MIRA INFORM REPORT

Report Date :

22^nd February, 2007

IDENTIFICATION DETAILS

Name :	JUSTICON PTE. LTD.

Registered Office :	143 Serangoon North Avenue 1, #11-347, Singapore 550143, Singapore.

Country :	Singapore

Financials (as on) :	31.12.2005

Date of Incorporation :	08.02.2004

Legal Form :	Pte Ltd

Line of Business :	Providing software consultancy services and related services

RATING & COMMENTS

MIRA’s Rating :

RATING		STATUS	PROPOSED CREDIT LINE
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended

Status :	Poor

Payment Behaviour :	Regular

Litigation :	Clear

Company Name

JUSTICON PTE. LTD.

Line Of Business

PROVIDING SOFTWARE CONSULTANCY SERVICES AND RELATED SERVICES

Parent Company

Financial Elements

FY 2005 (UNAUDITED)

COMPANY

Sales : S$405,903

Networth : S$-75,666

Paid-Up Capital : S$2

Net result : S$-54,976

Net Margin(%) : -13.54

Return on Equity(%) : 72.66 (NOTE: POSITIVE ROE DUE TO OFF SET OF NEGATIVE EARNINGS AND

NEGATIVE TOTAL EQUITY)

Leverage Ratio : -2.25

Rating

Credit Rating : Up to 10 000

BUSINESS INFORMATION REPORT

COMPANY IDENTIFICATION

Subject Company : JUSTICON PTE. LTD.

Former Name : -

Business Address : 143 SERANGOON NORTH AVENUE 1, #11-347

Town : SINGAPORE

Postcode : 550143

County : -

Country : Singapore

Telephone : 6280 4114

Fax : 6280 4114

ROC Number : 200401380N

Reg. Town : -

SUMMARY

All amounts in this report are in: SGD unless otherwise stated

Legal Form : Pte Ltd

Date Inc. : 08/02/2004

Previous Legal Form : -

Summary year : 31/12/2005

Sales : 405,903

Net worth : -75,666

Capital : 1,000,000

Paid-Up Capital : 2

Employees : Not Available

Net result : -54,976

Share value : 1

Auditor : NIL

REFERENCES

Litigation : No

Company status : TRADING

Started : 08/02/2004

PRINCIPAL(S)

^{THIA CHOON THOR S1634192D Director}

DIRECTOR(S)

THIA CHOON THOR S1634192D Director

Appointed on : 08/02/2004

Street : 143 SERANGOON NORTH AVENUE 1, #11-347

Town : SINGAPORE

Postcode : 550143

Country : Singapore

THIA CHOON THOR S1634192D Company Secretary

Appointed on : 03/05/2004

Street : 143 SERANGOON NORTH AVENUE 1, #11-347

Town : SINGAPORE

Postcode : 550143

Country : Singapore

LIEU ANN HORNG S7075679Z Director

Appointed on : 08/02/2004

Street : 144 PETIR ROAD, #04-240

Town : SINGAPORE

Postcode : 670144

Country : Singapore

ACTIVITY(IES)

COMPUTER SYSTEMS INTEGRATION CONSULTANTS Code:5096

BASED ON ACRA'S RECORD AS AT 14/02/2007

1) SOFTWARE CONSULTANCY; SYSTEM INTEGRATION SERVICES, CONSULTATION,

SOFTWARE DEVELOPMENT AND SALES

CHARGES

No Charges On Premises/Property In Our Database

PREMISES/PROPERTY INFORMATIONS

No Premises/Property Information In Our Databases

BANKERS

No Banker Information In Our Database

SHAREHOLDERS(S)

THIA CHOON THOR 1 Private Person

Street : 143 SERANGOON NORTH AVENUE 1, #11-347

Town : SINGAPORE

Postcode : 550143

Country : Singapore

LIEU ANN HORNG 1 Private Person

Street : 144 PETIR ROAD, #04-240

Town : SINGAPORE

Postcode : 670144

Country : Singapore

SUBSIDIARY(IES)

