MIRA INFORM REPORT

Report Date :

14.11.2014

IDENTIFICATION DETAILS

Name :	MOMENTIVE PERFORMANCE MATERIALS (INDIA) PRIVATE LIMITED (w.e.f 29.12.2006)
Formerly Known As :	GE BAYER SILICONES (INDIA) PRIVATE LIMITED (w.e.f. 28.12.1998) GE SILICONES (INDIA) PRIVATE LIMITED
Registered Office :	Suvey. No. 09, Electronic City (West), Hosur Road, Bangalore - 560100, Karnataka
Country :	India
Financials (as on) :	31.03.2013
Date of Incorporation :	22.11.1995
Com. Reg. No.:	08-019244
Capital Investment / Paid-up Capital :	Rs. 286.290 Millions
CIN No.: [Company Identification No.]	U24299KA1995PTC019244
IEC No.:	Not Divulged
TAN No.: [Tax Deduction & Collection Account No.]	BLRG00578E
PAN No.: [Permanent Account No.]	AAACG9931F
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacture (including manufacture through sub-contract) and Distribution of Silicone and Silicone Related Products.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

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

Maximum Credit Limit :	USD 3700000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a part of “Momentive Performance Materials Inc”, USA. It is an established company having satisfactory track. The company possesses a favourable financial profile marked by comfortable capital structure, low gering, sound coverage indicators and stable working capital cycle. Management has witnessed an increase in its revenue base along with moderating operating margins during financial year 2013, due to increase in input costs. The ratings also significantly take into consideration the susceptibility of margins to any adverse volatility in the foreign exchange rate as a result of imports constituting bulk of the raw material purchases. Moreover, the parent company of the subject being affected by a deterioration in its liquidity, has been successfully emerged out of the cash strapped situation providing 100% recovery to its creditor and is continued to operate in normal coure following on equity infusion of $ 600 Million. Trade relations are fair. Business is active. Payment terms are reported as usually correct. In view of capable parent aiding technical and operational development promoters, 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

N E W S

Verdict Implications : Apex court order may alter coal import dynamics. Traders go slow on talks over coal supply contracts, uncertainty over cancellation of blocks weigh on stocks.

Recent arrest of the Chennai head of the Registrar of Companies, the ministry of corporate affairs arm that ensures that companies file all the information required by the Companies Act is the latest manifestation of a messy fight between a father and his adopted son for the control of Rs 40000 mn business empire. The Central Bureau of Investigation arrested Manumeethi Cholan after he accepted Rs 10 lakhs as bribe from M A M Ramaswamy, a CBI official said.

Central Bureau of Investigation books Electrotherm for cheating Central Bank of Rs 4360 mn.

Infosys maintains revenue guidance. COO Rao says attrition still an area of concern and it would take a few more quarters to bring down levels to 13-15 %.

DHL  to invest Euro 100 mn in India over next 2 years. The firm has chosen India to pilot its e-commerce business model for the Asia-Pacific region.

Blackstone may buy stake in BlueRidge SEZ in line with the fund’s real estate strategy in India.

Kingfisher Airlines Ltd grounded in October 2012 under the weight of heavy debt and accumulated losses, recently approached the Delhi high court for relief in two separate cases. The airline challenged a notice by Punjab & National Bank alleging that It had wilfully defaulted on Rs 7700 mn of loans and sought more time to comply with the requirements under the listing agreements with the Stock Exchanges.

OnMobile likely to sack another 300 employees. The lay-offs follow a spate of senior-level exits over the past two years, starting with of its founder. The overall lay-offs could number around 600 and are driven by the need to cut costs, says a former employee.

EXTERNAL AGENCY RATING

Rating Agency Name	ICRA
Rating	Long Term Rating “BBB”
Rating Explanation	Moderate degree of safety and moderate credit risk
Date	August 2014

Rating Agency Name	ICRA
Rating	Short Term Rating “A2”
Rating Explanation	Strong degree of safety and low credit risk
Date	August 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 31-03-2014.

INFORMATION PARTED BY

Name :	Mr. Aravind Menon
Designation :	Secretary
Contact No.:	91-80-49352183
Date :	12.11.2014

LOCATIONS

Registered Office :	Suvey No. 09, Electronic City (West), Hosur Road, Bangalore - 560100, Karnataka, India
Tel. No.:	91-80-49352183 / 49352222
Fax No.:	91-80-49352233
E-Mail :	aravind.menon@momentive.com
Website :	www.momentive.com
Location :	Leased
Factory :	Phase II, SIPCOT Industrial Estate, Oragadam, Chennai, Tamilnadu, India
Location :	Leased
Research and Development Centre :	Located at · Bangalore

DIRECTORS

AS ON 30.09.2013

Name :

Mr. Ramaswamy Muthuraman

Designation :

Director

Address :

# 48/49 1A, Cross Banshankari 3 Stage, V Block, Bangalore – 560085, Karnataka, India

Date of Birth/Age :

02.06.1962

Date of Appointment :

07.07.2004

PAN No.:

AAGPH8403G

DIN No.:

00043521

Other Directorship:

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Company/ LLP Status	Defaulting status
1	U24299KA1995PTC019244	MOMENTIVE PERFORMANCE MATERIALS (INDIA) PRIVATE LIMITED	Director	07/07/2004	07/07/2004	Active	NO
2	U74120MH2011FTC213947	MOMENTIVE SPECIALTY CHEMICALS (MUMBAI) PRIVATE LIMITED	Director	22/08/2012	01/03/2011	Active	NO

Name :

Mr. Varghese Poulose Nalian

Designation :

Director

Address :

# 103, Sobha Ivory Apartments, St Johns Road, Bangalore – 560042, Karnataka, India

Date of Birth/Age :

03.09.1966

Date of Appointment :

01.08.2004

PAN No.:

ABBPN4660K

DIN No.:

00045961

Name :

Mr. Robert Gnann

Designation :

Director

Address :

Buchenkamosweg 18, Bergisch, Gladbach 51427

Date of Birth/Age :

16.06.1954

Date of Appointment :

30.09.2011

DIN No.:

03320237

KEY EXECUTIVES

Name :	Mr. Aravind Menon
Designation :	Secretary
Address :	Flat No.103, Axis Sinopia Arekere Village, Bannergatta Road, Bangalore-560072, Karnataka, India
Date of Birth/Age :	05.10.1985
Date of Appointment :	26.03.2012
PAN No.:	AWHPM5985B

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2013

Name of Shareholders	No. of Shares	%age
Momentive Performance Materials GmbH, Germany	28,629,003	100.00
V P Nallian	1	0.00
R Muthuraman	1	0.00
TOTAL	28,629,005	100.00

AS ON 30.09.2013

Equity Shares Break Up	Percentage of Holding
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	100.00
TOTAL	100.00

BUSINESS DETAILS

Line of Business :

Manufacture (including manufacture through sub-contract) and Distribution of Silicone and Silicone Related Products.

Products :

ITC Code No.	Description Product or Services
391000	Silicone

Brand Names :

Not Divulged

Agencies Held :

Not Divulged

Exports :

Products :

• Finished Goods

Countries :

• Pakistan
• Bangladesh

Imports :

Products :

• Raw Materials

Countries :

• Germany
• USA
• Taiwan

Terms :

Selling :

• Cash, L\C and Cheque

Purchasing :

• Cash, L\C and Cheque

GENERAL INFORMATION

Suppliers :

Not Divulged

Customers :

Retailers and End Users

No. of Employees :

Not Available

Bankers :

• The Hongkong and Shanghai Banking Corporation Limited, No.7, MG Road, Bangalore - 560001, Karnataka, India
• HSBC Bank, M. G. Raod Branch, Bangalore, Karnataka, India

Facilities :

Secured Loan	Rs. In Millions 31.03.2013	Rs. In Millions 31.03.2012
Long Term Borrowings
Term Loans from Banks	47.500	117.500
Long Term maturities of finance lease obligation	12.417	7.420
Short Term Borrowings
Loans repayable on Demand	293.112	229.005
TOTAL	353.029	353.925

Banking Relations :	--
Auditors :
Name :	Price Waterhouse Chartered Accountant
Address :	5^th Floor Tower Dthe Mellenial and 2 Murohy Road, Ulsoor, Bangalore – 560008, Karnataka, India
PAN No.:	AAEFP3641G
Memberships :	Not Divulged
Collaborators :	Not Divulged
Ultimate Holding Company :	¨ Momentive Performance Materials Inc., USA
Holding Company :	¨ Momentive Performance Materials GmbH
Fellow Subsidiaries :	¨ Momentive Performance Materials - Hong Kong ¨ Momentive Performance Materials, Japan ¨ Momentive Performance Materials, Shanghai ¨ Momentive Performance Materials, Thailand ¨ Momentive Performance Materials, USA ¨ Momentive Performance Material, Nantong ¨ Momentive Performance Materials, Singapore ¨ Momentive Performance Materials, Brazil ¨ Momentive Performance Materials, South Korea ¨ Momentive Performance Materials Quartz GmbH

CAPITAL STRUCTURE

AS ON 31.03.2013

Authorised Capital :

No. of Shares	Type	Value	Amount
50000000	Equity Shares	Rs.10/- each	Rs. 500.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
28629005	Equity Shares	Rs.10/- each	Rs. 286.290 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	286.290	286.290	286.290
(b) Reserves & Surplus	1014.769	885.729	730.416
(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)	1301.059	1172.019	1016.706
(3) Non-Current Liabilities
(a) long-term borrowings	220.043	369.192	461.676
(b) Deferred tax liabilities (Net)	29.237	22.053	13.841
(c) Other long term liabilities	13.850	10.706	10.251
(d) long-term provisions	29.502	13.914	10.380
Total Non-current Liabilities (3)	292.632	415.865	496.148
(4) Current Liabilities
(a) Short term borrowings	293.112	229.005	0.000
(b) Trade payables	625.795	360.537	403.555
(c) Other current liabilities	323.644	214.101	141.938
(d) Short-term provisions	5.549	46.118	26.381
Total Current Liabilities (4)	1248.100	849.761	571.874
TOTAL	2841.791	2437.645	2084.728
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	1123.476	784.181	346.458
(ii) Intangible Assets	2.468	4.113	0.000
(iii) Capital work-in-progress	3.071	193.187	352.902
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.000	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	101.520	210.080	189.998
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	1230.535	1191.561	889.358
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	457.772	468.550	400.050
(c) Trade receivables	785.721	522.910	382.883
(d) Cash and cash equivalents	249.378	177.430	344.195
(e) Short-term loans and advances	108.781	71.305	63.623
(f) Other current assets	9.604	5.889	4.619
Total Current Assets	1611.256	1246.084	1195.370
TOTAL	2841.791	2437.645	2084.728

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2013	31.03.2012	31.03.2011
	SALES
	Income (Gross)	3,435.600	2808.100	2125.200
	Other Income	NA	NA	NA
	TOTAL	NA	NA	NA
Less	EXPENSES
	Cost of Materials Consumed	NA	NA	NA
	Purchases of Stock-in-Trade
	Employees benefits expense
	TOTAL	NA	NA	NA
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION	324.400	285.300	179.300
Less/ Add	DEPRECIATION/ AMORTISATION	120.800	45.800	20.200
	PROFIT/ (LOSS) BEFORE TAX	203.600	239.500	159.100
Less	TAX	74.600	84.200	53.300
	PROFIT/ (LOSS) AFTER TAX	129.000	155.300	105.800
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD (K)	687.600	532.300	426.500
	Balance Carried to the B/S (J+K+L-M)	816.600	687.600	532.300
	EARNINGS IN FOREIGN CURRENCY
	F.O.B. Value of Exports	417.821	231.786	154.888
	Service Income	217.368	47.989	53.793
	TOTAL EARNINGS	635.189	279.775	208.681
	IMPORTS
	Raw Materials	424.743	345.995	180.955
	Capital Goods	0.000	69.923	6.593
	TOTAL IMPORTS	424.743	415.918	187.548
	Earnings / (Loss) Per Share (Rs.)	4.51	5.43	3.84

