MIRA INFORM REPORT

Report Date :

28.05.2014

IDENTIFICATION DETAILS

Name :	RSWM LIMITED (w.e.f.17.11.2006)
Formerly Known As :	RAJASTHAN SPINNING AND WEAVING MILLS LIMITED
Registered Office :	Kharigram, P. O. Gulabpura, Bhilwara - 311021, Rajasthan
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	17.10.1960
Com. Reg. No.:	17-008216
Capital Investment / Paid-up Capital :	Rs. 231.487 Millions
CIN No.: [Company Identification No.]	L17115RJ1960PLC008216
TAN No.: [Tax Deduction & Collection Account No.]	JDHR02418D / JDHR02137C
PAN No.: [Permanent Account No.]	AAACR9700M
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.
Line of Business :	Manufacturing of Yarn, Fabric and Denim.
No. of Employees :	13857 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (50)

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

Maximum Credit Limit :	USD 13000000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Exist
Comments :	Subject is a part of LNJ Bhilwara Group. It is an established company having a satisfactory track record. There are huge external borrowings recorded by the company. However, the company has recorded better growth in sales and profitability during the year 2013. Overall fundamental of the company seems to be strong and healthy. Trade relations are fair. Business is active. Payment terms are usually correct. The company can be considered for 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 – 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	CARE
Rating	Long term bank facilities : BBB+
Rating Explanation	Have moderate degree of safety and carry moderate credit risk.
Date	December 11, 2013

Rating Agency Name	CARE
Rating	Short term bank facilities : A3+
Rating Explanation	Have moderate degree of safety and carry higher credit risk.
Date	December 11, 2013

RBI DEFAULTERS’ LIST STATUS

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

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

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

INFORMATION DECLINED

MANAGEMENT NON-COOPERATIVE

[CONTACT NO.: 91-1482-223144-50 / 91-120-4390300]

LOCATIONS

Registered Office/ Factory 1 :	Kharigram, P. O. Gulabpura, Bhilwara - 311021, Rajasthan, India
Tel. No.:	91-1482-223144-50
Fax No.:	91-1482-223361
E-Mail :	molfin@lnjb.com info@bhilwara.com skg@lnjbhilwara.com
Website :	http://www.rswm.in
Corporate Office :	Bhilwara Towers, A-12, Sector–1, Post Box No. 185, Noida - 201301, Uttar Pradesh, India
Tel. No.:	91-120-4390300
Fax No.:	91-120-2531648
E-Mail :	molfin@lnjb.com skg@lnjb.com
Factory 2 :	Mayur Nagar, Lodha, P.O. Banswara - 327001, Rajasthan, India
Factory 3 :	Mandpam, Bhilwara - 311001, Rajasthan, India
Factory 4 :	Rishabhdev, District Udaipur - 313802, Rajasthan, India
Factory 5 :	Ringas, District Sikar - 332404, Rajasthan, India
Factory 6 :	LNJ Nagar, Mordi, P.O. Banswara - 327001, Rajasthan, India
Regional Marketing Offices :	Solaris Building No.1, D-Wing, 3rd Floor, Sakivihar Road, Powal, Andheri (East), Mumbai - 400072, Maharashtra, India
Other Regional Marketing Offices :	Located at: · Ahmedabad Bhilwara Delhi Indore Ichalkaranji Kolkata Kanpur Ludhiana Tirupur
Overseas Marketing Offices :	Located at : · Italy · Belgium · UK

DIRECTORS

AS ON 31.03.2013

Name :	Mr. L. N. Jhunjhunwala
Designation :	Chairman - Emeritus
Name :	Mr. Ravi Jhunjhunwala
Designation :	Chairman
Date of Birth/ Age :	28.10.1955
Qualification :	B.Com, (Hons.) MBA
Expertise in specific functional areas :	Industrialist with diversified business experience
Date of Appointment :	18.05.1979
Other Directorship :	· AD Hydro Power Limited Bhilwara Energy Limited Bhilwara Green Energy Limited BSL Limited Cheslind Textiles Limited HEG Limited India Glycols Limited Indo Canadian Consultancy Services Limited JK Lakshmi Cement Limited Malana Power Company Limited Maral Overseas Limited NJC Hydro Power Limited
Name :	Mr. Shekhar Agarwal
Designation :	Vice Chairman
Qualification :	B. Tech. (M.E.), M. Sc. (Chicago)
Date of Appointment :	13.02.1984
Name :	Mr. Arun K Churiwal
Designation :	Managing Director and Chief Executive Officer
Date of Birth/ Age :	15.05.1950
Qualification :	B.A. (Hons)
Expertise in specific functional areas :	Rich Experience of Textile Industry
Date of Appointment :	23.10.2003
Other Directorship :	· BSL Limited La Opala RG Limited LNJ Financial Services Limited
Name :	Mr. Riju Jhunjhunwala
Designation :	Joint Managing Director
Date of Birth/ Age :	13.01.1979
Qualification :	Graduate in Business Management Studies
Expertise in specific functional areas :	Industrialist with diversified business experience.
Date of Appointment :	01.01.2013
Other Directorship :	· Bhilwara Energy Limited Bhilwara Green Energy Limited Bhilwara Infotechnology Limited Bhilwara Technical Textiles Limited Chango Yangthang Hydro Power Limited Cheslind Textiles Limited HEG Limited LNJ Power Ventures Limited NJC Hydro Power Limited
Name :	Mr. Kamal Gupta
Designation :	Director
Date of Birth/ Age :	12.02.1946
Qualification :	FCA, FICWA, Ph. D
Expertise in specific functional areas :	Consultant in the areas of Finance, Accounting and Corporate Laws, Former Technical Director of The Institute of Chartered Accountants of India.
Date of Appointment :	26.12.1987
Other Directorship :	· AD Hydro Power Limited Bhilwara Energy Limited HEG Limited Malana Power Company Limited Maral Overseas Limited PNB Gilts Limited
Name :	Mr. D N Davar
Designation :	Director
Name :	Mr. Sushil Jhunjhunwala
Designation :	Director
Name :	Mr. A. N. Choudhary
Designation :	Director
Name :	Mr. T. G. Regunathan
Designation :	Director (Nominee, EXIM Bank)
Name :	Mr. J. C. Laddha
Designation :	Executive Director
Date of Birth/ Age :	12.12.1949
Qualification :	B.Com., F.C.A.
Experience :	40 Years of Possesses rich experience in Textile Industry.
Date of Appointment :	01.01.1990

