MIRA INFORM REPORT

Report Date :

29.03.2014

IDENTIFICATION DETAILS

Name :	ADITYA BIRLA CHEMICALS (INDIA) LIMITED [w.e.f.14.01.2009]
Formerly Known As :	BIHAR CAUSITC AND CHEMICALS LIMITED
Registered Office :	“Ghanshyam Kunj” Garhwa Road, P.O. Rehla, District Palamau – 822124, Jharkhand
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	20.07.1976
Com. Reg. No.:	03-001255
Capital Investment / Paid-up Capital :	Rs. 233.865 Millions
CIN No.: [Company Identification No.]	L24100JH1976PLC001255
TAN No.: [Tax Deduction & Collection Account No.]	RCHB00299F
PAN No.: [Permanent Account No.]	AAACB7747A
Legal Form :	A Public Limited Liability company. The company’s Share are Listed on the Stock Exchange.
Line of Business :	Manufacture of chlor alkali chemical product.
No. of Employees :	929 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

A (62)

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 15000000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well-established company having fine track record. The rating reflects healthy financial risk profile supported by sound liquidity position and fair profitability of the company. 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 – 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	CARE
Rating	Long term rating: AA-
Rating Explanation	High degree of safety and low credit risk.
Date	20.01.2014

Rating Agency Name	CARE
Rating	Short term rating: A1+
Rating Explanation	Very strong degree of safety and lowest credit risk.
Date	20.01.2014

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 (91-5446-252044)

LOCATIONS

Registered Office / Factory :	“Ghanshyam Kunj” Garhwa Road, P.O. Rehla, District Palamau – 822124, Jharkhand, India
Tel. No.:	91-6584-262211 / 262221 / 262488
Fax No.:	91-6584-262491  / 262205
E-Mail :	akash.mishra@adityabirla.com abcil.investors@adityabirla.com bb.dixit@adityabirla.com iqbal.khan@adityabirla.com
Website :	www.adityabirlachemicalsindia.com
Corporate Office :	1A, Aditya Birla Centre, SK Ahire Marg, Worli, Mumbai – 400030, Maharashtra, India
Representative Office :	Shangai representative Office, Room 2011, ‘B’ Block, Far East International Plaza 317, Xianxia Road, Shangai – 200051
Tel. No.:	86-21-62351520/ 21
Fax No.:	86-21-62351522
Factory 2 :	Renukoot Chemical Division, P. O. Renukoot, District – Sonbhadra 231217, Uttar Pradesh, India.
Tel. No.:	91-5446-252044 / 55 / 75
Fax No.:	91-5446-252088
E-Mail :	vijaykumar.agrawal@adityabirla.com
Branch offices :	Located at Mumbai  Kolkata Delhi Ranchi

DIRECTORS

As on 31.03.2013

Name :	Mr. Vijaykumar Ramratan Agarwal
Designation :	Managing Director
Address :	MD Bungalow, Aditya Birla Chemicals (India) Limited, Renukoot Chemical Division, Renukoot, Sonebhadra – 231217, Uttar Pradesh, India
Date of Birth/Age :	25.06.1957
Qualification :	B.Com
Date of Appointment :	08.08.2012
DIN No.:	05100753

Name :	Mr. Askaran Agarwala
Designation :	Director
Address :	Flat No. 3, Haveli LD Ruparel Marg, Mumbai – 400006, Maharashtra, India
Date of Birth/Age :	01.07.1933
Qualification :	B.Com, FCA, LLB
Date of Appointment :	09.05.2001
DIN No.:	00023684
Name :	Mr. Biswajit Choudhuri
Designation :	Director
Address :	Rajani Kusumalay Nandlal Jiu Road, Off 119, Sarat Bose Road, Kolkata – 700026, West Bengal, India
Date of Birth/Age :	30.04.1942
Qualification :	B. Tech (Hons) FICWA, F.I.I.B, C. Engineering, M.I.E.E. (London)
Date of Appointment :	30.01.2002
DIN No.:	00149018
Name :	Mr. Prem Prakash Sharma
Designation :	Director
Address :	410/B Road No. 5B, Ashok Nagar PS Argora Ranchi - 834002, Jharkhand, India
Date of Birth/Age :	18.07.1948
Qualification :	M.A. (Economics), L.L.B
Date of Appointment :	30.01.2002
DIN No.:	00788601
Name :	Mr. Jagdish Chandar Chopra
Designation :	Director
Address :	Flat No. 4, Revills, 45 Cuffe Parade, Mumbai – 400005, Maharashtra, India
Date of Birth/Age :	04.03.1931
Qualification :	M.A. (Economics)
Date of Appointment :	17.10.2006
DIN No.:	00041143
Name :	Mr. Lalitkumar Shantaram Naik
Designation :	Director
Address :	2 Pujari Apartments Off Sion Trombay Road, Deonar, Mumbai – 400088, Maharashtra, India
Date of Birth/Age :	18.10.1961
Qualification :	Chemical Engineer (IIT) PG in Management (IIM Ahmedabad)
Date of Appointment :	01.04.2010
DIN No.:	02943588
Name :	Mr. Girish Mohanlal Dave
Designation :	Director
Address :	Sethna Building, 1^st Floor, 55 Maharshi Karva Road, Marine Lines, Mumbai – 400002, Maharashtra, India
Date of Birth/Age :	12.07.1938
Qualification :	M.Com, LLB, CAIIB
Date of Appointment :	16.04.2011
DIN No.:	00036455
Name :	Mr. A. K. Agarwala
Designation :	Director
Name :	Mr. K C Jhanwar
Designation :	Director

KEY EXECUTIVES

Name :	Mr. Akash Mishra
Designation :	Company Secretary
Address :	Qtr. No. A/101 BCCL Colony, Po and PS Rehla Palamau - 822124, Jharkhand, India
Date of Birth/Age :	24.09.1970
Date of Appointment :	01.09.2006
PAN No.:	AEZPM3803N
Name :	B. B. Dixit
Designation :	Unit Head (Rehla)

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 31.12.2013

Category of Shareholder	Total No. of Shares	Percentage of Holding
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Bodies Corporate	13169987	56.31
Sub Total	13169987	56.31
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	13169987	56.31
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	1500	0.01
Financial Institutions / Banks	2500	0.01
Central Government / State Government(s)	2032000	8.69
Foreign Institutional Investors	2339828	10.01
Sub Total	4375828	18.71
(2) Non-Institutions
Bodies Corporate	526901	2.25
Individuals
Individual shareholders holding nominal share capital up to Rs. 0.100 Million	3215099	13.75
Individual shareholders holding nominal share capital in excess of Rs. 0.100 Million	1953849	8.35
Any Others (Specify)	144836	0.62
Non Resident Indians	107347	0.46
Clearing Members	37489	0.16
Sub Total	5840685	24.97
Total Public shareholding (B)	10216513	43.69
Total (A)+(B)	23386500	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)	23386500	0.00

BUSINESS DETAILS

Line of Business :

Manufacture of chlor alkali chemical product.

