MIRA INFORM REPORT

Report Date :

3^rd November 2006

IDENTIFICATION DETAILS

Name :	VIRGOZ OILS AND FATS PTE. LTD.
Registered Office :	^20 Cecil Street ^#18-08, Equity Plaza ^049705, Singapore
Country :	^Singapore
Financials (as on) :	31/12/2005
Date of Incorporation :	^14/09/2004
Com. Reg. No.:	^200411727k
Legal Form :	^Exempt Pte Ltd
Line of Business :	Engaged in trading of palm oil

RATING & COMMENTS

MIRA’s Rating :

Ba

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Status :	Good
Payment Behaviour :	Usually Correct
Litigation :	Clear

Subject Company

VIRGOZ OILS AND FATS PTE. LTD.

Line Of Business

TRADING OF PALM OIL

Parent Company

-

Financial Elements

FY2005

COMPANY

Sales : US$150,274,677

Networth : US$ 2,860,902

Paid-Up Capital : US$ 1,208,448

Net result : US$ 1,652,454

Net Margin(%) : 1.10

Return on Equity(%) : 57.76

Leverage Ratio : 2.45 TIMES

Rating

Credit Requested : NA

Credit Rating : Singapore $ 1000001 to Singapore 5000000

Credit Opinion : NA

BUSINESS INFORMATION REPORT

COMPANY IDENTIFICATION

^{Subject Company : VIRGOZ OIL AND FATS PTE. LTD.}

^{Former Name : -}

^{Business Address : 20 CECIL STREET}

^#18-08

^{EQUITY PLAZA}

^{Town : SINGAPORE}

^{Postcode : 049705}

^{County : -}

^{Country : Singapore}

^{Telephone : 6532 7777}

^{Fax : 6532 0787}

^{ROC Number : 200411727K}

^{Reg. Town : -}

SUMMARY

^{All amounts in this report are in : USD}

^{Legal Form : Exempt Pte Ltd}

^{Date Inc. : 14/09/2004}

^{Previous Legal Form : -}

^{Summary year : 31/12/2005}

^{Sales : 150,274,677}

^{Net Worth : 2,860,902}

^{Paid-Up Capital : 1,208,448}

^{Employees : NA}

^{Net Result : 1,652,454}

^{Auditor : FOO KON TAN GRANT THORNTON}

REFERENCES

^{CCMS Number : 702005031071}

^{Report Date : 03/11/2006}

^{Update Date : 03/11/2006}

^{Credit Requested : NA}

^{Credit Opinion : NA}

^{Litigation : No}

^{Company status : TRADING}

^{Started : 14/09/2005}

PRINCIPAL(S)

^{ROBERT G5786324U Director}

DIRECTOR(S)

^{ROBERT G5786324U Director}

^{Appointed on : 14/09/2004}

^{Street : 205 RIVER VALLEY ROAD}

^#04-79

^{Town : SINGAPORE}

^{Postcode : 238274}

^{Country : Singapore}

^{DIANA VIRGO N145095 Director}

^{Appointed on : 14/09/2004}

^{Street : JLN. ISKANDAR MUDA NO. 107}

^{Town : MEDAN}

^{Postcode : 20154}

^{Country : Indonesia}

^{LATHIKA DEVI AMMA D/O K R PILLAY S1552769B Company Secretary}

^{Appointed on : 31/12/2004}

^{Street : 67 CHOA CHU KANG ROAD}

^{NICON GARDENS}

^{Town : SINGAPORE}

^{Postcode : 689415}

^{Country : Singapore}

^{JHONNY VIRGO G5784044M Director}

^{Appointed on : 25/10/2004}

^{Street : 205 RIVER VALLEY ROAD}

^#04-79

^{Town : SINGAPORE}

^{Postcode : 238274}

^{Country : Singapore}

FORMER DIRECTOR(S)

^{TAN GEK MING @ CHEN YUE MING S7284484Z}

ACTIVITY(IES)

^{IMPORTERS And EXPORTERS Code: 11760}

^{PALM OIL Code: 15870}

^{OILS - WHSLE Code: 15515}

^{BASED ON ACRA'S RECORD AS AT 30/10/2006}

^{1) WHOLESALE OF PALM OIL; IMPORT & EXPORT OF INEDIBLE OILS AND FATS,}

^{PALM OIL COMMODITIES & RELATED GOODS}

^BY-PRODUCTS

CHARGES

No Charges On Premises/Property In Our Database

PREMISES/PROPERTY INFORMATIONS

No Premises/Property Information In Our Databases

BANKERS

^{THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED}

^{DBS BANK LTD.}

^{STANDARD CHARTERED BANK}

^{ING BANK N V}

SHAREHOLDERS(S)

