MIRA INFORM REPORT

Report Date :

20.01.2014

IDENTIFICATION DETAILS

Name :	BHARAT DYNAMICS LIMITED
Formerly Known As :	BHARAT DYNAMICS PRIVATE LIMITED
Registered Office :	Kanchanbagh Post, Hyderabad – 500 058, Andhra Pradesh
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	16.07.1970
Com. Reg. No.:	01-001353
Capital Investment / Paid-up Capital :	Rs.1150.000 millions
CIN No.: [Company Identification No.]	U24292AP1970GOI001353
TAN No.: [Tax Deduction & Collection Account No.]	HYDB02024B
PAN No.: [Permanent Account No.]	AAACB7880N
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Subject is engaged in the design and manufacture of underwater guided weapon systems, air-to-air missiles and associated equipment for the defense sector.
No. of Employees :	3085 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

A (67)

RATING		STATUS	PROPOSED CREDIT LINE
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

Maximum Credit Limit :	USD 38132000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a Government of India Company. It is a well-established and a reputed company having fine track record. Financial position of the company appears to be sound. Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitments. 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 – 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	Short Term Rating: A1+
Rating Explanation	Highest degree of safety and carry lowest credit risk.
Date	November 23, 2012

RBI DEFAULTERS’ LIST STATUS

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

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

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

LOCATIONS

Registered Office/ Corporate Office:	Kanchanbagh Post, Hyderabad – 500 058, Andhra Pradesh, India
Tel. No.:	91-40-24587466, 24587777 Marketing and Business Development: 91-40-24340712 Personnel and Administration: 91-40-24340261 Recruitment: 91-40-24587026 Commercial: 91-40-24347022 Finance: 91-40-24340284 Vigilance: 91-40-24340117 Public Relations: 91-40-24587054 RTI / CPIO: 91-40-24587015
Fax No.:	91-40-24340464
E-Mail :	Marketing and Business Development: bdbdl@ap.nic.in Personnel and Administration: edpna.bdl@nic.in Recruitment: bdlpersonnel@ap.nic.in Commercial: bdlcorpcomm@ap.nic.in Finance: dfbdl@ap.nic.in Vigilance: cvobdl@ap.nic.in Public Relations: bdbdl@ap.nic.in RTI / CPIO: edpna.bdl@nic.in
Website :	http://bdl.ap.nic.in
Bhanur Unit :	Bhanur, Patancheru Mandal, Medak District – 502 305, Andhra Pradesh, India
Tel. No.:	91-40-23469100
Fax No.:	91-40-23469552
E-Mail :	bdlbgpa@ap.nic.in
Vizag Unit :	3^rd Floor Admin Building, NSTL, NAD Cross Roads, Visakhapatnam – 530 027, Andhra Pradesh, India
Tel. No.:	91-891-2726742
Fax No.:	91-891-2586398
E-Mail :	bdlvizag@ap.nic.in
Liaison Office (New Delhi) :	Room No.84, Block No: ‘L’, Ministry of Defence, Church Road, New Delhi – 110 001, India
Tel. No.:	91-11-23093374, 23093268
Fax No.:	91-11-23094366
E-Mail :	bdllo@ap.nic.in

DIRECTORS

AS ON 30.09.2013

Name :

Mr. Satya Narayana Mantha

Designation :

Managing Director

Address :

P. No.23, S.K. Nagar, Balram Nagar Hyderabad – 500 056, Andhra Pradesh, India

Date of Birth/Age :

22.12.1954

Qualification :

B. Tech., MBA

Date of Appointment :

01.04.2012

DIN No.:

02329411

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	U24292AP1970GOI001353	BHARAT DYNAMICS LIMITED	Managing director	01/04/2012	01/10/2008	-	Active	NO

Name :

Prof. Ram Kumar Mishra

Designation :

Director

Address :

C-111, Ravtndra Nagar Colony Hubsiguda, Hyderabad – 500 007, Andhra Pradesh, India

Date of Birth/Age :

02.08.1948

Qualification :

M.Com., PhD.

