MIRA INFORM REPORT

Report Date :

06.12.2007

IDENTIFICATION DETAILS

Name :	Technogym S.p.a.
Registered Office :	Via Giorgio Perticari, 20, 47035 - Gambettola (FO) -IT-
Country :	Italy
Financials (as on) :	31.12.2006
Date of Incorporation :	16/12/2003
Legal Form :	Joint Stock Company
Line of Business :	Manufacturing of sports articles.

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

Maximum Credit Limit :	721.500 - Eur
Status :	Satisfactory
Payment Behaviour :	Slow
Litigation :	Clear

name & address

Technogym S.p.a.

Via Giorgio Perticari, 20

47035 - Gambettola (FO) -IT-

SUMMARY

Legal Form	:	Joint stock company
Start of Activities	:	16/12/2003
Patrimonial Consistence	:	Over 2.500.000 Eur
Turnover Range	:	over 150.000.000 Eur
Number of Employees	:	from 500 to 750

CREDIT ANALYSIS

CREDIT OPINION	:	721.500 - Eur
Score	:	Risk normal

ACTIVITY

Manufacturing of sports articles.

LEGAL DATA

Legal Form : Joint stock company

Fiscal Code : 02368510406

Foreign Trade Reg. no. : FO014214 since 16/12/1997

Foreign Trade Reg. no. : 014214 of Forli' since 16/12/1997

Chamber of Commerce no. : 259951 of Forli' since 20/04/1995

Chamber of Commerce no. : 226872 of Parma

Firms' Register : 20661

Firms' Register : FO012-20661 since 19/02/1996

Establishment Date	: 09/02/1995
Start of Activities	: 16/12/2003
Legal Duration Date	: 31/12/2050
Nominal Capital	: 2.582.500	Eur
Subscribed Capital	: 2.582.500	Eur
Paid up Capital	: 2.582.500	Eur

MEMBERS

Alessandri

Pierluigi

Born in Savignano sul Rubicone

(FO)

on 18/09/1965

- Fiscal Code : LSSPLG65P18I472B

Residence :

Via

Pasolini

, 34

- 47020

Longiano

(FO)

- IT -

Position	Since	Shares Amount	% Ownership
Director	21/06/2006
Attorney with special power
Assistant board Chairman	21/06/2006
Managing Director	19/10/2007

No Protests registered.

Alessandri

Nerio

Born in Gatteo

(FO)

on 08/04/1961

- Fiscal Code : LSSNRE61D08D935L

Residence :

Via

Matteotti

, 27

- 47020

Longiano

(FO)

- IT -

Position	Since	Shares Amount	% Ownership
Director	21/06/2006
Board Chairman	21/06/2006

No Protests registered.

Roman

Maurizio

Born in Tezze sul Brenta

(VI)

on 28/01/1953

- Fiscal Code : RMNMRZ53A28L156Y

Residence :

Via

Vecellio T.

, 1

- 30033

Noale

(VE)

- IT -

Position	Since	Shares Amount	% Ownership
Managing Director	21/06/2006
Director	21/06/2006

No Protests registered.

Riemma

Mario

Born in Ferrara

(FE)

on 21/09/1964

- Fiscal Code : RMMMRA64P21D548R

Residence :

Via

Pesci Gaetano

, 153

- 44100

Ferrara

(FE)

- IT -

Position	Since	Shares Amount	% Ownership
Attorney with special power	20/07/2005

No Protests registered.

Fornaro

Alberto

Born in Napoli

(NA)

on 24/11/1964

- Fiscal Code : FRNLRT64S24F839W

Residence :

1643 32 Avenue Kenosha

Wisconsin

- IT -

Position	Since	Shares Amount	% Ownership
Attorney with special power	19/09/2006

No Protests registered.

Zanoni

Andrea

Born in Como

(CO)

on 10/06/1949

- Fiscal Code : ZNNNDR49H10D145U

Residence :

Via

E. Fermi

, 5

- 40033

Casalecchio di Reno

(BO)

- IT -

Position	Since	Shares Amount	% Ownership
Director	21/06/2006

No Protests registered.

