MIRA INFORM REPORT

Report Date :

29.08.2007

IDENTIFICATION DETAILS

Name :	ALPHA COMPUTERS (SINGAPORE) PTE. LTD.
Registered Office :	^103 Kallang Avenue, #03^-^06, Singapore – 339504
Country :	Singapore
Financials (as on) :	31.12.2006
Date of Incorporation :	^17/06/1992
Com. Reg. No.:	^199203180R
Legal Form :	^Pte Ltd
Line of Business :	Importers, Exporters and Wholesalers in Computer Hardware, Software and Electronic Component

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 :	Satisfactory
Payment Behaviour :	Regular
Litigation :	Clear

Subject Company

ALPHA COMPUTERS (SINGAPORE) PTE. LTD.

Line Of Business 

IMPORTERS, EXPORTERS AND WHOLESALERS IN COMPUTER HARDWARE, SOFTWARE AND ELECTRONIC COMPONENT

Parent Company

SES TECHNOLOGIES

(PERCENTAGE OF SHAREHOLDING: 100.00%)

Financial Elements

FY 2006

COMPANY

Sales : S$35,380,561

Networth : S$1,005,154

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

Net result : S$-111,245

Net Margin(%) : -0.31

Return on Equity(%) : -11.07

Leverage Ratio : 3.08

COMPANY IDENTIFICATION

^{Subject Company: ALPHA COMPUTERS (SINGAPORE) PTE. LTD.}

^{Former Name: SAI SERVICE INTERNATIONAL PTE LTD}

^{Business Address: 103 KALLANG AVENUE}

^#03-06

^{Town: SINGAPORE}

^{Postcode: 339504}

^{County: -}

^{Country: Singapore}

^{Telephone: 6377 4368}

^{Fax: 6377 4369}

^{ROC Number: 199203180R}

^{Reg. Town: -}

PREVIOUS IDENTIFICATION

^{SAI SERVICE INTERNATIONAL PTE LTD DATE OF CHANGE OF NAME: 22/02/2006}

SUMMARY

^{All amounts in this report are in: SGD unless otherwise stated}

^{Legal Form: Pte Ltd}

^{Date Inc.: 17/06/1992}

^{Previous Legal Form: -}

^{Summary year: 31/12/2006}

^{Sales: 35,380,561}

^{Net worth: 1,005,154}

^{Capital: -}

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

^{Employees: Not available}

^{Net result: -111,245}

^{Share value: -}

^{Auditor: PHILIP LIEW & CO}

REFERENCES

^{Litigation: No}

^{Company status: TRADING}

^{Started: 17/06/1992}

PRINCIPAL(S)

^{CHIDAMBARAM SUBBU S2665761Z Director}

DIRECTOR(S)

^{ANNE CHOO S1256587I Company Secretary}

^{Appointed on: 30/06/1992}

^{Street: 34 JALAN REBANA}

^{FABER GARDEN}

^{Town: SINGAPORE}

^{Postcode: 577003}

^{Country: Singapore}

^{ASHU CHAWLA A9948060 Director}

^{Appointed on: 03/02/2006}

^{Street: 18 NAVEEN NAGAR, SAHARANPUR, U.P.}

^{Town: -}

^{Postcode: -}

^{Country: India}

^{CHIDAMBARAM SUBBU S2665761Z Director}

^{Appointed on: 07/08/2006}

^{Street: 6C MARGARET DRIVE}

^#07-18

^{Town: SINGAPORE}

^{Postcode: 142006}

^{Country: Singapore}

^{KAMRAN ABDUL GANI RADIOWALA S7284047Z Director}

^{Appointed on: 22/06/2007}

^{Street: 59 LORONG 40 GEYLANG}

^#06-21

^{THE WATERINA}

^{Town: SINGAPORE}

^{Postcode: 398082}

^{Country: Singapore}

^{FAIZYA KAMRAN RADIOWALA S7482501Z Director}

^{Appointed on: 22/06/2007}

^{Street: 59 LORONG 40 GEYLAND}

^#06-21

^{THE WATERINA}

^{Town: SINGAPORE}

^{Postcode: 398082}

^{Country: Singapore}

^{SOON HSU-LIN JUSTINA S7497243H Company Secretary}

^{Appointed on: 30/08/2005}

^{Street: 50 BUKIT BATOK STREET 31}

^#15-03

^{THE MADEIRA}

^{Town: SINGAPORE}

^{Postcode: 659442}

^{Country: Singapore}

FORMER DIRECTOR(S)

