MIRA INFORM REPORT

Report Date :

12.09.2013

IDENTIFICATION DETAILS

Name :	MCC PTA INDIA CORP. PRIVATE LIMITED
Registered Office :	22, Camac Street, Block ‘C’, 4^th Floor, Kolkata – 700 016, West Bengal
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	19.02.1997
Com. Reg. No.:	21-088796
Capital Investment / Paid-up Capital :	Rs.7392.830 millions
CIN No.: [Company Identification No.]	U24299wb1997ptc088796
TAN No.: [Tax Deduction & Collection Account No.]	CALM03777E
PAN No.: [Permanent Account No.]	AAACM9169K
Legal Form :	Private Limited Liability Company
Line of Business :	Subject is engaged in manufacturing and selling of Purified Terephthalic Acid ('PTA').
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (36)

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

Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having a moderate track record. There appear huge accumulated losses recorded by the company. The external borrowing seems to be huge. However, trade relations are reported to be 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 – March 31^st, 2013

Country Name	Previous Rating (31.12.2012)	Current Rating (31.03.2013)
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

We are living in a world where volatility and uncertainty have become the New Normal. We saw a change of government in countries like Tunisia, Egypt, Libya and Vietnam. Once powerful countries in Europe are now fighting for bankruptcy. We have taken growth in the developing part of the world for granted but economic growth in China and India has begun to slow. Companies that were synonymous with their product categories just a few years ago are now no longer in existence. Kodak, the inventor of the digital camera had to wind up its operations, HMV, the British entertainment retailing company and Borders, once the second largest bookstore have shut down due to their inability to evolve their business models with the changing time. Readers’ Digest, Thomson Register are no more !

There is another megatrend happening. The World order is changing as economic power shifts from West to East. According to McKinsey study, it took Britain more than 100 years to double its economic output per person during its industrial revolution and the US later took more than 50 years to do the same. More than a century later, China and India have doubled their GDP per capital in 12 and 18 years respectively. By 2020, emerging Asia will become the world’s largest consuming block, overtaking North America.

The years after the outbreak of the global financial crisis, the world economy continues to remain fragile. The Indian economy demonstrated remarkable resilience in the initial years of the contagion but finally lost ground last year. GDP growth slowed down. Currency has been weakening. There is a marked deceleration in agriculture, industry and services. Dampening sentiment led to a cut-back in investment as well as private consumption expenditure.  Inflation remained at high levels fuelled by the pressure from the food and fuel sectors. The large fiscal and current account deficit s continued to cause grave concern. It is imperative that India regains its growth trajectory of 8-9 % sooner than later. This is crucially important given the need to create gainful livelihood opportunities for the millions living in poverty as also the large contingent of young people joining the job market every year.

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	August 2013

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/ Head Office :	22, Camac Street, Block ‘C’, 4^th Floor, Kolkata – 700 016, West Bengal, India
Tel. No.:	91-33-22836300/22836301-6305/ 22462490-94/ 97-99
Fax No.:	91-33-22808470/ 22462467/ 9138/ 22836299
E-Mail :	ida0014@cc.m-kagaku.co.jp ida0007@cc.m-kagaku.co.jp
Websites :	www.mcpi.co.in
Area :	5000 sq. ft.
Location :	Owned (Commercial)
Factory 1 :	Haldia, Mouza Alichak, J L # 128, District Midnapore – 721 602, West Bengal
Tel. No.:	91-3244-275355/275572-73
Fax No.:	91-3244-275356/275574
Area :	200 acre
Location :	Leased (Industrial)
Factory 2 :	Village and P.O. Bhuniaraichak, Via: Sutahata (Haldia), Purba Midnapore - 721 635, West Bengal, India
Tel. No.:	91-3224-275572/ 73
Fax No.:	91-3224-275574

DIRECTORS

As on 12.07.2013

Name :

Manabu Chikumoto

Designation :

Managing director

Address :

3-9 Sunny Park, Flat No. 1 A, 1^st Floor, Kolkata – 700019, West Bengal, Indai

Date of Birth/Age :