COMPANIES CONNECTED TO MEMBERS *

*checkings have been performed on a national scale.

*In this module are listed the companies in which members hold or held positions.

ALESSANDRI

PIERLUIGI

Company Style	Legal Seat	Fiscal Code	Position	Position Status	Firm Status
AEDES 1770 - S.R.L.	Cesena (FO) - IT -	01083820405	Sole Director	Active	Registered
AEDES 1770 - S.R.L.	Cesena (FO) - IT -	01083820405	Attorney with special power	Active	Registered
ALESSANDRI PIERLUIGI	Cesena (FO) - IT -	LSSPLG65P18I472B	Proprietor	-	Ceased
APIL S.R.L.	Cesena (FO) - IT -		Sole Director	Dismiss	Registered
APIL S.R.L.	Cesena (FO) - IT -	02693560407	Sole Director	Active	Registered
APIL S.R.L.	Cesena (FO) - IT -	02693560407	Sole partner	Active	Registered
COLORPRO S.R.L.	Cesena (FO) - IT -	02434660409	Sole Director	Dismiss	Registered
COLORPRO S.R.L.	Cesena (FO) - IT -	02434660409	Liquidator	Active	Registered
CORTINA MARE - S.R.L.	Cesena (FO) - IT -	02344910407	Sole Director	Active	Registered
COUNT INVESTMENT S.R.L.	Cesena (FO) - IT -	03546590401	Sole Director	Active	Registered
COUNT INVESTMENT S.R.L.	Cesena (FO) - IT -	03546590401	Sole partner	Active	Registered
LASERPRO S.R.L.	Cesena (FO) - IT -	02408480404	Sole Director	Active	Registered
LASERPRO S.R.L.	Cesena (FO) - IT -	02408480404	Board Chairman	Dismiss	Registered
MYWELLNESS S.P.A.	Gambettola (FO) - IT -	03153830405	Sole Director	Active	Registered
POLO TECNOLOGICO S.R.L.	Cesena (FO) - IT -	03303030401	Sole Director	Active	Registered
PUBBLISOLE S.P.A.	Cesena (FO) - IT -	03362900403	Member of the Supervisory Board	Active	Registered
RENT-EQUIPMENT S.P.A.	Cesena (FO) - IT -	02530090402	Sole Director	Active	Registered
STARPOOL S.R.L.	Ziano di Fiemme (TN) - IT -	01397570225	Director	Active	Registered
TECHNOGYM BUILDING S.R.L.	Cesena (FO) - IT -	02545000404	Sole Director	Active	Registered
TECHNOGYM BUILDING S.R.L.	Cesena (FO) - IT -	02545000404	Attorney with special power	Active	Registered
TECHNOGYM ITALIA S.P.A.	Gambettola (FO) - IT -	02368500407	Sole Director	-	Ceased
TECHNOGYM ITALIA S.P.A.	Gambettola (FO) - IT -	02368500407	Attorney with special power	-	Ceased
TECHNOGYM S.P.A.	Gambettola (FO) - IT -	01797690409	Director	-	Ceased
TECHNOGYM S.P.A.	Gambettola (FO) - IT -	01797690409	Sole Director	Dismiss	Ceased
TECHNOGYM S.P.A.	Gambettola (FO) - IT -	01797690409	Attorney with special power	-	Ceased
TECHNOGYM S.P.A.	Gambettola (FO) - IT -	01797690409	Board Chairman	Dismiss	Ceased
TREND DI NERIO ALESSANDRI E C. - S.N.C.	Cesena (FO) - IT -	01564320404	Partner	-	Ceased
VIA DURINI 1 SRL	Cesena (FO) - IT -	03221480407	Sole Director	Active	Registered
WELLNESS HOLDING SRL	Cesena (FO) - IT -	03323730402	Director	Active	Registered
WELLNESS HOLDING SRL	Cesena (FO) - IT -	03323730402	Assistant board Chairman	Active	Registered

