MIRA INFORM REPORT

Report No. :	306751
Report Date :	05.02.2015

IDENTIFICATION DETAILS

Name :	BHARAT HEAVY ELECTRICALS LIMITED
Registered Office :	BHEL House, Siri Fort, New Delhi – 110049
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	13.11.1964
Com. Reg. No.:	55-004281
Capital Investment / Paid-up Capital :	Rs. 4895.200 Millions
CIN No.: [Company Identification No.]	L74899DL1964GOI004281
TAN No.: [Tax Deduction & Collection Account No.]	DELB06995C / DELB01364G / DELB01591C / DELB05940E
PAN No.: [Permanent Account No.]	AAACB4146P
Legal Form :	A Public Limited Liability company. The company’s Share are Listed on the Stock Exchanges.
Line of Business :	Design, engineering, manufacture, construction, testing, commissioning and servicing of a wide range of products and services for the core sectors of the economy, viz. Power, Transmission, Industry, Transportation (Railway), Renewable Energy, Oil and Gas and Defence.
No. of Employees :	47,525 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Aa (72)

RATING		STATUS	PROPOSED CREDIT LINE
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

Maximum Credit Limit :	USD 1321000000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Exist
Comments :	Subject is a leading player in India’s power and industrial electrical equipment markets. It is a well-established company having fine track. The rating reflects BHEL’s leading position in the power and industrial electrical equipment markets in India marked by adequate liquidity position and strong financial risk profile. Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitments. The company can be considered food for normal business dealings at usual trade terms and conditions.

NOTES:

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – December 31, 2014

Country Name	Previous Rating (30.09.2014)	Current Rating (31.12.2014)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Long term rating = AAA
Rating Explanation	Highest degree of safety and lowest credit risk.
Date	23.01.2015

Rating Agency Name	CRISIL
Rating	Short term rating = A1+
Rating Explanation	Very strong degree of safety and lowest credit risk.
Date	23.01.2015

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 DENIED

MANAGEMENT NON-COOPERATIVE

(CONTACT NO.: 91-40-23183585)

LOCATIONS

Registered Office :	BHEL House, Siri Fort, New Delhi – 110049, India
Tel. No.:	91-11-66337000 (Multiple Lines)
Fax No.:	91-11-26493021/ 26492534
E-Mail :	cmdbs@asiad.bhel.co.in md@bhpvl.com tj@bheltry.co.in inder@bhel.in
Website :	http://www.bhel.com http://www.bhelhyderabad.com
Head Office :	17, Rajasthan Voyoc Nagar, G.T. Kanal Road, Delhi, India
Branch Office 1:	Ramchandrapuram, Hyderabad – 502032, Andhra Pradesh, India
Branch Office 2:	Piping Centre , 80, G. N. Chetty Road, Chennai-600017, Tamilnadu, India
BHEL Manufacturing Units1:	Lodhi Road Tiruchirappalli – 420014, Tamilnadu, India · High Pressure Boiler Plant · Seamless Steel Tube Plant
PLANT LOCATION
BHEL Manufacturing Units 2 :	Bangalore · Electronic Division, PB No. 2606, Mysore Road, Bangalore – 560026, Karnataka, India · Electronics Systems Division · Electro Porcelain Division Bhopal · Heavy Electrical Plant Goindwal · Industrial Valves Plant Haridwar · Heavy Electrical Equipment Plant · Central Foundry Forge Plant Hyderabad · Heavy Power Equipment Plant Jagdishpur · Insulator Plant · Centralised Stamping Unit P.O. BHEL, Jhansi – 284129, Uttar Pradesh, India · Transformer Plant Rudrapur · Components Fabrication Plant Ranipet · Boiler Auxiliaries Plant Thirumayam · Power Plant Piping Unit
BHEL Repairs units :	Mumbai · Electrical Machine Repair Plant Varanasi · Heavy Equipment Repair Plant
BHEL Subsidiaries :	Visakhapatnam · Bharat Heavy Plate and Vessels Limited Kasaragod · BHEL Electrical Machine Limited

DIRECTORS

AS ON 31.03.2014

Name :	Ms. Harinder Hira
Designation :	Part-time Non-official Director
Name :	Mr. B. Prasada Rao
Designation :	Chairman and Managing Director
Name :	Mr. S.K. Bahri
Designation :	Additional Secretary and Financial Adviser, DIPP
Name :	Mr. R. Krishnan
Designation :	Director (Human Resource)
Name :	Mr. W.V.K. Krishna Shankar
Designation :	Director (Industrial Systems and Products)
Name :	Mr. Ambuj Sharma
Designation :	Additional Secretary, DHI
Name :	Mr. P.K. Bajpai
Designation :	Director (Finance)
Name :	Mr. Atul Sobti
Designation :	Director (Power)
Name :	Mr. I.P. Singh
Designation :	Company Secretary

