Key points discussed include:

Some of the shares have been under pledge with Working Capital Bankers of the Company and the rest are pledged by Promoters in their individual capacity.

Total Debt is about Rs 324 crores including Rs 75 crores of short term debt.

For the past two years, the company is repaying the term loans availed from Banks & FIs at the rate Rs 52 crores per annum. This year also it will be repaying at the same rate.

Cement Boards is doing extremely well and in the next couple of years it is likely to reach 100% capacity utilization. (Presently it is operating at 60%). In Prefab, it is in search of new technologies as the present technology is having certain limitation i.e. we cannot go for multi-storied buildings / commercial complexes etc.

Its total capacity in Hydro power business is 15.75 MW and there is hardly any cost involved being hydro except O&M expenses and Interest expense. The power generated by these two plants is being supplies to the State Grids and not being used for captive purposes as it is not economically feasible.

The power situation has improved considerably after power cuts in last 3-4 months and sand availability has also improved. The remaining 9 months are expected to be better. Grid power costs Rs 4.5-5 per unit which largely meets the requirement of 23MW apart from emergency based Diesel generation sets (Rs 13-14 per unit) and open market sources (Rs 8-9 per unit).

The share of AP region to total cement sales may decline from 60-70% to 50% on account of increase in capacity utilization in FY13.

Around 30% of the total coal requirement is imported and rest 70% is met through indigenous sources.

Blended cost is around Rs 5000 per tonne. Imported SA coal costs around Rs 6000 per tonne and Indonesia variety costs Rs 3000 per tonne.

Environment clearance has been received for thermal power project and bank facility arrangement is in progress. The power project planned is of 30MW capacity and project cost is estimated to be Rs 150 crore, of which  Rs 100 crore will be funded through debt and remaining Rs 50 crore from equity and internal accruals.

Once the Public Hearing is over which is scheduled during the first of July, Environmental Clearance can be obtained.

The management sees no impact, directly or otherwise of CCI order on large companies.

The management is in lookout for joint venture with other companies, similar to earlier proposed with VST.