26.06.1964

Date of Appointment :

12.07.2013

PAN No.:

ACKPC0012G

DIN No.:

06455779

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U24299WB1997PTC088796	MCC PTA INDIA CORP. PRIVATE LIMITED	Managing director	12/07/2013	01/02/2013	-	Active	NO

Name :

Mr. Eiichi Ono

Designation :

Chairman cum Managing Director

*Designated as Chairman Emeritus w.e.f. July 1, 2010 (Non-executive category)

Address :

6-30-15-101, Shimouma Setagaya- Ku, Tokyo- 154-0002, Japan

Date of Birth/Age :

15.11.1940

Date of Appointment :

01.07.2010

PAN No.:

AAJPO9696D

DIN No.:

00108820

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U24299WB1997PTC088796	MCC PTA INDIA CORP. PRIVATE LIMITED	Director	01/07/2010	12/06/2003	-	Active	NO

Name :

Norihito Shiraishi

Designation :

Whole-time director

Address :

MCC PTA India Housing Complex, Azad Hind Nagar, P.O Haldia Township, Purba Medinipur – 721607, West Bengal, India

Date of Birth/Age :

18.12.1962

Date of Appointment :

12.07.2013

PAN No.:

CPAPS1876R

DIN No.:

05321986

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U24299WB1997PTC088796	MCC PTA INDIA CORP. PRIVATE LIMITED	Whole-time director	12/07/2013	01/08/2012	-	Active	NO

Name :

Sajal Ghosh

Designation :

Whole-time director

Address :

56, Bose Pukur Purba Para Road, Kolkata – 700 107, West Bengal, India

Date of Birth/Age :

13.03.1959

Date of Appointment :

12.07.2013

PAN No.:

ADJPG7605H

DIN No.:

00223794

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U24299WB1997PTC088796	MCC PTA INDIA CORP. PRIVATE LIMITED	Whole-time director	12/07/2013	04/07/2012	-	Active	NO

Name :

Mr. Debi Prasad Patra

Designation :

Whole-time director

Address :

CJ-332, Sector II, Salt Lake City, Kolkata – 700 091, West Bengal, India

Date of Birth/Age :

07.10.1955

Qualification :

MA in Political Science, IAS (Retired)

Experience :

35 Years

Date of Appointment :

01.07.2013

PAN No.:

AGCPP3380Q

DIN No.:

00067269

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U24299WB1997PTC088796	MCC PTA INDIA CORP. PRIVATE LIMITED	Whole-time director	01/07/2013	02/07/2003	-	Active	NO
2	U67120WB1893NPL000761	THE BENGAL CHAMBER OF COMMERCE AND INDUSTRY	Director	02/01/2005	02/01/2005	22/09/2010	Active	NO
3	U45400WB2007PTC115719	SHANGHRILA INFRASTRUCTURE CONSULTANCY PRIVATE LIMITED	Director	26/09/2008	11/05/2007	-	Strike off	NO
4	U45400WB2007PTC116039	ASIA PACIFIC INFRASTRUCTURE ENTERPRISES PRIVATE LIMITED	Director	24/05/2009	24/05/2007	-	Active	NO
5	U72200WB2007PTC117070	ASCENT INFOCON PRIVATE LIMITED	Director	30/01/2009	11/07/2007	-	Active	NO
6	U70101WB2007PTC118782	KALINGA INFRASTRUCTURE CONSULTANCY PRIVATE LIMITED	Director	18/09/2007	18/09/2007	31/12/2007	Active	NO
7	U22300WB2007PTC121254	SHANGHRILA MEDIA COMMUNICATIONS PRIVATE LIMITED	Director	29/12/2007	29/12/2007	31/12/2007	Strike off	NO
8	U45400WB2008PTC124845	ASCENT INFRASTRUCTURE CONSULTANCY PRIVATE LIMITED	Director	09/04/2008	09/04/2008	-	Strike off	NO
9	U30009WB1999PTC090277	XENOLITH TECHNOLOGIES PRIVATE LIMITED	Director	18/06/2008	18/06/2008	-	Active	NO
10	U40101WB2003PLC097340	INDIA POWER CORPORATION LIMITED	Director	01/07/2010	06/03/2009	-	Amalgamated	NO
11	U40105WB2008PLC125220	INDIA POWER CORPORATION (HALDIA) LIMITED	Director	23/09/2009	06/03/2009	-	Active	NO
12	U40102WB2008PTC126593	ORBIS POWER VENTURE PRIVATE LIMITED	Director	23/09/2009	30/03/2009	-	Amalgamated	NO
13	L40105WB1919PLC003263	INDIA POWER CORPORATION LIMITED	Director	01/08/2010	29/01/2010	-	Active	NO
14	U70102WB2010PLC150192	SPD CONSTRUCTIONS LIMITED	Director	04/06/2010	04/06/2010	-	Active	NO
15	U64202WB1995PLC075980	I-WIN ADVISORY SERVICES LIMITED	Director	29/09/2012	25/10/2011	04/03/2013	Active	NO

