MIRA INFORM REPORT

Report Date :

2^nd March, 2007

IDENTIFICATION DETAILS

Name :	AL SABBAGH TRADING LLC
Registered Office :	Honda Road, Ruwi, PO Box: 2661, Muscat 112, Sultanate of Oman.
Country :	Sultanate of Oman
Date of Incorporation :	1983
Com. Reg. No.:	15313, Muscat
Legal Form :	Sharikat Thet Massouliya Mahdoudeh (Limited Liability Company – LLC)
Line of Business :	Engaged in the import, distribution and retail of electrical apparatus, wiring supplies, mechanical and technical equipment.

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$ 200,000
Status :	Satisfactory
Payment Behaviour :	Regular
Litigation :	Clear

SUMMARY

Company Name	AL SABBAGH TRADING LLC
Country of Origin	Sultanate of Oman
Legal Form	Limited Liability Company - LLC
Registration Date	1983
Commercial Registration Number	15313, Muscat
Issued Capital	RO 150,000
Paid up Capital	RO 150,000
Total Workforce	16
Line of Business	Import, distribution and retail of electrical apparatus
Financial Condition	Fair
Payments	Nothing detrimental uncovered
Operating Trend	Steady

COMPANY NAME

AL SABBAGH TRADING LLC

ADDRESS

Registered & Physical Address

Street : Honda Road

Area : Ruwi

PO Box : 2661

Town : Muscat 112

Country : Sultanate of Oman

Telephone : (968) 24837758 / 24834456

Facsimile : (968) 24832662

Email : sabbagh@omantel.net.om

Premises

Subject operates from a small suite of offices, a warehouse and a showroom that are rented and located in the Suburban Business Area of Muscat.

KEY PRINCIPALS

· Kiran J. Ramaiya Managing Director

· Zuleikha Dad Rahman Director

· Abdulrazzak Ali Isa Director

· Surendra Babla Finance Manager

· Kamlesh Parekh Purchasing Manager

LEGAL FORM & OWNERS

Date of Establishment : 1983

Legal Form : Sharikat Thet Massouliya Mahdoudeh (Limited Liability Company – LLC)

Commercial Reg. No. : 15313, Muscat

Issued Capital : RO 150,000

Paid up Capital : RO 150,000

Name of Shareholder (s)

· Kiran J. Ramaiya

· Zuleikha Dad Rahman

· Abdulrazzak Ali Isa

Non Omani Participation

The participation of non-Omani nationals in a trade or business in Oman is governed by the Foreign Business Investment Law, which sets capital requirements and requires 35 % Omani participation in capital and profits.

Note to the Legal Form

The Limited Liability Company (LLC), or private company, is the form of business entity usually chosen by foreign investors. It may be formed by a minimum of 2 and a maximum of 30 natural or legal persons, whose liability is limited to their shares in the company’s capital. The minimum capital of a Limited Liability Company with foreign ownership should be RO 150,000, although this may be reduced to a minimum of RO 30,000 with the approval of the Minister of Commerce and Industry. For a company wholly owned by Omani nationals, the minimum capital is RO 10,000.

Contributions to capital may be made in cash of kind. Capital may not be increased by public subscription. The full amount of the share value must be paid in on subscription. Shares may not be assigned to a non-member, unless the other existing members are granted a pre-emptive right to purchase the shares.

LINE OF BUSINESS

Operations : Engaged in the import, distribution and retail of electrical apparatus, wiring supplies, mechanical and technical equipment.

Import Countries : United Kingdom and India.

International Suppliers :

· Kopex International Ltd United Kingdom

· Barton Engineering United Kingdom

Operating Trend : Steady

Subject has a workforce of 16 employees.

FINANCIAL HIGHLIGHTS

Financial highlights provided by outside sources are given below :

Currency : Riyal Omani (RO)

Year Ending 31/12/05: Year Ending 31/12/06:

Total Revenue RO 2,530,000 RO 2,800,000

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

Legal Reserve Requirement

A Limited Liability Company (LLC) is required each year to set aside 10% of its net profits as a legal reserve until the reserve reaches one-third of the company’s capital. This legal reserve is not available for distribution.

BANKERS

· Bank of Baroda

Mutrah Corniche Branch

PO Box : 7231, Jibroo 114

Muscat

Tel : (968) 24714549 / 24712367 / 24734549 / 24744559

Fax : (968) 24714560

PAYMENT HISTORY

No complaints regarding subject’s payments have been reported.

GENERAL COMMENTS

Opinion on the credit figure of US$ 150,000

Al Sabbagh Trading LLC is well established in the local market with operations dating back to 1983. The company specialises in the import, distribution and retail of electrical apparatus and enjoys a good reputation for the quality of its products.

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 and the above credit figure is within subject’s financial means.

Maximum suggested credit figure: US$ 200,000

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