MIRA INFORM REPORT

Report Date :

13.05.2014

IDENTIFICATION DETAILS

Name :	SPECTRUM COAL AND POWER LIMITED (w.e.f. 10.10.2006)
Formerly Known As :	ST-CLI COAL WASHERIES LIMITED (w.e.f. 22.10.2003) ST-BSES COAL WASHERIES LIMITED
Registered Office :	18, Vasant Enclave, Rao Tula Ram Marg, New Delhi – 110 057
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	01.01.1996
Com. Reg. No.:	55-251093 (New) 01-054238 (Old)
Capital Investment / Paid-up Capital :	Rs.416.781 millions
CIN No.: [Company Identification No.]	U10100DL1996PLC251093 (New) U10100AP1996PLC054238 (Old)
PAN No.: [Permanent Account No.]	AADCS9860J
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Subject is primarily engaged in coal beneficiation business.
No. of Employees :	Information declined by the Management.

RATING & COMMENTS

MIRA’s Rating :

Ba (52)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 17585000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is an established company having good track record. There is a dip in profit of the company in the year 2013. However, overall financial position of the company is sound and healthy. Trade relation are reported to be fair. Business is active. Payment terms are regular and as per commitment. The company can be considered normal for business dealing 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 – March 31, 2014

Country Name	Previous Rating (31.12.2013)	Current Rating (31.03.2014)
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

US investment bank Goldman Sachs has upgraded its outlook on Indian markets as it expects positive impact of the election cycle.

India’s economy may grow 4.7 % in the current financial year, lower than the official estimate of 4.9 %, Fitch Rating said. The global rating agency expects the economy to pick up in the next two financial years.

Global ratings agency Standard & Poor said increasing focus by India Inc on lowering debt is likely to improve their credit profiles.

Singapore (1.1 million Indian tourists in 2012), Thailand (one million), the United Arab Emirates ().98 million) and Malaysia ().82 million) emerged as the preferred holidays hotspots for Indians. The total figure is expected to increase to 1.93 million by 2017, according to the latest Eurmonitor international report.

There is a $29.34 bn outward foreign direct investment by domestic companies between April and January of 2013/14 which has seen some signs of recovery according to a Care Ratings report.

There are 264 number of new companies being set up every day on average during 2014. Most of them are registered in Mumbai. India had 1.38 million registered companies at the end of January, 2014.

Twitter like messaging service Weibo Corporation has filed to raise $ 500 million via a US initial public offering. Alibaba, which owns a stake in Weibo is expected to raise about $ 15 billion New York this year in the highest profile Internet IPO since Facebook’s in 2012.

Bharti Airtel has raised Rs.2,453.2 crore (350 million Swiss Francs) by selling six-year bonds at a coupon rate of three per cent and maturing in 2020. This is the largest ever bond offering by an Indian company in Swiss Francs. Bharat Petroleum Corporation raised 175 million Swiss Francs by selling five year bonds at 2.98 % coupon rate in February.

Indian Oil Corporation plans to invest Rs 7650 crore in setting up a petrochemical complex at its almost complete Paradip refinery in Odhisha in three to four years. The company board is set to consider the setting up of a 700000 tonne per annum polypropylene plant at an estimated cost at Rs.3150 crore.

Global chief information officers at gathering in Bangalore in April to meet Indian startups at an event called Tech50 Watchout for Little Eye Labs-Facebook type deals in the making.

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Long Term Rating: A+
Rating Explanation	Adequate degree of safety and low credit risk.
Date	January 20, 2014

Rating Agency Name	CRISIL
Rating	Short Term Rating: A1
Rating Explanation	Very strong degree of safety and lowest credit risk.
Date	January 20, 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 BY

Name :	Mr. Ramesh Singh
Designation :	Office Executive
Contact No.:	91-7815-274447
Date :	10.05.2014

