MIRA INFORM REPORT

Report Date :

27.07.2007

IDENTIFICATION DETAILS

Name :	FAST TRACK PTE. LTD.

Registered Office :	^{1 North Bridge Road, #01-40, High Street Centre, Singapore - 179094}

Country :	Singapore

Financials (as on) :	31.12.2005

Date of Incorporation :	^17/08/2002

Com. Reg. No.:	^200207152Z

Legal Form :	^{Exempt Pte Ltd}

Line of Business :	Dealers in Software Development, Consultancy Services and General Trading

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

Subject Company

FAST TRACK PTE. LTD.

Line Of Business

DEALERS IN SOFTWARE DEVELOPMENT, CONSULTANCY SERVICES AND GENERAL TRADING

Parent Company

Financial Elements

FY 2005

COMPANY

Sales : S$74,139,524

Networth : S$558,820

Paid-Up Capital : S$350,000

Net result : S$86,839

Net Margin(%) : 0.12

Return on Equity(%) : 15.54

Leverage Ratio : 6.01

COMPANY IDENTIFICATION

^{Subject Company : FAST
TRACK PTE. LTD.}

^{Former Name : -}

^{Business Address: 1 NORTH BRIDGE ROAD}

^#01-40

^{HIGH STREET CENTRE}

^{Town: SINGAPORE}

^{Postcode: 179094}

^{County: -}

^{Country: Singapore}

^{Telephone: 6336
1951}

^{Fax: 6336 1952}

^{ROC Number: 200207152Z}

^Reg.^Town^{:
-}

SUMMARY

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

^{Legal Form: Exempt
Pte Ltd}

^{Date Inc.: 17/08/2002}

^{Previous Legal Form: -}

^{Summary year : 31/12/2005}

^{Sales: 74,139,524}

^{Networth : 558,820}

^{Capital: -}

^{Paid-Up Capital: 350,000}

^{Employees: 5}

^{Net result : 86,839}

^{Share value: -}

^{AUDITOR: HAJAMAIDEEN
& CO}

REFERENCES

^{Litigation: No}

^{Company status : TRADING}

^{Started : 17/08/2002}

PRINCIPAL(S)

^{NATESAN SARAVANAN S6978721E Director}

DIRECTOR(S)

^{PATHANJALI GOUTHAMAN S7485908I Director}

^{Appointed on : 17/08/2002}

^{Street : 118A
JALAN MEMBINA}

^#30-133

^{Town: SINGAPORE}

^{Postcode: 161118}

^{Country: Singapore}

^{KALIYAPERUMAL S/O K JAYARAM S1230952Z Company Secretary}

^{Appointed on : 17/08/2002}

^{Street : 2 DELTA AVENUE}

^#20-44

^{Town: SINGAPORE}

^{Postcode: 161002}

^{Country: Singapore}

^{NATESAN SARAVANAN S6978721E Director}

^{Appointed on : 17/08/2002}

^{Street : 431 BUKIT PANJANG ROAD}

^#07-677

^{Town: SINGAPORE}

^{Postcode: 670431}

^{Country: Singapore}

FORMER DIRECTOR(S)

^{PARMESWAR LAL AGARWAL S2712954D}

ACTIVITY(IES)

^{COMMUNICATION EQUIPMENT Code:5020}

^{TRADING COMPANIES Code:22190}

^{IMPORTERS And EXPORTERS Code:11760}

^{BASED ON ACRA'S RECORD AS AT
23/07/2007}

^{1) SOFTWARE CONSULTANCY; SOFTWARE DEVELOPMENT
AND CONSULTANCY}

CHARGES

^{Date:
21/07/2006}

^{Comments :
CHARGE NO:
C200604778}

^{AMOUNT SECURED: 0.00 AND ALL MONIES OWING}

^{CHARGEE(S): CITIBANK SINGAPORE LIMITED}

PREMISES/PROPERTY INFORMATIONS

No Premises/Property Information In Our Databases

BANKERS

^{ABN AMRO BANK N.V.}

^{CITIBANK SINGAPORE LIMITED}

^{INDIAN BANK}

^{STANDARD CHARTERED BANK}

SHAREHOLDERS(S)