No Participation In Our Database

PAYMENT HISTORY AND EXPERIENCES

Trade Morality : AVERAGE

Liquidity : LACKING

Payments : REGULAR

Trend : DOWNWARD

Financial Situation : BAD

LITIGATION(S)

No Litigation In Our Database

FINANCIAL ELEMENTS

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

^{Date Account Lodged:
27/07/2006}

^{Balance Sheet Date:
31/12/2005 31/12/2004}

^{Number of weeks: 52 46}

^{Consolidation Code:
COMPANY
COMPANY}

ASSETS

^{Tangible Fixed Assets: 8,157 4,321}

^{Total Fixed Assets}^{: 8,157 4,321}

^{Receivables: 44,048 105,300}

^{Cash,Banks,Securities: 42,648 24,072}

^{Total Current Assets}^{: 86,696 129,372}

^{TOTAL ASSETS:
94,853
133,693}

LIABILITIES

^{Equity capital: 2 2}

^{Profit & loss Account: -75,668
-20,692}

^{Total Equity: -75,666 -20,690}

^{Prepay. & Def. charges: 14,260 21,497}

^{Other Short term Liab.: 156,259 132,886}

^{Total short term Liab}^{.:
170,519
154,383}

^{TOTAL LIABILITIES:
170,519
154,383}

PROFIT & LOSS ACCOUNT

^{Net Sales 405,903 185,571}

^{Result of ordinary operations -54,976 -20,692}

^{NET RESULT BEFORE TAX: -54,976 -20,692}

^{Net income/loss year: -54,976
-20,692}

^{Depreciation: 5,158 2,160}

^{Directors Emoluments: 197,948 89,249}

^{Wages and Salaries: 408,226 155,453}

^{Financial Income: 32 -}

RATIOS

^{31/12/2005
31/12/2004}

^{Net result / Turnover(%): -0.14 -0.11}

^{Net Margin(%): -13.54 -11.15}

^{Return on Equity(%): 72.66 100.01}

^{Return on Assets(%): -57.96 -15.48}

^{Net Working capital: -83823.00 -25011.00}

^{Cash Ratio: 0.25 0.16}

^{Quick Ratio: 0.51 0.84}

^{Current ratio: 0.51 0.84}

^{Receivables Turnover: 39.07 204.28}

^{Leverage Ratio: -2.25
-7.46}

^{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

^NOTE:

^{THE FINANCIAL STATEMENTS PRESENTED FOR THE
YEAR 2005/2004 ARE} ^UNAUDITED.

^{THE FINANCIAL PERIOD FOR THE YEAR 2005 RANGES
FROM 31 DECEMBER 2004} ^{TO 31 DECEMBER 2005, A TOTAL OF 52 WEEKS, WHILE THE FINANCIAL
PERIOD} ^{FOR THE YEAR 2004 RANGES FROM 8 FEBRUARY 2004 (DATE OF
INCORPORATION)} ^{TO 31 DECEMBER 2004, A TOTAL OF 46 WEEKS, HENCE THE
ANALYSIS MAY NOT} ^{GIVE A TRUE AND FAIR VIEW.}

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

^{NET WORTH:}

^{THE BALANCE SHEET WAS CONSIDERED INADEQUATE
WITH NET WORTH IN} ^{NEGATIVE REGION AND WORSENING BY 2.66 TIMES TO S$75,666, AS
COMPARED} ^{TO THE NEGATIVE NET WORTH OF S$20,690 IN 2004.}

^{THIS WAS DUE TO HIGHER ACCUMULATED LOSSES OF
S$75,668}

^{(2004: ACCUMULATED LOSSES OF S$20,692); A
RISE OF 2.66 TIMES FROM} ^{THE PRIOR FINANCIAL YEAR.}

^LEVERAGE:

^{IN THE SHORT-TERM, SUBJECT WAS LARGELY
FINANCED BY AMOUNT DUE TO} ^{DIRECTORS WHICH MADE UP 91.64% (2004: 86.08%) OF THE TOTAL CURRENT} ^{LIABILITIES AND AMOUNTED TO S$156,259 (2004: S$132,886).}

