MIRA INFORM REPORT

Report No. :	314220
Report Date :	25.03.2015

IDENTIFICATION DETAILS

Name :	CENTURY ENKA LIMITED
Registered Office :	2^nd Floor, Century Arcade, Narangi Baug Road, Pune – 411001, Maharashtra
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	17.11.1965
Com. Reg. No.:	11-139075
Capital Investment / Paid-up Capital :	Rs.218.500 Million
CIN No.: [Company Identification No.]	L24304PN1965PLC139075
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	AABCC2491D
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.
Line of Business :	Subject is engaged in the business of manufacture and sale of Synthetic Yarn and Tyre Cord Fabric.
No. of Employees :	Information declined by the management.

RATING & COMMENTS

MIRA’s Rating :

A (60)

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

Status :	Good
Payment Behaviour :	Regular
Litigation :	Exist
Comments :	Subject is an established company having fine track record. Financial position of the company seems to be sound. Trade relations are fair. Business is active. Payment terms are reported to be regular and as per commitments. The company can be considered for business dealings at usual trade terms and conditions.

NOTES :

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

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Long term rating = A+
Rating Explanation	Have adequate degree of safety and carry low credit risk.
Date	November 11, 2014

Rating Agency Name	CRISIL
Rating	Short term rating = A1
Rating Explanation	Have very strong degree of safety and carry lowest credit risk.
Date	November 11, 2014

RBI DEFAULTERS’ LIST STATUS

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

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2014.

INFORMATION DENIED BY

Name :	Mr. Chirag Sancheti
Designation :	Deputy Manager Accounts
Contact No.:	91-20-66127300
Date :	23.03.2015

LOCATIONS

Registered Office :	2^nd Floor, Century Arcade, Narangi Baug Road, Pune – 411001, Maharashtra, India
Tel. No.:	91-20-26166511 / 66127300
Fax No.:	91-20-26166511
E-Mail :	secr@centuryenka.com
Website :	www.centuryenka.com
Head Office :	‘Bakhtawar’, 7th Floor, Nariman Point, Mumbai – 400021, Maharashtra, India
Tel. No.:	91-22-43215300 / 22027375
Fax No.:	91-22-43215353 / 22873952
Kolkata Office :	Birla Building, 8th Floor 9/1, R. N. Mukherjee Road, Kolkata – 700001, West Bengal, India
Tel. No.:	91-33-2243 6003
Factory 1 :	Bhosari, Pune – 411026, Maharashtra, India
Tel. No.:	91-20-66127300 / 27120423
Fax No.:	91-20-27120113
Factory 2 :	Rajashree Polyfil Rajashree Nagar, Post: Umalla, District Bharuch – 393120, Gujarat, India
Tel. No.:	91-2640-308555
Fax No.:	91-2640-308510
Factory 3 :	Raigad Processors (Not in Operation) Plot No. C-61, Part-A, MIDC Area, Mahad, District Raigad – 402309, Maharashtra, India
Tel. No.:	91-2145-232136
Factory 4 :	Konkan Synthetic Fibres (Not in Operation) Plot No. C-61, Part-B, MIDC Area Mahad, District Raigad – 402309, Maharashtra, India
Tel. No.:	91-2145-232137

DIRECTORS

As on 31.03.2014

Name :	Mr. B.K. Birla
Designation :	Chairman
Date of Birth/Age :	93 Years
Name :	Mrs. Saraladevi Birla
Designation :	Director
Date of Birth/Age :	90 Years
Name :	Mr. R. A. Shah
Designation :	Director
Date of Birth/Age :	82 Years
Name :	Mr. B. S. Mehta
Designation :	Director
Date of Birth/Age :	78 Years
Name :	Mr. S. K. Jain
Designation :	Director
Date of Birth/Age :	64 Years
Name :	Mr. G. M. Singhvi
Designation :	Whole-time Director