LOCATIONS

Registered Office :	18, Vasant Enclave, Rao Tula Ram Marg, New Delhi – 110 057, India
Tel. No.:	Not Available
Fax No.:	Not Available
E-Mail :	legal.secretarial@acbindia.com
Website :	http://acbindia.com
Corporate Office :	Sainik Aryan Group, 7^th Floor, Corporate Tower, Ambience Mall, N.H.-8, Gurgaon – 122 002, Haryana, India
Tel. No.:	91-124-2719000
Fax No.:	91-124-2719185
E-Mail :	scpl.purchase@gmail.com
Power Plant/ Coal  Beneficiation Plants 1:	Village Ratija, PO Nonbirra, District: Korba, Chhattisgarh, India
Tel/Fax No.:	91-7815-203671
Coal  Beneficiation Plants 2:	Kalinga Plant Near Balaram OCP, MCL, P.O. N.S. Nagar Bharathpur, Post Box-5, Talcher, District Angul – 759 148 Orissa, India
Korba Office :	D-24, Urja Nagar, Behind SECL Guest House, P.O. Gevra Project, Korba – 495 452, Chhattisgarh, India
Tel. No.:	91-7815-274447
Fax No.:	91-7815-274447

DIRECTORS

AS ON 30.09.2013

Name :

Mr. Narendra Prakash Bhati

Designation :

Managing Director

Address :

204/B, Baji Prabhu Nagar, Ram Nagar, Nagpur – 440 033, Maharashtra, India

Date of Birth/Age :

01.06.1943

Qualification :

Engineer

Date of Appointment :

01.12.2010

DIN No.:

01722813

PAN No.:

ABPPB4608K

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	U10100DL1996PLC251093	SPECTRUM COAL AND POWER LIMITED	Managing director	01-12-2012	01-06-2007	-	Active	NO
2	U73100MH2009PTC190367	VALUE UPGRADED TECHNOLOGIES AND RESEARCH PRIVATE LIMITED	Director	16-02-2009	16-02-2009	-	Active	NO

Name :

Mr. Sanjay Hasija

Designation :

Director

Address :

E-29F, MIG Flats, Mayapuri, New Delhi – 110 064, India

Date of Birth/Age :

18.12.1966

Date of Appointment :

27.08.2005

DIN No.:

00090672

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	U10100DL1996PLC251093	SPECTRUM COAL AND POWER LIMITED	Director	27-08-2005	27-08-2005	-	Active	NO
2	L63020DL1992PLC121695	SINDHU TRADE LINKS LIMITED	Director	30-12-2005	30-12-2005	01-12-2011	Active	NO
3	L45201DL1996PLC136175	PARNAMI HABITAT DEVELOPERS LIMITED TFR. FROM HARYANA TO DELHI	Director	30-12-2005	30-12-2005	-	Amalgamated	NO
4	U70101DL2006PTC145262	S3H REALITY PRIVATE LIMITED	Director	23-01-2006	23-01-2006	-	Active	NO
5	U45400DL2007PTC166686	S THREE H BUILDERS PRIVATE LIMITED	Director	06-08-2007	06-08-2007	-	Active	NO
6	U45400DL2007PTC166727	S Three H CONSTRUCTIONS PRIVATE LIMITED	Director	07-08-2007	07-08-2007	05-11-2010	Active	NO
7	U45400DL2007PTC166744	S THREE H INFRASTRUCTURE DEVELOPMENT PRIVATE LIMITED	Director	07-08-2007	07-08-2007	-	Active	NO
8	U45400DL2007PTC166728	STHREEH BUILDCON PRIVATE LIMITED	Director	07-08-2007	07-08-2007	-	Active	NO
9	U74899DL2000PTC105646	INDUS COMPUQUEST PRIVATE LIMITED	Additional director	01-11-2007	01-11-2007	09-07-2011	Amalgamated	NO
10	U70109DL2007PTC168720	PURSHOTTAM BUILDWELL PRIVATE LIMITED	Director	23-06-2008	23-06-2008	-	Active	NO
11	L65910DL1993PLC177643	UTTARANCHAL FINANCE LIMITED	Additional director	18-08-2009	18-08-2009	-	Amalgamated	NO
12	U45201DL2006PTC145341	DOON HEIGHTS DEVELOPERS PRIVATE LIMITED	Director	30-11-2009	30-11-2009	-	Active	NO
13	U00500DL2005PTC139217	ONE HEIGHT DEVELOPERS PRIVATE LIMITED	Director	30-11-2009	30-11-2009	-	Active	NO
14	U45201DL2005PTC139209	SPICE ONE BUILDERS PRIVATE LIMITED	Director	30-11-2009	30-11-2009	-	Active	NO
15	U70101DL2005PTC137209	ONE POINT REALTY PRIVATE LIMITED	Director	30-11-2009	30-11-2009	-	Active	NO
16	U45201DL2005PTC139207	ONE HEIGHT COLONIZERS PRIVATE LIMITED	Director	30-11-2009	30-11-2009	-	Active	NO
17	U51215DL1997PTC086339	ADITYA TRADECOM PRIVATE LIMITED	Director	30-09-2011	15-01-2011	-	Active	NO
18	L74899DL1994PLC128577	BHILWARA TEX-FIN LIMITED	Director	30-09-2011	10-08-2011	-	Active	NO
19	U40109DL2006PTC155618	TRN ENERGY PRIVATE LIMITED	Nominee director	12-03-2014	12-03-2014	-	Active	NO