Date of Appointment :

08.03.2011

DIN No.:

01878204

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	U63000MH2002PTC137469	CANOPUS SHIPPING AND TRADING PRIVATE LIMITED	Director	30/09/2004	30/09/2004	-	Active	NO
2	U14292AP1973GOI001660	MISHRA DHATU NIGAM LIMITED	Director	01/11/2007	01/11/2007	01/11/2010	Active	NO
3	L24129KL1943GOI000371	FERTILISERS AND CHEMICALS TRAVANCORE LIMITED	Director	25/09/2009	03/10/2008	03/10/2011	Active	NO
4	U24292AP1970GOI001353	BHARAT DYNAMICS LIMITED	Director	08/03/2011	08/03/2011	-	Active	NO
5	L93090TN1956GOI003507	NEYVELI LIGNITE CORPORATION LIMITED	Director	12/09/2011	24/03/2011	-	Active	NO

Name :

Mr. Kishan Lal Mehrotraa

Designation :

Director

Address :

B-8, 2^nd Floor_, Geetanjali Enclave, New Delhi – 110 017, India

Date of Birth/Age :

09.10.1948

Qualification :

B. Tech

Date of Appointment :

08.03.2011

DIN No.:

00062172

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	L99999MH1962GOI012398	MOIL LIMITED	Managing director	01/07/2005	01/07/2005	01/11/2008	Active	NO
2	U01410MP1962SGC000937	MADHYA PRADESH STATE MINING CORPORATION LIMITED	Director	20/02/2006	20/02/2006	29/12/2008	Active	NO
3	L14100WB1910GOI001996	THE BISRA STONE LIME COMPANY LIMITED	Director	20/09/2008	08/02/2008	06/11/2008	Active	NO
4	L45201WB1920PLC003846	KARANPURA DEVELOPMENT CO LIMITED	Director	20/09/2008	08/02/2008	06/11/2008	Under liquidation	NO
5	L51430WB1918SGC003026	THE ORISSA MINERALS DEVELOPMENT COMPANY LIMITED	Director	20/09/2008	08/02/2008	06/11/2008	Active	NO
6	L65993WB1927GOI005532	EASTERN INVESTMENTS LIMITED	Director	20/09/2008	08/02/2008	06/11/2008	Active	NO
7	U27103OR1992PLC003128	EAST INDIA MINERALS LIMITED	Director	23/08/2008	15/05/2008	02/02/2009	Active	NO
8	U14210WB2008PLC125636	EURASIA OVERSEAS LIMITED	Director	27/11/2008	27/11/2008	08/12/2009	Active	NO
9	U70109WB2008PTC127479	SRK PROMOTERS PRIVATE LIMITED	Director	29/01/2009	29/01/2009	-	Active	NO
10	U51909MH1989PTC051640	GUPTA COAL INDIA PRIVATE LIMITED	Additional director	07/11/2009	07/11/2009	17/04/2010	Active	NO
11	U40102MH2007PTC175497	GUPTA ENERGY PRIVATE LIMITED	Additional director	12/03/2010	12/03/2010	17/04/2010	Active	NO
12	U51420MH2008PLC187689	SARDA METALS AND ALLOYS LIMITED	Whole-time director	01/07/2010	01/07/2010	01/04/2011	Active	NO
13	L27101AP2004PLC043252	FACOR ALLOYS LIMITED	Director appointed in casual vacancy	18/09/2010	18/09/2010	-	Active	NO
14	U27320WB1964GOI026211	MSTC LIMITED	Director	13/12/2010	13/12/2010	-	Active	NO
15	U24292AP1970GOI001353	BHARAT DYNAMICS LIMITED	Director	08/03/2011	08/03/2011	-	Active	NO
16	U29214HP1987PLC007699	INDIAN TECHNOMAC COMPANY LIMITED	Additional director	03/09/2011	03/09/2011	03/09/2011	Active	NO
17	L74899DL1960GOI003335	NATIONAL BUILDINGS CONSTRUCTION CORPORTION LIMITED	Director	05/12/2011	05/12/2011	-	Active	NO

Name :

Mr. Raj Ganesh Viswanathan

Designation :

Nominee Director

Address :

H No.763, Makhan Singh Block, Asiad Games, Village Complex, New Delhi – 110 049, India

Date of Birth/Age :

14.04.1964

Qualification :

M. Sc., M. Tech

Date of Appointment :

15.06.2011

DIN No.:

03558616

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	U74899DL1995PTC074334	BRAHMOS AEROSPACE PRIVATE LIMITED	Director	13/06/2011	13/06/2011	-	Active	NO
2	U24292AP1970GOI001353	BHARAT DYNAMICS LIMITED	Nominee director	15/06/2011	15/06/2011	-	Active	NO

Name :

Mr. Sanagavarapu Venkata Subba Rao

Designation :