Products :

ITC Code	Product Descriptions
281510	Caustic Soda Lye
280110	Liquid Chlorine
280610	Hydrochloric Acid

GENERAL INFORMATION

No. of Employees :

929 (Approximately)

Bankers :

Ø HDFC Bank Limited, HDFC Bank House, Senapati Bapat Marg, Lower Parel (West), Mumbai – 400013, Maharashtra, India

Ø Bank of Baroda

Ø State Bank of India

Ø AXIS Bank Limited

Facilities :

Secured Loan	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions)
Long-term Borrowings
Term Loans From Banks	5859.375	6822.875
Short-term borrowings
Loans repayable on demand From Banks	1056.188	252.754
Total	6915.563	7075.629
NOTE: LONG-TERM BORROWINGS (i) Security and Terms of Term loan from Banks amounting to Rs. 5859.375 Millions (Previous Year Rs. 6796.875 Millions) (a) Nature of Securities Secured by way of first charge to the Bank on all the movable plant and machinery both present and future being movable properties, now stored at or being stored installed at Rehla, Jharkhand and Renukoot , Uttar Pradesh and second charge on all the stock in trade both present and future and all the book debts, outstanding money receivables, claims and bills due / to be due to the company. (b) Term of Repayment Repayable 29 (Previous year 32) quarterly instalment of Rs.234.375 Millions each from August 31, 2012 alongwith interest of 11.10% p.a. (Previous Year 11.5% p.a.) (ii) Security & Terms of Term loan from Banks amounting to Rs Nil (Previous Year Rs 26.000 Millions) (a) Nature of Securities Term loan by way of first exclusive charge to the Bank all the stock in trade both present and future consisting of raw materials, finished goods, goods in process of manufacturing and all the book debts, outstanding moneys receivable, claims and bills etc. & all the movable plant and machinery both present and future stored at or at present installed at Garhwa Road , Rehla, Distt: Palamau. (b) Term of Repayment Repayable 1 (Previous year 4 equal instalments of Rs.28.000 Millions and last instalmnent of Rs.26.000 Millions) last instalment of Rs.26.000 Millions on April 1, 2013 alongwith interest of 8% p.a. SHORT-TERM BORROWINGS Security (i) Rs.19.985 Millions Secured against pledge of Fixed Deposits of the Company. (ii) Rs.1036.203 Millions against exclusive first charge by way of hypothecation on all stock in trade both present & future consisting of raw materials, finished goods, goods in process and all book debts, outstanding money receivables, claims & bills due / to be due to the Company.

Banking Relations :	--
Financial Institution :	IDBI Trusteeship Services Limited, Asian Building, Ground Floor, 17, R. Kamani Marg, Ballard Estate, Mumbai – 400001, Maharashtra, India
Statutory Auditors :
Name :	Khimji Kunverji and Company Chartered Accountants
Address :	Mumbai, Maharashtra, India
Cost Auditors :
Name :	R Nanabhoy and Company Cost Accountants
Address :	Kolkata, West Bengal, India
Holding Company :	Hindalco Industries Limited
Fellow Subsidiaries Company:	Aditya Birla Minerals Limited Al Dotcom Sdn. BHD. Albrasilis - Aluminio do Brasil Industriae Comercia Ltda Alcom Nikkei Specialty Coatings Sdn Berhad Aluminum Company of Malaysia Berhad Aluminum Upstream Holdings LLC Aluminium Norf GmbH 4260848 Canada Inc. AV Metals Inc, Canada AV Minerals BV, Netherland Birla Maroochydore Pty Limited Birla Mt Gordon Pty Limited Birla Nifty Pty Limited Birla Resources Pty Limited Consórcio Candonga (Unincorporated Joint venture) Dahej Harbour and Infrastructure Limited Deutsche Aluminium Verpackung Recycling GmbH(J-V) East Coast Bauxite Mining Company Private Limited Eurofoil, Inc. Evermore Recycling LLC France Aluminium Recyclage SA Hindalco . Almex Aerospace Limited Hindalco Guinea SARL 4260856 Canada Inc. Logan Aluminium Inc. Lucknow Finance Company Limited Mauda Energy Limited Minerals and Minerals Limited MiniMRF LLC (J-V) Novelis Acquisitions LLC Novelis North America Holdings Inc. Novelis (India) Infotech Limited Novelis AG Novelis Aluminium Beteiligungsgesellschaft mbH Novelis Aluminium Holding Company 8018227 Canada Inc. Novelis Brand LLC 8018243 Canada Limited Novelis Corporation (Texas) Novelis Cast House Technology Limited Novelis Deutschland GmbH Novelis de Mexico SA de CV Novelis Europe Holdings Limited Novelis do Brasil Ltda Novelis Inc. Novelis (Shanghai) Aluminum Trading Company Novelis Korea Limited Novelis Italia SpA Novelis (China) Aluminum Products Company Limited Novelis Lamines France SAS Novelis No. 1 Limited Partnership Novelis Madeira, Unipessoal, Lda Novelis PAE SAS Novelis PAE Corporation Novelis South America Holdings LLC Novelis Services Limited Novelis MEA Limited Novelis Switzerland SA Novelis UK Limited Renuka Investments and Finance Limited Renukeshwar Investments and Finance Limited Suvas Holdings Limited Tubed Coal Mines Limited Utkal Alumina International Limited Novelis Delaware LLC Novelis Sheet Ingot GmbH Novelis Vietnam Company Limited

CAPITAL STRUCTURE

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
24500000	Equity Shares	Rs. 10/- each	Rs. 245.000 Millions
50000	11% Redeemable Cumulative Preference Shares	Rs.100/- each	Rs. 5.000 Millions
	Total		Rs. 250.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
23386500	Equity Shares	Rs.10/- each	Rs. 233.865 Millions

NOTE:

12,004,987 Equity Shares (Previous year 12,004,987) of the Company are held by Hindalco Industries Limited, the holding company, 775,000 shares (Previous year 775,000) are held by Renuka Investment & Finance Limited (Subsidiary of Hindalco Industries Limited).

The company has only one class of share referred as equity share having a par value of Rs.10/-. Each holder of equity share is entitled to same right in all respect.

Reconciliation of the number of Shares outstanding

Particulars	31.03.2013
	No.	Rs. In Millions
Equity shares outstanding at the beginning of the year	23,386,500	233.865
Add : During the year	--	--
Equity shares outstanding at the end of the year	23,386,500	233.865

Shareholder holding more than 5 percent shares of the Company:

Name of shareholder	31.03.2013
	Number of Shares held	Percentage of Holding
Hindalco Industries Limited	12,004,987	51.33
Renuka Investment and Finance Limited (Subsidiary of Hindalco Industries Limited)	775,000	3.31
Fidelity Puritan Trust-Fidelity Low - Priced Stock Fund	2,338,600	10.00
Bihar State Industrial Development Corporation Limited	2,028,000	8.67

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	233.865	233.865	233.865
(b) Reserves & Surplus	3537.600	3368.461	3286.611
(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)	3771.465	3602.326	3520.476
(3) Non-Current Liabilities
(a) long-term borrowings	5859.375	6822.875	138.000
(b) Deferred tax liabilities (Net)	736.095	475.442	359.357
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	89.601	93.060	14.666
Total Non-current Liabilities (3)	6685.071	7391.377	512.023
(4) Current Liabilities
(a) Short term borrowings	1335.125	252.754	10.506
(b) Trade payables	180.082	80.599	15.184
(c) Other current liabilities	2524.128	1542.026	275.235
(d) Short-term provisions	64.811	41.689	36.393
Total Current Liabilities (4)	4104.146	1917.068	337.318
TOTAL	14560.682	12910.771	4369.817
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	10592.659	9314.335	2405.815
(ii) Intangible Assets	185.045	209.706	1.360
(iii) Capital work-in-progress	212.455	362.067	87.941
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	50.443	171.467	204.829
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	380.177	294.542	53.330
(e) Other Non-current assets	42.657	319.263	307.635
Total Non-Current Assets	11463.436	10671.380	3060.910
(2) Current assets
(a) Current investments	14.669	16.929	255.407
(b) Inventories	905.700	664.111	195.556
(c) Trade receivables	1042.690	754.405	253.638
(d) Cash and cash equivalents	300.351	357.561	466.239
(e) Short-term loans and advances	298.337	248.609	94.157
(f) Other current assets	535.499	197.776	43.910
Total Current Assets	3097.246	2239.391	1308.907
TOTAL	14560.682	12910.771	4369.817