Name :

Mr. Dhani Ram Gupta

Designation :

Director

Address :

A-502, Lovely Home Co-Operative Group Hosing Society, Dwarka, New Delhi – 110 075, India

Date of Birth/Age :

01.06.1940

Qualification :

Engineer

Date of Appointment :

30.09.2010

DIN No.:

03222150

PAN No.:

ACIPG6093R

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	U10100DL1996PLC251093	SPECTRUM COAL AND POWER LIMITED	Director	30-09-2010	11-08-2010	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Ratesh Malhotra
Designation :	Secretary
Address :	B-7, 2^nd Floor, Saraswati Garden, New Delhi – 110 015, India
Date of Birth/Age :	30.04.1974
Date of Appointment :	01.06.2011
PAN No. :	AJFPM6527L

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2013

Names of Shareholders	No. of Shares
ACB (India) Limited, India	41678083
Ganesh Chandra Mrig	01*
Vir Sen Sindhu	01*
Dev Suman Sindhu	01*
Vrit Pal Sindhu	01*
Rudra Sen Sindhu	01*
Kuldeep Singh Solanki	01*
Total	41678089

* Holding shares as nominee of ACB (India) Limited.

AS ON 30.09.2013

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	100.00

BUSINESS DETAILS

Line of Business :

Subject is primarily engaged in coal beneficiation business.

Products/ Services :

Item Code No. (ITC Code)	98010013
Product/ Service Description	Power Sale

GENERAL INFORMATION

No. of Employees :

Information declined by the Management.

Bankers :

· Standard Chartered Bank, (Acting as a Security Agent, London) C D U, Narain Manzil, 23, Barakhamba Road, New Delhi – 110 001, India

· Bank of India, Large Corporate Branch, Chanderlok Building, 10^th Floor, Janpath, Near Tolstoy Marg, New Delhi – 110 001, India

· Bank of Baroda, 3, Walchand Hirachand Marg, 1^st Floor, Ballard Pier, Mumbai – 400 001, Maharashtra, India

· ICICI Bank Limited, Landmark Race Cource Circle, Alkapuri, Vadodara – 390 015, Gujarat, India

· ICICI Bank Limited, 9-A, Phelps Building, Connaught Place, New Delhi – 110 001, India (Tel. No.: 91-11-66310410)

Facilities :

Secured Loans	31.03.2013 (Rs. in Millions)	31.03.2012 (Rs. in Millions)
LONG-TERM BORROWINGS
Rupee term loans from banks	1387.500	1757.500
Foreign currency term loans from banks	886.804	1467.042
SHORT-TERM BORROWINGS
Loans repayable on demand from banks	649.263	584.441
Total	2923.567	3808.983

Banking Relations :	--
Auditors :
Name :	B.S.R. and Company Chartered Accountants
Address :	Building No.10, Eight Floor, Tower B, DLF Cyber City, Phase-2, Gurgaon, Haryana, India
PAN No.:	AAIFB0630K
Holding Company :	ACB (India) Limited, India CIN No.: U10102DL1997PLC085837
Fellow Subsidiary Companies :	· Aryan Clean Coal Technologies Private Limited, India (CIN No.: U29199DL2003PTC122193) · Aryan Energy Private Limited, India (CIN No.: U40102DL2001PTC134230)
Enterprises which are owned, or have significant influence of or are partners with Key management personnel and their relatives :	· Pragati Vanijaya Limited, India (CIN No.: L51909DL1985PLC020779) · Sainik Finance and Industries Limited, India (CIN No.: L26912DL1991PLC045449) · Hari Bhoomi Communications Private Limited, India (CIN No.: U64204DL2007PTC163105) · Sainik Mining and Allied Services Limited, India (CIN No.: U34102DL1989PLC034982) · Sindhu Trade Links Private Limited, India (CIN No.: L67120DL1992PLC121695) · V.V. Transport, India · Shyam Indus Power Solutions Private Limited, India (CIN No.: U74140DL2004PTC127124)