^{ROBERT 800,000 Private Person}

^{Street : 205 RIVER VALLEY ROAD}

^#04-79

^{Town : SINGAPORE}

^{Postcode : 238274}

^{Country : Singapore}

^{MARIA WIJAYA 800,000 Private Person}

^{Street : JLN. ISKANDAR MUDA NO. 107}

^{Town : MEDAN}

^{Postcode : 20154}

^{Country : Indonesia}

^{DIANA VIRGO 200,000 Private Person}

^{Street : JLN. ISKANDAR MUDA NO. 107}

^{Town : MEDAN}

^{Postcode : 20154}

^{Country : Indonesia}

^{JHONNY VIRGO 200,000 Private Person}

^{Street : 205 RIVER VALLEY ROAD}

^#04-79

^{Town : SINGAPORE}

^{Postcode : 238274}

^{Country : Singapore}

SUBSIDIARY(IES)

No Participation In Our Database

PAYMENT HISTORY AND EXPERIENCES

^{Trade Morality : AVERAGE}

^{Liquidity : SUFFICIENT}

^{Payments : REGULAR}

^{Trend : UNKNOWN}

^{Financial Situation : AVERAGE}

LITIGATION(S)

No Litigation In Our Database

FINANCIAL ELEMENTS

^{All amounts in this report are in : USD}

^{Audit Qualification: UNQUALIFIED (CLEAN)}

^{Date Account Lodged: 19/04/2006}

^{Balance Sheet Date: 31/12/2005}

^{Number of weeks: 67}

^{Consolidation Code: COMPANY}

^{--- ASSETS ---}

^{Tangible Fixed Assets: 84,529}

^{Total Fixed Assets: 84,529}

^{Receivables: 6,578,844}

^{Cash,Banks, Securities: 3,188,752}

^{Other current assets: 11,402}

^{Total Current Assets: 9,778,998}

^{TOTAL ASSETS: 9,863,527}

^{--- LIABILITIES ---}

^{Equity capital: 1,208,448}

^{Profit & loss Account: 1,652,454}

^{Total Equity: 2,860,902}

^{Trade Creditors: 6,433,487}

^{Provisions: 184,915}

^{Other Short term Liab.: 384,223}

^{Total short term Liab.: 7,002,625}

^{TOTAL LIABILITIES: 7,002,625}

^{--- PROFIT & LOSS ACCOUNT ---}

^{Net Sales 150,274,677}

^{Gross Profit: 2,979,676}

^{NET RESULT BEFORE TAX: 1,837,369}

^{Tax : 184,915}

^{Net income/loss year: 1,652,454}

^{Depreciation: 15,339}

^{Directors Emoluments: 35,096}

^{Purchases,Sces & Other Goods: 147,295,001}

^{Wages and Salaries: 67,677}

^{Financial Income: 6,139}

RATIOS

^31/12/2005

^{Net result / Turnover(%): 0.01}

^{Net Margin(%): 1.10}

^{Return on Equity(%): 57.76}

^{Return on Assets(%): 16.75}

^{Net Working capital: 2776373.00}

^{Cash Ratio: 0.46}

^{Quick Ratio: 1.39}

^{Current ratio: 1.40}

^{Receivables Turnover: 15.76}

^{Leverage Ratio: 2.45}

^{Net Margin : (100*Net income loss year)/Net sales}

^{Return on Equity : (100*Net income loss year)/Total equity}

^{Return on Assets : (100*Net income loss year)/Total fixed assets}

^{Net Working capital : Total current assets-Total short term liabilities}

^{Cash Ratio : Cash Bank securities/Total short term liabilities}

^{Quick Ratio : (Cash Bank securities+Receivables)/Total Short term liabilities}

^{Current ratio : Total current assets/Total short term liabilities}

^{Receivables Turnover : (Receivable*360)/Net sales}

^{Leverage Ratio : Total liabilities/(Total equity-Intangible assets)}

FINANCIAL COMMENTS

^{THE FINANCIAL CONDITION OF THE COMPANY WAS DEEMED TO BE FAIR IN VIEW OF THE FOLLOWING:}

^{NET WORTH:}

^{THE BALANCE SHEET WAS PASSABLE WITH TOTAL EQUITY REGISTERING AT USD2,860,902. THIS WAS CONTRIBUTED BY RETAINED PROFITS BROUGHT FORWARD OF USD1,652,454.}

^LEVERAGE:

^{THE LEVERAGE RATIO WAS AGGRESSIVE AT 2.45 TIMES, INDICATING THAT THE COMPANY'S TOTAL LIABILITIES WERE SUBSTANTIAL IN RELATION TO ITS TOTAL EQUITY.}

^{IN THE SHORT TERM, TRADE CREDITORS ACCOUNTED FOR 91.87% OF THE TOTAL CURRENT LIABILITIES, AMOUNTING TO USD6,433,487. OTHER CURRENT LIABILITIES OF RM384,223 REPRESENTED:}

^{* OTHER PAYABLES OF USD37,371}

^{* AMOUNT OWING TO RELATED COMPANY (NON-TRADE) OF USD346,852}

^LIQUIDITY:

^{THE OVERALL LIQUIDITY OF THE COMPANY WAS FAIRLY HEALTHY. BOTH THE QUICK AND CURRENT RATIOS WERE SUFFICIENT AT 1.39 TIMES AND 1.40 TIMES RESPECTIVELY. THIS WAS IN TANDEM WITH THE NET WORKING CAPITAL, WHICH WAS ROBUST AT USD2,776,373.}

^{PROFITABILITY:}

^{REVENUE FOR FY2005 REGISTERED AT USD150,274,677 WHILE NET INCOME POSTED AT USD1,652,454.}

^{AS A RESULT, NET MARGIN WAS POSITIVE AT 1.10%.}

^{DEBT SERVICING:}

^{DEBT SERVICING PROBLEMS MIGHT NOT BE ANTICIPATED IN VIEW OF THE}

^{SUFFICIENT LIQUIDITY AND IF TRADE RECEIVABLES WERE FORTHCOMING.}

^{IN ADDITION, THERE WERE NO INTEREST-BEARING DEBTS TO FINANCE DURING THE FINANCIAL YEAR.}

^{LIMITED EXEMPT PRIVATE COMPANY}

^{WHERE THE SHARES OF A PRIVATE COMPANY ARE NOT OWNED BY ANY CORPORATE BODY AND THERE ARE NO MORE THAN 20 MEMBERS, THE PRIVATE COMPANY IS KNOWN AS AN EXEMPT PRIVATE COMPANY.}

^{AN EXEMPT PRIVATE COMPANY ENJOYS A GREATER AMOUNT OF PRIVACY THAN A PRIVATE COMPANY. IT IS NOT REQUIRED TO FILE ACCOUNTS WITH THE REGISTRAR IF IT CAN PRODUCE A CERTIFICATE SIGNED BY ONE OF ITS DIRECTORS, SECRETARY AND AUDITOR CONFIRMING THE FOLLOWING POINTS:}

^{1. THE COMPANY IS AN EXEMPT PRIVATE COMPANY.}

^{2. THE AUDITED ACCOUNTS HAVE BEEN TABLED BEFORE THE SHAREHOLDERS}

^{AT THE ANNUAL GENERAL MEETING.}

^{3. THE COMPANY IS ABLE TO MEET ITS LIABILITIES.}

^{THERE IS THEREFORE NO DISCLOSURE TO THE PUBLIC OF THE ACCOUNTS OF THE COMPANY ALTHOUGH THE ACCOUNTS STILL HAVE TO BE AUDITED EVERY YEAR AND APPROVED AT AN ANNUAL GENERAL MEETING OF THE COMPANY.}

^{A PRIVATE COMPANY THAT IS WHOLLY OWNED BY THE GOVERNMENT MAY BECOME AN EXEMPT PRIVATE COMPANY IF THE MINISTER FOR FINANCE, IN THE NATIONAL INTEREST, DECLARES IT TO BE SUCH BY A GAZETTE NOTIFICATION.}

^{EXEMPT FROM AUDIT}

^{AN EXEMPT PRIVATE COMPANY IS EXEMPT FROM AUDIT REQUIREMENTS IF THE STARTING DATE OF ITS FINANCIAL YEAR IS BETWEEN 15 MAY 2003 AND 31 MAY 2004 AND ITS TURNOVER FOR THAT FINANCIAL YEAR DOES NOT EXCEED $2.5 MILLION. FOR FINANCIAL YEARS STARTING 1 JUNE 2004, THE AMOUNT OF THE TURNOVER HAS BEEN RAISED TO $5 MILLION. THESE COMPANIES ARE STILL}

^{REQUIRED TO MAINTAIN PROPER ACCOUNTING.}

BACKGROUND/OPERATION

^{THE SUBJECT WAS INCORPORATED IN THE REPUBLIC OF SINGAPORE ON 14/09/2004 AS A LIMITED PRIVATE COMPANY AND IS TRADING UNDER ITS PRESENT NAMESTYLE AS "VIRGOZ OILS AND FATS PTE. LTD.".}