^{NATESAN SARAVANAN 300,000 Private Person}

^{Street : 431 BUKIT PANJANG ROAD}

^#07-677

^{Town: SINGAPORE}

^{Postcode: 670431}

^{Country: Singapore}

^{PATHANJALI GOUTHAMAN 50,000 Private Person}

^{Street : 118A
JALAN MEMBINA}

^#30-133

^{Town: SINGAPORE}

^{Postcode: 161118}

^{Country: Singapore}

FORMER SHAREHOLDER(S)

^{PARMESWAR LAL AGARWAL 150,000}

SUBSIDIARY(IES)

No Participation In Our Database

PAYMENT HISTORY AND EXPERIENCES

Trade Morality: AVERAGE

Liquidity : SUFFICIANT

Payments : REGULAR

Trend : UPWARD

Financial Situation: AVERAGE

LITIGATION(S)

No Litigation In Our Database

FINANCIAL ELEMENTS

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

^{Audit Qualification:
UNQUALIFIED (CLEAN) UNQUALIFIED (CLEAN)
"MILD" UNCERTAINTIES}

^{Date Account Lodged: 27/12/2006}

^{Balance Sheet Date: 31/12/2005 31/12/2004 31/12/2003}

^{Number of weeks: 52 52 71}

^{Consolidation Code: COMPANY COMPANY COMPANY}

^---
ASSETS

^{Preliminary Exp 1,000 1,000 1,000}

^{Intangible Fixed
Assets: 40,000 - -}

^{Tangible Fixed Assets: 49,260 58,622 2,674}

^{Total Fixed Assets: 90,260 59,622 3,674}

^{Inventories: 318,520 106,089 219,656}

^{Receivables: 2,469,486 335,250 411,130}

^{Cash,Banks, Securitis: 236,014 50,629 42,561}

^{Other current assets: 564,467 1,144,089 129,581}

^{Total Current Assets: 3,588,487 1,636,057 802,928}

^{TOTAL
ASSETS: 3,678,747 1,695,679 806,602}

^{--- LIABILITIES}

^{Equity capital: 350,000 300,000 300,000}

^{Profit & loss
Account: 208,820 121,981 67,291}

^{TOTAL
EQUITY: 558,820 421,981 367,291}

^{Long Term Loans: 169,430 - -}

^{Other long term Liab.: 40,440 48,775 -}

^{Total L/T Liabilities: 209,870 48,775 -}

^{Trade Creditors: 1,563,355 592,820 214,426}

^{Prepay.
& Def. charges: 40,750 8,016 4,300}

^{Short term liabilities: 8,237 8,237 -}

^{Advanced payments: - - -}

^{Due to Bank: 129,667 23,770 21,165}

^{Provisions: 12,826 11,613 4,420}

^{Other Short term
Liab.: 1,155,222 580,467 195,000}

^{Total short term
Liab.: 2,910,057 1,224,923 439,311}

^{TOTAL
LIABILITIES: 3,119,927 1,273,698 439,311}

^{PROFIT & LOSS ACCOUNT}

^{Net Sales 74,139,524 61,769,130 53,849,719}

^{Gross Profit: 853,264 707,742 535,218}

^{NET RESULT BEFORE TAX: 99,052 61,883 75,011}

^{Tax : 12,213 7,193 7,720}

^{Net income/loss year: 86,839 54,690 67,291}

^{Interest Paid: 32,633 31,157 -}

^{Depreciation: 15,848 11,428 -}

^{Directors Emoluments: 141,000 54,000 -}

^{Purchases,Sces & Other}

^{Goods:
73,286,260
61,061,388                  -}

^{Wages and Salaries: 273,574 110,067 -}