CAPITAL STRUCTURE

AS ON 30.09.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
55000000	Equity Shares	Rs.10/- each	Rs.550.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
41678089	Equity Shares	Rs.10/- each	Rs.416.781 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	416.781	416.781	416.781
(b) Reserves & Surplus	3979.550	3497.734	2553.343
(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)	4396.331	3914.515	2970.124
(3) Non-Current Liabilities
(a) Long-term borrowings	2274.304	3224.542	2791.991
(b) Deferred tax liabilities (Net)	160.463	40.190	47.608
(c) Other long term liabilities	30.285	51.299	24.625
(d) Long-term provisions	14.283	6.463	5.934
Total Non-current Liabilities (3)	2479.335	3322.494	2870.158
(4) Current Liabilities
(a) Short term borrowings	649.263	584.441	1062.735
(b) Trade payables	274.002	173.109	208.969
(c) Other current liabilities	1093.623	571.933	192.984
(d) Short-term provisions	137.530	314.351	75.950
Total Current Liabilities (4)	2154.418	1643.834	1540.638
TOTAL	9030.084	8880.843	7380.920
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	4940.123	1140.519	1235.001
(ii) Intangible Assets	0.618	0.000	0.000
(iii) Capital work-in-progress	323.067	3597.070	2278.002
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	1821.500	1821.500	910.000
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	444.382	757.673	133.749
(e) Other Non-current assets	83.593	12.032	10.442
Total Non-Current Assets	7613.283	7328.794	4567.194
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	276.250	205.949	262.396
(c) Trade receivables	447.888	568.893	365.540
(d) Cash and cash equivalents	44.561	199.069	1349.575
(e) Short-term loans and advances	637.363	568.152	807.660
(f) Other current assets	10.739	9.986	28.555
Total Current Assets	1416.801	1552.049	2813.726
TOTAL	9030.084	8880.843	7380.920

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Revenue from operations	3005.215	3818.615	2903.036
		Other Income	26.085	33.778	30.250
		TOTAL (A)	3031.300	3852.393	2933.286
Less	EXPENSES
		Cost of materials consumed	466.677	736.691	787.345
		Changes in inventories of finished goods, work-in-progress and stock-in-trade	(49.159)	43.223	4.300
		Employee benefit expense	150.295	104.190	79.849
		Other expenses	980.978	875.679	752.367
		TOTAL (B)	1548.791	1759.783	1623.861
Less	PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		1482.509	2092.610	1309.425
Less	FINANCIAL EXPENSES (D)		362.267	301.230	123.433
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		1120.242	1791.380	1185.992
Less/ Add	DEPRECIATION/ AMORTISATION (F)		196.761	177.443	203.758
	PROFIT / (LOSS) BEFORE TAX (E-F) (G)		923.481	1613.937	982.234
Less	TAX (H)		305.134	533.916	355.213
	PROFIT / (LOSS) AFTER TAX (G-H) (I)		618.347	1080.021	627.021
	IMPORTS
		Raw Materials	NA	43.533	745.331
	TOTAL IMPORTS		NA	43.533	745.331
	Earnings / (Loss) Per Share (Rs.)		14.84	25.91	15.04

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	20.40	28.04	21.38
Net Profit Margin (PBT/Sales)	(%)	30.73	42.26	33.83
Return on Total Assets (PBT/Total Assets}	(%)	13.41	46.61	23.43
Return on Investment (ROI) (PBT/Networth)		0.21	0.41	0.33
Debt Equity Ratio (Total Debt /Networth)		0.67	0.97	1.30
Current Ratio (Current Asset/Current Liability)		0.66	0.94	1.83

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2011	31.03.2012	31.03.2013
	(INR in Mlns.)	(INR in Mlns.)	(INR in Mlns.)
Share Capital	416.781	416.781	416.781
Reserves & Surplus	2553.343	3497.734	3979.550
Net worth	2970.124	3914.515	4396.331
Long-term borrowings	2791.991	3224.542	2274.304
Short term borrowings	1062.735	584.441	649.263
Total borrowings	3,854.726	3,808.983	2,923.567
Debt/Equity ratio	1.298	0.973	0.665