^{TAN TECK KOON SLIM S6976094E}

^{ABHIJIT JAYANT GOLE S2661424D}

^{MUKESH KALMADI E203617}

^{RODERICK HO HIE SING S6925676G}

ACTIVITY(IES)

^{ELECTRONIC COMPONENTS Code:7605}

^{COMPUTERS, PERSONAL - HARDWARE - DEALER And/OR AGE Code:5105}

^{RUBBER PRODUCTS Code:18720}

^{BASED ON ACRA'S RECORD AS AT 23/08/2007}

^{1) WHOLESALE OF COMPUTER HARDWARE AND PERIPHERAL EQUIPMENT}

^{2) MANUFACTURE OF RUBBER AUTO PARTS}

CHARGES

^{Date: 21/05/2004}

^{Comments: CHARGE NO: C200402479}

^{SECURED: 0.00 AND ALL MONIES OWING}

^{CHARGEE(S): BANK OF INDIA}

^{Date: 12/07/1995}

^{Comments: CHARGE NO: 9504256}

^{SECURED: 0.00 AND ALL MONIES OWING}

^{CHARGEE(S): BANK OF INDIA}

^{Date: 25/09/1996}

^{Comments: CHARGE NO: 9605861}

^{SECURED: 0.00 AND ALL MONIES OWING}

^{CHARGEE(S): BANK OF INDIA}

^{Date: 24/12/1992 Amount: 40,000}

^{Comments: CHARGE NO: 9205516 (DISCHARGED)}

^{CHARGEE(S): THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED}

^{Date: 21/10/1995}

^{Comments: CHARGE NO: 9506505 (DISCHARGED)}

^{SECURED: 0.0000 ALL MONIES OWING}

^{CHARGEE(S): STANDARD CHARTERED BANK}

^{Date: 18/07/1997}

^{Comments: CHARGE NO: 199704364}

^{SECURED: 0.00 AND ALL MONIES OWING}

^{CHARGEE(S): BANK OF INDIA}

PREMISES/PROPERTY INFORMATIONS

No Premises/Property Information In Our Databases

BANKERS

^{BANK OF INDIA}

SHAREHOLDERS(S)

^{SES TECHNOLOGIES 1,000,000 Company}

^{Street: DES HOUSE, PLOT NO. 70}

^{'C' CROSS ROADS, MIDC MAROL INDLARE}

^{Town: MUMBAI}

^{Postcode: 400093}

^{Country: India}

FORMER SHAREHOLDER(S)

^{SAI SERVICE AGENCY (BOMBAY) PRIVATE 743,498}

HOLDING COMPANY

^{SES TECHNOLOGIES UF31405D %: 100}

SUBSIDIARY(IES)

No Participation In Our Database

PAYMENT HISTORY AND EXPERIENCES

^{Trade Morality: AVERAGE}

^{Liquidity: SUFFICIENT}

^{Payments: REGULAR}

^{Trend: LEVEL}

^{Financial Situation: AVERAGE}

LITIGATION(S)