Name :

Yukitatsu Suenobu

Designation :

Director

Address :

93, Robertson Quay Rivergate, # 30-05, Singapore - 238255

Date of Birth/Age :

16.05.1959

Qualification :

Bachelor of Economics

Experience :

30 Years

Date of Appointment :

01.02.2013

PAN No.:

CRNPS0807D

DIN No.:

02978027

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U24299WB1997PTC088796	MCC PTA INDIA CORP. PRIVATE LIMITED	Director	01/02/2013	06/04/2010	-	Active	NO

Name :

Mr. Naohisa Hashimoto

Designation :

Director

Address :

99, Robertson Quay, #10-14, River Gate, Singapore 238258

Date of Birth/Age :

13.12.1966

Date of Appointment :

04.07.2012

DIN No.:

05114231

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U24299WB1997PTC088796	MCC PTA INDIA CORP. PRIVATE LIMITED	Director	04/07/2012	09/12/2011	-	Active	NO

Name :

Yoshihiro Umeha

Designation :

Director

Address :

22-28, Shimotakaido, 4-Chome Suginami-Ku, Tokyo, Japan 1680073

Date of Birth/Age :

15.03.1955

Date of Appointment :

23.04.2009

DIN No.:

02192419

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U24299WB1997PTC088796	MCC PTA INDIA CORP. PRIVATE LIMITED	Director	23/04/2009	25/06/2008	-	Active	NO

Name :

Yoshio Ueminami

Designation :

Director

Address :

Midori Gaoka Cho, 3500-117, Yokkaichi MIE, Japan - 5100006

Date of Birth/Age :

18.01.1958

Date of Appointment :

12.07.2013

DIN No.:

05295966

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U24299WB1997PTC088796	MCC PTA INDIA CORP. PRIVATE LIMITED	Director	12/07/2013	05/07/2012	-	Active	NO

KEY EXECUTIVES

Name :	Sajal Ghosh
Designation :	Secretary
Address :	56, Bose Pukur Purba Para Road, Kolkata – 700 107, West Bengal, India
Date of Birth/Age :	13.03.1959
Date of Appointment :	12.05.1998
PAN No.:	ADJPG7605H
Name :	Katsuhiko Fukui
Designation :	Director - Production
Name :	Kazuhiko Inoue
Designation :	Additional Senior Manager - Process
Name :	Makato Tsuyuguchi
Designation :	Additional Senior Manager - Process
Name :	Norio Fujii
Designation :	Additional Senior Manager - Process
Name :	Satoshi Inoue
Designation :	General Manager – HP Construction
Name :	Susumu Mutajima
Designation :	Deputy General Manager - Mechanical
Name :	Takahiro Ochi
Designation :	Additional Senior Manager - Mechanical
Name :	Takuji Hirokawa
Designation :	Senior Vice President - Marketing and Raw Materials
Name :	Tamotsu Magome
Designation :	Deputy General Manager - Mechanical
Name :	Tomoyasu Inakazu
Designation :	Deputy General Manager – HP Construction
Name :	Yuji Yamamoto
Designation :	Vice President - HR and Administration
Employed for Part of the Year :
Name :	Naomitsu Koide
Designation :	General Manager - Mechanical
Name :	ShinjiYasunaga
Designation :	Executive Director
Name :	Tomaya Sakata
Designation :	Senior Vice President - Coordination and Support Services