KEY EXECUTIVES

Name :	Mr. C. B. Gagrani
Designation :	Secretary

SHAREHOLDING PATTERN

As on 31.12.2014

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
Individuals / Hindu Undivided Family	136130	0.62
Bodies Corporate	6722598	30.77
Sub Total	6858728	31.39
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	6858728	31.39
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	8864	0.04
Financial Institutions / Banks	41189	0.19
Insurance Companies	1688772	7.73
Foreign Institutional Investors	267436	1.22
Sub Total	2006261	9.18
(2) Non-Institutions
Bodies Corporate	2632935	12.05
Individuals
Individual shareholders holding nominal share capital up to Rs. 1 lakh	7074814	32.38
Individual shareholders holding nominal share capital in excess of Rs. 1 lakh	3187060	14.59
Any Others (Specify)	90791	0.42
Clearing Members	90791	0.42
Sub Total	12985600	59.43
Total Public shareholding (B)	14991861	68.61
Total (A)+(B)	21850589	100.00
(C) Shares held by Custodians and against which Depository Receipts have been issued	0	0.00
(1)	0	0.00
(2)	0	0.00
Sub Total	0	0.00
Total (A)+(B)+(C)	21850589	0.00

Shareholding of securities (including shares, warrants, convertible securities) of persons belonging to the category Promoter and Promoter Group

Sl.No.	Name of the Shareholder	Details of Shares held
		No. of Shares held	As a % of grand total (A)+(B)+(C)
1	TGS Investment and Trade Private Limited	3114970	14.26
2	Kesoram Industries Limited	1340680	6.14
3	Century Textiles and Industries Limited	1266887	5.80
4	Prakash Educational Society	277360	1.27
5	Trapti Trading and Investments Private Limited	260820	1.19
6	Turquoise Investment and Finance Private Limited	242900	1.11
7	Parvati Tea Company Private Limited	100000	0.46
8	Birla Education Trust	75000	0.34
9	Sarala Devi Birla	49000	0.22
10	Aditya Vikram Kumar Mangalam Birla HUF	29760	0.14
11	Padmavati Investment Limited	28891	0.13
12	Rajashree Birla	26080	0.12
13	Basant Kumar Birla	22360	0.10
14	B K Birla Foundation	15090	0.07
15	Vasavadatta Bajaj	8930	0.04
	Total	6858728	31.39

Shareholding of securities (including shares, warrants, convertible securities) of persons belonging to the category Public and holding more than 1% of the total number of shares

Sl. No.	Name of the Shareholder	No. of Shares held	Shares as % of Total No. of Shares
1	Life Insurance Corporation of India	1515302	6.93
2	Hitesh Ramji Javeri	619900	2.84
3	Harsha Hitesh Javeri	472000	2.16
4	Larsin Enterprises Corporation	450000	2.06
5	Malingos International Holdings Limited	450000	2.06
6	French Wilbert Limited	250000	1.14
	Total	3757202	17.19

Shareholding of securities (including shares, warrants, convertible securities) of persons (together with PAC) belonging to the category “Public” and holding more than 5% of the total number of shares of the company

Sl. No.	Name(s) of the shareholder(s) and the Persons Acting in Concert (PAC) with them	No. of Shares	Shares as % of Total No. of Shares
1	Life Insurance Corporation of India	1515302	6.93
	Total	1515302	6.93

BUSINESS DETAILS

Line of Business :	Subject is engaged in the business of manufacture and sale of Synthetic Yarn and Tyre Cord Fabric.
Products :	Synthetic Yarn Tyre Cord Fabric
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :	Not Divulged
Imports :	Not Divulged
Terms :
Selling :	Not Divulged
Purchasing :	Not Divulged

PRODUCTION STATUS = NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

Reference :	Not Divulged
Name of the Person :	Not Divulged
Contact No.:	Not Divulged
Since How Long Known :	Not Divulged
Experience :	Not Divulged
Maximum Limit Dealt :	Not Divulged

Customers :

Reference :	Not Divulged
Name of the Person :	Not Divulged
Contact No.:	Not Divulged
Since How Long Known :	Not Divulged
Experience :	Not Divulged
Maximum Limit Dealt :	Not Divulged

No. of Employees :

Information declined by the management.

