Sintex BAPL

Business Monitoring Report

30th October 2019

 DRAFT
Transmittal Page

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Page 2
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Table of Contents

Contents Page No
Executive summary 5

Plastic Products division 7

1. Business Monitoring 8
a. Sales Analysis 9
b. Production and Dispatches 14
c. Working Capital Analysis 20
2. Cash Flow Summary 22

Auto Components division 28

1. Industry & Business overview for Auto 29
a. Impact of current distress in SBAPL 36
b. Cost structure assessment 41
c. Working Capital Analysis 46
2. Cash flow monitoring 50

Annexures 61

Page 3
 DRAFT
Abbreviations

Abbreviation Full Form Abbreviation Full Form

ABS Acrylonitrile Butadiene Styrene LIBOR London Inter-bank Offered Rate
AMC Annual Maintenance Charges LLDPE Linear low-density polyethylene
AOP Annual Operating Plan LRTM Light Resin Transfer Moulding
AP Accounts Payable MCLR Marginal Cost Lending Rate
AR Accounts Receivable MoM Month on Month
ASP Average Selling Price MT Metric Tonnes
B2B Business to Business NCD Non Convertible Debentures
B2C Business to Consumer O/S Outstanding
BG Bank Guarantee OEM Original Equipment Manufacturer
BoM Bill of Material OME Other Manufacturing Expenses
BOP Bought out Parts Opex Operating Expenditure
BPS Basis Points P2P Procure to Pay
Capex Capital Expenditure PDC Post Dated Cheque
CC Cash Credit PM Packing Material
CIRP Corporate Insolvency Resolution Process PO Purchase Order
Cr INR Crores PPC Plastic Products (Consumer)
CRPS Cumulative Redeemable Preference Shares PPE Polyphenylene Ether
DIO Days Inventory Outstanding PPI Plastic Products (Industrial)
DPO Days Payable Outstanding PR Purchase Requisition
DSO Days Sales Outstanding PS Plastic Sections
EBITDA Earnings Before Interest Taxes Depreciation and Amortisation QA/QC Quality Assurance/Quality Control
ECB External Commercial Borrowing RM Raw Material
EL Engagement Letter SKU Stock Keeping Units
FG Finished Goods SMC Sheet Moulding Composite
FMD Factory Made Doors TRA Trust and Retention Account
FnF Full and Final USD United States Dollar
FRP Fibre Reinforced Plastic WCDL Working Capital Demand Loan
FY Financial Year WCTL Working Capital Term Loan
GP Gross Profit WIP Work In Progress
GRN Goods Receipt Note WSBM Water Storage Blow Moulded
HO Head Office WSPR Water Storage Pure
LC Letter of Credit WST Water Storage Tanks

Page 4
Executive Summary

Executive Summary
Performance for PP in Sept - Oct’ 19
► Collections and sales have observed
significant impact on account of high
employee attrition in Sept - Oct 2019.
► Significant inventory build-up
observed during Oct-19 (~20% lag in
sales vs. production during Oct-19 for
Roto / Blow moulding products)
► Dispatches facing a lag on account of
pricing shifting to ex-works basis
► Key distributrors for WST continue to
remain impacted (~70% reduction in
monthly avg sale); 74 distributors out
of 168 yielding negligible business
Overview of treasury operations in PP
► Outflow towards raw materials, stores
and consumables during reporting
period stood at INR 13 Cr. i.e. 38% of
total payments; significantly up from
22% of total payments earlier
► Outflows towards monthly fixed costs
continue to remain in check at INR
8.85 Cr during the reporting period.
► Yes Bank and Axis Bank continue to
adjust amounts towards overdues
Page 6
Performance for Auto in Sep’ 19
► Inspite of a drop in product sales
across OEMs, the ‘Auto’ BU was able to
garner INR 45 Cr. Of revenue on the
back of INR 12 Cr.of tooling sales
► Plant at Hosur has been
operationalized with no additional
CAPEX – to cater to dispatches for
TVS, KIA and Hyundai in Karnataka
► The Chennai II & Hosur unit have
outperformed in Sep’ 19 over the last
18 months on the back of orders
mainly from KIA
Overview of treasury operations in Auto
► Budget preparation and payments in
line with budgetary allocations and
have helped streamline procurement
process. Payments related to material
procurement and production have
been prioritized over fixed overheads
► Collections in the period 24th July –
15th October have been INR 141.10 Cr
► 75% of total payments have been
allocated towards production in
current period
DRAFT
Overall outlook for Nov’ 19
► Focus on fulfiment of orders for
critical contracts for PPI (FRP – Shell
India; SMC – Cummins) to secure
capacity utilization
► Product sales acros OEMs for ‘Auto’ in
September is expected to be in the
range of INR 39-40 Cr. basis current
run rate
► On account of major changes in
corporate tax rates there is potential
of latent demand picking up in auto
sector if benefits are passed to the
consumer
Next Steps
► Re-activate key distributors for WST
► Control rising overdue payable
position through faster recovery of
overdue receivables
► Continue strict cash discipline and
incorporate overhead reduction
wherever possible
► Prepare 13 week rolling cashflows in
line with current weekly budgets
Table of Contents
 Plastic Products
I. Cash flow Summary
II. Business Monitoring
Business
Monitoring
Sales Analysis
 DRAFT
Achieved 40% of sales target for Oct-19, need to improve sales;
there is visible inventory build up vis-à-vis current production
90 84 52 53 31 9 31 34 40

80
Q1 FY20 – INR 135 Cr Q2 FY20 – INR 74 Cr
70 31
H1 FY20 – INR 209 Cr
Amounts in INR Cr.

60 (vs. INR 552 Cr during H1 FY19 i.e. 62% drop)

50 9 7

40
30 9
53 9
45 13
20 43
25 3
10 18 22
13 INR 16 Cr.
13
- -5
-10
FY19 avg Apr-19 May-19 Jun-19 Jul-19 Aug-19 Sep-19 Oct-19
PPC PPI Projected

Plant wise revenue breakup – Oct ‘19 Product wise revenue breakup – Oct ‘19 Sales vs. Production (MT) – Oct ‘19
492
3% Roto 400
10% 5%
Kalol WST 129
9% BMC 104
Namakkal 11% 35% SMC
91
Uluberia Roto SMC 15
Nalagarh INR 16 Cr. PS/FMD 15% INR 16 Cr. PS 37
60
Butibori FRP
19
Kolhapur 26% Others 68% FRP 22
Guwahati 17% CSP
- 100 200 300 400 500
Production (MT) Sales (MT)

Note: Revenues considered until 21Oct2019

Page 10 The projected sales by the Mgmt. for the month of Oct is INR 40 Cr.
 DRAFT
Segment wise contribution in sales – high discounts observed in
SMC / PSFMD towards liquidation of inventory
Revenues Breakup for PPC Qualitative breakup of PPC revenues
INR Cr. 53 43 45 18 13 22 25 13 Other
100% WST PS/FMD SMC Others
2% 3%
1% 2% 1% Roto
2% 1% 3% 3%
4% 4%
95% 4% 2% 8% Net Sales
5% 4% 10.5 0.7 0.3 1.0 0.0
9% (INR Cr.)
90% 9% 9% 2%
7% Avg. Discount
13% 6% (%)
1% 9% 39% 4% 6%
85% 12% 96%