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income	8028.984	6145.408	2378.313
		Other Income	105.204	112.307	151.959
		TOTAL (A)	8134.188	6257.715	2530.272
Less	EXPENSES
		Cost of Raw Materials Consumed	3986.072	3164.576	1015.436
		Purchases of Stock-in-Trade	415.552	11.345	1.027
		Changes in Inventories	(93.253)	(32.139)	(0.493)
		Employee Benefits Expenses	436.286	349.414	139.196
		Power and Fuel	375.875	373.446	195.037
		Other Expenses	911.560	650.023	235.711
		Exceptional items : Loss on discarded assets	141.063	227.398	0.000
		TOTAL (B)	6173.155	4744.063	1585.914
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		1961.033	1513.652	944.358
Less	FINANCIAL EXPENSES (D)		903.400	806.990	26.387
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		1057.633	706.662	917.971
Less/ Add	DEPRECIATION/ AMORTISATION (F)		600.224	540.194	203.626
	PROFIT BEFORE TAX (E-F) (G)		457.409	166.468	714.345
Less	TAX (H)		260.921	123.528	91.349
	PROFIT AFTER TAX (G-H) (I)		196.488	42.940	622.996
	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		2790.400	2761.100	2151.700
	APPROPRIATIONS
		Proposed Dividend	23.400	11.700	11.700
		Tax on Proposed Dividend	3.900	1.900	1.900
	BALANCE CARRIED TO THE B/S		2959.600	2790.400	2761.100
	EARNINGS IN FOREIGN CURRENCY
		Export of goods on FOB basis	730.858	490.705	4.778
	IMPORTS
		Raw materials	235.484	80.114	0.000
		Capital Goods & Components	214.719	44.252	42.900
	TOTAL IMPORTS		450.203	124.366	42.900
	Earnings Per Share (Rs.)		8.40	1.84

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	2.42	0.69	24.62
Net Profit Margin (PBT/Sales)	(%)	5.70	2.71	30.04
Return on Total Assets (PBT/Total Assets}	(%)	3.20	1.34	13.14
Return on Investment (ROI) (PBT/Networth)		0.12	0.05	0.20
Debt Equity Ratio (Total Debt /Networth)		1.91	1.96	0.04
Current Ratio (Current Asset/Current Liability)		0.75	1.17	3.88

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2011	31.03.2012	31.03.2013
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Share Capital	233.865	233.865	233.865
Reserves & Surplus	3,286.611	3,368.461	3,537.600
Net worth	3,520.476	3,602.326	3,771.465
long-term borrowings	138.000	6,822.875	5,859.375
Short term borrowings	10.506	252.754	1,335.125
Total borrowings	148.506	7,075.629	7,194.500
Debt/Equity ratio	0.042	1.964	1.908

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	2378.313	6145.408	8028.984
		158.394	30.650

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	2378.313	6145.408	8028.984
Profit	622.996	42.940	196.488
	26.19%	0.70%	2.45%

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	No
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

FINANCIAL PERFORMANCE

The journey of excellence of the Company has been furthered by commissioning of its expansion of Caustic Soda project at Renukoot (U.P.). It is commendable that despite the pressure of increasing input costs for power, coal and other raw materials and the unstable supply of power from the grid, the Company has succeeded in maintaining its excellent business performance.

The financial data of the Company for the previous year are inclusive of the financial data of Renukoot Chemical Division from post acquisition period i.e. 24th May 2011; hence these are not fully comparable with the current year’s financial data. The Net Sales of the Company grew significantly from Rs. 6090.800 Millions in the F.Y. 2011-12 to Rs. 7552.100 Millions in F.Y. 2012- 13. The Company also registered a impressive rise in its operating profit, from Rs. 1513.700 Millions in F.Y. 2011-12 to Rs. 1961.000 Millions in F.Y. 2012-13. The interest cost was up from Rs. 807.000 Millions in F.Y. 2011-12 to Rs. 903.400 Millions in F.Y. 2012-13. Depreciation expenses also increased from Rs. 540.200 Millions in F.Y. 2011-12 to Rs. 600.200 Millions in F.Y. 2012-13. These factors led to a higher profit before tax at Rs. 457.400 Millions, against the preceding year’s Rs. 166.500 Millions. After tax adjustment, the net profit significantly soared to Rs. 196.500 Millions, compared to Rs. 42.900 Millions in the previous year.

AWARDS AND ACCOLADES

The Company has received the .Environment Excellence Gold Award- 2012. in Chemical sector by Green Tech Foundation. Moreover, for the exemplary work in communities, the Company has bagged Company received the .ICC Award for Social Responsibility 2012. For outstanding contribution towards Agriculture and Watershed Development.

MANAGEMENT DISCUSSION AND ANALYSIS REPORT

INDUSTRY DEVELOPMENTS AND OUTLOOK

Globally Caustic Soda Industry faced a challenging year. Consequent to the slowdown in housing sector, the demand of PVC declined, leading to lower chlorine demand. This had an adverse impact on the operating rates of caustic soda plant. Caustic soda production in China grew by only 6% in 2012 as compared to 16% in 2011.

Global demand for caustic increased by 1.8% in 2012, reaching 63.3 Million Tons. Global capacity stood at 94 Million Tons with an average operating rate of around 67%.

Caustic Soda production in India declined by 1.5% and touched 2.49 Million Tons in financial year 2012-13. Chlorine consumption growth in India was low as Ethylene Dichloride imports into India continued. This impacted the production of Caustic soda, where the industry average operating rate has been around 80%.

Caustic Soda consumption in India is expected to grow in line with growth of user industries such as Alumina and Textiles.

Their Company has completed the expansion of capacity at Renukoot by 145 TPD.

Management is hopeful the leadership position of the Company will be reinforced in the coming years by the measures under way.

FINANCIAL AND OPERATIONAL PERFORMANCE

FINANCIAL PERFORMANCE HIGHLIGHTS

The financial data of the Company for the previous year are inclusive of the financial data of Renukoot Chemical Division from post-acquisition period, i.e. 24th May 2011; hence these are not fully comparable with the current year’s financial data. The gross turnover for the year under review was Rs. 8408.500 Millions as compared to Rs. 6651.800 Millions in the previous year, an increase of 26%. The profit before interest, depreciation and tax was Rs. 1961.000 Millions. After providing Rs. 903.400 Millions for interest, Rs. 600.200 Millions for depreciation and Rs. 260.900 Millions for taxes, net profit for the year was Rs. 196.500 Millions. Earnings per share was Rs. 8.40 compared with Rs. 1.84 in last year and return on shareholders. Funds was 5.21% vis-à-vis 1.19% last year.

Operational Performance Highlights

The average production of Caustic Soda for the year 2012-13 was 512 TPD. During the year under review, average power generation was 59.66 MWH, with a Plant Load factor of 75%. The net turnover, at Rs. 7552.100 Millions as compared to Rs. 6090.800 Millions in the previous year, reflects a rise of 24%. The Company’s good performance is due to optimum utilization of plant capacity, optimization of process parameters and various cost reduction initiatives.

Interest cost was at Rs. 903.400 Millions, as compared to Rs. 807.000 Millions in the previous year.

The Company continues to pay MAT under Section 115 JB of the IT Act on account of the Tax incentive under Section 80- IA and higher depreciation under Income Tax Act.

BACKGROUND

Subject is subsidiary company of Hindalco Limited - a leading aluminium company of India having global operations. The company is engaged in the business of chloro chemicals having plant and registered office at Ghanshyam Kunj, Garhwa Road, Rehla, District Palamau, Jharkhand.

In the financial year 2011-12, the company acquired Chloro Chemical Division and salt works of Kanoria Chemicals and Industires Limited situated respectively at Renukoot (Uttar Pradesh) and Jhangi (Gujarat) (articulated as Renukoot Chemical Division or .RCD.) with effect from May 24, 2011 (the effective date.). The assets, liabilities, revenue, expenses and other details in the financial statements for the previous year include numbers/details of RCD from the effective date. The corresponding figures and details of previous year, are therefore, not fully comparable with those for the year under report which include items of RCD for full year.