Bankers :

• Bank of Maharashtra
• State Bank of India
• Axis Bank Limited
• HDFC Bank Limited
• The Royal Bank of Scotland N.V.

Facilities :

(Rs. In Million)

SECURED LOAN	As on 31.03.2014	As on 31.03.2013
LONG TERM BORROWING
Term Loans from Banks
Rupee Term Loans	482.200	603.700
Buyers' Import Credit - Capital Goods	0.000	67.600
SHORT TERM BORROWING
From Banks
Working Capital Borrowings Repayable on Demand	1076.500	247.000
Rupee Term Loans	0.000	300.000
Buyers Import Credit for Raw Materials	0.000	229.100
Total	1558.700	1447.400
Note: Short term borrowing: Working Capital borrowings, Rupee Term Loans and Buyers Import Credit for Raw Materials are secured by way of hypothecation of Inventories, Book Debts and Receivables, both present and future. Working Capital borrowings, Rupee Term Loans carry an average interest rate of 10.10 % (Previous Year 10.12%) per annum and Buyers Import Credit for Raw Materials carry interest rate ranging from Libor + 0.48 % per annum to Libor + 0.65% per annum (Previous Year Libor + 0.05% per annum to Libor +1.45 % per annum). Working Capital Borrowings are renewed based on contract with bankers. Rupee term loans and Buyers Import Credit facility for Raw Material purchases carry 'maximum tenure of 30 days and 180 days respectively. Fixed Deposits from Employees carry interest rate of 10% per annum (Previous Year 10% per annum) and are repayable at the end of one year from the date of deposit.

Auditors :
Name :	Price Waterhouse Chartered Accountants
Solicitors :
Name :	Crawford Bayley and Company Chartered Accountants
Memberships :	Not Available
Collaborators :	Not Available
Other Related Parties :	Century Textiles and Industries Limited Kesoram Industries Limited Jay Shree Tea and Industries Limited Parvati Tea Company Limited

CAPITAL STRUCTURE

As on 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
33000000	Equity Shares	Rs.10/- each	Rs.330.000 Million
100000	Redeemable Cumulative Preference Shares	Rs.100/- each	Rs.10.000 Million
100000	Unclassified Shares	Rs.100/- each	Rs.10.000 Million
	Total		Rs.350.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
21850589	Equity Shares	Rs.10/- each	Rs.218.500 Million

Reconciliation of the Number of Shares and amount outstanding:

Particulars	As at 31st March, 2014
	Number of Shares	Rs. In Million
Balance at the beginning / end of the year	21850589	218.500

The details of Shareholders holding more than 5% shares:

Name of Shareholder	As at 31st March, 2014
	Number of Shares held	% of Shares held
TGS Investment and Trade Private Limited	3114970	14.26
Life Insurance Corporation of India	1515302	6.93
Kesoram Industries Limited	1340680	6.14
Century Textiles and Industries Limited	1266887	5.80

Rights, Preferences and Restrictions attached to Equity Shares:

The Company has one class of Equity Shares having a par value of Rs.10 per share. Each Shareholder is eligible for one vote per share held. The dividend of Rs.6.00 per share proposed by the Board of Directors is subject to the approval of the Shareholders in the ensuing Annual General Meeting.

No bonus shares have been issued during five years immediately preceding 31st March 2014.