KEY EXECUTIVES

CORPORATE OFFICE
Name :	Mr. Prakash Maheshwari
Designation :	Chief Executive (Corporate Management Services)
Name :	Mr. B. M. Sharma
Designation :	Chief Financial Officer
Name :	Mr. T. Dev Joshi
Designation :	President (Corporate HR and OD)
Name :	Mr. M. L. Jhunjhunwala
Designation :	President, Mumbai
BUSINESS HEADS
Name :	J. C. Laddha
Designation :	Chief Executive (Yarn and TPP)
Name :	S. C. Garg
Designation :	Chief Executive (Melange yarn)
Name :	Y. C. Gupta
Designation :	Chief Executive (Denim)
Name :	Mr. Nirmal Jain
Designation :	Chief Executive (Fabric)
Name :	Mr. Surender Gupta
Designation :	Company Secretary

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 31.03.2014

Category of Shareholder	Total No. of Shares	As a %
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Individuals / Hindu Undivided Family	1808068	7.81
Bodies Corporate	5163816	22.31
Sub Total	6971884	30.12
(2) Foreign
Bodies Corporate	4934770	21.32
Sub Total	4934770	21.32
Total shareholding of Promoter and Promoter Group (A)	11906654	51.44
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	1577052	6.81
Financial Institutions / Banks	15956	0.07
Central Government / State Government(s)	1732	0.01
Insurance Companies	138283	0.60
Foreign Institutional Investors	100	0.00
Sub Total	1733123	7.49
(2) Non-Institutions
Bodies Corporate	3229519	13.95
Individuals
Individual shareholders holding nominal share capital up to Rs. 0.100 Million	3347552	14.46
Individual shareholders holding nominal share capital in excess of Rs. 0.100 Million	2826094	12.21
Any Others (Specify)	105747	0.46
Clearing Members	105747	0.46
Sub Total	9508912	41.08
Total Public shareholding (B)	11242035	48.56
Total (A)+(B)	23148689	100.00
(C) Shares held by Custodians and against which Depository Receipts have been issued
(1) Promoter and Promoter Group	0	0.00
(2) Public	0	0.00
Sub Total	0	0.00
Total (A)+(B)+(C)	23148689	100.00

BUSINESS DETAILS

Line of Business :

Manufacturing of Yarn, Fabric and Denim.

Products/ Services :

ITC Code No.	Product Descriptions
551100	Polyester Viscose Blended Yarn
551500	Polyester Viscose Blended Fabric
520500	Cotton Yarn

PRODUCTION STATUS (AS ON 31.03.2011)

Particulars	Unit	Installed Capacity
Yarn
Spindles	Nos.	336608
Rotors	Nos.	1680
Fabric
Looms	Nos.	104
Processing	(Lac Mtr./Annum)	216
Denim Fabric (consisting of 7032 spindles and 720 rotors for spinning and 72 looms for weaving)	(Lac Mtr./Annum)	140
Power
Thermal	(MW)	46
HFO base	(MW)	38

GENERAL INFORMATION

No. of Employees :

13857 (Approximately)

Bankers :

· State Bank of Bikaner and Jaipur

Axis Bank Limited

Bank of Baroda

Central Bank of India

Dena Bank

Export-Import Bank of India

ICICI Bank Limited

IDBI Bank Limited

Oriental Bank of Commerce

Punjab National Bank

State Bank of India

State Bank of Mysore

UCO Bank

Union Bank of India

Facilities :

SECURED LOANS	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
LONG-TERM BORROWINGS
Term Loans
From Banks	4803.557	5569.612
From Other Parties (FIs)	2310.691	2582.234
SHORT TERM BORROWINGS
Loan repayable on demand From Banks	4033.096	3271.437
From Others	633.201	489.463
Total	11780.545	11912.746
LONG-TERM BORROWINGS Term loans are secured by way of joint equitable mortgage of all the present and future immovable properties of the Company and hypothecation of movable assets ranking pari passu amongst the term lenders and second charge on the current assets of the Company on pari-passu basis with lenders of working capital loans. SHORT TERM BORROWINGS 1. Secured loans repayable on demand include working capital loans secured by hypothecation of raw materials, stock in process, finished goods, semi-finished goods, stores, spares, book debts and other current assets as well as second charge on fixed assets of the Company on pari passu basis. 2. All loans repayable on demand carry floating interest rate of 9.70% to 12.75%.

Banking Relations :	--
Auditors 1 :
Name :	S. Bhargava Associates Chartered Accountants
Auditors 2 :
Name :	A. L. Chechani and Company Chartered Accountants
Enterprises that directly or indirectly through one or more intermediaries, control or are controlled by or are under common control with the reporting enterprise (this includes holding companies, subsidiaries and fellow subsidiaries) :	Cheslind Textiles Limited
Associate :	LNJ Power Ventures Limited
Enterprises over which any person described in (c) or (d) is able to exercise significant influence :	· Aadi Marketing Company Private Limited A.D. Hydro Power Limited Agarwal Finestate Private Limited Agarwal Trademart Private Limited Apeksha Vyapaar Private Limited Bhilwara Energy Limited Bhilwara Services Private Limited Bhilwara Technical Textiles Limited BMD Power Private Limited BMD Private Limited BMD Renewable Energy Private Limited BSL Limited Churiwala Properties and Investments Private Limited Diplomat Leasing and Finance Private Limited Essay Marketing Company Limited Giltedged India Securities Limited HEG Limited India Texfab Marketing Limited Indo Canadian Consultancy Services Limited Investors India Limited Jyoti Knits Private Limited Kalati Holdings Private Limited LNJ Financial Services Limited Malana Power Company Limited Maral Overseas Limited Mayur Knits Private Limited Maheshwari Vastra Bhandar Mandapam Vikas Private Limited Mandawa Niyojan Private Limited Nikita Electrotrades Private Limited Nivedan Vanijiya Niyojan Limited Prapti Apparels Company Private Limited PRC Niyojan Private Limited Purvi Vanijya Niyojan Limited Raghav Commercial Limited Raghav Knits and Textiles Private Limited Shashi Commercial Company Limited Sudiva Spinners Private Limited Ultramarine Impex Private Limited Veronia Tie-up Private Limited

CAPITAL STRUCTURE

AS ON 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
47500000	Equity Shares	Rs. 10/- each	Rs. 475.000 Millions
2500000	Optionally Convertible Redeemable Preference Shares	Rs. 150/- each	Rs. 375.000 Millions
	Total		Rs. 850.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
23148689	Equity Shares	Rs. 10/- each	Rs. 231.487 Millions

1. Shareholders holding more than 5 % of shares

Name of Shareholders	31.03.2013
	Number of Shares	Percentage of holding
Microbase Limited	3650970	15.77
IDFC Sterling Equity Fund	1572818	6.79
LNJ Financial Services Limited	1767394	7.63
Purvi Vanijya Niyojan Limited	1218431	5.26

2. There are no shares issued for consideration other than cash in the last 5 financial years. However, 13513607 Equity shares of Rs.10/- each were issued as fully paid up bonus shares by capitalisation of reserves in earlier years. 1228689 Equity shares of Rs.10/- each were issued for consideration other than cash, pursuant to the scheme of merger of erstwhile Jaipur Polyspin Limited and Mordi Textiles and Processors Limited as approved by the Hon'ble High Court of Rajasthan.

3. The number of issued, subscribed and fully paid up shares remained unchanged during the year as there were no buy back or issue of share capital.

4. The Company has only one class of Equity Shares having a par value of Rs. 10/-. Each holder of Equity Shares is entitled to one vote per share. There are no restrictions attached to any Equity Shares. The Company declares and pays dividends, if any, in Indian rupees. During the year ended 31st March, 2013, the amount of per share dividend recoginzed as distribution to Equity Shareholders was Rs.10/- (Previous year NIL). The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting. In the event of liquidation of the Company, the holders of Equity Shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the respective shareholders.

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	231.487	231.487	231.487
(b) Reserves & Surplus	3036.134	2616.485	2850.686
Government Capital Grants	18.124	20.991	25.670
(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)	3285.745	2868.963	3107.843
(3) Non-Current Liabilities
(a) long-term borrowings	7126.534	8168.843	5943.212
(b) Deferred tax liabilities (Net)	485.727	352.712	417.812
(c) Other long term liabilities	55.990	63.522	82.315
(d) long-term provisions	172.576	141.588	145.191
Total Non-current Liabilities (3)	7840.827	8726.665	6588.530
(4) Current Liabilities
(a) Short term borrowings	4666.297	3760.900	4379.778
(b) Trade payables	411.614	300.100	647.819
(c) Other current liabilities	2011.971	1659.515	1735.183
(d) Short-term provisions	288.171	15.936	152.549
Total Current Liabilities (4)	7378.053	5736.451	6915.329
TOTAL	18504.625	17332.079	16611.702
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	9593.196	7737.117	7956.084
(ii) Intangible Assets	64.877	61.975	64.163
(iii) Capital work-in-progress	111.466	2509.338	54.195
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	1106.714	602.714	601.544
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	240.778	424.082	419.480
(e) Other Non-current assets	11.211	8.748	23.469
Total Non-Current Assets	11128.242	11343.974	9118.935
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	3997.147	3255.490	4330.084
(c) Trade receivables	2160.747	1844.125	2039.005
(d) Cash and cash equivalents	19.103	18.655	62.825
(e) Short-term loans and advances	283.632	284.707	277.898
(f) Other current assets	915.754	585.128	782.955
Total Current Assets	7376.383	5988.105	7492.767
TOTAL	18504.625	17332.079	16611.702

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2013	31.03.2012	31.03.2011
	SALES
		Revenue from operations	24532.920	19869.975	19505.870
		Other Income	228.352	223.345	291.211
		TOTAL (A)	24761.272	20093.320	19797.081
Less	EXPENSES
		Cost of material consumed	14776.742	13073.953	11200.987
		Purchases of traded goods	218.653	174.544	121.076
		Change in inventories of finished goods, work-in-progress and stock- in- trade	(546.353)	(229.800)	(431.436)
		Employee benefits expense	2042.502	1642.049	1497.108
		Other expenses	4958.016	3822.705	3864.028
		Exceptional items	0.000	0.000	144.205
		TOTAL (B)	21449.560	18483.451	16395.968
Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		3311.712	1609.869	3401.113
Less	FINANCIAL EXPENSES (D)		1212.906	1040.362	787.427
	PROFIT/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		2098.806	569.507	2613.686
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1084.538	891.027	801.468
	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)		1014.268	(321.520)	1812.218
Less	TAX (H)		335.607	(103.628)	582.572
	PROFIT/ (LOSS) AFTER TAX (G-H) (I)		678.661	(217.892)	1229.646
	EARNINGS IN FOREIGN CURRENCY
		FOB value of Export	6861.837	6939.578	7484.597
	IMPORTS
		Raw Materials	271.975	387.007	283.233
		Components and Spare Parts	161.926	121.246	114.364
		Capital Goods	286.730	1297.091	207.457
	TOTAL IMPORTS		720.631	1805.344	605.054
	Earnings/ (Loss) Per Share (Rs.)		29.32	(9.41)	53.08

QUARTERLY RESULTS

PARTICULARS	30.06.2013	30.09.2013	31.12.2013
Type	1^st Quarter	2^nd Quarter	3^rd Quarter
Net Sales	6669.300	7302.600	7458.700
Total Expenditure	5661.200	6282.400	6569.000
PBIDT (Excl OI)	1008.100	1020.200	889.700
Other Income	19.600	27.900	20.500
Operating Profit	1027.700	1048.100	910.200
Interest	325.500	297.900	308.900
Exceptional Items	0.000	0.000	0.000
PBDT	702.200	750.200	601.300
Depreciation	274.900	274.100	278.400
Profit Before Tax	427.300	476.100	322.900
Tax	139.100	204.500	116.700
Provisions and contingencies	0.000	0.000	0.000
Profit After Tax	288.200	271.600	206.200
Extraordinary Items	0.000	0.000	0.000
Prior Period Expenses	0.000	0.000	0.000
Other Adjustments	0.000	0.000	0.000
Net Profit	288.200	271.600	206.200

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
PAT / Total Income	(%)	2.74	(1.08)	6.21
Net Profit Margin (PBT/Sales)	(%)	4.13	(1.62)	9.29
Return on Total Assets (PBT/Total Assets}	(%)	5.87	(2.26)	11.36
Return on Investment (ROI) (PBT/Networth)		0.31	0.11	0.58
Debt Equity Ratio (Total Debt/Networth)		3.59	4.16	3.32
Current Ratio (Current Asset/Current Liability)		1.00	1.04	1.08

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	231.487	231.487	231.487
Reserves & Surplus	2850.686	2616.485	3036.134
Government Capital Grants	25.670	20.991	18.124
Net worth	3,107.843	2,868.963	3,285.745
long-term borrowings	5943.212	8168.843	7126.534
Short term borrowings	4379.778	3760.900	4666.297
Total borrowings	10,322.990	11,929.743	11,792.831
Debt/Equity ratio	3.322	4.158	3.589

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	19505.870	19869.975	24532.920
		1.867	23.467

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	19505.870	19869.975	24532.920
Profit/ (Loss)	1229.646	(217.892)	678.661
	6.30%	(1.10%)	2.77%

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	Yes
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	--
26]	Buyer visit details	--
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	Yes
29]	Last accounts filed at ROC	Yes
30]	Major Shareholders, if available	Yes
31]	Date of Birth of Proprietor/Partner/Director, if available	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

LITIGATION DETAILS

RAJASTHAN HIGH COURT
CASE STATUS INFORMATION SYSTEM

Case Status:  PENDING

Status of INCOME TAX APPEAL 127 of 2010

C.I.T.AJMER Vs. M/S. RSWM LIMITED

Pet’s Adv. : KK BISHA

Res’s Adv : ARUN BHANSALI

Last Listed On : 14.02.2011 Court No. : 2

Category : FOR HEARING – EARLY HEAR. MATTERS

CONNECTED MATTER (S)
No Connected Matter

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10474920	21/01/2014	320,000,000.00	STATE BANK OF BIKANER AND JAIPUR	KHARIGRAM, GULABPURA, BHILWARA - 311021, RAJASTHAN, INDIA	B95221909
2	10443730	03/08/2013	95,000,000.00	STATE BANK OF BIKANER AND JAIPUR	KHARIGRAM, GULABPURA, BHILWARA - 311021, RAJASTHAN, INDIA	B82450230
3	10442614	24/07/2013	120,000,000.00	BANK OF BARODA	GULABPURA, BHILWARA- 311021, RAJASTHAN, INDIA	B81952087
4	10435750	12/11/2013 *	86,200,000.00	UNION BANK OF INDIA	15/251 RAJENDRA MARG, BHILWARA - 311001, RAJASTHAN, INDIA	B90792995
5	10435748	12/11/2013 *	267,400,000.00	UNION BANK OF INDIA	15/251 RAJENDRA MARG, BHILWARA - 311001, RAJASTHAN, INDIA	B91176685
6	10417538	12/11/2013 *	112,500,000.00	STATE BANK OF BIKANER AND JAIPUR	KHARIGRAM, GULABPURA, BHILWARA - 311021, RAJASTHAN, INDIA	B90513235
7	10329983	08/08/2012 *	402,500,000.00	DENA BANK	M-36, CONNAUGHT CIRCUS, NEW DELHI - 110001, INDIA	B58439159
8	10298225	27/01/2012 *	1,400,000,000.00	EXPORT-IMPORT BANK OF INDIA	CENTRE ONE BUILDING, FLOOR 21, WORLD TRADE CENTRE COMPLEX, CUFFE PARADE, MUMBAI - 400005, MAHARASHTRA, INDIA	B32567588
9	10302297	27/01/2012 *	1,440,000,000.00	STATE BANK OF BIKANER AND JAIPUR	KHARIGRAM, GULABPURA, BHILWARA - 311021, RAJASTHAN, INDIA	B31633803
10	10294269	27/01/2012 *	595,000,000.00	ORIENTAL BANK OF COMMERCE	SHANTI BHAWAN, BHILWARA - 311001, RAJASTHAN, INDIA	B31644420
11	10054519	27/03/2009 *	250,000,000.00	STATE BANK OF BIKANER AND JAIPUR	KHARIGRAM, GULABPURA, BHILWARA - 311021, RAJASTHAN, INDIA	A60601150
12	10055694	02/07/2012 *	66,500,000.00	ORIENTAL BANK OF COMMERCE	SHANTI BHAWAN, BHILWARA - 311001, RAJASTHAN, INDIA	B44478980
13	10040542	27/03/2009 *	250,000,000.00	EXPORT-IMPORT BANK OF INDIA	CENTRE ONE BUILDING, FLOOR 21, WORLD TRADE CENTRE COMPLEX, CUFFE PARADE, MUMBAI - 400005, MAHARASHTRA, INDIA	A60540408
14	10034916	06/11/2009 *	70,000,000.00	CENTRAL BANK OF INDIA	PIPALI CHORAYA, BIJAI NAGAR - 305624, RAJASTHAN, INDIA	A72762065
15	10041347	27/03/2009 *	500,000,000.00	STATE BANK OF INDIA	13, DEEPAK BUILDING, NEHRU PLACE, NEW DELHI - 110019, INDIA	A60541711
16	10041349	29/07/2009 *	556,200,000.00	PUNJAB NATIONAL BANK	MID CORPORATE BRANCH, M I ROAD, JAIPUR - 302001, RAJASTHAN , INDIA	A68084656
17	10041342	24/07/2009 *	130,000,000.00	STATE BANK OF INDORE	COMMERCIAL BRANCH, M-47, CONNAUGHT CIRCUS, NEW DELHI - 110001, INDIA	A67261388
18	10022053	27/03/2009 *	500,000,000.00	STATE BANK OF BIKANER AND JAIPUR	KHARIGRAM, GULABPURS - 311021, RAJASTHAN, INDIA	A60606076
19	10020758	27/03/2009 *	1,000,000,000.00	EXPORT-IMPORT BANK OF INDIA	CENTRE ONE BUILDING, FLOOR 21, WORLD TRADE CENTRE COMPLEX, CUFFE PARADE, MUMBAI - 400005, MAHARASHTRA, INDIA	A60719960
20	10017317	27/03/2009 *	500,000,000.00	STATE BANK OF MYSORE	NO.3,4 & 5, DDA BUILDING, NEHRU PLACE, NEW DELHI - 110019, INDIA	A62147574
21	10007935	27/03/2009 *	510,000,000.00	CENTRAL BANK OF INDIA	PIPALI CHORAYA, BIJAINAGAR - 305624, RAJASTHAN, INDIA	A60342516
22	10005341	27/03/2009 *	520,000,000.00	EXPORT-IMPORT BANK OF INDIA	CENTRE ONE BUILDING, FLOOR 21, WORLD TRADE CENTRE COMPLEX, CUFFE PARADE, MUMBAI - 400005, MAHARASHTRA, INDIA	A60541257
23	10005105	27/03/2009 *	500,000,000.00	STATE BANK OF MYSORE	NO.3,4 & 5, DDA BUILDING, NEHRU PLACE, NEW DELHI - 110019, INDIA	A62153721
24	80007568	27/03/2009 *	100,000,000.00	EXPORT-IMPORT BANK OF INDIA	CENTRE ONE BUILDING, FLOOR 21, WORLD TRADE CENTRE COMPLEX, CUFFE PARADE, MUMBAI - 400005, MAHARASHTRA, INDIA	A60539079
25	80016859	27/03/2009 *	247,500,000.00	PUNJAB NATIONAL BANK	MID CORPORATE BRANCH, M I ROAD, JAIPUR- 302001, RAJASTHAN , INDIA	A60597994
26	80016865	27/03/2009 *	247,500,000.00	UNION BANK OF INDIA	239, VIDHAN BHAWAN MARG, NARIMAN POINT, MUMBAI - 400021, MAHARASHTRA, INDIA	A60664364
27	80016854	27/03/2009 *	105,000,000.00	PUNJAB NATIONAL BANK	MID CORPORATE BRANCH, M I ROAD, JAIPUR- 302001, RAJASTHAN , INDIA	A60597515
28	80013179	27/03/2009 *	250,000,000.00	STATE BANK OF BIKANER AND JAIPUR	KHARIGRAM, GULABPURA - 311021, RAJASTHAN, INDIA	A60604832
29	80016906	27/03/2009 *	250,000,000.00	UNION BANK OF INDIA	239, VIDHAN BHAWAN MARG, NARIMAN POINT, MUMBAI - 400021, MAHARASHTRA, INDIA	A60664554
30	80007572	12/11/2013 *	7,760,000,000.00	STATE BANK OF BIKANER AND JAIPUR	KHARIGRAM, GULABPURA - 311021, RAJASTHAN, INDIA	B90485756

* Date of charge modification

UNSECURED LOANS

UNSECURED LOANS	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
LONG-TERM BORROWINGS
Deferred Payment Liabilities	12.286	16.997
Total	12.286	16.997

OPERATIONAL PERFORMANCE

During the year, the Company succeeded in meeting the challenges posed by the ongoing global economic crisis and came back strongly with improved efficiency, productivity and profitability.

The Company registered increase of 23.54% in its gross turnover from Rs.20001.500 Millions in 2011-12 to Rs.24710.400 Millions in 2012-13. The export turnover remained almost static at Rs.7201.900 Millions in 2012-13 as against Rs.7303.500 Millions in 2011-12 whereas domestic turnover increased to Rs.17508.500 Millions in 2012-13 from Rs.12698.000 Millions in the previous year. The analytical review of the Company’s performance and its businesses, including initiatives in the areas of human resources and information technology, have been presented in the section on Management Discussion and Analysis of the Annual Report. Working results of last three financial years 2010-11 to 2012-13.

EXPANSION AND MODERNISATION

The Company during the year continued to make further strides to achieve the targets laid down in pursuit of the ‘Lakshya 2016’ programme with a targeted turnover of Rs.45000.000 Millions and involving a capex of Rs.15000.000 Millions in stages to be achieved by 2016. The Directors in the previous year’s report had mentioned about the first phase of the above programme involving a capital outlay of Rs.3550.000 Millions. The Company during the year completed the expansion of capacity by 51,840 spindles at the Kharigram Unit of the Company. The Company also set up a spinning facility at the Denim Unit precursor to the scheduled expansion of the weaving capacity at this unit. The above expansions were completed in the second half of the financial year at a total cost of Rs.3550.000 Millions. The full benefits of the above expansions will be reflected in the working of current financial year 2013-14.

The Company initiated a capital outlay plan for supply and upgradation of Effluent Treatment Plant (ETP) at its Kharigram, Ringas, Denim and TPP Plants and Sewerage Treatment Plant (STP) at all locations at an estimated cost of Rs.151.500 Millions, as a part of various eco-friendly measures. The Directors inform the Members that these programmes are expected to be completed in the first quarter of the current financial year, 2013-14.

MANAGEMENT DISCUSSION AND ANALYSIS

ECONOMY

GLOBAL:

Global gross domestic product (GDP) grew 3.2% in 2012 against 3.9% in 2011 following another bout of turbulence in what was always expected to be a slow recovery. Economic conditions improved in the third quarter of 2012 primarily due to acceleration in emerging market economies and in the US, where surprisingly growth was registered on the upside. On the brighter side, global growth is projected to increase in 2013, as the factors accounting for decelerating global commerce are expected to wane. However, this upturn is projected to be deliberate and time-consuming. The world economy growth is estimated at 3.25% in 2013.

INDIA:

The Indian economy decelerated for the second year in succession to 5% in 2012-13 against 6.2% in 2011-12 – the lowest in the last decade – on account of weak growth coming out of its manufacturing, agriculture and service sectors. The Central Statistics Organisation’s advance estimate lowered the growth in agriculture and allied activities to 1.8% in 2012-13 against 3.6% 2011-12; manufacturing growth dropped to an estimated 1.9% in 2012-13 from 2.7% in 2011-12 while the services sector (finance, insurance, real estate and business services sectors) grew at a reduced rate of 8.6% in 2012-13 against 11.7% in the previous fiscal. In 2012-13, the industrial sector was plagued by a slowdown in investment and consumption, driven by policy slowdown and disruptions in mining output for most part of the fiscal. The manufacturing sector was impacted by declining private consumption, corporate investment and export demand. India’s farm sector grew 3.6% growth during the 11th Five-Year Plan (2007-12), falling short of the 4% growth target, although this was higher than the growth of 2.5% and 2.4% during the 9th and 10th Five Year Plans. Overall, India’s GDP growth is expected to climb to 6.7% in 2013-14 (CRISIL estimates) due to a consumption revival. With advanced economies expected to record only a slight improvement in growth and depleted domestic investment pipeline, India’s GDP growth in 2013-14 will be largely dependent on the revival of private consumption growth. Other factors expected to shape India’s growth prospects in 2013-14 could comprise a pick-up in agriculture, a normal monsoon, lower interest rates, higher government spending and increased private consumption. In 2013-14, a revival in industrial growth to 5.4% is expected, supported by growth in private consumption and a modest recovery in exports.

TEXTILE SECTOR

Textile sector and the economy:

The Indian textile industry enjoys an overwhelming presence in its economic existence as it contributes 4% to the gross domestic product, approximately 14% to industrial production, 12% of the country’s total exports and is the second largest employment provider. India’s commercial banks enjoy an exposure of about Rs.1.60 lac crore to the country’s textile sector.

Performance:

The Indian textiles sector rebounded after a catastrophic 2011-12. As per CMIE estimates, industry sales grew about 7.5% backed by higher volumes and improved realisations; total yarn production increased about 6.8% while fabric production grew about 7.1%.

On the export front, demand remained sluggish across the textile value chain in 2012. Order sizes reduced for apparel exporters, resulting in reduced volumes.

However, rupee realisations increased partly following rupee depreciation (against the USD and the Euro) leading to moderate revenue growth.

The year was marked by margins stability for textile players across the value chain led by steady cotton prices. After trending upwards over June-August 2012, raw cotton prices declined in September 2012 due to higher–than expected domestic arrivals of cotton.

The textile sector (including dyed and printed) attracted foreign direct investments worth Rs.56564.200 Millions (US$ 1.04 billion) during April 2000 to November 2012.

Government Policies:

The Indian Government sustained its concessional debt support to the Indian textiles industry through the Technology Upgradation Fund Scheme (TUFS) for the next five years. The Government estimated an outlay of US$ 3.17 billion (Rs.158860.000 Millions) for the Twelfth Five Year Plan, US$ 777.2 million (Rs.38860.000 Millions) more than the allocation during the Eleventh Five Year Plan ended March 2012. RBI also extended the 2% interest subvention for exporters till 2014, enhancing liquidity. An additional 2% incentive was provided by the government for entities registering higher exports growth.

To boost investments in the spinning segment, the Gujarat Government announced the Gujarat Textile Policy in September 2012, targeting the installation of 2.5 mn spindles worth Rs.70000.000 Millions across the next five years. The Maharashtra Government and Madhya Pradesh Government announced a near 0% interest rate for new textile units.

Other measures in the pipeline include talks with Europe for zero import duty on Indian imports which could provide a level playing field with countries such as Bangladesh in the long run.

Estimates:

The Indian textiles and apparel market (US$58 billion) has the potential to grow at a CAGR of 9% to US$141 billion by 2021. India’s share of the world’s textile and apparel exports stands at 4.5%. It is estimated that due to the increasing shift of textile and apparel production to Asian nations and the deteriorating export-competitiveness of China, India’s share could grow to 8% by 2020 with a total exports value of US$ 82 billion.

Cotton and cotton yarn prices are expected to remain stable in 2013. As per The Cotton Corporation of India Limited, cotton production in the current season (October 2012 to March 2013) is estimated at 35 million bales (1 bale=170 kg) while domestic consumption is expected at 27 million, leaving a 8 million surplus.

BUSINESS OPERATIONS

RSWM is one of the leading players in India’s textile industry with interests in the manufacture of yarn, fabric and denim. The Company’s operations are conducted across eight locations in Rajasthan. The Company is one of the largest producers and exporters of polyester viscose blended yarn and 100% cotton mélange yarn in India. Periodic investments in cutting-edge competencies and technologies facilitated the manufacture of quality products of an international standard. The Company enjoys a significant global presence with approximately 50% of products exported. RSWM exports a complete range of yarns, fabrics and garments to over 73 countries including South Africa, Australia, Korea, Belgium, Singapore, Italy, Egypt and those of the Middle East.

A. YARN BUSINESS

OVERVIEW

RSWM is more than a Company that figures among the five leading manufacturers of polyester viscose blended yarn in India. It is credited with having laid the foundation of the textile sector in Rajasthan (commenced business at Bhilwara in 1961). The yarn business is the Company’s flagship business which contributes more than 80% of its topline.

Over 25% of the Company’s yarn output is marketed to brand-enhancing downstream Indian textile players, namely Raymonds, Siyaram, Welspun, Alok, Arvind, among others. The Company’s products are also marketed across 73 nations. More than 15% of the Company’s product line is accounted by ‘green textiles’ marketed to global brands from the US, the EU and Latin America.

The Company enjoys a pan-India presence with ten regional marketing offices (Ahmedabad, Bhilwara, Delhi, Indore, Ichalkaranji, Kolkata, Kanpur, Ludhiana, Mumbai and Tirupur).

PRODUCT PORTFOLIO

The Company possesses one of the widest yarn ranges across numerous fibre blends, counts and shades; these are classified into three categories - grey, dyed, and mélange yarn. Processed fibres comprise polyester, viscose, acrylic, cotton, wool, rayon, nylon, silk, polyamide and linen. The Company also produces a range of specialty products made of unorthodox fibres (soya protein, milk protein, bamboo, bamboo-charcoal and branded fibres such as Tencel®, Greenplus®, Protex®, X-static®, Beltron®, Huvis FR Polyester®, Trevira CS®, Coolmax®, Coolplus®, Birla Modal®, Excel®, Viloft®, Cupro®, Lycra®, Clima®, Seacel®, Dupont’s Sorona®, Teijin Conex®, Tworon® and Ingeo (PLA)®). Many of these yarns were developed for specific applications with functional qualities – natural stretch, flame retardant and industrial use.

Greige yarn:

Greige yarn is the largest in terms of volume and crucial to the product portfolio. These yarns are produced at the Company’s Banswara, Rishabhdev and Kharigram (part capacity) plants.

Dyed yarn:

These yarns are made from multiple fibre varieties in line with customer specifications leading to enhanced realisations. The Company works with multiple fibres (including specialised variants) to address customer requirements. These yarns are spun at the Company’s Kharigram and Ringas units.

Melange yarn: RSWM is India’s largest mélange yarn manufacturer – premium yarns from cotton and blends used in knitwear and the weaving sector – with 44016 spindles. The Melange yarn commands the highest value-addition in RSWM’s yarn portfolio.

