MIRA INFORM REPORT
|
Report No. : |
319952 |
|
Report Date : |
05.05.2015 |
IDENTIFICATION DETAILS
|
Name : |
CLARIANT CHEMICALS (INDIA) LIMITED |
|
|
|
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Formerly Known
As : |
COLOUR – CHEM LIMITED |
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Registered
Office : |
Reliable Tech Park, Gut No. 31, Village Elthan, Off Thane Belapur
Road, Airoli, Navi Mumbai – 400708, Maharashtra |
|
Tel No : |
91-22-71251116 / 71251000 |
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Country : |
India |
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Financials (as
on) : |
31.12.2014 |
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Date of
Incorporation : |
27.12.1956 |
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Com. Reg. No.: |
11-010806 |
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Capital
Investment / Paid-up Capital : |
Rs. 266.607 Million |
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|
|
|
CIN No.: [Company Identification
No.] |
L24110MH1956PLC010806 |
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IEC No.: |
Not Available |
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TAN No.: [Tax Deduction &
Collection Account No.] |
Not Available |
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PAN No.: [Permanent Account No.] |
Not Available |
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Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
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Line of Business
: |
Manufactures and sells pigments, colors, dyes, and
specialty chemicals. |
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No. of Employees
: |
943 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Aa (81) |
|
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 40000000 |
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Status : |
Excellent |
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Payment Behaviour : |
Regular |
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Litigation : |
Exist |
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Comments : |
Subject is a well-established and reputed company having an excellent
track record. Financial position of the company seems to be sound. Fundamentals are strong
and healthy. The rating takes into consideration strength derive from the parentage
of the clariant group. Trade relations are trustworthy. Business is active. Payments are
reported to be regular and as per commitment. The company can be considered excellent 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 |
CARE |
|
Rating |
Long term bank facilities: AAA |
|
Rating Explanation |
Have highest degree of safety and carry
lowest credit risk. |
|
Date |
03.12.2014 |
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|
|
|
Rating Agency Name |
CARE |
|
Rating |
Short term bank facilities: A1+ |
|
Rating Explanation |
Have very strong degree of safety and carry
lowest credit risk. |
|
Date |
03.12.2014 |
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 : |
Reliable Tech Park, Gut No. 31, Village Elthan, Off Thane Belapur
Road, Airoli, Navi Mumbai – 400708, Maharashtra, India |
|
Tel. No.: |
91-22-71251116/ 71251000 |
|
Mobile No.: |
Not Available |
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Fax No.: |
91-22-71251226 |
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E-Mail : |
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Website : |
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Factory
1 : |
113/114, MIDC Industrial Area, P O Dhatav, Roha, District Raigad – 402116, Maharashtra, India |
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Factory
2 : |
Kudikada. SIPCOT, P.O. Cuddalore – 607005, Tamilnadu, India |
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Factory
3 : |
Shed No 18, 19, 20, 21, 22, GIDC Kalol Dist. Thane – 421101, Maharashtra, India |
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Factory
4 : |
Survey no 344/ I – 3, Sakarda, Bhadarva Road Rania, Taluka Bhiwandi, Dist. Panchmahal - 389330 |
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Factory
5: |
Rennaissance Industrial and W / Housing Complex, Unit No: B 07, Mumbai
-Nashik Highway, Village: Vashere Post: Padgha Taluka: Bhiwandi, District -
Thane
421101, Maharashtra, India |
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|
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Factory
6: |
A – 1, 47 / 2 &3, GIDC Estate, Nandesari, Dist. Vadodara – 391340,
Gujarat, India |
DIRECTORS
As on: 31.12.2014
|
Name : |
Bharat V. Patel |
|
Designation : |
Chairman |
|
DIN No.: |
00060998 |
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|
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|
Name : |
Deepak Parikh |
|
Designation : |
Vice Chairman and Managing Director |
|
DIN No.: |
06504537 |
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Name : |
B. L. Gaggar |
|
Designation : |
Executive Director Finance and Company Secretary |
|
DIN No.: |
00701484 |
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|
Name : |
Y. H. Malegam |
|
Designation : |
Director |
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DIN No.: |
00092017 |
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Name : |
Indu Shahani |
|
Designation : |
Director |
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DIN No.: |
00092017 |
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Name : |
Alfred Muench |
|
Designation : |
Director |
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DIN No.: |
03092351 |
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Name : |
Mario Brocchi |
|
Designation : |
Director |
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DIN No.: |
07091950 |
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|
Name : |
Karl Holger Dierssen |
|
Designation : |
Director |
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DIN No.: |
