MIRA INFORM REPORT

Report No. :	308314
Report Date :	18.02.2015

IDENTIFICATION DETAILS

Name :	RALLIS INDIA LIMITED
Registered Office :	156 / 157, 15^th Floor, Nariman Bhavan, 227, Nariman Point, Mumbai – 400 021, Maharashtra
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	23.08.1948
Com. Reg. No.:	11-014083
Capital Investment / Paid-up Capital :	Rs.194.471 Millions
CIN No.: [Company Identification No.]	L36992MH1948PLC014083
TAN No.: [Tax Deduction & Collection Account No.]	MUMR16455F BRDR01021G
PAN No.: [Permanent Account No.]	AABCR2657N
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.
Line of Business :	Subject engaged primarily in the business of Manufacture and Marketing of Agri Inputs.
No. of Employees :	881 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

A (70)

RATING		STATUS	PROPOSED CREDIT LINE
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large

Maximum Credit Limit :	USD 20000000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Exist
Comments :	Subject is a part of the ‘TATA GROUP’. It is a well-established company having a fine track. Financial position of the company appears to be sound. Fundamentals are strong and healthy. Trade relation are fair. Business is active. Payment terms are regular and as per commitments. The company can be considered good for business dealings at usual trade terms and condition.

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: AA
Rating Explanation	High credit quality and low credit risk.
Date	19.12.2014

Rating Agency Name	CRISIL
Rating	Short Term Rating: A1+
Rating Explanation	High credit quality and lowest credit risk.
Date	19.12.2014

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.

LOCATIONS

Registered Office/ Head Office 1 :	156/ 157, 15^th Floor, Nariman Bhavan, 227, Nariman Point, Mumbai – 400 021, Maharashtra, India
Tel. No.:	91-22-66652700 / 67761641
Fax No.:	91-22-66652827 / 66652847 / 66310963
E-Mail :	vijay.rallis@rallis.sprintrpg.ems.vsnl.net.in vijay.rai@rallis.sprintrpg.ems.vsnl.net.in legal.ho@rallis.co.in address.legal.ho@rallis.co.in investor_relations@rallis.co.in
Website :	http://www.rallis.co.in
Area :	5000 sq. ft.
Location :	Owned
Head Office 2 :	2^nd Floor, Sharda Terraces, Plot No. 65, Sector 11, CBD Belapur, Navi Mumbai – 400614, Maharashtra, India
Tel. No.:	91-022-67761700
Fax No.:	91-022-67761634
Agrochemicals Plants :	· GIDC Estate, Plot No. 3301, Ankleshwar - 393 002, District Bharuch, Gujarat, India · GIDC Estate, Plot No. 2808, Ankleshwar - 393 002, District Bharuch, Gujarat, India · GIDC Estate, Plot No. 3000, Ankleshwar – 393 002, District Bharuch, Gujarat, India · C 5/6, MIDC Industrial Area, Phase III, Shivani, Akola - 444 104, Maharashtra, India · Plot No. D-26, Lote Parsuram, MIDC, Near Hotel Vakratunda, Taluka Khed, District Ratnagiri - 415 722, Maharashtra, India · Plot No. Z/ 110, Dahej SEZ Part - II, P.O. Lakhigam, Taluka Vagra, District Bharuch 392 130, Gujarat, India
Regional Offices :	Located at: · Ahmedabad · Guntur · Lucknow · Pune
Zonal Offices :	Located at: · Bangalore · Chandigarh · Kolkata · Secunderabad
Turbhe Office :	Plot No. 15 A, MIDC Thane – Belapur Road, Turbhe, Navi Mumbai, 400 703, Maharashtra, India
Tel. No.:	91-22-67761700
Fax No.:	91-22-67761634