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

^{IN ALL, LEVERAGE RATIO WAS IN NEGATIVE REGION
BUT NARROWED TO 2.25} ^TIMES

^{(2004: 7.46 TIMES). THIS WAS DUE TO THE
RELATIVE WORSENING OF} ^{SUBJECT'S NEGATIVE TOTAL EQUITY.}

^LIQUIDITY:

^{IN GENERAL, SUBJECT'S LIQUIDITY SITUATION WAS
INADEQUATE AS SEEN FROM} ^{THE NEGATIVE NET WORKING CAPITAL, WHICH WORSENED BY 2.35 TIMES TO} ^{S$83,823 (2004: S$-25,011).}

^{CURRENT RATIO AND QUICK RATIO BOTH FELL FROM
0.84 TIMES TO 0.51 TIMES.}

^{THIS COULD INDICATE THAT SUBJECT MAY FACE
DIFFICULTIES IN FULFILLING} ^{ITS FUTURE SHORT TERM OBLIGATIONS.}

^{HOWEVER, CASH AND CASH EQUIVALENTS ROSE
SHARPLY BY 77.17% TO S$42,648}

^{(2004: S$24,072).}

^{PROFITABILITY:}

^{REVENUE POSTED AN INCREASE OF 1.19 TIMES FROM
S$185,571 IN 2004 TO} ^{S$405,903 BUT NET LOSS WORSENED BY 1.66 TIMES TO S$54,976, AS} ^{COMPARED TO THE NET LOSS OF S$20,692 IN 2004.}

^{THIS COULD BE DUE TO LOWER GROSS MARGIN OF
13.21% IN FY 2005} ^{(2004: 14.02%).}

^{HENCE, NET MARGIN REMAINED IN NEGATIVE REGION
AND WORSENED TO 13.54%}

^{(2004: 11.15%).}

^{DEBT SERVICING:}

^{DEBT SERVICING PROBLEMS MIGHT BE EXPECTED IF
REVENUE AND EARNINGS} ^{CANNOT BE MAINTAINED AND PAYMENT BY TRADE DEBTORS ARE NOT
FORTHCOMING,} ^{EVEN THOUGH SUBJECT DID NOT INCUR ANY INTEREST EXPENSES
DURING THE} ^{FINANCIAL YEAR.}

^{NOTES TO THE
FINANCIAL STATEMENTS}

^{GOING CONCERN}

^{THE FINANCIAL STATEMENTS ARE PREPARED ON A
GOING CONCERN BASIS AS THE} ^{DIRECTORS WHO ARE ALSO THE SHAREHOLDERS OF THE COMPANY HAVE
UNDERTAKEN} ^{TO PROVIDE ALL NECESSARY FINANCIAL SUPPORT TO THE COMPANY
AS AND WHEN} ^{REQUIRED TO ENABLE THE COMPANY TO CONTINUE OPERATING AS
A GOING} ^CONCERN.

BACKGROUND/OPERATION

^{THE COMPANY WAS INCORPORATED IN THE REPUBLIC
OF SINGAPORE ON} ^{08/02/2004
AS A LIMITED PRIVATE COMPANY AND IS TRADING UNDER THE} ^{PRESENT
NAMESTYLE OF "JUSTICON PTE. LTD.".}

^{AS AT 14/02/2007, THE COMPANY HAS AN ISSUED
AND PAID-UP CAPITAL OF} ^{2 SHARES, OF A VALUE OF S$2.}

^{PRINCIPAL ACTIVITIES:}

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

^{1) SOFTWARE CONSULTANCY; SYSTEM INTEGRATION
SERVICES, CONSULTATION,} ^SOFTWARE

^{DEVELOPMENT AND SALES}

^{DURING THE FINANCIAL YEAR (S) UNDER REVIEW,
THE PRINCIPAL ACTIVITIES} ^{OF THE COMPANY ARE THOSE OF THE BUSINESS OF PROVIDING SOFTWARE} ^{CONSULTANCY SERVICES AND RELATED SERVICES.}

