MIRA INFORM REPORT

Report Date :

27.11.2007

IDENTIFICATION DETAILS

Name :	SCOTIA ASIA PTE. LTD.
Registered Office :	^192 Waterloo Street, #05-01, Sky Line Building, Singapore – 187966
Country :	^Singapore
Financials (as on) :	31.12.2006
Date of Incorporation :	^12/03/1994
Com. Reg. No.:	^199401716N
Legal Form :	^Exempt Pte Ltd
Line of Business :	Providing Value Added Telecommunication Services

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

Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear

Subject Company

SCOTIA ASIA PTE. LTD.

Line Of Business 

PROVIDING VALUE ADDED TELECOMMUNICATION SERVICES

Parent Company

N.A.

Financial Elements

FY 2006

COMPANY

Sales : S$31,751,159

Networth : S$ 263,134

Paid-Up Capital : S$ 8,049,261

Net result : S$ 144,600

Net Margin(%) : 0.46

Return on Equity(%) : 54.95

Leverage Ratio : 12.17

Rating

Credit Rating : Sing $ 100,001 to Sing $ 300,000

COMPANY IDENTIFICATION

^{Subject Company : SCOTIA ASIA PTE. LTD.}

^{Former Name : THE VOICE COMPANY PTE LTD}

^{Business Address : 192 WATERLOO STREET}

^#05-01

^{SKY LINE BUILDING}

^{Town : SINGAPORE}

^{Postcode : 187966}

^{Country : Singapore}

^{Telephone : Not Listed}

^{Fax : Not Listed}

^{ROC Number : 199401716N}

^{Reg. Town : -}

PREVIOUS IDENTIFICATION

^{THE VOICE COMPANY PTE LTD DATE OF CHANGE: 28/09/2005}

^{VOICEPOST INTERNATIONAL PTE LTD DATE OF CHANGE: 12/10/1998}

^{ESKIMO INTERNATIONAL PTE LTD DATE OF CHANGE: 05/06/1995}

SUMMARY

^{Legal Form : Exempt Pte Ltd}

^{Date Inc. : 12/03/1994}

^{Previous Legal Form : Pte Ltd}

^{Summary year : 31/12/2006}

^{Sales : 31,751,159}

^{Networth : 263,134}

^{Capital : -}

^{Paid-Up Capital : 8,049,261}

^{Employees : -}

^{Net result : 144,600}

^{Share value : 1}

^{Auditor : P S PHUAN & CO.}

REFERENCES

^{Litigation : No}

^{Company status : TRADING}

^{Started : 12/03/1994}

PRINCIPAL(S)

^{DINESH GOVIND PATEL F2488965M Director}

DIRECTOR(S)

^{DINESH GOVIND PATEL F2488965M Director}

^{Appointed on : 01/02/2006}

^{Street : 26 SIMEI STREET 1}

^#04-08

^{MELVILLE PARK}

^{Town: SINGAPORE}

^{Postcode: 529947}

^{Country: Singapore}

^{SAMANT SURENDRA DADAJI G5839153R Director}

^{Appointed on : 20/03/2007}

^{Street : 32 ADIS ROAD}

^#03-11

^{SOPHIA COURT}

^{Town: SINGAPORE}

^{Postcode: 229978}

^{Country: Singapore}

^{TAN GIM SOON S6829824E Company Secretary}

^{Appointed on : 01/11/2007}

^{Street : 430 CHOA CHU KANG AVENUE 4}

^#04-603

^{Town: SINGAPORE}

^{Postcode: 680430}

^{Country: Singapore}

FORMER DIRECTOR(S)

^{MAH BENG GUAN S0563845C}

^{KONG YUH LING DOREEN S1123500Z}

^{CHONG GIM HUAT S2558981E}

^{MARCIANO LAURENTE COUTINHO F2408336P}

^{GERARD FRANCIS MISQUITTA S2665817I}

^{ALISTAIR GUY NIEDERER S2677348B}

^{LEE GIM TEIK @ LEE LAI HOO 0440157B}

^{AKASH MITTAL S2647773E}

^{BAPORIKAR VINAY GAJANAN E5892683}

^{SRI MURALI S/O SINNOTHEI S1331899I}

ACTIVITY(IES)

