1. Summary Information

		Country	India
Company Name	BHARAT ELECTRONICS LIMITED	Principal Name 1	Mr. Anil Kumar
Status	Good	Principal Name 2	Mr. M L Shanmukh
		Registration #	08-000787
Street Address	Outer Ring Road, Nagavara, Bangalore – 560045, Karnataka, India
Established Date	21.04.1954	SIC Code	--
Telephone#	91-80-25039300 / 25039266	Business Style 1	--
Fax #	91-80-25039305 / 25039233	Business Style 2	--
Homepage	www.bel-india.com	Product Name 1	Strategic electronic products primarily to Defence Services
# of employees	10305 (Approximately)	Product Name 2	--
Paid up capital	Rs.800,000,000/-	Product Name 3	--
Shareholders	Promoter and Promoter Group  - 75.02% Public shareholding – 24.98%	Banking	State Bank of India
Public Limited Corp.	Yes	Business Period	59 Years
IPO	Yes	International Ins.	-
Public Enterprise	Yes	Rating	Aa (76)
Related Company
Relation	Country	Company Name	CEO
Subsidiary	--	BEL Optronic Devices Limited	--
Note	-

2. Summary Financial Statement

Balance Sheet as of	31.03.2013		(Unit: Indian Rs.)
Assets		Liabilities
Current Assets	102,344.,271,000	Current Liabilities	74,071,028,000
Inventories	3,1912,865,000	Long-term Liabilities	0,000
Fixed Assets	5754,546,000	Other Liabilities	7,161,725,000
		Government Grants	191,716,000
Deferred Assets	2715,731,000	Total Liabilities	81,424,469,000
Invest& other Assets	1734,002,000	Retained Earnings	62,236,946,000
		Net Worth	63,036,946,000
Total Assets	14,4461,415,000	Total Liab. & Equity	144,461,415,000
Total Assets (Previous Year)	148,583,544,000
P/L Statement as of	31.03.2013		(Unit: Indian Rs.)
Sales	61,038,175,000	Net Profit	8,898,328,000
Sales(Previous yr)	57,676,412,000	Net Profit(Prev.yr)	8,298,978,000

MIRA INFORM REPORT

Report Date :

14.04.2014

IDENTIFICATION DETAILS

Name :	BHARAT ELECTRONICS LIMITED
Registered Office :	Outer Ring Road, Nagavara, Bangalore – 560045, Karnataka
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	21.04.1954
Com. Reg. No.:	08-000787
Capital Investment / Paid-up Capital :	Rs. 800.000 Millions
CIN No.: [Company Identification No.]	L32309KA1954GOl000787
TAN No.: [Tax Deduction & Collection Account No.]	BLRB04051F/ BLRC00582B
PAN No.: [Permanent Account No.]	AAACB5985C
Legal Form :	A Public Limited Liability company. The company’s Shares are Listed on the Stock Exchanges.
Line of Business :	The Company is engaged in manufacture and supply of strategic electronic products primarily to Defence Services.
No. of Employees :	10305 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Aa (76)

RATING		STATUS	PROPOSED CREDIT LINE
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

Maximum Credit Limit :	USD 250000000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Exist
Comments :	Subject is a public sector undertaking, was established under the Ministry of Defense (MoD) to cater to the needs of the defense sector. It is a well-established company having fine track record. The rating takes into account the majority ownership by the Government of India. BEL’s strategic position as a dominant supplier of defense electronics to the Indian armed forces, which provides strong visibility to the revenues and high financial flexibility arising from negligible borrowings and a sizeable portfolio of liquid investments. Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitments. In view of strong holding, the company can be considered good for normal 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 – December 1, 2013

Country Name	Previous Rating (30.09.2013)	Current Rating (01.12.2013)
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