RATIOS

^{31/12/2005 31/12/2004 31/12/2003}

^{Turnover per employee: 14827904.80 12353826.00 10769943.80}

^{Net Margin(%): 0.12 0.09 0.12}

^{Return on Equity(%): 15.54 12.96 18.32}

^{Return on Assets(%): 2.36 3.23 8.34}

^{Net Working capital: 678430.00 411134.00 363617.00}

^{Cash Ratio: 0.08 0.04 0.10}

^{Quick Ratio: 0.93 0.32 1.03}

^{Current ratio: 1.23 1.34 1.83}

^{Receivables Turnover: 11.99 1.95 2.75}

^{Leverage Ratio: 6.01 3.02 1.20}

^{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}

^{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 WITH
NET WORTH IMPROVED BY 32.43% FROM S$421,981 IN FY 2004 TO S$558,820 IN FY 2005.
THIS WAS DUE TO HIGHER ACCUMULATED PROFIT OF S$208,820 (2004: S$121,981); A
RISE OF 71.19% FROM THE PRIOR FINANCIAL YEAR.}

^LEVERAGE:

^{IN THE SHORT-TERM, SUBJECT WAS LARGELY
FINANCED BY TRADE CREDITORS WHICH MADE UP 53.72% (2004: 48.39%) OF THE TOTAL
CURRENT LIABILITIES AND AMOUNTED TO S$1,563,355 (2004: S$592,820).}

^{AMOUNT DUE TO BANKS OF S$129,667 (2004:
S$23,770) CONSISTED OF:}

^{-BANK OVERDRAFT (UNSECURED) - 2005: S$61,374
(2004: S$23,770)}

^{-TERM LOAN - 2005: S$68,293 (2004: -)}

^{IN ALL, LEVERAGE RATIO ROSE FROM 3.02 TIMES
TO 6.01 TIMES AS A RESULT OF A GREATER RISE IN TOTAL LIABILITIES THAN TOTAL
EQUITY.}

^LIQUIDITY:

^{IN GENERAL, SUBJECT'S LIQUIDITY SITUATION WAS
PASSABLE AS SEEN FROM THE CHANGES IN NET
WORKING CAPITAL AND LIQUIDITY RATIOS. CURRENT RATIO FELL TO 1.23 TIMES, DOWN
FROM 1.34 TIMES AND QUICK RATIO IMPROVED TO 0.93 TIMES FROM 0.32 TIMES IN FY
2004.}

^{SIMILARLY, NET WORKING CAPITAL IMPROVED BY 65.01%
FROM S$411,134 IN FY 2004 TO S$ 678,430.}

^{CASH AND CASH EQUIVALENTS COMPRISE OF:}

^{-CASH IN HAND - 2005: S$47,673 (2004:
S$13,063)}

^{-BANK BALANCE - 2005: S$188,341 (2004:
S$37,566)}

^{PROFITABILITY:}

^{REVENUE POSTED AN INCREASE OF 20.03% FROM
S$61,769,130 IN FY 2004 TO S$ 74,139,524 AND NET PROFIT ROSE BY 58.78% TO
S$86,839 (2004: S$54,690). HENCE, NET MARGIN ROSE TO 0.12% (2004: 0.09%).}

^REVENUE:

^{-SALE
AND SERVICES OF MOBILE PHONES - 2005: S$74,139,524 (2004: S$61,769,130)}

^{DEBT SERVICING:}

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

^{NOTES TO THE
FINANCIAL STATEMENTS}^:

^{TERM LOAN}

^{TERM LOAN FACILITIES ARE OBTAINED AS FOLLOWS:}

^{I) FROM SME CREDIT ASSIST (SINGAPORE) LTD
FOR 100,000 REPAYABLE IN 60 MONTHLY INSTALMENTS WITH INTEREST DETERMINED BY THE
LENDER}

^{II) FROM STANDARD CHARTERED BANK FOR
S$150,000 REPAYABLE IN 48 MONTHLY INSTALMENTS @ 5% ABOVE THE BANK'S BIL BOARD
RATE}