KEY EXECUTIVES

MANAGEMENT COMMITTEE
Name :	B. Prasada Rao
Designation :	CMD
Name :	P. K. Bajpai
Designation :	Director (Finance)
Name :	R. Krishnan
Designation :	Director (HR)
Name :	W.V.K. Krishna Shankar
Designation :	Director (ISandP)
Name :	Atul Sobti
Designation :	Director (Power)
Name :	A.V. Krishnan
Designation :	ED (Trichy)
Name :	Jainender Kumar
Designation :	ED (PMG)
Name :	B. Shankar
Designation :	ED (HR and CC)
Name :	T.N. Veeraraghavan
Designation :	ED (Ranipet)
Name :	S.C. Mittal
Designation :	ED (Finance and CCG)
Name :	K.C. Ramamurthy
Designation :	ED (EDN)
Name :	A.K. Dave
Designation :	ED (CMTandIP, MON and MM)
Name :	C.K. Shrikhande
Designation :	ED (PSNR)
Name :	S. Gopinath
Designation :	ED (Thirumayam and PC)
Name :	Rajiv Puri
Designation :	ED (PEM and ISG)
Name :	S.R. Prasad
Designation :	ED (Bhopal)
Name :	N. Ravi Chander
Designation :	ED (HPEP, Hyderabad)
Name :	Anuj Bhatnagar
Designation :	ED (FQA and Safety)
Name :	Prakash Chand
Designation :	ED (HEEP, Haridwar)
Name :	Akhil Joshi
Designation :	ED (TLandJV, MandA)
Name :	Dr. S. Sekar
Designation :	ED (Corp. RandD)
Name :	S.V.S. Narayana
Designation :	ED (CFFP, Haridwar)
Name :	Rajeev Srivastava
Designation :	ED (SSBG)
Name :	V. Venkata Krishnan
Designation :	ED (PS Mktg.)
Name :	S.C. Jain
Designation :	ED (PSWR)
Name :	K. Rajendran, ED
Designation :	(Coordination)
Name :	K.K. Seth
Designation :	ED (HRDI, NIC and CPG)
Name :	Ramesh Koul
Designation :	ED (TBG)
Name :	B.S. Vishwanatha
Designation :	ED (TSG)
Name :	Devendra Raina
Designation :	ED (IPE and IPM)
Name :	S.N. Maiti
Designation :	ED (PSTS)
Name :	M.K. Sharma
Designation :	ED (PEandSD)
Name :	Pradeep Singhal
Designation :	ED (CSR, HSE and Admn)
Name :	L.K. Rawal
Designation :	ED (PandD)
Name :	C.V.S.N. Murthy
Designation :	ED (Renewables and Water Business)
Name :	Amitabh Mathur
Designation :	ED (PSER)
PERMANENT INVITEES
Name :	S. Raj Sabapathy
Designation :	I (ROD and CFP)
Name :	R. Raghavan
Designation :	GM-I (ISG)
Name :	Kamalesh Das
Designation :	GM-I (CBU)
Name :	D. Bandyopadhyay
Designation :	GM-I (PSSR)
Name :	J. Sankaran
Designation :	GM-I (HPVP)
Name :	D. Guin
Designation :	GM-I (IO)
Name :	M. Khasgiwala
Designation :	GM-I (Jhansi)
Name :	K. Purswani
Designation :	GM-I (CQ)
SECRETARY
Name :	K.S. Shivaprasad
Designation :	GM (PandD)

MAJOR SHAREHOLDERS

AS ON 30.12.2014

Category of Shareholder	Total No. of Shares	Total Shareholding as a % of Total No. of Shares
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Central Government / State Government(s)	1543452000	63.06
Sub Total	1543452000	63.06
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	1543452000	63.06
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	39379474	1.61
Financial Institutions / Banks	127001166	5.19
Insurance Companies	257475680	10.52
Foreign Institutional Investors	390435733	15.95
Sub Total	814292053	33.27
(2) Non-Institutions
Bodies Corporate	24127208	0.99
Individuals
Individual shareholders holding nominal share capital up to Rs. 0.100 Million	56951408	2.33
Individual shareholders holding nominal share capital in excess of Rs. 0.100 Million	573510	0.02
Any Others (Specify)	8203821	0.34
Directors & their Relatives & Friends	3600	0.00
Trusts	1913097	0.08
Clearing Members	2100238	0.09
Non Resident Indians	4186136	0.17
Foreign Nationals	750	0.00
Sub Total	89855947	3.67
Total Public shareholding (B)	904148000	36.94
Total (A)+(B)	2447600000	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)	2447600000	100.00

BUSINESS DETAILS

Line of Business :

Design, engineering, manufacture, construction, testing, commissioning and servicing of a wide range of products and services for the core sectors of the economy, viz. Power, Transmission, Industry, Transportation (Railway), Renewable Energy, Oil and Gas and Defence.

