PROJECT PROFILE

ON MANUFACTURING AND SALES OF DOMESTIC LIGHTS WITH LED TECHNOLOGY

Prepared by

United Electrical Industries Ltd, Pallimukku, Kollam (PSU-Industries Department)

CompanyProfile
NameofCompany Address : UnitedElectricalIndustriesLtd. : HeadOfficePallimukku,Kollam, Kerala,S.India691010. BranchKuzhalmannom,Palghat Website Telephone Fax Email YearofRegistration Status : www.unilecindia.com : (0474)2729241/242/015/473 : (0474)2727583 : ueikollam@sancharnet.in : 1950 : PublicSectorUndertaking(Govt. ofKerala) : Shri.KShirish

ManagingDirector

Shareholding participation AuthorisedCapital Paidupcapital

: 99%StateGovernment

: Rs,400lakhs : Rs.399lakhs

OVERVIEW United Electrical Industries Ltd., a Kerala Government company, is located in Kollam city, 70 km north of Trivandrum, the capital of Kerala State in South India. The company was incorporated in the year 1950. It is the first factory in India to manufacture Electricity House Service Energy Meters. The company had started its manufacturing activity in technical collaboration with the world renowned meter manufacturer M/s. Aron Meters Ltd., England. The major share holder of the company is the Government of Kerala. From 1998 onwards the company started manufacturing Static Meters using the state art technology.Sofarthecompanymanufacturedmorethan60lakhsStaticMeters andhavesuppliedalloverIndia.Theentirerequirementofhouseservicemeters of the Government owned Kerala State Electricity Board which is the major power utility service in Kerala is catered by this company based on an MOU (MemorandumofUnderstanding)signedKeralaStateElectricityBoard. The company also supplies Multifunction Static Meters with many additional featurestothestateutilityserviceinAndhraPradeshinIndia. The company's quality system is ISO 9001:2000 certified and its products are ISI markedequivalenttospecificationofIEC.61036(1996).

PerformanceoverLast10Years

TURNOVER & PROFIT LOSS (Lakh)

PERFOMANCE ANALYSIS OF UNITED ELECTRICAL INDUSTRIES LTD. (1999-2009)

3884 4500 4260

TURNOVER PROFIT

4000 3500 3000 1577 2000 1500 1000 500 0 1999 - 2000 1502 1837 2500

3508

2760

LOSS

1231

1006

272.09

338.78

322.16 708

60.76

150.91

25.54

2000 2001

- 2001 2002

2002 - 2003

2003 2004

2004 2005

2005 2006

2006 2007

2007 2008 - 2008 2009

YEAR

44.54

497 312

285

237

POSITIONOFMOBILIZATIONANDDEPLOYMENTOFFUNDSRs,000(Ason 31.03.2009) Note:Audituptothefinancialyear200910iscompleted. Rs.000 345654 12901 13 108139 62.45 345654 39903 455 39657 59128 13677 429407 4454 Nil 421807 3779 Nil 0.95

TotalAssets FixedAssets Investments NetcurrentAssets Misc.expenditure TotalLiabilities Paidupcapital Revenuesandsurplus SecuredLoans UnsecuredLoan Accumulatedloss Totalturnover Profit Statusdues Totalexpenditure Profitaftertax Dividendrate Earningpershare

 SALESMADEDURING200809 Meters MotorcontrolGear ABS Watermeters Contractors Earthpipe TurnOverfor200809 Profitfor200809 Rs.4206Lakhs Rs.37.79Lakhs Qty. 133329 593 2243 1000 30 0 Rs.inLakhs Rate 3950.75 85.45 174.41 4.23 0.15 65.27

PRODUCT RANGE 1. 2. 3. 4. 5. Single Phase AC Static Watt hour Meter Single Phase Multifunction Static Watt Hour Meter Poly Phase AC Static Watt hour Meter Single Phase High Quality AC induction Watt hour Meter Oil Immersed Motor Starters a) Star- Delta Starter type NSD 10 HP to 250 HP b) Auto Transformer Starter type ATS 10 HP to 250 HP c) Stator-Rotor Starter type OSR 10 HP to 250 HP d) Panel type Fully Automatic Air Break Starters 6. 7. 8. 9. Street Light Contactors 32 Amps 11KV A.B Switches Water Meters Street Light Fittings for CFL & Tube Lights

PROJECT PROFILE ON DOMESTIC LIGHTS USING LED TECHNOLOGY

INTRODUCTION The key strength of LED lighting is reduced power consumption. LEDs are available with at the most Lumen efficiency of 110 Lum/Watt compared to 65-80 Lum/Watt of CFL and FTL, 45 Lum/Watt of Mercury vapour and 75 Lum/Watt of metal halide or 94 Lum/Watt of Sodium Vapour. The operational life of current white LED lamps is 50,000-80,000 burning hours as compared to 5000-10000hrs of CFL and FLT, 18000 hrs of T5 lamp, 5000 hrs of Mercury vapour, 8000 hrs of Metal halide and 8000 hrs HPSV lamp. No cost of replacement of LEDs as compared to other lamps which require frequent replacement. Maintenance - No maintenance required as compared to other lamps which have starter igniters and capacitors which are repair bound. LEDs are available in wide range of colors from 2700K to 6500K which are dark, yellow, mild yellow and ultra white. LEDs are dimmable. Hence any reasonable fluctuation in input voltage will not affect life of LED as it happens with all other lamps. LEDs produce no UV radiation. LEDs being no-filament lamp, shock and vibration does not affect its life as it happens with all other lamps. Comparison of three Common forms of light BULB WATTAGE LUMENS EFFICACY (LM/W) LIFE (Hours) 40 550 14 5000 CFL 13 550 61 8000-10000 LED 7 400 57 100000

MARKET

Total electricity and maintenance cost during life time of LED bulbs is around 1/10th of that of normal bulbs. LED Home Lights can be designed to consume about 0.6 Watt and are nearly equal in luminance to a 25 watt incandescent light bulb or an 11 Watt CFL lamp- with about 90% saving of energy. LED Street light with solar panel is the best solution for minimizing electrical power consumption from hydroelectric power stations so far available. Huge amount of power can be spared from the hydroelectric plant in this manner and also this combination is the most energy efficient and green lighting solution available today. With so many advantages and potential applications, LED is sure to succeed in large markets such as India- provided the price factor is addressed. The overall Indian LED lighting market is expected to reach $399.2 million by 2015 from $49.6 million in 2009 at an estimated compounded annual growth rate of 41.5 percent till 2014.

PROJECT PARAMETERS

Capacity of Production: 1,20,000 Numbers per annum Land Freehold land covering an area of 6 acres. Raw material RequirementPower consumption Water Rs. 250 lakh per month Rs. 5 lakh per month Rs. 0.05 lakh Per month Rs. 750 lakh Per month Rs. 7.5 lakh Per month Per month

Plant & Machinery required Manpower Requirement

COST OF THE PROJECT (Rs. in lakhs) Working capital requirement Plant and machinery 600.00 262.55 862.55

MEANS OF FINANCE Equity Loan 86.00 776.55 862.55

Profit before tax BEP Debt Equity Ratio Debt service coverage ratio Interest rate of return Sales turnover

: Rs. 360 lakhs : Rs. 750 lakhs : 9:1 : 1.11 times : 22% : 3000 lakhs

Conclusion:The management Technical know how of the company is competent enough manufacturing process, raw to manage other the unit profitability and successfully. There will be sufficient orders. materials infrastructural facilities etc are already available. All financial statements and other parameters of the scheme are found satisfactory. The project is technically feasible and economically viable.

For further details please contact United Electrical Industries Ltd.