06739356 |
KEY EXECUTIVES
|
Name : |
B. L. Gaggar |
|
Designation : |
Executive Director Finance and Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on: 31.12.2014
|
Category of
Shareholder |
Total
No. of Shares held in Dematerialized Form |
Total
Shareholding as a % of Total No. of Shares |
|
(A) Shareholding
of Promoter and Promoter Group |
||
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|
|
|
|
|
|
|
|
16902080 |
63.40 |
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|
16902080 |
63.40 |
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|
|
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|
Total
shareholding of Promoter and Promoter Group (A) |
16902080 |
63.40 |
|
(B) Public
Shareholding |
||
|
|
|
|
|
|
1331264 |
4.99 |
|
|
20769 |
0.09 |
|
|
358153 |
1.34 |
|
|
711171 |
2.67 |
|
|
2421357 |
9.10 |
|
|
|
|
|
|
|
|
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|
714441 |
2.72 |
|
|
|
|
|
|
|
|
|
|
5126434 |
21.89 |
|
|
593931 |
2.35 |
|
|
140533 |
0.55 |
|
|
125987 |
0.49 |
|
|
14546 |
0.06 |
|
|
6575339 |
27.51 |
|
|
|
|
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Total Public
shareholding (B) |
8996696 |
36.60 |
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|
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Total (A)+(B) |
25898776 |
100.00 |
|
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(C) Shares held
by Custodians and against which Depository Receipts have been issued |
|
|
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
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Total
(A)+(B)+(C) |
25898776 |
100.00 |
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BUSINESS DETAILS
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Line of Business : |
Manufactures and sells pigments, colors, dyes, and
specialty chemicals. |
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Products : |
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Brand Names : |
Not Available |
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Agencies Held : |
Not Available |
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Exports : |
Not Available |
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Imports : |
Not Available |
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Terms : |
Not Available |
GENERAL INFORMATION
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Suppliers : |
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Customers : |
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No. of Employees : |
943 (Approximately) |
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Bankers : |
·
The Hongkong and Shanghai Banking Corporation
Limited ·
Standard Chartered Bank Limited Branch M G Road, Fort, Mumbai, Maharashtra, India ·
Citi Bank N.A., Branch M G Road, Fort, Mumbai, Maharashtra, India |
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Facilities : |
----- |
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Auditors : |
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Name : |
Price Waterhouse LLP Chartered Accountant |
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Solicitors : |
|
|
Name : |
Crawford
Baylor and Company Solicitors
and Advocates |
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Memberships : |
-- |
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Collaborators : |
-- |
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Fellow Subsidiaries
: |
· Clariant (China) Limited · Clariant (Japan) K.K. · Clariant (Malaysia) Sdn Bhd · Clariant (Mexico) S.A. de C.V. · Clariant (Pakistan) Limited. (Related party till 30.09.2013) · Clariant (Singapore) Pte. Limited · Clariant (Thailand) Limited · Clariant (Tianjin) Limited (Related party till 30.09.2013 ) · Clariant (Turkiye) Boya ve Kimyevi Maddeler Sanayi ve Ticaret A.S. · Clariant Chemicals (China) Limited · Clariant Chemicals (Huizhou) Company Limited · Clariant Chemicals (Taiwan) Company Limited · Clariant Corporation · Clariant Iberica Produccion S.A. · Clariant Masterbatch Iberica S.A. · Clariant Chemicals Pakistan Private Limited (New Company wef 30.09.2013) · Clariant Masterbatches (Italia) S.p.A · Clariant Masterbatches (Saudi Arabia) Limited · Clariant Masterbatches (Shanghai) Limited · Clariant Masterbatches (Thailand) Limited · Clariant Masterbatches Benelux SA · Clariant Masterbatches Norden AB · Clariant Masterbatches (Deutschland) GmbH · Clariant Produkte (Schweiz) AG · Clariant S.A. · Italtinto S.r.l. · PT Clariant Indonesia |
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Ultimate Holding
Company: |
·
Clariant AG, Switzerland |
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|
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Subsidiaries of
the Ultimate Holding Company: |
·
EBITO Chemiebeteiligungen AG ·
Clariant International AG ·
Clariant Participations AG |
CAPITAL STRUCTURE
As on: 31.12.2014
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
30000000 |
Equity Shares |
Rs.10/- each |
Rs. 300.000 Million |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
26660745 |
Equity Shares |
Rs.10/- each |
Rs. 266.607
Million |
|
|
|
|
|
RECONCILIATION OF
NUMBER OF EQUITY SHARES OUTSTANDING AS AT THE BEGINNING AND AT THE END OF THE
YEAR
|
|
As on 31.12.2014 |
|
|
|
Number |
Rs. In Millions |
|
Equity shares : |
|
|
|
Outstanding as at the beginning of the year |
26660745 |
266.607 |
|
Add : Issued during the year |
|
|
|
Outstanding as at the end of the year |
26660745 |
266.607 |
SHARES HELD BY
SUBSIDIARIES OF THE ULTIMATE HOLDING COMPANY CLARIANT AG, SWITZERLAND
|
|
As on 31.12.2014 |
|
|
Name of Shareholder |
Number |
Percentage |
|
EBITO Chemiebeteiligungen AG. |
8167080 |
30.63% |
|
Clariant International AG. |
6075000 |
22.79% |
|
Clariant Participations AG. |
2660000 |
9.98% |
NOTES:
There are no shareholders holding more than 5% of the aggregate equity
shares of the Company except those marked above.