UNSECURED LOAN

PARTICULARS	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions)
Short-term borrowings
Loans repayable on demand From Others	278.937	0.000
Total	278.937	0.000

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10469106	30/12/2013	3,000,000,000.00	IDBI TRUSTEESHIP SERVICES LIMITED	ASIAN BLDG., GROUND FLOOR, 17, R.KAMANI MARG, BALLARD ESTATE, MUMBAI, MAHARASHTRA - 400001, INDIA	B93106797
2	10344876	10/02/2012	7,500,000,000.00	IDBI TRUSTEESHIP SERVICES LIMITED	ASIAN BLDG., GROUND FLOOR, 17, R.KAMANI MARG, BALLARD ESTATE, MUMBAI, MAHARASHTRA - 400001, INDIA	B36017838
3	10290701	05/10/2013 *	1,700,000,000.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI, MAHARASHTRA - 400013, INDIA	B90026741

* Date of charge modification

CONTINGENT LIABILITIES:

(Rs. in millions)

PARTICULARS	31.03.2013
Contingent Liabilities not provided for in respect of the following:
Outstanding Bank Guarantees (Against which Rs. 31.600 Millions has been deposited as FDR with Banks, Previous year Rs. 40.600 Millions)	178.709
Claims/Disputed liabilities against the Company not acknowledged as debt
a) Annual Minimum Guarantee Electricity charges & delayed payment surcharge thereon against which Rs.10.000 Millions (previous year Rs.10.000 Millions) has been deposited (The order of Consumer Grievance Redressal Forum relating to Annual Minimum Guarantee case was challenged by JSEB before Ranchi High Court. On hearing, the Ranchi High Court directed JSEB to raise the bill in accordance with the Forum’s order subject to final adjudication of pending writ. Complying with Forum’s order, JSEB has raised bill which involved a refund of Rs 1.780 Millions to the Company. Since the writ is pending before the Court, contingent liability of Rs.656.284 Millions has been disclosed in the accounts).	656.284
Delayed payment of surcharge on the amount of fuel surcharge arrears	48.363
Amount claimed by the Kandla Port Trust not acknowledge by company, matter is pending before the Court.	38.260
Income Tax
AY 2007.08 for which the Company has filed appeal with CIT (Appeals) and Petition u/s 154 has been filed for considering correct amount of TDS & Advance Tax	19.702
AY 2008.09 for which the Company has filed appeal with CIT (Appeals) and Petition u/s 154 has been filed for considering correct amount of TDS	35.732
AY2010-11 for which the Company has filed appeal with CIT (Appeals) and Petition u/s 154 has been filed for reducing demand (Against which Rs.1.909 Millions paid)	14.178
Various other cases for which the Company has filed appeal with CIT (Appeals)	0.844
Liquidated damage and interest claimed by BSIDC not acknowledged by the Company	15.720
Compensation payable against various labour cases pending with various Courts	15.600
Incremental Lease Rent with Interest to Tata Motors Limited. as per the order of High court	4.242
Sales Tax AY 2003-04 for which the Company has filed writ no.1811/2007 before Allahabad High Court against Dy Commissioner(A), Sonebhadra Order (due to non-submission of certificate of Trade tax check post at Nepal Border Rs.0.163 Million was deposited)	1.086
Excise
For the Period (2000-01 to 2006-07): Demand of Excise duty on clearance of SBP to M/s UNICEF without payment of Excise duty under Notification No. 108/95 C.E. Case is pending before CESTAT, New Delhi	6.042
For the Period (June.03- March. 07): Case against demand raised for excise duty is pending before CESTAT, New Delhi	53.346
For the Period (April.04- September.08): Case against demand raised for excise duty is pending before CESTAT, Kolkata	52.570
Various other cases pending before excise department, high Court & CESTAT	1.476
Service tax
Demand of Service Tax for the period April. 05- June. 06. Cases were pending before CESTAT, New Delhi.	14.121
Demand of penalty on service tax on banking and other financial services availed by company for issue of FCCB. Cases were pending before CESTAT, New Delhi.	2.511

UNAUDITED FINANCIAL RESULT FOR THE QUARTER ENDED DECEMBER 31, 2013

(Rs. in millions)

Particulars	Three months ended on		Nine months ended on
	31.03.2013	30.09.2013	31.12.2013
(a) Net Sales / Income from operations	2756.968	2335.545	7297.082
(b) Other Operating Income	111.777	337.328	547.109
Total Income	2868.744	2672.873	7844.190
Expenditure
a) Changes in Inventories of finished Goods, Work in Progress and stock in trade	(41.411)	39.009	40.813
b) Cost of Material consumed	1499.072	1228.953	3871.629
c) Purchase of stock in trade	91.710	307.106	475.098
d) Employees benefits expenses	168.034	133.819	424.489
e) Depreciation and Amortization	183.491	178.146	531.161
f) Other expenditure
i) Power and Fuel	191.077	179.175	470.878
ii) Other expenditure	308.749	234.503	709.618
Total	24007.21	2300.712	6523.685
Profit from operations before other income, interest and exceptional Items	468.023	372.161	1320.505
Other income	8.695	23.502	81.490
Profit before interest and exceptional Items	476.718	395.663	1401.995
Finance charges	231.686	212.548	657.292
Profit after Interest but before Exceptional Items	245.032	183.115	744.7063
Exceptional Items	0.000	0.000	0.000
Profit (+)/Loss(-) from Oridinary Activities before tax	245.032	183.115	744.703
Tax expense	81.467	59.104	254.701
Net Profit (+)/Loss(-) from Ordinary Activities after tax	163.565	124.011	490.002
Paid up equity share capital (Face value of Rs.10/- per share)	233.865	233.865	233.865
Reserves and reserves	--	--	--
Earnings per share (EPS)
(a) Basic and diluted EPS before Extraordinary items for the period, for the year to date and for the previous year (not to be annualised)	6.99	5.30	20.95
Public shareholding
Number of shares*	10216513	10216513	10216513
Percentage of shareholding	44%	44%	44%
Promoters and Promoters group Shareholding-
a) Pledged /Encumbered
Number of shares	Nil	Nil	Nil
Percentage of shares (as a % of total shareholding of the promoter and promoter group)	Nil	Nil	Nil
Percentage of shares (as a % of total share capital of the company)	Nil	Nil	Nil
b) Non Encumbered
Number of shares	13169987	13169987	13169987
Percentage of shares (as a % of total shareholding of the promoter and promoter group)	100%	100%	100%
Percentage of shares (as a % of total share capital of the company)	56%	56%	56%

B	Investor complaints
	Pending at the beginning of the quarter	Nil
	Received during the quarter	Nil
	Disposed of during the quarter	Nil
	Remaining unresolved at the end of the quarter	Nil

Note:

The above unaudited results have been recommended by the Audit Committee and approved by the Board of Directors at their meeting held on February 11, 2014.

The unaudited financial results have been prepared on the basis of same accounting policies which were followed in preparation of financial results for the year ended March 31, 2013.

Provision for Wealth tax and MAT Credit Entitlement, if any will be reviewed and made at the close of the year.

Segment Reporting the Company is primarily engaged in the business of Chlor Alkali Chemicals. Since the inherent nature of these activities is governed by the same act of risks and returns, there is no reportable primary and secondary segment.

Net sales include sale of Power to State Electricity Board for the amount detailed below:

Particulars	Three months ended on		Nine months ended on
	31.03.2013	30.09.2013	31.12.2013
UP State Electricity Board	1.087	1.370	6.037
Jharkhand State Electricity Board	0.415	1.332	1.965

Vide Business Transfer Agreement dated May 31, 2013, the Company has acquired the business comprising of Chlor Alkali and Phosphoric Acid Plant at Kaswar (Karnataka) and Salt Works at Singach (Gujarat) with effect from September 1, 2013 (effective date) from Solaris Chemiec Industries Limited on slump sale basis at total cash consideration of Rs. 1530.000 Millions. The results of the Company for the quarter and nine month ended December 31, 2013 include the results of the said acquisition from effective date and hence current period and year-to-date numbers are not fully comparable with earlier periods.

In accordance with Clause 41 of the listing Agreement the Statutory Auditors have carried out a limited review of the financial results of the quarter ended December 31, 2013.

Previous period’s figures have been regrouped wherever necessary to conform to current period’s classification.

