JAGSON AIRLINES Ltd.

Jagson Airlines Ltd. as one of the pioneers in the field of Air Taxi operations. The announcement of the open sky policy in 1991 opened up new vistas in the field of aviation. Jagson Airlines is the First Private Airline to avail of the opportunities accorded by this policy. The airlines commenced its operations in 1992 and since then it has been totally committed to providing efficient and safe aviation facilities. Their work philosophy has been to look forward and always strive for excellence. They have made plans for substantial investments in the 21st century, so that Jagson could always maintain the high standards of quality in service it has provided and at the same time project itself as a modern progressive airline. Therefore their will to move forward coupled with the friendly and caring service of our team speaks elegantly of their determination to reach new heights. A significant focus of their strategy formulation has been the implementation of IT Systems. An exercise in foresight done by the management emphasizes the need of making substantial investment in technology in order to project itself as a safe, professional and modern airlines. Jagson plans to implement Online Reservation System whereby customers would be able to check flight availability and reserve seats online, thereby, saving their precious time and effort.

Services provided by the company:

Jagson Airlines is committed to providing easy, comfortable, safe & reliable air services. Jagson Airlines after more than 6 years of operations still maintains an unblemished record of professional service.

On Ground services- Jagson assures a wide range of facilties in order to provide maximum convenience to its customers. Charter Services- Over the past few years it has established an enviable track record in the area of the chartering of aircraft.

Jagson Airlines destinations:

Chandigarh

currently

flies

to

the

following

Chandigarh Airport

Delhi Indira Gandhi International Airport

Himachal Pradesh Dharamsala Gaggal Airport Shimla Shimla Airport Kullu Bhuntar Airport

Maharashtra Mumbai Chhatrapati Shivaji International Airport Pune Pune International Airport Shirdi Shirdi Airport

Uttarakhand Pantnagar Pantnagar Airport

Balance Sheet
Mar ' 11 Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07

Sources of funds
Owner's fund Equity share capital Share application money Preference share capital Reserves & surplus 20.17 20.17 20.17 20.17 10.65

-22.01

-13.56

-7.83

-0.74

-4.19

Loan funds
Secured loans Unsecured loans Total 7.6 32.8 38.56 10.5 26.39 43.49 13.54 25.88 16.6 36.03 19.92 26.38

Uses of funds
Fixed assets Gross block Less : revaluation reserve 52.64 52.14 51.11 49.23 46.58

Less : accumulated depreciation Net block

15.54 37.1

12.67 39.47

9.87 41.24

7.19 42.04

4.83 41.75

Capital work-inprogress Investments

3.5

0.02

0.02

1.87

Net current assets

Current assets, loans & advances 9.8 6.34 13.1 9.61 9.02

Less : current liabilities & provisions Total net current assets Miscellaneous expenses not written Total

11.88

9.77

32.9

20.59

31.45

-2.08

-3.43

-19.8

-10.98

-22.43

3.54 38.56

3.95 43.49

4.42 25.88

4.95 36.03

5.19 26.38

Book value of unquoted investments

3.5

1.87

Market value of quoted investments Contingent liabilities

Number of equity sharesoutstanding (Lacs)

201.69

201.69

201.69

201.69

106.47

Capital Structure
From Year 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 1994 To Year 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 Class Of Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Authorized Capital 50 50 50 50 50 15 15 15 15 15 15 15 15 Issued Capital 20.17 20.17 20.17 20.17 10.65 10.65 10.65 10.65 10.65 10.65 10.65 10.65 10.65 Paid Up Shares (Nos) 20168980 20168980 20168980 20168980 10647200 10647200 10647200 10647200 10647200 10647200 10647200 10647200 10647200 Paid Up Face Value 10 10 10 10 10 10 10 10 10 10 10 10 10 Paid Up Capital 20.17 20.17 20.17 20.17 10.65 10.65 10.65 10.65 10.65 10.65 10.65 10.65 10.65

Profit and Loss Account

Mar ' 11 Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07

Income
Operating income 9.72 11.3 7.21 14.18 20.1

Expenses
Material consumed Manufacturing expenses Personnel expenses Selling expenses Adminstrative expenses Expenses capitalised Cost of sales Operating profit Other recurring income Adjusted PBDIT Financial expenses Depreciation Other write offs Adjusted PBT -