DIRECTORS

As on 31.03.2014

Name :	Mr. R. Gopalakrishnan
Designation :	Chairman
Address :	Bombay House, 24, Homi Mody Street, Mumbai – 400 001, Maharashtra, India
Date of Birth/Age :	25.12.1945
Date of Appointment :	28.06.1999
Expertise in specific functional areas :	Mr. R. Gopalakrishnan was appointed as Executive Director - Exports in Hindustan Lever Ltd., after 20 years’ experience with the Company. In 1991, he became Chairman, Unilever Arabia, based in Jeddah. He was later appointed as Managing Director of Brooke Bond Lipton and after its merger with Hindustan Lever, he was appointed Vice Chairman of Hindustan Lever Ltd. He joined Tata Sons in September 1998 and was, till recently, Executive Director of Tata Sons Ltd. He is a Director on Board of several Tata Companies.
Qualifications :	- B. Sc. in Physics from Calcutta University - Engineering from IIT, Kharagpur - Advanced Management Programme, Harvard Business School
Directorship in other company :	PUBLIC COMPANIES 1. Rallis India Limited. (Chairman) 2. Tata AutoComp Systems Limited. (Chairman) 3. Tata Chemicals Limited. (Vice Chairman) 4. Tata Sons Limited. 5. Tata Power Company Limited. 6. Tata Technologies Limited. 7. Castrol India Limited 8. Akzo Nobel India Limited 9. Advinus Therapeutics Limited. (Chairman) 10. Metahelix Life Sciences Limited. (Chairman) PRIVATE COMPANIES 1. ABP Private. Limited. OVERSEAS COMPANIES 1. Trust Energy Resources Pte Limited (Chairman) 2. IMACID S. A. (Chairman) 3. Hemas Holdings PLC
Name :	Mr. Veeramani Shankar
Designation :	Managing Director and Chief Executive Office
Address :	156/157, 15^th Floor, Nariman Bhavan, 227, Nariman Point, Mumbai – 400 021, Maharashtra, India
Date of Birth/Age :	18.09.1956
Date of Appointment :	13.03.2007
	Mr. V. Shankar joined the Company on 1^st December, 2005 as Chief Operating Officer and was appointed as Executive Director with effect from 13^th March, 2007. Prior to joining the Company, he had worked with Tata Chemicals Limited as Chief Operating Officer, Phosphates Business. Prior to that, he was with Hindustan Lever Limited From 1986 to 2004. While in Hindustan Lever, he served in various capacities in the Commercial function and was also Head of the Seeds as well as Fertiliser businesses.
Qualification :	Chartered Accountant, Cost Accountant, Company Secretary and Law Graduate.
Directorship in other company :	Rallis Australasia Pty. Limited
Name :	Mr. B. D. Banerjee
Designation :	Director
Address :	J/ 503, Satellite Gardens Phase II, Film City Road, 261, General A.K. Vaidya Marg, Goregaon (East), Mumbai – 400 063, Maharashtra, India
Date of Birth/Age :	14.10.1941
Date of Appointment :	15.06.2004
Expertise in specific functional areas :	In a career spanning over 37 years in the Insurance Industry, Mr. B. D. Banerjee played an important role in the establishment, growth and consolidation of the non-lifeInsurance sector in India. He has served as the Chairman-cum- Managing Director of Oriental Insurance Co. Ltd. and the National Insurance Co. Ltd. and as the Managing Director of General Insurance Corporation of India. He was also the Administrator of the Pune Stock Exchange and has also been the Insurance Ombudsman for Maharashtra and Goa.
Qualification :	Post Graduate with Honours in Philosophy from Presidency College, Calcutta University and Associate of the Insurance Institute of India
Directorship in other company :	PUBLIC COMPANIES 1. Rallis India Limited 2. Tata AIG General Insurance Company Limited
Name :	Mr. E. A. Kshirsagar
Designation :	Director
Address :	19, Tarangini, Twin Towers Road, Prabhadevi, Mumbai – 400 025, Maharashtra, India
Expertise in specific functional areas	Mr. Kshirsagar has wide experience in Corporate Strategy & Structure, Valuation, Feasibility Studies, Disinvestments/ Mergers & Acquisitions.
Qualification :	Fellow Member of the Institute of Chartered Accountants, England andWales
Directorship in other company :	PUBLIC COMPANIES 1. Rallis India Limited 2. Tata Chemicals Limited 3. Batliboi Limited 4. JM Financial Limited 5. Manappuram Finance Limited 6. Merck Limited 7. JM Financial Products Limited PRIVATE COMPANIES 1. Manipal Global Education Services Private. Limited OVERSEAS COMPANIES 1. Tata Chemicals Europe Holdings Limited., U.K. 2. Tata Chemicals Magadi Limited., U.K. 3. Vama Sundari Investments Private. Limited Mauritius
Name :	Mr. Prakash R. Rastogi
Designation :	Director
Address :	2, Blooming Heights, 4, Pali Hills, Bandra, Mumbai – 400 050, Maharashtra, India
Date of Birth/Age :	31.07.1944
Expertise in specific functional areas	Mr. Rastogi worked with Sandoz India from 1974 till 1994, when he was Vice President and Head of the Chemicals Division before it was de-merged to become Clariant India Ltd. He was then appointed the Vice Chairman and Managing Director of Clariant, which position he held till his retirement from the Company.
Qualification :	M.Sc. Tech from Bombay University and PG Diploma in Business Management.
Date of Appointment :	13.03.2007
Directorship in other company :	PUBLIC COMPANIES 1. Rallis India Limited. 2. Ishita Drugs & Industries Limited.
Name :	Mr. Bharat Vasani
Designation :	Director
Address :	Bombay House, 24, Homi Mody Street, Mumbai – 400 001, Maharashtra, India
Date of Birth/Age :	24.08.1958
Qualification :	B. Com., L.L.B. and Member of the Institute of Company Secretaries of India.
Date of Appointment :	13.03.2007
Name :	Mr. Y. S. P Thorat
Designation :	Director
Date of Birth/Age :
Expertise in specific functional areas	Dr. Thorat served RBI from 1972 to 2003 in various capacities, including as Executive Director. He has also served NABARD as Managing Director from 2004 and was appointed as its Chairman in 2006 and served the Institution in that capacity until November 2007. He was also associated at the policy level with Vaidyanathan Committees on the Short Term and Long Term Cooperative Credit Structure as Member Secretary and as Chairman of the Expert Groups on Credit Deposit Ratio and Investment Credit appointed by GOI and RBI respectively. He was also appointed Chairman, Expert Group on Sugar Policy constituted by the GOI in 2008. Presently, he is on the Boards of several companies and is also Chief Executive Officer of Rajiv Gandhi Charitable Trust.
Qualification :	Doctorate in Economics and degrees in Political Science and Law
Date of Appointment :	01.07.2011
Directorship in other company :	PUBLIC COMPANIES 1. Rallis India Limited 2. Tata Chemicals Limited 3. Sahayog Microfinance Limited (Chairman) 4. Khed Developers Limited 5. Star Agri Warehousing and Collateral Management Limited 6. IDBI Asset Management Company Limited 7. Gokaldas Exports Limited PRIVATE COMPANIES 1. Ambit Holdings Private Limited 2. Prabhat Dairy Private Limited 3. Aagrium Farm Products Private Limited
Name :	Punita Kumar Sinha
Designation :	Director
Date of Birth/Age :	13.05.1962
Expertise in specific functional areas	In a career spanning over 25 years, Dr. Kumar-Sinha has deep expertise in Indian as well as global financial markets and economics. She served as Senior Managing Director of The Blackstone Group LP and ChiefInvestment Officer of Blackstone Asia Advisors L.L.C. She was also the CIO and Senior Portfolio Manager of the NYSE listed India Fund Inc. and Asia Tigers Fund Inc. Prior to joining Blackstone, she served as Managing Director and Senior Portfolio Manager at Oppenheimer & Co. and CIBC World Markets. She was also a Portfolio Manager on the emerging markets team at Batterymarch Financial Management Inc. and an international equity management team member at Standish Ayer. She is the Founder and Managing Partner of Pacific Paradigm Advisors, LLC. She is also a Member of the US Council on Foreign Relations, a Chartered Financial Analyst and a Member of CFA Institute.
Qualification :	- Ph. D. in Finance, The Wharton School, University of Pennsylvania - Master of Business Administration, Drexel University, Philadelphia - Bachelor of Technology, IIT, Delhi
Date of Appointment :	26.03.2014
Directorship in other company :	PUBLIC COMPANIES 1. Rallis India Limited 2. JSW Steel Limited 3. SREI Infrastructure Finance Limited PRIVATE COMPANIES 1. Freedom Advisors Private Limited OVERSEAS COMPANIES 1. The Asia Opportunities Offshore Fund Limited 2. The Asia Opportunities Offshore Master Fund Limited
Name :	Mr. R. Mukundan
Designation :	Director
Address :	Bombay House, 24, Homi Mody Street, Mumbai – 400 001, Maharashtra, India
Date of Birth/Age :	19.09.1966
Qualification :	BE (Electrical Engineering) From IIT, Roorkee and MBA From FMS, Delhi University. Also attended the Advanced Management Programme at Harvard Business School in 2008.
Date of Appointment :	03.12.2009