ALESSANDRI

NERIO

Company Style	Legal Seat	Fiscal Code	Position	Position Status	Firm Status
AEDES 1770 - S.R.L.	Cesena (FO) - IT -	01083820405	Sole Director	Dismiss	Registered
AIRON DI NERIO ALESSANDRI E C. SOCIETA' IN NOME COLLETTIVO	Gambettola (FO) - IT -	01712670403	Partner	-	Ceased
AIRON DI NERIO ALESSANDRI E C. SOCIETA' IN NOME COLLETTIVO	Gambettola (FO) - IT -	01712670403	Liquidator	-	Ceased
ALSO S.P.A.	Zelbio (CO) - IT -	01765290067	Director	Active	Registered
AREA SRL	Cesena (FO) - IT -	02151950405	Sole Director	-	Ceased
DUKE INVESTMENT S.R.L.	Cesena (FO) - IT -	03546610407	Sole Director	Active	Registered
DUKE INVESTMENT S.R.L.	Cesena (FO) - IT -	03546610407	Sole partner	Active	Registered
MANAGEMENT E CAPITALI S.P.A. SIGLABILE MEC S.P.A.	Torino (TO) - IT -	09187080016	Member of the Supervisory Board	Active	Registered
MCC - MEDIOCREDITO CENTRALE S.P.A.	Roma (RM) - IT -	00594040586	Director	Dismiss	Registered
MEDISS S.P.A.	Bologna (BO) - IT -	13364790157	Director	-	Ceased
NERIO ALESSANDRI SRL	Cesena (FO) - IT -	03552840401	Sole Director	Active	Registered
NERIO ALESSANDRI SRL	Cesena (FO) - IT -	03552840401	Sole partner	Active	Registered
TECHNOGYM BUILDING S.R.L.	Cesena (FO) - IT -	02545000404	Sole Director	Dismiss	Registered
TECHNOGYM S.P.A.	Gambettola (FO) - IT -	01797690409	Director	-	Ceased
TECHNOGYM S.P.A.	Gambettola (FO) - IT -	01797690409	Sole Director	Dismiss	Ceased
TECHNOGYM S.P.A.	Gambettola (FO) - IT -	01797690409	Board Chairman	-	Ceased
TREND DI NERIO ALESSANDRI E C. - S.N.C.	Cesena (FO) - IT -	01564320404	Partner	-	Ceased
TREND DI NERIO ALESSANDRI E C. - S.N.C.	Cesena (FO) - IT -	01564320404	Liquidator	-	Ceased
UNIBANCA S.P.A.	Cesena (FO) - IT -	02155830405	Director	Active	Registered
WELLNESS HOLDING SRL	Cesena (FO) - IT -	03323730402	Managing Director	Active	Registered
WELLNESS HOLDING SRL	Cesena (FO) - IT -	03323730402	Director	Active	Registered
WELLNESS HOLDING SRL	Cesena (FO) - IT -	03323730402	Board Chairman	Active	Registered

ROMAN

MAURIZIO

Company Style	Legal Seat	Fiscal Code	Position	Position Status	Firm Status
ALSO S.P.A.	Zelbio (CO) - IT -	01765290067	Director	Dismiss	Registered
FABBRICA D'ARMI PIETRO BERETTA - S.P.A.	Gardone Val Trompia (BS) - IT -	01541040174	General Manager	Dismiss	Registered
MECCANICA DEL SARCA S.R.L.	Dro (TN) - IT -	00220380224	Sole Director	Dismiss	Registered
TECHNOGYM S.P.A.	Gambettola (FO) - IT -	01797690409	Managing Director	-	Ceased
TECHNOGYM S.P.A.	Gambettola (FO) - IT -	01797690409	Director	-	Ceased

FORNARO

ALBERTO

Company Style	Legal Seat	Fiscal Code	Position	Position Status	Firm Status
ALSO S.P.A.	Zelbio (CO) - IT -	01765290067	Director	Active	Registered
WELLNESS HOLDING SRL	Cesena (FO) - IT -	03323730402	Director	Active	Registered

The indication "REGISTERED" as Firm Status could refer to Firms in Liquidation, Active, Inactive, etc.

For more information, in this case, we advise to request further investigations.