4.24 3.84 -

4.33 4.7 0.07

1.93 3.35 0.08

7.59 3.37 0.59

12.13 3.68 0.53

5.57

2.52

3.46

2.99

13.66 -3.93

13.1 -1.8

7.88 -0.67

15.01 -0.82

19.33 0.77

1.07 -2.86 1.62 2.87 0.41 -7.77

0.39 -1.42 1.7 2.79 0.46 -6.38

0.34 -0.32 2.03 2.68 0.53 -5.57

0.47 -0.36 0.21 2.56 0.6 -3.73

0.64 1.41 0.24 2.22 0.55 -1.6

Tax charges Adjusted PAT Non recurring items

0.65 -8.41

-0.64 -5.74

1.45 -7.02

2.72 -6.45

4.24 -5.84

-0.06

Other non cash adjustments Reported net profit

-0.03 -8.44

-5.74

-0.07 -7.09

0.34 -6.18

0.32 -5.52

Earnigs before appropriation Equity dividend Preference dividend Dividend tax Retained earnings

-8.44 -8.44

-5.74 -5.74

-7.09 -7.09

-6.18 -6.18

-5.52 -5.52

Ratios:
Mar ' 11 Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07

Per share ratios

Adjusted EPS (Rs) Adjusted cash EPS (Rs) Reported EPS (Rs) Reported cash EPS (Rs) Dividend per share -4.17 -2.84 -3.48 -3.2 -5.48

-2.54 -4.19

-1.23 -2.84

-1.89 -3.52

-1.63 -3.06

-2.88 -5.18

-2.56 -

-1.23 -

-1.92 -

-1.49 -

-2.58 -

Operating profit per share (Rs)

-1.95

-0.89

-0.33

-0.4

0.72

Book value (excl rev res) per share (Rs)

-2.67

1.31

3.93

7.18

1.19

Book value (incl rev res) per share (Rs.)

-2.67

1.31

3.93

7.18

1.19

Net operating income per share (Rs)

4.82

5.6

3.58

7.03

18.88

Free reserves per share (Rs)

-17.44

-8.69

-6.07

-2.82

-8.81

Profitability ratios
Operating margin (%) -40.42 -15.95 -9.25 -5.81 3.85

Gross profit margin (%)

-69.96

-40.67

-46.46

-23.87

-7.18

Net profit margin (%)

-78.23

-49.07

-93.85

-42.16

-26.59

Adjusted cash margin (%)

-47.55

-21.19

-50.42

-22.43

-14.77

Adjusted return on net worth (%)

-216.45

-88.65

-44.52

-458.87

Reported return on net worth (%) Return on long term funds (%)

-216.48

-89.54

-42.62

-433.71

-15.93

-10.74

-13.66

-9.78

-5.15

Leverage ratios
Long term debt / Equity 5.59 1.1 0.85 3.08

Total debt/equity

5.59

1.1

0.85

3.08

Owners fund as % of total source

-4.76

15.18

47.69

53.93

24.49

Fixed assets turnover ratio

0.18

0.22

0.14

0.29

0.44

Liquidity ratios
Current ratio Current ratio (inc. st loans) Quick ratio 0.82 0.64 0.39 0.46 0.28

0.82 0.76

0.64 0.57

0.39 0.37

0.46 0.42

0.28 0.25

Inventory turnover ratio

12.94

15.52

9.24

15.87

22.11

Payout ratios
Dividend payout ratio (net profit) -

Dividend payout ratio (cash profit)

Earning retention ratio

Cash earnings retention ratio

Coverage ratios
Adjusted cash flow time total debt -

Financial charges coverage ratio

-1.77

-0.83

-0.15

-1.71

5.82

Fin. charges cov.ratio (post tax)

-2.18

-0.45

-0.9

-13.35

-10.3

Component ratios
Material cost component (% earnings)

Selling cost Component

0.61

1.1

4.14

2.64

Exports as percent of total sales

4.91

Import comp. in raw mat. consumed

Long term assets / total Assets

0.79

0.86

0.75

0.81

0.82

Annual Report in Brief

Mar ' 11 Sales Operating profit Interest Gross profit EPS (Rs) 9.72 -4.57 1.46 -4.96 -3.85

Mar ' 10 11.3 -2.43 1.56 -3.58 -2.84

Mar ' 09 7.22 -1.27 2.03 -2.96 -3.52

Mar ' 08 14.18 -1.69 0.05 -0.9 -3.06

Mar ' 07 20.1 0.06 0.1 0.93 -5.18

Company Jet Airways (I) Kingfisher Airlines Spice Jet Jagson Airlines

Sales (Rs.Million) 127768.30 62333.79 28795.08 97.25

Current Price 301.40 24.25 23.45 5.37

Change (%) -4.21 -4.15 -4.67 0.37

P/E Ratio 0.00 0.00 0.00 0.00

Market Cap.(Rs.Million) 26021.07 12071.15 10352.00 108.31

52-Week High/Low 518/167 49/18 47/15 16/3

Jagson Airlines Ltd. has seen revenues fall from 113.0M to 97.2M. In addition, the company has been unable to reduce the percentage of sales devoted to cost of goods sold, SGA expenses and income tax expenses. This has led to a reduction in the bottom line from a loss of 57.4M to an even larger loss of 84.4M.