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

^ACTIVITIES

^{- SOFTWARE DEVELOPMENT AND CONSULTING FIRM
SPECIALIZING IN CUSTOMIZED} ^SOFTWARE

^{SOLUTIONS/APPLICATIONS AND SYSTEM
INTEGRATIONS}

^{- PROVIDE CONSULTING AND TECHNICAL SERVICES,
INCLUDING STRATEGIC} ^{DESIGNS AND}

^{APPROPRIATE METHODOLOGIES}

^{PREMIUM TOOLS}

^{A RANGE OF VALUED-ADDED SYSTEM TOOLS FOR
MANUFACTURING ENVIRONMENT:}

^{*ELECTRONIC PROCESS CONTROL (EPC)}

^{A TOTAL MANUFACTURING SOLUTION PACKAGE FOR
SEMICONDUCTOR FABRICATION} ^AND

^{ELECTRONICS MANUFACTURING INDUSTRIES.}

^{*EQUIPMENT AUTOMATION PROGRAM (EAP)}

^{AN APPLICATION FOR CONTROLLING, MONITORING
AND MAINTAINING (IN} ^{AUTOMATION MODE)}

^{FOR EQUIPMENT IN PRODUCTION ENVIRONMENT.}

^{*EVENT MONITORING & ALERT SYSTEM (EMAS)}

^{A SYSTEM FOR MANAGING EVENTS AND THE
CORRESPONDING ALARMS IN FACTORY} ^FLOOR.

^SERVICES

^{- MANUFACTURING, INDUSTRIAL & AUTOMATION
SOLUTIONS CONSULTING}

^{- SYSTEM PLANNING, DESIGN & INTEGRATION}

^{- SOFTWARE APPLICATION DEVELOPMENT}

^{- SUPPORT / MAINTENANCE}

^{- DATA WAREHOUSING}

^{- TECHNOLOGY TRANSFER & TRAINING}

^{MARKET PRESENCE}

^{- SINGAPORE AND MALAYSIA}

^{TERMS OF PAYMENT}

^{- TRADE AND OTHER RECIEVABLES: 30-60 DAYS
TERMS}

^{- TRADE AND OTHER PAYABLES : 30-60 DAYS TERMS}

^{INDUSTRIES SERVED}

^{- MANUFACTURING INDUSTRIES, ESPECIALLY THE
SEMICONDUCTOR AND} ^ELECTRONICS

^{MANUFACTURING INDUSTRIES}

^{NEWS: EXPLOIT SIGNED LICENSE AGREEMENTS WITH
6 SMES IN OCTOBER 2006}

^{- A NON-EXCLUSIVE LICENSE AGREEMENT WAS
SIGNED BETWEEN JUSTICON PTE} ^{LTD AND EXPLOIT}

^{, FOR THE USE OF THE LIFE CYCLE MANAGEMENT (LMS)} ^{SOFTWARE FROM SIMTECH. JUSTICON
SPECIALIZES IN SOFTWARE SOLUTION} ^{CUSTOMIZATION AND SYSTEM FOR THE
MANUFACTURING INDUSTRY.} ^{LMS SOFTWARE SYSTEM PROVIDES AN EFFECTIVE
SOLUTION FOR INFORMATION- DRIVEN COLLABORATION BETWEEN THE DEPARTMENTS OF A
COMPANY. IT} ^{AUTOMATES THE WORK AND INFORMATION FLOW, AND STRUCTURED
DATA} ^{ARCHIVING THROUGHOUT THE LIFECYCLE OF A MAKE-TO-ORDER
OPERATION.} ^{WITH THIS LICENSE, JUSTICON IS ABLE TO DEVELOP A HIGHLY
INTEGRATED} ^{AND CUSTOMIZED LMS SOLUTION FOR THE MANUFACTURING AND
MARINE INDUSTRY.}

