MIRA INFORM REPORT

Report Date :

19.12.2008

IDENTIFICATION DETAILS

Name :	SAI GON COMMERCIAL JOINT STOCK BANK
Registered Office :	193-203 Tran Hung Dao Str, Co Giang Ward, Dist 1, Hochiminh City
Country :	Vietnam
Financials (as on) :	2008
Year of Establishment :	1992
Com. Reg. No.:	4103001562
Legal Form :	Joint Stock Commercial Bank
Line of Business :	Providing Products and Services which are permitted by State bank of Vietnam including: Consumer Banking and Corporate Banking

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 :	Good
Payment Behaviour :	No Complaints
Litigation :	Clear

SUBJECT IDENTIFICATION & LEGAL FORM

English Name	SAI GON COMMERCIAL JOINT STOCK BANK
Vietnamese name	NGAN HANG THUONG MAI CO PHAN SAI GON
Trade Name	SAI GON COMMERCIAL JOINT STOCK BANK
Abbreviated Name	SCB
Type of Business	Joint Stock Commercial Bank
Founded	1992
Established License No.	0018/NHGP
Date of Issuance	June 6^th 1992
Place of Issuance	Governor of The State Bank of Vietnam
Current Business Registration	4103001562
Date of Issuance	April 16^th 2003
Place of Issuance	Planning and Investment Department of Hochiminh City
Original Business Registration	059019
Date of Issuance	June 30^th 1992
Place of Issuance	Planning and Investment Department of Hochiminh City
Current Registered Capital	2,180,683,060,000 VND
Tax Code	0301437033
Total Employees	1,000 employees

ADDRESS

Head Office
Address	193-203 Tran Hung Dao Str, Co Giang Ward, Dist 1, Hochiminh City
Country	Vietnam
Tel	(84-8) 9206501 – 9206502 – 9206503 – 9206504
Fax	(84-8) 9206505
Email	scb@scb.com.vn
Website	www.scb.com.vn

DIRECTORS

1. NAME	Mr. LE QUANG NHUONG
Position	Chairman Of Management Board
Resident	16E Phung Khac Khoan Str, Da Kao Ward, Dist 1, Hochiminh City
Nationality	Vietnamese
2. NAME	Mr. PHAM ANH DUNG
Position	General Director
Resident	Hochiminh City
Nationality	Vietnamese
3. NAME	Mr. DIEP BAO CHAU
Position	Vice General Director
Resident	Hochiminh City
Nationality	Vietnamese
4. NAME	Mr. TRUONG VAN NHON
Position	Vice General Director
Resident	Hochiminh City
Nationality	Vietnamese
5. NAME	Mr. NGUYEN VAN HIEN
Position	Vice General Director
Resident	Hochiminh City
Nationality	Vietnamese
6. NAME	Mr. NGUYEN THE LINH
Position	Vice General Director
Resident	Hochiminh City
Nationality	Vietnamese
7. NAME	Mrs. VU THI KIM CUC
Position	Vice General Director
Resident	Hochiminh City
Nationality	Vietnamese
8. NAME	Mr. THAN NGOC MINH
Position	Chief Accountant
Resident	Hochiminh City
Nationality	Vietnamese

BUSINESS NATURE AND ACTIVITIES

The subject is specializing in providing products and services which are permitted by State bank of Vietnam including:

Consumer banking:

+ Saving in VND (Vietnamese Dong), gold, USD, EURO.

+ Current Accounts: VND, foreign currency.

+ Loans: consumer loans, housing loans, installment loans to small merchant at markets, credits for overseas student, farming loans, commercial loans

+ Services: payment card - dong a card , payment order, domestic express money transfer, buying and selling bank notes, overseas remittance, guarantee, collection, confirmation saving account balance, collect traveling sec,...

Corporate banking:

+ Current accounts.

+ Loans (short, medium & long term): trade finance, working capital, construction finance, fixed assets, loans for developing rural area, project finance, project co-finance, syndicated loans,

+ Services: trade services (letter of credit, collection, telegraphic transfer remittance),foreign exchange (spot, forward, swap), issuing license for carrying foreign currency to abroad, bank guarantees, warehouse service, payroll service, collection service, investment and joint venture,..