^{COMMUNICATION EQUIPMENT Code: 5020}

^{BASED ON ACRA'S RECORD AS AT 23/11/2007}

^{1) WHOLESALE OF TELECOMMUNICATIONS EQUIPMENT; TELECOMMUNICATION SERVICES.}

CHARGES

No Charges On Premises/Property In Our Database

PREMISES/PROPERTY INFORMATIONS

No Premises/Property Information In Our Databases

SHAREHOLDERS(S)

^{DINESH GOVIND PATEL 3,473,769 Private Person}

^{Street : 26 SIMEI STREET 1}

^#04-08

^{MELVILLE PARK}

^{Town: SINGAPORE}

^{Postcode: 529947}

^{Country: Singapore}

^{SAMANT SURENDRA DADAJI 3,473,768 Private Person}

^{Street : 32 ADIS ROAD}

^#03-11

^{SOPHIA COURT}

^{Town: SINGAPORE}

^{Postcode: 229978}

^{Country: Singapore}

FORMER SHAREHOLDER(S)

^{CHONG GIM HUAT 530,000}

^{ALISTAIR GUY NIEDERER 400,000}

^{JOSEPH M SAVAGE 70,000}

^{3I GROUP PLC 1,333,333}

^{INVCOM INVESTMENTS LTD 798,333}

^{INTERNATIONAL GLOBAL TELESYSTEMS 798,334}

^{NASH HOLDINGS PTY LTD 70,000}

^{BAPORIKAR VINAY GAJANAN 6,947,537}

SUBSIDIARY(IES)

No Participation In Our Database

PAYMENT HISTORY AND EXPERIENCES

^{Trade Morality : AVERAGE}

^{Liquidity : SUFFICIENT}

^{Payments : UNKNOWN}

^{Trend : UPWARD}

^{Financial Situation : AVERAGE}

FINANCIAL ELEMENTS

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

^{Audit Qualification: UNQUALIFIED (CLEAN) UNQUALIFIED (CLEAN)}

^{Date Account Lodged: 09/03/2007}

^{Balance Sheet Date: 31/12/2006 31/12/2005}

^{Number of weeks: 52 24}

^{Consolidation Code: COMPANY COMPANY}

^{--- ASSETS ---}

^{Intangible Fixed Assets:}

^{Tangible Fixed Assets: 25,733 24,133}

^Investments

^{Total Fixed Assets: 25,733 24,133}

^{Receivables: 3,191,255}

^{Cash,Banks, Securitis: 146,468 75,021}

^{Other current assets: 100,707 27,389}

^{Total Current Assets: 3,438,430 102,410}

^{TOTAL ASSETS: 3,464,163 126,543}

^{--- LIABILITIES ---}

^{Equity capital: 8,049,261 6,947,537}

^{Profit & lost Account: -7,786,127 -7,930,727}

^{Surplus equity: 1,101,724}

^{Total Equity: 263,134 118,534}

^{Trade Creditors: 3,177,680}

^{Prepay. & Def. charges: 9,300 8,009}

^{Provisions: 14,049}

^{Other Short term Liab.:}

^{Total short term Liab.: 3,201,029 8,009}

^{TOTAL LIABILITIES: 3,201,029 8,009}

^{PROFIT & LOSS ACCOUNT}

^{Net Sales 31,751,159 87,608}

^{NET RESULT BEFORE TAX: 158,649 -280,256}

^{Tax : 14,049 428}

^{Net income/loss year: 144,600 -280,684}

^{Depreciation: 18,900 18,241}

^{Directors Emoluments: 172,176 67,500}

^{Wages and Salaries: 298,097 144,496}

RATIOS

^{31/12/2006 31/12/2005}

^{Net result / Turnover(%): 0.00 -3.20}

^{Net Margin(%): 0.46 -320.39}

^{Return on Equity(%): 54.95 -236.80}

^{Return on Assets(%): 4.17 -221.81}

^{Net Working capital: 237401.00 94401.00}

^{Cash Ratio: 0.05 9.37}

^{Quick Ratio: 1.04 9.37}

^{Current ratio: 1.07 12.79}

^{Receivables Turnover: 36.18 0.00}

^{Leverage Ratio: 12.17 0.07}

^{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)/1000}

^{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}

^{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 PASSABLE IN VIEW OF THE FOLLOWING:}

^{NET WORTH:}

^{THE BALANCE SHEET WAS PASSABLE WITH NET WORTH IMPROVED BY 1.22 TIMES FROM S$118,534 IN 2005 TO S$263,134 IN 2006. THIS WAS DUE TO HIGHER SHARE CAPITAL OF S$8,049,261 (2005: S$6,947,537); A RISE OF 15.86% FROM THE PRIOR YEAR.}

^{ON THE OTHER HAND, ACCUMULATED LOSSES WERE AT S$-7,786,127 (2005: S$-7,930,727), A SLIGHT IMPROVEMENT OF 1.82%.}

^LEVERAGE:

^{IN THE SHORT TERM, SUBJECT WAS LARGELY FINANCED BY TRADE CREDITORS WHICH MADE UP 99.27% (2005: NIL) OF THE TOTAL CURRENT LIABILITIES AND AMOUNTED TO S$3,177,680 (2005: NIL).}

^{SUBJECT DID NOT INCUR ANY LONG TERM LIABILITIES FOR BOTH FINANCIAL YEARS.}

^{IN ALL, LEVERAGE RATIO ROSE FROM 0.07 TIMES TO 12.17 TIMES AS A RESULT OF A GREATER RISE OF TOTAL LIABILITIES TO TOTAL EQUITY. A LOWER RATIO WOULD BE MORE DESIRABLE AS THE LOWER THE RATIO, THE GREATER THE FINANCIAL SAFETY AND OPERATING FREEDOM FOR THE COMPANY.}

^LIQUIDITY:

^{IN GENERAL, SUBJECT'S LIQUIDITY SITUATION WAS PASSABLE AS SEEN FROM THE RISE IN NET WORKING CAPITAL AND CHANGES IN LIQUIDITY RATIOS. CURRENT RATIO FELL TO 1.07 TIMES, UP FROM 12.79 TIMES AND QUICK RATIO IMPROVED FROM 9.37 TIMES TO 1.04 TIMES. NET WORKING CAPITAL, ON THE OTHER HAND IMPROVED BY 1.52 TIMES FROM S$94,401 IN 2005 TO S$237,401 IN 2006.}

^{CASH AND CASH EQUIVALENTS ROSE BY 95.24% FROM S$75,021 IN 2005 TO S$146,468 IN 2006 AND CONSISTED OF CASH AT BANK AND ON HAND.}

^{PROFITABILITY:}

^{REVENUE POSTED A SHARP INCREASE OF 361.42 TIMES FROM S$87,608 IN 2005 TO S$31,751,159 IN 2006. THIS RESULTED IN THE RISE OF NET PROFIT OF 1.52 TIMES TO S$144,600 (2005: S$-280,684). HENCE, NET MARGIN ROSE TO 0.46% (2005: -320.39%).}

^REVENUE:

^{* SALES OF GOODS - 2006: S$31,571,467 (2005: NIL)}

^{* RENDERING OF SERVICES - 2006: S$179,692 (2005: S$87,608)}

^{DEBT SERVICING:}

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

^{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 SUBJECT WAS INCORPORATED IN THE REPUBLIC OF SINGAPORE ON 12/03/1994 AS A LIMITED EXEMPT PRIVATE COMPANY UNDER THE NAMESTYLE OF "ESKIMO INTERNATIONAL PTE LTD".}

^{ON 05/06/1995, SUBJECT CHANGED TO "VOICEPOST INTERNATIONAL PTE LTD" AND ON 12/10/1998, SUBJECT CHANGED TO "THE VOICE COMPANY PTE LTD".}

^{SUBSEQUENTLY ON 28/09/2005, SUBJECT CHANGED TO THE PRESENT NAMESTYLE OF "SCOTIA ASIA PTE. LTD.".}

^{AS AT 23/11/2007, THE COMPANY HAS AN ISSUED AND PAID-UP CAPITAL OF 6,947,537 SHARES, OF A VALUE OF S$8,049,261.}

^{PRINCIPAL ACTIVITIES:}

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

^{1) WHOLESALE OF TELECOMMUNICATIONS EQUIPMENT; TELECOMMUNICATION SERVICES}

^{DURING THE FINANCIAL YEAR(S), UNDER REVIEW, THE PRINCIPAL ACTIVITIES OF THE COMPANY ARE TO CARRY ON THE BUSINESS OF PROVIDING VALUE ADDED TELECOMMUNICATION SERVICES.}

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

^{SUBJECT ENGAGES IN THE FOLLOWING ACTIVITIES:}

^{* MANAGEMENT OF TURNKEY TELECOM INFRASTRUCTURE PROJECTS}

^{* END TO END SOLUTIONS TO LOGISTIC AND DISTRIBUTION BUSINESS}

^{* SUPPLY OF TELECOM EQUIPMENTS, RELATED SOFTWARE AND SERVICES}

^{PRODUCTS AND SERVICES:}

^{* TELECOM INFRASTRUCTURE PROJECTS - OUTSOURCING}

^{- DESIGNING, DEPLOYING AND MANAGING TELECOMMUNICATIONS INFRASTRUCTURE, VOICE AND DATA CONVERGED ENTERPRISE NETWORKS AND CONTACT CENTER SOLUTIONS}

^{- TURNKEY INSTALLATION, COMMISSIONING AND INTEGRATION}

^{- PROCUREMENT AND LOGISTICS}

^{- WARRANTY SUPPORT}

^{- GLOBAL MAINTENANCE SERVICES}

^{- MANAGED SERVICES - MANAGEMENT OF VOICE AND DATA NETWORK EQUIPMENT}

^{* LOGISTICS, WAREHOUSING AND DISTRIBUTION SERVICES}

^{- IMPORT/EXPORT}

^{- RETURNS PROCESSING}

^{- ORDER FULFILLMENT}

^{- PALLET EXCHANGE}

^{- STRETCH WRAPPING}

^{- SAME DAY SHIPPING}

^{- TRANSPORTATION (LOCAL)}

^{- VALUE ADDED SERVICES}

^{- TRANSPORTATION(COMMON CARRIER)}

^{- CONTAINER SERVICE}

^{- CANNIBALIZE}

^{- KIT ASSEMBLY}

^SOLUTIONS

^{- CONTRACT WAREHOUSING}

^{- SUPPLY CHAIN ANALYSIS}

^{- TRANSPORTATION}

^{- REVERSE LOGISTICS}

^{* CONTRACT WAREHOUSING}

^{- LEVERAGE THEIR DISTRIBUTION CHANNELS}

^{- OPTIMIZE PHYSICAL NETWORKS}

^{- IMPROVE OPERATIONAL EFFICIENCIES}

^{- REDUCE INVENTORY CARRYING COSTS}

^{- IMPROVE INVENTORY TURNS}

^{- INCREASE PRODUCT SPEED TO MARKET}

^{* SUPPLY CHAIN ANALYSIS}

^{- NETWORK OPTIMIZATION}

^{- FACILITY DESIGN AND PLACEMENTS}

^{- DATA ENGINEERING AND ANALYSIS}

^{- SUPPLY CHAIN BENCHMARKING}

^{- SUPPLY CHAIN PROCESS IMPROVEMENTS}

^{* TRANSPORTATION}

^{* REVERSE LOGISITCS}

^{SUBJECT'S FUTURE PLANS CONSISTS OF REGIONAL EXPANSION IN ASIA PACIFIC AND MIDDLE EAST. IN ADDITION TO THAT, SUBJECT ALSO HOPES TO EXTEND THEIR GLOBAL GEOGRAPHICAL REACH TO EUROPE, NORTH AMERICA AND UNITED KINGDOM.}

^{NO OTHER TRADE INFORMATION WAS AVAILABLE ON 27/11/2007 AS A TELE-INTERVIEW WAS CONDUCTED WITH TELEPHONE FOUND ON THEIR WEBSITE, 62246067. HOWEVER, DESPITE SEVERAL ATTEMPTS TO CONTACT SUBJECT PERSONNEL, THE CALL WAS UNANSWERED. NO OTHER TRADE INFORMATION WAS AVAILABLE ON 27/11/2007.}

^{NO. OF EMPLOYEES (31 DECEMBER):}

^{* GROUP - 2006: - (2005: -)}

^{* COMPANY - 2006: - (2005: -)}

^{REGISTERED AND BUSINES ADDRESS:}

^{192 WATERLOO STREET}

^#05-01

^{SKY LINE BUILDING}

^{SINGAPORE 187966}

^{DATE OF CHANGE OF ADDRESS: 28/03/2007}

^{- OFFICE}

^{- RENTED PREMISE}

^{- PREMISE OWNED BY: SKYLINE PROPERTIES PTE LTD}

^{YOUR PROVIDED ADDRESS:}

^{133 CECIL STREET}

^#17-01B

^{KECK SENG TOWER}

^{SINGAPORE 069535}

^{- UNABLE TO CONFIRM}

^{WEBSITE : http://www.scotiaasia.com/}

^{EMAIL : marketing@scotiaasia.com}

MANAGEMENT

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

^{1) DINESH GOVIND PATEL, AN INDIAN}

^{- BASED IN SINGAPORE.}

^{2) SAMANT SURENDRA DADAJI, 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.

Services Sector

Past Performance

the overall business receipts for services industries in 1q 2007 rose by 11.7% over the same quarter in 2006 but excluding financial and insurance services, busines receipts increased by 7%.

the double-digit growth in overall business receipts was attributed to posItive growth across all major services industries like financial & insurance, real estate & leasing, it services, healthcare and business services.

turnover of the overall it services industry continued to grow by 10% in 1q 2007, after rising 14% in the previous quarter. in particular, it consultancy firms reported an increase on 14.2% in revenue during the quarter.

receipts from insurance services rose further by 45.8% in 1q 2007 following a strong 53.1% increase in the last quarter, largely attributed to brisk business reported by life insurance firms.

in 1q 2007, firms in leasing services registered an increase of 3% in revenue. firms engaged in leasing of land transport equipment and engineering machinery and equipment reported a rise in revenue.

boosted by positive growth across all categories within the business services industry, the overall industry's turnover went up by 9.6% increase in 1q 2007.

in particular, legal and accounting fiRMS and architectural, engineering and technical services registered 23.8% and 21.5% increase in earnings respectively.

the education services industry experienced a 3.2% rise in revenue in 1q 2007 as compared to the corresponding quarter in 2006.

earnings from the healthcare services industry moved up by 10.4% in 1q 2007, representing the fifth consecutive quarter of double-digit growth since 1q 2006. hospitals registered a growth of 6.4% while clinics and specialised medical services providers recorded a 13.7% rise in revenue.

recreational activities also rose by 3.3% in 1q 2007 after expanding by 15.4% in the previous quarter.

Outlook

in general, a net weighted balance of 22% of firms in the services sector products better business conditions for the next 6 months. this magnitude is smaller than the net weighted balance of 25% registered in the same period of previous year, but larger that the net weighted balance of 18% recorded for jan-jun 2007.

hoteliers project a favourable business outlook for the next 6 months, which is iN tandem with the positive sentiments in the tourism market. for the catering trade industry, business outlook in the comings months remains the same.

in the business services industry, an overall net weighted balance of 24% of firms expresses positive sentiments for the next 6 months. these include firms engaged in renting of construction & industrial machinery, architectural & engineering, specialised design and labour recruitment services.

extracted from: ministry of trade and industry

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.	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