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2011	31.03.2012	31.03.2013
	(INR in Mlns)	(INR in Mlns)	(INR in Mlns)
Revenue from operations	2903.036	3818.615	3005.215
		31.539	(21.301)

NET PROFIT MARGIN

Net Profit Margin	31.03.2011	31.03.2012	31.03.2013
	(INR in Mlns)	(INR in Mlns)	(INR in Mlns)
Revenue from operations	2903.036	3818.615	3005.215
Profit	627.021	1080.021	618.347
	21.60%	28.28%	20.58%

LOCAL AGENCY FURTHER INFORMATION

Check List by Info Agents	Available in Report (Yes / No)
1) Year of Establishment	Yes
2) Locality of the firm	Yes
3) Constitutions of the firm	Yes
4) Premises details	No
5) Type of Business	Yes
6) Line of Business	Yes
7) Promoter’s background	Yes
8) No. of employees	No
9) Name of person contacted	Yes
10) Designation of contact person	Yes
11) Turnover of firm for last three years	Yes
12) Profitability for last three years	Yes
13) Reasons for variation <> 20%	--
14) Estimation for coming financial year	No
15) Capital in the business	Yes
16) Details of sister concerns	Yes
17) Major suppliers	No
18) Major customers	No
19) Payments terms	No
20) Export / Import details (if applicable)	No
21) Market information	--
22) Litigations that the firm / promoter involved in	--
23) Banking Details	Yes
24) Banking facility details	Yes
25) Conduct of the banking account	--
26) Buyer visit details	--
27) Financials, if provided	Yes
28) Incorporation details, if applicable	Yes
29) Last accounts filed at ROC	Yes
30) Major Shareholders, if available	Yes
31) Date of Birth of Proprietor/Partner/Director, if available	Yes
32) PAN of Proprietor/Partner/Director, if available	Yes
33) Voter ID No of Proprietor/Partner/Director, if available	No
34) External Agency Rating, if available	Yes

INDEX OF CHARGES:

S. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10471655	16/12/2013	1,750,000,000.00	BANK OF INDIA	LARGE CORPORATE BRANCH, CHANDERLOK BUILDING, 10TH FLOOR, JANPATH, NEAR TOLSTOY MARG, NEW DELHI, DELHI - 110001, INDIA	B94040698
2	10457784	24/12/2013 *	1,100,000,000.00	ICICI BANK LIMITED	LANDMARK RACE COURCE CIRCLE, ALKAPURI, BARODA, GUJARAT - 390015, INDIA	B92414168
3	10300768	30/06/2011	800,000,000.00	ICICI BANK LIMITED	LANDMARK RACE COURCE CIRCLE, ALKAPURI, BARODA, GUJARAT - 390015, INDIA	B18262527
4	10259354	25/02/2013 *	2,050,000,000.00	ICICI BANK LIMITED	LANDMARK RACE COURCE CIRCLE, ALKAPURI, BARODA, GUJARAT - 390015, INDIA	B70945704
5	10183774	24/12/2013 *	1,762,500,000.00	STANDARD CHARTERED BANK	(ACTING AS A SECURITY AGENT, LONDON) C D U, NARAIN MANZIL, 23 BARAKHAMBA ROAD, NEW DELHI, DELHI - 110001, INDIA	B95630497

* Date of charge modification

Note:

The registered office of the company has been shifted from Flat No.203, MCH No.6-3-1089/1/1, Park Avenue, Somajiguda, Raj Bhavan Road, Hyderabad – 500 082, Andhra Pradesh to present address w.e.f. 21.08.2012.

BACKGROUND:

The Company was incorporated on 1^st January, 1996. The Company is primarily engaged in coal beneficiation business. The Company is currently operating a coal washery plant at Ratija, Chattisgarh and 50MW thermal power plant at Ratija, Chhattisgarh has been commissioned on 27^th February, 2013. Pursuant to an agreement entered into with Andhra Pradesh Power Generation Corporation Limited (APGENCO), the Company has set up a coal washery at Talcher, Orissa on land provided by APGENCO.

REVIEW OF OPERATIONS:

During the year, the Company’s gross income was Rs.3031.300 millions (Previous year Rs.3852.393 millions). The profit before tax reported by the Company for the financial year 2012-13 was Rs.923.481 millions (Previous year Rs.1613.937 millions).