No Litigation In Our Database

FINANCIAL ELEMENTS

^{All amounts in this report are in: SGD unless otherwise stated}

^{Audit Qualification: UNQUALIFIED (CLEAN) UNQUALIFIED (CLEAN)}

^{Date Account Lodged: 12/07/2007}

^{Balance Sheet Date: 31/12/2006 31/12/2005}

^{Number of weeks: 52 52}

^{Consolidation Code: COMPANY COMPANY}

^{--- ASSETS}

^{Tangible Fixed Assets: 6,722 7,934}

^{Total Fixed Assets: 6,722 7,934}

^{Inventories: 1,084,459 3,886,925}

^{Receivables: 1,696,314 1,364,268}

^{Cash,Banks,Securities: 1,307,259 1,124,118}

^{Other current assets: 4,371 5,211}

^{Total Current Assets: 4,092,403 6,380,522}

^{TOTAL ASSETS: 4,099,125 6,388,456}

^{--- LIABILITIES}

^{Equity capital: 1,000,000 1,000,000}

^{Profit & loss Account: 5,154 116,399}

^{Total Equity: 1,005,154 1,116,399}

^{Trade Creditors: 3,089,471 5,244,597}

^{Other Short term Liab.: 4,500 27,460}

^{Total short term Liab.: 3,093,971 5,272,057}

^{TOTAL LIABILITIES: 3,093,971 5,272,057}

^{PROFIT & LOSS ACCOUNT}

^{Net Sales 35,380,561 58,425,446}

^{NET RESULT BEFORE TAX: -111,245 -219,718}

^{Tax: - -1,296}

^{Net income/loss year: -111,245 -218,422}

^{Interest Paid: 484 1,577}

^{Depreciation: 3,542 4,154}

^{Dividends: 137,751}

^{Directors Emoluments: 92,632 155,899}

^{Wages and Salaries: 202,333 248,244}

RATIOS

^{31/12/2006 31/12/2005}

^{Net result / Turnover(%): -0.00 -0.00}

^{Stock / Turnover(%): 0.03 0.07}

^{Net Margin(%): -0.31 -0.37}

^{Return on Equity(%): -11.07 -19.56}

^{Return on Assets(%): -2.71 -3.42}

^{Dividends Coverage: - -1.59}

^{Net Working capital: 998432.00 1108465.00}

^{Cash Ratio: 0.42 0.21}

^{Quick Ratio: 0.97 0.47}

^{Current ratio: 1.32 1.21}

^{Receivables Turnover: 17.26 8.41}

^{Leverage Ratio: 3.08 4.72}

^{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}

^{Dividends Coverage: Net income loss year/Dividends}

^{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}

^{Inventory Turnover: (360*Inventories)/Net sales}

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

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

FINANCIAL COMMENTS

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

^{NET WORTH:}

^{THE BALANCE SHEET WAS CONSIDERED PASSABLE EVEN THOUGH NET WORTH DECREASED BY 9.96% FROM S$1,116,399 IN 2005 TO S$1,005,154 IN 2006.}

^{THIS WAS DUE TO LOWER ACCUMULATED PROFITS OF S$5,154 (2005: S$116,399); A FALL OF 95.57% FROM THE PRIOR FINANCIAL YEAR.}

^LEVERAGE:

^{IN THE SHORT-TERM, SUBJECT WAS LARGELY FINANCED BY TRADE CREDITORS WHICH MADE UP 99.85% (2005: 99.48%) OF THE TOTAL CURRENT LIABILITIES AND AMOUNTED TO S$3,089,471 (2005: S$5,244,597).}

^{SUBJECT DID NOT INCUR ANY LONG TERM LIABILITIES DURING THE FINANCIAL YEARS UNDER REVIEW.}

^{IN ALL, LEVERAGE RATIO FELL FROM 4.72 TIMES TO 3.08 TIMES AS A RESULT OF A MORE THAN PROPORTIONATE FALL IN TOTAL LIABILITIES AS COMPARED TO THE FALL IN TOTAL EQUITY.}

^LIQUIDITY:

^{IN GENERAL, SUBJECT'S LIQUIDITY SITUATION WAS PASSABLE EVEN THOUGH NET WORKING CAPITAL FELL BY 9.93% TO S$998,432 (2005: S$1,108,465).}

^{HOWEVER, CURRENT RATIO ROSE TO 1.32 TIMES, UP FROM 1.21 TIMES AND QUICK RATIO IMPROVED TO 0.97 TIMES FROM 0.47 TIMES IN 2005.}

^{PROFITABILITY:}

^{REVENUE POSTED A DECREASE OF 39.44% FROM S$58,425,446 IN 2005 TO S$35,380,561 AND NET LOSS NARROWED BY 49.07% TO S$111,245 (2005: NET LOSS OF S$218,422).}

^{THIS COULD BE DUE TO THE SHARP DECREASE IN PURCHASES BY 46.98% TO S$32,078,560 (2005: S$60,497,116).}

^{HENCE, NET MARGIN REMAINED IN NEGATIVE REGION BUT NARROWED TO 0.31% (2005: 0.37%).}

^{DEBT SERVICING:}

^{DEBT SERVICING PROBLEMS MIGHT BE EXPECTED IF REVENUE AND EARNINGS CANNOT BE MAINTAINED AND PAYMENT BY TRADE DEBTORS ARE NOT FORTHCOMING.}

^{NOTES TO THE FINANCIAL STATEMENTS:}

^{CONTINGENT LIABILITIES}

^{BANKERS GUARANTEES ISSUED BY BANK TO A SUPPLIER TO THE EXTENT OF $1,586,500 IS INCURRED IN THE PRDINARY COURSE OF BUSINESS AD IS SECURED BY DEBENTURE CHARGE ON ALL MOVEABLE ASSETS OF THE COMPANY AND A CORPORATE GUARANTEE BY SES TECHNOLOGIES LTD, THE IMMEDIATE HOLDING COMPANY.}

BACKGROUND/OPERATION

^{THE COMPANY WAS INCORPORATED IN THE REPUBLIC OF SINGAPORE ON 17/06/1992 AS A LIMITED PRIVATE COMPANY UNDER THE NAMESTYLE OF "SAI SERVICE INTERNATIONAL PTE LTD".}

^{SUBSEQUENTLY ON 22/02/2006, THE COMPANY CHANGED TO ITS PRESENT NAMESTYLE OF "ALPHA COMPUTERS (SINGAPORE) PTE. LTD.".}

^{AS AT 23/08/2007, THE COMPANY HAS AN ISSUED AND PAID-UP CAPITAL OF 1,000,000 SHARES, OF A VALUE OF S$1,000,000.}

^{PRINCIPAL ACTIVITIES:}

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

^{1) WHOLESALE OF COMPUTER HARDWARE AND PERIPHERAL EQUIPMENT}

^{2) MANUFACTURE OF RUBBER AUTO PARTS}

^{DURING THE FINANCIAL YEAR (S) UNDER REVIEW, THE PRINCIPAL ACTIVITIES OF THE COMPANY ARE TO CARRY ON THE BUSINESS AS IMPORTERS, EXPORTERS AND WHOLESALERS IN COMPUTER HARDWARE, SOFTWARE AND ELECTRONIC COMPONENT.}

^{FROM THE RESEARCH DONE, SUBJECT IS LISTED ON THE LOCAL DIRECTORIES UNDER COMPUTER PERIPHERALS & ACCESSORIES-WHSLE & MFRS.}

^{BACKGROUND INDFORMATION}

^{- ALPHA COMPUTERS (SINGAPORE) PTE. LTD. (ACSPL) IS A IT HOUSE WHICH HAS ROOTS}

^{REACHING BACK TO 1992. FORMERLY KNOWN AS SAI SERVICES INTERNATIONAL PTE. LTD.,}

^{ACSPL SPECIALIZES IN DISTRIBUTING COMPUTER PROCESSORS, COMPONENTS & ACCESSORIES}

^{SINCE 1992 TO CUSTOMERS IN TIER 1 CATEGORY IN INDIA & SINGAPORE.}

^{MAJOR PRODUCTS}

^{- COMPUTERS}

^{- COMPUTER PROCESSORS (CPUS)}

^{- MOTHERBOARDS}

^{- MEMORIES}

^{- HARD DISK DRIVES}

^{- FDDS}

^{ACCORDING TO THE TELE-INTERVIEW CONDUCTED ON 29/08/2007, THE FOLLOWING INFORMATION WAS GATHERED:}

^{SUBJECT'S PERSONNEL CONFIRMED THE BUSINESS ADDRESS AND CONTACT NUMBERS OF THE COMPANY, BUT DECLINED TO PROVIDE MORE INFORMATION, HENCE NO OTHER TRADE INFORMATION WAS MADE AVAILABLE VIA THE TELE-INTERVIEW.}

^{THE IMMEDIATE HOLDING COMPANY IS SES TECHNOLOGIES LTD, A PUBLIC COMPANY INCORPORATED IN INDIA. IN FEBRUARY 2006, LCR INVESTMENT PVT LTD INCORPORATED IN INDIA BECAME AS THE ULTIMATE HOLDING COMPANY OF ALPHA COMPUTERS (S) PTE LTD.}