Whole Time Director

Address :

Flat No.303, Subhoday Apartments, 12-2-826/A/35, LIC Colony, Mehdipatnam, Hyderabad – 500 028, Andhra Pradesh, India

Date of Birth/Age :

16.12.1954

Qualification :

BSc., CA

Date of Appointment :

01.07.2011

DIN No.:

03583083

Name :

Mr. Anand Kumar Kapoor

Designation :

Director

Address :

A-134, 1^st Floor, Saraswati Vihar, New Delhi – 110 034, India

Date of Birth/Age :

07.01.1948

Qualification :

B. Tech, M. Tech.

Date of Appointment :

16.02.2012

DIN No.:

05243524

Name :

Mr. Udaya Bhaskar Varanasi

Designation :

Whole Time Director

Address :

D-4, BDL Township, Bhanur Village and Post, Medak District, Hyderabad – 502 305, Andhra, Pradesh, India

Date of Birth/Age :

08.02.1959

Date of Appointment :

01.08.2013

DIN No.:

06669311

Name :

Mr. Pramode Kumar Mishra

Designation :

Nominee Director

Address :

DI-49, Bharati Nagar, New Delhi – 110 003, India

Date of Birth/Age :

29.02.1956

Date of Appointment :

11.09.2013

DIN No.:

02889348

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	L35202KA1964GOI001530	BEML LIMITED	Nominee director	02/11/2012	19/11/2009	-	Active	NO
2	U35301KA1963GOI001622	HINDUSTAN AERONAUTICS LIMITED	Director	11/06/2010	11/06/2010	12/07/2010	Active	NO
3	U24292AP1970GOI001353	BHARAT DYNAMICS LIMITED	Nominee director	11/09/2013	27/04/2011	-	Active	NO
4	U14292AP1973GOI001660	MISHRA DHATU NIGAM LIMITED	Nominee director	29/10/2012	29/10/2012	24/12/2012	Active	NO
5	L32309KA1954GOI000787	BHARAT ELECTRONICS LIMITED	Director	20/09/2013	01/01/2013	-	Active	NO

KEY EXECUTIVES

Name :	M. Lakshmi Narayana Matukumalli
Designation :	Company Secretary
Address :	164/6, Mothi Nagar, Erra Gadda, Hyderabad – 500 018, Andhra Pradesh, India
Date of Birth/Age :	10.07.1955
Date of Appointment :	05.04.2012
PAN No.:	AHWPM2661E

MAJOR SHAREHOLDERS

AS ON 30.09.2013

Names of Shareholders	No. of Shares
President of India	1149998
Sanagavarapu Venkata Subba Rao	1
Satya Narayna Mantha	1
Total	1150000

AS ON 30.09.2013

Equity Share Breakup	Percentage of Holding
Category
Government (Central and State)	100.00 (Central Government)

BUSINESS DETAILS

Line of Business :

Subject is engaged in the design and manufacture of underwater guided weapon systems, air-to-air missiles and associated equipment for the defense sector.

Products :

Item Code No. (ITC Code)	36020010
Product Description	Prepared explosives other than propellant powders (Commercial and Industrial)

GENERAL INFORMATION

No. of Employees :	3085 (Approximately)
Bankers :	· Andhra Bank, BDL Campus Branch, Kanchanbagh, Hyderabad - 500 058, Andhra Pradesh, India · State Bank of India, Chandrayanagutta Branch, Kanchanbagh, Hyderabad – 500 058, Andhra Pradesh, India · Corporation Bank · Canara Bank

Banking Relations :	--
Auditors :
Name :	D.V. Ramana Rao and Company Chartered Accountants
Address :	1-1-773/A, Opposite Park-2, Gandhi Nagar, Hyderabad – 500 080, Andhra Pradesh, India
PAN No.:	AABFD5454C
Enterprises which are owned, or have significant influence of or are partners with Key management personnel and their relatives :	Institute of Public Enterprise (IPE), Hyderabad

