MIRA INFORM REPORT

Report Date :

20.10.2007

IDENTIFICATION DETAILS

Name :	ARGENTOIL S.A.
Registered Office :	San Lorenzo 3902 (B1636ER), Olivos, Buenos Aires Province, Argentine Republic
Country :	Argentina
Date of Incorporation :	19/04/1985
Legal Form :	Public Limited Company
Line of Business :	Manufacture and commercialization of container tubes for gases, liquids and solids.

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 :	No Complaints
Litigation :	Clear

Registered Name 

ARGENTOIL S.A.

CUIT:  30-60978835-2

Summary 

INCORPORATED IN 1987. BEGINNER OF ACTIVITIES. FINANCIAL INFORMATION IS NOT SUPPLIED. IT OPERATES WITH A GOOD LEVEL OF IMPORTANCE. IT DOESN'T REGISTER NEGATIVE. FOR CREDIT TREATMENT WE SUGGEST TAKING APPROPRIATE GUARANTEES.

Operations 

METALLURGICAL INDUSTRY
CONTAINERS FOR GASES
MANUFACTURE
COMMERCIALIZATION

Legal Structure 

Business type:       Public Limited Company
Incorporated:       19/04/1985
Registered:         1985
Register #:         31.759-687-86
Duration:         Until 10/06/2084
End of fiscal year: December 31st

Contact 

Administrative and Operative address: San Lorenzo 3902 (B1636ER), Olivos, Buenos Aires Province, Argentine Republic.

Phone: (54-011) 5077-6100
Fax: (54-011) 5077-6105
E-mail: jmw@inflex.com.ar

Industrial Plant:

1) Lote 3, Manzana Q esquina HY No.110, Parque  Industrial Sur, San Luís.
2) Cordoba Province.

Partners 

President:     FRACCHIA JULIO JOSE

He is in charge of the social signature use.

Corporate Stock 

The company's corporate stock was established in $ 300.00, highlighting that 96,75% of it has been contributed by:

> INFLEX S.A.
Administration: San Lorenzo 3902, Olivos, Buenos Aires Province.
Industrial Plant: 25 de Mayo 1774, San Fernando, Buenos Aires Province.
Activity: Manufacture of cylinders for gas.

History 

The company's directors showed a reluctant attitude to supply the required information.

However, it is known that the company is beginner of activities and operates in the previously exposed addresses.

It is controlled by the well-known company INFLEX S.A., being member of a business group.

It is engaged in the manufacture of cylinders for compressed and liquid gases, using the trademark of "AGENTOIL" and "INFLEX".

Economic-Financial Position 

Due to the mentioned reasons, it has not been possible to obtain figures or a copy of the Balance Sheet in order to determine the company's current economic-financial situation.

Therefore it has been necessary to consult other sources. And even in this way, no information about this company was registered.

However, it has been mentioned that the company has a reasonable importance on its sector and operates without apparent problems.

Assets 

Inside the company's fixed assets are included the property located in the previously exposed address, which has a good realization value.

Evolution and Results 

The company is engaged in the manufacture and commercialization of container tubes for gases, liquids and solids.

It has an important infrastructure and organization, where its directors participate together with the necessary staff.

Its products are sold to Sanitaries, Hospitals, Industrial Establishments, Public and Private Entities, Clinics, and others which are located in the national territory. It carries out exports to Pakistan, Venezuela, Mexico, Bolivia, Brazil, Australia, Bangladesh and India.

The company has a normal performance and has a financial and technological support from its parent company INFLEX S.A.

* 470 EMPLOYEES

FOREIGN COMPANY:
----------------
In the last twelve months it has carried out imports for a total value of US$ 130.831 from the following countries:

GERMANY 52.810
ITALY 37.816
USA 22.613
OTHER COUNTRIES     17.592

MAIN IMPORTED PRODUCTS:
-----------------------
Bathroom fittings.
Pressure reducing valves.
Thermoplastic valves
and others

Payment Record and Credit Risk 

BANKS:
------
BBVA BANCO FRANCES
BANCO DE GALICIA Y BUENOS AIRES
BANCO ITAU
BANCO SANTANDER RIO
HSBC BANK
BANCO DE LA PAMPA
BANCO SUPERVIELLE

CREDIT RISK:
------------
June/2007

BANCO DE GALICIA      $ 6.493.500  Situation 1
BANCO HCBC               5.129.700  Situation 1
BANCO IND.DE AZUL       1.952.200  Situation 1
BANCO LA PAMPA           1.518.600  Situation 1
BANCO FRANCES           1.230.500  Situation 1
BANCO SUPERVIELLE     1.110.200  Situation 1
BANCO CMF               1.049.300  Situation 1
BANCO PROV. B.A.           991.500  Situation 1
BANCO SANTANDER RIO   323.400  Situation 1
BANCO ITAU                 217.700  Situation 1
BANCO NACION               143.400  Situation 1
BANCO PATAGONIA             3.400  Situation 1

Situation 1: Normal Fulfillment.

INSURANCE:
----------
Insurance policies with local companies for general risks.

Concept 

According to our consultations the company complies in due time the commitments taken and has a good concept.

It registers the following judicial action:

> SEIZURE
Plaintiff: Exchequer of Buenos Aires Province Nº 1734180.
Date: 27/06/2007
Removal: 07/07/2007
File Record: 16820600012
Amount: $ 13.118,40.

The abovementioned doesn't affecte the company's commercial concept.

Final Opinion 

What has been exposed hereby is all as regards this company. We consider feasible its credit treatment by moderated amounts with the adoption of appropriate guarantees.

* FIT FOR CREDITS WITH THE ADOPTION OF APPROPRIATE GUARANTEES

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