KEY RATIOS

PARTICULARS		31.03.2013	31.03.2012	31.03.2011
Net Profit Margin (PAT/Sales)	(%)	3.75	5.53	4.98
Return on Total Assets (PBT/Total Assets}	(%)	7.17	10.67	9.19
Return on Investment (ROI) (PBT/Networth)		0.16	0.20	0.16
Debt Equity Ratio (Total Debt /Networth)		0.39	0.51	0.45
Current Ratio (Current Asset/Current Liability)		1.29	1.47	2.09

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	286.290	286.290	286.290
Reserves & Surplus	730.416	885.729	1,014.769
Net worth	1,016.706	1,172.019	1,301.059
long-term borrowings	461.676	369.192	220.043
Short term borrowings	0.000	229.005	293.112
Total borrowings	461.676	598.197	513.155
Debt/Equity ratio	0.454	0.510	0.394

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)
Sales (Gross)	2,125.200	2,808.100	3,435.600
		32.133	22.346

NET PROFIT MARGIN

Net Profit Margin	31.03.2011	31.03.2012	31.03.2013
	(INR)	(INR)	(INR)
Sales (Gross)	2,125.200	2,808.100	3,435.600
Profit	105.800	155.300	129.000
	4.98%	5.53%	3.75%

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check List by Info Agents	Available in Report (Yes / No)
1]	Year of Establishment	Yes
2]	Locality of the firm	Yes
3]	Constitutions of the firm	Yes
4]	Premises details	No
5]	Type of Business	Yes
6]	Line of Business	Yes
7]	Promoter's background	Yes
8]	No. of employees	No
9]	Name of person contacted	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	Yes
20]	Export / Import details (if applicable)	Yes
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

NOTE

Registered office has been shifted from The Millenia Tower B, 4^th Floor, Murphy Road, Ulsoor, Bangalore-560008, Karnataka, India to the present address w.e.f. 15.06.2012

UNSECURED LOAN

Particulars	Rs. In Millions 31.03.2013	Rs. In Millions 31.03.2012
Long Term Borrowings
Loans and advances from related parties	160.126	244.272
TOTAL	160.126	244.272

INDEX OF CHARGES

S. No	Charge ID	Date of Charge Creation /Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN
1	10150976	19/03/2009	350,000,000.00	INDIAN BANK	66, RAJAJI SALAI, CHENNAI, TAMIL NADU - 600001, INDIA	A60077153
2	10100135	06/05/2008	696,000,000.00	THE HONGKONG AND SHANGHAI BANKING CORPORATION LTD	NO.7, MG ROAD, BANGALORE, BANGALORE, KARNATAKA - 560001, INDIA	A37401544

YEAR IN RETROSPECT

The Company has made considerable progress in the execution of its strategy this year, delivering production growth and execution of projects. The aggregate sales of Rs. 3435.600 Millions (P.Y. Rs.2808.100 Millions) for the year were higher by 22.35% when compared to the previous year. The profit after tax during the year was at Rs.129.000 Millions when compared to Rs. 155.300 Millions during the previous year. The increase in forex loss by 65.50% during the year contributed to decrease in profit after tax.

FUTURE PROSPECTS

The Company will continue to expand the product offerings through research and development initiatives. Through these innovation initiatives they will continue to create new generations of products and services which will drive revenue and earnings growth.

The directors believe that, the One Momentive will present opportunities to increase their revenues by leveraging each of their and MSC's respective global footprints and technology platforms and further provide opportunities to streamline their business and reduce their cost structure.

PRODUCTS, SALES AND MARKETS

One of the Company’s strong points is its extensive network of channel partners and dealers running across the lengths and breadths of the country. The Company reviews and strengthens its distribution network on an ongoing basis.

The Company is persistently looking out for escalation opportunities and has taken several steps to pioneer new products, explore new markets, and perk up quality and to reduce costs.

Besides this, the marketing and sales division of the company works incessantly on ensuring that its customers are well aware of the ways handling of its products and the safety measures that are required to be taken care.

FIXED ASSETS

Tangible Assets

· Land

· Buildings

· Plant and equipment

· Furniture and fixtures

· Vehicles

· Office equipment

Intangible Assets

· Computer software

PRESS RELEASE

Apollo’s Momentive Performance Files for Bankruptcy

Momentive Performance Materials Inc., a maker of silicones and quartz products, filed for bankruptcy after struggling to make payments on debt dating to its 2006 buyout by Leon Black’sApollo Global Management LLC. (APO)

The company listed $2.69 billion in assets and $4.17 billion in debt in its Chapter 11 filing yesterday in U.S. Bankruptcy Court in White Plains, New York. Momentive hasn’t posted an annual profit since Apollo bought it for $3.8 billion, according to data compiled by Bloomberg. Momentive said in a statement it secured $1.3 billion in exit financing.

“The LBO debt has been an issue,” John Rogers, a senior vice president at Moody’s Investors Service who follows Momentive, said in a phone interview before the filing. “Whenever you lever up a company like this, you’re prone to exogenous shocks. First you had the 2008 recession, then people adding capacity in industries like silicone resins.”

Momentive, based in Waterford, New York, was General Electric Co.’s advanced-materials unit until Apollo bought and renamed it. In 2010, New York-based Apollo combined Momentive with Hexion Specialty Chemicals to create Momentive Performance Materials Holdings LLC, which filed for an initial public offering the following year.

“We intend to move quickly to implement our pre-negotiated balance sheet restructuring plan, which will eliminate more than $3 billion of debt,” Craig Morrison, chairman and chief executive officer of Momentive, said in the statement.

Financing arranged

The company has a $570 million commitment in debtor-in-possession financing led by jp morgan securities llc as lead arranger. The financing and cash from the company’s operations will help momentive meet its operational and restructuring needs.

The columbus, ohio-based parent and momentive specialty chemicals, the former houston specialty chemicals, weren’t included in the bankruptcy filing.

Momentive Specialty Chemicals has a “fully independent debt capital structure and a separate and strong balance sheet,” according to the statement.

Innkeepers USA Trust, a real-estate investment trust whose parent was managed by an Apollo affiliate, filed for bankruptcy in 2010, about two years after home-goods retailer Linens ’n Things Inc., an Apollo holding. The private-equity firm also has invested in debt and purchased assets of bankrupt companies, such as Hostess Brands’ Twinkies business in 2013.

Black, who pioneered the leveraged buyout business with Michael Milken at Drexel Burnham Lambert, is the 76th-richest person in the U.S., worth $5.9 billion, according to the Bloomberg Billionaires Index.

Temperatures, Textures

“Overcapacity in its industry sector” hindered momentive’s ability to keep up with debt payments, john kompa, a company spokesman, said in a statement on April 2, two days after the company warned that it was in talks with stakeholders that might lead to a bankruptcy filing.

Momentive makes silicone products used in caulk, adhesive labels, foam products, cosmetics and tires, according to the company. Its quartz business has been hurt by weak semiconductor demand, Morrison said in November.

Momentive’s net loss was $365 million in 2012, according to data compiled by Bloomberg. Standard & Poor’s in February cut Momentive’s credit rating to the fourth-lowest junk grade, citing “dim” prospects of avoiding a default or debt restructuring in the next nine months.

Momentive’s $381.9 million of 11.5 percent subordinated notes due in December 2016 were unchanged today at 30 cents on the dollar, according to Trace, the bond-price reporting system of the Financial Industry Regulatory Authority.

The case is In re Momentive Performance Materials Inc., 14-bk-22509, U.S. Bankruptcy Court, Southern District of New York (White Plains).

To contact the reporters on this story: Tiffany Kary in New York attkary@bloomberg.net; Andrea Tan in Singapore atatan17@bloomberg.net

To contact the editors responsible for this story: Michael Hytha atmhytha@bloomberg.net Stephen Farr, Douglas Wong

SILICONES AND QUARTZ PRODUCER MOMENTIVE PERFORMANCE MATERIALS INC. COMPLETES BALANCE SHEET RESTRUCTURING AND EMERGES FROM CHAPTER 11

WATERFORD, N.Y. – October 24, 2014 – Momentive Performance Materials Inc. (“MPM” or “the Company”), a global leader in the development and manufacture of silicones and products derived from quartz and specialty ceramics, today announced that it has successfully completed its balance sheet restructuring and emerged from Chapter 11.

MPM has emerged from Chapter 11 with a healthy balance sheet, significant liquidity of approximately $360 million and a free cash flow profile that will allow MPM to invest in its leading technology portfolio and global operations. As a result of this process, MPM has eliminated approximately $3 billion of debt from its balance sheet and will have pro forma net debt of approximately $1.2 billion. Throughout the pendency of its case, MPM continued to operate in normal course and its plan of reorganization, among other things, has provided for a 100% recovery to trade creditors and a $600 million new equity infusion.

“Today marks the start of a new era for MPM,” said Jack Boss, MPM’s Interim Chief Executive Officer and President. “Our balance sheet restructuring has provided us with a solid financial foundation from which we can sustainably operate and grow our leading silicones and quartz businesses. MPM is moving forward with the financial flexibility and cash flow necessary to continue to drive innovation across its specialty portfolio and provide value-added and differentiated products and services. We appreciate the support of our lenders throughout this transformational process and would like to thank our valued customers, suppliers and employees for their steadfast commitment to MPM. We believe we are well positioned for future success and excited by the opportunities afforded to us by our new capital structure.”

Post-emergence, MPM will have an independent senior management team and board of directors from Momentive Specialty Chemicals Inc. (“MSC”). The shared services agreement between MPM and MSC will remain in place and both companies will continue to benefit from the optimized cost structure and services that it provides.

Willkie Farr & Gallagher LLP served as legal counsel, Moelis & Company served as financial advisor, and AlixPartners, LLP served as restructuring advisor to MPM. The U.S. Bankruptcy Court for the Southern District of New York previously entered an order confirming MPM’s restructuring plan on September 11, 2014.

About Momentive Performance Materials Inc.

Momentive Performance Materials Inc. is a global leader in silicones and advanced materials, with a 75-year heritage of being first to market with performance applications for major industries that support and improve everyday life. The Company delivers science-based solutions, by linking custom technology platforms to opportunities for customers.

Forward-Looking and Cautionary Statements

Certain statements in this press release are forward-looking statements within the meaning of and made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. In addition, our management may from time to time make oral forward-looking statements. All statements, other than statements of historical facts, are forward-looking statements. Forward-looking statements may be identified by the words “believe,” “expect,” “anticipate,” “project,” “plan,” “estimate,” “may,” “will,” “could,” “should,” “seek” or “intend” and similar expressions. Forward-looking statements reflect our current expectations and assumptions regarding our business, the economy and other future events and conditions and are based on currently available financial, economic and competitive data and our current business plans. Actual results could vary materially depending on risks and uncertainties that may affect our operations, markets, services, prices and other factors as discussed in the Risk Factors section of our filings with the Securities and Exchange Commission (the “SEC”). While we believe our assumptions are reasonable, we caution you against relying on any forward-looking statements as it is very difficult to predict the impact of known factors, and it is impossible for us to anticipate all factors that could affect our actual results. Important factors that could cause actual results to differ materially from those in the forward-looking statements include, but are not limited to: the ability of the Company to continue as a going concern, the adverse effects of Chapter 11 proceedings on the Company’s liquidity, results of operations, brand or business prospects, the ability to execute the Company’s businesses and restructuring plan, increased legal costs related to the Bankruptcy proceedings, the Company’s ability to maintain contracts that are critical to its operations and to maintain normal terms with customers, suppliers and service providers, the Company’s ability to maintain product reliability and quality and to retain key executives, managers and employees, a weakening of global economic and financial conditions, interruptions in the supply of or increased cost of raw materials, changes in governmental regulations and related compliance and litigation costs, difficulties with the realization of cost savings in connection with our strategic initiatives, including transactions under the Shared Services Agreement with Momentive Specialty Chemicals Inc., pricing actions by our competitors that could affect our operating margins, and other unknown factors. All forward-looking statements are expressly qualified in their entirety by this cautionary notice. The forward-looking statements made by us speak only as of the date on which they are made. Factors or events that could cause our actual results to differ may emerge from time to time. We undertake no obligation to publicly update or revise any forward-looking statement as a result of new information, future events or otherwise, except as otherwise required by law.

Momentive's second phase on stream

Momentive Performance Materials (India) Pvt. Ltd., manufacturer of high-end specialty silicones at its Padappai facility near here, on Wednesday, inaugurated the second phase of the plant.

Silicones find applications in a host of industries, including automotive and textiles besides in the field of agriculture, and personal care products, such as shampoo. The company's customers include Procter & Gamble, Marico and CavinKare.

With the commissioning of the second phase, the company, which has also started exports from the plant, has invested the $20 million that it had announced when construction of the first phase of the manufacturing facility and application development centre began in 2007, Managing Director V. P. Nalian said.

Apart from catering to the domestic customers, the Padappai plant had started exporting to the Middle East.

“We have started shipping to Dubai and looking at [exporting] to Africa,” he told press persons here at the plant. A finishing plant, the Chennai facility (commissioned in 2009) provides direct employment to around 120 people. The company has a research and development centre in Bangalore, which can seat about 150 persons.

In a press release, Momentive Performance Materials Inc. CEO Craig O. Morrison said: “This investment represents a major step forward in our ability to grow the silicones business in India. The country is one of the world's fastest growing regions for automotive, construction, telecom and energy. Chennai, in particular, is developing into a significant centre for multiple industries.”

To a query, Chief Technology Officer (Silicones and Quartz Division), Momentive Performance Materials Inc., Eric Thaler, replied that the global market for silicones was around $10 billion and the company had around 25 per cent share in it.

Momentive opens new R&D center in Bangalore

US-based Momentive Performance Materials Holdings, a provider of specialty chemicals and materials to Original Equipment Manufacturers (OEMs) in the areas of automotive,paints and agriculture sectors, has announced the opening of its research and development centre in Bangalore. The R&D Centre will work on developing new technologies and products for both global and regional markets in India, Africa and Middle East (West Asia).

The R&D Centre is being operated by its subsidiaries, Momentive Performance Materials and Momentive Speciality Chemicals and is located at Electronic City in Bangalore. The company has invested $4.5 million (around Rs 23 crore).

The company also said that its new center in Bangalore would be the business headquarters for India, Middle East and Africa (IMEA) region. The company is also planning to hire around 100 people for the new centre. Presently, 37 engineers and scientists are working at the centre, V P Nalian, Momentive’s Vice President & General Manager for IMEA said.

He said the R&D centre will work on the global technology platforms and product development for new and existing applications in diverse industry segments, such as personal care, energy, healthcare, electronics, automotive, and construction. 

In addition, the facility will house its commercial, business support, business process and information technology functions.

Presently, Momentive has manufacturing Centre in Chennai, which was opened in February this year. The company has invested $20 million at this facility.

“The IMEA region represents one of the fast-growing regions for Momentive, and is projected to be a key growth area for the company in the future,” Nalian added.

CMT REPORT (Corruption, Money Laundering & Terrorism]

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

1] INFORMATION ON DESIGNATED PARTY

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

2] Court Declaration :

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

3] Asset Declaration :

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

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

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

Charges or investigation registered against subject: None

7] Criminal Records

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

8] Affiliation with Government :

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

9] Compensation Package :

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

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

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

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

CONTRAVENTION

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

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs. 61.47
UK Pound	1	Rs. 97.92
Euro	1	Rs. 46.78

INFORMATION DETAILS

Information Gathered by :	GYA
Analysis Done by :	SUB
Report Prepared by :	KLS

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--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	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		47

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	--

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