IMPORT & EXPORT ACTIVITIES

IMPORT: N/A

EXPORT: N/A

BANKERS

The subject has 80 branches and transaction offices in Hochiminh City, Hanoi City and other provinces in Vietnam. Besides, the subject is transacting with other banks in the same fields to assist to each other.

SHAREHOLDERS

1. NAME	Mr. LE QUANG NHUONG
Position	Chairman of Management Board
Resident	16E Phung Khac Khoan Str, Da Kao Ward, Dist 1, Hochiminh City
Nationality	Vietnamese
2. NAME	Mr. THAI PHUOC
Resident	60/6 Can Giuoc Str, Dist 8, Hochiminh City
Nationality	Vietnamese
Share	0.007%
3. NAME	Mr. TA HONG
Resident	183/23 Hau Giang Str, Dist 6, Hochiminh City
Nationality	Vietnamese
Share	0.046%
4. NAME	OTHER 23 SHAREHOLDERS

FINANCIAL DATA

Unit: Million Vnd
BALANCE SHEET
Balance sheet date	9 Months of 2008
ASSETS
I - Cash on hand, gold, precious stone	262,276
II - Deposits at SBV	617,955
III - Gold and deposits at other credit institutions and loans granted to other credit institutions	3,847,882
* Gold and deposits at other credit institutions	3,847,882
* Loans granted to other credit institutions	-
* Provisions to losses	-
IV- Trading securities:	572,330
- Trading securities	575,360
- Provisions for devaluation of securities	(3,030)
V - Derivatives and other Derivative assets	-
VI - Loan granted to customers	20,710,241
* Loans granted to customers	20,836,488
* Provisions for loan losses	(126,246)
VII - Investment securities	4,179,189
* Available-for-sale securities	4,176,208
* Held-to-maturity securities	2,981
* Provisions for devaluation of securities
VIII - Equity investment and long-term investment	85,452
1/  Investment in subsidiaries	-
2/  Investment in Join Venture Companies	-
3/  Investment in associated companies	-
4/  Other long-term in investments	85,452
5/  Provisions for devaluation of long-term investments	-
IX - Fixed assets	446,437
1/  Tangible fixed assets	266,463
*  Historical costs	298,380
*  Depreciation of fixed assets	(31,917)
2/ Financial leasing fixed assets	-
*  Historical costs	-
*  Depreciation of fixed assets	-
3/  Intangible fixed assets	179,975
*  Historical costs	182,709
*  Depreciation of fixed assets	(2,735)
X - Other assets	2,655,304
1/  Accounts receivable	1,733,987
2/  Interests and fees receivable	640,275
3/  Deferred income tax	-
4/  Other assets	281,042
5/  Other provisions for losses
TOTAL ASSETS	33,377,067

LIABILITIES AND OWNER'S EQUITY
I - Account payable to SBV and Government	81,736
II- Deposits and borrowings from other credit organizations	6,615,152
1/ Deposits from other credit organizations	6,615,152
2/  Borrowings from other credit organizations
III- Deposits from customers	20,717,215
IV - Financial derivatives and other financial debts	1,288
V - Trust funds and other borrowed funds	4,827
VI - Issuance of valuable documents	1,715,685
VII - Other liabilities	1,268,152
1/  Interests and fees payable	929,778
2/  Deferred income tax payable	-
3/  Accounts payable and other debts	334,602
4/  Other Provisions for losses	3,773
TOTAL LIABILITIES	30,404,054
VIII - Equity and Funds	2,973,013
1/  Equity of the credit organization	2,515,970
*   Chartered Capital	2,180,683
*   Basic construction investment fund	-
*   Capital gain	335,287
*   Fund Shares	-
*   Preferential Shares	-
*   Other funds	-
2/  Funds of Credit organization	98,421
3/  Foreign exchange rate differential	(12,134)
4/  Asset re-evalutions differential
5/   Retained Profit	370,755
a   Profit of the current accounting preriod (after tax)	4,905
b   Profit of the previous year	365,850
TOTAL LIABILITIES AND OWNER'S EQUITY	33,377,067