India’s current account deficit for the fiscal third quarter ended September 2013 narrowed to $4.2 billion or 0.9 % of the gross domestic product from $31.9 billion or 6.5 % of GDP a year earlier, thanks to a pick-up in exports and moderation in gold imports. Manufacturing activity and new orders in India showed their strongest growth in a year in February. The news comes as a relief after data showed Asia’s third largest economy grew by a slower-than-expected 4.7 % annually in the three months through December. The HSBC Manufacturing Purchasing Managers’ Index which gauges the business activity of India’s factories but not its’ utilities, rose to 52.5 in February, its highest in a year from 51.4 in January. Overall new orders for factory goods which rose to a one-year high of 54.9 contributed to the surge. China has emerged as India’s biggest trading partner in the current financial year replacing the United Arab Emirates and pushing it to the third spot. India-China trade has reached $49.5 billion with a 8.7 % share in India’s total trade. The US comes second at $46 billion with 8.1 % share during the first nine months of the current financial year.

The Reserve Bank of India has granted an additional nine months to the public to exchange currency notes printed before 2005 including Rs 500 and Rs 1,000 denominations, pushing the deadline to January 1, 2015. A day before dates for the Lok Sabha polls were announced, the government decided to hike interest rates on fixed deposit schemes offered by post offices up to 0.2 per cent. The new rates will be effective April, 1. The Supreme Court will resume hearing on March, 11 Nokia’s appeal against a ruling over transferring ownership of its local mobile phones plant which is the subject of a tax dispute to Microsoft Corp.

In the last days of the current Government, another scam has surfaced. The defence ministry has ordered a probe into Hindustan Aeronautics Limited’s contracts from Britain’s Rolls-Royce Holdings worth at least $ 1.2 billion. The Central Bureau of Investigation will look into allegations that over $80 million was paid in kickbacks in a deal signed in 2011. India has asked Boeing Co. to find a solution for problems with state-owned Air India’s 787 Dreamliners. The aircraft has experienced a series of malfunctions since its debut in 2011.

EXTERNAL AGENCY RATING

Rating Agency Name	ICRA
Rating	Fund based limits: “AAA”
Rating Explanation	Highest degree of safety and lowest credit risk.
Date	March 2013

Rating Agency Name	ICRA
Rating	Non-Fund based limits: “A1+”
Rating Explanation	Very strong degree of safety and lowest credit risk.
Date	March 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.

INFORMATION DECLINED

Management non-cooperative (Tel. No.: 91-80-25039300)

LOCATIONS

Registered Office :	Outer Ring Road, Nagavara, Bangalore – 560045, Karnataka, India
Tel. No.:	91-80-25039300 / 25039266
Fax No.:	91-80-25039305 / 25039233
E-Mail :	cmd@giasbg01.vsnl.net.in imd@bel-india.com info@bel-india.com secretary@bel.co.in rodel@bel.co.in nmdel@bel.co.in corpcomn@bel.co.in
Website :	http://www.bel-india.com
Factory 1 :	Jalahalli Post, Bangalore - 560013, Karnataka, India
Tel. No.:	91-80-28382626
Fax No.:	91-80-28382067
Factory 2 :	Site IV, Sahibabad Industrial Area, Bharat Nagar Post, Ghaziabad - 201 010, Uttar Pradesh, India
Tel. No.:	91-120-2777707
Fax No.:	91-120-2776730
Factory 3 :	NDA Road, Pashan, Pune - 411 021, Maharashtra, India
Tel. No.:	91-20-25865400, 22903000
Fax No.:	91-20-25880577, 25888789
Factory 4 :	Post Box No. 26, Ravindranath Tagore Road, Machalipatnam - 521 001, Andhra Pradesh, India
Tel. No.:	91-8672-223581-83
Fax No.:	91-8672-222640
Factory 5 :	Plot No. 405, Industrial Area, Phase III, Panchkula - 134 113, Haryana, India
Tel. No.:	91-172-3937252, 2591528, 3937400
Fax No.:	91-172-2594548 / 2591463
Factory 6 :	Balbhadrapur, Kotdwara - 246 149, Uttaranchal, India
Tel. No.:	91-1382-231171 to 231178
Fax No.:	91-1382-231132, 231135
Factory 7 :	Plot No. L-1, MIDC, Industrial Area, Raigad District, Taloja - 410 308, Maharashtra, India
Tel. No.:	91-22-27412701
Fax No.:	91-22-27412888 / 27412887
Factory 8 :	Post Box No. 981, Nandambakkam, Chennai – 600 089, Tamilnadu, India
Tel. No.:	91-44-22326906
Fax No.:	91-44-22326905
Factory 9 :	Nacharam Industrial Estate, Hyderabad – 500076, Andhra Pradesh, India
Tel. No.:	91-40-27194700
Fax No.:	91-40-27171406

