MIRA INFORM REPORT

Report Date :

16.11.2006

IDENTIFICATION DETAILS

Name :	FACETS SINGAPORE PTE. LTD.
Registered Office :	^545 Orchard Road, #11-05, Far East Shopping Centre
Country :	^Singapore
Date of Incorporation :	^05/04/1980
Com. Reg. No.:	^198001122r
Legal Form :	^Exempt Pte Ltd
Line of Business :	Wholesalers of diamonds and jewellery

RATING & COMMENTS

MIRA’s Rating :

A

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear

Subject Company

FACETS SINGAPORE PTE. LTD.

Line Of Business 

WHOLESALER OF DIAMONDS AND JEWELLERY

Parent Company

-

Financial Elements

Sales : -

Net worth : -

Paid-Up Capital : S$1,200,000

Net result : -

Net Margin(%) : -

Return on Equity(%) : -

Leverage Ratio : -

Rating

Credit Requested : -

Credit Rating : Singapore $ 1000001 to Singapore $ 5000000

Credit Opinion : -

BUSINESS INFORMATION REPORT

COMPANY IDENTIFICATION

^{Subject Company: FACETS SINGAPORE PTE. LTD.}

^{Former Name: -}

^{Business Address: 545 ORCHARD ROAD}

^#11-05

^{FAR EAST SHOPPING CENTRE}

^{Town: SINGAPORE}

^{Postcode: 238882}

^{County: -}

^{Country: Singapore}

^{Telephone: 6235 1724}

^{Fax: 6733 4526}

^{ROC Number: 198001122R}

^{Reg. Town: -}

SUMMARY

^{Legal Form: Exempt Pte Ltd}

^{Date Inc.: 05/04/1980}

^{Previous Legal Form: -}

^{Summary year: -}

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

^{Sales: -}

^{Networth: -}

^{Capital: -}

^{Paid-Up Capital: 1,200,000}

^{Employees: 10}

^{Net result: -}

^{Share value: -}

^{Auditor: NATARAJAN & SWAMINATHAN}

REFERENCES

^{CCMS Number: 702000363691}

^{Report Date: 21/07/2006}

²⁰⁸¹⁰

^{Update Date: 21/07/2006}

^{Credit Requested: -}

^{Credit Opinion: -}

^{Litigation: No}

^{Company status: TRADING}

^{Started: 05/04/1980}

PRINCIPAL(S)

^{DEEPAK KUNDAN MAHTANI S0072708C Director}

DIRECTOR(S)

^{HATHIRAMANI SURESH MULCHAND S2574957Z Director}

^{Appointed on: 05/04/1980}

^{Street: 38 CAIRNHILL ROAD}

^#05-04

^{HILLCOURT APARTMENT}

^{Town: SINGAPORE}

^{Postcode: 229658}

^{Country: Singapore}

^{ANITA SURESH HATHIRAMANI S2574958H Director}

^{Appointed on: 25/11/1982}

^{Street: 38 CAIRNHILL ROAD}

^#05-04

^{HILLCOURT APARTMENT}

^{Town: SINGAPORE}

^{Postcode: 229658}

^{Country: Singapore}

^{DEEPAK KUNDAN MAHTANI S0072708C Director}

^{Appointed on: 14/10/1986}

^{Street: 2 ESSEX ROAD}

^#05-02

^{Town: SINGAPORE}

^{Postcode: 309330}

^{Country: Singapore}

^{MULCHAND ISSARDAS HATHIRAMANI J946619 Director}

^{Appointed on: 01/07/1980}

^{Street: 83-85 JLN JEND A YANI MEDAN}

^{Town: -}

^{Postcode: -}

^{Country: Indonesia}

^{S MOHAMED ILYAS S2034260I Company Secretary}

^{Appointed on: 01/07/1980}

^{Street: 368 CORPORATION DRIVE}

^#07-457

^{Town: SINGAPORE}

^{Postcode: 610368}

^{Country: Singapore}

FORMER DIRECTOR(S)

^{VASWANI CHATERBHUJ HASSARAM S1155220Z}

^{YACOOB S/O M A ABDUL KASSIM S1049733G}

ACTIVITY(IES)

