EIH ASSOCIATED HOTELS Share price

Oberoi Associated Hotels Ltd. was originally incorporatedon 21st March 1983 in the name and style of PleasantHotels Ltd. and acquired its present name subsequent to theissuance of a fresh Certificate of Incorporation on 25th October 1989.The Company started operations of its hotel at Madrasnamely The Trident in March 1988. The Trident is operatedby The East India Hotels Ltd. ("EIHL").The Company was originally promoted by the Rane Group. Thepresent Promoters took over the management of the Companyin 1988.Engaged in the business of hoteliering and relatedactivities the Company at present owns The Trident Madraswhich is being operated by EIHL. The Trident Hotels arehigh quality medium-priced Five Star hotels.The Trident Madras is a 3-storey hotel situated onapproximately five acres of tropical gardens. The hotel has155 rooms and 11 suites all of which are centrallyairconditioned. The hotel has three speciality restaurantsone bar and several banquet and meeting rooms and aswimming pool.In the financial year 1994-95 the Company generated atotal income of Rs. 1479.12 lakhs and registered a netprofit of Rs. 310.98 lakhs. For the year 1994-95 the Boardhas proposed a dividend at the rate of 20%.The financial performance of the Company during the lastthree years is summarised in the following table :-FINANCIAL HIGHLIGHTS OF THE COMPANY khs~Rs. LaYear ended 31st March 1991 1992 1993 1994 1995Guest Accommodatron.Restaurants. Bars & Banquets etc 54870 82855 92198 105618 1450.41Giher iscome e 21 1164 1832 2060 28.71Prsfit before interest. Depreciation &Tao lPBlDTl 229.21 360 18 35333 388~06 490.12Isterest 18536 16752 15549 15971 110.41Depreciation 63 40 84.58 66.24 70 63 88.73TaoProtit after Tao IPATI 0.45 12810 131~60 15772 310.98Equity Share capital 525 90 525 90 525 90 52500 525.00Reoerven & Surplus (72~83l 2179 9533 16874 389.15Tangible Net Worth 45217 54679 62033 69374 894.15Earnings Per Share (EPS in Rn I 0.01 244 251 3~00 5.92Book value per Share (Rn I 8.61 1042 11 82 1321 17.03Dinidend (%) - 5 10 15 20* ProposedNotes:1. All figures are as per audited accounts of that respectiveyear.2. The audited figures for the financial year ended31st March 1995 are subject to adoption by the Members ~in the next Annual General Meeting.3. There have been no changes in the accounting policiesover the last five years.4. The Company has not revalued its assets till date.Contingent LiabilIties as on 31st March 1995Contingent Liabilities as on 31st March 1995 include :-a) Claims against the Company not acknowledged as debtsRs. 1205550 (previous year - Rs. 787156).b) Guarantee given by the Company to Customs Authoritiesfor Rs. 1 crore (previous year - Rs. 1 crore).c) Counter Guarantee by the Company to the Bank forguarantee given to The Director General of Foreign Trade- Rs. 92000 (previous year - Rs. nil).Adverse Events during the last 12 monthsDuring the middle of the year 1994-95 there was an outbreakof the plague epidemic in parts of Western India. This affectedthe inflow ot tourist and business traffic in India.