CAPITAL SHAREHOLDERS

Style / Name	Seat / Address	Fiscal Code	Owned Shares	% of Ownership
Finwellness S.a.			1.198.434 .Eur	46,40
Wellness Holding Srl	Cesena - IT -	03323730402	1.384.065 .Eur	53,59

DIRECT PARTICIPATIONS

Company Style	Legal Seat	Fiscal Code	Owned Shares	% of Ownership	Share Status
Technogym Italia S.p.a.	Gambettola - IT -	02368500407	1.031.984 .Eur	100,00	Ceased
Ideal System S.r.l.	Gambettola - IT -	03552760401	30.000 .Eur	30,00	Active

STRUCTURE AND COMPANY ACTIVITY

In order to carry out its activities the firm uses the following locations:

-

Legal and operative seat

in :

Via

Giorgio Perticari

, 20

- 47035 -

Gambettola

(FO)

- IT -

Total Surface: 80 (Sq.Mt.)

PHONE

: 0547/56047

-

Branch

(office )

since 01/09/1997

in :

Corte

Don G. Botticelli

, 51

- 47023 -

Cesena

(FO)

- IT -

PHONE

: 0547/56047

-

Branch

(Store )

since 16/12/2003

in :

Via

G.perticari

, 12/A

- 47035 -

Gambettola

(FO)

- IT -

-

Branch

(Factory )

since 16/12/2003

in :

Via

De Gasperi

, 90

- 47035 -

Gambettola

(FO)

- IT -

-

Branch

(Factory )

since 16/12/2003

in :

Via

G. Perticari

, 19-23

- 47035 -

Gambettola

(FO)

- IT -

-

Branch

(Store )

since 16/12/2003

in :

Via

Cesena

, 1710

- 47035 -

Gambettola

(FO)

- IT -

-

Branch

(Warehouse )

since 16/12/2003

in :

Via

Delle Pesche

- 47035 -

Gambettola

(FO)

- IT -

-

Branch

(Factory )

since 16/12/2003

in :

Via

Pieta

, 96

- 47039 -

Savignano sul Rubicone

(FO)

- IT -

PHONE

: 0547/56047

-

Branch

(Store )

since 16/12/2003

in :

Via

Emilia

, 3510

- 47020 -

Longiano

(FO)

- IT -

PHONE

: 0547/56047

-

Branch

(Store )

since 16/12/2003

in :

Via

Europa

, 18/20

- 47035 -

Gambettola

(FO)

- IT -

PHONE

: 0547/56047

-

Branch

(Store )

since 16/12/2003

in :

Via

G. Perticari

, 13

- 47035 -

Gambettola

(FO)

- IT -

PHONE

: 0547/56047

-

Branch

(Store )

since 16/12/2003

in :

Via

G. Perticari

, 15

- 47035 -

Gambettola

(FO)

- IT -

PHONE

: 0547/56047

-

Branch

(Factory )

since 16/12/2003

in :

Via

Della Cooperazione

, 80

- 47023 -

Cesena

(FO)

- IT -

PHONE

: 0547/56047

-

Branch

(Store )

since 16/12/2003

in :

Via

Lasagna

, 14

- 47035 -

Gambettola

(FO)

- IT -

PHONE

: 0547/56047

-

Branch

(Store )

since 16/12/2003

in :

Via

Delle Fragole

- 47023 -

Cesena

(FO)

- IT -

PHONE

: 0547/56047

-

Branch

(Store )

since 16/12/2003

in :

Via

Del Commercio

- 47023 -

Cesena

(FO)

- IT -

PHONE

: 0547/56047

-

Branch

(Warehouse )

since 16/12/2003

in :

Via

1 Maggio

, 16

- 47035 -

Gambettola

(FO)

- IT -

PHONE

: 0547/56047

-

Branch

since 16/12/2003

in :

Via

G. Perticari

, 20/C

- 47035 -

Gambettola

(FO)

- IT -

Trading Style: WELLNESS CENTER

PHONE

: 0547/56047

-

Branch

(Store )

since 16/12/2003

in :

Via

G. Perticari

, 12/B

- 47035 -

Gambettola

(FO)