88% Order Lag

80% 86% 85% 86% 9 20 42 12 47
84% (Days)
80% 80%
75% Avg
FY19 avg Apr-19 May-19 Jun-19 Jul-19 Aug-19 Sep-19 Oct-19 Realisation 247 121 204 186 302
(INR / Kg)
WST PS/FMD SMC Other Roto products Others

Revenues Breakup for PPI Qualitative breakup of PPC revenues

INR Cr. 31 9 7 13 -5 9 9 3 Other PS/
3% SMC FRP WST Others
13% 6% Roto FMD
90% 2% 18% 15% 16%
5% 25% 2%
75% 9% 26% 14% Net Sales
44% 5% 27% 2.0 0.4 0.5 0 0 0
20% (INR Cr.)
60% 26% 39% 50% 21%
45% 23% 23% Avg.
33%
30% 69% Discount (%)
0% 0% 0% 0% 0% 0%
45% 44% 97% 44%
15% 31% 41% 35%
Order Lag
0%
(Days)
46 107 95 92 0 0
-17% -26%
-15%
-28%
Avg
-30%
Realisation 252 192 333 155 0 0
FY19 avg Apr-19 May-19 Jun-19 Jul-19 Aug-19 Sep-19 Oct-19
(INR / Kg)
SMC Other Roto products FRP WST PS/FMD Others

Note: Other Roto products primarily consists of environmental products, bio-gas systems, pallets, ice boxes and industrial containers.
Oct-19 revenues are until 21Oct2019
Page 11
 DRAFT
Water Storage Tanks – Critical distributors need to be revived,
(impacted by ~70% during YTD FY20)
Critical Distributor Analysis Dispatches vs. opening order book as on 1Oct2019
Amounts in INR Cr. Values in Units

FY19 Q2 FY20 Oct ‘19 Use Produce Fulfilled

Category Qty
Stocks More in Oct-19
Avg rev. Avg rev. Avg rev. Priority 1: Key distributors in FY19, 8,830 3,577 5,253 4,840
Continuing
Count p.m. / Count p.m. / p.m. / Impact which have a full truck load orders,
business
distributor distributor distributor credit cleared. And advance
0% 30 0.16 - - - 100% received for full truck load orders for
credit cleared parties.
<20% 44 0.18 44 0.02 0.04 76% Priority 2: Full truck load orders, 6,427 2,210 4,217 2,188
regardless of it being credit cleared
20% - 50% 60 0.21 60 0.07 0.07 66% (get it cleared if not clear)
Priority 3: Get orders to ensure full 2,752 881 1,871 959
50% - 80% 28 0.18 28 0.12 0.05 71% truck loads
Total 18,009 6,668 11,341 7,987
>80% 6 0.26 6 0.25 0.11 59%
Stocks available on 1Oct2019 18,024
Total 168 0.19 138 0.07 0.06 69% Excess stocks as on 1Oct2019 11,356

Plant wise revenue contribution Product wise revenue contribution Product wise price trends (INR / Ltr)*
1% 8.0
Uluberia 1% 11%
7.3
13%
Namakkal 28% 7.0 6.4
13% 1% 12% 7.1
Nalagarh WSPR
34% 39% 6.0
Butibori 11% 22%
13% CCWS 21% 43% 6.0
Oct’19 Oct’19 5.0
Kalol INR 11 Cr WSBM INR 11 Cr 4.2 4.0
Guwahati 15% 4.0
WSCC 3.9
24% 3.7
Kolhapur 18% 24%
3.0
28% WSPR CCWS WSBM WSCC
H1 FY20 H1 FY20 28%
INR 153 Cr INR 153 Cr Oct-19 H1 FY20 Avg

(*) Average prices across product categories have dipped between 3% - 8% on account of the company shifting dispatches from FOR
Page 12 basis to ex-works basis, which was duly factored in the product pricing
 DRAFT
Collections from old debtors needs to ramp-up; significant
shortfall in the actual vs. budgeted collections during Oct-19
Weekly Collections – Oct ‘19 PPC Collection breakup – Oct ‘19
Budgeted 11.0 15.0 19.0 - -
Op. debtors 8.7
Actual 6.3 8.4 11.5 - -
20.0 Advances 6.1
18.0
16.0 Others 1.1
Amounts in INR Cr.

14.0
12.0 0 5 10 15 20 25 30 35
Amounts in INR Cr.
10.0 3.3
8.0 PPI Collection breakup – Oct ‘19
2.3
6.0
2.1
4.0 7.9 Op. debtors
5.6
2.0 4.0
- - - Advances
Week 1 Week 2 Week 3 Week 4 Week 5
Others
PPC PPI Others Shortfall Total
0 5 10 15 20 25 30 35
17.5 7.7 1.0 18.8 45 Amounts in INR Cr.

Account wise collections breakup PPC debtors ageing (30Sept19) PPI debtors ageing (30Sept19)

3 13%
SBI TRA Not Due Not Due
27%
Other SBI 2 0-30 days 32% 8%
0-30 days
Yes 30-60 days 30-60 days 43%
INR 26 Cr. INR 32 Cr. INR 85 Cr. 9%
Axis 60-90 days 60-90 days
IDBI 90-180 days 90-180 days
16% 11%
21 >180 days >180 days
18%
4% 16%
3%

Page 13 Table of Contents

Production and Dispatches
 Production data from 16th Sep’19 to 13th Oct’19 – Kalol –
DRAFT
increased production & dispatch of non-WST products
50 Production in MT 70
43 Dispatch in MT
58
60
40 37
31 32 50 41 46 45
30 28 28 40
2322 24 40 34
19 27
20 15 16 30
13 21 22
10 9 10 16 16
20 1512
10 5 6 5 12
9 8
1 10 5 4
3 2
0
Roto Mould Blow Mould Fibre Plastic Sheet 0
Reinforced Sections Moulded Roto Mould Blow Mould Fibre Plastic Sheet
Plastic Compoud Reinforced Section Moulded
Plastic Compund
Week 11 Week 12 Week 13 Week 14 Week 11 Week 12 Week 13 Week 14

50% 45%
Capacity Utilisation 200 Dispatch in INR lac
168.56
39%
40% 160
35% 132.60
32%
30% 27% 120 110.11
24% 105.12
23% 56.87
21% 33.22 84.12
20% 15% 17% 18% 80
15% 52.30 62.49
13% 47.38 29.49 31.71
11% 11% 40.90
10% 8% 8% 7% 6% 40 21.55
18.87 13.16
9.88 5.28
1% 13.50
0% 0 3.26
Roto Mould Blow Mould Fibre Plastic Sheet Roto Mould Blow Mould Fibre Plastic Sheet
Reinforced Sections Moulded Reinforced Section Moulded
Plastic Compoud Plastic Compund
Week 11 Week 12 Week 13 Week 14 Week 11 Week 12 Week 13 Week 14

Production Data in the form of MIS is provided to the EY team on a daily basis

Page 15
Production data from 16th Sep’19 to 13th Oct’19 – Namakkal -
DRAFT
improved capacity utilisation of blow moulding facilities