INCOME STATEMENT
No.	Items	9 Months of 2008
1	Interest Income and similar income	3,008,027
2	Interest expense and similar expense	(2,296,728)
I	Net Interest Income	711,299
3	Non-interest income	151,625
4	Non-interest expenses	(6,088)
II	Net no-interest income	145,537
III	Gain/Loss from Foreign Exchange Trading Activity	41,169
IV	Net gain from dealings of trading securities	14,540
V	Net gain from dealings of investment securities
5	Other Income	40,689
6	Other Expenses	(1,248)
VI	Net gain from other activities	39,440
VII	Income from equity investments	1,068
VIII	Operating Expense	(394,598)
IX	Net operating income before provision for credit losses	558,455
X	Provision for credit losses	(50,332)
XI	Total profit before tax	508,123
7	Current income tax expenses	(142,272)
8	Deferred income tax expenses
XII	Total income tax expenses	(142,272)
XIII	Profit After Tax	365,850

Unit: VND
Balance sheet date		31/12/2007	31/12/2006
Number of weeks		52	52
ASSETS
I - Cash on hand, gold, precious stone		196,529,730,265	145,841,857,562
II - Deposits at SBV		173,562,690,979	239,842,307,120
III - Gold and deposits at other credit institutions and loans granted to other credit institutions		3,255,200,696,626	1,202,299,171,720
* Gold and deposits at other credit institutions		3,255,200,696,626	1,202,299,171,720
* Loans granted to other credit institutions
* Provisions to losses
IV- Trading securities:		61,008,239,120	227,798,000,000
- Trading securities		64,038,274,000	227,798,000,000
- Provisions for devaluation of securities		(3,030,034,880)
V - Derivatives and other Derivative assets
VI - Loan granted to customers		19,396,440,316,662	8,166,009,202,633
* Loans granted to customers		19,477,603,316,662	8,206,696,482,633
* Provisions for loan losses		(81,163,000,000)	(40,687,280,000)
VII - Investment securities		886,320,698,584	316,381,500,000
* Available-for-sale securities		882,904,598,584	313,000,000,000
* Held-to-maturity securities		3,416,100,000	3,381,500,000
* Provisions for devaluation of securities
VIII - Equity investment and long-term investment		57,324,500,000	39,074,500,000
1/  Investment in subsidiaries
2/  Investment in Join Venture Companies
3/  Investment in associated companies
4/  Other long-term in investments		57,324,500,000	39,074,500,000
5/  Provisions for devaluation of long-term investments
IX - Fixed assets		324,971,269,073	186,582,923,198
1/  Tangible fixed assets		195,276,272,294	78,917,259,888
*  Historical costs		213,502,940,528	88,347,005,333
*  Depreciation of fixed assets		(18,226,668,234)	(9,429,745,445)
2/ Financial leasing fixed assets
*  Historical costs
*  Depreciation of fixed assets
3/  Intangible fixed assets		129,694,996,779	107,665,663,310
*  Historical costs		131,400,257,979	108,516,531,710
*  Depreciation of fixed assets		(1,705,261,200)	(850,868,400)
X - Other assets		1,628,913,467,621	419,331,574,775
1/  Accounts receivable		921,743,224,707	230,842,160,188
2/  Interests and fees receivable		210,156,794,039	161,252,710,222
3/  Deferred income tax
4/  Other assets		497,013,448,875	27,236,704,365
5/  Other provisions for losses
TOTAL ASSETS		25,980,271,608,930	10,943,161,037,008
LIABILITIES AND OWNER'S EQUITY
I - Account payable to SBV and Government		58,995,649,684	60,720,577,307
II- Deposits and borrowings from other credit organizations		5,323,749,064,782	5,299,081,046,226
1/ Deposits from other credit organizations		5,323,749,064,782	5,299,081,046,226
2/  Borrowings from other credit organizations
III- Deposits from customers		15,970,543,281,298	3,575,631,086,274
IV - Financial derivatives and other financial debts
V - Trust funds and other borrowed funds		5,927,000,000
VI - Issuance of valuable documents		1,399,999,500,000	1,000,000,000,000
VII - Other liabilities		549,313,407,380	187,803,655,696
1/  Interests and fees payable		425,923,542,651	163,410,112,126
2/  Deferred income tax payable
3/  Accounts payable and other debts		123,389,864,729	24,393,543,570
4/  Other Provisions for losses
TOTAL LIABILITIES		23,308,527,903,144	10,123,236,365,503
VIII - Equity and Funds		2,671,743,705,786	819,924,671,505
1/  Equity of the credit organization		2,377,530,900,000	687,959,320,000
*   Chartered Capital		1,970,000,000,000	600,000,000,000
*   Basic construction investment fund
*   Capital gain		407,530,900,000	87,959,320,000
*   Fund Shares
*   Preferential Shares
*   Other funds
2/  Funds of Credit organization		24,931,969,043	7,558,824,954
3/  Foreign exchange rate differential
4/  Asset re-evalutions differential
5/   Retained Profit		269,280,836,743	124,406,526,551
a   Profit of the current accounting preriod (after tax)		260,304,758,675
b   Profit of the previous year		8,976,078,068	124,406,526,551
TOTAL LIABILITIES AND OWNER'S EQUITY		25,980,271,608,930	10,943,161,037,008
INCOME STATEMENT
No.	Items	Year 2007	Year 2006
1	Interest Income and similar income	1,702,239,957,448	734,587,784,416
2	Interest expense and similar expense	(1,257,032,082,321)	(479,603,728,430)
I	Net Interest Income	445,207,875,127	254,984,055,986
3	Non-interest income	142,159,951,855	31,581,048,500
4	Non-interest expenses	(5,923,450,137)	(1,994,926,771)
II	Net no-interest income	136,236,501,716	29,586,121,729
III	Gain/Loss from Foreign Exchange Trading Activity	2,499,209,563	(149,409,198)
IV	Net gain from dealings of trading securities	69,305,030,992	11,900,684,674
V	Net gain from dealings of investment securities
5	Other Income	65,472,946,522	7,270,586,255
6	Other Expenses	(24,774,071,114)	(1,422,808,138)
VI	Net gain from other activities	40,698,875,408	5,847,778,117
VII	Income from equity investments	558,000,000	816,497,879
VIII	Operating Expense	(274,746,197,142)	(118,700,225,222)
IX	Net operating income before provision for credit losses	419,759,295,664	184,285,503,965
X	Provision for credit losses	(58,435,540,619)	(30,053,514,940)
XI	Total profit before tax	361,323,755,045	154,231,989,025
7	Current income tax expenses	(101,018,996,370)	(30,312,105,089)
8	Deferred income tax expenses
XII	Total income tax expenses	(101,018,996,370)	(30,312,105,089)
XIII	Profit After Tax	260,304,758,675	123,919,883,936