HIGHLIGHTS, 2012-13

Yarn production including Mélange yarn increased 22% from 95035 MT in 2011-12 to 115720 MT in 2012-13

Created the ‘Ultima’ brand to market quality yarn from its sophisticated unit at Kharigram; the yarn was successfully marketed to leading textile brands in India

Mélange yarn production grew 25% from 7351 MT in 2011-12 to 9195 MT in 2012-13

B. MAYUR SUITINGS

OVERVIEW

RSWM manufactures a range of blended suiting fabrics (Mayur brand) in India, marketed by more than 2000 retailers’ pan-India. A sizeable quantity of fabric is also exported to discerning, quality conscious customers in the Middle East, the Mediterranean region and mainland Europe, the Far East and the US.

PRODUCT

The Company possesses a comprehensive product mix comprising fabrics for formal and semi-formal wear covering unique blends of polyester and viscose in different yarn counts, shades and finishes. The Company is respected for its ability to periodically introduce value-added products in line with customer preferences.

HIGHLIGHTS, 2012-13

Production and sales volumes increased by 16% and 19% respectively over the 2011-12 level

Significantly increased sales volumes to institutional customers

C. LNJ DENIM

OVERVIEW

The denim division commissioned operations (installed capacity of 18 million metres per annum) with state of- the-art facilities and certifications like Global Organic Textile Standards (GOTS), Global Recycle Standards, SA 8000, Organic Exchange (OE blended and/or OE 100), OEKO-TEX 100 and REACH. Although, a relatively small segment, the denim business possesses the ability to improvise fabric usage around diverse applications.

PRODUCT

Over the years, the Company created a massive product basket of 3,000+ denim variants. The product range comprises denim-out-of-denim (recycled denim) and work wear like anti-bacterial hydrophobic, hydrophilic, anti-odour and fire-retardant, poly-spectrum in 65 shades, organic cotton fabric, power stretch, plasma denim, rich blended denims of cotton with linen, cotton with Kashmir wool, cotton with hemp, cotton with viscose, 100% tencel, among others.

HIGHLIGHTS 2012-13

Sales grew by 16% from 12.6 million metres in 2011-12 to 14.6 million metres

Average realisations increased over the previous year; proportion of value added products in the sales mix increased substantially

Added international brands to the client list, namely Levis, GAP and Diesel.

FINANCIAL PERFORMANCE

Despite an economic slowdown across the globe, the Company registered a stellar performance in 2012-13. Gross sales grew 23.54% from Rs.20001.500 Millions in 2011-12 to Rs.24710.400 Millions in 2012-13 – the growth being prudently balanced between volume increase and value addition.

Disciplined operations, multiple initiatives towards efficient resource utilisation and wastage elimination contained the growth in cost of operations. This coupled with an increased focus towards value addition facilitated a 105.71% jump in the EBIDTA from Rs.1609.900 Millions in 2011-12 to Rs.3311.700 Millions in 2012-13. Also, the EBIDTA margin expanded by 535 bps over 2011-12. Intelligent fund management and superior negotiation with finance partners enabled the Company reduce its average cost of borrowing.

The Company registered a net profit of Rs.678.700 Millions in 2012-13 against a net loss of Rs.217.900 Millions in 2011-12 – a turnaround in a single year. The net margin stood at 2.75% in 2012-13 against (-) 1.09% in 2011-12. The return on capital employed improved from 4.15% in 2011-12 to 12.04% in 2012-13.

The Company also improved the health of its Balance Sheet. Long term debt declined significantly which strengthened the Company’s long term debt-equity ratio from 2.54 as on March 31, 2012 to 1.89 as on March 31, 2013. The book value per share increased from Rs.123.03 as on March 31, 2012 to Rs.141.16 as on March 31, 2013.

INFORMATION TECHNOLOGY

RSWM’s efficient IT infrastructure helped accelerate organisational speed, integrate various processes across the organisation and optimise costs. All the Company’s functional locations operated on a specialised ERP platform for the textile sector along with customized modules for the business processes that addressed the Company’s unique requirements. The team periodically reviewed and validated the overall security architecture and invested to strengthen the same, on a routine basis. In 2012-13, the IT team organized training sessions for new entrants regarding the software packages (RAMCO/TIM/BPCS). The Company also organised refresher sessions for its staff to grasp the new features that have been added to the software to ensure better work and time-management.

To mitigate the risks due to unforeseen situations, as a business continuity strategy, RSWM is equipped with disaster recovery solutions for ERP, connectivity at all of its plants/locations and of its e-mailing system too.

AUDITED FINANCIAL RESULTS FOR THE QUARTER AND YEAR ENDED 31ST MARCH, 2014

[RS. IN MILLIONS]

Sr. No.	PARTICULARS	Quarter Ended		Financial Year ended
		31.03.2014 (Audited)	31.12.2013 (Unaudited)	31.03.2014 (Audited)
	PART-I
1.	Income from Operations
a)	Net Sales (Net of Excise duty)	7392.100	7416.200	28700.500
b)	Other Operating Income	32.700	30.900	122.400
	Total Income (1a+1b)	7424.800	7447.100	28822.900
2.	Expenditure
a)	Cost of materials consumed	4048.500	4367.100	16812.000
b)	Purchases of stock-in-trade	81.200	204.500	529.700
c)	Changes in inventories of finished goods, work-in-progress and stock-in-trade	478.700	151.700	176.000
d)	Employee benefits expense	558.100	595.200	2328.300
e)	Depreciation and amortisation expense	279.500	278.400	1106.900
f)	Power and Fuel	547.500	584.700	2246.900
g)	Other Expenditure	841.400	665.800	2975.000
	Total	6834.900	6847.400	26174.800
3.	Profit / (Loss) from operations before other income, finance costs and exceptional items(1-2)	589.900	611.300	2648.100
4.	Other income	32.400	20.500	132.800
5.	Profit / (Loss) from ordinary activities before finance costs and exceptional items (3+4)	622.300	631.800	2780.900
6.	Finance costs	285.300	308.900	1217.600
7.	Profit / (Loss) from ordinary activities after finance costs but before exceptional item and before tax (5-6)	337.000	322.900	1563.300
8.	Exceptional items	--	–	--
9.	Profit / (Loss) from ordinary activities before tax(7+8)	337.000	322.900	1563.300
10.	Tax expense :
	: Current tax	69.900	66.700	340.700
	: Deferred tax	45.100	50.000	234.600
11.	Net Profit/(Loss) from ordinary activities after tax(9-10)	222.000	206.200	988.000
12.	Extra ordinary items (Net of tax expenses)	--	–	--
13.	Net Profit / (loss) for the period (11-12)	222.000	206.200	988.000
14.	Paid-up equity share capital (Rs. 10/- each Face Value)	231.500	231.500	231.500
15.	Reserve excluding Revaluation Reserves			3709.000
16.	Earnings Per Share (EPS) [before and after extraordinary items] (Rs. 10/- each)
a)	Basic	9.59	8.91	42.68
b)	Diluted	9.59	8.91	42.68
	PART-II
A.	PARTICULARS OF SHAREHOLDING
1.	Public Shareholding
	- Number of Shares	11,242,035	11,242,035	11,242,035
	- Percentage of Shareholding	48.56%	48.56%	48.56%
2.	Promoters and Promoter Group Shareholding
a)	Pledged / Encumbered
	- Number of shares	NIL	NIL	NIL
	- Percentage of shares (as a % of the total shareholding of promoter and promoter group)
	- Percentage of shares (as a % of the total share capital of the Company)
b)	Non - encumbered
	- Number of shares	11,906,654	11,906,654	11,906,654
	- Percentage of shares (as a % of the total shareholding of promoter and promoter group)	100%	100%	100%
	- Percentage of shares (as a % of the total share capital of the Company)	51.44%	51.44%	51.44%