KEY EXECUTIVES

Name :	Mr. K. R. Venkatadri
Designation :	Chief Operating Officer – Agriculture Business
Name :	Mr. P. S. Meherhomji
Designation :	Company Secretary
Name :	Mr. Ashish Mehta
Designation :	Financial Controller
Name :	Mr. M. M. Tripathy
Designation :	Vice President – Human Resources and Business Excellence
Name :	Mr. Ravindra R. Joshi
Designation :	Vice President – Manufacturing
Name :	Mr. Subhash R. Kadam
Designation :	Vice President - Research and Development
Name :	Mr. C. M. Singh
Designation :	Vice President - Domestic Sales
Name :	Mr. D. G. Shetty
Designation :	Head – International Business
Name :	Mr. P. V. Reddy
Designation :	Vice President - Marketing and CRM Services
Name :	Mr. N. K. Uppal
Designation :	Vice President - Agri Services
Name :	Mr. Malik Shah
Designation :	Vice President - Planning and Procurement
Name :	Mr. Coomie N. Kapadia Head
Designation :	Internal Audit
Name :	Mr. Alok Chandra
Designation :	Head - Corporate Sustainability

SHAREHOLDING PATTERN

As on 31.12.2014

Category of Shareholder	Total No. of Shares	% of Total No. of Shares
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Bodies Corporate	97416610	50.09
Sub Total	97416610	50.09
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	97416610	50.09
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	7387186	3.80
Financial Institutions / Banks	211788	0.11
Central Government / State Government(s)	801150	0.41
Insurance Companies	1438610	0.74
Foreign Institutional Investors	29534697	15.19
Any Others (Specify)	2829852	1.46
Foreign Portolio Investor ( Corporate)	2829852	1.46
Sub Total	42203283	21.70
(2) Non-Institutions
Bodies Corporate	11343573	5.83
Individuals
Individual shareholders holding nominal share capital up to Rs.0.100 Million	18308289	9.41
Individual shareholders holding nominal share capital in excess of Rs.0.100 Million	25167835	12.94
Any Others (Specify)	29300	0.02
Foreign Corporate Bodies	3900	0.00
Trusts	25400	0.01
Sub Total	54848997	28.20
Total Public shareholding (B)	97052280	49.91
Total (A)+(B)	194468890	100.00
(C) Shares held by Custodians and against which Depository Receipts have been issued	0	0.00
(1) Promoter and Promoter Group	0	0.00
(2) Public	0	0.00
Sub Total	0	0.00
Total (A)+(B)+(C)	194468890	0.00

BUSINESS DETAILS

Line of Business :	Subject engaged primarily in the business of Manufacture and Marketing of Agri Inputs.
Products :	Agri Inputs
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :	Not Available
Imports :	Not Available
Terms :
Selling :	Not Available
Purchasing :	Not Available

GENERAL INFORMATION

Suppliers :

Not Available

Customers :

Not Available

No. of Employees :

881 (Approximately)

Bankers :

· State Bank of India

· Citibank N.A.