^{LIMITED 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 17/08/2002 AS A LIMITED
EXEMPT PRIVATE COMPANY AND IS TRADING UNDER ITS PRESENT NAMESTYLE AS "FAST
TRACK PTE. LTD.".}

^{AS AT 23/07/2007, THE COMPANY HAS ISSUED AND
PAID-UP CAPITAL OF 350,000 SHARES OF A VALUE OF S$350,000.}

^{PRINCIPAL ACTIVITIES:}

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

^{1) SOFTWARE CONSULTANCY}

^{SOFTWARE DEVELOPMENT AND CONSULTANCY}

^{2) GENERAL WHOLESALE TRADE (INCLUDING GENERAL
IMPORTERS AND EXPORTERS) GENERAL TRADING}

^{DURING THE FINANCIAL YEAR UNDER REVIEW, THE
PRINCIPAL ACTIVITIES OF THE COMPANY CONSIST OF DEALERS IN SOFTWARE DEVELOPMENT,
CONSULTANCY SERVICES AND GENERAL TRADING.}

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

^{SUBJECT ENGAGES IN THE FOLLOWING ACTIVITIES:}

^{* THE TRADING OF ALL MODELS OF MOBILE PHONES}

^{* EXPORTER OF GSM MOBILE PHONES}

^SERVICES:

^{* PRODUCT INFORMATION}

^{* GENERAL MAINTENANCE}

^{* SERVICING AND REPAIRS}

^{* WARRANTY AND UPGRADES}

^BRANDS:

^{* NOKIA}

^{* PANASONIC}

^{* SIEMENS}

^{* LG ELECTRONIC}

^{* SONY}

^{* SAMSUNG}

^{* MOTOROLA}

^{* SONY ERICSSON}

^{EXPORT MARKETS:}

^{WORLD WIDE OVERSEAS MARKETS WHICH INCLUDE:}

^{* EUROPE}

^{* UNITED STATES OF AMERICA}

^{* UNITED ARAB EMIRATES}

^{* SOUTH EAST ASIA}

^{* INDIA}

^{OVERSEAS OFFICES:}

^{* HONG KONG}

^{* DUBAI}

^{FROM THE TELE-INTERVIEW CONDUCTED ON
26/07/2007, THE FOLLOWING WAS GATHERED:}

^{SUBJECT ENGAGES IN THE FOLLOWING ACTIVITIES:}

^{* THE WHOLESALING OF MOBILE PHONES}

^{IMPORT COUNTRIES :}

^{* ASIAN AND EUROPEAN COUNTRIES}

^{EXPORT COUNTRIES:}

* ASIAN AND EUROPEAN COUNTRIES

TERMS OF PAYMENT:

^{* SUPPLIERS: MAINLY CASH ON DELIVERY}

^{* CUSTOMERS: MAINLY CASH ON DELIVERY}

^{NUMBER OF EMPLOYEES:}

^{* COMPANY - 2007: 5}

^{NO OTHER TRADE INFORMATION IS AVAILABLE ON
26/07/2007.}

^{NUMBER OF EMPLOYEES (31 DECEMBER - INCLUDING
DIRECTORS):}

^{* COMPANY - 2005: NOT AVAILABLE (2004: 4;
2003: 2)}

^{* GROUP
- 2005: - (2004: -)}

^{REGISTERED AND BUSINESS ADDRESS:}

^{1 NORTH BRIDGE
ROAD}

^{#01-40
HIGH STREET CENTRE}

^SINGAPORE¹⁷⁹⁰⁹⁴

^{- RENTED PREMISE}

^{- OWNED BY LUV PTE LTD}

^{- DATE OF CHANGE OF ADDRESS: 20/09/2002}

^WEBSITE:

^{http://www.fasttrack.com.sg}

^EMAIL:

^{fasttrack@pacific.net.sg}

MANAGEMENT

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

^{1) NATESAN SARAVANAN, A SINGAPORE
PERMANENT RESIDENT}

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

^{2) PATHANJALI GOUTHAMAN, AN INDIAN}

^{- BASED IN SINGAPORE.}

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/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