MIRA INFORM REPORT

Report Date :

23.01.2008

IDENTIFICATION DETAILS

Name :	^{KIM HENG MARINE & OILFIELD PTE LTD}

Formerly Known as :	^{KIM HENG MARINE (PTE) LTD.}

Registered Office :	^{9 Pandan Crescent} ¹²⁸⁴⁶⁵

Country :	Singapore

Financials (as on) :	31.12.2004

Date of Incorporation :	01.04.1978

Com. Reg. No.:	^197800703R

Legal Form :	Exempt Pte Ltd

Line of Business :	^{Marine Services}

RATING & COMMENTS

MIRA’s Rating :

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

Status :	Satisfactory

Payment Behaviour :	Regular

Litigation :	Exists

Subject Company

^{KIM HENG MARINE & OILFIELD PTE LTD}

Line Of Business

^{MARINE SERVICES}

Parent Company

^:^-

Financial Elements

FY 2004

COMPANY

^{Sales :
S$}^11,346,135

^{Networth
:
S$}^9,423,129

^{Paid-Up
Capital :
S$}^2,500,000

^{Net result
:
S$}^445,411

^{Net Margin(%) : 1.47}

^{Return on Equity(%) :
5.30}

^{Leverage Ratio : 3.28}

COMPANY IDENTIFICATION

^{Subject Company : KIM HENG MARINE & OILFIELD
PTE LTD}

^{Former Name :
KIM HENG MARINE (PTE) LTD.}

^{Business Address : 9 PANDAN CRESCENT}

^{Town :
SINGAPORE}

^{Postcode : 128465}

^{Country :
Singapore}

^{Telephone : 6777 9990}

^{Fax :
6778 9990}

^{ROC Number :
197800703R}

^{Reg. Town :}

PREVIOUS IDENTIFICATION

^{KIM HENG MARINE (PTE)
LTD.}

^{DATE OF CHANGE OF NAME :
18/03/1992}

SUMMARY

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

^{Legal Form : Exempt Pte
Ltd}

^{Date Inc. : 01/04/1978}

^{Summary year :
31/12/2005}

^{Sales :
26,295,517}

^{Networth : 7,299,962}

^{Capital :}

^{Paid-Up Capital :
3,000,000}

^{Employees :}

^{Net result : 386,738}

^{Share value : 1}

^{AUDITOR : KPMG}

REFERENCES

^{Litigation : Yes}

^{Company
status : TRADING}

^{Started
:}^01/04/1978

PRINCIPAL(S)

^{TAN KENG SIONG
THOMAS
S1293195F Managing Director}

DIRECTOR(S)

^{TAN SEK KHOON S1100218H Director}

^{Appointed on : 19/10/1979}

^{Street : 3 LOTHIAN
TERRACE}

^{FRANKEL ESTATE}

^{Town :
SINGAPORE}

^{Postcode : 456779}

^{Country : Singapore}

^{TAN KENG SIONG
THOMAS S1293195F Managing Director}

^{Appointed on : 07/09/1998}

^{Street : 3 HARTLEY
GROVE}

^{FRANKEL ESTATE}

^{Town :
SINGAPORE}

^{Postcode : 457872}

^{Country : Singapore}

^{TAN KENG SIONG
THOMAS S1293195F Director}

^{Appointed on : 07/09/1998}

^{Street : 3 HARTLEY
GROVE}

^{FRANKEL ESTATE}

^{Town : SINGAPORE}

^{Postcode : 457872}

^{Country : Singapore}

FORMER DIRECTOR(S)

^{KWAN HON KAY @ LAWRENCE
KWAN S0283956C}

^{WONG HUA ENG S0415987Z}

^{TAN ENG HAI S0422528G}

^{TAN KAH HIN S0669747Z}

^{TAN KENG HOCK
KELVIN S1412908A}

^{JUWAIRIYAH BTE
YASIN S1538128J}

^{TAN KENG HOE MELVIN S1585720Z}

^{TAN BEO @ TAN KAH
MOH S2014785G}

^{LING LEE KHENG @ LIM LEE
KHENG S1403049B}

^{OON CHEN YEN S7278506A}

^{WONG KIAH PENG S0091677C}

ACTIVITY(IES)