	Particulars	Quarter Ended 31.03.2014
B	Investor complaints (Nos.)
	Pending at the beginning of the quarter	Nil
	Received during the quarter	2
	Disposed of during the quarter	2
	Remaining unresolved at the end of the quarter	Nil

SEGMENT – WISE REVENUE, RESULTS AND CAPITAL EMPLOYED

Particulars	Quarter Ended		Financial Year ended
	31.03.2014 (Audited)	31.12.2013 (Unaudited)	31.03.2014 (Audited)
1. Segment Revenue
a. Yarn	6441.500	6445.800	24988.200
b. Fabrics	1102.600	1186.200	4598.100
c. Others	4.100	(0.900)	3.200
Total	7548.200	7631.100	29589.500
Less: Inter – segment revenue	123.400	184.000	766.600
Total income from operations (net)	7424.800	7447.100	28822.900
2. Segment Results
Profit/ (loss) before tax and interest
a. Yarn	583.600	576.100	2497.400
b. Fabrics	52.500	58.400	305.300
Total	636.100	634.500	2802.700
Less : i Interest	285.300	306.900	1217.600
Less : ii Other unallocable Expenditure net off unallocable income	13.800	2.700	21.800
Total Profit Before Tax	337.000	322.900	1563.300
3. Capital Employed
(Segment Assets – Segment Liabilities)
a. Yarn	11982.200	12015.300	11982.200
b. Fabrics	2957.200	2935.000	2957.200
Total	14939.400	14950.300	14939.400
Other Assets	1859.400	2126.300	1859.400
Total	16798.800	17076.600	16798.800

* Include Captive and Standby Power

STANDALONE STATEMENT OF ASSETS AND LIABILITIES (AUDITED)

Particulars		31.03.2014
A. EQUITY AND LIABILITIES
1. Shareholders Funds
a] Share Capital		231.487
b] Reserves and Surplus		3722.221
Sub-total – Shareholders’ funds		3953.708
2. Non-current Liabilities
a] Long term Borrowings		6062.963
b] Deferred Tax Liabilities		720.316
c] Other current liabilities		76.764
d] Long term provisions		178.909
Sub-total - Non-current Liabilities		7038.952
3. Current Liabilities
a] Short term Borrowings		4589.657
b] Trade Payables		363.394
c] Other Current Liabilities		2242.845
d] Short Term Provision		358.042
Sub-total - Current Liabilities		7553.938
TOTAL - EQUITY AND LIABILITIES		18546.598
B ASSETS
1. Non-current assets
a] Fixed assets		9467.066
b] Non-current investment		1273.578
c] long Term loans and Advances		393.415
d] Other non-current assets		11.196
Sub-total – Non- current assets		11145.255
2. CURRENT ASSETS
	Current Investments	0.000
	Inventories	3762.511
	Trade Receivables	2368.627
	Cash & Bank Balances	14.746
	Short Term loans and advances	357.544
	Other Current Assets	897.915
Sub-total – Current Assets		7401.343
TOTAL - ASSETS		18546.598

NOTES:

1) The above Financial Results were reviewed by the Audit Committee and thereafter were approved and taken on record by the Board of Directors at its meeting held on 22nd April, 2014.

2) The Board of Directors have recommended dividend @ 125% i.e. Rs.12.50 per share on Equity Shares amounting to Rs.289.359 Millions.

3) The Figures of the last quarter are the balancing figures between audited figures in respect of full financial year and published year to date figures upto the third quarter of the current financial Year.

4) The figures of the previous period / year have been regrouped / recast wherever considered necessary.

CONTINGENT LIABILITIES:

Particulars	31.03.2013 (Rs. In Millions)	31.03.2012 (Rs. In Millions)
A. CONTINGENT LIABILITY NOT PROVIDED FOR :
(a) Claims against the Company not acknowledged as debt	4.493	4.493
(b) Guarantees
(i) Default deferred payment guarantee to Exim Bank, ICICI, IDBI, Canara Bank, SBI and SBOM for securing loan given to Cheslind Textiles Limited Outstanding Loan {Maximum amount for which company may be liable during next 12 Months – Rs.1.244 Millions}	84.892	81.631
(ii) Guarantee in favour of International Finance Corporation with HEG Limited on joint and several basis on behalf of AD Hydro Power Limited	60.000	60.000
(iii) Guarantee by ICICI Bank Limited to LNJ Power Venture Limited	100.000	0.000
(iv) Bills discounted with banks	1024.419	915.168
(c) Other money for which the Company is contingently liable.
(i) Excise and Customs Duties, Sales tax and Other demands disputed by the Company	29.630	27.385
(ii) Future Export Obligation Against EPCG	188.300	1099.700

FIXED ASSETS:

Tangible Assets

· Free Hold Land

Lease Hold Land

Buildings

Plant and Equipments

Furniture Fixture and Other

Vehicles

Office Equipments

Electric Fitting and Water Supply Installation

Intangible Assets

· Computer Software

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. 59.06
UK Pound	1	Rs. 99.61
Euro	1	Rs. 80.60

INFORMATION DETAILS

Information Gathered by :	PRT
Analysis Done by :	RAS
Report Prepared by :	BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--CREDIT LINES	1~10	6
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	YES
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	YES
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTERS
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		50

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.