MIRA INFORM REPORT

Report Date :

27.07.2007

IDENTIFICATION DETAILS

Name :	P.T. MANE INDONESIA
Registered Office :	Jalan Jababeka XVI Kav. Block V No. 66, Cikarang Industrial Estate, Cikarang, Bekasi 17530, West Java
Country :	Indonesia
Date of Incorporation :	12 February,1996
Legal Form :	Limited Liability Company
Line of Business :	Flavors and Fragrances Manufacturing

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 :	US$ 1,300,000
Status :	Satisfactory
Payment Behaviour :	Regular
Litigation :	Clear

Name of Company

P.T. MANE INDONESIA

Address

Head Office & Factory

Jalan Jababeka XVI Kav. Block V No. 66

Cikarang Industrial Estate

Cikarang, Bekasi 17530

West Java

Indonesia

Phone - (62-21) 893 7640 (Hunting)

Fax. - (62-21) 893 6485

E-mail - mane.indonesia@mane.com

Website - http : //www.mane.com

Land Area - 12,349 sq. meters

Factory Space - 7,500 sq. meters

Region - Industrial Zone

Status - Owned

Date of Incorporation

12 February 1996

Legal Form

P.T. (Perseroan Terbatas) or Limited Liability Company

Company Reg. No.

The Ministry of Justice and Human Rights

No. C-12115.HT.01.04.TH.99

Dated 1 July 1999

Company Status

Foreign Investment (PMA) Company

Permit by the Government Department

The Capital Investment Coordinating Board

- No. 86/I/PMA/1996

Dated 30 January 1996

- No. 24/II/PMA/1999

Dated 23 February 1999

Related Company

The MANE Group, France

CAPITAL AND OWNERSHIP

Capital Structure :

Authorized Capital : US$ 2,000,000.-

Issued Capital : US$ 1,200,000.-

Paid up Capital : US$ 1,200,000.-

Shareholders/Owners :

a. ETABLISSEMENTS V. MANE FILLS - US$ 1,188,000.-

Address : Bar Sur Loup (06620)

Quartier Notre Dame

France

b. Mr. Jean Maurice Eugene Mane - US$ 12,000.-

Address : Bar Sur Loup (06620)

Quertier Notre Dame

France

BUSINESS ACTIVITIES

Lines of Business:

Flavors and Fragrances Manufacturing

Production Capacity

a. Flavors - 1,000 tons p.a.

b. Fragrances - 250 tons p.a.

Total Investment

a. Equity Capital - US$ 1.2 million

b. Loan Capital - US$ 2.8 million

c. Total Investment - US$ 4.0 million

Started Operation

1997

Brand Name

Mane

Technical Assistance

MANE of France

Number of Employee

55 persons

Marketing Area

Local - 80%

Export - 20%

Main Customer

a. P.T. INDOFOOD SUKSES MAKMUR Tbk

b. P.T. DANONE INDONESIA

c. P.T. ARNOTTS INDONESIA

d. P.T. ULTRA PRIMA PANGAN ABADI

e. Etc.,

Market Situation

Very Competitive

Main Competitors

a. P.T. SYMRISE INDONESIA

b. P.T. QUEST INTERNATIONAL INDONESIA

c. P.T. ESSENCE INDONESIA

d. P.T. FIRMENICH INDONESIA

e. P.T. KABUINCO JAYA

f. P.T. JDH ERINDO JAYA

g. Etc.,

Business Trend

Growing

BANKER, AUDITOR & LITIGATION

Bankers :

a. P.T. Bank DANAMON INDONESA Tbk

Jalan Prof. DR. Satrio Kav. E IV No. 6

Kuningan

Jakarta Selatan

Indonesia

b. Hongkong and Shanghai Banking Corp. Ltd.

World Trade Center

Jalan Jend. Sudirman Kav. 29-31

Jakarta Selatan

Indonesia

Auditor :

Internal Auditor

Litigation :

No litigation record in our database

FINANCIAL FIGURE

Annual Sales (estimated) :

2004 – Rp. 90.0 billion

2005 – Rp. 96.0 billion

2006 – Rp. 100.0 billion

Net Profit (Loss) :

2004 – Rp. 6.3 billion

2005 – Rp. 6.7 billion

2006 – Rp. 7.0 billion

Payment Manner :

Average

Financial Comments :

Satisfactory

KEY EXECUTIVES

Board of Management :

Director - Mr. Bernard Jean Pierre Rene Leynaud

Board of Commissioners :

Commissioner - Mr. Hubert F.J. Hamoir

Signatories :

Director (Mr. Bernard Jean Pierre Rene Leynaud) which must be approved by Supervisory Board.