Production in MT Dispatch in MT
60 56 80 79

50
39 60
38 36
40
31 40 38
30 24 40
30
20 24
20 18 20
10 20 14
10

0 0
Week 11 Week 12 Week 13 Week 14 Week 11 Week 12 Week 13 Week 14

Roto Mould Blow Mould Roto Mould Blow Mould

Capacity Utilisation 250

Dispatch in INR lac
50% 45%
45% 207.68
40% 200
35%
35% 32%
29%
30% 150
25% 22% 22% 21% 100.84 95.59
20% 100
15%
15% 63.31
53.22 47.34 40.63
10% 50 28.73
5%
0% 0
Week 11 Week 12 Week 13 Week 14 Week 11 Week 12 Week 13 Week 14
Roto Mould Blow Mould Roto Mould Blow Mould

Production Data in the form of MIS is provided to the EY team on a daily basis

Page 16
Production data from 16th Sep’19 to 13th Oct’19 – Uluberia –
DRAFT
improved capacity utilisation due to RM availability

Production in MT Dispatch in MT
70 64 63 90
79
60 54 80
51
50 70 62
60 53
40
30 50
30 22 38
40
20 25
8 30
10 15
0 20 11
0 8
10
Week 11 Week 12 Week 13 Week 14
0
Roto Mould Blow Mould Week 11 Week 12 Week 13 Week 14
Roto Mould Blow Mould
Capacity Utilisation Dispatch in INR lac
70% 66% 66% 250

60% 57% 201.35

53% 200
50% 44% 156.16
40% 150
126.60
32%
30% 87.41
100
20%
12% 51.58
50 30.90
10% 22.77
15.72
0%
0% 0
Week 11 Week 12 Week 13 Week 14 Week 11 Week 12 Week 13 Week 14
Roto Mould Blow Mould Roto Mould Blow Mould

Production Data in the form of MIS is provided to the EY team on a daily basis

Page 17
Production data from 16th Sep’19 to 13th Oct’19 – Nalagarh –
DRAFT
improved capacity utilisation due to RM availability

Production in MT Dispatch in MT
40 36 50 44
35 32
40
30 26
30
25 30
18 23 23
20
14 20
15
12
10 7
10 5
5 1 3
- -
- 0
Week 11 Week 12 Week 13 Week 14 Week 11 Week 12 Week 13 Week 14

Roto Mould Blow Mould Roto Mould Blow Mould

Capacity Utilisation Dispatch in INR lac

140
40% 37%
35% 116.29
35% 32% 120
30% 27% 100
25% 80 73.06
18% 18% 61.02
20% 55.19
60
15%
40
10% 23.32
5% 20 9.15 4.71
0% 0% 2.21
0% 0
Week 11 Week 12 Week 13 Week 14 Week 11 Week 12 Week 13 Week 14

Roto Mould Blow Mould Roto Mould Blow Mould

Production Data in the form of MIS is provided to the EY team on a daily basis

Page 18
 Production data from 16th Sep’19 to 13th Oct’19 – Butibori –
DRAFT
prioritisation of roto moulding in line with regional firm orders

Production in MT Dispatch in MT
25 24
30
20 25
20 25
14 20 18
15 13
15 12
10
6 10
6
5 3 3 3
5 2
- - -
- 0
Week 11 Week 12 Week 13 Week 14 Week 11 Week 12 Week 13 Week 14
Roto Mould Blow Mould
Roto Mould Blow Mould

Capacity Utilisation Dispatch in INR lac

70 66.16

40% 37% 60
35% 33% 46.26
31% 50
30%
23% 40
25%
29.05
20% 30
15%
10% 20
10% 11.51
10 7.52 6.30 6.59
5% 5.17
0% 0% 0%
0% 0
Week 11 Week 12 Week 13 Week 14 Week 11 Week 12 Week 13 Week 14
Roto Mould Blow Mould Roto Mould Blow Mould

Production Data in the form of MIS is provided to the EY team on a daily basis

Page 19 Table of Contents

Working capital analysis
 DRAFT
Significant erosion in working capital observed on account of
reduction in inventory and debtors
Aggregate WC 437 280 181 159 123

600
All Values are in INR Cr.

500
400 332
300 217
191 173
200 166
100 236 200
139 122 105
-
(131) (137) (149) (136) (148)
-100
-200
Mar-19 Jun-19 Jul-19 Aug-19 Sep-19
Inventory Receivables Payables

Split of Debtors – Jul’ 19* Split of Creditors – Jun’ 19* Split in Inventory – Sep’19
3% 0% 2%
9% 29%
12% 21% RM
Related Party Not Due
10%
PPI-NG 0-30 Days
SFG
45% PPC 31-60 Days
18%
PPI-G 14% 61-90 Days FG
PPM-NG 91-180 Days
28% Stores &
PPM-G > 180 Days
spares
22% 18%
13% 56%

(*) The company has yet to provide information on the ageing of debtors and creditors as of Sep-19.
Page 21 Further, inventory details as represented here is as per management information maintained and we are Table of Contents
yet to review the same
Cash flow
Summary
 DRAFT
Cash flow from 16th Sept to 13th Oct 2019 – cash buildup
observed on account of lag in payments despite collections
Amounts in INR Crore

Week 2 – Week 10 Week 11 Week 12 Week 13 Week 14 Week 11 – Week 14

Particulars
(15 Jul–15 Sep) (16Sep-22Sep) (23Sep-29Sep) (30Sep-06Oct) (07Oct-13Oct) (16Sep-13Oct)

Opening Balance 4.2 8.9 5.5 7.4 14.9 8.9

$
Total Collections 102.7 9.6 10.0 10.3 5.6 35.5
**
Total Payments 74.0 10.3 7.2 2.5 10.0 30.0

Adjustments by Banks 23.9 2.6 1.0 0.3 0.1 4.0

Closing Balance 8.9 5.5 7.4 14.9 10.4 10.4

Adjustments by various banks during the period

Adj by SBI 10.8 0.0 0.0 0.0 0.0 0.0

*
Adj by Yes Bank 10.2 - 1.0 0.3 0.1 1.4
*
Adj by Axis Bank 3.0 2.6 - - - 2.6

Adj by IDBI Bank 0.1 - - - - -

Total 23.9 2.6 1.0 0.1 0.1 4.0

(*) Adjustment by Yes Bank during the reporting period of INR 1.4 Cr is towards LC repayment against overdrawn LCs (INR 0.93 Cr) and interest repayments
(INR 0.39 Cr) and that by Axis Bank INR 2.6 Cr is towards loan recovery against facility availed amounting to INR 240 Cr as per company
(**) While 2Oct2019 was a public holiday, there was significant lag in release of payments through the bank, despite availability of funds in the TRA account,
which is reflecting in the subsequent week where payments have exceeded collections nearly twice over.
($) Collections suffered during Oct-19 on account of significant employee attrition by end of Sept-19 across all verticals i.e. PPI / PPC / PPM.

Page 23
 DRAFT
Weekly collections during 16th Sept to 13th Oct 2019 fell short of budgeted
collection on account of high employee attrition and festivities during Oct-19
Amounts in INR Crore
Actual Collections

Week 2 – Week 10 Week 11 Week 12 Week 13 Week 14 Week 2 – Week 14

Particulars
(15Jul – 15Sep) (16Sep – 22Sep) (23Sep – 29Sep) (30Sep – 06Oct) (07Oct – 13Oct) (16Sep – 13Oct)
PPC (B2C) 66.0 7.5 8.1 7.5 4.0 27.1

PPI (B2B) 29.1 2.1 2.1 2.7 1.5 8.3

Others* 7.7 - - 0.1 0.1 0.2

Total 102.8 9.6 10.2 10.3 5.6 35.6

(*) These amounts primarily relate to certain duty draw backs and tax refunds.