^{--SOURCE: http://www.exploit-tech.com/news}

^{NO OTHER TRADE INFORMATION WAS MADE AVAILABLE
AS TELE-INTERVIEW WAS} ^{NOT GRANTED ON 22/02/2007.}

^{NUMBER OF EMPLOYEES (31 DECEMBER)}

^{- COMPANY - 2005: NOT AVAILABLE (2004: NOT
AVAILABLE)}

^{REGISTERED AND BUSINESS ADDRESS:}

^{143 SERANGOON NORTH AVENUE 1}

^#11-347

^{SINGAPORE 550143}

^{DATE OF CHANGE OF ADDRESS: 18/05/2006}

^{- ALSO RESIDENTIAL ADDRESS OF THIA CHOON THOR
(DIRECTOR/SHAREHOLDER)}

^{- RENTED PREMISE}

^{- OWNED BY: CHUA LAE WA AND THIA THUI}

^WEBSITE:

^{http://www.justicon.com}

^EMAIL:

^{sales@justicon.com}

^{enquiry@justicon.com}

MANAGEMENT

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

^{1) THIA CHOON THOR, A SINGAPOREAN}

^{- HOLDS OTHER DIRECTORSHIPS AS RECORDED IN
OUR DATABASE:}

^{FA CONSULTING PTE LTD}

^{2) LIEU ANN HORNG, A SINGAPOREAN}

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

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.

OVERVIEW OF SINGAPORE

^{PAST PERFORMANCE}

^{SINGAPORE'S ECONOMIC GROWTH MODERATED IN THE
SECOND QUARTER TO 7.5% YEAR-ON-YEAR} ^{DUE TO A WEAKER MANUFACTURING SECTOR. PRELIMINARY ESTIMATES ISSUED
SHOWN GROWTH} ^{IN REAL GROSS DOMESTIC PRODUCT SLOWED FROM A REVISED
10.7% IN THE FIRST QUARTER.} ^{ON A QUARTER-ON-QUARTER BASIS, SEASONALLY
ADJUSTED ANNUALISED BASIS, GDP GREW} ^{1.1% AFTER A 7% EXPANSION IN THE
PREVIOUS QUARTER.}

^{THE MANUFACTURING SECTOR IS FORECASTED TO
HAVE EXPANDED BY A MORE MODERATE 10.2%} ^{IN THE SECOND QUARTER, MAINLY ATTRIBUTED TO LOWER PRODUCTION FROM
THE BIOMEDICAL} ^{MANUFACTURING CLUSTER. IT FELL BY ABOUT HALF FROM THE
20.2% IN THE FIRST QUARTER} ^{BUT HIGHER THAN THE 9.3% REGISTERED FOR
THE WHOLE OF 2005. THE MANUFACTURING} ^{SECTOR ACCOUNTS FOR ABOUT A
THIRD OF SINGAPORE'S ECONOMY WORTH S$194 BILLION.}

^{THE KEY ELECTRONICS SECTOR IN MANUFACTURING
IS GROWING STRONGLY, AGAINST THE} ^{VOLATILE BIOMEDICAL SEGMENT. ELECTRONICS ARE SINGAPORE'S MAIN
EXPORT AND THE} ^{INDUSTRY ROSE 8.6% YEAR-ON-YEAR IN MAY, BOOSTED BY A
38.9% GROWTH IN THE} ^{SEMICONDUCTOR SEGMENT.}

^{THE ACTUAL FIGURES SHOWN THAT THE
CONSTRUCTION SECTOR GREW 0.2% IN THE SECOND} ^{QUARTER OVER 2Q2005. THIS IS IN CONTRAST WITH A 0.8% DECLINE IN
THE TWO} ^{PRECEDING QUARTERS AND DECLINES IN THE SIX QUARTERS BEFORE
THAT.}