CAPABILITIES

Management Capability :

Good

Business Morality

Good

Credit Risk

Average

Credit Recommendation

Credit should be proceeded with monitor

Proposed Credit Limit

Small amount – periodical review

Maximum Credit Limit

US$ 1,300,000.- on the 90 days of payments

OVERALL PERFOMANCE

P.T. MANE INDONESIA (P.T. MI) was established in Bekasi, West Java on 12 February 1996 with an authorized capital of US$ 2,000,000.- issued and paid up capital of US$ 1,000,000. The foundering and shareholders are ETABLISSEMENTS V. MANE FILS and Mr. Jean Maurice Eugene Mane, both of France. The notary deed had been changed a couple of times. In April 1999, the issued capital was increased to US$ 1,200,000.- entirely paid up. The deed of amendment was made by DR. Amrul Partomuan, SH., LLM, a public notary in Jakarta under Company Registration Number C-12115.HT.01.04.TH.1999, dated July 01, 1999. We see that P.T. MI is a member company of the MANE Group, a company group in France having subsidiaries in various countries including in Indonesia

P.T. MI obtained a Foreign Investment (PMA) facility issued by Capital Investment Coordinating Board (BKPM) for dealing with flavors and fragrances processing whose plant located at Kawasan Industri Jababeka, Cikarang, Bekasi, West Java standing on 12,349 square meters land. P.T. MI started with operation as from the early 1997 and had been expansion to increasing production capacity. The plants produce flavor of 1,000 tons and fragrances of 250 tons respectively per annum. Construction of the plants had been absorbed an investment of US$ 4.0 million come from owned capital of US$ 1.2 million and the rest from loans. Some 80% of the products are marketed locally to various food and beverages processing such as P.T. INDOFOOD SUKSES MAKMUR Tbk, P.T. DANONE INDONESIA, P.T. ULTRA PRIMA PANGAN ABADI, P.T. ARNOTTS INDONESIA and other food industries. The other 20% is exported to Philippine, Thailand, Japan and other European countries. P.T. MI also supplied some of the products thorough dealers in Jakarta, Surabaya, Semarang, Bandung, Makassar, Denpasar, Medan and many other independent stock points covering the whole domestic market area. We see the operation of P.T. MI has been growing and developing well in the last three years.

The demand for flavor, fragrances, food ingredients and food seasoning products has kept on rising by 10% to 12% per annum in the last three years in line with the sustained growth in food and beverage processing industry in Indonesia as well as the improving of population income. The demand growth will go on rising by 10% per annum in the next three years. Market competition is very sharp considering many other similar imported products offering on the local markets. P.T. MI in this case is not doing very badly on account of it has built a fairly close connection with several leading food and beverages processing plants in Indonesia. We are sure that P.T. MI has high ability to further expand its business in the future.

Until this time P.T. MI has not been registered with Indonesian Stock Exchange, so that they shall not obliged to announce their financial statement. We observed that total sales turnover of the company in 2004 amounted to Rp. 90.0 billion, increase to Rp. 96.0 billion in 2005 to Rp. 100.0 billion in 2006. The operation in 2006 yielded an estimated net profit by at least Rp. 7.0 billion and the company has an estimated total net worth by at least Rp. 52.5 billion. It is projected that total sales turnover of the company will increase at least 7% in 2007. So far, we did not hear that the company having been black listed by the Central Bank (Bank Indonesia). The company disclosed that the company usually pays its debts punctually to suppliers.

The management of P.T. MI is led by Mr. Bernard Jean Pierre Rene Leynaud (45) a professional manager of its parent company ETABLISSEMENTS V. MANE FILS, France. He has experienced for more than 16 years in trading and manufacture of flavors and fragrances. We observed that management’s reputation in said business is fairly good. The company has had wide relation in the realm of the private businessmen inside and outside the country. Their relation with the government is fairly good. So far, we have never heard that the company’s management involved in a dirty business practice or detrimental cases that settled in the country. The company’s litigation record is clean and it has not registered with the black list of Bank of Indonesia. P.T. MANE INDONESIA is fairly good for business transaction. However, in view of the unstable economic condition in the country we recommend to treat prudently in extending a loan to the company.

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