Budgetary Variance

Week 11 (16Sep – 22Sep) Week 12 (23Sep - 29Sep) Week 13 (30Sep – 6Oct) Week 14 (7Oct – 13Oct) Total (16Sep – 13Oct)
Particulars
Budget Actual Shortfall Budget Actual Shortfall Budget Actual Shortfall Budget Actual Shortfall Budget Actual Shortfall

PPC (B2C) 9.50 7.54 1.96 9.50 8.16 1.34 7.0 7.49 -0.49 9.0 3.94 5.06 35.00 27.13 7.87

PPI (B2B) 4.82 2.14 2.68 5.00 2.16 2.84 4.0 2.70 1.30 6.0 1.46 4.54 19.82 8.46 11.36

Total 14.32 9.68 4.64 14.50 10.32 4.18 11.00 10.19 0.81 15.00 5.40 9.60* 54.82 35.59 19.23

(*) As explained by the company, collections during Week 14 (7 – 13 Oct 2019) suffered on account of ongoing festivities (Navratri and Dussera)

Page 24
 DRAFT
While certain banks have adjusted overdues during the reporting
period, ~50% of total payments could be routed for production
Amounts in INR Crore
Particulars Week 2 – Week 10 % of Total Payments Week 11 –Week 14 % of Total Payments
LC Repayment 11.48 12% - 0%
Production & Dispatch Expenses 33.36 34% 16.79* 49%
Other Operating Expenses 29.13 30% 13.23** 39%
Recovery of Bank Dues 23.95 24% 4.00$ 12%
Grand Total 97.92 100% 34.01 100%

(*) INR 13 Cr. (38% of total payments during Week 11-14) has been towards procurement of raw materials, stores and consumables (vs. INR 21.54 Cr i.e. 22%
of total payments during Week 2-10) , thus directly translating into production. This has been primarily driven by advance payments in lieu of discontinued LCs
(**) Of these amounts, INR 2.38 Cr was paid towards industrial all risk insurance policy for 4 months and an amount of INR 2.6 Cr was paid towards GST.
Accordingly, the monthly fixed costs (post considering proportionate amount of insurance premium paid) amounts to INR 8.85 Cr during the reporting period.
($) as mentioned in the previous slides, amounts were adjusted by Yes Bank during the reporting period of INR 1.4 Cr being towards LC repayment against
overdrawn LCs (INR 0.93 Cr) and interest repayments (INR 0.39 Cr) and that by Axis Bank INR 2.6 Cr is towards loan recovery against facility availed
amounting to INR 240 Cr as per company

Page 25
 DRAFT
Summary of budgeted vs. actual payments recommended by EY
Amounts in INR Crore

Shortfall in Shortfall in
Particulars Budgeted* Requested Recommended Paid
Request Recommendation
Duty & Taxes 3.51 2.68 2.64 2.89 0.83 0.04
Rent & Storage 0.12 0.02 0.01 0.03 0.10 0.01
Insurance 0.00 2.39 2.38 2.38 -2.38 0.00
Selling & Distribution 0.70 0.80 0.39 0.43 -0.10 0.42
Administrative & other Expenses 0.64 0.74 0.39 0.34 -0.10 0.35
Petty Cash 0.02 0.06 0.06 0.05 -0.04 -
Consultancy & Professional Fee 0.46 0.42 0.30 0.19 0.04 0.12
Salary & Employee Expenses 6.65 3.69 3.95 5.79 2.96 -0.25
Power & Fuel & Other Utility 0.62 1.32 1.28 0.80 -0.70 0.04
Labour & Mfg Expenses 3.82 3.61 2.83 2.42 0.21 0.79
Transporter - 0.66 0.08 0.56 -0.66 0.58
Raw Material 16.97 18.92 15.62 10.32 -1.95 3.30
Stores and Consumables 4.28 6.87 4.16 3.05 -2.59 2.71
LC Repayment - - - - - -
Interest - - - 0.09 - -
Others - - 0.04 - - -0.04
Total 37.79 42.18 34.12 29.36 -4.39 8.06

Shortfall in Request = Budget – Request Received | Excess request is on account unfulfilled requests from previous weeks being rolled
over in future budgets
Shortfall in recommendation = Request Received – Recommendation | This is primarily on account of delays in providing underlying
documents for EY review and recommendations along with certain payments not being recommended due to inadequate rationale
(*) based on collections forecast for the week plus available bank balance at the time of the meeting
Page 26
 DRAFT
Detailed view of weekly payments from 16th September to 13th
October 2019 Amounts in INR Lakhs

Week 11 Week 12 Week 13 Week 14 Total

Category
(16Sep–22Sep) (23Sep-29Sep) (30Sep-06Oct) (07Oct–13 Oct) (16Sep–13Oct)
Recommended by EY Team 988.49 717.17 250.26 973.84 2,929.75
Raw Material and Stores & Consumables 418.14 235.79 245.16 396.74 1,295.83
Salary & Employee 222.71 62.84 301.10 586.65
Duty & Taxes 260.44 0.19 25.43 286.06
Contractual Labour Payments 36.08 108.16 91.61 235.85
Power & Fuel & Other Utility 25.00 55.49 11.29 91.78
Consultancy & Professional Fee 3.41 1.89 52.44 57.74
Transporter 1.31 6.59 2.18 45.17 55.25
Selling & Distribution 5.24 0.22 2.92 34.79 43.17
Administrative & other Expenses 12.98 3.16 15.28 31.42
Others* 3.17 242.83 246.00
Not Recommended by EY Team 42.51 - - 29.16 71.67
Consultancy & Professional Fee 40.05 40.05
Duty & Taxes 29.16 29.16
Salary & Employee 0.96 0.96
Petty Cash 1.50 1.50
Administrative & other Expenses 0.01 0.01
Direct Debit by Banks 264.77 98.03 27.56 9.54 399.90
Recovery of Overdues 264.76 17.00 281.76
LC Repayment 84.24 8.91 93.15
Interest 12.37 1.28 9.25 22.89
BG Invocation 1.23 1.23
Bank Charges 0.01 0.19 0.37 0.29 0.87
Grand Total 1,295.77 815.20 277.82 1,012.54 3,401.32

* Includes Payment of INR 233 lacs towards plant insurance for four months
Page 27 Table of Contents
 3
Auto Division
I. Business Analysis
II. Business cash flow monitoring
III. Financial analysis & working
capital assessment
Business overview
 DRAFT
Drop in sales for the largest Auto OEMs over the last 15 months
indicate major sectoral stress…
Maruti Suzuki sales snapshot TATA Motors sales snapshot

42%
58%

Mahindra & Mahindra sales snapshot Hyundai sales snapshot

15%
32%

An assessment of the 6 largest Auto OEMs indicate an average drop in sales of 30% across the board in the 15 month
period starting June’ 18. TATA Motors seems to be the most affected by the macro slowdown with sales falling over 50%
while Hyundai seems to be the least affected with a 16% drop in sales over the period

Source: EY analysis
Page 30
 DRAFT
For SBAPL sectoral stress is indicative in the offtake volumes
across key OEMs in Q1 and Q2 FY ‘20
55% drop 58% drop

36% drop 16% drop

10% drop 26% drop

Source: Sales registers

Page 31
 DRAFT
EBITDA for Sep’ 19 tapers on account of significant tooling sales
at cost while industry downturn continues to hamper growth
47 54 44 41 42 45 35

60 15.0%

13.0%
50 9 10.7%
4 11.0%
3 1
Revenue in INR Cr.