· Corporation Bank

· BNP Paribas

· IDBI Bank Limited

· Axis Bank Limited

· ICICI Bank Limited

· HDFC Bank Limited

· Oriental Bank of Commerce

· Kotak Mahindra Bank Limited

Facilities :

SECURED LOANS	31.03.2014 (Rs. In Millions)	31.03.2013 (Rs. In Millions)
SHORT TERM BORROWINGS
Loans repayable on demand from banks*	164.196	0.000
Total	164.196	0.000

NOTE:

SHORT-TERM BORROWINGS:

* These loans have been secured by a first charge by way of hypothecation of stocks and receivables. The hypothecation also extends to guarantees issued by the Company’s bankers in the ordinary course of business.

Banking Relations :	--
Auditors :
Name :	Deloitte Haskins and Sells Chartered Accountants
Solicitors and Advocates:	Crawford Bayley and Company
Holding / Ultimate Holding Company :	· Tata Chemicals Limited
Subsidiary Companies:	· Rallis Chemistry Exports Limited · Metahelix Life Sciences Limited · Dhaanya Seeds Limited · Zero Waste Agro Organics Private Limited. (w.e.f 18th October,2012) · Rallis Australasia Pty Limited.(Liquidated on 25th January, 2012)

CAPITAL STRUCTURE

As on 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
500000000	Equity Shares	Rs.1/- each	Rs.500.000 Millions
150000000	Cumulative Redeemable Preference Shares	Rs.10/- each	Rs.1500.000 Millions
	Total		Rs.2000.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
194468890	Equity Shares	Rs.1/- each	Rs.194.469 Millions
	Add: Amount paid-up on forfeited shares		Rs.0.002 Million
	Total		Rs.194.471 Millions

a. Reconciliation of shares outstanding at the beginning and at the end of the reporting period:

Particulars	As on 31.03.2014
	Number of Shares	Rs in Millions
At the beginning of the year	194,468,890	194.469

b. The Company has issued one class of equity shares having a par value of `1 per share. Each shareholder is eligible for one vote per share held. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts, in proportion to their shareholding.

c. Details of shares held by Holding /Ultimate Holding Company and /or its subsidiaries /associates:

Out of total equity shares issued by the Company, shares held by its holding company, ultimate holding company and its subsidiaries/associates are as below:

Particulars	As on 31.03.2014
	Number of Shares	Rs in Millions
Tata Chemicals Limited (Holding Company)	97341610	97.342

d) Details of shareholders holding more than 5% shares in the Company:

Name of Shareholder	As on 31.03.2014
	Number of Shares	% Holding
Tata Chemicals Limited	97341610	50.06%
Rakesh Jhunjhunwala	19507820	10.08%

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	194.471	194.471	194.471
(b) Reserves & Surplus	6937.950	6020.389	5342.033
(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)	7132.421	6214.860	5536.504
(3) Non-Current Liabilities
(a) long-term borrowings	225.730	84.219	821.316
(b) Deferred tax liabilities (Net)	330.101	286.413	130.846
(c) Other long term liabilities	0.000	58.821	38.300
(d) long-term provisions	141.681	152.579	285.387
Total Non-current Liabilities (3)	697.512	582.032	1275.849
(4) Current Liabilities
(a) Short term borrowings	164.196	0.000	312.204
(b) Trade payables	2414.054	2131.367	2193.816
(c) Other current liabilities	382.661	1224.740	657.970
(d) Short-term provisions	574.544	510.076	318.160
Total Current Liabilities (4)	3535.455	3866.183	3482.150
TOTAL	11365.388	10663.075	10294.503
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	3775.506	3643.386	3515.901
(ii) Intangible Assets	170.976	76.890	4.675
(iii) Capital work-in-progress	61.676	157.262	349.211
(iv) Intangible assets under development	69.342	109.100	154.554
(b) Non-current Investments	2187.807	1924.399	1779.796
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	901.415	867.505	888.851
(e) Other Non-current assets	0.000	0.000	2.090
Total Non-Current Assets	7166.722	6778.542	6695.078
(2) Current assets
(a) Current investments	0.000	10.384	29.614
(b) Inventories	2385.046	1903.499	2241.615
(c) Trade receivables	1380.980	1437.606	820.928
(d) Cash and cash equivalents	66.883	244.364	105.488
(e) Short-term loans and advances	340.830	262.196	372.589
(f) Other current assets	24.927	26.484	29.191
Total Current Assets	4198.666	3884.533	3599.425
TOTAL	11365.388	10663.075	10294.503