INDUSTRY SCENARIO:

Coal Sector in India

According to BP Statistical Review of World Energy June 2012, coal is the dominant source of energy and met 53% of the total primary energy requirement of India in 2011, whereas, oil, natural gas, hydroelectric and nuclear energy met approximately 29%, 10%, 5% and 2% respectively of the total primary energy requirement of India in 2011.

According to CRISIL Research, during Fiscal 2012, the non-coking coal off-take to the power sector was approximately 81% for electricity generation. According to BP Statistic Review of World Energy (June 2012), if calendar year 2011 rates of production remain constant, the world's coal reserves shall suffice for the next 112 years.

According to CRISIL Research's estimates, between Fiscal 2013 and Fiscal 2017, the total capacity addition in the power sector will be 80.5 GW, of which 90 percent is likely to be thermal, with the remainder hydro and nuclear-based. Coal will continue to dominate incremental capacity additions over this period, accounting for 83 percent (or 67 GW) of the total capacities being added.

As a result of the demand for coal in the thermal power and iron and steel industries, CRISIL Research estimates that the demand for non-coking coal in India will increase at a rate of 9.6 percent from 557 million tonnes in Fiscal 2013 to approximately 881 million tonnes in Fiscal 2017, while the demand for coking coal is likely to increase at the rate of 11.6 percent in the same period. The low cost of power generation using coal and the availability of huge coal reserves in India are the major incentives for setting up coal-based power plants.

Clean coal

The Ministry of Coal has recognized coal beneficiation as an important area from an economic and environment point of view. The Ministry of Coal believes that the usage of beneficiated coal improves the economics of power generation and also reduces emissions. The directive of the Ministry of Environment and Forests restricts the use of coal containing more than 34% ash content in power stations located 1,000 km away from pit heads. With this as a driver, a number of power utilities have shown inclination to use beneficiated coal for power generation and also coal beneficiation is one of the clean coal technologies prior to combustion of coal. Currently the requirement of washed non-coking coal in the MoEF stipulated TPSs is about 109 MT.

To meet the demand and supply gap of beneficiated coal, guidelines for setting up of coal beneficiation plants on the land of public sector coal companies such as Coal India Limited have been issued by the Ministry of Coal in September 2005. As per Coal Vision 2025 issued by the Ministry of Coal 361 MT of non-coking coal need to be beneficiated before industrial use. However, if total production of non-coking coal with ash content greater than 34% is beneficiated, it would result in 810 MT of non-coking coal being beneficiated before industrial use.

Coal Beneficiation

Coal beneficiation (also known as coal washing) is a process by which the quality of raw coal is improved by reducing the ash content and extraneous matter that gets extracted along with the mined coal. Beneficiated coking coal is primarily used in manufacturing of hard coke for making steel and beneficiated non-coking coal is primarily used for power generation and by cement, sponge iron and other industrial plants.

Power Sector in India

Adequate and reliable power supply is essential to sustain economic growth. According to projections made by the Central Electricity Authority ("CEA"), in the 18th Electric Power Survey ("EPS"), demand for electricity is likely to increase from 937 billion kWh in Fiscal 2012 to 1,354 Billion kWh in Fiscal 2017. Peak demand is expected to grow from 130,006 MW to 199,540 MW during the same period. In addition, CRISIL Research estimates that there will be a capacity addition of 80.5 GW during the Twelfth Five Year Plan.

The Indian power sector has historically been characterized by energy shortages which have been increasing over the years. In the period from April 2012 to December 2012, peak energy deficit was estimated to be at 9 percent.

According to CEA, the per capita consumption of power in India has increased from 671.9 kWh/year in Fiscal 2007 to 818.8 kWh/year in Fiscal 2011, at a CAGR of 5.10 percent for the same period. Historical per capita consumption was 631.4 kWh, 671.9 kWh, 717.1 kWh, 733.5 kWh, and 778.6 kWh for Fiscal 2006, Fiscal 2007, Fiscal 2008, Fiscal 2009 and Fiscal 2010 respectively.

The total capacity addition during the past 25 years between the Sixth and the Eleventh Five Year Plans was approximately 146,000 MW. As per CEA, total capacity addition of 88.5 GW is planned for the Twelfth Five Year Plan (2012-17) which should result in substantial investments in the power generation sector.