40 12
7 9.0%
9.2% 9.5% 1

EBITDA%
30 7.6% 7.0%
7.2%
6.50%
5.0%
20
2.2% 3.0%
10
1.0%
43 45 41 41 35 33 34
0 (1.0%)
Q3'18-19 (avg pm) Q4'18-19 (avg pm) Q1'19-20 (avg pm) Jul'19 Aug'19 Sep' 19 Oct' 19 (Estm.)

OEM Revenue Other Income incl. Projects revenue EBITDA %

► The Indian automobile industry has witnessed a plunge in domestic sales in excess of 30% (basis initial reports from SIAM) in
the recent few months (August’19 being the 5th consecutive month for drop in sales in FY 19-20)
► The sudden dip in profitability for Sep’ 19 is on account of significant tooling sales for KIA Motors (INR 11.57 Cr), which is
mainly related to development of moulds for future supply work to KIA. The development was done at cost but other fixed
expenses allocated to tooling for mould development incurred a net loss of INR 1.08 Cr
► The expected sales and EBITDA assessment in October’ 19 is based on orders available from OEMs and projections based on
achievement of actual sales till 17th October 2019.

While the profitability for the month has been impacted on account of mould development expenses for KIA, it is essential to
ensure business continuity for future orders of KIA. This was a one time activity for the month of September

Page 32
 DRAFT
Breakdown of sales for the month of Sep’ 19

Product sales breakup by plant Product Sales breakup by customer

Chennai - I 3% Hyundai
6%
23% 2%
Chennai - II incl. 19% 2% TVS Motor
2% 20%
Paint shop Mahindra & Mahindra
3%
Chennai - III/
3% Maruti Suzuki India Ltd.
Precitech
Hosur 3% KIA Motors India Pvt Ltd

General Motors
3%
Pune incl. LRTM 13% SINTEX LOGISTICS LLC
4%
Sohna 25% 15% FAURECIA

6% 4% SCHNEIDER ELECTRIC
Pithampur
11% SEOYON E-HWA Automotive
5% India
SUZUKI MOTOR GUJARAT
PVT LTD
Breakup of tooling sales by customer Borgwarner
13% 15%
100%
4% SMRC AUTOMOTIVE
Moth PRODUCTS INDIA
90%
Rane TRW
erson TATA Motors
2%
2%
80%
Others
70% Hyundai
Note on Tooling sales for Kia Motors
96% 22% • Total mould development and tooling sales to KIA ~ INR 11.57 Cr
60%
Kia • Total RM/ BOP/ Consumable consumption – INR 11.66 Cr.
Motors
50%
Asian Auto • Travelling expenses accounted for customer visits ~ INR ~ 20 Lacs
40% 74% with Salary cost ~ INR 2.5 Lacs
30% • Other fixed cost incl. ~ INR 78 Lacs
Tooling Sales

Page 33
 DRAFT
Growth in sales for Chennai – I is largely driven on account of
tooling sales to Hyundai for Sep’ 19

Chennai I Chennai II + Hosur Chennai III

Tooling sales ~ INR 11.68 Cr
done of which INR 11.57 Cr 1,967 7% 9%
was for KIA Motors mould 329
development 307 318
942
797 254
765 747 235
711
INR Lacs

INR Lacs
1,039 1,014 1,003

INR Lacs
941

Avg p.m. Q1 FY '20 Jul' 19 Aug' 19 Sep' 19 Avg p.m. Q1 FY '20 Jul' 19 Aug' 19 Sep' 19 Avg p.m. Q1 FY '20 Jul' 19 Aug' 19 Sep' 19
FY' 19 Avg p.m. FY' 19 Avg p.m. FY' 19 Avg p.m.

Pune incl. LRTM Sohna Pithampur

1% 5% 139 27%
1,195 127
1,057 1,061 1,089 114 115
102
861 873
801
INR Lacs

738
INR Lacs

INR Lacs
615 648

Avg p.m. Q1 FY '20 Jul' 19 Aug' 19 Sep' 19 Avg p.m. Q1 FY '20 Jul' 19 Aug' 19 Sep' 19 Avg p.m. Q1 FY '20 Jul' 19 Aug' 19 Sep' 19
FY' 19 Avg p.m. FY' 19 Avg p.m. FY' 19 Avg p.m.

Page 34
XX% MoM sales decline between Aug and Sep’ 19 XX% MoM sales growth between Aug and Sep’ 19
 DRAFT
Plant and customer wise split in share of OEM sales for Sep’ 19

Chennai I Chennai II Chennai III Hosur

RANE
Motherso Hyundai Others TRW Others
Others Steering
n 7% 3% 1%
4% 10%
3%
SMRC
Automotive
9%
SEOYON E-HWA
Automotive India TVS Motor KIA Motors
Schneider Electric TVS Motor
21% 47% India Pvt Ltd
49% 53%
47%
Borgwarner
FAURECIA 40%
Hyundai
22%
84%

LRTM Pithampur Pune Sohna

ALSTOM John Deere Honda

Others Others
3% 2% 2%
Volvo Eicher 6% SUZUKI Motor Gujarat 1%
14% 14%

Socomec Others
30% 22%
TATA Motors TVS Motor
Mahindra & Mahindra 7% Mahindra & Mahindra 17%
19% 55%
SINTEX LOGISTICS LLC
Force Motors Maruti Suzuki India Ltd.
95%
31% 66%
General Motors
16%

LRTM business unit largely supplies to export customers in US via Sintex Logistics LLC

Source: August sales register

Page 35 Table of Contents
Impact of current distress in SBAPL
 DRAFT
Potential future business value lost on account of not receiving
fresh RFQs is significant over the last 2 years – (1/2)
Potential annual Split by model name
Plant Customer
loss in revenue

SU2i,
Chennai - I Hyundai INR 49 Cr. 100%

New Alto

14% New Baleno

23%
16% New Brezza
Sohna Maruti Suzuki INR 31 Cr. 14% New Celerio
10%
23% S-Presso

Swift

KUV & TUV

11% 8% ME 3
Wheeler
13% S110
4% S201
30%
Pune Mahindra INR 17 Cr. 7%
U308

27% W501

XUV500 &
TUV300

K1,
Pune FOTON INR 14 Cr. 100%

Source: EY Analysis. Mgmt. representation

Page 37
 DRAFT
Potential future business value lost on account of not receiving
fresh RFQs is significant over the last 2 years - (2/2)
Potential annual Split by model name
Plant Customer
loss in revenue

T-Cross,
Pune Volkswagen INR 37 Cr. 100%

4% Q502
10%
26% Q5 BSVI
12% Nexon BS6
Pune TATA Motors INR 78 Cr. X445
16% 16% TIAGO TIGOR
Tiago
16%
Others

IAC
20%
MTWL
41%
7% Piaggio
Pithampur Miscellaneous INR 17 Cr.
VECV
18%
VECV Bus
8% 7%
VW

T1N,
Pithampur FORCE Motors INR 26 Cr. 100%

Source: EY Analysis. Mgmt. representation

Page 38
 DRAFT
However, all is not gloomy and SBAPL (Auto) has also been able
to acquire fresh business over the last 2 years…
Potential annual Split by model name
Plant Customer
loss in revenue

AH2
19%

HCI
9%
Chennai - I Hyundai INR 6 Cr.
2%
QXI
71%

SU2i

Nexon
Refresh
14% 12%
Q5 BSVI

13% Tiago Cross

Pune TATA Motors INR 374 Cr. TIGOR

13% 43%
Tigor MCE

X445
6%

MG Motors

46% 42%
MTWL
Pithampur Miscellaneous INR 12 Cr.
12% Shakti
Pumps

Source: EY Analysis. Mgmt. representation

Page 39
 DRAFT
Key reasons for loss in RFQ and potential mitigation plan

• ‘Word of mouth’ information floating around in the Industry with regards to a dip in the financial health of
Sintex BAPL (‘SBAPL’) . Consequently, many of the OEMs did not want to consider SBAPL as a potential
bidder for new RFQs

• Additionally, in certain cases we understand that there was a ‘conscious call’ from the Mgmt. on account of
low profitability associate with certain products

Potential mitigation measures Status

• DRAFT ‘Communication Mail’ to be sent to all OEMs on the existing • DRAFT prepared – To be
stability in the financial health of SBAPL and that we remain circulated post signing of
committed to fulfilling their schedules the ICA

• Have ‘Face to Face’ meeting with key stakeholders across OEMs to • Tentative list for meeting
ensure that they continue to give robust delivery schedules and key stakeholders being
include SBAPL as part of new RFQs to be initiated prepared

Source: EY Analysis. Mgmt. representation

Page 40 Table of Contents
Cost structure assessment
 DRAFT
Variance assessment with budgeted figures for the month of
Sep’ 19 – Product sales

Particulars Variance with budget Comments

Lower than budgeted projections on account of continued slowdown

Revenue (5.3%)
and no additional material offtake on account of festive season

RM/ PM/ Paints & Thinners/ On account of a tighter procurement cycle and rigorous monitoring on
14.7%
BOP payments – Key RM cost conservation up by ~ 15%

Stores & spares/

(2.5%) Stores/ spares and consumables higher on account of the product mix
Consumables

Reduction on account of a more stringent sales & operations planning

Power & Fuel charges
Transportation/ Freight
11.6% tying up with stringent production planning. Power savings at Sohna to
generate annual savings of INR 6 lacs/ month
On account of relatively smaller volumes being dispatched to
(3.9%) customers. While we continue monitoring this cost, inwarding schedule
is dictated by the customer basis their own production planning

Other variable Mfg. Reduction on account of a more stringent sales & operations planning
4.9%
expenses basis order book strength

Other fixed Mfg. expenses 12.2% Basis cost reduction initiatives undertaken by the Mgmt.

Admin & Corporate

7.3% Detailed explanations as part of next slide
overheads

Page 42
 DRAFT
Cost reduction initiatives implemented as part of way forward
approach in Sohna plant
Category Savings (INR Lacs) Comments

• Air Leakage reduction

Power cost 4.70 • Replacement of inefficient pumps
• Implementation of suggestions from Energy audit report
conducted by external agency

• Daily casual labour approval by plant head for every dept.

Manpower cost 4.55 • Casual labour cost reduced from 5.5% in Aug’ 19 to 4.4% in Sep’
19

Reduction in lease 1.44 • Reduction in area of usage in Manesar warehouse used for MSIL
shipments

• Reduction in cycle time for certain components

Manufacturing cost 1.26 • Reduction in internal rejections from 6.4% in Aug’ 19 to 5.7% in
Sep’ 19

• Negotiations with Transport providers

Logistics cost 1.24
• Reduction in LTL shipments

• Better procurement negotiations

RM/ Consumable cost 0.60
• Alternate vendor development

Aggregate savings p.m. 13.80

Page 43
 DRAFT
Cost reduction initiatives implemented as part of way forward
approach in Pune plant
Category Savings (INR Lacs) Comments

RM cost 16.82 • Usage of alternate vendors, Grinding materials etc.

• Line balancing and re-layout to reduce manpower and space

utilization
Manpower cost 4.87
• Managing casual labour deployment basis S&OP

Reduction in BOP cost 4.36 • Insourcing of Moulds

Consumable cost 1.54 • Basis Sales & Operations planning

Logistics cost 0.96 • Optimization of No. of dispatches

• VFD installation
Power cost 0.78
• Provisioning of centralized auxiliary equipment

• Line Balancing
RM/ Consumable cost 0.75
• Productivity and Throughput improvements

Aggregate savings p.m. 30.08

Page 44
 DRAFT
Cost structure for product sales for the month of Sep’ 19 and
MoM comparison with Sep’ 19

39%

14% 3%
100% 2% 2%
5%
5% 4%

12%
7%
6%
Revenue RM Bought out Packing Paints/ Stores & Power and Other variable Freight Other fixed Admin. & EBITDA
Consumption parts Material Thinners/ spares/ Fuel charges Mfg. expenses expenses Mfg. expenses Corp.
Others Consumables overheads

Aug vs Jul ‘19 comparison

4.7% 7.7% 37.4% 15.6% 16.6% 9.7% 32.6% 5.6% 0.9% 11.4% 42.7% 94 bp

Notes
• While product sales has a margin of 6.3% for the month of Sep’ 19, overall EBITDA for the month is ~ 2.25% on account of an INR 1
Cr. of net loss in project sales.
• However, this was a 1 time activity for the month and profitability is expected to increase for Oct’ 19
bp – Basis points
Page 45 Table of Contents
Working Capital Analysis
 DRAFT
Movement in working capital between 30th June to 30th Sep –
period of monitoring
Aggregate WC 4,693 3,341 4,315 4,884

300 365 681 955

All figures are in INR lacs

3,855 3,852 3,850 3,989

8,665 8,263 8,245 8,257

June' 19 July' 19 Aug' 19 Sep' 19

(8,127) (8,461) (8,317)

(9,139)

Debtors Inventory Cash Balance Creditors

Split of Debtors – 30th Sep’ 19 Split of Creditors – 30th Sep’ 19 Split in Inventory – 30th Sep’ 19

3% 3% 10%
Not Due 18%
Not Due
6%

32% 0-90 days 41% 0-90 days RM

WIP
90-180 days 90-180 56% FG
62% days 26%

More than 43% More than

180 days 180 days

Page 47
 DRAFT
Related party receivable position as on 30th Sep, 2019
All figures are in INR lacs

4% 4% 3%

96 100
% 96% 97%
%

BAPL Rototech Sintex Logistics LLC is based out of US and handles export sales for Sintex Auto division. The
entity takes FG as input, does assembling and minor job work and markets the product in mainland
Sintex Logistics LLC US. The company is in the process of recovering all balance dues from Sintex logistics in the
normal course of business

Page 48
 DRAFT
Receivable/Payable Position (Non Related Party) as on 30th Sep,
2019
Outstanding Debtor Position (Non Related Party) as on 31st August 2019 All figures are in INR lacs