DIRECTORS

As on: 31.03.2013

Name :	Mr. Anil Kumar
Designation :	Chairman and Managing Director
Name:	Mr. M L Shanmukh
Designation:	Director (Human Resources)
Name :	Mr. H N Ramakrishna
Designation :	Director (Marketing)
Name :	Mr. Sunil Kumar Sharma
Designation :	Director (Bangalore Complex)
Name :	Mr. Amol Newaskar
Designation :	Director (Other Units)
Name :	Dr. Ajit T Kalghatgi
Designation :	Director (Research & Development)
Part - Time Independent Directors
Name:	Mr. P K Mishra
Designation:	Joint Secretary (ES), Ministry of Defence, Department of Defence Production
Name:	Lt Gen S P Kochhar
Designation:	Bar to AVSM, SM, VSM, ADC, Signal Officer-in-Chief and Senior Colonel Commandant, Corps of Signals, Army Headquarters
Part-time Independent Directors
Name:	Mr. N Sitaram
Designation:	former Chief Controller (R&D), DRDO
Name:	Prof Anurag Kumar
Designation:	Professor, IISc, Bangalore
Name:	Prof R Venkata Rao
Designation:	Vice-Chancellor, National Law School of India University, Bangalore
Name:	Mr. S M Acharya
Designation:	IAS (Retd), ex - Secretary to Government of India
Name:	Lt Gen (Retd) Vinod Kumar Mehta
Designation:	ex - Director General Quality Assurance, Ministry of Defence
Name:	Mr. Vikram Srivastava
Designation:	IPS (Retd), ex - DG CRPF & ITBP
Permanent Special Invitees to all the Board Meetings :
Name:	Mr. P K Kataria
Designation:	Additional Financial Advisor and Joint Secretary, Ministry of Defense
Name:	Vice Admiral Dilip Deshpande
Designation:	AVSM, AVSM, VSM, Chief of Material, Indian Navy

KEY EXECUTIVES

Name:	Mr. M N Krishnamurthy, IPS
Designation:	Chief Vigilance Officer
Name:	Mrs. Elaine Mathias
Designation:	Executive Director
Name:	Mr. C.R. Prakash
Designation:	Company Secretary
General Managers :	Mr. P C Jain Mr. Vipin Katara Mr. Ghanshyam Narain Mr. V V Balakrishnan Mr. V K Mehta Mr. V D Bevinamarad Mr. Koshy Alexander
UNITS : (Executive Directors / General Manager)
Bangalore :	· Mr. Philip Jacob · Mr. Manmohan Handa · Mr. R Chandrakumar · Mr. A R Krishna Murthy · Mr. M M Joshi · Mr. M Vijayaraghavan · Mr. Sanmoy Kumar Acharya · Mr. M V Gowtama · Mr. K R Natarajan · Mr. Suresh Katyal · Mr. S Chandrasekar · Cdr (Retd) T Jagannath · Mr. Nataraj Krishnappa
Chennai :	· Mr. Vijay Gundannavar
Ghaziabad :	· Mr. Girish Kumar · Mr. R K Handa · Mr. A K Sharma
Hyderabad :	· Mr. R N Bagdalkar
Kotdwara :	· Mr. D K Mehrotra
Machilipacnam	· Mr. G Raghavendra Rao
Navi Mumbai	· Mr. S S Gokhale
Panchkula	· Mr. N Suresh
Pune :	· Mr. A R Vaidya
CRL, Bangalore :	Mr. V Mahesh, Chief Scientist