CAPITAL STRUCTURE

AS ON 30.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
1250000	Equity Shares	Rs.1000/- each	Rs.1250.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1150000	Equity Shares	Rs.1000/- each	Rs.1150.000 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	1150.000	1150.000	1150.000
(b) Reserves & Surplus	8382.986	6173.830	4370.494
(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)	9532.986	7323.830	5520.494
(3) Non-Current Liabilities
(a) Long-term borrowings	0.000	0.000	0.000
(b) Deferred tax liabilities (Net)	0.000	0.000	0.000
(c) Other long term liabilities	469.428	488.988	508.547
(d) Long-term provisions	627.334	496.651	385.228
Total Non-current Liabilities (3)	1096.762	985.639	893.775
(4) Current Liabilities
(a) Short term borrowings	0.000	0.000	0.000
(b) Trade payables	3194.423	1628.573	1717.943
(c) Other current liabilities	57240.531	52229.559	41737.454
(d) Short-term provisions	1646.895	2004.103	1232.305
Total Current Liabilities (4)	62081.849	55862.235	44687.702
TOTAL	72711.597	64171.704	51101.971
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	2673.309	1949.516	996.921
(ii) Intangible Assets	106.738	167.210	414.385
(iii) Capital work-in-progress	632.642	392.498	221.014
(iv) Intangible assets under development or work-in-progress	62.616	62.216	0.000
(b) Non-current Investments	5.360	5.360	5.360
(c) Deferred tax assets (net)	412.921	544.473	284.809
(d) Long-term Loan and Advances	133.876	123.042	290.713
(e) Other Non-current assets	456.459	475.479	494.498
Total Non-Current Assets	4483.921	3719.794	2707.700
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	10065.335	6025.712	5021.912
(c) Trade receivables	2815.473	883.919	451.459
(d) Cash and cash equivalents	39622.556	42950.798	40208.336
(e) Short-term loans and advances	14468.446	9501.306	2266.432
(f) Other current assets	1255.866	1090.175	446.132
Total Current Assets	68227.676	60451.910	48394.271
TOTAL	72711.597	64171.704	51101.971

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Revenue from operations	10720.127	9557.014	9370.364
		Other Income	5226.219	4627.177	1417.044
		TOTAL (A)	15946.346	14184.191	10787.408
Less	EXPENSES
		Cost of materials consumed	7795.720	6335.303	5801.418
		Changes in inventories of finished goods, work-in-progress and stock-in-trade	(1008.086)	(338.198)	281.755
		Employee benefit expense	2589.850	2403.212	2345.328
		Other expenses	1962.638	1797.495	1203.115
		TOTAL (B)	11340.122	10197.812	9631.616
Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		4606.224	3986.379	1155.792
Less	FINANCIAL EXPENSES (D)		3.611	1.992	0.677
	PROFIT/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		4602.613	3984.387	1155.115
Less/ Add	DEPRECIATION/ AMORTISATION (F)		411.979	502.465	363.460
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)		4190.634	3481.922	791.655
Less	TAX (H)		1306.604	1132.334	274.624
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)		2884.030	2349.588	517.031
	Earnings/ (Loss) Per Share (Rs.)		2507.85	2043.12	449.59

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	18.09	16.56	4.79
Net Profit Margin (PBT/Sales)	(%)	39.09	36.43	8.45
Return on Total Assets (PBT/Total Assets}	(%)	5.85	5.51	1.56
Return on Investment (ROI) (PBT/Networth)		0.44	0.48	0.14
Debt Equity Ratio (Total Debt/Networth)		0.00	0.00	0.00
Current Ratio (Current Asset/Current Liability)		1.10	1.08	1.08

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check List by Info Agents	Available in Report (Yes / No)
1]	Year of Establishment	Yes
2]	Locality of the firm	Yes
3]	Constitutions of the firm	Yes
4]	Premises details	No
5]	Type of Business	Yes
6]	Line of Business	Yes
7]	Promoter's background	Yes
8]	No. of employees	Yes
9]	Name of person contacted	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	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

INDEX OF CHARGES:

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10254327	25/07/2011 *	1,000,000,000.00	STATE BANK OF INDIA	CHANDRAYANAGUTTA BRANCH, KANCHANBAGH, HYDERABAD, ANDHRA PRADESH - 500058, INDIA	B20946133
2	10154227	22/05/2013 *	2,100,000,000.00	ANDHRA BANK	BDL CAMPUS BRANCH, KANCHANBAGH, HYDERABAD, ANDHRA PRADESH - 500058, INDIA	B75682054
3	90337508	07/07/1977	1,000,000.00	STATE BANK OF INDIA	LOCAL HEAD OFFICE HYDERABAD, HYDERABAD, ANDHRA PRADESH, INDIA	-

* Date of charge modification

NEW PRODUCTION FACILITIES

The Land acquisition process at Amravathi, Maharashtra and Ibrahimpatnam, Ranga Reddy District, Andhra Pradesh is in progress and possession of the land is taken for the upcoming new projects of the Company.