- IT -

PHONE

: 0547/56047

-

Branch

(Shop )

since 21/10/2003

in :

Strada

Della Repubblica

, 46

- 43100 -

Parma

(PR)

- IT -

Trading Style: TECHNOGYM THE WELLNESS COMPANY

PHONE

: 0521/386257

FAX	: 0521/386257

Employees

: 673

Fittings and Equipment

for a value of 6.847.000

Eur

Stocks

for a value of 27.163.500

Eur

HISTORICAL INFORMATION AND/OR FIRM'S

STATUS

Changes to the legal form

Former legal form	New legal form	Changement Date
Limited liability company	Joint stock company	18/06/1997

Ex-Members / Ex-Positions

Mazzi

Sergio

Born in FOLLO

on 23/11/1940

- Fiscal Code : MZZSRG40S23D655I

Residence :

Viale

BOLOGNESI

, 25

- 47100

Forli'

(FO)

- IT -

Position

Permanent Auditor

Alessandri

Nerio

Born in Gatteo

on 08/04/1961

- Fiscal Code : LSSNRE61D08D935L

Residence :

Via

Matteotti

, 27

- 47020

Longiano

(FO)

- IT -

Position

Person in charge

Spada

Giuseppe

Born in Cesena

on 15/08/1933

- Fiscal Code : SPDGPP33M15C573Z

Residence :

Via

Isei

, 50

- 47023

Cesena

(FO)

- IT -

Position

Temporary Auditor

Valdinoci

Giulio

Born in MERCATO SARACENO

on 12/06/1954

- Fiscal Code : VLDGLI54H12F139L

Residence :

Via

A.GARIBALDI

, 8

- 47023

Cesena

(FO)

- IT -

Position

Temporary Auditor

Zanelli

Stefano

Born in CESENA

on 25/02/1965

- Fiscal Code : ZNLSFN65B25C573S

Residence :

Via

CESARE BATTISTI

, 94

- 47023

Cesena

(FO)

- IT -

Position

Attorney with special power

CAZZOLA

FABRIZIO

Born in MINERBIO

on 25/10/1964

- Fiscal Code : CZZFRZ64R25F219J

Residence :

Via

XX APRILE

, 26

- 52014

Poppi

(AR)

- IT -

Position

Attorney with special power

Former seats

-	Secondary office

Via

PERTICARI

- 47035

- GAMBETTOLA

(FO)

- IT -

-

Branch

since 09/02/1995

until 18/06/1997

Via

G. PERTICARI

- 47035

- GAMBETTOLA

(FO)

- IT -

The firm absorved

Technogym S.p.a.

Via

G. Perticari

, 20

, 47035

, Gambettola

(FO)

- IT -

Fiscal Code: 01797690409

Date

:

04/12/2003

The firm absorbed by merging of

Technogym S.p.a.

Via

G. Perticari

, 20

, 47035

, Gambettola

(FO)

- IT -

Fiscal Code: 01797690409

Date

:

04/12/2003

Project of merging by taking over of

Technogym S.p.a.

Via

G. Perticari

, 20

, 47035

, Gambettola

(FO)

- IT -

Fiscal Code: 01797690409

Date

Merging/Splitting-up Project :

27/06/2003

The firm absorved

Area Srl

Via

Roverella

, 23

, 47023

, Cesena

(FO)

- IT -

Fiscal Code: 02151950405

Date

:

16/02/2000

The firm absorbed by merging of

Area Srl

Via

Roverella

, 23

, 47023

, Cesena

(FO)

- IT -

Fiscal Code: 02151950405

Date

:

16/02/2000

Project of merging by taking over of

Area Srl

Via

Roverella

, 23

, 47023

, Cesena

(FO)

- IT -

Fiscal Code: 02151950405

Date

Merging/Splitting-up Project :

29/06/1999

PAYMENTS ANALYSIS

The average term of debts to suppliers is higher than the sector one.

PAYMENTS SCORE : - No insolvency

CREDIT REVOLVING

During last Year, the subject of inquiry has not been monitored by our company.

PROTESTS

Protests checking on the subject firm has given a negative result.

LEGAL PROCEDURES

None reported, standing to the last received edition of the Official Publications.