The company has not
allotted any equity shares for consideration other than cash, bonus shares, nor
have any shares been bought back during the period of five years immediately
preceding the Balance Sheet date.
RIGHTS, PREFERENCES AND RESTRICTIONS ATTACHED TO
SHARES
The Company has
one class of equity share having a par value of 10/- 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 asset of the Company after distribution of all preferential amounts,
in proportion to their shareholding.
FINANCIAL DATA
[all figures are
in Rupees Million]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.12.2014 |
31.12.2013 |
31.12.2012 |
|
I.
EQUITY
AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
266.607 |
266.607 |
266.607 |
|
(b) Reserves & Surplus |
13693.554 |
5476.877 |
4748.549 |
|
(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) |
13960.161 |
5743.484 |
5015.156 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
104.021 |
72.383 |
53.786 |
|
(c) Other long term
liabilities |
6.767 |
0.000 |
29.450 |
|
(d) long-term
provisions |
237.844 |
258.878 |
257.227 |
|
Total Non-current
Liabilities (3) |
348.632 |
331.261 |
340.463 |
|
|
|
|
|
|
(4)
Current Liabilities |
|
|
|
|
(a) Short term
borrowings |
94.545 |
0.000 |
0.000 |
|
(b) Trade
payables |
1456.426 |
1623.940 |
1845.541 |
|
(c) Other
current liabilities |
479.234 |
744.570 |
382.407 |
|
(d) Short-term
provisions |
2085.029 |
672.264 |
630.471 |
|
Total Current
Liabilities (4) |
4115.234 |
3040.774 |
2858.419 |
|
|
|
|
|
|
TOTAL |
18424.027 |
9115.519 |
8214.038 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a) Fixed
Assets |
|
|
|
|
(i)
Tangible assets |
2918.446 |
1659.935 |
1743.096 |
|
(ii)
Intangible Assets |
431.835 |
0.000 |
0.000 |
|
(iii)
Capital work-in-progress |
131.801 |
254.881 |
91.498 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
71.709 |
66.709 |
76.709 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
742.668 |
460.437 |
328.617 |
|
(e) Other
Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current
Assets |
4296.459 |
2441.962 |
2239.920 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a)
Current investments |
258.437 |
2607.277 |
2269.814 |
|
(b)
Inventories |
1633.470 |
1456.321 |
1623.251 |
|
(c) Trade
receivables |
1605.857 |
1692.250 |
1483.422 |
|
(d) Cash
and cash equivalents |
10114.534 |
225.957 |
142.739 |
|
(e)
Short-term loans and advances |
473.859 |
615.955 |
421.151 |
|
(f) Other
current assets |
41.411 |
75.797 |
33.741 |
|
Total
Current Assets |
14127.568 |
6673.557 |
5974.118 |
|
|
|
|
|
|
TOTAL |
18424.027 |
9115.519 |
8214.038 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.12.2014 |
31.12.2013 |
31.12.2012 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
10460.034 |
12478.576 |
10962.821 |
|
|
|
Other Income |
136.530 |
179.159 |
191.420 |
|
|
|
TOTAL |
10596.564 |
12657.735 |
11154.241 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
5946.567 |
5985.789 |
5472.388 |
|
|
|
Purchases of Stock-in-Trade |
1491.047 |
2353.398 |
1674.802 |
|
|
|
Changes in inventories of
finished goods, work-in-progress and Stock-in-Trade |
(232.964) |
(230.397) |
(291.025) |
|
|
|
Employees benefits expense |
979.065 |
1011.562 |
906.147 |
|
|
|
Exceptional items |
(11835.850) |
(1122.463) |
(92.047) |
|
|
|
Other expenses |
2030.920 |
2149.603 |
1830.642 |
|
|
|
TOTAL |
(1621.215) |
10147.492 |
9500.907 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION |
12217.779 |
2510.243 |
1653.334 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
11.280 |
17.994 |
14.152 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION |
12206.499 |
2492.249 |
1639.182 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
332.374 |
234.468 |
216.035 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX |
11874.125 |
2257.781 |
1423.147 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
2440.970 |
590.097 |
410.143 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
|
9433.155 |
1667.684 |
1013.004 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export (F.O.B.) |
2550.115 |
3215.775 |
2574.226 |
|
|
|
Others (insurance, freight, commission, claims, exchange
gain etc.) |
226.362 |
329.904 |
324.479 |
|
|
TOTAL EARNINGS |
2776.477 |
3545.679 |
2898.705 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
2041.650 |
1865.357 |
1788.389 |
|
|
|
Stores & Spares |
14.662 |
5.494 |
6.519 |
|
|
|
Capital Goods |
209.261 |
53.123 |
23.770 |
|
|
TOTAL IMPORTS |
2265.573 |
1923.974 |
1818.678 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
353.82 |
62.55 |
38.00 |
|
QUARTERLY /
SUMMARISED RESULTS
|
Particulars (Rs.