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on: 31.03.2014

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
Central Government / State Government(s)	60015859	75.02
Sub Total	60015859	75.02
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	60015859	75.02
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	4849537	6.06
Financial Institutions / Banks	54101	0.07
Insurance Companies	8637627	10.80
Foreign Institutional Investors	2949487	3.69
Sub Total	16490752	20.61
(2) Non-Institutions
Bodies Corporate	1985590	2.48
Individuals
Individual shareholders holding nominal share capital up to Rs. 0.100 million	1219004	1.52
Individual shareholders holding nominal share capital in excess of Rs. 0.100 million	160000	0.20
Any Others (Specify)	128795	0.16
Clearing Members	57583	0.07
Non Resident Indians	41822	0.05
Trusts	29390	0.04
Sub Total	3493389	4.37
Total Public shareholding (B)	19984141	24.98
Total (A)+(B)	80000000	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)	80000000	0.00

BUSINESS DETAILS

Line of Business :

The Company is engaged in manufacture and supply of strategic electronic products primarily to Defence Services.

GENERAL INFORMATION

No. of Employees :

10305 (Approximately)

Bankers :

· State Bank of India

· State Bank of Hyderabad

· State Bank of Patiala

· State Bank of Travancore

· State Bank of Mysore

· State Bank of Bikaner & Jaipur

· ICICI Bank

· AXIS Bank

· IDBI Bank

· HDFC Bank

· Canara Bank

· Syndicate Bank

· Vijaya Bank

· Bank of Baroda

· Andhra Bank

Facilities :

(Rs. In Millions)

Secured Loan

As on

31.03.2013

As on

31.03.2012

Long Term Borrowings

Outstanding liability on Leased Assets

0.136

0.981

Less: Amount expected to be paid within next 12 months

(0.136)

(0.843)

Total

0.000

0.138

Note:

Terms of Repayment

Fixed Non-cancellable period is 60 months from date of commencement of the rentals.

- Lease Rentals in respect of each vehicle is determined based on prevailing interest rate at the time of availment of Lease Finance.

- Lease Rental variation clause is applicable.

- In case of premature termination of Lease (with the consent of the Lessor), the Lessee shall pay the Lessor the discounted value of future receivables.

- Termination Value at the rate of 1% of the Lease amount of vehicle is payable for sale of car on behalf of Lessor.

As per the provisions of Accounting Standard 19, the following information is disclosed in respect of above Finance Lease:

The net carrying amount (WDV) at the Balance Sheet date	0.094	0.750
Total minimum lease payments as at the reporting period date	0.142	1.043
The present value of minimum lease payments as at the reporting period date	0.136	0.981

Banking Relations :	--
Statutory Auditors :
Name :	R G N Price and Company Chartered Accountants
Branch Auditors :
Name :	· Mittal Gupta and Company, Lucknow · Rao and Narayan Vijayawada · M B Bafna and Company, Pune
Cost Auditors:	P S V and Associates Chartered Accountants
Address:	Bangalore, India
Subsidiary :	· BEL Optronic Devices Limited (Equity Holding 92.79%)
Joint Venture Companies :	· GE BE Private Limited (Equity Holding 26 %) · BEL Multitone Private Limited (Equity Holding 49 %)

CAPITAL STRUCTURE

As on: 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
100000000	Equity Shares	Rs.10/- each	Rs. 1000.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
80000000	Equity Shares	Rs.10/- each	Rs. 800.000 Millions