^{DIAMONDS - WHSLE Code: 6450}

^{JEWELLERS - WHSLE Code: 12280}

^{BASED ON ACRA'S RECORD AS AT 10/07/2006}

^{1) WHOLESALE OF JEWELLERY}

^{2) RETAIL SALE OF JEWELLERY}

CHARGES

^{Date: 14/11/1991}

^{Comments: CHARGE NO: 9104884 (DISCHARGED)}

^{SECURED: 0.00 AND ALL MONIES OWING}

^{CHARGEE: BNP PARIBAS}

^{Date: 20/05/2003}

^{Comments: CHARGE NO: C200302383}

^{SECURED: 0.00 AND ALL MONIES OWING}

^{CHARGEE: DBS BANK LTD}

^{Date: 02/09/1991}

^{Comments: CHARGER NO: 9103596}

^{SECURED: 0.00 AND ALL MONIES OWING}

^{CHARGEE: UNITED OVERSEAS BANK LTD}

^{Date: 11/11/2002}

^{Comments: CHARGE NO: 200204950}

^{SECURED: 0.00 AND ALL MONIES OWING}

^{CHARGEE: THE DEVELOPMENT BANK OF SINGAPORE LTD}

^{Date: 30/08/2002}

^{Comments: CHARGE NO: 200203827}

^{SECURED: 0.00 AND ALL MONIES OWING}

^{CHARGEE: UNITED OVERSEAS BANK LTD}

^{Date: 11/07/1997}

^{Comments: CHARGE NO: 199704131 (DISCHARGED)}

^{SECURED: 0.00 AND ALL MONIES OWING}

^{CHARGEE: BANQUE NATIONAL DE PARIS}

PREMISES/PROPERTY INFORMATIONS

^{Date: 12/07/2006}

^{Site Address: 545 ORCHARD ROAD}

^{Tax rate: 10}

^#11-05

^{FAR EAST SHOPPING CENTRE}

^{Town: SINGAPORE}

^{County: -}

^{Postcode: 238882}

^{Country: Singapore}

^{Annual Value: 9,620}

^{Date: 12/07/2006}

^{Site Address: 38 CAIRNHILL ROAD}

^{Tax rate: 10}

^#05-04

^{Town: SINGAPORE}

^{County: -}

^{Postcode: 229658}

^{Country: Singapore}

^{Annual Value: 22,800}

*TAX RATE OF 4% MEANS THE ADDRESS (I.E RESIDENTIAL PROPERTY) IS OWNER OCCUPIED.

*TAX RATE OF 10% MEANS THE ADDRESS (I.E RESIDENTIAL PROPERTY) IS PARTIALLY OR

FULLY RENTED OUT BY THE OWNER/OWNED BY COMPANY.

*FOR PROPERTIES OTHER THAN RESIDENTIAL PROPERTIES REGARDLESS RENTED OUT OR NOT, THE TAX RATE IS 10% (IE INDUSTRIAL AND COMMERCIAL PROPERTY).

*ANNUAL VALUE IS THE ESTIMATED ANNUAL RENT THE PROPERTY CAN FETCH IF IT WERE

RENTED OUT. THE ANNUAL VALUE IS DETERMINED IN THE SAME MANNER REGARDLESS OF

WHETHER THE PROPERTY IS LET-OUT, OWNER-OCCUPIED OR VACANT.

BANKERS

^{DBS BANK LTD.}

^{UNITED OVERSEAS BANK LIMITED}

^{BNP PARIBAS}

SHAREHOLDERS(S)

^{HATHIRAMANI SURESH MULCHAND 799,999 Private Person}

^{Street: 38 CAIRNHILL ROAD}

^#05-04

^{HILLCOURT APARTMENT}

^{Town: SINGAPORE}

^{Postcode: 229658}

^{Country: Singapore}

^{ANITA SURESH HATHIRAMANI 400,000 Private Person}

^{Street: 38 CAIRNHILL ROAD}

^#05-04

^{HILLCOURT APARTMENT}

^{Town: SINGAPORE}

^{Postcode: 229658}

^{Country: Singapore}

^{DEEPAK KUNDAN MAHTANI 1 Private Person}

^{Street: 2 ESSEX ROAD}

^#05-02

^{Town: SINGAPORE}

^{Postcode: 309330}

^{Country: Singapore}

FORMER SHAREHOLDER(S)

