MIRA INFORM REPORT

Report Date :

07.06.2007

IDENTIFICATION DETAILS

Name :	P.T. MITRACHEM NUTRI DELTA

Registered Office :	Jalan Kedoya Barat No. 26, RT. 004/ RW. 007, Kedoya Utara, Kebon Jeruk, Jakarta Barat

Country :	Indonesia

Date of Incorporation :	14 July 1997

Legal Form :	Limited Liability Company

Line of Business :	Trading and Distribution of Food Ingredients, Food Grade and Pharmaceutical Raw Materials

RATING & COMMENTS

MIRA’s Rating :

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	US$ 118,000

Status :	Satisfactory

Payment Behaviour :	Regular

Litigation :	Clear

Correct Name of Company

P.T. MITRACHEM NUTRI DELTA

Address

Head Office

Jalan Kedoya Barat No. 26

RT. 004/ RW. 007, Kedoya Utara

Kebon Jeruk, Jakarta Barat

Indonesia

Phone - (62-21) 5811 125 (Hunting)

Fax. - (62-21) 5830 2844

E-mail - mitrachem@centrin.nete.id

Building Area - 3 storey

Office Space - 600 sq. meters

Region - Commercial Building

Status - Owned

Date of Incorporation

14 July 1997

Legal Form

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

Company Reg. No.

The Ministry of Justice and Human Rights

No. C-01346 HT.01.04.TH.2006

Dated 17 January 2006

Company Status

Private Company

Permit by the Government Department

The Department of Finance

NPWP No. 01.825.856.6-035.000

Related Company

None

CAPITAL AND OWNERSHIP

Capital Structure :

Authorized Capital : Rp. 500,000,000.-

Issued Capital : Rp. 300,000,000.-

Paid up Capital : Rp. 300,000,000.-

Shareholders/Owners :

a. Mr. Jong Indriasari - Rp. 150,000,000.-

Address : Perumahan Citra Garden II G 4/25

Rt. 008/ Rw. 012, Jakarta Barat

Indonesia

b. Mr. Stefanus Sugianto Setiawan - Rp. 142,500,000.-

Address : Perumahan Citra Garden II G 4/25

Rt. 008/ Rw. 012, Jakarta Barat

Indonesia

c. Mr. Moei Heni Anggraeni - Rp. 7,500,000.-

Address : Jl. Keamanan No. 104 Rt. 006/006

Kelurahan Keagungan, Jakarta Barat

Indonesia

BUSINESS ACTIVITIES

Lines of Business:

Trading and Distribution of Food Ingredients, Food Grade and Pharmaceutical Raw Materials

Total Investment

None

Started Operation

1998

Brand Name

Collagen, Chamomile, Chrysanthemum Extract

Technical Assistance

None

Number of Employee

14 persons

Marketing Area

Domestic - 100%

Main Customer

a. P.T. KALBE FARMA Tbk

b. P.T. BINTANG TOEJOE

c. P.T. GALENUM PHARMA

d. P.T. FERRON FARMA

e. P.T. INDOFOOD SUKSES MAKMUR Tbk

f. P.T. NESTLE INDONESIA

Market Situation

Very Competitive

Main Competitors

a. P.T. BALI EXTRACT UTAMA

b. P.T. BALI BANGKIT MAKMUR

c. P.T. TELAGA INTI NABATI

d. P.T. WADAH MAKMUR KENCANA

e. Etc.,

Business Trend

Growing

BANKER, AUDITOR & LITIGATION

Bankers :

a. The Hongkong and Shanghai Banking Corp. Ltd.

World Trade Center

Jalan Jend. Sudirman Kav. 29-31

Jakarta Selatan, 12930

Indonesia

b. P.T. Bank CENTRAL ASIA Tbk

Jalan Asemka No. 25-26

Jakarta Barat

Indonesia

Auditor :

Internal Auditor

Litigation :

No litigation record in our database

FINANCIAL FIGURE

Annual Sales (estimated) :

2004 – Rp. 7.7 billion

2005 – Rp. 8.4 billion

2006 – Rp. 9.0 billion

Net Profit (Loss) :

2004 – Rp. 0.4 billion

2005 – Rp. 0.5 billion

2006 – Rp. 0.6 billion

Payment Manner :

