PAE Ltd

PAE Ltd

Incorporated as a wholly-owned subsidiary of Premier Automobiles (PAL) Premier Auto Electric (PAE) since incorporation has been trading in automobile products servicing cars and fitting air-conditioners in automobiles after public issue in Feb '90 PAE ceased to be a subsidiary of PAL. It started operations as a representative of reputed foreign automobile /automobile component manufacturers and gradually expanded into service station activities. It expanded its activities by adding a network of branches representating major auto ancillary manufacturers in India.On Jun.'93 PAE signed an MoU with Best & Cromption Engineering to purchase plant and machinery for automobiles and for know-how to manufacture starter motors and alternators and their parts. With the rights to use Becon brand for 30 months it has the exclusive rights to market components for PAL-Peugeot cars in the domestic market. In 1996 Company issued bonus shares in the ratio of 1 equity for every 2 equity shares.Company has received ISO 9002 Certification from RWTUV Germany. This is first time in the country that the Certificate has been awarded to a Auto Spare Parts marketing and distribution company. Company has done fitment of CNG kits in 457 Cars & Taxies which is an attempt towards pollution control and fuel economy. PAEL closed down its auto electrical division at Ambattur Chennai with effect from 3rd August 1998. During 1998-99 it introduced some products with its brand name 'PRIYA'. While focussing on its core activity of marketing and distributing automotive components the company has also taken up the operation of running vehicle depos in some locations for Ind Auto Ltd the joint venture car manufacturing company of Fiat and PAL.During the year 2000-2001 the turnover of the company declined to a large extent and main reason for the decline is a)recession in the automobile industry b)Devastating earthquake in gujarat which is major business centre etc.The company's Fixed Deposit Scheme has been rated as 'FB+' by crisilindicating timely payment of interest and principal.