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 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.60.10
UK Pound	1	Rs.99.85
Euro	1	Rs.82.58

INFORMATION DETAILS

Information Gathered by :	NYA
Report Prepared by :	KVT

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	7
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	7
--LEVERAGE	1~10	7
--RESERVES	1~10	7
--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	YES
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		62

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	--

MIRA INFORM REPORT

Report Date :

29.03.2014

IDENTIFICATION DETAILS

Name :	ADITYA BIRLA CHEMICALS (INDIA) LIMITED [w.e.f.14.01.2009]
Formerly Known As :	BIHAR CAUSITC AND CHEMICALS LIMITED
Registered Office :	“Ghanshyam Kunj” Garhwa Road, P.O. Rehla, District Palamau – 822124, Jharkhand
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	20.07.1976
Com. Reg. No.:	03-001255
Capital Investment / Paid-up Capital :	Rs. 233.865 Millions
CIN No.: [Company Identification No.]	L24100JH1976PLC001255
TAN No.: [Tax Deduction & Collection Account No.]	RCHB00299F
PAN No.: [Permanent Account No.]	AAACB7747A
Legal Form :	A Public Limited Liability company. The company’s Share are Listed on the Stock Exchange.
Line of Business :	Manufacture of chlor alkali chemical product.
No. of Employees :	929 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

A (62)

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 15000000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well-established company having fine track record. The rating reflects healthy financial risk profile supported by sound liquidity position and fair profitability of the company. 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 – 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	CARE
Rating	Long term rating: AA-
Rating Explanation	High degree of safety and low credit risk.
Date	20.01.2014

Rating Agency Name	CARE
Rating	Short term rating: A1+
Rating Explanation	Very strong degree of safety and lowest credit risk.
Date	20.01.2014

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 (91-5446-252044)

LOCATIONS

Registered Office / Factory :	“Ghanshyam Kunj” Garhwa Road, P.O. Rehla, District Palamau – 822124, Jharkhand, India
Tel. No.:	91-6584-262211 / 262221 / 262488
Fax No.:	91-6584-262491  / 262205
E-Mail :	akash.mishra@adityabirla.com abcil.investors@adityabirla.com bb.dixit@adityabirla.com iqbal.khan@adityabirla.com
Website :	www.adityabirlachemicalsindia.com
Corporate Office :	1A, Aditya Birla Centre, SK Ahire Marg, Worli, Mumbai – 400030, Maharashtra, India
Representative Office :	Shangai representative Office, Room 2011, ‘B’ Block, Far East International Plaza 317, Xianxia Road, Shangai – 200051
Tel. No.:	86-21-62351520/ 21
Fax No.:	86-21-62351522
Factory 2 :	Renukoot Chemical Division, P. O. Renukoot, District – Sonbhadra 231217, Uttar Pradesh, India.
Tel. No.:	91-5446-252044 / 55 / 75
Fax No.:	91-5446-252088
E-Mail :	vijaykumar.agrawal@adityabirla.com
Branch offices :	Located at Mumbai  Kolkata Delhi Ranchi

DIRECTORS

As on 31.03.2013

Name :	Mr. Vijaykumar Ramratan Agarwal
Designation :	Managing Director
Address :	MD Bungalow, Aditya Birla Chemicals (India) Limited, Renukoot Chemical Division, Renukoot, Sonebhadra – 231217, Uttar Pradesh, India
Date of Birth/Age :	25.06.1957
Qualification :	B.Com
Date of Appointment :	08.08.2012
DIN No.:	05100753

Name :	Mr. Askaran Agarwala
Designation :	Director
Address :	Flat No. 3, Haveli LD Ruparel Marg, Mumbai – 400006, Maharashtra, India
Date of Birth/Age :	01.07.1933
Qualification :	B.Com, FCA, LLB
Date of Appointment :	09.05.2001
DIN No.:	00023684
Name :	Mr. Biswajit Choudhuri
Designation :	Director
Address :	Rajani Kusumalay Nandlal Jiu Road, Off 119, Sarat Bose Road, Kolkata – 700026, West Bengal, India
Date of Birth/Age :	30.04.1942
Qualification :	B. Tech (Hons) FICWA, F.I.I.B, C. Engineering, M.I.E.E. (London)
Date of Appointment :	30.01.2002
DIN No.:	00149018
Name :	Mr. Prem Prakash Sharma
Designation :	Director
Address :	410/B Road No. 5B, Ashok Nagar PS Argora Ranchi - 834002, Jharkhand, India
Date of Birth/Age :	18.07.1948
Qualification :	M.A. (Economics), L.L.B
Date of Appointment :	30.01.2002
DIN No.:	00788601
Name :	Mr. Jagdish Chandar Chopra
Designation :	Director
Address :	Flat No. 4, Revills, 45 Cuffe Parade, Mumbai – 400005, Maharashtra, India
Date of Birth/Age :	04.03.1931
Qualification :	M.A. (Economics)
Date of Appointment :	17.10.2006
DIN No.:	00041143
Name :	Mr. Lalitkumar Shantaram Naik
Designation :	Director
Address :	2 Pujari Apartments Off Sion Trombay Road, Deonar, Mumbai – 400088, Maharashtra, India
Date of Birth/Age :	18.10.1961
Qualification :	Chemical Engineer (IIT) PG in Management (IIM Ahmedabad)
Date of Appointment :	01.04.2010
DIN No.:	02943588
Name :	Mr. Girish Mohanlal Dave
Designation :	Director
Address :	Sethna Building, 1^st Floor, 55 Maharshi Karva Road, Marine Lines, Mumbai – 400002, Maharashtra, India
Date of Birth/Age :	12.07.1938
Qualification :	M.Com, LLB, CAIIB
Date of Appointment :	16.04.2011
DIN No.:	00036455
Name :	Mr. A. K. Agarwala
Designation :	Director
Name :	Mr. K C Jhanwar
Designation :	Director

KEY EXECUTIVES

Name :	Mr. Akash Mishra
Designation :	Company Secretary
Address :	Qtr. No. A/101 BCCL Colony, Po and PS Rehla Palamau - 822124, Jharkhand, India
Date of Birth/Age :	24.09.1970
Date of Appointment :	01.09.2006
PAN No.:	AEZPM3803N
Name :	B. B. Dixit
Designation :	Unit Head (Rehla)

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 31.12.2013

Category of Shareholder	Total No. of Shares	Percentage of Holding
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Bodies Corporate	13169987	56.31
Sub Total	13169987	56.31
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	13169987	56.31
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	1500	0.01
Financial Institutions / Banks	2500	0.01
Central Government / State Government(s)	2032000	8.69
Foreign Institutional Investors	2339828	10.01
Sub Total	4375828	18.71
(2) Non-Institutions
Bodies Corporate	526901	2.25
Individuals
Individual shareholders holding nominal share capital up to Rs. 0.100 Million	3215099	13.75
Individual shareholders holding nominal share capital in excess of Rs. 0.100 Million	1953849	8.35
Any Others (Specify)	144836	0.62
Non Resident Indians	107347	0.46
Clearing Members	37489	0.16
Sub Total	5840685	24.97
Total Public shareholding (B)	10216513	43.69
Total (A)+(B)	23386500	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)	23386500	0.00

BUSINESS DETAILS

Line of Business :

Manufacture of chlor alkali chemical product.

Products :

ITC Code	Product Descriptions
281510	Caustic Soda Lye
280110	Liquid Chlorine
280610	Hydrochloric Acid

GENERAL INFORMATION

No. of Employees :

929 (Approximately)

Bankers :

Ø HDFC Bank Limited, HDFC Bank House, Senapati Bapat Marg, Lower Parel (West), Mumbai – 400013, Maharashtra, India

Ø Bank of Baroda

Ø State Bank of India

Ø AXIS Bank Limited

Facilities :

Secured Loan	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions)
Long-term Borrowings
Term Loans From Banks	5859.375	6822.875
Short-term borrowings
Loans repayable on demand From Banks	1056.188	252.754
Total	6915.563	7075.629
NOTE: LONG-TERM BORROWINGS (i) Security and Terms of Term loan from Banks amounting to Rs. 5859.375 Millions (Previous Year Rs. 6796.875 Millions) (a) Nature of Securities Secured by way of first charge to the Bank on all the movable plant and machinery both present and future being movable properties, now stored at or being stored installed at Rehla, Jharkhand and Renukoot , Uttar Pradesh and second charge on all the stock in trade both present and future and all the book debts, outstanding money receivables, claims and bills due / to be due to the company. (b) Term of Repayment Repayable 29 (Previous year 32) quarterly instalment of Rs.234.375 Millions each from August 31, 2012 alongwith interest of 11.10% p.a. (Previous Year 11.5% p.a.) (ii) Security & Terms of Term loan from Banks amounting to Rs Nil (Previous Year Rs 26.000 Millions) (a) Nature of Securities Term loan by way of first exclusive charge to the Bank all the stock in trade both present and future consisting of raw materials, finished goods, goods in process of manufacturing and all the book debts, outstanding moneys receivable, claims and bills etc. & all the movable plant and machinery both present and future stored at or at present installed at Garhwa Road , Rehla, Distt: Palamau. (b) Term of Repayment Repayable 1 (Previous year 4 equal instalments of Rs.28.000 Millions and last instalmnent of Rs.26.000 Millions) last instalment of Rs.26.000 Millions on April 1, 2013 alongwith interest of 8% p.a. SHORT-TERM BORROWINGS Security (i) Rs.19.985 Millions Secured against pledge of Fixed Deposits of the Company. (ii) Rs.1036.203 Millions against exclusive first charge by way of hypothecation on all stock in trade both present & future consisting of raw materials, finished goods, goods in process and all book debts, outstanding money receivables, claims & bills due / to be due to the Company.

Banking Relations :	--
Financial Institution :	IDBI Trusteeship Services Limited, Asian Building, Ground Floor, 17, R. Kamani Marg, Ballard Estate, Mumbai – 400001, Maharashtra, India
Statutory Auditors :
Name :	Khimji Kunverji and Company Chartered Accountants
Address :	Mumbai, Maharashtra, India
Cost Auditors :
Name :	R Nanabhoy and Company Cost Accountants
Address :	Kolkata, West Bengal, India
Holding Company :	Hindalco Industries Limited
Fellow Subsidiaries Company:	Aditya Birla Minerals Limited Al Dotcom Sdn. BHD. Albrasilis - Aluminio do Brasil Industriae Comercia Ltda Alcom Nikkei Specialty Coatings Sdn Berhad Aluminum Company of Malaysia Berhad Aluminum Upstream Holdings LLC Aluminium Norf GmbH 4260848 Canada Inc. AV Metals Inc, Canada AV Minerals BV, Netherland Birla Maroochydore Pty Limited Birla Mt Gordon Pty Limited Birla Nifty Pty Limited Birla Resources Pty Limited Consórcio Candonga (Unincorporated Joint venture) Dahej Harbour and Infrastructure Limited Deutsche Aluminium Verpackung Recycling GmbH(J-V) East Coast Bauxite Mining Company Private Limited Eurofoil, Inc. Evermore Recycling LLC France Aluminium Recyclage SA Hindalco . Almex Aerospace Limited Hindalco Guinea SARL 4260856 Canada Inc. Logan Aluminium Inc. Lucknow Finance Company Limited Mauda Energy Limited Minerals and Minerals Limited MiniMRF LLC (J-V) Novelis Acquisitions LLC Novelis North America Holdings Inc. Novelis (India) Infotech Limited Novelis AG Novelis Aluminium Beteiligungsgesellschaft mbH Novelis Aluminium Holding Company 8018227 Canada Inc. Novelis Brand LLC 8018243 Canada Limited Novelis Corporation (Texas) Novelis Cast House Technology Limited Novelis Deutschland GmbH Novelis de Mexico SA de CV Novelis Europe Holdings Limited Novelis do Brasil Ltda Novelis Inc. Novelis (Shanghai) Aluminum Trading Company Novelis Korea Limited Novelis Italia SpA Novelis (China) Aluminum Products Company Limited Novelis Lamines France SAS Novelis No. 1 Limited Partnership Novelis Madeira, Unipessoal, Lda Novelis PAE SAS Novelis PAE Corporation Novelis South America Holdings LLC Novelis Services Limited Novelis MEA Limited Novelis Switzerland SA Novelis UK Limited Renuka Investments and Finance Limited Renukeshwar Investments and Finance Limited Suvas Holdings Limited Tubed Coal Mines Limited Utkal Alumina International Limited Novelis Delaware LLC Novelis Sheet Ingot GmbH Novelis Vietnam Company Limited

CAPITAL STRUCTURE

As on 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
24500000	Equity Shares	Rs. 10/- each	Rs. 245.000 Millions
50000	11% Redeemable Cumulative Preference Shares	Rs.100/- each	Rs. 5.000 Millions
	Total		Rs. 250.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
23386500	Equity Shares	Rs.10/- each	Rs. 233.865 Millions

NOTE:

12,004,987 Equity Shares (Previous year 12,004,987) of the Company are held by Hindalco Industries Limited, the holding company, 775,000 shares (Previous year 775,000) are held by Renuka Investment & Finance Limited (Subsidiary of Hindalco Industries Limited).

The company has only one class of share referred as equity share having a par value of Rs.10/-. Each holder of equity share is entitled to same right in all respect.

Reconciliation of the number of Shares outstanding

Particulars	31.03.2013
	No.	Rs. In Millions
Equity shares outstanding at the beginning of the year	23,386,500	233.865
Add : During the year	--	--
Equity shares outstanding at the end of the year	23,386,500	233.865

Shareholder holding more than 5 percent shares of the Company:

Name of shareholder	31.03.2013
	Number of Shares held	Percentage of Holding
Hindalco Industries Limited	12,004,987	51.33
Renuka Investment and Finance Limited (Subsidiary of Hindalco Industries Limited)	775,000	3.31
Fidelity Puritan Trust-Fidelity Low - Priced Stock Fund	2,338,600	10.00
Bihar State Industrial Development Corporation Limited	2,028,000	8.67

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	233.865	233.865	233.865
(b) Reserves & Surplus	3537.600	3368.461	3286.611
(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)	3771.465	3602.326	3520.476
(3) Non-Current Liabilities
(a) long-term borrowings	5859.375	6822.875	138.000
(b) Deferred tax liabilities (Net)	736.095	475.442	359.357
(c) Other long term liabilities	0.000	0.000	0.000
(d) long-term provisions	89.601	93.060	14.666
Total Non-current Liabilities (3)	6685.071	7391.377	512.023
(4) Current Liabilities
(a) Short term borrowings	1335.125	252.754	10.506
(b) Trade payables	180.082	80.599	15.184
(c) Other current liabilities	2524.128	1542.026	275.235
(d) Short-term provisions	64.811	41.689	36.393
Total Current Liabilities (4)	4104.146	1917.068	337.318
TOTAL	14560.682	12910.771	4369.817
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	10592.659	9314.335	2405.815
(ii) Intangible Assets	185.045	209.706	1.360
(iii) Capital work-in-progress	212.455	362.067	87.941
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	50.443	171.467	204.829
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	380.177	294.542	53.330
(e) Other Non-current assets	42.657	319.263	307.635
Total Non-Current Assets	11463.436	10671.380	3060.910
(2) Current assets
(a) Current investments	14.669	16.929	255.407
(b) Inventories	905.700	664.111	195.556
(c) Trade receivables	1042.690	754.405	253.638
(d) Cash and cash equivalents	300.351	357.561	466.239
(e) Short-term loans and advances	298.337	248.609	94.157
(f) Other current assets	535.499	197.776	43.910
Total Current Assets	3097.246	2239.391	1308.907
TOTAL	14560.682	12910.771	4369.817