PAYMENT HISTORY AND EXPERIENCES
Trade Morality	Fairly
Liquidity	Fair
Payment status	Fair
Financial Situation	Developed
Litigation data	No recorded
Bankruptcy	No recorded

INTERPRETATION ON THE SCORES

Sai Gon Commercial Joint Stock Bank’s forerunner is Que Do Commercial Joint Stock Bank which was established in 1992 in accordance with Decision No. 0018/NHGP issued by Governor of the State bank of Vietnam with original registered capital 10 billion VND. However, after than 10 operation years, Que Do activities are not effectively and it was suffered from loss in constant years. On April 2003, it was reorganized in many sides and the name has been change into Saigon Commercial Joint Stock Bank since then.

After reorganization SCB has gained a great progress both in operation scale and business quality. Financial Situation of SCB has been stronger and it has gained profit in recent years and the profit is increasing well. Its business now are stable and in progress of development.

At present, the subject has a head office, 80 branches and transaction offices in Hochiminh City, Hanoi City and other provinces in Vietnam with above 1,000 employees.

The financial station of the subject is fairly good. Its market share is fairly large and fast development.

In general, SCB is above medium commercial joint stock bank operating fairly effectively and has normal prospect of development in the future.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.47.08
UK Pound	1	Rs.71.17
Euro	1	Rs.66.98

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