MIRA INFORM REPORT

Report Date :

28.02.2007

IDENTIFICATION DETAILS

Name :	GARABED AYANIAN & SONS

Registered Office :	Nercessian Building, Ground Floor, Dora Roundabout, Bourj Hammoud, P O Box 175214, Beirut

Country :	Lebanon

Financials (as on) :	31.12.2005

Date of Incorporation :	1928

Com. Reg. No.:	14429

Legal Form :	General Partnership

Line of Business :	Engaged in the import and distribution of heating, refrigeration and air conditioning equipment, pumps, fire fighting and safety equipment, electrical products, batteries and telecommunication equipment.

RATING & COMMENTS

MIRA’s Rating :

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

SUMMARY

Company Name : GARABED AYANIAN & SONS

Country of Origin : Lebanon

Legal Form : General Partnership

Registration Date : 1928

Commercial Registration Number : 14429, Beirut

Partners Capital : LP 400,000

Total Workforce : 48

Line of Business : Distributors of heating, refrigeration and air conditioning equipment,

pumps, fire fighting and safety equipment, electrical products, batteries

and telecommunication equipment.

Financial Condition : Fair

Payments : Nothing detrimental uncovered

Operating Trend : Steady

COMPANY NAME

GARABED AYANIAN & SONS

ADDRESS

Registered & Physical Address

Building : Nercessian Building, Ground Floor

Area : Dora Roundabout, Bourj Hammoud

PO Box : 175214

Town : Beirut

Country : Lebanon

Telephone : (961-1) 255222 / 255223 / 255224

Facsimile : (961-1) 265187 / 263583

Mobile : (961-3) 627728 / 627729

Email : gasons@dm.net.lb

Premises

Subject operates from a small suite of offices and a warehouse that are owned and located in the Central Business Area of Beirut.

Branch Office (s)

Location Description

· 176 Gouraud Street Office premises

Gemmayzeh Sector

Beirut

Tel : (961-1) 447000

· Kfarhbab Warehouse premises

Kesrouane

Tel : (961-9) 855790

· Viale Legioni Romane 13 Office premises

20147 Milan

Italy

Tel : (39-2) 40090112

Fax : (39-2) 4078036

KEY PRINCIPALS

· Nazareth Garabed Ayanian Managing Partner

· Paul Garabed Ayanian Partner

· Sako Seferian Technical Manager

· Jean Terzian Sales Manager

· Malek Abou Abdo Marketing Manager

· Nichan G Piladjian Finance Manager

· Jalil Choueiry Project Manager

LEGAL FORM & OWNERS

Date of Establishment : 1928

Legal Form : Sharikat Tadhamun (General Partnership)

Commercial Reg. No. : 14429, Beirut

Partners Capital : LP 400,000

Name of Partner (s)

· Nazareth Garabed Ayanian

· Paul Garabed Ayanian

Note to the Legal Form

The Company Law defines “Sharikat Tadhamun” as a company established between two or more general partners who will jointly and unlimitedly, to the extent of their personal assets, be responsible for the liabilities of the company. Creditors may claim the debts from either the company as a separate legal entity or from the general partners.

Notwithstanding the English translation of its name, this type of company should not be compared to the partnership concept under English Law. A Sharikat Tadhamun is considered a company and has the attributes of a corporation similar to that of a partnership under Scottish Law or to the “Societe en Nom Collectif” under French Law.

There are no legal requirements concerning the amount of capital of a general partnership. The shares of each partner, presented in cash, kind or rights, must not be issued in the form of negotiable instruments, nor can they be transferred or assigned without the unanimous approval of the partners unless the memorandum specifically provides otherwise.

LINE OF BUSINESS

Operations : Engaged in the import and distribution of heating, refrigeration and air conditioning equipment, pumps, fire fighting and safety equipment, electrical products, batteries and telecommunication equipment.

Import Countries : Italy, Germany, Spain, France and Japan.

Brand Names : FERMAX, LANZINI, IVELA, LEDS, SIEMENS, CALPEDA POMPE, BRADY, ELEMATIC, WOODS, CELLPACK, FLENDER, SQUARE D, ELSAMEC, YU FUNG, MOEL, BREMAS, MAC BRIGHT, THEBEN, REMA, BOLUCE, STAVOL, NARVA, KEB, XENON, UNIONAIRE, AIRKOOL, FUMAGALLI, NOVA ART and CARLO GAVAZZI.

Operating Trend : Steady

Subject has a workforce of 48 employees.

FINANCIAL HIGHLIGHTS

Financial highlights provided by outside sources are given below :

Currency : Lebanese Pounds (LP)

Year Ending 31/12/04 : Year Ending 31/12/05 :

Total Revenue LP 5,290,000,000 LP 5,410,000,000

Local sources consider subject’s financial condition to be Fair.

BANKERS

· Credit Libanais Sal

PO Box : 166729

Beirut

Tel : (961-1) 200028 / 201292

Fax : (961-1) 602615

· Banque Libano Francaise Sal

PO Box : 11808

Beirut

Tel : (961-1) 200493 / 200490

Fax : (961-1) 200494 / 348845

PAYMENT HISTORY

No complaints regarding subject’s payments have been reported.

GENERAL COMMENTS

Established in 1928, subject is involved in the import and distribution of heating, refrigeration and air conditioning equipment, pumps, fire fighting and safety equipment, electrical products, batteries and telecommunication equipment.

During the course of this investigation nothing detrimental was uncovered regarding subject’s operating history or the manner in which payments are fulfilled. As such the company is considered to be a fair trade risk.

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