Million) |
31.03.2015 (1st
Quarter) |
|
|
|
|
Net Sales |
2339.800 |
|
Total Expenditure |
2224.100 |
|
PBIDT (Excl OI) |
115.700 |
|
Other Income |
118.400 |
|
Operating Profit |
234.100 |
|
Interest |
02.200 |
|
Exceptional Items |
0.000 |
|
PBDT |
231.900 |
|
Depreciation |
110.500 |
|
Profit Before Tax |
121.400 |
|
Tax |
14.900 |
|
Provisions and contingencies |
0.000 |
|
Profit After Tax |
106.500 |
KEY RATIOS
|
PARTICULARS |
|
31.12.2014 |
31.12.2013 |
31.12.2012 |
|
Net Profit Margin (PAT/Sales) |
(%) |
90.18 |
13.36 |
9.24 |
|
|
|
|
|
|
|
Operating Profit Margin (PBDIT / Sales) |
(%) |
116.80 |
20.12 |
15.08 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
65.17 |
24.77 |
17.69 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.85 |
0.39 |
0.28 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.01 |
0.00 |
0.00 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
3.43 |
2.19 |
2.09 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Million]
DEBT EQUITY RATIO
|
Particular |
31.12.2012 |
31.12.2013 |
31.12.2014 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Share Capital |
266.607 |
266.607 |
266.607 |
|
Reserves & Surplus |
4748.549 |
5476.877 |
13693.554 |
|
Net
worth |
5015.156 |
5743.484 |
13960.161 |
|
|
|
|
|
|
long-term borrowings |
0.000 |
0.000 |
0.000 |
|
Short term borrowings |
0.000 |
0.000 |
94.545 |
|
Total
borrowings |
0.000 |
0.000 |
94.545 |
|
Debt/Equity
ratio |
0.000 |
0.000 |
0.007 |
%20LIMITED-319952%2005-May-2015_files/image022.gif)
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.12.2012 |
31.12.2013 |
31.12.2014 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Sales |
10962.821 |
12478.576 |
10460.034 |
|
|
|
13.826 |
(16.176) |
%20LIMITED-319952%2005-May-2015_files/image024.gif)
NET PROFIT MARGIN
|
Net
Profit Margin |
31.12.2012 |
31.12.2013 |
31.12.2014 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Sales |
10962.821 |
12478.576 |
10460.034 |
|
Profit |
1013.004 |
1667.684 |
9433.155 |
|
|
9.24% |
13.36% |
90.18% |
%20LIMITED-319952%2005-May-2015_files/image026.gif)
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 |
CASE DETAILS
HIGH
COURT OF BOMBAY
|
Bench:- Bombay |
|||||||
|
Presentation Date:- 08/08/2013 |
|||||||
|
Lodging No:- |
NMSL/1382/2012 |
Filing Date:- |
24/04/2012 |
Reg. No.:- |
NMS/1096/2012 |
Reg. Date:- |
24/04/2012 |
|
|
|||||||
|
Lodging No:- |
SL/3187/2011 |
|
Reg. No.:- |
S/3035/2011 |
|||
|
Petitioner:- |
HINDUSTAN ORGANICS CHEMICALS LIMITED |
Respondent:- |
CLARIANT CHEMICALS (INDIA) LIMITED |
||||
|
District:- |
MUMBAI |
Resp. Adv.: |
CHITNIS AND COMPANY (0) |
||||
|
|
|||||||
|
Bench:- |
SINGLE |
||||||
|
Status:- |
Transferred |
Category:- |
Notice Of Motion |
||||
|
Transfer Date: |
03/10/2012 |
Remark: |
TRANSFERRED TO CITY CIVIL COURT |
||||
|
Act:- |
Code of Civil Procedure 1908 |
||||||
REVIEW OF OPERATIONS
2014 was the year
of transformation for the Company. The year witnessed major events in the form
of sale of leather service business, acquisition of master batches business, shifting
of registered office and sale of Kolshet site. In spite of revenue loss arising
out of sale of textile, paper and emulsion business effective from October 1,
2013 and leather service business effective from May 1, 2014, the Company has
been able to grow significantly in continued businesses. Despite negative
business sentiments, high inflation and depreciation of Indian currency against
major currencies during first half of the year, the Company has been able to
minimize the revenue loss.