^{NUMBER OF EMPLOYEES (31 DECEMBER)}

^{- COMPANY - 2006: NOT AVAILABLE (2005: NOT AVAILABLE)}

^{REGISTERED ADDRESS:}

^{7 TEMASEK BOULEVARD}

^#21-02

^{SUNTEC TOWER 1}

^{SINGAPORE 038987}

^{DATE OF CHANGE OF ADDRESS: 24/03/1997}

^{BUSINESS ADDRESS:}

^{103 KALLANG AVENUE}

^#03-06

^{SINGAPORE 339504}

^{**TEMPORARY BUSINESS ADDRESS:}

^{50 KALLANG AVENUE}

^#07-02

^{NOEL CORPORATE BUILDING}

^{SINGAPORE 339505}

^{--SUBJECT'S PERSONNEL STATED THAT THIS IS SUBJECT'S TEMPORARY BUSINESS ADDRESS. SHE}

^{ALSO REVEALED THAT SUBJECT WILL BE SHIFTING BACK TO ITS ORIGINAL BUSINESS ADDRESS}

^{IN ABOUT 2-3 MONTHS TIME.}

^WEBSITE:

^NIL

^EMAIL:

^{alphacomputers@pacific.net.sg}

MANAGEMENT

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

^{1) ASHU CHAWLA, AN INDIAN}

^{- BASED IN INDIA}

^{2) CHIDAMBARAM SUBBU, A SINGAPOREAN}

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

^{3) KAMRAN ABDUL GANI RADIOWALA, A SINGAPORE PERMANENT RESIDENT}

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

^{4) FAIZYA KAMRAN RADIOWALA, A SINGAPORE PERMANENT RESIDENT}

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

SINGAPORE’S COUNTRY RATING 2007

^{INVESTMENT GRADE}

^{IN SINGAPORE, THE POLITICAL SITUATION REMAINS STABLE.}

^{SINGAPORE BOASTS THE BEST GOVERNANCE IN ASIA, WITH AN EFFECTIVE LEGAL SYSTEM FACILITATING DEBT COLLECTION AND TO A HIGH DEGREE OF FINANCIAL TRANSPARENCY.}

^{EXTERNAL ACCOUNTS HAVE REMAINED SUBSTANTIALLY IN SURPLUS, CONTRIBUTED TO THE DYNAMISM OF THE ELECTRONICS AND PHARMACEUTICALS SECTORS AND TO REPATRIATION OF PROFITS FROM SINGAPORE INVESTMENTS. THE FINANCIAL AND TOURISM SECTORS HAVE ALSO CONTRIBUTED TO THE LARGE CURRENT ACCOUNT SURPLUS.}

^{SINGAPORE CONTINUES TO KEENLY WELCOME FOREIGN INVESTMENT AND OFFERS A VERY OPEN AND WELL-PLANNED ECONOMIC AND POLITICAL ENVIRONMENT. IT HAS BEEN IMPLEMENTING AMBITIOUS DIVERSIFICATION STRATEGY, FOCUSED PARTICULARLY ON THE CHEMICALS AND PHARMACEUTICAL SECTORS.}

^{THE GOVERNMENT USES FOREIGN DIRECT INVESTMENT TO DEVELOP PRIORITY SECTORS (ELECTRONICS, CHEMICALS, BIOTECHNOLOGY). THE AIM IS TO ENCOURAGE THE GROWTH OF HIGH ADDED-VALUE ACTIVITIES AND TURN SINGAPORE INTO A REGIONAL HUB FOR FOREIGN INVESTORS INTERESTED IN ASIA.}

^{CERTAIN SECTORS (MEDIA, LEGAL AND FINANCIAL SERVICES) ARE HOWEVER ONLY PARTIALLY OPEN TO FOREIGN INVESTMENT. THESE SECTORS ARE SLOWLY OPENING UP, BUT THE PROGRESS IS SLOW. AFTER HIGH GROWTH IN 2006, BUOYED BY THE DYNAMISM OF BOTH EXPORTS AND HOUSEHOLD CONSUMPTION, A SLOWDOWN IS EXPECTED IN 2007.}

^ASSETS

^{" MAJOR EXPORTER OF CAPITAL IN ASIA, NOTABLY VIA THE STATE-OWNED TEMASEK HOLDING}

^COMPANY.