^{THE SERVICES SECTOR ACTUALLY ROSE 7% FROM A YEAR
EARLIER, SLOWER THAN THE 8.2%} ^{IN THE FIRST QUARTER BUT ABOVE THE 6% RECORDED IN 2Q2005. SERVICES
INDUSTRIES,} ^{WHICH RANGE FROM HOSPITALITY TO TRANSPORT, MADE UP
NEARLY TWO-THIRDS OF THE} ^{ECONOMY LAST YEAR. THOSE IN FINANCIAL
SERVICES, PARTICULARLY BANKERS, FUND} ^{MANAGERS AND STOCKBROKERS,
REPORTED STRONG GROWTH OF 9.5% FROM THE SAME PERIOD} ^{LAST YEAR AND UP
FROM 8.7% IN THE PREVIOUS QUARTER.} ^{WHOLESALE AND RETAIL TRADE ROSE
10.1% IN THE SECOND QUARTER, AGAINST 15.1% IN} ^{THE PREVIOUS QUARTER,
AS WHOLESALERS WERE AFFECTED BY A SLOWDOWN IN NON-OIL RE-EXPORTS.}

^{HOTELS AND RESTAURANTS GAINED 6.1% IN THE
SECOND QUARTER SLOWER THAN 7.1% IN THE} ^{LAST QUARTER.}

^{ON THE EMPLOYMENT MARKET, MORE JOBS WERE
CREATED IN THE SECOND QUARTER BUT} ^{UNEMPLOYMENT ROSE TO 2.9% AS MORE PEOPLE, ESPECIALLY TERTIARY
GRADUATES, ENTERED} ^{THE JOB MARKET. SOME 36,500 MORE JOBS WERE
CREATED IN THE SECOND QUARTER,} ^{REFLECTING THE CONTINUED GROWTH IN
THE ECONOMY. IT BROUGHT THE TOTAL NUMBER OF} ^{JOBS CREATED IN THE
FIRST HALF OF 2006 TO A RECORD 81,500, WHICH IS ABOUT TWO-THIRDS MORE THAN THE
49,500 REGISTERED IN THE SAME PERIOD LAST YEAR.}

^{THE SERVICE INDUSTRY CONTRIBUTED MOSTLY TO
THE JOBS CREATION, ADDING 24,200} ^{JOBS, WHILE MANUFACTURING AND CONSTRUCTION POSTED INCREASE OF
8,300 AND 4,000} ^{JOBS RESPECTIVELY.}

^{RETRENCHED WORKERS TOTAL 3,100, LOWER THAN
THE 3,500 IN THE FIRST QUARTER, BUT} ^{HIGHER THAN THE 2,100 IN 2Q2005.}

^AHEAD

^{THE OUTLOOK FOR THE ECONOMY REMAINS POSITIVE,
AMID SIGNS OF A SLOWDOWN IN GLOBAL} ^{GROWTH. ON 8 AUGUST 2006, PRIME MINISTER LEE HISEN LOONG ANNOUNCED
THAT THE} ^{SINGAPORE ECONOMY GREW 9.4% IN THE FIRST HALF OF 2005. AS A
RESULT, BARRING AN} ^{OIL SHOCK, THE FULL YEAR OFFICIAL FORECAST IS
BEING RAISED TO BETWEEN 6.5% AND} ^{7.5% FOR 2006, UP FROM THE EARLIER
5 TO 7% RANGE.}

^{IN THE SECOND HALF, MODERATE GROWTH WILL BE
REGISTERED IN LINE WITH THE COOLING} ^{GLOBAL ECONOMY. BUT SURPRISINGLY, THE COMPOSITE LEADING INDEX
(CLI), AN} ^{INDICATOR THAT LEADS ECONOMIC ACTIVITY BY ABOUT ONE TO TWO
QUARTERS AHEAD, ROSE} ^{1.5% IN ITS FASTEST GROWTH IN OVER TWO YEARS.
CLI COMPRISES NINE COMPONENTS SUCH} ^{AS MONEY SUPPLY, LIQUIDITY AND
STOCK PRICES.}

^{THE GLOBAL ENERGY PRICES WILL CONTINUE TO
FLUCTUATE WITH THE VIOLENCE IN THE} ^{MIDDLE EAST AND POTENTIAL SUPPLY PROBLEMS IN NIGERIA, IRAN AND
IRAQ. OTHER RISK} ^{FACTORS INCLUDE AN AVIAN FLU OUTBREAK, A SLOWDOWN
IN THE UNITED STATES ECONOMY,} ^{AND THE UNWINDING OF GLOBAL IMBALANCES
SUCH AS THE US TRADE DEFICIT.}