MANAGEMENT DISCUSSION AND ANALYSIS REPORT

INDUSTRY STRUCTURE AND DEVELOPMENTS

The Company is a Public Sector Undertaking under the Administrative Control of Department of Defence Production, Ministry of Defence, Government of India, incorporated in the year 1970. The main object of the Company is to manufacture sophisticated Defence equipment required by the Armed Forces.

It also develops new products with in-house R&D apart from manufacturing Defence equipment with Transfer of Technology from world renowned collaborators and DRDO.

The Company is the Prime Production Agency for 2nd and 3rd Generation Anti Tank Guided Missiles. It is also the Prime Production Agency for all classes of Surface-to-Air Missiles (SAM) required by the Indian Armed Forces. The Company is a Lead Integrator for some of the SAM systems. The Company has taken up refurbishment of vintage missile held by the Armed Forces. The products developed by in-house R&D are finding wide acceptance and are being inducted by all wings of the Armed Forces.

The Company’s order book stands at Rs.173000.000 millions approximately as on 31^st March, 2013. This is expected to increase further, soon after the receipt of the contracts for which negotiations have been concluded. The company will be taking a major leap by joining a major joint development program of Short Range Surface-to Air Missile required by IAF and IN, and underwater weapons.

FIXED ASSETS:

Tangible Assets

· Land - Freehold

· Land - Leasehold

· Buildings

· Fencing and Compound Walls

· Roads and Drains

· Water Supply Installations

· Plant, Machinery and Equipment

· Furniture and Equipment

· Transport Vehicles

· Special Tools and Equipment

Intangible Assets

· Development Expenditure

· Computer Software

WEBSITE DETAILS:

COMPANY PROFILE:

Subject was established in the year 1970 to be a manufacturing base for guided weapon systems.  Its coming into being reflects the visionary wisdom of the Nation to achieve self-reliance in the technological domain.  Nurtured by a pool of talented engineers drawn from DRDO and aerospace industries, subject began its journey by producing a 1^st Generation Anti Tank Guided Missile-the French SS11B1.  This product was a culmination of a Licence Agreement the Government of India entered into with Aerospatiale, France.   Subject has three manufacturing units, located at Kanchanbagh, Hyderabad, A.P,  Bhanur, Medak district, A.P and Visakhapatnam, A.P. Two New Units are planned at Ibrahimpatnam, Ranga Reddy district, A.P. and Amravathi, Maharashtra.

On successful completion of the SS11B1 project, SUBJECT embarked on production of  2^nd generation ATGMs – the French Milan-2 and Russian Konkurs.  These projects were taken up for licence production with technical collaboration from Euromissile, France and KBP, Tula, Russia.  These products covered a broad spectrum of the requirements of the Indian Army’s infantry and mechanized forces.  The productionization process at subject with a phase-wise transfer of technology laid emphasis on indigenization, which enabled its engineers to gain deep insight into the system engineering and design concept of ATGMs.  In this process, subject also interacted with numerous Indian industrial partners to develop and nurture them as reliable supply change elements.

The lead taken by the Nation to develop indigenous sophisticated and contemporary missiles through the Integrated Guided Missile Development Programme (IGMDP) gave subject an opportunity – to be closely involved with the programme wherein it was identified as the Prime Production Agency.  This opened up a plethora of opportunities to assimilate advanced manufacturing and programme management technologies and skills.  Responding to the Concurrent Engineering Approaches adopted by DRDO in IGMDP, subject was seen as a reliable and trust worthy ally, and resulted in the induction of India’s first state-of- the-art Surface-to-Surface Missile  “PRITHVI.”  subject has delivered Prithvi to the three services as per requirements.

In its quest to fulfill the defence needs of the Indian Armed Forces, subject has forayed into the field of under water weapon systems and air-to-air missiles and associated equipment with technology support from DRDO and other global leaders in this domain.   Thus, subject is poised to cater to similar  requirements of the Indian Armed Forces, in the years to come. 

While fulfilling its role as a manufacturing agency, the domain knowledge gained has been fully exploited by the Design and Engineering Division of subject to develop value added items for its customers.  A few of the products realized are:

a)   Fagot Launcher Adapted for Milan Equipment (FLAME) – An indigenous launcher for Milan ATGM.

b)  Test Equipment for Konkurs Missile.

c)   Test Equipment for Konkurs Launcher.

d)  Counter Measure Dispensing System (CMDS), etc.