Reconciliation of No. of Shares

Particulars	2012-2013
	No. of Shares	Rs. In Millions
Shares outstanding at the beginning of the reporting period	80,000,000	800.00
Add : Shares issued during the year	--	--
Less : Shares Bought Back, Others etc., during the period	--	--
Shares outstanding at the end of the reporting period	80,000,000	800.00

Details of shareholders holding more than 5% of paid up share capital as on 31.03.2013 is given below:

Particulars	2012-2013
	No. of Shares	% of Shareholding
Government of India	60,689,600	75.86%
Life Insurance Corporation of India	4106807	5.13%

Shares reserved for issue under options and contracts / commitments for the sale of shares / disinvestment. NIL

The aggregate value of calls unpaid (including Directors and Officers of Company) NIL

The Company has only one class of shares viz, Equity Shares.

Each holder of Equity Shares is entitled to one vote per share on show of hands and in poll in proportion to the Number of shares held by him / her.

Each Share Holder has a right to receive the dividend declared by the Company.

On winding up of the Company, the equity shareholders will be entitled to get the realised value of the remaining assets of the Company, if any, after distribution of all preferential amounts as per law. The distribution will be in proportion to the number of equity shares held by the shareholders.

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	800.000
(b) Reserves & Surplus	62236.946
(c) Money received against share warrants	0.000
(2) Share Application money pending allotment	0.000
Total Shareholders’ Funds (1) + (2)	63036.946
Government Grants	191.716
(3) Non-Current Liabilities
(a) long-term borrowings	0.000
(b) Deferred tax liabilities (Net)	0.000
(c) Other long term liabilities	43.230
(d) long-term provisions	3484.185
Total Non-current Liabilities (3)	3527.415
(4) Current Liabilities
(a) Short term borrowings	0.000
(b) Trade payables	11268.520
(c) Other current liabilities	62759.278
(d) Short-term provisions	3677.540
Total Current Liabilities (4)	77705.338
TOTAL	144461.415
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	5742.274
(ii) Intangible Assets	12.272
(iii) Capital work-in-progress	1612.992
(iv) Intangible assets under development	1.199
(b) Non-current Investments	119.811
(c) Deferred tax assets (net)	2715.731
(d) Long-term Loan and Advances	1303.036
(e) Other Non-current assets	798.378
Total Non-Current Assets	12305.693
(2) Current assets
(a) Current investments	0.000
(b) Inventories	31912.865
(c) Trade receivables	33346.708
(d) Cash and cash equivalents	53024.923
(e) Short-term loans and advances	13079.462
(f) Other current assets	791.764
Total Current Assets	132155.722
TOTAL	144461.415

SOURCES OF FUNDS		31.03.2012	31.03.2011
SHAREHOLDERS FUNDS
1] Share Capital		800.000	800.000
2] Share Application Money		0.000	0.000
3] Reserves & Surplus		55422.101	49057.065
4] (Accumulated Losses)		0.000	0.000
NETWORTH		56222.101	49857.065
LOAN FUNDS
1] Secured Loans		0.138	4.105
2] Unsecured Loans		0.000	0.000
TOTAL BORROWING		0.138	4.105
DEFERRED TAX LIABILITIES		0.000	0.000
Government Grants		147.456	168.642
TOTAL		56369.695	50029.812
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		5101.591	4837.110
Capital work-in-progress		1135.646	589.860
INVESTMENT		119.811	119.811
DEFERREX TAX ASSETS		2281.557	1806.490
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	26737.970	24607.659
	Sundry Debtors	26869.489	29032.466
	Cash & Bank Balances	67725.223	65193.564
	Other Current Assets	1796.948	0.000
	Loans & Advances	16815.309	5553.136
Total Current Assets		139944.939	124386.825
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	10814.270	9045.047
	Other Current Liabilities	75512.397	66929.200
	Provisions	5887.182	5736.037
Total Current Liabilities		92213.849	81710.284
Net Current Assets		47731.090	42676.541
MISCELLANEOUS EXPENSES		0.000	0.000
TOTAL		56369.695	50029.812