^{HOTELS AND RESTAURANTS ARE BANKING ON
SEPTEMBER'S INTERNATIONAL MONETARY} ^{FUND/WORLD BANK MEETING TO MAINTAIN THE GROWTH MOMENTUM.}

^{THE FINANCIAL SERVICES SECTOR IS HOPEFUL THAT
WITH THE PICK-UP IN BUSINESS} ^{LOANS, BILLION-DOLLAR HEDGE FUNDS RELOCATING HERE FROM HONG KONG
AND STRONG} ^{INSURANCE SALES, THE INDUSTRY WILL BE GROWING ROBUSTLY
FOR THE REST OF THE YEAR.}

^{SLOWER 8.4% GROWTH IN NON-OIL EXPORTS LAST
MONTH}

^{SINGAPORE'S NON-OIL DOMESTIC EXPORTS (NODX)
GREW AT A SLOWER-THAN-EXPECTED 8.4%} ^{IN JULY 2006 OVER THE SAME MONTH A YEAR AGO, MAINLY DUE TO WEAKER
SHIPMENTS OF} ^{ELECTRONICS, PHARMACEUTICALS AND PETROCHEMICALS.}

^{ELECTRONICS EXPORTS, WHICH ACCOUNTED FOR
SLIGHTLY LESS THAN HALF OF OVERALL NODX} ^{IN 2005, GREW 5% IN JULY TO S$6.62 BILLION. IT WAS THE 12TH
STRAIGHT MONTH OF} ^{EXPANSION BUT WEAKER THAN THE 9.1% GROWTH REGISTERED
IN JUNE. IT WAS HURT BY A} ^{23% FELL IN DISK DRIVE EXPORTS, WHICH WAS
BEING VALUED AT S$843 MILLION IN JULY,} ^{AND A 21% DECLINE IN PERSONAL
COMPUTER SHIPMENTS VALUED AT S$86 MILLION.}

^{NON-ELECTRONIC EXPORTS, WHICH CONSIST MAINLY
OF PHARMACEUTICALS AND} ^{PETROCHEMICALS, ROSE 11.7% TO S$7.14 BILLION. PHARMACEUTICALS ROSE
7.1% TO S$1.27 BILLION IN JULY, SIGNIFICANTLY SLOWER THAN THE JUNE'S RISE OF
25% TO S$1.45 BILLION. PETROCHEMICAL EXPORTS ROSE 11.5% TO S$1.02 BILLION, IN
COMPARISON} ^{WITH THE 32% GROWTH IN JUNE TO S$1.1 BILLION.}

^{SHIPMENTS TO SINGAPORE'S MAJOR MARKETS SUCH
AS MALAYSIA, HONG KONG AND THE} ^{UNITED STATES GREW IN JULY BUT THESE WERE OFFSET BY DECLINES IN
OTHER} ^{DESTINATIONS, INCLUDING JAPAN, CHINA AND EUROPEAN UNION.}

^{TOTAL TRADE IN JULY ROSE 15.9% TO ALMOST S$69
BILLION.}

^{REGIONAL ECONOMIST SONG SENG WUN OF CIMB-GK
RESEARCH PREDICTED THAT THE} ^{TECHNOLOGY SECTOR COULD ENJOY A REBOUND IN THE COMING MONTHS AS
DEMAND TYPICALLY} ^{PICK UP WITH THE CHRISTMAS SEASON. THE TECHNOLOGY
EXPORTS WILL GROW BY THE LOW-TO-MID TEENS RANGE AS THE DISK DRIVE EXPORTS
IMPROVE.}

^{EXTRACTED FROM: MINISTRY OF TRADE AND
INDUSTRY, SINGAPORE}

^{IE SINGAPORE}

^{THE STRAITS TIMES}

^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

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