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Revenue from operations	15308.459	13237.822	11812.500
		Other Income	57.561	114.545	74.985
		TOTAL	15366.020	13352.367	11887.485
Less	EXPENSES
		Cost of Materials Consumed	7814.258	6856.676	6206.321
		Purchases of Stock-in-Trade	1891.005	1243.332	921.273
		Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(371.834)	241.886	(38.270)
		Employees benefits expense	886.869	778.429	803.335
		Other expenses	2615.037	2085.249	1947.218
		TOTAL	12835.335	11205.572	9839.877
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		2530.685	2146.795	2047.608
Less	FINANCIAL EXPENSES		80.512	125.149	103.715
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		2450.173	2021.646	1943.893
Less	DEPRECIATION/ AMORTISATION		359.727	288.105	271.108
	PROFIT BEFORE EXCEPTIONAL ITEMS		2450.173	2021.646	1672.785
Less	EXCEPTIONAL ITEMS		0.000	0.000	171.911
	PROFIT/ (LOSS) BEFORE TAX		2090.446	1733.541	1500.874
Less	TAX		626.840	539.733	486.978
	PROFIT/ (LOSS) AFTER TAX		1463.606	1193.808	1013.896
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		2847.961	2420.326	2130.057
Less	APPROPRIATIONS
		Debenture Redemption Reserve	0.000	125.000	125.000
		Interim Dividend	194.469	194.469	194.469
		Distribution Tax on Interim Dividend	33.050	31.548	31.548
		Proposed Equity Dividend	272.256	252.810	233.363
		Distribution Tax on Proposed Equity Dividend	46.270	42.965	37.857
		Transfer to/(from): Capital General Reserve	146.361	119.381	101.390
	BALANCE CARRIED TO THE B/S		3619.161	2847.961	2420.326
	EARNINGS IN FOREIGN CURRENCY
		Export of Goods on F.O.B. Basis	4866.721	4152.433	3813.973
		Royalty Income	18.971	14.974	20.269
		Surplus on Liquidation of Subsidiary	0.000	0.000	10.769
		Freight, Insurance and Other Matters	0.000	0.000	28.600
	TOTAL EARNINGS		4885.692	4167.407	3873.611
	IMPORTS
		Raw Materials	4319.279	4053.876	3548.113
		Stores & Spares	0.134	6.367	3.519
		Capital Goods	7.161	7.795	11.576
	TOTAL IMPORTS		4326.574	4068.038	3563.208
	Earnings / (Loss) Per Share (Rs.)		7.53	6.14	5.21

QUARTERLY RESULTS

(Rs. In Millions)

Particulars	30.06.2014 (Unaudited)	30.09.2014 (Unaudited)	31.12.2014 (Unaudited)
	1^st Quarter	2^nd Quarter	3^rd Quarter
Net Sales	2921.200	5843.600	3546.700
Total Expenditure	2644.600	4610.800	2974.700
PBIDT (Excluding Other Income)	276.600	1232.800	572.000
Other Income	20.500	2.500	5.800
Operating Profit	297.100	1235.300	577.800
Interest	8.900	14.900	12.200
Exceptional Items	0.000	0.000	0.000
PBDT	288.200	1220.400	565.600
Depreciation	97.000	113.100	112.300
Profit Before Tax	191.200	1107.300	453.300
Tax	60.400	346.100	128.300
Provisions and contingencies	0.000	0.000	0.000
Profit After Tax	130.800	761.200	325.000

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin PAT / Sales	(%)	13.66	13.10	12.71
Operating Profit Margin (PBDIT/Sales)	(%)	16.53	16.22	17.33
Return on Total Assets (PBT/Total Assets}	(%)	27.08	23.86	20.88
Return on Investment (ROI) (PBT/Networth)		0.34	0.33	0.30
Debt Equity Ratio (Total Debt /Networth)		0.05	0.01	0.20
Current Ratio (Current Asset/Current Liability)		1.19	1.00	1.03

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	194.471	194.471	194.471
Reserves & Surplus	5342.033	6020.389	6937.950
Net worth	5536.504	6214.860	7132.421
long-term borrowings	821.316	84.219	225.730
Short term borrowings	312.204	0.000	164.196
Total borrowings	1133.520	84.219	389.926
Debt/Equity ratio	0.205	0.014	0.055

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	11812.500	13237.822	15308.459
		12.066	15.642

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	11812.500	13237.822	15308.459
Profit	1500.874	1733.541	2090.446
	12.71%	13.10%	13.66%

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	Yes
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

HIGH COURT OF BOMBAY

CASE DETAILS

BENCH: BOMBAY

Presentation Date:- 03.12.2013

Lodging No.:- WPL/3122/2013 Filing Date:- 03.12.2013 Reg. No.:- WP/2846/2013 Reg. Date:- 26.12.2013

Petitioner: RALLI GROUP EMPLOYEES UNION- Respondent: M/S. RALLIS INDIA LIMITED AND ANR -

Petn. Adv : MAYURESH DWARKANATH NADLE (I3723)

District: MUMBAI

Bench: SINGLE

Status: Pre-Admission Category: WRIT PETITION (LABOUR MATTERS)

Last Date: 18.09.2014 Stage: FOR SETTLEMENT / FILING CONSENT TERM

Last Coram: ACCORDING TO SITTING LIST

Act: M.R.T.U. AND P.U.L.P. Act

UNSECURED LOANS

PARTICULAR	31.03.2014 (Rs. In Millions)	31.03.2013 (Rs. In Millions)
LONG TERM BORROWINGS
Term loan from a bank	150.000	0.000
Loan from the Council of Scientific and Industrial Research	5.649	7.532
Sales Tax Deferral under a State Government Scheme	70.081	76.687
Total	225.730	84.219
NOTE: LONG TERM BORROWINGS Terms of repayment: a Term loan from a bank: The balance is repayable in 8 equal quarterly instalments. The repayment begins after a moratorium of 12 months from March, 2014. b Loan from the Council of Scientific and Industrial Research: The balance is repayable in 4 annual instalments of Rs.188.300 millions. c Sales tax deferrals: The balance is repayable in annual instalments which range from a maximum of Rs. 7.772 millions to a minimum of Rs.0.947 millions over the period stretching from 1st April, 2014 to 31st March, 2027. The amount outstanding is free of interest. The outstanding loan includes Rs. 15.395 millions (including Rs. 5.836 millions shown as a part of current maturities of long term debt in Note no. 8) in respect of which the applicability of the deferral scheme is disputed by the Sales Tax Authorities and the matter is contested before the Sales Tax Tribunal. The consequential interest claimed by the Sales Tax Authorities is included as a part of the Company’s contingent liabilities.