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013
	SALES
		Income	61038.175
		Other Income	6099.830
		TOTAL (A)	67138.005
Less	EXPENSES
		Cost of Material Consumed	32994.548
		Cost of Stores and Spares Consumed	252.171
		Purchases of Stock in Trade	7602.599
		Changes in Inventories of Finished Goods, WIP and Scrap	(2780.012)
		Employee Benefits Expense	11107.887
		Other Expenses	5436.225
		Prior Period Items	63.745
		TOTAL (B)	54677.163
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		12460.842
Less	FINANCIAL EXPENSES (D)		7.817
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		12453.025
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1307.104
	PROFIT BEFORE TAX (E-F) (G)		11145.921
Less	TAX (H)		2247.593
	PROFIT AFTER TAX (G-H) (I)		8898.328
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		24090.014
Less	APPROPRIATIONS
		Interim Dividend	480.000
		Proposed Final Dividend	1304.000
		Dividend Tax	299.483
		Transfer to General Reserve	4000.000
		Transfer to Capital Reserve	327.027
	BALANCE CARRIED TO THE B/S		26577.832
	Earnings Per Share (Rs.)		111.23

	PARTICULARS		31.03.2012	31.03.2011
	SALES
		Income	57676.412	54717.462
		Other Income	5854.908	3841.622
		Profit on sale of fixed assets (net)	--	13.610
		Transfer from grants	--	37.845
		TOTAL (A)	63531.320	58610.539
Less	EXPENSES
		Consumption of raw materials and components	30452.648	20928.559
		Consumption of stores and spares	275.327	302.189
		Purchase of finished goods	5962.373	10126.947
		Employees remuneration and benefits	10812.305	10418.617
		Other expenses of manufacturing, administration, selling and distribution	4927.125	4111.830
		Exceptional items	0.000	0.000
		Prior periods items	38.560	(200.833)
		Expenditure allocated to capital jobs	0.000	(1.890)
		Accretion/ decretion to work in progress, finished goods and scrap	(899.489)	88.898
		TOTAL (B)	51568.849	45774.317
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		11962.471	12836.222
Less	FINANCIAL EXPENSES (D)		6.001	4.336
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		11956.470	12831.886
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1207.989	1220.423
	PROFIT BEFORE TAX (E-F) (G)		10748.481	11611.463
Less	TAX (H)		2449.503	2996.778
	PROFIT AFTER TAX (G-H) (I)		8298.978	8614.685
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		21730.659	19130.351
Less	TRANSFER TO CAPITAL RESERVE (CAPITAL PROFIT ON SALE OF FIXED ASSETS INCLUDED ABOVE)		NA	4.198
Less	APPROPRIATIONS
		Interim Dividend		480.000
		Proposed Final Dividend		1248.000
		Dividend Tax		282.179
		Transfer to General Reserve		4000.000
	BALANCE CARRIED TO THE B/S		NA	21730.659
	Earnings Per Share (Rs.)		103.74	107.68

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	13.25	13.06	14.70
Net Profit Margin (PBT/Sales)	(%)	18.27	18.64	2.95
Return on Total Assets (PBT/Total Assets}	(%)	7.97	7.41	8.86
Return on Investment (ROI) (PBT/Networth)		0.18	0.19	0.23
Debt Equity Ratio (Total Debt/Networth)		0.00	0.00	0.00
Current Ratio (Current Asset/Current Liability)		1.71	1.52	1.52

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2011	31.03.2012	31.03.2013
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	54,717.462	57,676.412	61,038.175
		5.408	5.829

NET PROFIT MARGIN

Net Profit Margin	31.03.2011	31.03.2012	31.03.2013
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	54,717.462	57,676.412	61,038.175
Profit	8,614.685	8,298.978	8,898.328
	15.74%	14.39%	14.58%

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	No
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	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	Yes
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	No
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