The performance in
associated costs of restructuring the business. The Company registered sales of
10082.000 Million as compared to 12132.000 Million, negative growth of 16.9% in
sales. Out of the total sales revenue of the Company for the year, 26% is
contributed by exports. After considering the impact of sale of Textile, Paper
and Emulsion business (TPE business) effective from October 1, 2013, and sale
of leather services business effective from May 1, 2014, the growth in sales on
like to like basis was a record 43.6% over the previous year. The increased
cost of raw materials and inflationary rise in other expenses resulted into
lowering of PBDIT margin before exceptional items from 11.4% to 3.8%.
Exceptional items for the current year mainly represent profit from sale of
leather business (net of transfer of assets and other liabilities) 1040.900 Million and profit from sale of
Kolshet site 10854.800 Million. Exceptional item for previous year mainly
represents sale of TPE business. Considering the exceptional items, the net
profit after provision for tax is significantly higher over the previous year.
The Company remains focused to improve its core business and look for higher
market share in the business segments in which it operates.
RELOCATION TO NEW
OFFICE
The Company has
leased out about 142,000 sq. ft. of office space in Reliable Tech Park, Airoli,
Navi Mumbai for a term of 20 years from M/s. Reliable Exports. All offices and
laboratories were moved out of Kolshet and relocated to the new premises on July
1, 2014 and October 1, 2014 respectively. A sum of 650.000 Million was incurred
in creating facilities at new office.
REGISTERED OFFICE
In view of change
in office location, the registered office of the Company shifted from Sandoz
baug, Kolshet Road, Thane to Reliable Tech Park, Airoli, Navi Mumbai effective
from July 1, 2014.
FINANCIAL AND OPERATIONAL PERFORMANCE OVERVIEW
India’s
macro-economic scenario remained gloomy during the first half of the Financial
year 2014. The interest rates remained high resulting in subdued demand and
investments, delayed decision-making due to the uncertain political and
economic conditions further stalled major infrastructure and power projects.
With the National Elections having resulted in a resounding majority to a
single political party, general sentiment has since improved substantially and
there is considerable hope that the new Government will create an environment
conducive to business and industry. Initial steps taken by the Government have
been positive, however it will take some time before projects put on hold in
the past are cleared and start contributing to the economy.
Overall though,
the macro-economic situation is still challenging and policy measures taken by
the new Government are yet to impact business, the Company registered record
growths of 43.6% in sales over previous year on like to like basis. Total sales
revenue for the continued business of the Company for the year comprises
domestic sales of 7456.000 Million (PY 4759.000 Million) and export sales of
2626.000 Million (PY 2263.000 Million).
In view of rising cost of raw materials and inflation led upsurge in
other operating costs, profit before depreciation, interest, exceptional items
and tax (PBDIT) is lower as compared to the previous year. After considering
the exceptional income including those arising from divestment of leather
service business and sale of Kolshet site in the current year and divestment of
TPE business in the previous year, the profit after tax (PAT) is higher from 1668.000
Million to 9433.000 Million. The following table exhibits, in summary, the
financial performance of the company for the year in relation to the previous
year.
The Company
remains a zero debt company with no long-term borrowings. The credit rating for
the Company is reaffirmed ‘CARE AAA’ for long term bank facilities and
‘CARE A1+’ for short term bank facilities. This endorses the confidence on the
financial standing of the Company. Short-term bank borrowings are restricted to
the need based working capital requirements. In spite of challenging business
environment, the net working capital to sales of 17.7% (PY 12.6%) is one of the
best in the specialty chemical industry. Net cash flow from operating
activities during the year was -596.800 (PY -318.100) Million. Funds surplus to
the operational needs have been prudently invested to earn reasonable returns
with a high degree of safety. A sum of 10278.700 Million (PY 2670.700 Million)
stands invested in fixed deposits with banks and debt schemes of mutual funds
at the end of the year.
INTERNAL CONTROL SYSTEMS
The Company has
adequate system of internal controls and risk management. These systems enable
integrity of financial reporting and adherence to guidelines defined for the
Company. Internal controls are regularly reviewed by both internal and external
agencies for its efficiency and effectiveness. Corporate policies, management
information and reporting system for key operational areas form part of overall
control mechanism. Additionally, in order to supplement the internal control
process, the Company has engaged the services of independent firms of
professionals to function as internal auditors who are authorized by the audit
committee to assess the adequacy and compliance of internal control process and
provide their report covering observations and recommendations. The annual
internal audit plan is approved by the Company’s Audit Committee and its
coverage includes business operations as well as support function activities.
The key audit results and recommended management actions are presented to the
Audit Committee on a quarterly basis.