^{SHIP BUILDERS And
REPAIRERS Code:19285}

^{MACHINE TOOLS Code:13245}

^{BASED ON ACRA'S RECORD}

^{1) REPAIR OF SHIPS,
TANKERS AND OTHER OCEAN-GOING VESSELS;} ^{REPAIRING/DOCKING OF SHIPS & OTHER KINDS OF VESSELS} ^{MANUFACTURE
OF MACHINE TOOLS & ENGINEERS' TOOLS}

CHARGES

^{Date :
26/03/2007}

^{Comments : CHARGE NO : C200702297, C200702296,
C200702295}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : MALAYAN BANKING BHD}

^{Date :
27/03/2007}

^{Comments : CHARGE NO : C200702337, C200702329}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : ORIX LEASING
SINGAPORE LIMITED}

^{Amount :
595,000}

^{Comments : CHARGE NO : C200507898, 7897, 7889,
(DISCHARGED - 23/03/2006)}

^{SECURED : S$595,000.00}

^{CHARGEE : HONG LEONG FINANCE LIMITED}

^{Amount : 595,000}

^{Comments : CHARGE NO : C200506699, 06635, 06602,
(DISCHARGED - 11/04/2006)}

^{SECURED : S$595,000.00}

^{CHARGEE : HONG LEONG FINANCE LIMITED}

^{Comments : CHARGE NO : C200406148 (DISCHARGED -
25/04/2005)}

^{SECURED : 0.00 & ALL MONIES OWING}

^{CHARGEE : UNITED OVERSEAS BANK LIMITED}

^{Comments : CHARGE NO : C200402245, 02121, 02130
(DISCHARGED - 23/08/2004)}

^{SECURED : 0.00 & ALL MONIES OWING}

^{CHARGEE : MALAYAN BANKING BHD}

^{Comments : CHARGE NO : C200305076, 5073, 5072
(DISCHARGED - 31/03/2006)}

^{SECURED : 0.00 & ALL MONIES OWING}

^{CHARGEE : INTERNATIONAL FACTORS (S) LTD}

^{Comments : CHARGE NO : 9506441 (DISCHARGED -
09/08/1998)}

^{SECURED :
0.00 & ALL MONIES OWING}

^{CHARGEE : ABN AMRO BANK N.V.}

^{Amount : 520,000}

^{Comments : CHARGE NO : 9407002, 9407001 (DISCHARGED
- 22/10/1996)}

^{SECURED : S$520,000.00}

^{CHARGEE : DBSF LIMITED}

^{Amount : 312,000}

^{Comments : CHARGE NO : 9400103, 9400102, 9400101
(DISCHARGED - 29/11/1995)}

^{SECURED : S$312,000.00}

^{CHARGEE : DBSF LIMITED}

^{Amount : 400,000}

^{Comments : CHARGE NO : 8301992 (DISCHARGED -
19/12/1985)}

^{SECURED : S$400,000.00}

^{CHARGEE : GATX LEASING (PACIFIC) LIMITED}

^{Comments : CHARGE NO : 200203374 (DISCHARGED -
02/09/2003)}

^{SECURED : 0.00
& ALL MONIES OWING}

^{CHARGEE : OCBC BANK CORPORATION LIMITED}

^{Comments : CHARGE NO : 200204787 (DISCHARGED -
05/08/2003)}

^{SECURED : 0.00 & ALL MONIES OWING}

^{CHARGEE : ORIX LEASING SINGAPORE LIMITED}

^{Amount
: 208,000}

^{Comments : CHARGE NO : 199706384, 199706382
(DISCHARGED - 10/09/2000)}

^{SECURED : S$208,000.00}

^{CHARGEE : ORIX LEASING SINGAPORE LIMITED}

^{Amount : 196,000}

^{Comments : CHARGE NO : 199706383, 199706381
(DISCHARGED - 10/09/2000)}

^{SECURED : S$196,000.00}

^{CHARGEE : ORIX LEASING SINGAPORE LIMITED}

^{Amount : 1,800,000}

^{Comments : CHARGE NO : 199702746 (DISCHARGED -
29/12/1997)}

^{AMOUNT : S$1,800,000.00}

^{CHARGEE(S) : KEPPEL
BANK OF SINGAPORE LIMITED}

^{Date : 05/06/2007}

^{Comments : CHARGE NO : C200704201, 4200, 4199}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : SING INVESTMENTS & FINANCE LIMITED}