CASE DETAILS

High Court of Karnataka -Bangalore Bench

WA 5264/2012

Petitioner/Appnt. Name	BHARATH ELECTRONICS CONTRACT			Respondent/Defnt. Name	M/S BHARAT ELECTRONICS LIMITED
Petnr./Appnt. Advocate	V LAKSHMINARAYANA AND			Respnt./Defnt. Advocate
Date Filed	03/09/2012	Classification	L(RES)	District	Bangalore City

Please Note Down the Group No:5264-5288 

Stage	HEARING	Last Posted For	PRELIMINARY HEARING
Last Action Taken	ADMIT / RULE	Last Date of Action	06/03/2014	Next Hearing Date
Latest Order	1A I/12 FOR CD IS ALL ALLOWED, POST FOR FINAL HEARING SECURE LCR THOUGH LABOUR COURT
Before Hon'ble Judge/s	N.K.PATIL PRADEEP D. WAINGANKAR

Lower Court Details [Appeal from below case.]

Case No	Court Name	Disposal Dt
WP 8368/2011	HC BANGALORE 30000	24/02/2012

PERFORMANCE HIGHLIGHTS

Company’s sales turnover for the year 2012 - 13 has increased to Rs. 60121.861 millions from Rs. 570,363.36 millions in 2011 - 12, registering a growth of 5%. Profit after Tax for the year is Rs. 88,98.328 millions as against Rs. 82,98.978 millions in the previous year. Turnover from indigenously developed products is 78%. Supplies to the defence contributed to 85% of turnover as against 73% in 2011 - 12.

EXPORTS

The Company achieved export sales of US $ 32.78 million during the year as against US $ 38.45 million in the previous year. The decline in export sales during the year was mainly due to LLTR energy system planned under offset programme later becoming domestic sales and some of the products and systems planned for order acquisition and dispatch not materializing during the year. Export sales during the year included offset business to the extent of US $ 7.65 million. The Company has an export order book of US $ 94.08 million as on 01 April 2013, including offset order book of US $ 13 million. The targeted export sales for the year 2013 - 14 is US $ 38 million.

The range of products exported during the year include Electronic Voting Machines, Coastal Surveillance Radar System, Radar Warning Receiver, RL Mount, Fitted up Shelters and bare shelters, Cable Harness, PCB Assembly, Electronic Assembly, Casing, Stators, Electromechanical parts and components.

During the year, the Company participated in 3 international exhibitions to show case its products and systems capabilities. Countries in Africa, Latin America, Southeast Asia, SAARC, Middle East and CIS continue to be the markets for export of BEL Products and systems. BEL has also identified contract manufacturing (both build to print and build to specs) as one of the new areas to address the emerging opportunities with OEMs. BEL is closely working with various major foreign Aerospace and Defence companies to secure business under the mandatory Offset Clause in the RFPs for Indian Defence Procurement. Further, efforts are being made to establish long - term supply chain relationships with global players.

NEW PRODUCT DEVELOPMENT

During the year 2012 - 13, different R and D Divisions completed several projects leading to new products / systems / technology modules, including the following:

Identification of Friend or Foe (IFF) for Medium Range Surface - to - Air Missile (MRSAM) - The IFF is a secondary Surveillance Radar used for identification of targets fitted with compatible transponder. The IFF Mk XII comprises of interrogator decoder, transponder & crypto unit. The new version Mark XII also has the addition of secure positive friendly identification.

Gunners Main Sight Mk II - This is one of the four sub systems of the Integrated Fire Control System. The system provides day and night surveillance and night fighting capability. The system has capability to fire Laser Guided Missile.

Point to Multipoint Radio - This Radio is an intra – communication system providing communication between the Command Post and the Firing Unit (FU). The Point to Multi Point Radio or the intra FU wireless communication system enables data and voice communication between Field Vehicle - mounted shelters in terrestrial deployment. The Intra Firing Unit Communication (IFUC) systems are installed at the Command Post and Mobile Launcher Systems enabling point to point and point to multi point communication.