^{AS AT 30/10/2006, SUBJECT HAS AN ISSUED AND PAID-UP CAPITAL OF 2,000,000 SHARES OF A VALUE OF S$2,000,000.}

^{PRINCIPAL ACTIVITIES:}

^{SUBJECT IS REGISTERED WITH THE ACCOUNTING AND CORPORATE REGULATORY AUTHORITY (ACRA) BE PRINCIPALLY ENGAGED IN THE BUSINESS OF:}

^{1) WHOLESALE OF PALM OIL; IMPORT & EXPORT OF INEDIBLE OILS AND FATS, PALM OIL COMMODITIES & RELATED GOODS}

^{2) GENERAL WHOLESALE TRADE (INCLUDING GENERAL IMPORTERS & EXPORTERS); WHOLESALE OF PALM OIL COMMODITIES, RELATED SUBSTANCES AND BY-PRODUCTS}

^{DURING THE FINANCIAL YEAR(S), UNDER REVIEW, SUBJECT'S PRINCIPAL ACTIVITIES ARE THOSE OF IMPORT AND EXPORT OF INEDIBLE OILS AND FATS, PALM OIL COMMODITIES AND RELATED GOODS.}

^{FROM THE RESEARCH CONDUCTED, THE FOLLOWING INFORMATION WAS GATHERED:}

^{SUBJECT IS LISTED IN THE SINGAPORE LOCAL DIRECTORY UNDER THE}

^{CLASSIFICATION OF: OILS - EDIBLE PLANTS.}

^PRODUCTS:

^{* PALM OILS}

^{* FATS}

^{IMPORT COUNTRY:}

^{* INDONESIA}

^{MARKETS SERVED:}

^{* WORLDWIDE}

^{TERMS OF PAYMNET:}

^{* CUSTOMERS: LETTER OF CREDIT, DOCUMENT AGAINST PAYMENT}

^{* SUPPLIERS: LETTER OF CREDIT, DOCUMENT AGAINST PAYMENT}

^{FROM THE TELE-INTERVIEW CONDUCTED ON 03/11/2006, SUBJECT REVEALED THAT THEY ARE INTO THE TRADING OF PALM OIL. THEY ONLY ENGAGE IN EXPORTING AND DO NOT SUPPLY TO THE LOCAL SINGAPORE MARKET. THERE ARE 8 EMPLOYEES IN THE COMPANY.}

^{NO OTHER INFORMATION WAS GATHERED VIA THE TELE-INTERVIEW CONDUCTED.}

^{REGISTERED AND BUSINESS ADDRESS:}

^{20 CECIL STREET}

^#18-08

^{EQUITY PLAZA}

^{SINGAPORE 049705}

^{DATE OF CHANGE OF ADDRESS: 18/02/2005}

^{-- RENTED PREMISE}

^{-- PREMISE OWNED BY: D.L. PROPERTIES LTD.}

^WEBSITE:

^{* NIL}

^EMAIL:

^{* virgoz@virgoz.com}

MANAGEMENT

^{THE DIRECTORS AT THE TIME OF THIS REPORT ARE:}

^{1) JHONNY VIRGO, AN INDONESIAN}

^{- BASED IN SINGAPORE}

^{2) ROBERT, AN INDONESIAN}

^{- BASED IN SINGAPORE}

^{3) DIANA VIRGO, AN INDONESIAN}

^{- BASED IN INDONESIA}

SINGAPORE'S COUNTRY RATING 2006

INVESTMENT GRADE

IN SINGAPORE, THE POLITICAL SITUATION APPEARS TO BE VERY STABLE.

ECONOMIC GROWTH IS BECOMING MORE MODERATE AS INVESTMENT HAS BEEN FLAT DUE TO

INCREASING OIL PRICES AND LESS BUOYANT DEMAND FOR ELECTRONIC PRODUCTS.

ECONOMIC PERFORMANCE HAS REMAINED STRONG, UNDERPINNED BY PHARMACEUTICALS AND

SERVICES. EXPORTS HAS BENEFITED FROM THE STEADINESS OF DEMAND FROM ITS MAIN

TRADING PARTNERS, MALAYSIA, THE UNITED STATES, CHINA AND HONG KONG. OTHER THAN

ITS BALANCED PUBLIC SECTOR ACCOUNTS, LIMITED FOREIGN DEBT AND COMFORTABLE

FOREIGN CURRENCY RESERVES HAVE CONTRIBUTED TO SINGAPORE'S STRONG FINANCIAL

CONDITION.