^{" HIGH QUALITY COMPETITIVENESS IN ASIA}

^{" EXCELLENT BUSINESS CLIMATE}

^{" POLITICAL STABILITY.}

^WEAKNESSES

^{" SKILLED MANPOWER HAS BEEN LACKING IN THE SECTORS TARGETED FOR DEVELOPMENT.}

^{" AN AGEING POPULATION COULD, ULTIMATELY, AFFECT ECONOMIC PERFORMANCE.}

^{" GROWING INEQUALITY AND THE EMERGENCE OF LONG-TERM UNEMPLOYMENT AMONG THE LEAST}

^{SKILLED COULD GENERATE SOCIAL TENSIONS.}

^{" BEING THE WORLD'S MOST OPEN ECONOMY, IT HAS BEEN VULNERABLE TO WORLD ECONOMIC}

^DOWNTURNS.

WHOLESALE AND RETAIL TRADE SECTOR

PAST PERFORMANCE

DOMESTIC WHOLESALE TRADE INDEX

THE OVERALL DOMESTIC WHOLESALE TRADE DECLINED BY 7.5% IN Q1 2007. EXCLUDING PETROLEUM, DOMESTIC SALES FELL BY 7.4%. SECTORS OF ELECTRONIC COMPONENTS, SHIP CHANDLERS AND BUNKERING, INDUSTRIAL AND CONSTRUCTION MACHINERY REPORTED DECLINES OF 11.6% TO 23.8%.

HOWEVER, WHOLESALERS OF FOOD, BEVERAGES AND TOBACCO REGISTERED HIGHER TURNOVER OF 5.4%.

FOREIGN WHOLESALE TRADE INDEX

THE OVERALL FOREIGN WHOLESALE TRADE IN QUARTER 1 2007 FELL BY 7.6%. EXCLUDING PETROLEUM, FOREIGN SALES DECLINED BY 8.0%. MOST WHOLESALE SECTORS REPORTED LOWER OVERSEAS RECEIPTS IN QUARTER 1 2007 COMPARED TO THE PREVIOUS QUARTER, EXCEPT HOUSEHOLD EQUIPMENT AND FURNITURE SECTOR. SHIP CHANDLERS & BUNKERING REPORTED THE LARGEST DECLINE OF 18.3% IN QUARTER 1 2007, FOLLOWED BY FOOD BEVERAGES & TOBACCO SECTOR OF 17.7%.

RETAIL TRADE

THE OVERALL RETAIL SALES ROSE MARGINALLY BY 0.7% IN QUARTER 2 2007, COMPARED TO QUARTER 2 2006. EXCLUDING MOTOR VEHICLES, RETAIL SALES ROSE BY 5.1%. SALES OF OPTICAL GOODS & BOOKS, FURNITURE & HOUSEHOLD EQUIPMENT AND SUPERMARKETS ENJOYED STRONG GROWTHS OVER A YEAR AGO. PROVISION & SUNDRY SHOPS, WATCHES AND JEWELLERY, DEPARTMENT STORES AND WEARING APPAREL & FOOTWEAR SECTORS ALSO REPORTED HIGHER SALES OF 4.35 TO 5.9% RESPECTIVELY.

HOWEVER, RETAILERS OF MOTOR VEHICLES, FOOD & BEVERAGES, TELECOMMUNICATIONS APPARATUS & COMPUTERS AND PETROL SERVICES STATIONS REPORTED LOWER SALES.

OUTLOOK

GENERALLY, WHOLESALERS EXPECT TO DO WELL FOR THE NEXT 6 MONTHS, WITH A POSITIVE NET WEIGHTED BALANCE OF 17%. DEALERS OF FOOD & BEVERAGES, TROPICAL PRODUCE, TEXTILES & LEATHER GOODS AND HOUSEHOLD ELECTRICAL APPLIANCE & EQUIPMENT ARE AMONG THOSE WHO ARE OPTIMISTIC.

RETAIL TRADE FIRMS ANTICIPATE BUSINESS TO BE LESS BRISK FOR THE NEXT 6 MONTHS. IN PARTICULAR, DEPARTMENT STORES, SUPERMARKETS AND RETAILERS OF MOTOR VEHICLES EXPECT SLOWER BUSINESS IN THE COMING MONTHS.

EXTRACTED FROM: MINISTRY OF TRADE AND INDUSTRY, SINGAPORE

SINGAPORE DEPARTMENT OF STATISTICS

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.	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

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

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