The manufacturing and testing facilities established at subject are modern and tuned to cater to the stringent Qualitative requirements of guided weapon systems.  Special process facilities such as Flow Forming, Electron Beam Welding etc. have been set up and ensure reliable inputs. Environmental test facilities as Motion Simulators, Walk-in Test Chambers etc., are utilized to test the products simulating the rigorous environmental conditions as encountered by the weapon system in operational conditions. 

Subject has been consistently incurring profits and has been nominated as a Mini Ratna – Category-I Company by the Government of India.  Showing  steady progress in its operations over the years, subject achieved a record sales turnover of Rs.10750.000 millions in 2012-13.  Subject has been flooded with orders worth over Rs.180000.000 millions, in view of its professional competence in manufacturing products and providing services, which are comparable with international Quality system standards.

Led by luminaries like Dr. Krishna Menon, Dr. Raja Ramanna, Air Vice Marshal Dastur and a host of other brilliant scientists and engineers in the past, the Company is presently  headed by Shri S N Mantha, as Chairman and Managing Director.

Keeping pace with the modernization of the Indian Armed Forces, subject is poised to enter new avenues of manufacturing covering a wide range of weapon systems such as: Surface to Air Missiles, Air Defence Systems, Heavy Weight Torpedoes, Air to Air Missiles etc., making it a world class defence equipment manufacturer. subject has also entered into the new area of Refurbishment of vintage missiles, which is one more feather in its cap.

In recognition of its outstanding work and quality products, the company and its members have been consistently winning National awards in a wide variety of areas as under:-

DRDO Technology Transfer and Assimilation Award.	-	1996
Raksha Mantri Award  for Import Substitution and Innovation	-	2002-03
Raksha Mantri’s Award  for Design Efforts for CMDS	-	2004-05
Raksha Mantri’s Award  for Import Substitution (IRII)	-	2005-06
Sodet Award   for CMDS	-	2005-06
FAPCCI Award for Excellence in Research and Development	-	2005-06
Golden Peacock Award for Electronics Division	-	2007
Corporate Social Responsibility Award  for Corporate Governance	-	2010-11
TOLIC Rajbhasha Shield for Official Language Implementation	-	2010-11
Raksha Mantri Award for Excellence in Group/Individual Award    Category	-	2010-11
Achievers and Leaders Award (Finance)	-	2011-12
Innovative HR Practices Award	-	2011-12
HR Leadership Award	-	2011-12

The endeavour of the Company will always be aimed at fulfilling its obligations to  the Indian Armed  Forces  and living up to the sobriquet ‘THE FORCE BEHIND PEACE’.

MILESTONES
Subject pays its highest-ever Dividend to the Government of India.	2012
Hon'ble President of India, Her Excellency Smt. Pratibha Devisingh Patil lays the foundation stone for subject's unit at Amravati, Maharashtra. This would be the first unit of the company outside Andhra Pradesh.	2011
Subject acquires production capability of Nag Missile Seekers, joins an elite group of companies across the globe producing Seekers.	2011
Subject signs largest ever defence contract with the Indian Army for manufacture and supply of Akash Surface to Air Missiles.	2011
Foundation stone laid for a unit at Visakhapatnam for manufacture of underwater weapons for the Indain Navy.	2010
Production Agency for Long Range SAM and Heavy Weight Torpedo	2008
Production of Anti Torpedo Decoy System	2007
Production of Naval Version of Strategic Missile	2004
Production of 2nd Generation ATGM	2003
Light Weight Torpedo Production	2001
Categorized as Mini Ratna-1 Company	2000
Strategic Missile Production	1994
Upgraded to Schedule B	1992
Production of Strategic ATGM	1989
Production of Schedule C	1986
Production of 2^nd Generation ATGM	1985
Prime Production Agency for IGMDP	1983
Production of 1^st Generation ATGM	1971
Established as PSU under Ministry of Defence	1970

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.61.35
UK Pound	1	Rs.100.21
Euro	1	Rs.83.52

INFORMATION DETAILS

Report Prepared by :

SMN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	7
PAID-UP CAPITAL	1~10	7
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	8
--PROFITABILIRY	1~10	8
--LIQUIDITY	1~10	8
--LEVERAGE	1~10	7
--RESERVES	1~10	8
--CREDIT LINES	1~10	7
--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
DEFAULTERS
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		67

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.