Outstanding Creditor Position (Non Related Party) as on 31st August 2019

Page 49 Table of Contents

Cash flow
monitoring for 24th
July – 15th Oct’ 19
 DRAFT
Change in P2P process from De-centralized to centralized
version

De-Centralized process pre 24th July Centralized process from 24th July

Chennai - I

Plant level cash flows Pune Chennai - II

Collection received in individual plant A/Cs HO

(Collection
Payment processing from individual plant A/Cs A/C across
customers)
Disadvantages of a De-centralized payment process:
Sohna Chennai - III
► No centralization meant that financial controller would
have limited say in cash budgeting and forecasting
exercise
► Prioritization of payments not performed at a divisional Pithampur
level
► Cash flows widely influenced by collection cycle of
individual plants and not at an aggregate level Step 1 Payment request from respective plants
► Additionally, discipline is treasury management is difficult
to implement and adhere Diligence performed basis credit terms from the vendor, PO
Step 2 rates, Invoice/ GRN checks and cash budget for the period

Step 3 Payment processed through Kotak – 6407 CA from Pune basis

cash available and checks as part of Step 1 and 2

Page 51
 DRAFT
Overall status of inflows and outflows for the period - 24th July
15th October
INR Lacs

• The payments process has been centralized and w.e.f 20th September, 2019 payments are now being made from the TRA A/c being maintained with SBI
• Collections from customers are being received in the current a/c no. 6407 being maintained with Kotak Bank. However, the balance at the end of the day is
auto swept to the TRA A/c.
• CAPEX has been incurred towards purchasing Trolley’s and toilet renovation, roof cleaning, shed painting at plants
• Salary and Employee payments include salaries and reimbursements. Approx. 8%-12% increments have been given to the employees across locations.
• Duty payments have been mainly towards GST, TDS, PF and ESIC dues
• Fund Transfers have been made to BOB Pune and SBI Sohna A/c which is mainly being utilised for making statutory payments
• Total payments made include Forex payments made of Rs. 144 lacs which where mainly towards Raw Material and Bought out parts
• Collections include Rs. 1365 lacs received from KIA motors towards project sales on 20th September, 2019

Page 52
 DRAFT
Monthly Cashflows – Auto Division – 24th July 2019 to 15th Oct
2019
Particulars 24th to 31st Jul-19 Aug-19 Sep-19 1st to 15th Oct-19 Total
Opening Balance 225 365 682 2,260 225
Collections 1,117 5,529 5,329 2,135 14,110
Total Fund Available 1,342 5,894 6,011 4,395 14,335

Payments : Breakup 977 5,211 3,751 2,171 12,111

0
Raw Material 608 2,151 1,414 842 5,016
Duty & Taxes - 613 586 6 1,205
Bought Out Parts 81 655 475 355 1,567
Salary & Employee 1 381 409 356 1,148
Labour & Mfg Expenses 30 387 200 75 692
Power & Fuel 9 174 164 97 445
Transporter 102 158 117 99 476
Packing Material 10 132 85 28 256
Stores & Consumables 41 122 71 57 292
Administrative & other Expenses 25 100 59 49 233
Rent & Storage 41 87 44 24 196
Insurance - 5 38 86 129
Repairs & Maintenance 2 44 33 40 118
Projects - 135 24 17 177
Consultancy & Professional Fee - 27 14 2 43
CAPEX 12 39 9 37 97
Import / Export Expense - - 3 0 3
Selling & Distribution - 0 - - 0
Unapproved (PDC's / Cash Withdrawn) 15 3 - 19
-
Closing Balance 365 682 2,260 2,224 2,224

Page 53
 DRAFT
Status of Payments – Auto Division – 24th July to 15th Oct 2019
24 July - 29 July - 05 Aug - 12 Aug - 19 Aug - 26 Aug - 02 Sep - 09 Sep - 16 Sep - 23 Sep - 30 Sep - 07 Oct - 14 Oct -
Total
Particulars 28 July 04 Aug 11 Aug 18 Aug 25 Aug 01Sep 08 Sep 15 Sep 22 Sep 29 Sep 06 Oct 13 Oct 15 Oct

Opening Balance 225 645 920 1,072 1,252 539 681 450 419 2,353 2,260 2,299 2,035 225
Collections 755 1,224 1,019 1,630 929 1,088 942 538 2,732 700 1,327 450 777 14,111
Total Fund Available 980 1,869 1,939 2,702 2,181 1,627 1,623 988 3,151 3,053 3,587 2,749 2,812 14,336

Payments : Breakup 335 948 867 1,450 1,642 946 1,173 569 798 793 1,288 714 589 12,112

Raw Material 283 427 350 658 587 455 381 273 203 359 478 297 265 5,016
Duty & Taxes - 9 27 394 165 18 34 47 504 0 - 1 5 1,205
Bought Out Parts 1 104 102 120 270 139 148 94 17 149 197 64 160 1,567
Salary & Employee 0 141 160 2 71 9 391 9 1 7 315 35 8 1,148
Labour & Mfg Expenses - 32 52 106 121 106 6 70 25 76 31 40 26 692
Power & Fuel 2 7 86 10 71 8 82 20 9 53 4 92 3 447
Transporter 3 100 20 17 85 35 45 12 14 3 49 54 36 474
Packing Material - 10 21 42 37 31 11 10 2 51 22 28 18 284
Stores & Consumables 6 35 27 37 34 25 5 4 0 31 38 18 4 263
Administrative & other Expenses 11 27 12 33 34 9 13 15 4 19 34 16 9 233
Rent & Storage 28 28 - - 3 69 - 1 3 12 28 22 1 196
Insurance - - - - 0 4 37 0 0 - 2 - - 44
Repairs & Maintenance - 2 6 8 23 6 12 6 0 12 6 21 16 118
Projects - - - - 124 11 - - 11 13 78 8 0 246
Consultancy & Professional Fee - - 0 6 10 11 2 7 0 2 3 8 29 78
CAPEX - 12 3 17 8 11 5 0 1 - 3 8 9 78
Import / Export Expense - - - - - - - - - 2 1 - 0 3
Selling & Distribution - - - - - 0 - - - - - - - 0
Unapproved (PDC's / Cash
Withdrawn) 2 14 2 2 2 - - - 20

Closing Balance 645 920 1,072 1,252 539 681 450 419 2,353 2,260 2,299 2,035 2,224 2,224

• The payments process has been centralized and are now being made from the TRA A/c being maintained with SBI
• CAPEX has been incurred towards purchasing Trolley’s and toilet renovation, roof cleaning, shed painting at plants
• Salary and Employee payments include salaries and reimbursements
• Fund Transfers have been made to BOB Pune A/c which is mainly being utilised for making statutory payments
• Total payments made include Forex payments made of Rs. 129.39 lacs which where mainly towards Raw Material and Bought out parts

Page 54
 DRAFT
Budget vs actual fund flow assessment – 24th July to 15th
October
Pending to be paid post
Requested Verified Pending for Rejected Processed
Categories Total Budget collection of overdue
(A+B+C) (A) clarifications (B) (C) (D)
receivables (A-D)
RM/BOP/PM 6,988 8,052 7,827 9 215 6,867 960
Stores & Consumables 267 293 292 0 1 263 29

Power & Fuel 472 472 472 - - 447 25

Job work/R&M/Labour 1,059 981 967 12 3 810 157

Transporter 497 501 489 - 12 474 15

Fixed Factory OH &
2,138 1,959 1,935 17 7 1,721 232
Admin OH
Maintenance CAPEX 116 116 107 9 1 78 29

Duty & Taxes 1,723 1,723 1,721 1 1 1,205 516

Projects 598 790 770 20 - 246 524

Total 13,859 14,886 14,580 68 238 12,111 2,488

Collections Movement of fund balance in the period

14,110
11,614
2,496 lacs
INR lacs

Budgeted Actual

Page 55
 DRAFT
Breakdown of inflows and outflows by plant for the period
24th July – 15th October
Sales Vs Collections share Plant wise payment share

141
3% 2%1%
Chennai I 4%
All Values in INR Cr.