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10023228	28/10/2009 *	2,500,000,000.00	State Bank of India	Corporate Account Group-Central, State Bank Bhavan, 3rd Floor, Corporate centre, Madame Cama Road, Mumbai, Maharashtra - 400021, India	A73558769

* Date of charge modification

CORPORATE INFORMATION:

Subject is an Indian public limited company, incorporated on 23rd August, 1948, which is a subsidiary of Tata Chemicals Limited. It has been engaged primarily in the business of manufacture and marketing of Agri Inputs. The Company has its manufacturing facilities in India and sells both in India and across the globe. The Company is listed on the Bombay Stock Exchange (“BSE”) and the National Stock Exchange (“NSE”).

MANAGEMENT DISCUSSION AND ANALYSIS

SCENARIO AND RALLIS’ GROWTH STRATEGY

INDUSTRY STRUCTURE:

Agriculture provides much more than food. It offers essential commodities, environmental services and social goods that facilitate economic development, industrialization and diversification. From its inception, the purpose of agriculture has been to feed and fuel human activity. And now, it is more important than ever.

More than 3 billion people – almost half of the world’s population - live in rural areas. Roughly 2.5 billion of these rural people derive their livelihoods from agriculture. For many economies, especially those of developing countries, agriculture can be an important engine of economic growth. Approximately three-quarters of the world’s agricultural value added is generated in developing countries, and in many of these, the agriculture sector contributes as much as 30 percent to gross domestic product (GDP).

Although the global population growth rate is projected to decline to just over 1% p.a. in the next decade, this will still result in an additional 752 million people being added to the planet by 2022, and placing additional demands on the global food system. Additional production will also be necessary to provide feed stocks for expanding biofuel production which has become an important source of additional demand. The scope for area expansion remains limited and geographically concentrated in a few regions. In these circumstances, most of the additional agricultural production will need to come from increased productivity, as has been the case in the past. It is estimated that by 2050, agricultural production needs to increase by 60% to meet the rising demand.

Experts believe that developing countries and emerging economies will play an increasingly important role in agricultural markets in near future. Developing countries are expected to be the leading source of demand growth for agricultural products, with the projections indicating that consumption in these countries will increase for all products. Higher consumption of agricultural products is being driven by growing populations and their increasing concentration in large urban centers and mega cities, rising per capita incomes, expanding middle classes, and with the growing affluence of the large emerging economies and developing countries contributing to dietary changes. These developments are expected to sustain strong demand for agricultural products of food, feed and fibre to 2022 and be reinforced eventually by a return to stable economic growth and demand in the developed countries. The developing countries with their higher income propensities to consume are projected to continue to diversify their diets with a movement away from basic staples and grains to higher protein foods, including meats and dairy products as their incomes and general affluence increase. As per FAO reports, without agrochemicals, food production would decline, many fruits and vegetables would be in short supply and prices would rise. Some 20 to 40 percent of the world’s potential crop production is already lost annually because of the effects of weeds, pests and diseases.

India ranks first in the world in production of milk, pulses, jute; second in rice, wheat, sugarcane, groundnut, vegetables, fruits and cotton. In addition, it is a leading producer of spices and plantation crops as well as livestock, fisheries and poultry. With the contribution of about 10 percent of total export earnings, agriculture also occupies an important place in the country’s trade.

India has the latent potential to become a predominant player in global agriculture production as well as trade. Given the hardworking nature and entrepreneurial zeal of Indian farmers, need of the hour is to provide them exposure to the global best practices and farm technologies.

Agriculture, with its allied sectors, is unquestionably the largest livelihood provider in India. Most of the industries also depend upon the sector for their raw materials. Steady investments in technology development, irrigation infrastructure, emphasis on modern agricultural practices and provision of agricultural credit and subsidies are the major factors that contribute to agriculture growth.

Indian agriculture has undergone rapid transformation in the past two decades. The policy of globalisation and liberalisation has opened up new avenues for agricultural modernisation. This has not only lead to commercialisation and diversification, but also triggered various technological and institutional innovations owing to investments from corporate entities. From a net importing country, India is today consistently producing 250 million tonnes (MT) of food grains, 100 MT of rice, 90 MT of wheat, 35 million bales of cotton, and more than 18 MT of pulses.

WORLD AGROCHEMICAL MARKET:

The value of the global conventional chemical crop protection market in 2013 is estimated to have increased by 9.4% in comparison with 2012, to reach $54,208 million. The global planted areas also grew uniformly in 2013, with an exception of cotton. There was an increase in planted areas and in the production of wheat, maize, rice, soyabean and sunflower. Although there was a marginal increase in global planted area, it cascaded into higher productivity.

Overall consumption of agrochemicals increased across the globe; however, exceptional growth came from Latin America, primarily Brazil, and Asia. Value growth of the Asian sector was, however, depressed due to currency depreciation. Overall, Europe performed well, with double digit local currency growth experienced in a number of east and central European countries.

INDIAN CROP PROTECTION MARKET:

India accounts for approx. 4% of the global agrochemicals market estimated at USD 1.8 Billion. With the introduction of newer molecules and increasing awareness among farmer community, the industry is witnessing higher growth rates in recent times. The crop protection industry in India is dominated by molecules which are off patent. Hence, a strong distribution network and brand presence acts as a competitive advantage.