^{VASWANI CHATERBHUJ HASSARAM 1}

SUBSIDIARY(IES)

No Participation In Our Database

PAYMENT HISTORY AND EXPERIENCES

^{Trade Morality: AVERAGE}

^{Liquidity: UNKNOWN}

^{Payments: REGULAR}

^{Trend: LEVEL}

^{Financial Situation: UNKNOWN}

LITIGATION(S)

No Litigation In Our Database

FINANCIAL COMMENTS

PRIVATE 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 COMPANY WAS INCORPORATED IN THE REPUBLIC OF SINGAPORE ON 05/04/1980 AS A LIMITED EXEMPT PRIVATE COMPANY AND IS TRADING UNDER ITS PRESENT NAMESTYLE AS "FACETS SINGAPORE PTE. LTD.".}

^{AS AT 10/07/2006, THE COMPANY HAS AN ISSUED AND PAID-UP CAPITAL OF 1,200,000 SHARES OF A VALUE OF S$1,200,000.}

^{PRINCIPAL ACTIVITIES:}

^{SUBJECT IS REGISTERED WITH THE REGISTRY OF COMPANIES AND BUSINESSES TO BE PRINCIPALLY ENGAGED IN THE BUSINESS OF:}

^{1) WHOLESALE OF JEWELLERY}

^{2) RETAIL SALE OF JEWELLERY}

^{FROM THE RESEARCH DONE, SUBJECT IS A WHOLESALER OF DIAMONDS, LOOSE POLISHED DIAMONDS AND JEWELLERY. SUBJECT SOURCES ITS DIAMONDS FROM MANUFACTURERS AND DTC SIGHTHOLDERS IN THE MAJOR DIAMOND CUTTING CENTRES WORLDWIDE.}

^{SUBJECT IS THE AUTHORISED DISTRIBUTOR OF THE LILY CUT, CRISS CUT AND LILY STAR FOR SINGAPORE, MALAYSIA AND INDONESIA.}

^{SUBJECT ALSO PROVIDES "BUYING AGENT" SERVICES. THROUGH ITS RELATED COMPANY, SUBJECT PROVIDES JEWELLERY DESIGN AND MANUFACTURING SERVICES.}

^PRODUCTS:

^{*TRADITIONAL CUTS}

^{*ANTIQUE CUTS}

^{*SPECIAL CUTS}

^*JEWELLERY

^{MARKET PRESENCE:}

^{*SINGAPORE, MEIGHBOURING SOUTH EAST ASIAN COUNTRIES, HONG KONG, TAIWAN, JAPAN,}

^{SPAIN, UK, AUSTRALIA, CANADA AND THE USA.}

^{SUBJECT IS A MEMBER OF THE FOLLOWING ENTITY:}

^{*SINGAPORE BUSINESS FEDERATION}

^{FROM THE TELE-INTERVIEW CONDUCTED ON 12/07/2006, IT WAS REVEALED THAT SUBJECT IS IN THE TRADING OF DIAMONDS AND JEWELLERY. SUBJECT DOES IMPORT AND EXPORT HOWEVER, DETAILS WERE NOT MADE AVAILABLE BY SUBJECT'S PERSONNEL. THERE ARE LESS THAN 10 PERSONS EMPLOYED IN THE BUSINESS. NO OTHER TRADE INFORMATION WAS MADE AVAILABLE AT THE TIME OF THIS TELE-INTERVIEW.}

^{REGISTERED AND BUSINESS ADDRESS:}

^{545 ORCHARD ROAD}

^#11-05

^{FAR EAST SHOPPING CENTRE}

^{SINGAPORE 238882}

^{DATE OF CHANGE OF ADDRESS: 29/07/2002}

^{- OWNED PREMISE}

^WEBSITE:

^{www.facetsingapore.com}

^EMAIL:

^{info@facetsingapore.com}

^{sales@facetsingapore.com}

MANAGEMENT

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

^{1) MULCHAND ISSARDAS HATHIRAMANI, AN INDIAN}

^{- BASED IN INDONESIA.}

^{2) DEEPAK KUNDAN MAHTANI, A SINGAPOREAN}

^{- HOLDS NO OTHER DIRECTORSHIPS AS RECORDED IN OUR DATABASE.}

^{3) HATHIRAMANI SURESH MULCHAND, A SINGAPORE PERMANENT RESIDENT}

^{- HOLDS NO OTHER DIRECTORSHIPS AS RECORDED IN OUR DATABASE.}

^{4) ANITA SURESH HATHIRAMANI, A SINGAPORE PERMANENT RESIDENT}

^{- HOLDS NO OTHER DIRECTORSHIPS AS RECORDED IN OUR DATABASE.}

ADVERSE ON DIRECTORS

^{DIRECTOR'S NAME: DEEPAK KUNDAN MAHTANI}

^{ADVERSE REPORT AGAINST DIRECTOR: NIL}

^{PROPERTY OWNERSHIP: OWNS 1}

^{ANNUAL VALUE: S$12,000}

^{CO-OWNER (S): NIL}

^{DIRECTOR'S NAME: HATHIRAMANI SURESH MULCHAND}

^{ADVERSE REPORT AGAINST DIRECTOR: NIL}

^{PROPERTY OWNERSHIP: NIL}

^{ANNUAL VALUE: N.A}

^{CO-OWNER (S): N.A}

^{DIRECTOR'S NAME: ANITA SURESH HATHIRAMANI}

^{ADVERSE REPORT AGAINST DIRECTOR: NIL}

^{PROPERTY OWNERSHIP: NIL}

^{ANNUAL VALUE: N.A}

^{CO-OWNER (S): N.A}

^{ANNUAL VALUE IS THE ESTIMATED ANNUAL RENT THE PROPERTY CAN FETCH IF IT WERE RENTED OUT. THE ANNUAL VALUE IS DETERMINED IN THE SAME MANNER REGARDLESS OF WHETHER THE PROPERTY IS LET-OUT, OWNER-OCCUPIED OR VACANT.}

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 AND RETAIL TRADE SECTOR

PAST PERFORMANCE

WITH THE BOOST FROM THE STRONG GROWTH PERFORMANCE OF NON-OIL RE-EXPORTS AND RETAIL SALES, THE WHOLESALE AND RETAIL TRADE SECTOR GREW BY A HEALTHY 8.0% IN 3Q2005, EASING SLIGHTLY FROM THE 8.7% GROWTH REGISTERED IN 2Q2005.

WHOLESALE TRADE

DOMESTIC WHOLESALE TRADE INDEX

THE OVERALL DOMESTIC WHOLESALE TRADE INDEX ROSE BY 20.5% OVER THE SAME PERIOD A YEAR AGO. EXCLUDING PETROLEUM, THE INDEX ROSE BY 8.9%.

AT CONSTANT PRICES, THE OVERALL INDEX ROSE SLIGHTLY BY 1.9% IN 3Q2005 OVER 3Q2004. EXCLUDING PETROLEUM, IT WAS 3.6% HIGHER THAN A YEAR AGO.

ON A QUARTER-ON-QUARTER BASIS, THE OVERALL INDEX POSTED A RISE OF 10.7% IN 3Q2005.

EXCLUDING PETROLEUM, THE INDEX ROSE MODERATELY BY 4.1%.

IN CONTRAST, FOOD, BEVERAGES & TOBACCO AND GENERAL WHOLESALE TRADE FELL SIGNIFICANTLY BY 17.7% AND 15.1% RESPECTIVELY.

FOREIGN WHOLESALE TRADE INDEX

AS COMPARED TO 3Q2004, THE OVERALL FOREIGN WHOLESALE TRADE FOR 3Q2005 ROSE BY 22%. EXCLUDING PETROLUEM, THE INDEX ROSE BY 10.2%.

AT CONSTANT PRICES, THE OVERALL INDEX ROSE BY 7.6% IN 3Q2005 OVER 3Q2004. EXCLUDING PETROLEUM, IT WAS UP BY 10.8%.

IN COMPARISON TO 2Q2005, THE OVERALL INDEX FOR 3Q2005 REGISTERED A RISE OF 9.9%. EXCLUDING PETROLEUM, THE GROWTH WAS LOWER AT 5.7%.

