4)	86.873
6	Finance Costs	71.083
7	Profit / (Loss) from ordinary activities after finance costs but before exceptional items (5 - 6)	15.790
8	Exceptional Items - Expenditure / (Income)	-
9	Profit / (Loss) from Ordinary Activities before tax (7 - 8)	15.790
10	Tax Expense	3.158
11	Net Profit / (Loss) from Ordinary Activities after tax (9 -10)	12.632
12	Extraordinary items (Net of Tax expense Rs. Nil)	-
13	Net Profit / (Loss) for the period (11 - 12)	12.632
14	Paid-up Equity Share Capital (Face Value Rs.10/- each)	82.018
15	Reserves Excluding Revaluation Reserves
16	Earning Per Share in X (Before extraordinary items - not annualised)
	(a) Basic	1.54
	(b) Diluted	1.54
17	Earning Per Share In ({after extraordinary items - not annualised)
	(a) Basic	1.54
	(b) Diluted	1.54
	PART - II
A	Particulars of Share holding
1	Public Share Holding
	Number of Shares	3367624
	Percentage of Shareholding	41.06
2	Promoter and Promoter Group Shareholding
	a) Pledged / Encumbered
	- Number of Shares	1214000
	Percentage of Shareholding (as a % of the total shareholding of ( promoter and promoter group)	25.11
	- Percentage of Shares (as a % of total share capital of the Company)	14.80
	b) Pledged / Encumbered
	- Number of Shares	3620186
	- Percentage of Shares (as a % of total shareholding of promoter and promoters group)	74.89
	- Percentage of Shares (as a % of total share capital of the Company}	44.14
	PARTICULARS	Quarter ended 30.06.2012
B	Investors' Complaints
1	Pending at the beginning of the quarter	Nil
2	Received during the quarter	Nil
3	Resolved during the quarter	Nil
4	Remaining unresolved at the end of the quarter	Nil

Note:

1. The above financial results have been reviewed by the Audit Committee and approved and taken on record by the Board of Directors in their respective meetings held on 14.08.2012. The statutory auditors have carried out limited review.

2. The Company operates only in single segment i.e., "Aluminium". There are no separate reportable segment as per Accounting Standard on "Segment Reporting (AS-17)".

3. The figures of the quarter ended on 31.03.2012 are the balancing figures between audited figures in respect of the full financial year ended as on 31,03.2012 and the published year to date figures upto the third quarter ended 31.12.2011 of the financial year,

4. Figures for previous periods/year have been regrouped/reclassified/recast. Wherever necessary.

AS PER WEBSITE DETAILS:

PROFILE

Subject, a listed Company on Bombay Stock Exchange of India since 1992, is a manufacturer of aluminium thin gauge sheet and foil located at Industrial Estate of Gujarat Industrial Development Corporation; Chhatral near Kalol in Gandhinagar district of State of Gujarat in India.

Subject manufactures thin gauge sheets/coils mostly for Closure stock for bottle caps in Brewery and Pharmaceutical Sectors and also various types of bare foils like Fin stock for heat exchanger fins of radiators in Auto Sector, Tagger and Lidding foil for tagger and lids of containers in Food and Beverage Sector, House foil for various applications in Consumer Sector, Pharma/Blister foil for packaging laminates of medicines in Pharmaceutical Sector and also of Confectioneries, Tetra packs etc in Food and Beverage Sector .

Subject also manufactures and markets Consumer foil nutriwrap® and Foil containers nutriapack® and various other consumer foil products.

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.54.29
UK Pound	1	Rs.81.09
Euro	1	Rs.70.61

INFORMATION DETAILS

Information Gathered by :	PLK
Report Prepared by :	VRN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--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	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	YES
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		46

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.