As per published reports, consumption of crop protection products in India is among the lowest in the world. Per capita consumption of crop protection products in India is 0.6 kg/ ha compared to 13 kg/ ha in China and 7 kg/ ha in USA. Some of the reasons for low consumption in India are low purchasing power of farmers, lack of awareness among farmers, limited reach and lower accessibility of products. This presents an immense opportunity for the crop protection industry to grow in India.

RALLIS RESPONSE:

Building and sustaining relationship has been one of the key strengths of the Company. The Company has been the fore runner in initiating various engagement platforms for its stakeholders such as RKK (For Farmers), Bhagidaari Sabha and Anubandh (For Channel Partners).

Having reached the milestone of 1 Million farmer data base last year, during the current year RKK has focused on the contact plan of the farmers for generating the demand for Megabrands. IT enablement programs like SAMPARK for increasing the effectiveness of Crop Advisors and Toll free helpline have helped in enhancing the farmer relationships. Innovative and scientific approach of creating Package of Practices (PoP) for key crops was stepped up during the current year to demonstrate the power of using the Company products in increasing the productivity of Rice, Cotton and Chilli crops. These PoPs have helped in showcasing the positive results to RKK farmers and spreading the word of mouth to other fellow farmers. Expansion of our skill development initiative Tata Rallis Agri Input Training Scheme (TRAITS) in new States like Odisha and Bihar, apart from continuing the same in West Bengal, Maharashtra and Karnataka, has also helped in creating competent crop advisors to carry on the activities of RKK.

Various new growth business initiatives under Non Pesticide Portfolio (NPP) like Seeds, Plant Growth Nutrients (PGN) and Agriservices initiatives: MoPu and Samrudh Krishi and Soil Conditioner business – Geo Green: have all helped in increasing the products and services portfolio in core crop protection markets and created good synergy in enhancing the domestic formulation business. NPP business activities increased the farmer connect and visibility in the markets and boosted the crop protection business in key crop segments.

Several innovative dealer motivation platforms under Channel Partner Engagement program initiated 3 years back have contributed in increasing the sales of selected key products in all the geographies. Innovative programs like – Anubandh, Achievers Incentive and MD‘s Elite have played important role in making the channel support sales of their key brands. Online integrated dealer portal for the channel: e-Bandhan which was started during the year, is well appreciated and steadily increasing the online order placing and stock reporting.

The Company launched Rallis Poised growth agenda in May 2007, targeting a sustained profitable and balanced growth. Since the launch of Rallis Poised growth agenda, the Company has recorded 16% CAGR in gross revenues. The Rallis Poised growth agenda has seven growth drivers, viz. Contract Manufacturing, Brand Premium, Value Enhancement (known as “DISHA” initiative), Overseas market expansion (named “Apollo”), Agri Services, Sustainability and Accelerating Growth. This is supported by three enablers, viz. Process orientation, infrastructure support in manufacturing Units, fields and offices and a committed and competent team of engaged employees.

Initiatives such as acquisition of a stake in Metahelix Life Sciences in December 2010, setting up a new manufacturing facility at Dahej in Gujarat, operating since June 2011, grow More Pulses programme, Samrudh Krishi, TRAITS, and more recent initiatives, including the acquisition of a stake in Zero Waste Agro Organics and investment at new R&D facility RICH at Bengaluru during the previous year, have further strengthened the Rallis Poised growth agenda. These initiatives are not only to drive growth but also towards balancing its business portfolio by focusing on its core business of crop protection as well as non-pesticide portfolio of Seeds, PGN, Agri Services, Contract Manufacturing, etc.

BUSINESS ENVIRONMENT 2013-14:

The global crop protection market for the year 2013 was up 9.4% over 2012. While all regions showed good level of growth over the previous year, the strongest growth was seen in Latin America on account of strong crop prices and increase in demand for maize, soyabean and sugarcane.

In India, the Year 2013-14 started on a positive note with a good monsoon covering almost the whole country during the Kharif season. The crop protection industry overall had a good year. The first half of the fiscal bore well for agriculture, translating into good gains for the agri inputs industry. Excess rains followed at the beginning of Rabi, thereby helping increased acreage of crops particularly Paddy, Pulses and Wheat. For the country as a whole, the rainfall for the crucial period of June - September was 106% of its long period average (LPA). Gujarat, Maharashtra, Madhya Pradesh, Kerala and Karnataka received excess rainfall; the States of Tamil Nadu, Coastal Andhra Pradesh, Odisha, Chhattisgarh, Uttar Pradesh, West Bengal and Himachal Pradesh got normal Monsoon, while only in North East, Bihar, Jharkhand and Haryana rainfall was deficient. South west Monsoon was better in the first quarter compared to the second quarter.

Minimum support prices (MSP) of the crops were increased and cotton fetched high prices in the market. So did the superfine varieties of Paddy - the prices of Basmati and other fine varieties soared to all-time highs. MSPs of sugarcane, soyabean and groundnut were also raised in FY14. Cluster beans produce prices dipped though, in comparison to the previous year. Sufficient rainfall coupled with good expectation of produce prices resulted in a favourable environment for the industry during the first half. The third quarter however did not shape up as well. It started with Cyclone Phailin hitting the key coastal States in the very first fortnight. This damaged the Kharif crops such as paddy, cotton, chilli and Bengal gram badly in the States of Andhra Pradesh, West Bengal, Odisha and Bihar. This situation was aggravated by the incessant rains that followed the cyclone. It is estimated that the Phailin cyclone affected around 47 lakh acres of these crops as also seriously affecting the usage of crop protection solutions during the period. As a consequence, yields fell coupled with a deterioration in the quality of produce leading to a cash crunch in the market. In November another Cyclone ‘Helen’ hit Andhra Pradesh which has a high usage of crop protection solutions and further damaged the Paddy, Cotton and Banana crops.