^{Date: 03/07/2007}

^{Comments : CHARGE NO : C200705049}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : SING INVESTMENTS & FINANCE LIMITED}

^{Comments : CHARGE NO : C200702909, 2908 (DISCHARGED -
06/08/2007)}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : ORIX LEASING SINGAPORE LIMITED}

^{Date: 30/12/1899}

^{Comments : CHARGE NO : C200702087 (DISCHARGED -
02/05/2007)}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : RHB BANK BHD}

^{Date: 02/11/2007}

^{Comments : CHARGE NO :
C200709441, C200709439}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : ORIX LEASING SINGAPORE LIMITED}

^{Date: 19/03/2007}

^{Comments : CHARGE NO :
C200702088}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE :
RHB BANK BHD}

^{Date: 09/05/2005}

^{Comments : CHARGE NO :
C200502680,C200502679}

^{AMOUNT SECURED : 0.00 AND
ALL MONIES OWING}

^{CHARGEE : INTERNATIONAL FACTORS (S) LTD}

^{Date: 12/10/1995
Amount: 520,000}

^{Comments : CHARGE NO : 9506292 (DISCHARGED - 28/08/1998}

^{SECURED : ALL MONIES OWING}

^{CHARGEE(S) : SINGAPORE
LEASING INTERNATIONAL (PTE) LTD}

^{Date: 12/10/1995
Amount: 520,000}

^{Comments : CHARGE NO : 9506293 (DISCHARGED -
28/08/1998)}

^{SECURED : ALL MONIES OWING}

^{CHARGEE(S) : SINGAPORE
LEASING INTERNATIONAL (PTE) LTD}

^{Date: 31/10/1995
Amount: 264,000}

^{Comments : CHARGE NO :
9506633 (DISCHARGED - 17/09/1998)}

^{SECURED : ALL MONIES OWING}

^{CHARGEE(S) : SINGAPORE
LEASING INTERNATIONAL (PTE) LTD}

^{Date: 31/10/1995
Amount: 264,000}

^{Comments : CHARGE
NO : 9506634 (DISCHARGED - 17/09/1998)}

^{SECURED : ALL MONIES OWING}

^{CHARGEE(S) : SINGAPORE
LEASING INTERNATIONAL (PTE) LTD}

^{Date: 06/02/1996
Amount: 214,500}

^{Comments : CHARGE
NO : 9600683 (DISCHARGED - 18/12/1998)}

^{SECURED : ALL MONIES OWING}

^{CHARGEE(S) : SINGAPORE
LEASING INTERNATIONAL (PTE) LTD}

^{Date: 06/02/1996 Amount: 214,500}

^{Comments : CHARGE NO : 9600684 (DISCHARGED - 18/12/1998}

^{SECURED : ALL MONIES OWING}

^{CHARGEE(S) : SINGAPORE
LEASING INTERNATIONAL (PTE) LTD}

^{Date: 07/02/1996}

^{Comments : CHARGE NO : 9600720 (DISCHARGED -
01/08/2003)}

^{SECURED : ALL MONIES OWING}

^{CHARGEE(S) : KEPPEL BANK
OF SINGAPORE LTD}

^{Date: 07/02/1996}

^{Comments : CHARGE NO : 9600721 (DISCHARGED -
01/08/2003)}

^{SECURED : ALL MONIES OWING}

^{CHARGEE(S) : KEPPEL BANK
OF SINGAPORE LIMITED}

^{Date: 17/01/1996 Amount: 340,000}

^{Comments : CHARGE NO : 9600305 (DISCHARGED - 11/12/1998)}

^{SECURED : ALL MONIES OWING}

^{CHARGEE(S) : SINGAPORE
LEASING INTERNATIONAL (PTE) LTD}