RETAIL TRADE

RETAIL SALES CHALKED UP AN IMPRESSIVE 9.9% GROWTH IN 3Q2005, ALBEIT A MODERATION FROM THE SECOND QUARTER’S GROWTH RATE OF 12%. EXCLUDING MOTOR VEHICLES, RETAIL SALES GREW BY 7.9% IN THIRD QUARTER, BETTER THAN THE 7.5% RECORDED IN THE SECOND QUARTER.

ON A YEAR-ON-YEAR BASIS, MOST RETAIL SEGMENTS REGISTERED BETTER SALES. THE SEGMENTS WERE TELECOMMUNICATIONS AND COMPUTERS (23%), WEARING APPAREL AND FOOTWEAR (12%), FURNITURE AND HOUSEHOLD EQUIPMENT (11%), DEPARTMENT STORES (11%), FOOD AND BEVERAGES (9.2%), MEDICAL GOODS AND TOILETRIES (7.4%), RECREATIONAL GOODS (6.4%), OPTICAL GOODS AND BOOKS (5.9%), PROVISION AND SUNDRY SHOPS (5.8%), WATCHES AND JEWELLERY (5.3%), PETROL SERVICE STATIONS (1.1%) AND SUPERMARKETS (0.4%).

NOVEMBER RETAIL SALES RISE 2.4%

SINGAPORE’S RETAIL SALES ROSE IN NOVEMBER AT THE SLOWEST PACE IN NINE MONTHS AS TOURISM GROWTH EASED, CAR SALES FELL AND CONSUMERS CUT SPENDING AFTER STOCKING UP FOR RELIGIOUS FESTIVALS.

RETAIL SALES INDEX ROSE 2.4% IN NOVEMBER 2005 FROM NOVEMBER 2004 AFTER A PREVIOUS GAIN OF 10.2%. THAT WAS LOWER THAN THE MOST PESSIMISTIC ESTIMATE IN A BLOOMBERG SURVEY OF 13 ECONOMISTS, WHERE THE MEDIAN FORECAST WAS AN 11% RISE. EXCLUDING VEHICLES, RETAIL SALES GREW BY 5.2% FROM THE SAME MONTH A YEAR EARLIER.

ON A SEASONALLY ADJUSTED BASIS, NOVEMBER RETAIL SALES FELL 8.7% FROM THE PREVIOUS MONTH. EXCLUDING CARS, THE INDEX FELL BY 6.3%.

DEPARTMENT STORE SALES ROSE 4.8% LAST NOVEMBER AS COMPARED TO NOVEMBER 2004 AFTER A 16% GAIN IN THE PREVIOUS MONTH, THE FIGURES SHOWED

AHEAD

AN OVERALL NET BALANCE OF 22% OF FIRMS IN THE SERVICES SECTOR IS OPTIMISTIC ABOUT THE BUSINESS OUTLOOK FOR THE NEXT 3 MOTNHS ENDING MARCH 2006. THE MAGNITUDE IS SLIGHTLY LOWER COMPARED TO THAT REGISTERED IN THE PERIOD OF JULY-DECEMBER 2005 (26%), AND ALSO LOWER THAN THE 30% NET BALANCE RECORDED FOR OCTOBER 2004 – MARCH 2005.

AN OVERALL NET BALANCE OF 8% OF WHOLESALERS PREDICTS POSITIVE BUSINESS CONDITIONS FOR THE COMING MONTHS. THOSE DEALING IN ELECTRONIC COMPONENTS, TELECOMMUNICATIONS EQUIPMENT AND COSMETICS & TOILETRIES ARE AMONG THOSE WHO ARE OPTIMISTIC ABOUT THE BUSINESS OUTLOOK AHEAD.

RETAILERS ALSO EXPRESS UPBEAT BUSINESS SENTIMENTS FOR THE COMING MONTHS, WITH A POSITIVE NET BALANCE OF 38%, ESPECIALLY DEPARTMENT STORES AND RETAILERS OF

WEARING APPAREL AND FURNITURE & FURNISHINGS FORESEE BETTER BUSINESS OUTLOOK FROM THE YEAR-END FESTIVE SEASON.

EXTRACTED FROM: MINISTRY OF TRADE AND INDUSTRY, SINGAPORE

SINGAPORE DEPARTMENT OF STATISTICS

BLOOMBERG

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

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions