MIRA INFORM REPORT

Report Date :

16.01.2014

IDENTIFICATION DETAILS

Name :	AMARA RAJA POWER SYSTEMS LIMITED [w.e.f. 25.03.2009]
Formerly Known As :	AMARA RAJA POWER SYSTEMS PRIVATE LIMITED
Registered Office :	Ranigunta, Cuddapah Road, Karakambadi, Tirupati – 517520, Andhra Pradesh
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	06.12.1984
Com. Reg. No.:	01-005165
Capital Investment / Paid-up Capital :	Rs.46.685 Millions
CIN No.: [Company Identification No.]	U31102AP1984PLC005165
PAN No.: [Permanent Account No.]	AABCA9265F
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of Magnetics, Design and Development of Power Electronic Products and Integration and Testing of Power Electronics Systems.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (30)

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

Maximum Credit Limit :	USD 1100000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track record. Profitability of the company appears to be low. However, trade relations are reported as fair. Business is active. Payment terms are reported to be slow but correct. The company can be considered for business dealings with some cautions.

NOTES:

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – September 30, 2013

Country Name	Previous Rating (30.06.2013)	Current Rating (30.09.2013)
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 narrowed in the quarter ended September as government measures to curb imports, especially gold, kicked in.  The current account deficit, the excess of a country’s imports of goods and services over exports, narrowed to $ 5.2 billion from $ 21 billion in the year ago period, according to provisional Reserve Bank of India data. Finance Minister P. Chidambaram said the CAD for the year will be less than $ 60 billion or 3 per cent of GDP and the latest data suggests the government may achieve the target.

India was ranked 94^th among the world’s most corrupt nations list. Denmark and New Zealand topped as the cleanest while Somalia emerged as the most corrupt.

India’s services sector activity witnessed a moderate improvement in November over the previous month, even while indicating the fifth successive monthly contraction, according the HSBC survey.

$53 million estimated losses suffered by India due to phishing attacks during the third quarter, according to a study by RSA. India ranks fourth in the list of nations hit by phishing attacks. The US remained at the top of the charts. Phishing is the process of acquiring information such as user names, passwords and credit card details by sending e-mails disguised as official mails.

Rs.4080 million worth of mobile-phone-based transactions by July 2013 compared to Rs.260 million in September, 2012, according to Deloitte report. The number of transactions has shot up from 94000 to 701000.

India aims to earn Rs.400000 million from the bandwidth auction set for January. The merger and acquisition guidelines, cleared by a group of ministers, will be out before the auction begins so that players can make informed decisions on the auctions.

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Long term Rating (BB+)
Rating Explanation	Moderate risk of default
Date	October, 2012

Rating Agency Name	CRISIL
Rating	Short term rating (A4+)
Rating Explanation	Minimal degree of safety. It carry very high 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.

INFORMATION DENIED

Management Non Co-operative (91-877-2265000)

LOCATIONS

Registered Office :	Ranigunta, Cuddapah Road, Karakambadi, Tirupati – 517520, Andhra Pradesh, India
Tel. No.:	91-877-2265000
Fax No.:	91-877-2285600
E-Mail :	prs@amararaja.co.in amararajaj@amararaja.co.in usk@amararaja.co.in
Website :	http://www.amararajapowersystems.co.in www.amararaja.co.in
Corporate Operations Office :	Head – Marketing and Sales “MC Design House”, 27, Rohini Layout, Hi-tech City, Madhapur, Hyderabad – 500 081, Andhra Pradesh, India
Tel. No.:	91-40-23633500
Fax No.:	91-40-23101999
Branch Offices :	Located at: · Mumbai · New Delhi · Kolkata · Chennai · Bangalore · Hyderabad

DIRECTORS

AS ON 27.09.2013

Name :

Dr. Galla Ramachandra Naidu

Designation :

Chairman and Managing Director

Address :

Ranigunta - Cuddapah Road, Karakambadi, Tirupati – 517 520, Andhra Pradesh, India

Date of Birth/Age :

01.06.1938

Qualification :

ME (Applied Electronics), MS (System Sciences)

Date of Appointment :

08.07.1985

PAN No.:

ACYPG9385N

DIN No.:

00133761

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	Company/ LLP Status	Defaulting status
1	L31402AP1985PLC005305	AMARA RAJA BATTERIES LIMITED	Director	01/09/2005	08/07/1985	Active	NO
2	U31102AP1984PLC005165	AMARA RAJA POWER SYSTEMS LIMITED	Managing director	19/06/2009	08/07/1985	Active	NO
3	U15122AP1990PLC011932	MANGAL INDUSTRIES LIMITED	Director	17/01/1994	17/01/1994	Active	NO
4	U31402AP1999PLC032257	AMARA RAJA ELECTRONICS LIMITED	Director	10/07/2012	09/08/1999	Active	NO
5	U15134AP2004PLC042852	GALLA FOODS LIMITED	Director	11/03/2004	11/03/2004	Amalgamated	NO
6	U24111AP1988PLC009231	ANDHRA PRADESH GAS POWER CORPORATION LIMITED	Director	29/09/2004	29/09/2004	Active	NO
7	U74990AP2008PTC057464	AMARON BATTERIES PRIVATE LIMITED	Director	06/02/2008	06/02/2008	Active	NO
8	U40102AP2008PTC059398	Amara Raja Infra Private Limited	Director	29/05/2008	29/05/2008	Active	NO
9	U93000AP2009PTC064031	AMARA RAJA INDUSTRIAL SERVICES PRIVATE LIMITED	Director	17/06/2009	17/06/2009	Active	NO
10	U65993AP2010PTC066519	RNGALLA FAMILY HOLDINGS PRIVATE LIMITED	Director	01/01/2010	01/01/2010	Active	NO

Name :

Mr. Galla Jayadev

Designation :

Director

Address :

Ranigunta - Cuddapah Road, Karakambadi, Tirupati – 517 520, Andhra Pradesh, India

Date of Birth/Age :

24.03.1966

Qualification :

Bachelor’s Degree in Political Science and Economics

Date of Appointment :

14.08.1993

DIN No.:

00143610

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	Company/ LLP Status	Defaulting status
1	U31102AP1984PLC005165	AMARA RAJA POWER SYSTEMS LIMITED	Director	14/08/1993	14/08/1993	Active	NO
2	L31402AP1985PLC005305	AMARA RAJA BATTERIES LIMITED	Managing director	01/09/2010	12/03/1994	Active	NO
3	U15122AP1990PLC011932	MANGAL INDUSTRIES LIMITED	Director	02/12/2000	02/12/2000	Active	NO
4	U15134AP2004PLC042852	GALLA FOODS LIMITED	Managing director	01/04/2009	11/03/2004	Amalgamated	NO
5	U31402AP1999PLC032257	AMARA RAJA ELECTRONICS LIMITED	Managing director	10/07/2012	07/06/2007	Active	NO
6	U74990AP2008PTC057464	AMARON BATTERIES PRIVATE LIMITED	Director	06/02/2008	06/02/2008	Active	NO
7	U40102AP2008PTC059398	AMARA RAJA INFRA PRIVATE LIMITED	Director	29/05/2008	29/05/2008	Active	NO
8	U93000AP2009PTC064031	AMARA RAJA INDUSTRIAL SERVICES PRIVATE LIMITED	Director	17/06/2009	17/06/2009	Active	NO
9	U65993AP2010PTC066519	RNGALLA FAMILY HOLDINGS PRIVATE LIMITED	Director	01/01/2010	01/01/2010	Active	NO
10	U45209AP2013PTC088072	NINE NINES LIFESTYLE PRIVATE LIMITED	Director	31/05/2013	31/05/2013	Active	NO

Name :

Dr. Ramadevi Gourineni

Designation :

Director

Address :

3420, Adam Street, Hinsdale, Illinois, USA 60523

Date of Birth/Age :

22.09.1964

Qualification :

MD

Date of Appointment :

31.10.2002

DIN No.:

01347211

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	U31402AP1999PLC032257	AMARA RAJA ELECTRONICS LIMITED	Director	31/10/2000	31/10/2000	-	Active	NO
2	U15122AP1990PLC011932	MANGAL INDUSTRIES LIMITED	Director	31/10/2002	31/10/2002	-	Active	NO
3	U31102AP1984PLC005165	AMARA RAJA POWER SYSTEMS LIMITED	Director	31/10/2002	31/10/2002	-	Active	NO
4	U15134AP2004PLC042852	GALLA FOODS LIMITED	Director	22/11/2004	22/11/2004	-	Amalgamated	NO
5	L31402AP1985PLC005305	AMARA RAJA BATTERIES LIMITED	Director	22/06/2007	22/06/2007	14/08/2008	Active	NO
6	U85110AP2013PTC086624	G2 HEALTHCARE PRIVATE LIMITED	Director	26/03/2013	26/03/2013	-	Active	NO

Name :

Dr. Upendranath Nimmagadda

Designation :

Director

Address :

400E, Randolph Street, No.3029, Chicago, Illinois, USA 60601

Date of Birth/Age :

01.09.1942

Qualification :

MD

Date of Appointment :

16.08.2006

DIN No.:

00613289

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	L72900MH1989PLC131521	FINE-LINE CIRCUITS LIMITED	Director	10/05/1991	10/05/1991	-	Active	NO
2	L23100KA1986PLC008037	MICRO ENERGY (INDIA) LIMITED	Director	27/11/1995	27/11/1995	-	Active	NO
3	U65993AP1999PLC031684	COASTAL LOCAL AREA BANK LIMITED	Director	26/06/2004	26/06/2004	28/03/2008	Active	NO
4	U55101AP2006PTC050438	KAVI RESORTS PRIVATE LIMITED	Director	05/07/2006	05/07/2006	-	Active	NO
5	U31102AP1984PLC005165	AMARA RAJA POWER SYSTEMS LIMITED	Director	16/08/2006	16/08/2006	-	Active	NO
6	U40102DL2010PTC204373	ARISTA POWER PRIVATE LIMITED	Director	30/09/2013	07/06/2013	-	Active	NO

Name :

Mr. Muttuluri Narasimhappa

Designation :

Director

Address :

B Block, Plot No. 501, Srinilaya Asian manor Apartments, Road No. 2, Banjara Hills, Hyderabad – 500034, Andhra Pradesh, India

Date of Birth/Age :

06.08.1949

Qualification :

M.A.(Economics)

Date of Appointment :

21.03.2011

DIN No.:

03319847

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	Company/ LLP Status	Defaulting status
1	U45200AP2005PTC047097	VIJAY NIRMAN COMPANY PRIVATE LIMITED	Director	12/09/2011	06/12/2010	Active	NO
2	U31102AP1984PLC005165	AMARA RAJA POWER SYSTEMS LIMITED	Director	24/08/2011	21/03/2011	Active	NO
3	U01403AP2012PTC080903	EESAVYASA AGROTECH PRIVATE LIMITED	Director	05/02/2013	05/02/2013	Active	NO
4	U74200AP2005PTC045802	EESAVYASA TECHNOLOGIES PRIVATE LIMITED	Director	28/02/2013	28/02/2013	Active	NO
5	L65991TN1941PLC001128	THE K C P LIMITED	Additional director	18/10/2013	18/10/2013	Active	NO
6	U65990AP2013PTC091719	VENTUREAST ENDIYA TRUSTEE COMPANY PRIVATE LIMITED	Director	11/01/2014	11/01/2014	Active	NO

Name :

Mr. Ranganatham Kalala

Designation :

Director

Address :

18-1-26/2, Dwaraka Nagar, K. T. Road, Tirupati – 517 507, Andhra Pradesh, India

Date of Birth/Age :

10.10.1942

Date of Appointment :

06.08.2013

DIN No.:

01991773

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	U31102AP1984PLC005165	AMARA RAJA POWER SYSTEMS LIMITED	Director	27/09/2013	19/12/2007	-	Active	NO
2	U45200AP2005PLC045511	NSL NAGAPATNAM POWER AND INFRATECH LIMITED	Director	01/12/2008	13/02/2008	01/02/2010	Active	NO
3	U45209AP2009PTC064640	MRIDULA INFRASTRUCTURES & PROJECTS PRIVATE LIMITED	Director	05/08/2009	05/08/2009	-	Active	NO

MAJOR SHAREHOLDERS

AS ON 27.09.2013

Names of Shareholders	No. of Shares
Dr. Ramachandra N Galla	1232175
Mr. B Gnana Prakash	37750
Mr. Radha Krishna Naidu	16500
Mr. Paturi Ramchandran	29650
Mr. Kannaiah Naidu	1500
Mrs. L Saraswathamma	1500
Mr. L V Babu	750
Mr. L T V Kumar	750
Dr. Upendranath Nimmagadda	337425
Dr. Usharani Nimmagadda	254925
Dr. Krishnaradha Chunduri	128700
Mr. Devarajulu N Katta	101475
Mr. Damodara Naidu Athuluru Jointly with Mrs. Padmini Naidu Athurulu	37125
Mr. Damodara Naidu Athuluru	37125
Mr. Krishna P Reddy	77550
Ms. Chunduri Durgarani	63525
Dr. Chunduri Satyanand Sinha	63525
Mr. Velagapudi Kantha Prasad	23100
Dr. Rama Krishna Nadella	31346
Dr. Nagamani P Nadella	31346
Dr. Durgaprasada Rao Kanuri	13500
Mr. G N Naidu	53400
Mr. Jayaram K Naidu	25575
Dr. Prasad Jagdish Athota	25575
Mr. Gurramkonda Munaswamy Naidu	9300
Mr. Durganageswara Rao Kaza	9300
Dr. Suresh Nadella	25575
Mr. Lokamadham Gummidiyala	9300
Mrs. Amara Kumari Galla	256575
Dr. G Ramadevi	471075
Dr. G V R K Prasad	82500
Mr. V Raguram	20625
Mr. Vikramaditya	82500
Mr. Harshavardhana	82500
Mr. Jayadev Galla	957000
Mrs. Bhimalamma	10500
Mrs. M Latha	10500
Mrs. B Indira	20000

Equity Share Break up (Percentage of Total Equity)

AS ON 27.09.2013

Category	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	16.32
Directors or relatives of Directors	80.47
Other top fifty shareholders	3.21
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Magnetics, Design and Development of Power Electronic Products and Integration and Testing of Power Electronics Systems.

Products :

ITC Code	Product Descriptions
850440-10	Inverter and Rectifier
850440-30	Battery Chargers

PRODUCTION STATUS AS ON (31.03.2011)

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Battery Chargers	(Nos.)	No license is required under the existing policy	Unit quantification not possible since it comprises varied Items	1411

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

Andhra Bank, Main Branch, Beri Stree, Tirupati – 517501, Andhra Pradesh, India

Facilities :

SECURED LOANS	31.03.2013 Rs. In Millions	31.03.2012 Rs. In Millions
Long Term Borrowings
Term loans from others	2.029	0.784
Short Term Borrowings
Loans repayable on demand from banks	304.723	158.589
Total	306.752	159.373

Banking Relations :	--
Auditors :
Name :	E. Phalguna Kumar and Company Chartered Accountants
Address :	599/2, Balaji Colony, Tirupati – 517502, Andhra Pradesh, India
Income-tax PAN of auditor or auditor's firm :	AABFE1485A
Enterprises in which key Management Personnel and/or their relatives have significant influence:	· Amara Raja Batteries Limited · Amara Raja Electronics Limited · Mangal Precision Products Limited · Galla Foods Limited · Amara Raja Infra Private Limited · Amara Raja Industrial Services Private Limited

CAPITAL STRUCTURE

AS ON 27.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
5000000	Equity Shares	Rs. 10/- each	Rs.50.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
4668542	Equity Shares	Rs. 10/- each	Rs.46.685 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2013	31.03.2012	31.03.2011
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	46.685	17.328	17.328
(b) Reserves & Surplus	228.869	167.578	234.576
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	0.000
Total Shareholders’ Funds (1) + (2)	275.554	184.906	251.904
(3) Non-Current Liabilities
(a) long-term borrowings	6.644	12.458	11.738
(b) Deferred tax liabilities (Net)	0.000	0.000	1.645
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	7.000	6.126	6.296
Total Non-current Liabilities (3)	13.644	18.584	19.679
(4) Current Liabilities
(a) Short term borrowings	382.223	352.589	219.033
(b) Trade payables	250.730	245.509	355.319
(c) Other current liabilities	103.282	66.279	48.006
(d) Short-term provisions	3.414	5.856	6.194
Total Current Liabilities (4)	739.649	670.233	628.552
TOTAL	1028.847	873.723	900.135
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	129.982	56.362	64.484
(ii) Intangible Assets	1.624	1.595	2.412
(iii) Capital work-in-progress	0.000	62.630	2.588
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	11.432	0.456	0.456
(c) Deferred tax assets (net)	22.410	28.318	0.000
(d) Long-term Loan and Advances	0.000	0.000	0.000
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	165.448	149.361	69.940
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	167.810	170.010	207.233
(c) Trade receivables	594.439	477.909	540.816
(d) Cash and cash equivalents	42.283	21.317	20.928
(e) Short-term loans and advances	56.569	54.173	60.565
(f) Other current assets	2.298	0.953	0.653
Total Current Assets	863.399	724.362	830.195
TOTAL	1028.847	873.723	900.135

PROFIT & LOSS ACCOUNT

	PARTICULARS			31.03.2013	31.03.2012	31.03.2011
	SALES
		Income		1135.175	895.842	900.431
		Other Income		7.290	2.132	1.581
		TOTAL (A)		1142.465	897.974	902.012
Less	EXPENSES
		Cost of Materials Consumed		776.778	635.527	675.384
		Changes in Inventories of finished goods, work-in-progress and stock-in-trade		3.598	18.989	(56.999)
		Employee Benefits Expenses		147.520	142.667	139.985
		Other Expenses		166.073	164.871	114.668
		TOTAL (B)		1093.969	962.054	873.038
Less	PROFIT/(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)			48.496	(64.080)	28.974
Less	FINANCIAL EXPENSES (D)			33.353	25.471	14.812
	PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)			15.143	(89.551)	14.164
Less	DEPRECIATION/ AMORTISATION (F)			7.324	7.410	7.320
	PROFIT/(LOSS) BEFORE TAX (E-F) (G)			7.819	(96.961)	6.844
Less	TAX (H)			5.243	(29.963)	4.810
	PROFIT/(LOSS) AFTER TAX (G-H) (I)			2.576	(66.998)	2.034
	EARNINGS IN FOREIGN CURRENCY
			FOB Value of Exports	0.446	0.432	2.556
	TOTAL EARNINGS			0.446	0.432	2.556
	IMPORTS
			Raw Materials	0.029	2.074	10.885
			Capital Items	0.000	0.000	2.476
	TOTAL IMPORTS			0.029	2.074	13.361
	Earnings Per Share (Rs.)			0.72	(21.23)	1.17

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	0.23	(7.46)	0.23
Net Profit Margin (PBT/Sales)	(%)	0.69	(10.82)	0.23
Return on Total Assets (PBT/Total Assets}	(%)	0.79	(12.39)	0.76
Return on Investment (ROI) (PBT/Networth)		0.03	(0.52)	0.03
Debt Equity Ratio (Total Debt /Networth)		1.17	1.08	1.32
Current Ratio (Current Asset/Current Liability)		1.34	1.31	1.32

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 LOANS:

Particulars	31.03.2013 Rs. In Millions	31.03.2012 Rs. In Millions
Long Term Borrowings
Deferred Payment Liabilities	4.615	11.674
Short Term Borrowings
Loans repayable on demand from banks	0.000	89.000
Loans repayable on demand from others	50.000	50.000
Loans and advances from related parties	27.500	55.000
Total	82.115	205.674

INDEX OF CHARGE:

Sr. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10469467	08/12/2013	120,000,000.00	KOTAK MAHINDRA BANK LIMITED	36-38A, NARIMAN BHAVAN, 227,D, NARIMAN POINT, MUMBAI - 400021, MAHARASHTRA, INDIA	B93243673
2	10406677	26/02/2013	120,000,000.00	BANK OF BAHRAIN AND KUWAIT B.S.C	6-3-550, AKASHGANGA, LB BHAWAN, SOMAJIGUDA, HYDERABAD - 500082, ANDHRA PRADESH, INDIA	B69061232
3	90130267	01/04/2009 *	121,500,000.00	STATE BANK OF INDIA	SETTIPALLI BRANCH, RENIGUNTA ROAD, TIRUPATHI - 517506, ANDHRA PRADESH, INDIA	A60888948
4	90129482	22/12/2012 *	318,500,000.00	ANDHRA BANK	TIRUPATI MAIN BRANCH, BERI STREET, TIRUPATHI , ANDHRA PRADESH, INDIA	B65640815