Average

Financial Comments :

Satisfactory

KEY EXECUTIVES

Board of Management :

President Director - Mr. Stefanus Sugianto Setiawan

Director - Mr. Jong Indriasari

Board of Commissioners :

Commissioner - Mr. Moei Heni Anggraeni

Signatories :

President Director (Mr. Stefanus Sugianto Setiawan) or one the Director (Mr. Jong Indriasari) 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$ 118,000.- on the 90 days of payments

OVERALL PERFOMANCE

P.T. MITRACHEM NUTRI DELTA (P.T. MND) was established in Jakarta on 14 July 1997 with an authorized capital of Rp. 100,000,000.- issued capital of Rp. 25,000,000.- entirely paid up. The original founders and shareholders of the company were Mrs. Rini Tirtoyoso and Mr. Jong Indriasari, both are Indonesian businessmen of Chinese origins. The notary deed has been changed a couple of times. The latest in November 2006, the authorized capital was increased to Rp. 500,000,000.- issued capital to Rp. 300,000,000.- entirely paid up. On the same occasion, Mrs. Rini Tirtoyoso pulled out and replaced by Mrs. Moei Heni Anggraeni and Mr. Stephanus Sugianto Setiawan, both are Indonesia businessmen of Chinese extraction. The deed of amendment was made by Mr. Eddi Setiadi, SH., a public notary in Jakarta under Company Registration Number C-01346 HT.01.04.TH.2006, dated January 17, 2006.

P.T. MND has been operating since 1998 dealing with trading, import and supply of food ingredients, food grade and pharmaceutical raw materials. Mr. Stefanus Sugianto Setiawan, the president director of the company explained that merchandising goods like collagen, chamomile, chrysanthemum extract and pharmaceutical raw materials is imported from Europe Union, the USA, India and China. Its food grade and food ingredients products marketed to various local food and beverage processing plants like instant noodles, snack foods, crackers, edible oils and margarine processing companies among others are P.T. P.T. INDOFOOD SUKSES MAKMUR Tbk, P.T. NESTLE INDONESIA, P.T. ARNOTS INDONESIA, P.T. AGROFOOD PROPANINDO. Meanwhile the pharmaceutical raw materials supplied to P.T. KALBE FARMA Tbk, P.T. BINTANG TOEDJOE, P.T. FERRON FARMA, P.T. GALENUM PHARMACEUTICAL and others. P.T. MND has established many regular customers both in Jakarta, Tangerang, Bekasi, Cikarang, Karawang and surroundings. P.T. MND's operation has evidently been running smoothly and growing in the last five years.

The demand for food grade, 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. Besides that, the demand for pharmaceutical raw material had increased some 10% to 11% per annum in the last five years in line with the growth of pharmaceutical industries in the country. In the coming years, the growth rate of demand is estimated at about 6% to 7% per annum. It is estimated that the present demand for pharmaceutical is about US$ 1,150 million to US$ 1,250 million per annum. The major buyer for pharmaceutical are the government sectors including Publics Hospital, Armed Forces Hospitals, the Public Health Case Centres (PUSKESMAS), ect. The present market situation for pharmaceutical is very competitive, since most of major international pharmaceutical manufactures have entered Indonesian market by set up joint ventures. Market competition is very sharp considering many other similar imported products offering on the local markets. P.T. MND 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.

Until this time P.T. MND 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. 7.7 billion increased to Rp. 8.4 billion in 2005 and to Rp. 9.0 billion in 2006. The operation in 2006 yielded an estimated net profit at least Rp. 0.6 billion and the company has an estimated total net worth at Rp. 1.0 billion. It is projected that total sales turnover of the company will increase at least 8% in 2007. We observe that P.T. MND is supported by financially fairly strong behind it. So far, we have never heard of the company having been black listed by the Central Bank (Bank Indonesia). The company usually pays its debts punctually to suppliers.

The management of P.T. MND is led by Mr. Stephanus Sugianto Setiawan (47) with 16 years of experience in trading, distribution, supply of food ingredients, food grade and pharmaceutical raw materials. The management of the company is handled by professional managers having wide relation within private businessmen and outside the country and with the government sectors as well. We observed that management’s reputation in said business 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.

PT. MITRACHEM NUTRI DELTA 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