FINANCIAL DATA

[all figures are in Rupees Million]

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	218.500	218.500	218.500
(b) Reserves & Surplus	6792.800	6319.800	6257.400
(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)	7011.300	6538.300	6475.900
(3) Non-Current Liabilities
(a) long-term borrowings	482.200	671.300	1450.200
(b) Deferred tax liabilities (Net)	940.600	1029.800	1072.100
(c) Other long term liabilities	27.800	37.900	37.700
(d) long-term provisions	78.800	87.000	77.000
Total Non-current Liabilities (3)	1529.400	1826.000	2637.000
(4) Current Liabilities
(a) Short term borrowings	1276.800	1269.300	1827.000
(b) Trade payables	371.400	248.300	747.800
(c) Other current liabilities	292.800	1029.900	399.200
(d) Short-term provisions	218.300	183.400	152.900
Total Current Liabilities (4)	2159.300	2730.900	3126.900
TOTAL	10700.000	11095.200	12239.800
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	5957.600	6699.100	7013.700
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	222.300	30.200	206.600
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	85.200	31.900	31.900
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	104.100	84.900	127.800
(e) Other Non-current assets	77.600	0.100	30.900
Total Non-Current Assets	6446.800	6846.200	7410.900
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	2120.500	2073.000	2446.200
(c) Trade receivables	1906.300	1699.000	1633.700
(d) Cash and cash equivalents	61.100	48.500	42.100
(e) Short-term loans and advances	109.000	270.800	603.000
(f) Other current assets	56.300	157.700	103.900
Total Current Assets	4253.200	4249.000	4828.900
TOTAL	10700.000	11095.200	12239.800

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2014	31.03.2013	31.03.2012
	SALES
	Income	14667.900	15521.700	16495.100
	Other Income	123.600	121.500	182.300
	TOTAL	14791.500	15643.200	16677.400
Less	EXPENSES
	Cost of Materials Consumed	9448.700	10423.200	11638.200
	Purchases of Stock-in-Trade	141.500	5.400	37.400
	Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	37.100	469.900	208.500
	Power and Fuel	1644.200	1784.300	2062.100
	Employees benefits expense	557.900	566.200	587.900
	Other expenses	1029.700	915.400	1148.300
	TOTAL	12859.100	14164.400	15682.400
Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION	1932.400	1478.800	995.000
Less	FINANCIAL EXPENSES	245.200	294.600	317.200
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION	1687.200	1184.200	677.800
Less/ Add	DEPRECIATION/ AMORTISATION	707.100	719.100	674.300
Less	EXCEPTIONAL ITEMS	22.000	150.300	0.000
	PROFIT/ (LOSS) BEFORE TAX	958.100	314.800	3.500
Less	TAX	328.800	95.900	-84.300
	PROFIT/ (LOSS) AFTER TAX	629.300	218.900	87.800
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD	2334.600	2292.100	2340.100
Less	APPROPRIATIONS
	Transfer to General Reserve	63.000	22.000	8.800
	Dividend	131.100	131.100	109.300
	Tax on Dividend	22.800	23.300	17.700
	Total	216.900	176.400	135.800
	Balance Carried to the B/S	2747.000	2334.600	2292.100
	EARNINGS IN FOREIGN CURRENCY
	F.O.B. Value of Exports	247.400	84.500	91.600
	Recovery of Freight and other charges	17.000	0.000	0.000
	Sale on Commission Basis	3.400	3.000	2.400
	TOTAL EARNINGS	267.800	87.500	94.000
	IMPORTS
	Raw Materials	3130.600	1154.400	793.500
	Components and Stores parts	38.800	59.200	89.500
	Capital Goods	239.300	75.200	98.400
	TOTAL IMPORTS	3408.700	1288.800	981.400
	Earnings / (Loss) Per Share (Rs.)	28.80	10.02	4.02

QUARTERLY RESULTS

Particulars (Rs. In Million)	30.06.2014 1^st Quarter	30.09.2014 2^nd Quarter	31.12.2014 3^rd Quarter
UnAudited	UnAudited	UnAudited	UnAudited
Net Sales	3048.400	3121.700	2927.100
Total Expenditure	2729.200	2773.600	2610.900
PBIDT (Excl OI)	319.200	348.100	316.200
Other Income	17.100	14.300	27.700
Operating Profit	336.300	362.400	343.900
Interest	50.600	38.300	45.500
Exceptional Items	0.000	0.000	0.000
PBDT	285.700	324.100	298.400
Depreciation	164.900	73.600	92.400
Profit Before Tax	120.800	250.500	206.000
Tax	34.200	125.200	66.300
Provisions and contingencies	0.000	0.000	0.000
Profit After Tax	86.600	125.300	139.700
Extraordinary Items	0.000	0.000	0.000
Prior Period Expenses	0.000	0.000	0.000
Other Adjustments	0.000	0.000	0.000
Net Profit	86.600	125.300	139.700