6% 25%
Chennai II
Additional Collections
Pune
of INR 13 Cr.
128 Sohna
Chennai IIA 17%

Pithampur
Corporate
LRTM Pune 21%
Sales for the Collections for
period the period Hosur
21%
Category wise payment share

Raw Material 2%1%

2% 2%
Bought Out Parts 4%
Duty & Taxes 4%
• Payments include Rs. 13.68 lacs PDC given earlier in
Salary & Employee 6% normal course of business which was debited on 29th
Labour & Mfg Expenses 41% July
Misc 6% • Customer collections in the HDFC Bank A/c of approx.
Transporter Rs. 8. 60 crs have been adjusted
Power & Fuel • ECB payment of Rs. 6.90 crs due in July pertaining to
9%
Stores & Consumables PP division adjusted by the lenders from Auto
division
Packing Material
Projects 10%

CAPEX 13%

Misc. payments incl. Admin Exp. Rent and Storage, Repairs and Maintenance, Consultancy and Professional Fees, Insurance
Page 56
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Breakdown of payments to major raw material suppliers

Page 57
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Average P2P timelines split by category of payments (In
Monitoring phase)
RM, PM, BOP Stores & consumables,

65 days 3 days 3 days

Invoice Date Requisition Date Authorisation Date Payment Date

Electricity , Power & Fuel

7 days 2 days 2 days

Invoice Date Requisition Date Authorisation Date Payment Date

Labour, Transporter & Mfg. costs

48 days 3 days 2 days

Invoice Date Requisition Date Authorisation Date Payment Date

Admin & Corporate Overheads

38 days 2 days 4 days

Invoice Date Requisition Date Authorisation Date Payment Date

Salary & Employee cost payment cycle

4- 5 days 1 day 2 days

Invoice Date Requisition Date Authorisation Date Payment Date

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Banking Arrangement – List of Bank Accounts

Type of Account Bank Location A/c No

Operational
TRA State Bank of India AHMEDABAD 38678165733 Operational –
CURRENT Bank of Baroda PUNE 4490200000509
• w.e.f 20th September, 2019, all the
TRUSTEES HDFC Bank CORPORATE 2272320002364
payments are being routed through
TRA a/c being maintained with State
Non - Operational Bank of India
CC Account HDFC Bank CHENNAI-2A 60310006022
CC Account HDFC Bank CHENNAI-I 60310006015
CC Account HDFC Bank CHENNAI-II 60310006032 • There is debit freeze on Kotak 6407
CC Account HDFC Bank CORPORATE 60310005981 A/c and the balance at the end of the
CC Account HDFC Bank PITHAMPUR 57500000282292 day are auto swept to SBI TRA A/c
CC Account HDFC Bank PUNE 57500000151290
CC Account HDFC Bank SOHNA 57500000151050
CC Account Kotak Bank PUNE 8911687297 • The Bank of Baroda A/c is being
CC Account Kotak Bank SOHNA 8911624322 utilized for making online statutory
payments
CURRENT Axis Bank CHENNAI-2A 910020040778774
CURRENT Axis Bank CHENNAI-I 910020040477509
CURRENT Axis Bank CHENNAI-II 910020040476441 • The HDFC Trustee A/c is being
CURRENT Axis Bank HO-PUNE 452010200013031 utilized for making Gratuity
CURRENT Axis Bank PITHAMPUR 911020025941190 Payments
CURRENT HDFC Bank AHMEDABAD 60310002032
CURRENT HDFC Bank KALOL 2272320002114
CURRENT HDFC Bank SOHNA 990680037071 • The signatories for the 3 operational
CURRENT ICICI Bank SOHNA 2105010905 a/c’s are :
CURRENT State Bank of India CHENNAI-I 30299997962 Mr. Gagandeep Sign – CEO
CURRENT State Bank of India PITHAMPUR 63022120789 Mr. Tanmoy Khowas – Finance
Head
CURRENT State Bank of India PITHAMPUR 10699584235
Mr. Anand Shaligram – HR Head
CURRENT State Bank of India PUNE 31211737557
Non – Operational –
CURRENT State Bank of India SOHNA 30304412383
• Company cannot avail any CC facility
CURRENT UCO Bank CHENNAI-2A 19040210000601 anymore
CURRENT YES Bank KALOL 781400000091
• There is debit freeze on current
CURRENT Kotak Bank PUNE 7232100000192
accounts
CURRENT Kotak Bank PUNE 9511866402
CURRENT Kotak Bank CORPORATE 673011016407

Page 59 Table of Contents

Thank You
6
Annexures
• Annexure I
 DRAFT
Payment process – Documents required (1/2)

# Payment Category Documents to be provided

• Challans created
1 Statutory Payments • Calculations of payable amounts/assessment documents available from the department, if any;
• Details of unpaid amounts if any along with requisite intimation from department
• For interest payments:
• Debt outstanding details
• Interest calculations
• Debt agreement detailing terms of payment as well as due date (may be shared once and
2 Debt Repayment
referred to subsequently)
• For Principal repayment
• Debt repayment schedule as per debt agreement (may be shared once and referred to
subsequently)
• Salary master detailing exact payment amount under different heads to each individual
• Calculations of various deductions and underlying documents for the same (for PF, PT, ESIC & TDS –
to be calculated as per government norms; any deviation to be substantiated by underlying
documents)
3 Salary & Wages
• Basis for reimbursements (travel reimbursements / CTC based reimbursements)
• Union contracts if applicable
• Attendance register & leave register (for checking attendance records)
• Employee advance / employee loan schedule, if any
• Contractual agreement
Contract Labour /
4 • Invoice raised for reimbursement with details of attendance
Security
• Corresponding attendance and utilisation details from individual plant locations
Fixed monthly
5 expenses (Rent, • Agreements/invoices detailing amount to be paid and due by date
Electricity, etc.)

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Payment process – Documents required (2/2)

# Payment Category Documents to be provided

• Corresponding BOM, PR, PO, GRN, QA/QC clearance (congruous documents for services along with
request from user);
• Invoice stating payable amounts, details of consignment and payment due dates / credit terms
• Vendor advance schedule
Raw Material and • LC payments – LC documents, weighbridge slips, Bill of Lading / Lorry receipts / transport challans,
6
Services vendor invoices, PR, PO, GRN, certificate of analysis, bills of exchange, bank presentation memo
• Current Inventory levels
• Re-order points
• Cash budgets
• S&OP

All payment requests for a particular day to be sent by EOD of previous day along with status of funds update from finance team
and payment recommendation as per defined matrix. In case payment request is more than fund availability, firm collection
details to be provided, failing which, excess payments will not be approved

Page 63 Table of Contents