According to CEA estimates, as at 31 December 2012, the total installed power generation capacity in India was 210,951.72 MW. Further, as at 31 December 2012, the total installed thermal power generation capacity was 140,976.18 MW (or 66.83 per cent. of the total installed power generation capacity), of which coal, gas and diesel based power generation capacity was 120,873.38 MW, 18,903.05 MW and 1,199.75 MW respectively, which accounted respectively for 85.74 percent, 13.41 percent and 0.85 percent of the total thermal power generation capacity.

Currently, Indian generation uses all available fuel options including conventional, non-conventional and emerging power generation technologies.

The central and state governments together own and operate approximately 72.85 percent of the installed power capacity in India. The private sector participation has increased in India from 10.59 percent as at March 2005 to 27.15 percent as at March 2012.

CRISIL Research estimates that between Fiscal 2013 and Fiscal 2017, 80.50 GW of capacity will be added, of which 90 percent is likely to be thermal, with the remainder hydro and nuclear-based. Coal will continue to dominate incremental capacity additions over this period, accounting for 80 percent (or approximately 67 GW) of the total capacities being added.

CEA estimates the total capacity addition over the Twelfth Plan to be 88.50 GW.

OPERATIONS

The Company is operating in coal washing and power generation business.

Coal Washery

The Company is presently operating a 10 MTPA coal washery plant at Ratija, Chhattisgarh and 9.52 MTPA coal washery plant at Kalinga, Talcher Orissa.

Thermal Power Generation

The Company has commissioned its 1x50 MW coal based thermal power plant at Ratija, Korba, Chhattisgarh in February, 2013 and is in the process of setting up a 1x50 MW phase II Thermal Power Plant at Ratija Chhattisgarh.

FIXED ASSETS

Tangible Assets

· Land

· Buildings

· Plant and Equipment

· Furniture and Fixtures

· Vehicles

· Office Equipment

· Railway Sidings

Intangible Assets

· Computer Software

WEBSITE DETAILS:

PROFILE:

Subject is wholly owned subsidiary of ACB (India) Limited. The company was incorporated on January 1, 1996 as ST-BSES Coal Washeries Limited with Registrar of Companies, Maharashtra, Mumbai, as a public limited company. Subsequently, its name was changed to ‘ST-CLI Coal Washeries Limited’. The name of the company was again changed to Spectrum Coal and Power Limited. In May 2007, registered office of Spectrum was also changed from the State of Maharashtra to Andhra Pradesh. The registered office is located at MCH No. 6-3-1089/1/1, Flat No. 203, Pavni Avenue, Rajbhawan Road, Samajiguda, Hyderabad 500082.

Subject is currently engaged in the business of coal beneficiations and setting up of thermal power generation plants. The company has set up two coal beneficiation plants at:-

1. Ratija (in the State of Chhattisgarh) and

2. Kalinga (in the State of Orissa)

The Ratija plant was commissioned in December 1999 with a capacity of 2.50 million tons per annum. The capacity was expanded to 5.00 million tons per annum in 2003, 8.00 million tons per annum in 2008 and 10.00 million tons per annum of raw coal in 2009. The main customers are Gujarat State Electricity Corporation Limited, Maharashtra State Power Generation Co. Limited and Reliance Natural Resources Limited.

The Kalinga plant is located at Talcher, District Angul in the State of Orissa. Kalinga plant was commissioned in 2008. The initial installed capacity of Kalinga Plant was 6.53 million tons per annum of raw coal which has been expanded to 9.52 million tonnes per annum of raw coal in October 2012.

The company is setting up thermal power plant at Village Ratija, District Korba, Chhattisgarh with a designed capacity of 100 MW in 2 phases of 50 MW each. Site of power plant is adjacent to their existing coal beneficiation operations in vilalge Ratija. The plant will be fueled with a blend of coal rejects and raw coal. Phase I of the plant is commissioned on 27th February 2013. Phase II is scheduled to be commissioned by June 2015.

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.59.73
UK Pound	1	Rs.100.82
Euro	1	Rs.82.22

INFORMATION DETAILS

Information Gathered by :	NYA
Analysis Done by :	SUM
Report Prepared by :	SMN

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	6
--RESERVES	1~10	6
--CREDIT LINES	1~10	6
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		52

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.