IMMOVABLES *

*No specific (mortgage/cadastrial registrations) inspections have been requested.

Immovable Type	Value
Real estates	2.914.865 .Eur

NB.: For Capital Companies the value of the Immovables is the one reported in the last available financial documents.

FINANCIAL AND ECONOMICAL ANALYSIS

Company's starting of activities dates back to some years ago (2003).

Under an economic point of view, profits were registered during the last years with a r.o.e. of 73,2% in 2006 with a good increase in turnover (+23,42% in 2006 compared to 2005 and +22,99% in 2005 compared to 2004).

The return on Investment in the last financial year was positive (23,32%) and even better than sector's average.

The financial position is not well balanced as the volume of debts is fairly remarkable if compared to shareholder's equity, in fact total debts are 4 which is also improving if compared to the previous year.

The recourse to financial credit is within the limits; on the other hand the recourse to suppliers' credit is rated as fairly high besides being higher than sector's average.

Nevertheless available funds are good.

FINANCIAL DATA

Complete balance-sheet for the year as at

31/12/2006

(in Eur

x 1 )

Item Type	Amount	Source
Sales	258.826.993	filed balance sheet
Profit (Loss) for the period	18.966.942	filed balance sheet

Complete balance-sheet for the year as at

31/12/2005

(in Eur

x 1 )

Item Type	Amount	Source
Sales	209.698.260	filed balance sheet
Profit (Loss) for the period	18.641.789	filed balance sheet

Complete balance-sheet for the year as at

31/12/2004

(in Eur

x 1 )

Item Type	Amount	Source
Sales	170.486.847	filed balance sheet
Profit (Loss) for the period	11.893.913	filed balance sheet

Complete balance-sheet for the year as at

31/12/2003

(in Eur

x 1 )

Item Type	Amount	Source
Sales	151.573.689	filed balance sheet
Profit (Loss) for the period	16.843.174	filed balance sheet

Complete balance-sheet for the year as at

31/12/2002

(in Eur

x 1 )

Item Type	Amount	Source
Sales	2.468.472	filed balance sheet
Profit (Loss) for the period	12.152.714	filed balance sheet

BALANCE SHEETS

From our constant monitoring of the Public Administration, actually, no more recent balance sheets result to be filed.