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 12.07.2013

Names of Shareholders	No of Shares
Mitsubishi Chemical Corporation, Japan	487926602
West Bengal Industrial Development Corporation Limited, India	36964137
Mitsubishi Corporation, Japan	73928273
Sojitz Corporation, Japan	59142618
Marubeni Corporation, Japan	44356964
Toyota Tsusho Corporation, Japan	36964137
Total	739282731

Equity Share Break up (Percentage of Total Equity)

As on 12.07.2013

Equity Share Breakup	Percentage of Holding
Category
Government Companies	5.00
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]	95.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Subject is engaged in manufacturing and selling of Purified Terephthalic Acid ('PTA').

Products :

Item Code No. (ITC Code)	29173600
Product Description	Purified Terephthalic Acid

PRODUCTION STATUS (AS ON 31.03.2012)

Particulars	Fifteen Months ended March 31, 2012 Quantity (MT)
a) Licensed Capacity	NA
b) Installed Capacity (per annum)	1370000
c) Actual Production	853864

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

· State Bank of India, Corporate Accounts Group Branch, 34, J.L. Nehru Road, Kolkata – 700 071, West Bengal, India

· Standard Chartered Bank, 19, Netaji Subhas Road, Kolkata – 700 001, West Bengal, India

· Citi Bank, Kanak Building, 41, Chowringhee Road, Kolkata – 700 071, West Bengal, India

Facilities :

Secured Loan	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions) (15 Months)
Short-term borrowings
Working capital loans from banks	339.360	0.000
Total	339.360	0.000

Banking Relations :	--
Auditors :
Name:	S.R. Batliboi and Company Chartered Accountants
Address :	22 Camac Street, Block ‘C’, 4^th Floor, Kolkatta-700016, West Bengal, India
Tel No.:	91-33-66153400
Fax No.:	91-33-22817750
PAN N Income-tax PAN of auditor or auditor's firm :	ACHFS9180N
Holding company:	· Mitsubishi Chemical Corporation, Japan
Ultimate holding company:	· Mitsubishi Chemical Holdings Corporation, Japan
Related parties with whom transactions have taken place during the year Holding company:	· Mitsubishi Chemical Corporation, Japan
Fellow subsidiaries:	· Mitsubishi Chemical Engineering Corp. · Mitsubishi Chemical Singapore Pte Limited · MCC PTA Asia Pacific PTE Limited · Ryoka Systems Inc. · Dia Nitrix Company Limited · Dia Packaging Company Limited · MEC Techno Company Limited · Ningbo Mitsubishi Chemical Company Limited

CAPITAL STRUCTURE

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
1000000000	Equity Shares	Rs.10/- each	Rs.10000.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
739283000	Equity Shares	Rs.10/- each	Rs.7392.830 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012 (15 Months)
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	7392.830	7392.830
(b) Reserves & Surplus	(10154.090)	(2475.810)
(c) Money received against share warrants	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000
Total Shareholders’ Funds (1) + (2)	(2761.260)	4917.020
(3) Non-Current Liabilities
(a) long-term borrowings	7041.680	11397.720
(b) Deferred tax liabilities (Net)	0.000	0.000
(c) Other long term liabilities	29.780	0.000
(d) long-term provisions	191.630	173.540
Total Non-current Liabilities (3)	7263.090	11571.260
(4) Current Liabilities
(a) Short term borrowings	4227.920	399.740
(b) Trade payables	21938.320	16240.080
(c) Other current liabilities	5586.620	2682.340
(d) Short-term provisions	5.520	6.870
Total Current Liabilities (4)	31758.380	19329.030
TOTAL	36260.210	35817.310
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	24059.370	24590.91
(ii) Intangible Assets	482.210	512.750
(iii) Capital work-in-progress	268.090	50.07
(iv) Intangible assets under development	0.000	0.000
(b) Non-current Investments	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000
(d) Long-term Loan and Advances	1059.99	1349.950
(e) Other Non-current assets	0.000	0.000
Total Non-Current Assets	25869.660	26503.680
(2) Current assets
(a) Current investments	0.000	0.000
(b) Inventories	6150.580	3574.230
(c) Trade receivables	284.070	1282.990
(d) Cash and cash equivalents	1180.430	1459.500
(e) Short-term loans and advances	2279.430	2481.480
(f) Other current assets	496.040	515.430
Total Current Assets	10390.550	9313.630
TOTAL	36260.210	35817.310