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT/Sales)	(%)	4.29	1.41	0.53
Operating Profit Margin (PBDIT / Sales)	(%)	13.17	9.53	6.03
Return on Total Assets (PBT/Total Assets}	(%)	9.22	2.85	0.03
Return on Investment (ROI) (PBT/Networth)		0.14	0.05	0.00
Debt Equity Ratio (Total Debt /Networth)		0.25	0.30	0.51
Current Ratio (Current Asset/Current Liability)		1.97	1.56	1.54

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Share Capital	218.500	218.500	218.500
Reserves & Surplus	6257.400	6319.800	6792.800
Net worth	6475.900	6538.300	7011.300
long-term borrowings	1450.200	671.300	482.200
Short term borrowings	1827.000	1269.300	1276.800
Total borrowings	3277.200	1940.600	1759.000
Debt/Equity ratio	0.506	0.297	0.251

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Sales	16495.100	15521.700	14667.900
		(5.901)	(5.501)

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Sales	16495.100	15521.700	14667.900
Profit	87.800	218.900	629.300
	0.53%	1.41%	4.29%

LOCAL AGENCY FURTHER INFORMATION

CURRENT MATURITIES OF LONG TERM DEBT

Particulars	31.03.2014	31.03.2013	31.03.2012
Rupee Term Loan	121.500	149.600	124.300
Foreign Currency Loan	0.000	0.000	94.400
Buyers Credit for Capital Goods	67.600	677.100	26.400
Total	189.100	826.700	245.100

Sr. No.	Check List by Info Agents	Available in Report (Yes / No)
1]	Year of Establishment	Yes
2]	Locality of the firm	Yes
3]	Constitutions of the firm	Yes
4]	Premises details	No
5]	Type of Business	Yes
6]	Line of Business	Yes
7]	Promoter's background	Yes
8]	No. of employees	No
9]	Name of person contacted	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last three years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	----------------------
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	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
Bench:- Bombay Presentation Date:-02.06.2009
Stamp No. :	SAST/15395/2009	Failing Date:-	02.07.2009	Reg. No.:-	SA/497/2011	Reg. Date:-	26.08.2011
Petitioner:-	THE PIMPRI CHINCHWAD MUNICIPAL CORPORATION		Respondent:-	CENTURY ENKA LIMITED THROUGH SHR
Petn.Adv:-	SHRI DEEPAK R. MORE		Resp. Adv.:	PDS LEGAL FOR RESPDT.
District:-	PUNE
Bench:-	SINGLE
Status:-	Admitted (Unready)		Stage:-	FOR ADMISSION - FRESH
Last Date:-	09.09.2011
Last Coram:-	HON’BLE SHRI JUSTICE G.S. GODBOLE
Act. :	Bombay Municipal Corporation Act

UNSECURED LOAN

(Rs. In Million)

Particulars	As on 31.03.2014	As on 31.03.2013
SHORT TERM BORROWING
From Banks
Buyers Import Credit for Raw Materials	190.300	483.500
From Others
Fixed Deposits from Employees	10.000	9.700
Total	200.300	493.200

INDEX OF CHARGES

S. No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10505597	17/06/2014	350,000,000.00	BANK OF MAHARASHTRA	LOKMANGAL, 1501 SHIVAJINAGAR, PUNE, Maharashtra - 411005, INDIA	C09030727
2	10377605	03/09/2012	400,000,000.00	The Hong Kong and Shanghai Banking Corporation Limited	5/60 MAHATMA GANDHI ROAD, FORT, MUMBAI, Maharashtra - 400001, INDIA	B58499427
3	10252695	08/06/2013 *	579,000,000.00	Axis Bank Limited	Corporate Banking Branch,214-215,City Mall, Ganeshkhind Road,Near Pune Universiry, Pune, Maharashtra - 411007, INDIA	B78707965
4	80065052	09/04/2012 *	4,000,000,000.00	BANK OF MAHARASHTRA	BHOSARIGAON BRANCH, PUNE, Maharashtra - 411039, INDIA	B37993482