As a result, industry market conditions were muted in the second half of the year and were also affected by stock returns due to lower consumption. Though the acreage of pulses and wheat rose, the crop condition subsequently was healthy and did not require normal usage of crop protection products. Therefore inventories, particularly of some high value products went up at an industry level. Overall therefore, the industry grew largely led by the performance in the earlier part of the year.

FIXED ASSETS

· Freehold Land

· Leasehold Land

· Leasehold Improvements

· Buildings

· Plant and Equipment

· Furniture and Fixtures

· Vehicles

· Office Equipment’s

STANDALONE UNAUDITED FINANCIAL RESULTS FOR THE QUARTER / HALF YEAR ENDED 31^ST DECEMBER 2014

(Rs. In Millions)

Particulars	Current 3 Months Ended	Preceding 3 Months Ended	Year to date Current Period
	31.12.2014	30.09.2014	31.12.2014
	UNAUDITED
Income from operations
a) Net sales/ Income from operation (net of excise duty)	3500.000	5784.200	12174.100
b) Other operating income	46.700	59.400	137.400
Total income from Operations(net)	3546.700	5843.600	12311.500
Expenditure
a) Cost of material consumed	2000.000	2464.000	6397.900
b) Purchases of stock in trade	219.900	79.200	1629.600
c) Changes in inventories of finished goods, work-in-progress and stock-in-trade	(271.900)	458.100	(753.900)
d) Employees benefit expenses	278.900	245.600	788.200
e) Depreciation and amortization expenses	112.300	113.100	322.400
f) Other expenditure	747.800	703.900	2161.600
Total expenses	3087.000	4723.900	10545.800
Profit from operations before other income and financial costs	459.700	1119.700	1765.700
Other income	5.800	2.500	22.100
Profit from ordinary activities before finance costs	465.500	1122.200	1787.800
Finance costs	12.200	14.900	36.000
Net profit/(loss) from ordinary activities after finance costs but before exceptional items	453.300	1107.300	1751.800
Exchange Currency Fluctuation Loss/ (Gain)	--	--	--
Profit from ordinary activities before tax Expense:	453.300	1107.300	1751.800
Tax expenses	128.300	346.100	534.800
Net Profit / (Loss) from ordinary activities after tax	325.000	761.200	1217.000
Extraordinary Items (net of tax expense)	--	--	--
Net Profit / (Loss) for the period	325.000	761.200	1217.000
Minority Interest
Net Profit / (Loss) after Minority Interest for the period
Paid-up equity share capital (Nominal value Re1/- per share)	194.500	194.500	194.500
Reserve excluding Revaluation Reserves as per balance sheet of previous accounting year
Earnings per share (before extraordinary items) of Rs.10/- each) (not annualised):
(a) Basic and diluted	1.67	3.91	6.26
A. Particulars of shareholding
1. Public Shareholding
- Number of shares	97052280	97052280	97052280
- Percentage of shareholding	49.91%	49.91%	49.91%
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	97416610	97416610	97416610
Percentage of shares (as a % of total shareholding of the promoter and promoter group)	100%	100%	100%
Percentage of shares (as a % of total share capital of the company)	50.09%	50.09%	50.09%
B. Investor Complaints
Pending at the beginning of the quarter	1
Receiving during the quarter	1
Disposed of during the quarter	2
Remaining unreserved at the end of the quarter	--

NOTES:

1. The above results were reviewed by the Audit Committee, and approved by the Board of Directors at its meeting held on 20 January 2015, and the Statutory Auditors of the Company have conducted a "Limited Review" of the above financial results for the quarter and the nine months ended 31 December 2014.

2. The Company's business is seasonal in nature and the performance can be impacted by weather conditions and cropping pattern.

3. The Company has one reportable business segment viz. "Agri-Inputs".

4. The Company has reassessed the useful lives of its fixed assets. As a result of the change, the charge on account of depreciation for the quarter and the nine months ended 31 December 2014, is higher by Rs.15.000 Millions and Rs.45.000 Millions respectively compared to the useful lives estimated in earlier periods. In the case of assets whose useful lives have ended, the carrying values as at 1 April 2014 aggregating to Rs.23.700 Millions (net of deferred tax Rs.12.200 Millions) have been adjusted to the opening reserves as on 1 April 2014 pursuant to the provisions of Schedule II to the Companies Act, 2013.

5. This quarter has a charge of Rs.71.100 Millions (Rs.17.200 Millions related to Dahej land charges and Rs.53.900 Millions for stock related adjustment).

6. Figures for the earlier periods have been regrouped / recast, wherever necessary, to conform to the classification of the current period.

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.62.20
UK Pound	1	Rs.95.99
Euro	1	Rs.71.00

INFORMATION DETAILS

Analysis Done by :	SUB
Report Prepared by :	NKT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	8
PAID-UP CAPITAL	1~10	8
OPERATING SCALE	1~10	8
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	8
--PROFITABILITY	1~10	8
--LIQUIDITY	1~10	8
--LEVERAGE	1~10	7
--RESERVES	1~10	8
--CREDIT LINES	1~10	7
--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		70

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.