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Income	8028.984	6145.408	2378.313
		Other Income	105.204	112.307	151.959
		TOTAL (A)	8134.188	6257.715	2530.272
Less	EXPENSES
		Cost of Raw Materials Consumed	3986.072	3164.576	1015.436
		Purchases of Stock-in-Trade	415.552	11.345	1.027
		Changes in Inventories	(93.253)	(32.139)	(0.493)
		Employee Benefits Expenses	436.286	349.414	139.196
		Power and Fuel	375.875	373.446	195.037
		Other Expenses	911.560	650.023	235.711
		Exceptional items : Loss on discarded assets	141.063	227.398	0.000
		TOTAL (B)	6173.155	4744.063	1585.914
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		1961.033	1513.652	944.358
Less	FINANCIAL EXPENSES (D)		903.400	806.990	26.387
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		1057.633	706.662	917.971
Less/ Add	DEPRECIATION/ AMORTISATION (F)		600.224	540.194	203.626
	PROFIT BEFORE TAX (E-F) (G)		457.409	166.468	714.345
Less	TAX (H)		260.921	123.528	91.349
	PROFIT AFTER TAX (G-H) (I)		196.488	42.940	622.996
	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		2790.400	2761.100	2151.700
	APPROPRIATIONS
		Proposed Dividend	23.400	11.700	11.700
		Tax on Proposed Dividend	3.900	1.900	1.900
	BALANCE CARRIED TO THE B/S		2959.600	2790.400	2761.100
	EARNINGS IN FOREIGN CURRENCY
		Export of goods on FOB basis	730.858	490.705	4.778
	IMPORTS
		Raw materials	235.484	80.114	0.000
		Capital Goods & Components	214.719	44.252	42.900
	TOTAL IMPORTS		450.203	124.366	42.900
	Earnings Per Share (Rs.)		8.40	1.84

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	2.42	0.69	24.62
Net Profit Margin (PBT/Sales)	(%)	5.70	2.71	30.04
Return on Total Assets (PBT/Total Assets}	(%)	3.20	1.34	13.14
Return on Investment (ROI) (PBT/Networth)		0.12	0.05	0.20
Debt Equity Ratio (Total Debt /Networth)		1.91	1.96	0.04
Current Ratio (Current Asset/Current Liability)		0.75	1.17	3.88

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2011	31.03.2012	31.03.2013
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Share Capital	233.865	233.865	233.865
Reserves & Surplus	3,286.611	3,368.461	3,537.600
Net worth	3,520.476	3,602.326	3,771.465
long-term borrowings	138.000	6,822.875	5,859.375
Short term borrowings	10.506	252.754	1,335.125
Total borrowings	148.506	7,075.629	7,194.500
Debt/Equity ratio	0.042	1.964	1.908

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	2378.313	6145.408	8028.984
		158.394	30.650

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	2378.313	6145.408	8028.984
Profit	622.996	42.940	196.488
	26.19%	0.70%	2.45%

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	No
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

FINANCIAL PERFORMANCE

The journey of excellence of the Company has been furthered by commissioning of its expansion of Caustic Soda project at Renukoot (U.P.). It is commendable that despite the pressure of increasing input costs for power, coal and other raw materials and the unstable supply of power from the grid, the Company has succeeded in maintaining its excellent business performance.

The financial data of the Company for the previous year are inclusive of the financial data of Renukoot Chemical Division from post acquisition period i.e. 24th May 2011; hence these are not fully comparable with the current year’s financial data. The Net Sales of the Company grew significantly from Rs. 6090.800 Millions in the F.Y. 2011-12 to Rs. 7552.100 Millions in F.Y. 2012- 13. The Company also registered a impressive rise in its operating profit, from Rs. 1513.700 Millions in F.Y. 2011-12 to Rs. 1961.000 Millions in F.Y. 2012-13. The interest cost was up from Rs. 807.000 Millions in F.Y. 2011-12 to Rs. 903.400 Millions in F.Y. 2012-13. Depreciation expenses also increased from Rs. 540.200 Millions in F.Y. 2011-12 to Rs. 600.200 Millions in F.Y. 2012-13. These factors led to a higher profit before tax at Rs. 457.400 Millions, against the preceding year’s Rs. 166.500 Millions. After tax adjustment, the net profit significantly soared to Rs. 196.500 Millions, compared to Rs. 42.900 Millions in the previous year.

AWARDS AND ACCOLADES

The Company has received the .Environment Excellence Gold Award- 2012. in Chemical sector by Green Tech Foundation. Moreover, for the exemplary work in communities, the Company has bagged Company received the .ICC Award for Social Responsibility 2012. For outstanding contribution towards Agriculture and Watershed Development.

MANAGEMENT DISCUSSION AND ANALYSIS REPORT

INDUSTRY DEVELOPMENTS AND OUTLOOK

Globally Caustic Soda Industry faced a challenging year. Consequent to the slowdown in housing sector, the demand of PVC declined, leading to lower chlorine demand. This had an adverse impact on the operating rates of caustic soda plant. Caustic soda production in China grew by only 6% in 2012 as compared to 16% in 2011.

Global demand for caustic increased by 1.8% in 2012, reaching 63.3 Million Tons. Global capacity stood at 94 Million Tons with an average operating rate of around 67%.

Caustic Soda production in India declined by 1.5% and touched 2.49 Million Tons in financial year 2012-13. Chlorine consumption growth in India was low as Ethylene Dichloride imports into India continued. This impacted the production of Caustic soda, where the industry average operating rate has been around 80%.

Caustic Soda consumption in India is expected to grow in line with growth of user industries such as Alumina and Textiles.

Their Company has completed the expansion of capacity at Renukoot by 145 TPD.

Management is hopeful the leadership position of the Company will be reinforced in the coming years by the measures under way.

FINANCIAL AND OPERATIONAL PERFORMANCE

FINANCIAL PERFORMANCE HIGHLIGHTS

The financial data of the Company for the previous year are inclusive of the financial data of Renukoot Chemical Division from post-acquisition period, i.e. 24th May 2011; hence these are not fully comparable with the current year’s financial data. The gross turnover for the year under review was Rs. 8408.500 Millions as compared to Rs. 6651.800 Millions in the previous year, an increase of 26%. The profit before interest, depreciation and tax was Rs. 1961.000 Millions. After providing Rs. 903.400 Millions for interest, Rs. 600.200 Millions for depreciation and Rs. 260.900 Millions for taxes, net profit for the year was Rs. 196.500 Millions. Earnings per share was Rs. 8.40 compared with Rs. 1.84 in last year and return on shareholders. Funds was 5.21% vis-à-vis 1.19% last year.

Operational Performance Highlights

The average production of Caustic Soda for the year 2012-13 was 512 TPD. During the year under review, average power generation was 59.66 MWH, with a Plant Load factor of 75%. The net turnover, at Rs. 7552.100 Millions as compared to Rs. 6090.800 Millions in the previous year, reflects a rise of 24%. The Company’s good performance is due to optimum utilization of plant capacity, optimization of process parameters and various cost reduction initiatives.

Interest cost was at Rs. 903.400 Millions, as compared to Rs. 807.000 Millions in the previous year.

The Company continues to pay MAT under Section 115 JB of the IT Act on account of the Tax incentive under Section 80- IA and higher depreciation under Income Tax Act.

BACKGROUND

Subject is subsidiary company of Hindalco Limited - a leading aluminium company of India having global operations. The company is engaged in the business of chloro chemicals having plant and registered office at Ghanshyam Kunj, Garhwa Road, Rehla, District Palamau, Jharkhand.

In the financial year 2011-12, the company acquired Chloro Chemical Division and salt works of Kanoria Chemicals and Industires Limited situated respectively at Renukoot (Uttar Pradesh) and Jhangi (Gujarat) (articulated as Renukoot Chemical Division or .RCD.) with effect from May 24, 2011 (the effective date.). The assets, liabilities, revenue, expenses and other details in the financial statements for the previous year include numbers/details of RCD from the effective date. The corresponding figures and details of previous year, are therefore, not fully comparable with those for the year under report which include items of RCD for full year.