* Date of charge modification

OVERALL REVIEW

The year was an eventful year. Among the major things happened during the year; closing down of Mahad site, transfer of part of the plant and machinery from Mahad to other sites of the Company and sale of a major part of the remaining machineries, suspension of Continuous Polymer Operation (Polyester) at Bharuch site in November 2013 which continued till the year end, reengineering and modification work in Continuous Polyester Plant at Bharuch on large scale by making a part of it as non-continuous plant, taking effective steps in implementing the project of doubling the dipping plant capacity, receipt of an order from Central Excise Department raising a demand of Rs. 2292.700 Million along with equal amount of penalty and interest thereon were the important events.

In addition to this, the Company concentrated on energy saving, higher production of dipped tyrecord fabric, change in product mix with an eye on high value added products and prioritising various activities in the plant to improve the overall operational efficiency. The combined outcome of the above events and the initiatives taken by the Management as stated above, the financial performance of the Company improved with a net profit of Rs.629.300 Million for the year 2013-14 as against net profit of Rs.218.900 Million in the previous year.

UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED AND NINE MONTHS ON 31.12.2014

[RS. IN MILLION]

PARTICULARS	Quarter Ended		9 Months Ended
	31.12.2014 [Unaudited]	30.09.2014 [Unaudited]	31.12.2014 [Unaudited]
Income from operations
a) Net sales/ Income from operation (net of excise duty)	2910.300	3106.000	9050.600
b) Other operating income	16.800	15.700	46.600
Total Income from Operations (net)	2927.100	3121.700	9097.200
Expenditure
Cost of material consumed	2063.800	1959.200	6009.200
Purchases of Stock-in-Trade	2.000	11.700	16.400
Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(300.100)	(49.000)	(446.500)
Employees benefits expense	167.100	162.600	515.600
Power and Fuel	424.700	432.500	1270.800
Depreciation	92.400	73.600	330.900
Other expenses	253.400	256.600	748.200
Total expenses	2703.300	2847.200	8444.600
Profit from operations before other income, and financial costs and Exceptional Items	223.800	274.500	652.600
Other income	27.700	14.300	59.100
Profit from ordinary activities before finance costs	251.500	288.800	711.700
Finance costs	45.500	38.300	134.400
Net profit/(loss) from ordinary activities after finance costs but before exceptional items	206.00	250.500	577.300
Exceptional item	---	---	---
Profit from ordinary activities before tax Expense:	206.000	250.500	577.300
Tax expenses	66.300	125.200	225.700
Net Profit / (Loss) from ordinary activities after tax	139.700	125.300	351.600
Paid-up equity share capital (Nominal value Rs.10 per share)	2185	2185	2185
Reserve excluding Revaluation Reserves as per balance sheet of previous accounting year	---	---	---
Earnings per Share (EPS) Basic/Diluted EPS before and after extraordinary items for the period	6.39	5.74	16.09
A. PARTICULARS OF SHAREHOLDING
1. Public Shareholding
- Number of shares	14991861	14991861	14991861
- Percentage of shareholding	68.61	68.61	68.61
2. Promoters and Promoters group Shareholding
a) Pledged /Encumbered
Number of shares	1340680	1340680	1340680
Percentage of shares (as a % of total shareholding of the promoter and promoter group)	19.55	19.55	19.55
Percentage of shares (as a % of total share capital of the company)	6.14	6.14	6.14
b) Non Encumbered
Number of shares	5518048	5518048	5518048
Percentage of shares (as a % of total shareholding of the promoter and promoter group)	80.45	80.45	80.45
Percentage of shares (as a % of total share capital of the company)	25.25	25.25	25.25

	PARTICULARS	Quarter Ended 31.12.2014
B	Investor complaints (Nos.)
	Pending at the beginning of the quarter	1
	Received during the Quarter	3
	Disposed of during the quarter	4
	Remaining unresolved at the end of the quarter	Nil

Note:

1. The above results have been reviewed and recommended for adoption by the Audit Committee to the Board of Directors and have been approved by the Board at its meeting held on 4th February 2015. The Statutory Auditors have carried out a limited review of the above financial results and their limited review report contains emphasis of matter with respect to matter disclosed in point 5 below.