OUTLOOK,
OPPORTUNITIES AND CHALLENGES
General outlook
about the global economy appears to be driven by weak economic conditions in the
Eurozone and the slowing of GDP growth in China. With India expected to ‘turn
the corner’ on the back of structural reforms, its economy outlook looks to be
more positive. India’s economic growth was below 5 per cent in the last two
financial years. The Reserve Bank of India forecast the economy to grow at 5.5
per cent in 2014-15 and at 6.3 per cent in next financial year 2015-16. ‘Global
Economic Prospects’ released by the World Bank projects India to clock 7% rise
in GDP in 2017.
Overall, the
business sentiment showed moderate improvement in the second half of the
financial year 2014 but announcements of major new projects are yet to
materialize. The outlook is expected to improve once the new Government takes
concrete measures to resolve the coal and iron ore mining issue as well as
stalled investments in the power, steel and mining segments. The Government’s
‘Make in India’ campaign aimed at facilitating investment, foster innovation,
enhance skill development, protect intellectual property, build best-in-class
manufacturing infrastructure, curtailment of the discretionary powers of labour
inspectors and implementation of a single-window compliance process on labour
related issues and implementation of the Goods and Services Tax (GST) is
expected to accelerate growth in the manufacturing sector and generate new
opportunities. Initiatives taken by various industry verticals for modernizing
their manufacturing systems may contribute to increase in demand for solutions
that improve productivity and efficiency while saving energy consumption. Both
trade and fiscal deficit for India is under a course correction. India is also
entering a sustained period of low inflation, which will inverse the interest
rate trends of last four years. This will also trigger domestic flows into
equities. The Industry sector will continue to tap new opportunities in the
product business as well as value-added services.
Indian
manufacturers are looking for the government to simplify export import (EXIM)
policies and related documentation, and to facilitate access to low-cost
finance for exporters. Rationalisation of the tax structure and implementation
of GST will help improve the competitiveness. Modification of land acquisition
rules, speedier clearances and licensing, and amendments to labour laws are
factors which will facilitate investments by manufacturers in setting up
operations of global scale and competitiveness. Some manufacturers were also
looking for the government to take a critical look at free trade agreements (FTAs),
as the agreements for certain target markets are unfavorable to Indian
exporters as compared to other countries. The key to remain competitive in such
a scenario is to invest more in R&D activities on a continuous basis. In
terms of efficiency and advancement, the domestic chemical industry in India
will have to put in concerted efforts to make some prominent headway in the
future and to remain competitive.
The chemical
industry is a very important constituent of the growing Indian economy. In
terms of size, Indian chemical sector ranks sixth in the world and third in
Asia. It is not only one of the largest industrial sector but also important
employment generator. The positive business environment, surging consumer
demands, technological up gradation and several other factors have positioned
the Indian chemical industry to scale new highs. Percapita consumption of most
of the finished products under chemicals sector is far below the world average
and this reflects the vast potential for growth in the industry. The Department
of Chemicals and Petrochemicals has undertaken the formulation of the national
chemical policy in order to facilitate rapid growth of chemical sector, support
inclusive growth and improve employment opportunities. The policy aims to achieve
an optimal growth of 10% CAGR over the next 10 years, enhance global
competitiveness, create conducive environment to attract large investment,
strive towards making India a reliable hub for quality chemicals and also an R
& D hub by harnessing trained technical manpower, ensure availability of
necessary feedstock and quality infrastructure, leverage significant export
potential, facilitate access to latest technologies, focus on green chemicals.
The specialty
chemical segment is major driver of growth in chemical industry and is expected
to grow at ~15 % p.a. The demand for specialty chemicals is driven by a wide
range of end user industries. The critical success factors for the industry is
its capability to provide product / application development at a favorable
price-performance ratio. Compared to developed markets, current usage of
specialty chemicals in India is very low and with focus on improving products
and usage intensity of specialty chemicals, the industry is poised for strong
growth. In order to boost the demand of specialty chemicals in domestic
markets, there is need to improve the quality parameters and in house
capabilities. Quality standards are important for driving the industry towards
higher efficiency and better safety. Developed Regions (Europe, USA) have
implemented stringent consumption standards across various end-use markets.
India still uses enamel paints with high volatile organic compound (VOC)
content. Mandating the usage of water-based paints will help ensure health and
safety of consumers and encourage the consumption of higher cost water based
paints. This will result in consumption-led growth in key end markets over the
next decade and an increased need for better products and services. It is
imperative to look at ways to enhance the performance of products and services
in sustainable manner. Higher efficiency has direct impact on energy, resource
utilization and conservation. Industries need to address the emerging trends in
user industry which require development of unique environment friendly local
products / solutions based on an understanding of Indian customers. Innovation
and sustainability initiatives are expected to be major factors for domestic
and global competitiveness. Development of processes products which eliminate
or reduce the use of hazardous substances could become the key priority of
producers. Consumers would be expected to pay premium for green chemistry and
environmental preservation initiatives. Moreover, stringent regulatory norms
could further push the need to innovate cost effective green chemicals. This is
critical for companies supplying to the whole spectrum of end user industries
and offer opportunities to innovate and move up the value chain and compete
effectively with global players both in the domestic and export markets and
bring the Indian specialty chemical industry on the global map while meeting
the needs of enhanced quality of life for growing affluent population of India.
Availability of large pool of technical man-power, scientists and researchers
offers immense potential for investment as well as employment generation in
specialty chemical industry.
The domestic
specialty chemical industry also face challenges related to feedstock
availability, higher operational costs, outdated technology / process, limited
investment in R&D & a negative perception amongst end consumers. Apart
from depending on regulatory interventions, Indian players should come together
and pro-actively work towards collaborative investment to avert global competition.
UNSECURED LOAN
(Rs.
In Million)
|
Particulars |
As
on 31.12.2014 |
As
on 31.12.2013 |
|
SHORT TERM
BORROWING |
|
|
|
Pre – shipment credit in foreign currency from a bank |
94.545 |
---- |
INDEX OF CHARGES
|
S.No. |
Charge ID |
Date of Charge Creation/Modification |
Charge amount secured |
Charge Holder |
Address |
Service Request Number (SRN) |
|
1 |
90284813 |
20/12/1995 |
13,500,000.00 |
CITY BANK N A |
766 SAKTHI TOWERS, MOUNT ROAD, MADRAS, Tamil Nadu |
- |
|
2 |
90285064 |
11/10/1993 |
15,000,000.00 |
THE IND. CREDIT AND INVESTMENT CORP. OF INDIA LIMITED |
163 BACKBAY RECLAMATION, BOMBAY, Maharashtra - 400 |
- |
|
3 |
90228508 |
06/03/1992 |
20,000,000.00 |
STATE BANK OF INDIA |
COMMERCIAL BRANCH, JUSTICE G.N. VAIDYA MARG, MUMB |
- |
|
4 |
90228354 |
17/06/1992 * |
20,000,000.00 |
STATE BANK OF INDIA |
COMMERCIAL BRANCH, JUSTICEE G.N. VAIDYA MARG, MUM |
- |
|
5 |
90228322 |
01/10/1990 |
950,000.00 |
STATE BANK OF INDIA |
COMMERCILA BRANCH; JUSTICE G.N. VAIDYA MARG, MUMBA |
- |
|
6 |
90227859 |
07/02/1986 |
20,000,000.00 |
STATE BANK OF INDIA |
COMMERCIAL BRANCH, MUMBAI, Maharashtra, INDIA |
- |
|
7 |
90230449 |
20/01/1986 |
7,500,000.00 |
STATE BANK OF INDIA |
COMMERCIAL BRANCH, MUMBAI, Maharashtra, INDIA |
- |
|
8 |
90284711 |
04/12/1985 * |
1,500,000.00 |
STATE IND. PROMOTION CORP. OF TAMILNADU LTD. |
NO 51-52 THOUSAND LIGHTS, MADRAS, Tamil Nadu - 60 |
- |
* Date of charge modification
CONTINGENT
LIABILITIES AND COMMITMENTS
(Rs. In Millions)
|
|
As on 31.12.2014 |
As on 31.12.2013 |
|
CONTINGENT
LIABILITIES AND COMMITMENTS (to the extent not provided for) |
|
|
|
(a) Contingent
liabilities : |
|
|
|
(i) in respect of income tax matters |
66.597 |
168.125 |
|
(ii) in respect of sales tax/VAT matters |
1368.701 |
536.610 |
|
(iii) in respect of excise/service tax matters |
102.486 |
110.799 |
|
(iv) in respect of bills of exchange discounted with banks (since realised Rs. 50.689 million [Rs.58.162 million]) |
50.689 |
58.162 |
|
(v) Other matters in dispute |
20.982 |
18.677 |
|
|
||
|
|
|
|
|
(b) Commitments: |
|
|
|
(i) Estimated amount of contracts remaining to be executed on capital
account and not provided for (net of capital advances) |
98.453 |
192.474 |
|
(ii) Others - amount of future minimum lease payments under non-cancellable operating leases |
688.456 |
358.022 |
FIXED ASSETS
· Land Freehold
· Land Leasehold
· Building
· Plant and Machinery
· Office Equipment
· Furniture and Fixture
· Vehicles
STANDALONE
UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND HALF YEAR ENDED 31ST MARCH,
2015
Standalone statement of profit and loss
(Rs. In Millions)
|
Sr. No |
Particulars |
3 Months ended |
|
31.03.2015 |
||
|
Unaudited |
||
|
1 |
Income From
Operations |
|
|
|
a. Net Sales/ Income from Operations (Net of Excise Duty) |
2255.500 |
|
|
b. Other Operating Income |
84.300 |
|
|
Total Income from Operations
(Net) |
2339.800 |
|
|
|
|
|
2 |
Expenditure |
|
|
|
a. Cost of material Consumed |
1320.800 |
|
|
b. Purchase of Stock-in trade |
243.000 |
|
|
c. Changes in inventory of finished Goods, work- in-progress and Stock-in-trade |
(28.000) |
|
|
d. Power and Fuel |
125.900 |