AS THE ELECTRONICS SECTOR FACES COMPETITION FROM THE ASIAN ECONOMIES, SINGAPORE

HAS BEEN PURSUING DIVERSIFICATION STRATEGY THAT HAS BEEN CONSOLIDATING ITS

POSITION. PHARMACEUTICALS ALREADY REPRESENT 10% OF EXPORTS IN COMPARATIVE TO ITS

INSIGNIFICANT CONTRIBUTION IN YEAR 1995. ELECTRONICS SECTOR SECTOR'S SHARE HAS

DECLINED FROM 80% TO 60% DURING THE SAME PERIOD. THERE IS HIGH RELIANCE ON

DEVELOPMENT OF PETROCHEMICAL PRODUCTS, HIGH VALUE-ADDED SERVICES AND

BIOTECHNOLOGIES.

ASSETS

- ONE OF THE MOST OPEN ECONOMIES IN THE WORLD WITH EXPORTS PLAYING A MAJOR

ROLE IN ITS PERFORMANCE.

- ONE OF ASIA'S MOST ADVANCED COUNTRIES IN QUALITY COMPETITIVENESS TERMS.

- WORKFORCE'S EDUCATION AND SKILL LEVEL IS VERY HIGH.

- A MAJOR EXPORT OF CAPITAL IN ASIA, PARTICULARLY THE STATE-OWNED HOLDING

COMPANY, TEMASEK.

- THE BUSINESS ENVIRONMENT HAS BEEN VERY FAVOURABLE.

- GREAT POLITICAL STABILITY.

WEAKNESSES

- ECONOMY REMAINED OVERSPECIALISED IN THE ELECTRONICS SECTOR.

- MUST ACCELERATE DIVERSIFICATION IN SERVICES TO MAINTAIN ITS LEAD OVER OTHER ASIAN ECONOMIES

- REFORMS ARE STILL NEEDED TO FOSTER INNOVATION AND EDUCATION-SYSTEM MODERNIZATION.

- AGING POPULATION COULD ULTIMATELY AFFECT ECONOMIC PERFORMANCE.

WHOLESALE TRADE SECTOR

PAST PERFORMANCE

WITH THE GROWTH IN NON-OIL RE-EXPORTS AND THE RISE IN RETAIL SALES, THE

WHOLESALE AND RETAIL TRADE SECTOR GREW BY A ROBUST 15% IN 1Q2006, UP FROM THE

12% GAIN IN 4Q2005.

FOREIGN WHOLESALE TRADE INDEX

AS COMPARED TO 1Q2005, THE OVERALL FOREIGN WHOLESALE TRADE IN 1Q2006 ROSE BY

15.4%. EXCLUDING PETROLUEM, THE INDEX EXPANDED BY 11.5%.

ON A YEAR-ON-YEAR BASIS, ELECTRONIC COMPONENTS GREW BY 22.8%, PETROLEUM &

PETROLEUM PRODUCTS ROSE BY 20.3%, AND GENERAL WHOLESALE TRADE GREW BY 18.7% IN

1Q2006.

AT CONSTANT PRICES, THE OVERALL INDEX ROSE MARGINALLY BY 0.9% IN 1Q2006 OVER A

YEAR AGO. EXCLUDING PETROLEUM, IT WAS UP BY 7.6%.

ON A QUARTER-ON-QUARTER BASIS, THE OVERALL INDEX POSTED A DECLINE OF 9.4%

FOLLOWING GROWTH FOR THREE CONSECUTIVE QUARTERS. EXCLUDING PETROLEUM, THE INDEX

WERE LOWER BY 8.6%.

AHEAD

WHOLESALERS PREDICTS POSITIVE BUSINESS CONDITIONS FOR THE PERIOD ENDING DECEMBER

2006. THOSE DEALING IN FURNITURE & FURNISHINGS, COSMETICS & TOILETRIES,

JEWELLERY & WATCHES, HOUSEHOLD ELECTRICAL APPLIANCES & EQUIPMENT, ELECTRONIC

COMPONENTS, SCIENITIFIC & PRECISION EQUIPMENT, ARE AMONG THOSE WHO ARE

OPTIMISTIC ABOUT THE BUSINESS OUTLOOK AHEAD.

EXTRACTED FROM : MINISTRY OF TRADE AND INDUSTRY, SINGAPORE

SINGAPORE DEPARTMENT OF STATISTICS

TODAY

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average/normal.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
NR		In view of the lack of information, we have no basis upon which to recommend credit dealings	No Rating

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