2. The Company has only one reportable Business Segment (Synthetic Yarn).

3. Exceptional item of Rs 22.000 Million for the nine months and year ended 31st December 2013 and year ended 31st March, 2014 represents loss on disposal of certain fixed assets consequent to closure of operations at Mahad net of write back of provision created as of 31st March 2013 consequent to the finalization of the liability.

4. The Company has adopted the useful lives of the fixed assets as those specified in Part C of Schedule II to the Companies Act,2013 ('the Act') effective 1st April, 2014. Accordingly carrying amount of assets, for which the useful lives as per the revised estimate are completed as of 1st April, 2014 have been charged off to the retained earnings as on that date. For the other assets, the carrying amount as of 1st April, 2014 will be amortized over the remaining useful lives of the assets.

As a result:

a) An amount of Rs 41.900 Million (Net of Deferred tax Credit of Rs 21.600 Million) has been charged to the opening retained earnings as of 1st April, 2014

b) The depreciation expense for the quarter and nine months ended 31st December, 2014 is lower by Rs.78.100 Million and Rs.180.100 Million respectively on account of the revision.

5. Excise Department had issued an order dated 31st December, 2013 denying the applicability of Notification No. 6/2000 dated 1st March, 2000 which allowed payment of duty at specific rate instead of advalorem basis and consequently raising a demand of Rs. 2292.700 Million plus interest thereon and penalty of Rs. 2292.700 Million against which the Company has filed an appeal with the Customs Excise and Service Tax Appellate Tribunal (CESTAT). The Hon'ble CESTAT has passed an order on 12th September, 2014 to grant a stay against the demand and admit the appeal on a pre deposit of Rs. 70.000 Million. The Company has deposited this amount on 24th December, 2014 .The Company has been advised by legal experts that it has a fair chance of ultimately succeeding in the matter and accordingly no provision has been made in the accounts.

6. Production in Continuous Process Plant at Bharuch producing Polyester Yarn was suspended in November, 2013. A part of the said Plant was converted to non-continuous and has been put into operation. Some of the portion of the plant is still in the process of conversion to non-continuous operation. As the operation of remaining Plant continues to be unviable, the Company, for the time being, has decided to continue suspension of the remaining Plant to protect overall profitability of the Company.

7. Figures for the previous period /year have been regrouped wherever necessary.

FIXED ASSETS

• Leasehold land
• Freehold land
• Buildings
• Plant and machinery
• Furniture
• Fixtures
• Office Equipments
• Vehicles

CMT REPORT (Corruption, Money Laundering & Terrorism]

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

1] INFORMATION ON DESIGNATED PARTY

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

2] Court Declaration :

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

3] Asset Declaration :

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

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

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

Charges or investigation registered against subject: None

7] Criminal Records

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

8] Affiliation with Government :

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

9] Compensation Package :

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

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

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

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

CONTRAVENTION

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

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.62.19
UK Pound	1	Rs.92.93
Euro	1	Rs.68.03

INFORMATION DETAILS

Information Gathered by :	PPT
Analysis Done by :	RAS
Report Prepared by :	PNM

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	7
PAID-UP CAPITAL	1~10	7
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILITY	1~10	7
--LIQUIDITY	1~10	7
--LEVERAGE	1~10	7
--RESERVES	1~10	7
--CREDIT LINES	1~10	6
--MARGINS	-5~5	---
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	YES
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	YES
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		60

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.