|
|
e. Employees Benefit Expenses |
220.600 |
|
|
f. Depreciation and Amortization Expenses |
110.500 |
|
|
g. Other expenses |
341.800 |
|
|
Total Expenses |
2334.600 |
|
|
|
|
|
3 |
Profit / Loss from Operations
before Other Income, Interest and Exceptional Items |
5.200 |
|
4 |
Other Income |
118.400 |
|
5 |
Profit / Loss from
ordinary activities before finance cost & exceptional items |
123.600 |
|
6 |
Finance Costs |
2.200 |
|
8 |
Profit / Loss from ordinary
activities after finance costs & exceptional items |
121.400 |
|
9 |
Exceptional items |
--- |
|
10 |
Profit / Loss from
ordinary activities before tax |
121.400 |
|
11 |
Tax Expense |
14.900 |
|
12 |
Net Profit / Loss
from ordinary activity after tax |
106.500 |
|
15 |
Paid-up equity share capital (face value of Rs.10 per share) |
266.600 |
|
|
Reserves excluding revaluation reserves as per Balance Sheet of previous accounting year |
---- |
|
17 |
Earnings Per Share
(of Rs.10 each) (not annualized) Basic EPS And Diluted EPS |
0.399 |
|
|
||
|
|
|
|
|
A |
PARTICULARS OF
SHAREHOLDING |
|
|
17 |
Public Shareholding |
|
|
|
|
|
|
|
- No. of shares |
9758665 |
|
|
- Percentage of shareholding |
36.60 |
|
18 |
Promoter &
Promoter Group Shareholding |
|
|
|
a)
Pledged/Encumbered |
---- |
|
|
b) Non-encumbered |
|
|
|
- No. of shares |
16902080 |
|
|
- Percentage of shareholding (as a % of the total shareholding of promoter and promoter group) |
100.00 |
|
|
- Percentage of shareholding (as a % of the total share capital of the company) |
63.40 |
|
|
Particulars |
3 Months ended 31.03.2015 |
|
B |
Investor Complaints |
|
|
|
Pending at the beginning of the quarter |
---- |
|
|
Received during the quarter |
1 |
|
|
Disposed of during the quarter |
1 |
|
|
Remaining unresolved at the end of the
quarter |
---- |
UNAUDITED SEGMENT WIE REVENUE, RESULTS AND
CAPITAL EMPLOYED
(Rs. In Millions)
|
Particulars |
3
Months ended |
|
|
31.03.2015 |
|
a. Information
about Primary Business Segments |
|
|
1.
Segment Revenue (Net sales / Income from operations) |
|
|
Pigments and Colours |
1884.200 |
|
Dyes and Specialty Chemicals |
371.300 |
|
Total Net Sales / Income from
operations |
2255.500 |
|
|
|
|
2. Segment
Result |
|
|
Pigments and Colours |
15.300 |
|
Dyes and Specialty Chemicals |
20.200 |
|
Total Segment Result |
35.500 |
|
|
|
|
Less
: |
|
|
Finance cost |
2.200 |
|
Other unallocable expenditure net of unallocable income |
(88.100) |
|
Total
Profit/(Loss) before exceptional items
& tax |
121.400 |
|
Exceptional items |
---- |
|
Profit/(Loss) from ordinary activities before tax |
121.400 |
|
|
|
|
3. Capital Employed (Segment
Assets-Segment Liabilities) |
|
|
Pigments and Colours |
5164.200 |
|
Dyes and Specialty Chemicals |
349.700 |
|
Total capital employed in segments |
5513.900 |
|
|
|
|
Add: Unallocable corporate assets less corporate liabilities |
4057.400 |
|
Total capital employed |
9571.300 |
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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.63.57 |
|
|
1 |
Rs.97.98 |
|
Euro |
1 |
Rs.70.53 |
INFORMATION DETAILS
|
Analysis Done by
: |
RSM |
|
|
|
|
Report Prepared
by : |
DDD |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
9 |
|
PAID-UP CAPITAL |
1~10 |
9 |
|
OPERATING SCALE |
1~10 |
9 |
|
FINANCIAL
CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILITY |
1~10 |
9 |
|
--LIQUIDITY |
1~10 |
9 |
|
--LEVERAGE |
1~10 |
9 |
|
--RESERVES |
1~10 |
9 |
|
--CREDIT LINES |
1~10 |
9 |
|
--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 |
|
81 |
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
unfavorable 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 |
-- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or
its officials.