Mast for LORROS - The hydraulically operated Telescopic Mast is designed to support Long Range Reconnaissance and Observation System (LORROS) which can be elevated to get better range and good Line Of Sight (LOS).

All Electric Drive (AED) for AK630 - It will replace the existing Electro - Hydraulic drive in Azimuth and Elevation by a Brushless Electric Drive System. AED offers a completely indigenous and state - of - the - art drives based on brushless motors with superior dynamics and reliability. It also offers an improved maintainability, low acoustic noise with easy installation and tuning.

AGCS for NISHANT UAV - Advanced Ground Control Station (AGCS) for NISHANT UAV facilitates operation of

UAV from Ground Station. The functional requirements of AGCS include Communication, Mission Planning, Air Vehicle Control, Payload Management, Payload Video Processing and Recording, Flight Data Recording, Post Flight Analysis and Replay.

MANAGEMENT DISCUSSION AND ANALYSIS REPORT

Industry Structure and Developments, Strengths, Weaknesses, Opportunities and Threats, Major

Initiatives undertaken and planned to ensure sustained Performance and Growth

The Indian economy has slowed down due to both external and domestic causes. Falling savings without a commensurate fall in aggregate investment has led to widening of current account deficit. To contain the deficit, the Government has initiated austerity measures by reducing expenditure and taking steps to improve the growth rate of the economy. The industrial growth is also sluggish due to reduction in credit flows, investments and a fragile global economic recovery.

These factors led to the fall of percentage share of Defence budget in GDP from 1.90 in 2012 - 13 budget to 1.79 in 2013 - 14 budget. Consequently, there has been only a modest increase in the overall defence budget from Rs. 19,340,70.000 millions in 2012 - 13 to Rs. 20,367,20.000 millions in 2013 - 14.

There has been an increase in percentage share of the Capital expenditure from 41.15% (2012 - 13) to 42.59%

(2013 - 14) in the Defence budget. In value terms this amounts to an increase from Rs. 7,95786.300 millions to Rs. 8,671,40.000 millions. This increase in Capital expenditure would lead to higher acquisition of weapon systems and equipments by the armed forces. BEL being in the area of Defence Electronics would stand to gain from this increase.

Amongst the three defence services, the capital expenditure for Air Force has been increased more compared to other services. As BEL supplies various Airborne and Ground Control equipment for Indian Air Force, this increase will benefit the Company. Also, the armed forces are planning major acquisitions during 2013 - 14 as part of their modernization plans. The Offset obligations from these acquisitions will provide a good business opportunity to the Company.

Even though, there is a lot of stress on indigenization in Defence, the allocation of money for the “Make” projects compared to the previous year has been reduced. This is likely to impact some of the proactive development programs launched by the Company.

With slow recovery of the global economy, major countries are cutting down their defence expenditure as an austerity measure. This has led to top defence manufacturers focusing more on India as an emerging market. India being one of the top 10 defence spending countries in the world, more and more companies from US, Western Europe and Israel are expected to aggressively market their products to the Indian Defence forces. This will provide wider opportunities for technical collaborations to the Company.

FIXED ASSETS

· Freehold land

· Leasehold land

· Roads and Culverts

· Buildings

· Installations

· Plant and Machinery

· Electronic Equipment

· Equipment for R and D Lab

· Vehicles

· Office Equipment and Furniture

· Fixtures and other Equipment

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. 60.27
UK Pound	1	Rs. 101.10
Euro	1	Rs. 83.73

INFORMATION DETAILS

Information Gathered by :	NYA
Analysis Done by :	KAR
Report Prepared by :	DPH

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	8
PAID-UP CAPITAL	1~10	8
OPERATING SCALE	1~10	9
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	9
--PROFITABILIRY	1~10	9
--LIQUIDITY	1~10	8
--LEVERAGE	1~10	8
--RESERVES	1~10	9
--CREDIT LINES	1~10	8
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	YES
--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	YES
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		76

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.