SOURCES OF FUNDS		31.12.2010 (12 Months)
SHAREHOLDERS FUNDS
1] Share Capital		7392.827
2] Share Application Money		0.000
3] Reserves & Surplus		2283.048
4] (Accumulated Losses)		(2017.720)
NETWORTH		7658.155
LOAN FUNDS
1] Secured Loans		0.000
2] Unsecured Loans		13043.439
TOTAL BORROWING		13043.439
DEFERRED TAX LIABILITIES		421.340
TOTAL		21122.934
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		24102.495
Capital work-in-progress		721.424
INVESTMENT		0.000
DEFERRED TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	4337.658
	Sundry Debtors	1146.392
	Cash & Bank Balances	621.318
	Other Current Assets	0.000
	Loans & Advances	3136.152
Total Current Assets		9241.520
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	12250.798
	Other Current Liabilities	561.173
	Provisions	130.534
Total Current Liabilities		12942.505
Net Current Assets		(3700.985)
MISCELLANEOUS EXPENSES		0.000
TOTAL		21122.934

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012 (15 Months)	31.12.2010 (12 Months)
	SALES
		Income	52194.810	51583.170	28486.920
		Other Income	63.730	729.130	641.410
		TOTAL (A)	52258.540	52312.300	29128.330
Less	EXPENSES
		Cost of raw materials consumed	49820.240	43507.560
		(Increase)/Decrease in inventories of finished goods and work-in-progress	(629.420)	(82.920)
		Employee benefits expense	537.100	667.110
		Other expenses	7851.620	8650.33
		TOTAL (B)	57579.540	52742.080	26651.260
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		(5321.000)	(429.780)	2477.070
Less	FINANCIAL EXPENSES (D)		337.500	393.930	359.330
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		(5658.500)	(823.710)	2117.740
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1985.680	2338.770	1595.590
	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		(7644.180)	(3162.480)	522.150
Less	TAX (H)		34.100	(421.340)	289.060
	PROFIT / (LOSS) AFTER TAX (G-H) (I)		(7678.280)	(2741.140)	233.090
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(4758.860)	(2017.720)	(2250.810)
	BALANCE CARRIED TO THE B/S		NA	(4758.860)	(2017.720)
	EARNINGS IN FOREIGN CURRENCY
		Income from Services	NA	9.990	3.901
	TOTAL EARNINGS		NA	9.990	3.901
	IMPORTS
		Raw Materials		41837.623	22222.972
		Capital Goods		216.950	303.690
		Capital Goods for Project		0.000	6.342
		Stores & Spares		1315.688	699.948
	TOTAL IMPORTS		NA	43370.261	23232.952
	Earnings / (Loss) Per Share (Rs.)		(10.39)	(3.71)	0.32

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012 (15 Months)	31.12.2010 (12 Months)
PAT / Total Income	(%)	(14.69)	(5.24)	0.80
Net Profit Margin (PBT/Sales)	(%)	(14.65)	6.13	1.83
Return on Total Assets (PBT/Total Assets}	(%)	(21.24)	(8.84)	1.57
Return on Investment (ROI) (PBT/Networth)		(2.77)	(0.64)	0.07
Debt Equity Ratio (Total Debt /Networth)		(4.08)	2.40	1.70
Current Ratio (Current Asset/Current Liability)		0.33	0.48	0.71

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

UNSECURED LOAN

PARTICULARS	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions) (15 Months)
Long-term Borrowings
Foreign currency term loans from banks	7041.680	11397.720
Short-term borrowings
Working capital loans from banks	3888.560	399.740
Total	10930.240	11797.460

THE FINANCIAL YEAR IN RETROSPECT

The Indian polyester manufacturers witnessed severe turbulence in the market owing to the continued effect of excess capacity and economic slowdown, which eventually made critical impact on overall demand and profitability. Market demand in fact, remained flat throughout the year irrespective of festive seasons and producers felt severe pressure on margins. Expansion of capacities, either in existing units or through new polyester units, far outpaced the demand of downstream spinning and textiles sectors. As much as 0.600 million metric tons of capacity was added in 2012 in India and an almost 3 times or so expected to come up round the corner in 2013. Inflation on the other hand, hovered around 6-8% and the resultant high cost of capital, in the process exerted severe pressure on working capital, thereby affecting the overall demand and consequent profitability status. Besides, low cotton prices further impacted the growth and margin equation of polyester market.

PTA producers' condition across Asia, was even worse. Producers in fact, failed to cover their variable costs. There was also substantial capacity additions in China (around 11-12 million metric tons). On the contrary, Px capacity additions were much less, merely upto the extent of 3 - 3.5 million metric tons. Accordingly, there was severe shortage of Px, resulting in steep rise in Px price. PTA price however, could not catch up with the rise, owing to oversupply situation. Hence, margin for PTA manufacturers, was under severe pressure and eventually came down to historically low level. Consequently, there was operation cutbacks in some plants and even stoppage in some others. Only Px producers could make money as Naptha-Px continued to maintain a very healthy spread. The Company accordingly and unfortunately, was not beyond this severity. With low unsustainable spread and unstable intermittent operation at its line 2 PTA manufacturing facility, the business performance of the Company was extremely poor in the year under report. In such a severe, constrained environment, the Company could generate net revenue from operations of Rs. 52,194.810 millions in the year, as against the corresponding amount of Rs 51583.170 millions in the fifteen months period ended March 31, 2012. The Company recorded net loss of Rs 7678.280 millions in the year under report, as compared to the net loss of Rs 2,741.140 millions in the fifteen months period ended March 31, 2012.

The below par financial performance of the Company during the year, inter-alia, was owing to several constraints and deterrent factors like abysmally low PTA — Px spread, persistent inflationary trends, acute rigidity and inflexibility in the market, unstable, intermittent operation at its line 2PTAmanufacturing facility etc. In order to obviate the negativities and to lessen the impact, extent of the accumulated losses, the Company has initiated the process of cost rationalization at all levels and optimum utilisation of resources through mechanical improvements / upgradation. It has also initiated the process of recovery, by way of wiping out the carried forward deficit balances, over a time frame of five years henceforth. The Company, in order to negate the effect of rising cost and uncertain supply of fuel oil as well as for reducing its overall operational cost in future has inter-alia, indulged in detailed analysis and assessment of energy rationalization process, by way of availing alternate source of energy, either on grid power basis from state owned power generation organisation, or through implementation of coal based captive power plants within its Haldia factory premises. It is also being simultaneously envisaged to install coal fired thermic fluid heaters in place of the existing oil fired thermic fluid heaters, for both the lines of the PTA manufacturing facility, which could result in reducing overall operational cost by eliminating the rising cost and uncertainty of availing furnace oil in future. Necessary evaluations, assessments, cost-benefit analysis, etc. are being made in these respects, in support and under guidance of the Holding Company, Mitsubishi Chemical Corporation.

The Company, is a single product entity, being engaged in manufacture / sale of PTA. Its segment wise information, have been indicated in the Annual Accounts and Notes thereto, relating to the year ended March 31, 2013. The Company continued to produce quality PTA during the year underreport, which is being regarded as of international standard by its customers across the world.

The Company continued pursuance of its commitment and efforts for strengthening of internal control measures / methods, ensuring safeguarding of assets, conservation and rational utilization of resources and enhancing scope of their sustainability, perusal of compliance / corporate governance / risk management and counter measures thereof, practice and adherence of various internal control rules / regulations / policies / measures / guidelines / code as compatible to the group policies / ideologies, throughout the period under report.

The Company further, continued its efforts and activities towards 'Corporate Social Responsibility' (CSR), throughout the year under report. The activities so carried out in these respects include, program of book distribution to the underprivileged students of the local schools in / around Haldia, organizing industry - student meet and imparting 5S, safety training to the participants, program of sweater distribution amongst poor children of local school, conducting health check up of students of local schools in / around their plant area in Haldia, conducting medical health camps on monthly basis for the local villagers in / around the plant area in Haldia, facilitating eye check-up and eye surgery for the underprivileged persons around the plant area through certain NGO, conducting blood donation camps, promoting tree plantation and green environment programs, distribution of blankets amongst the needy persons in the adjoining areas of the plant, promoting women empowerment projects for the local women under BPL category in Haldia through the concerned NGO in tailoring, food processing activities, extending support to local outfits / organisations for various sports, cultural activities etc. The Company in the like manner would endeavor to put forward its efforts, to promote, consolidate the strong bond and relationship between people, society, nature and to establish its identity as a responsible corporate citizen in the coming years.

The Company during the period continued with its efforts, for preserving pollution free environment and conservation of natural resources, improving standards of occupational health, implementing, adopting procedures for safe and accident free operation etc. During the said period, the Company renewed its Integrated Management System with respect to ISO 9001:2008, ISO 14001:2004 and OHSAS 18001:2007.

The Company also initiated measures for alternate use of hazardous wastes, in order to achieve better environment management and facilitate consequential cost reduction. The Company further, conducted bio-diversity study through external agency, for achieving / implementing effective bio-diversity, surrounding the plant area in Haldia. The Company also initiated measures to promote safety awareness amongst all concerned, during plant operation and throughout the plant premises. The Company overall, continued its efforts for implementation, maintenance of the required facilities related with Health, Safety & Environment, which eventually would cater to the need for better and secured environment through and within the region.

Despite the severe and rigid market conditions with an average growth of around 2.9% in India in 2012, the polyester industry tends to have a positive outlook for 2013, based on the following major assessments / estimates:

Change in leadership in some of the major economic powers like USA, China, Korea and Japan, could result in more financial stimulus packages, thereby putting more thrust to global economy.

GDP growth in India, could move up from the decade low 5.8% in 2012-13 to the expected level of 7% in 2013-14, as per the presently available estimates of Reserve Bank of India.

Some of the new Px capacities are expected to be on-line from middle of 2013, thereby making the supply-demand balance of Px more steady.

This could result in desired improvement in PTA-Px spread.

In India, around 2.0MMT of additional polyester capacity, expectedly, could start operating from 2013. In this perspective, PTA supply-demand balance, consequently could become tight in the near future.

Despite the years 2011 and 2012 been exceedingly bad for polyester industry in India owing to poor macro economic factors, Indian polyester overall, had registered a growth of over 10% per year since 2000.

Per capita consumption of polyester in India (3.2 kg), still appears to be very low as compared to China (15kg). India has therefore, enough potential to grow, considering the growth of natural fibre being almost stagnant.

The Company's 2nd PTA manufacturing line, on the other hand, appears to have been stabilized and is expected to operate steadily @ 100% henceforth. Upon new Px capacities becoming operational as expected, the Px supply situation would be steady and balanced. Spread between Px and PTA accordingly, could become more positive and sustainable. With such positives around, along with the expected available production of around1.2MMT of PTA at its disposal at the desired 100% operational level, availability of in-house technical skill, expertise, technical support of MCC, on-going cost rationalization process, optimum utilisation of resources including availing alternate economic energy and the like, Directors expect that the Company would be able to turn the reverses and make significant contributions towards the growth of Indian polyester industry in the following years.

