MIRA INFORM REPORT

Report Date :

26.03.2013

IDENTIFICATION DETAILS

Name :	ASBESCO (INDIA) PRIVATE LIMITED
Registered Office :	1A, K.B.R. Complex, 4, HO-CHI-MINH, Sarani,Kolkata-700071, West Bengal
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	13.10.1980
Com. Reg. No.:	21-033082
Capital Investment / Paid-up Capital :	Rs. 14.976 Millions
CIN No.: [Company Identification No.]	U27109WB1980PTC033082
PAN No.: [Permanent Account No.]	AACCA2579D
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Transmission Line Hardware Fittings and Conductor Accessories.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (42)

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

Maximum Credit Limit :	USD 1200000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is a well established company having a satisfactory track record. The latest financials are not made available with the government department. As per previous years, the performance of the company seems to be good. 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 normal 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

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Long term Rating = BBB
Rating Explanation	Having moderate degree of safety regarding timely servicing of financial obligation it carry moderate credit risk.
Date	October 2012

RBI DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

LOCATIONS

Registered Office :	1A, K.B.R. Complex, 4, HO-CHI-MINH, Sarani,Kolkata-700071, West Bengal, India
Tel. No.:	91-33-22822518 / 2519
Fax No.:	91-33-22822517
E-Mail :	asbesco1@cal2.vsnl.net.in asbesco@hotmail.com
Website :	http://www.asbesco.in
Factory :	Howrah-Amta Road, Balitikuri, Howrah – 711 113, West Bengal, India
Tel. No.:	91-33-26531275 / 4547
Fax No.:	91-33-26532895

DIRECTORS

As on 29.09.2012

Name :	Mr. Prem Ratan Bagree
Designation :	Director
Address :	8/1/1B, Alipore park Road, Alipore, Kolkata - 700027, West Bengal, India
Date of Birth/Age :	25.04.1941
Date of Appointment :	13.10.1980
DIN No.:	00878602
Name :	Mr. Kamal Kumar Bagree
Designation :	Director
Address :	8/1/1B, Alipore park Road, Alipore, Kolkata - 700027, West Bengal, India
Date of Birth/Age :	17.10.1957
Date of Appointment :	13.10.1980
DIN No.:	00878626
Name :	Mr. Aditya Bagree
Designation :	Director
Address :	8/1/1B, Alipore park Road, Alipore, Kolkata - 700027, West Bengal, India
Date of Birth/Age :	22.11.1970
Date of Appointment :	30.07.2007
DIN No.:	00022775

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.2012

SHAREHOLDING DETAILS FILE ATTACHED

As on 29.09.2012

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Bodies corporate	16.04
Directors or relatives of Directors	79.05
Other top fifty shareholders	4.91
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Transmission Line Hardware Fittings and Conductor Accessories.

Products :

Description of product or services	ITC number of product
Pole Line Hardwares	73181101

GENERAL INFORMATION

Customers :

• Power Grid Corporation of India Limited
• Dulmission Power System Limited
• N.B.C.C.
• Larsen and Toubro
• Jyoti Structures
• Jaya Shree Insulators Private Limited
• BSES Limited
• Siemens
• Hyundai Unitech, division of Hyundai Korea.

No. of Employees :

Not Available

Bankers :

Bank of Baroda, India Excahnge Branch, 4, India Echange Place, Kolkata - 700001, West Bengal, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2011	As on 31.03.2010
Rupee term loans banks secured	95.230	41.245
Total	95.230	41.245
Cash Credit ( including Packing Credit/ PSDL ) from Bank of Baroda ABD HSBC Bank Limited (Secured against hypothecation of stock ABD book debts Collateral Security on all moveable machinery, other fixed assets, Lease hold property of factory Land ABD Building ABD personal gaurantees of Directors)

Banking Relations :	--
Auditors :
Name :	Maheshwari and Associates Chartered Accountants
Address :	Geetanjali Apartment, Flat No 6A, 8B Middleton Street, Kolkata, West Bengal, India
PAN.:	AAFFM3299L
Associates:	Deva Lease and Finance Private Limited Aditya Casters Private Limited Asbesco Subcon Private Limited

CAPITAL STRUCTURE

As on 29.09.2012

Authorised Capital :

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

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
151551	Equity Shares	Rs.100/- each	Rs.15.155 Millions

As on 31.03.2011

Authorised Capital :

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

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
149756	Equity Shares	Rs.100/- each	Rs.14.976 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		14.976	14.976	14.976
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		307.297	209.717	145.130
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		322.273	224.693	160.106
LOAN FUNDS
1] Secured Loans		95.230	41.245	48.612
2] Unsecured Loans		76.202	76.569	51.843
TOTAL BORROWING		171.432	117.814	100.455
DEFERRED TAX LIABILITIES		7.361	6.735	5.433
TOTAL		501.066	349.242	265.994
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		103.103	88.992	44.630
Capital work-in-progress		34.877	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	131.938	73.719	50.055
	Sundry Debtors	264.020	201.209	277.548
	Cash & Bank Balances	46.780	15.875	8.572
	Other Current Assets	0.279	0.062	0.000
	Loans & Advances	112.795	135.029	139.161
Total Current Assets		555.812	425.894	475.336
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	56.447	36.644	110.762
	Other Current Liabilities	89.550	62.691	72.688
	Provisions	46.729	66.309	67.522
Total Current Liabilities		192.726	165.644	250.972
Net Current Assets		363.086	260.250	221.364
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		501.066	349.242	265.994

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	942.474	792.959	782.203
		Other Income	NA	2.719	13.010
		TOTAL (A)	NA	795.678	795.213
Less	EXPENSES
		Office Expenses
		Administrative Expenses	NA	679.920	685.897
		Advertising Expenses
		TOTAL (B)	NA	679.920	685.897
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		161.248	115.758	109.316
Less	FINANCIAL EXPENSES (D)		11.842	12.915	10.995
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		149.406	102.843	98.321
Less/ Add	DEPRECIATION/ AMORTISATION (F)		5.247	3.912	4.171
	PROFIT BEFORE TAX (E-F) (G)		144.159	98.931	94.150
Less	TAX (H)		46.579	34.344	33.484
	PROFIT AFTER TAX (G-H) (I)		97.580	64.587	60.668
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		202.065	137.478	76.810
	BALANCE CARRIED TO THE B/S		299.645	202.065	137.478
	EARNINGS IN FOREIGN CURRENCY
		Fob Value of Exports	48.199	44.354	79.252
	TOTAL EARNINGS		48.199	44.354	79.252
	Earnings Per Share (Rs.)		651.59	431.28	405.12

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	NA	8.12	7.63
Net Profit Margin (PBT/Sales)	(%)	15.30	12.48	12.04
Return on Total Assets (PBT/Total Assets}	(%)	21.88	19.21	18.11
Return on Investment (ROI) (PBT/Networth)		0.45	0.44	0.59
Debt Equity Ratio (Total Debt /Networth)		0.53	0.52	0.63
Current Ratio (Current Asset/Current Liability)		2.88	2.57	1.89

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	No
9]	Name of person contacted	No
10]	Designation of contact person	No
11]	Turnover of firm for last three years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	----------------------
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	No
18]	Major customers	Yes
19]	Payments terms	No
20]	Export / Import details (if applicable)	No
21]	Market information	----------------------
22]	Litigations that the firm / promoter involved in	----------------------
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	----------------------
26]	Buyer visit details	----------------------
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	Yes
29]	Last accounts filed at ROC	No
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

OPERATIONAL REVIEW

The operations of the Company were carried out satisfactorily during the year and yielded a growth in the profits of the Company over the previous year .During the year, The Company achieved the 20 % growth in turnover over the preceding financial year. Profits before taxes stood at 144.200 Millions, registering a sharp growth. in profitability of the Company .The Company is in process of executing the Construction work for additional facility apart from the negotiations for machineries from suppliers

CONTINGENT LIABILITIES NOT PROVIDED FOR IN RESPECT OF: (As on 31.03.2011)

a) Counter guarantee given to Bank of Baroda against guarantee issued by them on behalf of the Company Rs.200.828 Millions (Previous year Rs.194.715 Millions). Counter guarantee given to The HSBC against guarantee issued by them on behalf of the Company Rs.112.867 Millions (Previous year Rs. NIL).

b) Bills Discounted with the Bank of Baroda Rs.56.301 Millions (Previous year – Rs.6.299 Millions).