Balance Sheet as at 31/12/2006 - Months 12 - Currency Eur - Amounts x 1

Balance Sheet as at 31/12/2005 - Months 12 - Currency Eur - Amounts x 1

Years		2006	2005
	BALANCE SHEET ACCOUNTS
.
ASSETS
CREDITS TO SHAREHOLDERS
FIXED ASSETS ( NET )		31.162.869	32.417.550
. Intangible assets		2.262.247	2.832.867
. Tangible fixed assets		11.962.490	11.437.372
. . Land and buildings		2.914.865	2.892.889
. . Plants, Equipm.and Machinery		6.846.979	6.327.286
. Long-term Investments		16.938.132	18.147.311
. . Financial loans		16.938.132	18.147.311
. . Own shares
CURRENT ASSETS		126.920.496	128.485.761
. Stock		27.163.506	25.993.768
. Credits		82.425.350	78.372.952
. . Credits to clients		27.997.668	64.904.031
. . Other credits		54.427.682	13.468.921
. Short-term financial assets
. Liquid assets		17.331.640	24.119.041
ACCRUED INCOME-DEFERR. ASSETS		533.168	812.941
TOTAL ASSETS		158.616.533	161.716.252
.
LIABILITIES
NET WORTH		25.908.823	29.941.879
. Company's capital		2.582.500	2.582.500
. Reserves		4.359.381	8.717.590
. Reserves company's own shares
. Retained profits (losses)
. Profit (loss)		18.966.942	18.641.789
PROVISION CHARGES ACCOUNTS		6.172.836	4.741.372
STAFF TERM INDEMNITY		4.769.008	4.265.365
DEBTS		121.123.106	121.973.120
. Financial M/L terms
. . Financial M/L term banks
. . Financial M/L bonds
. . Other financial M/L debts
. Financial short-term debts		8.701.323	202.920
. . Financial short-term banks		8.501.063	2.660
. . Financial short-term bonds
. . Other financial short-term debts		200.260	200.260
. M/L term debts to suppliers
. Short-term debts to suppliers		101.936.048	106.239.444
. Sundry M/L debts
. Sundry short-term debts		10.485.735	15.530.756
ACCRUED COSTS DEFERR. LIABILITIES		642.760	794.516
TOTAL LIABILITIES		158.616.533	161.716.252
.
	PROFIT AND LOSS ACCOUNTS
OUTPUT VALUE		259.705.150	214.641.362
. Revenues from sales/services		258.826.993	209.698.260
. Change of stock (products)		207.435	4.298.861
OPERATING EXPENSES		222.708.453	178.829.951
. Purchasing expenses		127.910.601	106.910.121
. Change of stock (raw material)		-962.304	-5.540.211
. Expenses from services		53.025.420	40.200.255
. Expenses from leasing		7.366.615	6.615.545
. General expenses/sundry charges		2.088.409	2.014.442
. Staff expenses		26.775.201	23.360.468
. Depreciation/Devaluation costs		6.504.511	5.269.331
FINANCIAL REVENUES (CHARGES)		-3.229.168	-1.707.040
. Financial charges		-3.727.846	-1.954.680
. Financial revenues		498.678	247.640
FINANCIAL ASSETS CORRECTION			-498.000
EXTRAORDINARY FINANCIAL REVENUES (CHARGES)		386.124	-75.419
PROFIT (LOSS) FOR THE PERIOD		34.153.653	33.530.952
TAX		15.186.711	14.889.163
CORRECT./ALLOCAT. FISCAL RULE
NET PROFIT (LOSS)		18.966.942	18.641.789

RATIOS	Item	O.V.	O.V.	as at 31/12/2006	as at 31/12/2005	Sector Average
Fixed assets ratio	Units	=> 1	l	0,98	1,05	1,77
Net Short-term indebtedness	Units	- 1	l	4,00	3,26	2,06
Current ratio	Units	=> 1	l	1,04	1,05	1,28
Acid Test Ratio-Liquidity Ratio	Units	=> 1	l	0,82	0,84	0,91
Return on Sales	%		l	9,84	11,40	3,71
Average stock waiting period	dd		l	37,76	44,60	66,45
Credits to clients average term	dd		l	38,91	111,42	133,41
Debts to suppliers average term	dd		l	194,86	248,76	142,57
Net financial revenues/ charges incidence	%		l	- 1,24	- 0,81	- 1,17
Labour cost incidence	%		l	10,34	11,14	14,31

O.V. = Optimal Value. When not present refer to the sector's.

A coloured item indicates the opinion of the rate during the last financial year

(green=good; orange=not optimal; red=insufficient; n.c.=not computable)

CREDIT OPINION

On the basis of the above mentioned, and the sales volume obtained, we deem that the maximum exposure for short and medium term transactions ( 90 - 120 days ) could be of:

721.500 .Eur.

MARKET / TERRITORY DATA

Population living in the province	:	371.318
Population living in the region	:	4.151.369
Number of families in the region	:	1.748.359

Monthly family expenses average in the region (in Eur.) :

- per food products	:	425
- per non food products	:	2.063
- per energy consume	:	143

SECTOR DATA

The values are calculated on a base of 124 significant companies.

The companies cash their credits on an average of 133 dd.

The average duration of suppliers debts is about 142 dd.

The sector's profitability is on an average of 3,71%.

The labour cost affects the turnover in the measure of 14,31%.

Goods are held in stock in a range of 66 dd.

The difference between the sales volume and the resources used to realize it is about 1,06.

The employees costs represent the 14,38% of the production costs.

STATISTICAL DETRIMENTAL DATA

Statistically the trade activity shows periods of crisis.

The area is statistically considered lowly risky.

In the region 18.860 protested subjects are found; in the province they count to 1.674.

The insolvency index for the region is 0,46, while for the province it is 0,46.

Total Bankrupt companies in the province : 607.

Total Bankrupt companies in the region : 14.698.

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