CORPORATE INFORMATION

Subject is a private limited company domiciled in India and incorporated under the provisions of the Companies Act,1956.The Company is engaged in manufacturing and selling of Purified Terephthalic Acid ('PTA').

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	90248020	08/06/2007 *	2,500,000,000.00	STATE BANK OF INDIA	CORPORATE ACCOUNTS GROUP BRANCH, 34, J.L. NEHRU ROAD, KOLKATA, WEST BENGAL - 700071, INDIA	A16373953

Note: * Date of charge modification

CONTINGENT LIABILITIES:

(Rs. in millions)

PARTICULARS	31.03.2013	31.03.2012 (15 Months)
Claims against the company not acknowledged as debt *	2463.35	1305.56
Bank guarantees	36.30	98.71
Total	2499.650	1404.270
Note: * The claims against the company comprise: (a) The company has received a claim of Rs. 69.380 millions (31 March, 2012: Rs. 69.380 millions) from Technology Development Board, Government Of India for payment of cess under the Research & Development Cess Act, 1986 , with respect to the payments made to Mitsubishi Heavy Industries Limited, Japan (M/s MHI). The company is of the opinion that such payments to M/s. MHI do not attract cess under the provisions of the said Act, which has been communicated to the concerned authority and therefore not provided for. The company has not received any further communication from the Technology Development Board. (b) In respect of matter relating to claim of excise duty on deemed consideration arising from utilisation of advance licences received from specified buyers of PTA for sales under the deemed export category, the Central Excise Commissioner in January 2009 had adjudicated the matter against the company and confirmed the demands amounting to Rs. 306.970 millions along with penalty of an equivalent amount for the entire period of April 2000 to November 2006 and interest as per section 11AB of the Central Excise Act, 1944. Subsequently, in April 2009, the company filed appeals before the Central Excise and Service Tax Tribunal (CESTAT) against the Commissioner’s order. The case came up for hearing in October 2009 and the Hon’ble CESTAT dropped an amount of Rs.112.790 millions on grounds of limitation and also dropped the original demands for interest and penalty leaving a total demand of Rs.194.200 millions which the Hon’ble CESTAT also ordered the company to pre-deposit. The company did it in October 2009 by utilizing its Cenvat Account by Rs. 194.200 millions. The company is awaiting the final disposal of the case by the Hon’ble CESTAT. The company is of the view that the facts of the Supreme Court ruling in another case which was referred to by the Excise Department, are significantly different to its fact pattern and is thus, confident that this liability would not devolve on the company. The company has also obtained legal advice and opinion on the matter, and has not considered a provision necessary for these demands. However, for the period commencing from December 2006, the company has charged excise duty on the price inclusive of such advance licence benefit and duly recovered the same from the ultimate customers. (c) The company has received a claim from one of its service vendors towards shortfall in the minimum guaranteed off take quantities amounting to Rs.771.890 millions, and also the consequential loss of profit and other business opportunity that could have been possible for the vendor. In the company's view and as per legal advise obtained by the company in this matter, the terms of the contract do not allow the vendor to raise any such claims since there is no agreed commitment for the company to compensate for the shortfall in minimum agreed quantities. The matter is under arbitration proceedings as at year end and pending the outcome of the proceedings, no provision has been considered necessary in these accounts. (d) Other claims against the company with respect to demands raised by Central Excise, Service Tax, Sales Tax and Income Tax authorities not acknowledged as debts amount to Rs. 1427.880 millions (31 March, 2012: Rs.1041.980 millions)

FIXED ASSETS

Tangible Assets

· Land

· Buildings

· Plant and Machinery

· Furniture Fixture and Office Equipments

· Vehicles

Intangible Assets

· PTA License Fee

· Computer Software

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.63.90
UK Pound	1	Rs.100.47
Euro	1	Rs.84.65

INFORMATION DETAILS

Report Prepared by :

KVT

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	4
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	4
--RESERVES	1~10	4
--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
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		36

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.