UNSECURED LOAN

Rs. In Millions

Particular	As on 31.03.2011	As on 31.03.2010
Rupee term loans others unsecured	76.202	76.569
Total	76.202	76.569

BANKERS CHARGES REPORT AS PER REGISTRY

Corporate identity number of the company	U27109WB1980PTC033082
Name of the company	ASBESCO (INDIA) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	1A, K.B.R. Complex, 4, HO-CHI-MINH, Sarani,Kolkata-700071, West Bengal, India asbesco1@cal2.vsnl.net.in
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10062029
Type of charge	Immovable property Book debts Movable property (not being pledge) Others (Stock, PabdM and Other Current abd Fixed Assets)
Particular of charge holder	Bank of Baroda, India Excahnge Branch, 4, India Echange Place, Kolkata - 700001, West Bengal, India indiae@bankofbaroda.com
Nature of instrument creating charge	Supplemental Composite Agreement of Hypothecation of Goods, Book-debts, Movable Machinery abd Vehicles
Date of instrument Creating the charge	25.10.2012
Amount secured by the charge	Rs.535.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest Interest and other charges will be paid as per terms abd conditions of Sanction Terms, presently for Adhoc CC - 5.25% above BR i.e. 15.75% p.a.w.m.r, however subject to change. Terms of Repayment The working capital limit (Rs. 45.000 Millions. by way of CC, Rs.40.000 Millions by way of Adhoc CC for 90 days, Rs.30.000 Millions by way of PC/FBP/FBD, Rs.60.000 Millions. by way of BD under LC, Rs. 60.000 Millions. by way of LC and Rs. 300.000 Millions. by way of BG) is repayable on demand. Margin The borrower shall maintain appropriate margin as stipulated in the sanction terms, however the same is subject to change from time to time. Presently the applicable margin is CC:- 25% on Stock and Book- Debts PC/FBP/FBD:- NIL LC:- 3.20% by way of FDR BG:- 3.20% by way of FDR Extent and Operation of the charge The security created under said Agreement shall operate as continuing security and by way of pari passu first charge with HSBC. The charged assets property be kept at the Company risk and expense in good condition and fully insured against loss or damage by fire, lighting or explosion or theft and also against loss or damage by riot and civil commotion etc. as may be required by the Bank in the joint names of the Bank and the Company. Others The Company hereby declares that all the charged property now existing are absolute property of and at the sole disposal of the Company and free from any prior charge or encumbrance and undertakes that all future property shall like wise be the unencumbered and absolute and disposable property of the Company. Other terms abd conditions are as per terms abd conditions of above referred Agreement and Sanction Letter of the bank.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Borrower Company hereby hypo. and charges by way of pari passu 1st charge with HSBC a) all stocks of RM, WIP and FG and stores and spares both present and future now being and lying in the Borrower's Factory or any where else b) all the present and future book-debts c) all movable machinery and other Fixed Assets of the company d) Equitable mortgage of Land admeasuring 2 Bighas 8 Cottahs, 6 chittacks 18 Sq. ft. and 2 Bighas 8 Cottahs, 6 chittacks 18 Sq. ft. together with structure thereon at Mouza - Baltikuri J.L. No. 01, Khatian No.429 P.S. Jagacha District Howrah under Conveyance Deed No. 4408 dated 13.04.2006 and Conveyance Deed No. 6371 dated 21.08.2006 e) Equitable mortgage of Land admeasuring 22 Cottahs more or less together with structure thereon at Mouza - Baltikuri J.L. No. 01, Khatian No.2190 P.S. Jagacha Dist:- Howrah under lease deed 5866 dated 27.11.2008 between Company and Smt. Sheela Bagree and lease deed 5867 dated 27.11.2008 between Company and Smt. Kanta Bagree f) Equitable mortgage of Land admeasuring 42 Cottahs 70 Chittacks 170 Sq. Ft. together with structure thereon at Mouza - Baltikuri J.L. No. 01, Khatian No. 666, 2190 P.S. Jagacha Dist:- Howrah under lease deed 319 and 320 date 22.01.1998 between Company and Mr. Prem Ratan Bagri
Particulars of the present modification	By present modification the overall limit secured by charge has been enhanced from Rs. 495.000 Millions. to Rs. 535.000 Millions. The revised credit facilities CC- Rs. 45.000 Millions. , Adhoc CC- Rs. 40.000 Millions., PC/FBP/FBD - Rs.30.000 Millions, BD- Rs. 60.000 Millions, BG - Rs.300.000 Millions and LC- 60.000 Millions (LC facilities full interchangeable with BG) Other terms and conditions save as modified above remained unchanged.

FIXED ASSETS

• Building
• Plant machinery
• Computer equipments
• Office equipments,
• Furniture fixtures
• 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 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.54.10
UK Pound	1	Rs.82.47
Euro	1	Rs.70.49

INFORMATION DETAILS

Report Prepared by :

NTH

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	4
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		42

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.