Products :

Product Description	Item Code No.
Boilers other than parts	840210
Complete generating sets including hydro turbines	85023902
Gas Turbine of thrust exceeding 115000 KW	84118206

Brand Names :

Not Divulged

Agencies Held :

Not Divulged

Exports :

Not Divulged

Imports :

Not Divulged

Terms :

Not Divulged

GENERAL INFORMATION

Supplier :

Not Divulged

Customer :

Not Divulged

No. of Employees :

47,525 (Approximately)

Bankers :

· Allahabad Bank

· Andhra Bank

· Bank of Baroda

· Canara Bank

· Corporation Bank

· Central Bank

· Indian Bank

· Indian Oversea Bank

· Oriental Bank of Commerce

· Punjab National Bank

· Punjab & Sindh Bank

· State Bank of India

· State Bank of Hyderabad

· Syndicate Bank

· State Bank of Travancore

· UCO Bank

· Union Bank of India

· United Bank of India

· Vijaya Bank

· IDBI Bank

· CITI Bank N.A

· Deutsche Bank AG

· The Hongkong and Shanghai Banking Corporation Ltd.

· Standard Chartered Bank

· The Royal Bank of Scotland N.V.

· J P Morgan

· Axis Bank

· The Federal Bank Limited

· HDFC

· Kotak Mahindra Bank

· ICICI Bank

· Indusind Bank

· Yes Bank

Facilities :

SECURED LOANS	31.03.2014 Rs. In Millions	31.03.2013 Rs. In Millions
LONG TERM BORROWINGS
Long term maturities of finance lease obligations	1047.700	1292.000
SHORT TERM BORROWINGS
From banks
Rupee export packing credit (Secured by first charge by way of hypothecation of raw materials, components, work-in-progress, finished goods, stores, trade receivables both present and future)	25500.000	12860.000
Total	26547.700	14152.00

Banking Relations :	--
Auditors :	· S.N. Dhawan and Company Chartered Accountants New Delhi, India · Wahi and Gupta Chartered Accountants New Delhi, India · Vinay Kumar and Company Chartered Accountants Allahabad, Uttar Pradesh, India · Anjaneyulu and Company Chartered Accountants Hyderabad, Andhra Pradesh, India · Vardhaman and Company Chartered Accountants Trichy, Tamilnadu, India · Patel Mohan Ramesh and Company, Chartered Accountants Bangalore, Karnataka, India · SBA and Company Chartered Accountants Bhopal, Madhya Pradesh, India · J. V. Ramanujam and Company Chartered Accountants Chennai, Tamilnadu, India
Cost Auditors :	· Jugal K. Puri and Associates Cost Accountants New Delhi, India · K.L. Jaisingh and Company Cost Accountants Noida, India Narsimha Murthy and Company Cost Accountants Hyderabad, Andhra Pradesh, India · RKMS and Associates Cost Accountants Chennai, Tamilnadu, India · Vishwanath Bhat and Company Cost Accountants Bangalore, Karnataka, India · Sunil Singh and Company Cost Accountants Lucknow, Uttar Pradesh, India · Sanjay Kasliwal and Associates Cost Accountants Bhopal, Madhya Pradesh, India · Velamarthi and Associates Cost Accountants Visakhapatnam, Andhra Pradesh, India
Joint Ventures :	· Powerplant Performance Improvement Limited · BHEL-GE Gas Turbine Services Private Limited · NTPC-BHEL Power Projects Private Limited · Raichur Power Corporation Limited · Dada Dhuniwale Khandwa Power Limited · Latur Power Company Limited

CAPITAL STRUCTURE

AS ON 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000000	Equity Shares	Rs.2/- each	Rs.20000.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2447600000	Equity Shares	Rs.2/- each	Rs.4895.200 Millions

a) The reconciliation of the number of equity shares outstanding is set out below:

Equity Shares	Number of Shares	Rs. In Millions
Shares outstanding at the beginning of the year	2447600000	4895.200
Shares bought back during the year	--	--
Shares outstanding at the end of the year	2447600000	4895.200

b) Details of shares held by shareholders holding more than 5% shares at the year-end:

Name of Shareholders	Number of Shares	% holding
President of India (POI) along with nominees	1543452000	63.06%
Life Insurance Corporation of India	242890195	9.92%
Face Value per share		2.00

c) Terms / rights attached to the equity shares:

The company has only one class of equity shares having par value of Rs.2 per share (previous year Rs.2 per share). Each holder of the equity shares is entitled to one vote per share.

d) 4.66% of BHEL’s total paid up equity share capital (11,41,00,000 shares) were sold by Government of India through Block Deal to Life Insurance Corporation of India on 03.03.2014.

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2014	31.03.2013	31.03.2012
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	4895.200	4895.200	4895.200
(b) Reserves & Surplus	325575.300	299545.800	248836.900
(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)	330470.500	304441.000	253732.100
(3) Non-Current Liabilities
(a) long-term borrowings	1047.700	1292.000	1234.300
(b) Deferred tax liabilities (Net)	0.000	0.000	0.000
(c) Other long term liabilities	66001.700	57896.800	75585.900
(d) long-term provisions	74964.300	59440.200	50056.800
Total Non-current Liabilities (3)	142013.700	118629.000	126877.000
(4) Current Liabilities
(a) Short term borrowings	25500.000	12860.000	0.000
(b) Trade payables	87190.200	96751.800	102548.200
(c) Other current liabilities	114441.400	138623.700	158246.000
(d) Short-term provisions	28295.900	29981.100	26356.900
Total Current Liabilities (4)	255427.500	278216.600	287151.100
TOTAL	727911.700	701286.600	667760.200
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	45251.300	43146.700	41607.200
(ii) Intangible Assets	1678.100	1438.200	1360.900
(iii) Capital work-in-progress	6220.100	11335.100	13246.300
(iv) Intangible assets under development	201.100	380.800	229.800
(b) Non-current Investments	4201.700	4291.700	4616.700
(c) Deferred tax assets (net)	19689.500	15506.900	15462.400
(d) Long-term Loan and Advances	11671.400	9055.400	9001.000
(e) Other Non-current assets	118810.700	106537.200	93836.200
Total Non-Current Assets	207723.900	191692.000	179360.500
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	97975.500	117638.200	135487.300
(c) Trade receivables	280719.200	292344.900	263569.300
(d) Cash and cash equivalents	118729.300	77320.500	66719.800
(e) Short-term loans and advances	20238.600	20291.200	21117.200
(f) Other current assets	2525.200	1999.800	1506.100
Total Current Assets	520187.800	509594.600	488399.700
TOTAL	727911.700	701286.600	667760.200

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Revenue from Operations	383888.200	476176.700	472278.600
		Interest and Other Income	23360.400	19286.900	20165.800
		TOTAL	407248.600	495463.600	492444.400
Less	EXPENSES
		Consumption of Material Consumed	220990.800	278993.700	289077.300
		(Increase)/Decrease in work in progress and finished goods	10574.000	1162.100	(8232.000)
		Employees remuneration and benefit	59337.800	57527.800	54658.300
		Other Expenses of Manufacture, Administration, Selling and Distribution	33085.000	37765.600	32228.200
		Provision Net	22587.000	15657.700	14025.800
		Cost of Jobs Done for Internal Use	(684.600)	(758.700)	(1041.100)
		Prior Period Items (Net)	60.100	4.400	192.500
		TOTAL	345950.100	390352.600	380909.000
	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		61298.500	105111.000	111535.400
Less	INTEREST AND OTHER BORROWING COST		1326.300	1252.700	512.800
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		59972.200	103858.300	111022.600
Less	DEPRECIATION/ AMORTISATION		9829.200	9533.900	8000.000
	PROFIT BEFORE TAX		50143.000	94324.400	103022.600
Less	TAX		15535.200	28177.100	32623.000
	PROFIT AFTER TAX		34607.800	66147.300	70399.600
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		11021.200	10312.300	8125.900
Add	ADJUSTMENT OF DEBIT BALANCE OF PROFIT AND LOSS ACCOUNT UPTO 30.09.2011 PURSUANT TO AMALGAMATION		(2780.500)	0.000	0.000
Add	ADJUSTMENT PURSUANT TO AMALGAMATION FOR PROFIT DURING THE PERIOD FROM 01.10.2011 TO 31.03.2013		599.500	0.000	0.000
Add	ADJUSTMENT FOR PROVISION FOR TAX AND DEFERRED TAX ON AMALGAMATION		1368.500	0.000	0.000
Less	APPROPRIATIONS
		Transfer to General Reserve	25000.000	50000.000	50000.000
		Dividend	6926.800	13230.000	15670.000
		Tax on Dividend	1177.200	2208.400	2540.000
	BALANCE CARRIED TO THE B/S		11712.500	11021.200	10315.500
	EARNINGS IN FOREIGN CURRENCY
		Export of Goods	13584.100	4386.800	10065.300
		Interest	0.000	0.000	0.300
		Election and Other Services	2501.600	1431.200	4770.100
		FE in Deemed Export (Including domestic contracts and SEZ)	71691.700	117747.900	129355.800
	TOTAL EARNINGS		87777.400	123565.900	144191.500
	IMPORTS
		Raw Materials	22486.700	30425.100	48842.700
		Components & Spares Parts	40131.000	32454.100	40493.300
		Capital Goods	853.000	3198.600	4012.500
	TOTAL IMPORTS		63470.700	66077.800	93348.500
	Earnings Per Share (Rs.)		14.14	27.03	28.76