* Date of charge modification

OPERATONS:

The financial year 2012-13 proved to be another challenging year amidst global economic uncertainties, higher inflationary pressure on the domestic front and depreciating rupee. Despite these constraints and challenges, the Company performed reasonably well and for the first time the revenue from operations has crossed Rs.1000.000 Millions. The net revenue from operations for the year ended March 31, 2013 was Rs.1135.200 Millions (Previous Year Rs.895.800 Millions) an increase of around 27% on a year–on-year basis and the net profits for the year ended March 31, 2013 was Rs.2.600 Millions as against a loss of Rs.67.000 Millions in the previous year.

During the year, the EPC Business had grown with the aid of acquisition of the business of M/s MEC Engineering Company. The revenue contribution of the projects business has significantly raised to 23% from 9% in the previous year. As part of value chain scale up blue print prepared during the MEC acquisition process, Subject had plans to secure order for one 220kV substation during the current financial year. Against the target of one 220kV substation, the Company had actually qualified for securing 5 Nos. of 220kV substations. One of these substations in APTRANSCO is a Gas Insulated Switchgear (GIS) substation, the execution of which will significantly enhance the competencies of subject to participate in similar opportunities elsewhere in the country.

Subject is pleased to announce that the business milestones such as order book targets, revenue targets and competency building which were originally envisaged at the time of acquisition have been fully achieved one year ahead of the schedule. The projects business has bagged several orders worth over Rs.1000.000 Millions which would help scale up the business during the next financial year.

Though the volume growth had not been in line with the expectations owing to the delayed implementation of projects by customers, the products business had seen an overall increase in the operating margins. The LT panels business has been ramping up and the Company has won major orders in Central utility i.e., Power Grid Corporation of India Limited, Mini Power Projects, Infrastructure Projects and Steel industry. Subject has successfully got the approvals from major consultants and end-clients. During the year, subject has developed and successfully tested 33 KV MV Panels and widened its customer base for Control and Relay Panels. Subject started working towards the Substation automation solutions for 132 KV S/s.

Subject could gain the technical expertise in the 220KV C&R panels and successfully supplied and commissioned these panels at state utilities. Subject is working towards the approval for 400KV CRP in Central Power Utilities.

During the year, sales to the Railway sector have been flat due to decrease in replacement requirements. The Company has witnessed an improvement in the Product Performance of IPS Systems post the modifications as per the RDSO guidelines.

The standardization concept of Industrial chargers has been well accepted at the major industry segments and the Company has also developed Channel partner program to market these chargers to increase market reach.

During the year, the new augmented manufacturing facility has helped in streamlining and enhancing the manufacturing capacities for facilitating panel building capabilities for high Value orders.

OUTLOOK:

Continued stress on Eurozone economy coupled with cautious investment approach by major global business houses has had its impact on the growth rates across both developed and developing economies of the world. In India the challenges are multiplied due to high inflationary pressure, poor liquidity and rupee depreciation. This has slowed down the Indian GDP growth rate to 5.4% during FY13. As a consequence Power and Infra Industry in the country have exhibited cautious approach to execute new investment plans.

In the context of the economic slowdown, subject has laid down a clear strategic plan to redefine business models with emphasis on growing the EPC Projects, foray into renewable energy space and development of complementary product portfolio. These products will serve the needs of power conversion, power quality management and network automation applications. The focus of the Company would be providing integrated solutions by offering knowledge based products and services.

The EPC business will lay emphasis on (a) on-time completion of the projects and (b) improved profitability through execution efficiency. To achieve the twin objectives, subject is now focusing on building significant competencies in the areas of strategic procurement, program management and site execution. The focus of site execution is to bring synergy in civil works with equipment supply and erection schedules thereby complete the projects on time in a consistent manner.

FIXED ASSETS:

· Land and Land Development

· Buildings

· Plant and Machinery

· Electrical Installation

· Furniture and Fixture

· Vehicles

· Computers

· Office Equipments

· Intangible Assets

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.61.59
UK Pound	1	Rs.101.09
Euro	1	Rs.83.99

INFORMATION DETAILS

Information Gathered by :	SVA
Report Prepared by :	NKT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--CREDIT LINES	1~10	3
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	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		30

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.