UNSECURED LOAN

PARTICULARS	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions)
Short-term borrowings
Loans repayable on demand From Others	278.937	0.000
Total	278.937	0.000

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10469106	30/12/2013	3,000,000,000.00	IDBI TRUSTEESHIP SERVICES LIMITED	ASIAN BLDG., GROUND FLOOR, 17, R.KAMANI MARG, BALLARD ESTATE, MUMBAI, MAHARASHTRA - 400001, INDIA	B93106797
2	10344876	10/02/2012	7,500,000,000.00	IDBI TRUSTEESHIP SERVICES LIMITED	ASIAN BLDG., GROUND FLOOR, 17, R.KAMANI MARG, BALLARD ESTATE, MUMBAI, MAHARASHTRA - 400001, INDIA	B36017838
3	10290701	05/10/2013 *	1,700,000,000.00	HDFC BANK LIMITED	HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI, MAHARASHTRA - 400013, INDIA	B90026741

* Date of charge modification

CONTINGENT LIABILITIES:

(Rs. in millions)

PARTICULARS	31.03.2013
Contingent Liabilities not provided for in respect of the following:
Outstanding Bank Guarantees (Against which Rs. 31.600 Millions has been deposited as FDR with Banks, Previous year Rs. 40.600 Millions)	178.709
Claims/Disputed liabilities against the Company not acknowledged as debt
a) Annual Minimum Guarantee Electricity charges & delayed payment surcharge thereon against which Rs.10.000 Millions (previous year Rs.10.000 Millions) has been deposited (The order of Consumer Grievance Redressal Forum relating to Annual Minimum Guarantee case was challenged by JSEB before Ranchi High Court. On hearing, the Ranchi High Court directed JSEB to raise the bill in accordance with the Forum’s order subject to final adjudication of pending writ. Complying with Forum’s order, JSEB has raised bill which involved a refund of Rs 1.780 Millions to the Company. Since the writ is pending before the Court, contingent liability of Rs.656.284 Millions has been disclosed in the accounts).	656.284
Delayed payment of surcharge on the amount of fuel surcharge arrears	48.363
Amount claimed by the Kandla Port Trust not acknowledge by company, matter is pending before the Court.	38.260
Income Tax
AY 2007.08 for which the Company has filed appeal with CIT (Appeals) and Petition u/s 154 has been filed for considering correct amount of TDS & Advance Tax	19.702
AY 2008.09 for which the Company has filed appeal with CIT (Appeals) and Petition u/s 154 has been filed for considering correct amount of TDS	35.732
AY2010-11 for which the Company has filed appeal with CIT (Appeals) and Petition u/s 154 has been filed for reducing demand (Against which Rs.1.909 Millions paid)	14.178
Various other cases for which the Company has filed appeal with CIT (Appeals)	0.844
Liquidated damage and interest claimed by BSIDC not acknowledged by the Company	15.720
Compensation payable against various labour cases pending with various Courts	15.600
Incremental Lease Rent with Interest to Tata Motors Limited. as per the order of High court	4.242
Sales Tax AY 2003-04 for which the Company has filed writ no.1811/2007 before Allahabad High Court against Dy Commissioner(A), Sonebhadra Order (due to non-submission of certificate of Trade tax check post at Nepal Border Rs.0.163 Million was deposited)	1.086
Excise
For the Period (2000-01 to 2006-07): Demand of Excise duty on clearance of SBP to M/s UNICEF without payment of Excise duty under Notification No. 108/95 C.E. Case is pending before CESTAT, New Delhi	6.042
For the Period (June.03- March. 07): Case against demand raised for excise duty is pending before CESTAT, New Delhi	53.346
For the Period (April.04- September.08): Case against demand raised for excise duty is pending before CESTAT, Kolkata	52.570
Various other cases pending before excise department, high Court & CESTAT	1.476
Service tax
Demand of Service Tax for the period April. 05- June. 06. Cases were pending before CESTAT, New Delhi.	14.121
Demand of penalty on service tax on banking and other financial services availed by company for issue of FCCB. Cases were pending before CESTAT, New Delhi.	2.511

UNAUDITED FINANCIAL RESULT FOR THE QUARTER ENDED DECEMBER 31, 2013

(Rs. in millions)

Particulars	Three months ended on		Nine months ended on
	31.03.2013	30.09.2013	31.12.2013
(a) Net Sales / Income from operations	2756.968	2335.545	7297.082
(b) Other Operating Income	111.777	337.328	547.109
Total Income	2868.744	2672.873	7844.190
Expenditure
a) Changes in Inventories of finished Goods, Work in Progress and stock in trade	(41.411)	39.009	40.813
b) Cost of Material consumed	1499.072	1228.953	3871.629
c) Purchase of stock in trade	91.710	307.106	475.098
d) Employees benefits expenses	168.034	133.819	424.489
e) Depreciation and Amortization	183.491	178.146	531.161
f) Other expenditure
iii) Power and Fuel	191.077	179.175	470.878
iv) Other expenditure	308.749	234.503	709.618
Total	24007.21	2300.712	6523.685
Profit from operations before other income, interest and exceptional Items	468.023	372.161	1320.505
Other income	8.695	23.502	81.490
Profit before interest and exceptional Items	476.718	395.663	1401.995
Finance charges	231.686	212.548	657.292
Profit after Interest but before Exceptional Items	245.032	183.115	744.7063
Exceptional Items	0.000	0.000	0.000
Profit (+)/Loss(-) from Oridinary Activities before tax	245.032	183.115	744.703
Tax expense	81.467	59.104	254.701
Net Profit (+)/Loss(-) from Ordinary Activities after tax	163.565	124.011	490.002
Paid up equity share capital (Face value of Rs.10/- per share)	233.865	233.865	233.865
Reserves and reserves	--	--	--
Earnings per share (EPS)
(a) Basic and diluted EPS before Extraordinary items for the period, for the year to date and for the previous year (not to be annualised)	6.99	5.30	20.95
Public shareholding
Number of shares*	10216513	10216513	10216513
Percentage of shareholding	44%	44%	44%
Promoters and Promoters group Shareholding-
a) Pledged /Encumbered
Number of shares	Nil	Nil	Nil
Percentage of shares (as a % of total shareholding of the promoter and promoter group)	Nil	Nil	Nil
Percentage of shares (as a % of total share capital of the company)	Nil	Nil	Nil
b) Non Encumbered
Number of shares	13169987	13169987	13169987
Percentage of shares (as a % of total shareholding of the promoter and promoter group)	100%	100%	100%
Percentage of shares (as a % of total share capital of the company)	56%	56%	56%

B	Investor complaints
	Pending at the beginning of the quarter	Nil
	Received during the quarter	Nil
	Disposed of during the quarter	Nil
	Remaining unresolved at the end of the quarter	Nil

Note:

The above unaudited results have been recommended by the Audit Committee and approved by the Board of Directors at their meeting held on February 11, 2014.

The unaudited financial results have been prepared on the basis of same accounting policies which were followed in preparation of financial results for the year ended March 31, 2013.

Provision for Wealth tax and MAT Credit Entitlement, if any will be reviewed and made at the close of the year.

Segment Reporting the Company is primarily engaged in the business of Chlor Alkali Chemicals. Since the inherent nature of these activities is governed by the same act of risks and returns, there is no reportable primary and secondary segment.

Net sales include sale of Power to State Electricity Board for the amount detailed below:

Particulars	Three months ended on		Nine months ended on
	31.03.2013	30.09.2013	31.12.2013
UP State Electricity Board	1.087	1.370	6.037
Jharkhand State Electricity Board	0.415	1.332	1.965

Vide Business Transfer Agreement dated May 31, 2013, the Company has acquired the business comprising of Chlor Alkali and Phosphoric Acid Plant at Kaswar (Karnataka) and Salt Works at Singach (Gujarat) with effect from September 1, 2013 (effective date) from Solaris Chemiec Industries Limited on slump sale basis at total cash consideration of Rs. 1530.000 Millions. The results of the Company for the quarter and nine month ended December 31, 2013 include the results of the said acquisition from effective date and hence current period and year-to-date numbers are not fully comparable with earlier periods.

In accordance with Clause 41 of the listing Agreement the Statutory Auditors have carried out a limited review of the financial results of the quarter ended December 31, 2013.

Previous period’s figures have been regrouped wherever necessary to conform to current period’s classification.

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.60.10
UK Pound	1	Rs.99.85
Euro	1	Rs.82.58

INFORMATION DETAILS

Information Gathered by :	NYA
Report Prepared by :	KVT

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	7
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	7
--LEVERAGE	1~10	7
--RESERVES	1~10	7
--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	YES
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		62

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.