QUARTERLY RESULTS

(Rs. In Millions)

Particulars	June 2014 Unaudited
Net Sales	51549.700
Total Expenditure	49370.500
PBIDT (Excl OI)	2179.200
Other Income	3477.900
Operating Profit	5657.100
Interest	472.700
Exceptional Items	0.000
PBDT	5184.400
Depreciation	2725.400
Profit Before Tax	2459.000
Tax	524.000
Provisions and contingencies	0.000
Profit After Tax	1935.000

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
PAT / Total Income	(%)	8.50	13.35	14.30
Net Profit Margin (PBT/Sales)	(%)	13.06	19.81	21.81
Return on Total Assets (PBT/Total Assets}	(%)	7.19	14.08	16.24
Return on Investment (ROI) (PBT/Networth)		0.15	0.31	0.41
Debt Equity Ratio (Total Debt /Networth)		0.08	0.05	0.00
Current Ratio (Current Asset/Current Liability)		2.04	1.83	1.70

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	Rs. In Millions	Rs. In Millions	Rs. In Millions
Share Capital	4895.200	4895.200	4895.200
Reserves & Surplus	248836.900	299545.800	325575.300
Net worth	253732.100	304441.000	330470.500
Long-term borrowings	1234.300	1292.000	1047.700
Short term borrowings	0.000	12860.000	25500.000
Total borrowings	1234.300	14152.000	26547.700
Debt/Equity ratio	0.005	0.046	0.080

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	Rs. In Millions	Rs. In Millions	Rs. In Millions
Sales	472,278.600	476,176.700	383,888.200
		0.825	(19.381)

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	Rs. In Millions	Rs. In Millions	Rs. In Millions
Sales	472,278.600	476,176.700	383,888.200
Profit	70,399.600	66,147.300	34,607.800
	14.91%	13.89%	9.02%

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	No
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	No
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:

IN THE HIGH COURT OF DELHI AT NEW DELHI

  EX.P. 443/2014

  GEA EGI CONTRACTING /ENGINEERING

  CO LTD ..... Decree Holder

  Through: Mr. Sandeep Sethi, Sr. Advocate with Mr. Aslam Ahmed, Mr. Puneet
  Singh Bindra and Mr. Rohan Kaushal, Advocates




versus



  BHARAT HEAVY ELECTRICALS LTD ..... Judgement Debtor

  Through



  CORAM:

   HON'BLE MR. JUSTICE RAJIV SHAKDHER

   O R D E R

   28.11.2014



  EA (OS) 988/2014 (Exemption)

  1. Allowed subject to the petitioner filing certified copies of documents within six weeks from today.

  EA (OS) 989/2014 (Exemption) and EA (OS) 990/2014 (Exemption)

  2. Allowed subject to just exceptions.

  EX.P. 443/2014

  3. It is not disputed by the learned counsel for the decree holder that a civil suit has been filed by the judgment debtor before the Civil Judge at Gautam Budh Nagar in U.P.

  3.1 It is also averred in the petition that an application under Order

  EX.P. 443/2014 page 1 of 2



  7 Rule 11 of the CPC has been filed which is, however, yet to be
  adjudicated upon by the learned Civil Judge.

  3.2 The execution in the present petition is sought of a foreign award.

  4. Mr. Sethi, the learned senior counsel for the decree holder quite correctly says that the provisions of Section 48 of the Arbitration and Conciliation Act, 1996 would impel him to file an execution petition, to enforce the award in issue.

  4.1 The difficulty with this, at the present juncture, is that, wrongly or rightly proceedings have been taken out by the judgment debtor in a court, which is not under supervisory jurisdiction of this court. Therefore, the recourse to a remedy taken in that court by the petitioner will have to be exhausted or, an action would have to be taken to se right what, the decree holder says is, a wrongly instituted action, by approaching the superior court, under whose jurisdiction the Civil Judge operates.

  4.1 Mr. Sethi, at this stage, says that the matter be stood over. This request is accepted.

  5. List on 11.12.2014.

  RAJIV SHAKDHER, J

  NOVEMBER 28, 2014

  yg

  EX.P. 443/2014


  $ 33

INDEX OF CHARGE:

Sr. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	90129433	06/04/1994	17,800,000.00	INDUSTRIAL RECONSTRUCTION BANK OF INDIA	19; NETAJI SUBHAS ROAD, CALCUTTA, WEST BENGAL - 700001, INDIA	-
2	90041091	14/03/2014 *	50,000,000,000.00	STATE BANK OF INDIA	CAG BRANCH, JAWAHAR VYAPAR BHAWAN, 1, TOLSTOY MARG, NEW DELHI, DELHI - 110001, INDIA	C00817239
3	80025169	14/03/2014 *	500,000,000,000.00	STATE BANK OF INDIA	CAG BRANCH, JAWAHAR VYAPAR BHAWAN, 1, TOLSTOY MARG, NEW DELHI, DELHI - 110001, INDIA	C00907972
4	90059992	05/02/1991	33,850,000.00	EXPORT - IMPORT BANK OF INDIA	POST BAG NO. 16100; CENTRE ONE; 21 FLOOR, WORLD TRADE CENTRE; CUFFE PARADE, BOMBAY, MAHARASHTRA - 400005, INDIA	-
5	90059987	18/01/1991	113,300,000.00	EXPORT - IMPORT BANK OF INDIA	POST BAG NO. 16100; CENTRE ONE; 21 FLOOR, WORLD T RADE CENTRE; CUFFE PARADE, BOMBAY, MAHARASHTRA - 400005, INDIA	-
6	90059907	22/05/1990	34,600,000.00	EXPORT - IMPORT BANK OF INDIA	POST BAG NO. 19969; MAKER CHAMBERS IV, 222; NARIMAN POINT, BOMBAY, MAHARASHTRA - 400021, INDIA	-

*Date of modification Charges

MANAGEMENT DISCUSSION AND ANALYSIS

ECONOMIC AND BUSINESS OVERVIEW

The Capital Goods industry being the “mother” of all manufacturing industry is extremely crucial for the development of the country’s economy. The capital goods (CG) sector is highly diverse with a large variety of industrial equipment, products, and services, including those used for agriculture, construction, and transportation, as well as production of energy and power generation, building and plant infrastructure, and general manufacturing. It is also considered as a strategic sector and development of domestic capabilities is paramount from a national self-reliance and security perspective. Indian capital goods industry contributes 12% to the total manufacturing activity (which is about 15% of the GDP) in the country.

Demand for capital goods is sensitive to fluctuations of business confidence and correlates with economic swings. The global capital goods industry which is export-driven was severely affected by recession post 2008. Economy of India that is now largely integrated with the world has been affected by global and domestic factors. With almost all major customers of the capital goods sector, such as power, oil and gas, metals and cement operating at subdued capacities, the CG industry is experiencing manufacturing capacity underutilization, pricing pressure and dwindling order book in recent years.

Today, Global economy is expanding at sluggish pace but is running above the post-crisis average.

On the current reckoning, global growth is likely to be in the vicinity of 3½ per cent in 2014, about ½ a percentage point higher than in 2013 as per estimates of RBI. Key industry indicators, such as industrial production and non-residential construction, point to a modest uptick in growth for global capital goods companies during 2014. However, downside risks to growth trajectory arise from ongoing tapering of quantitative easing in the US, continuing deflation concerns and weak balance sheets in the euro area and, inflationary pressures in the emerging market and developing economies. With weakening growth and financial fragilities in China due to rapid credit in recent years, global trade and growth are on the precipice of a large risk.

The outlook for the Indian economy has improved with expected political stability, cautiously positive business sentiments, improved consumer confidence, expectations of a modest recovery in growth and decline in inflation expectations.

The real GDP behavior over the past three decades reinforces the cyclical behavior of economic growth in India and this gives reasonable confidence for economic recovery in near-term.

In the long run, underlying trends such as urbanization, changing demography, energy security, climate change and inclusive development in India and the global movement toward energy efficient products and processes should help fuel demand for capital goods in India.

FINANCIAL RESULTS FOR THE QUARTER ENDED 30^TH SEPTEMBER 2014

(RS. IN MILLIONS)

Particulars		3 Months ended		Six months ended
		30.09.2014	30.06.2014	30.09.2014
		Unaudited	Unaudited	Unaudited
1. Income from operations
a) Net sales/ Income from operation (net of excise duty)		63193.000	52772.000	115965.000
Less: Excise Duty / Service Tax		2917.000	2096.000	5013.000
Total income from Operations(net)		60276.000	50676.000	110952.000
Other Operating Income		1164.000	874.000	2038.000
2.Expenditure
a) Cost of material consumed		37531.000	32004.000	69534.000
b) Changes in inventories of finished goods, work-in-progress and stock-in-trade		(3193.000)	(6038.000)	(9231.000)
c) Employees benefit expenses		15956.000	15771.000	31727.000
d) Depreciation and amortization expenses		2662.000	2725.000	5388.000
e) Other expenditure		8231.000	7634.000	15865.000
Total expenses		61187.000	52096.000	113283.000
3. Profit from operations before other income and financial costs		253.000	(546.000)	(293.000)
4. Other income		1961.000	3478.000	5439.000
5. Profit from ordinary activities before finance costs		2214.000	2932.000	5146.000
6. Finance costs		126.000	473.000	599.000
7. Net profit/(loss) from ordinary activities after finance costs but before exceptional items		2088.000	2459.000	4547.000
8. Exceptional item / Prior periods items)		--	--	--
9. Profit from ordinary activities before tax Expense:		2088.000	2459.000	4547.000
10.Tax expenses
Tax expense (incl. deferred tax)		840.000	524.000	1364.000
Tax (earlier years)		--	--	--
11.Net Profit / (Loss) from ordinary activities after tax (9-10)		1248.000	1935.000	3183.000
12.Extraordinary Items (net of tax expense)		--	--	--
13.Net Profit / (Loss) for the period (11 -12)		1248.000	1935.000	3183.000
14.Paid-up equity share capital (Nominal value Rs.10/- each)		4895.000	4895.000	4895.000
15. Reserve excluding Revaluation Reserves as per balance sheet of previous accounting year
16.i) Earnings per share (before extraordinary items) of Rs.10/- each) (not annualised):		0.51	0.79	1.30
A. Particulars of shareholding
1. Public Shareholding
- Number of shares		904148000	904148000	904148000
- Percentage of shareholding		36.94%	36.94%	36.94%
2. Promoters and Promoters group Shareholding-
a) Pledged /Encumbered
Number of shares		--	--	--
Percentage of shares (as a % of total shareholding of the promoter and promoter group)		--	--	--
Percentage of shares (as a % of total share capital of the company)		--	--	--
b) Non Encumbered
Number of shares		1543452000	1543452000	1543452000
Percentage of shares (as a % of total shareholding of the promoter and promoter group)		100.00%	100.00%	100.00%
Percentage of shares (as a % of total share capital of the company)		63.06%	63.06%	63.06%
	B. Investor Complaints
Pending at the beginning of the quarter			--
Receiving during the quarter			301
Disposed of during the quarter			301
Remaining unreserved at the end of the quarter			--

SEGMENT WIE REVENUE, RESULTS AND CAPITAL EMPLOYED
	3 months ended		Six months ended
	30.09.2014	30.06.2014	30.09.2014
	Unaudited	Unaudited	Unaudited
1. Segment Revenue
Power	47369.000	41442.000	88811.000
Industry	15824.000	11330.000	27154.000
Total	63193.000	52772.000	115965.000
Inter segmental revenue		--
Sales / Income from operations	63193.000	52772.000	115965.000
Segment Results (Profit before Tax & Interest)
Power	6660.000	5250.000	11911.000
Industry	295.000	395.000	689.000
Total	6955.000	5645.000	12600.000
Less: Interest	126.000	473.000	599.000
Other unallocable expenditure net of income	4741.000	2713.000	7454.000
Total Profit before Tax	2088.000	2459.000	4547.000
Capital Employed
(Segment Assets - Segment Liabilities)
Power	--	--	166895.000
Industry	--	--	52789.000
Capital Employed (including unallocable common)	--	--	306967.000

STATEMENT OF ASSETS AND LIABILITIES

SOURCES OF FUNDS	30.09.2014
I.              EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	4895.000
(b) Reserves & Surplus	328400.000
(c) Money received against share warrants	0.000
(2) Share Application money pending allotment	0.000
Total Shareholders’ Funds (1) + (2)	333295.000
(3) Non-Current Liabilities
(a) long-term borrowings	839.000
(b) Deferred tax liabilities (Net)	0.000
(c) Other long term liabilities	54686.000
(d) long-term provisions	74674.000
Total Non-current Liabilities (3)	130199.000
(4) Current Liabilities
(a) Short term borrowings	0.000
(b) Trade payables	77902.000
(c) Other current liabilities	109428.000
(d) Short-term provisions	28875.000
Total Current Liabilities (4)	216205.000
TOTAL	679699.000
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	49115.000
(ii) Intangible Assets	0.000
(iii) Capital work-in-progress	0.000
(iv) Intangible assets under development	0.000
(b) Non-current Investments	4202.000
(c) Deferred tax assets (net)	20815.000
(d) Long-term Loan and Advances	13651.000
(e) Other Non-current assets	108305.000
Total Non-Current Assets	196088.000
(2) Current assets
(a) Current investments	2000.000
(b) Inventories	108276.000
(c) Trade receivables	257992.000
(d) Cash and cash equivalents	85039.000
(e) Short-term loans and advances	27134.000
(f) Other current assets	3170.000
Total Current Assets	483611.000
TOTAL	679699.000

NOTES:

1. The above results have been reviewed by the Audit Committee and were taken on record by the Board of Directors in their meeting held on November 14, 2014.

2. Pursuant to the guidelines under the Schedule II of the Companies Act, 2013, the carrying amount of the assets as on April 01, 2014 has been depreciated over the remaining revised useful life of the fixed assets. Consequently, depreciation for the quarter & half year ended September 30, 2014 is higher by Rs. 17.37 crs & Rs. 44.31 crs respectively and the profit before tax is lower to this extent. Further an amount of Rs. 35.88 crs (net of deferred tax Rs. 18.48 crs) representing the carrying amount of assets with revised useful life as nil, has been charged to the opening reserves as on April 1, 2014.

3. The Company has an outstanding order book position of about Rs. 103700 crores as at the end of quarter 2nd 2014-15.

4. The above results have been reviewed by the Auditors as per clause 41 of the listing agreement.

FIXED ASSETS:

· Freehold land (incl. development exp.)

· Leasehold land (incl. development exp.)

Roads, bridges and culverts

Buildings

Leasehold buildings

Drainage, sewerage and water supply

Railway siding

Locomotives and wagons

Plant and Machinery

Electronic data processing equipments

Electrical installations

Construction Equipment

Vehicles

Furniture and fixtures

Office and other equipments

Software

PRESS RELEASES

BHEL TO SET UP SOLAR PHOTO-VOLTAIC UNIT IN MAHARASHTRA

9 Dec, 2014,

NEW DELHI: Bharat Heavy Electricals Ltd (BHEL) would set up an integrated solar photo-voltaic manufacturing facility of around 500 MW per annum in Maharashtra, Parliament was informed today. 

"BHEL has initiated setting up an integrated solar photo-voltaic (PV) manufacturing facility of around 500 MW per annum in phases in Maharashtra subject to government approval regrading grant of 40 per cent capital subsidy under national Clean Energy Fund, to be completed in three years," Minister of State for Heavy Industries and Public Enterprises G M Siddeshwara said in a written reply to the Lok Sabha. 

He also said that the two projects - Grid-interactive solar PV plant of Neyveli Lignite Corporation in Tamil Nadu and Grid-interactive solar PV plant of Karnataka Power Corporation in Karnataka - would be commissioned by first quarter of 2015-16. 

Replying to a separate question, the minister said three CPSEs - Container Corporation of India, Engineers India Ltd and National Buildings Construction Corporation LtdBSE -5.03 % have already been granted Navratna status during the current fiscal. 

The status gives more financial autonomy to the company. Replying to a separate question, he informed the Lok Sabha that the government proposes to set up Industrial Machine Tool Park in the country. 

He said that a scheme on enhancement of competitiveness in the Indian capital goods sector has been notified by the Department of Heavy Industry in November.

One of the components of the scheme is setting up of Integrated Industrial Infrastructure Facility with the objective of making the machine tool sector more competitive by providing an ecosystem for production.

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. 61.68
UK Pound	1	Rs.93.53
Euro	1	Rs.70.75

INFORMATION DETAILS

Information Gathered by :	GYT
Analysis Done by :	SUB
Report Prepared by :	SNT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	9
PAID-UP CAPITAL	1~10	8
OPERATING SCALE	1~10	8
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	8
--PROFITABILIRY	1~10	7
--LIQUIDITY	1~10	8
--LEVERAGE	1~10	8
--RESERVES	1~10	8
--CREDIT LINES	1~10	8
--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
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		72

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.