^{Date: 17/01/1996 Amount: 340,000}

^{Comments : CHARGE NO :
9600306 (DISCHARGED - 11/12/1998)}

^{SECURED : ALL MONIES OWING}

^{CHARGEE(S) : SINGAPORE
LEASING INTERNATIONAL (PTE) LTD}

^{Date: 12/04/1996}

^{Comments : CHARGE NO : 9602030 (DISCHARGED -
01/08/2003)}

^{SECURED : ALL MONIES OWING}

^{CHARGEE(S) : KEPPEL BANK
OF SINGAPORE LIMITED}

^{Date: 12/04/1996 Amount: 512,000}

^{Comments : CHARGE NO : 9602029 (DISCHARGED -
01/08/2003)}

^{SECURED : ALL MONIES OWING}

^{CHARGEE(S) : KEPPEL BANK
OF SINGAPORE LIMITED}

^{Date: 24/05/1996 Amount: 900,000}

^{Comments : CHARGE NO :
9602949 (DICHARGED - 27/06/2007)}

^{SECURED : S$900,000.00 AND ALL MONIES OWING}

^{CHARGEE(S) :OVERSEAS UNION BANK LIMITED}

^{Date: 27/06/1996 Amount: 176,000}

^{Comments : CHARGE NO :
9603608 (DISCHARGED - 27/05/1999)}

^{CHARGEE(S) : SINGAPORE
LEASING INTERNATIONAL (PTE) LTD}

^{Date: 27/06/1996 Amount: 176,000}

^{Comments : CHARGE NO :
9603609 (DISCHARGED - 27/05/1999)}

^{CHARGEE(S) : SINGAPORE
LEASING INTERNATIONAL (PTE) LTD}

^{Date: 12/05/1997 Amount: 1,800,000}

^{Comments : CHARGE NO :
199702744 (DISCHARGED - 01/08/2003}

^{CHARGEE(S) : KEPPEL BANK
OF SINGAPORE LIMITED}

^{Date: 12/05/1997 Amount: 1,800,000}

^{Comments : CHARGE NO :
199702745 (DISCHARGED - 01/08/2003)}

^{CHARGEE(S) : KEPPEL BANK
OF SINGAPORE LIMITED}

^{Date: 12/05/1997 Amount:
1,800,000}

^{Comments : CHARGE NO :
199702748 (DISCHARGED - 01/08/2003)}

^{CHARGEE(S) : KEPPEL BANK OF SINGAPORE LIMITED}

^{Date: 12/05/1997 Amount: 1,800,000}

^{Comments : CHARGE NO :
199702750 (DISCHARGED - 01/08/2003)}

^{CHARGEE(S) : KEPPEL BANK
OF SINGAPORE LIMITED}

^{Date: 12/05/1997 Amount: 1,800,000}

^{Comments : HARGE NO : 199702747 (DISCHARGED - 01/08/2003)}

^{CHARGEE(S) : KEPPEL BANK
OF SINGAPORE LIMITE}

^{Date: 12/05/1997 Amount: 1,800,000}

^{Comments : CHARGE NO :
199702751 (DISCHARGED - 01/08/2003)}

^{CHARGEE(S) : KEPPEL BANK
OF SINGAPORE LIMITED}

^{Date: 04/05/2007}

^{Comments : CHARGE NO :
C200703310, C200703307, C200703305}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : MALAYAN BANKING BHD}

^{Date: 16/08/2005}

^{Comments : CHARGE NO :
C200504882, C200504881,C200504880}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : MALAYAN BANKING BHD}

^{Date: 04/05/2001}

^{Comments : CHARGE NO:
200102087, 200102086 (DISCHARGED - 16/08/2003)}

^{SECURED : 0.00 ALL MONIES OWING}

^{CHARGEE (s) : UNITED
OVERSEAS BANK LIMITED}

^{Date: 15/09/2000 Amount: 296,000}

^{Comments : CHARGE
NO : 200004396, 200004395 (DISCHARGED -
20/08/2003}

^{CHARGEE (s) : ORIX LEASING
SINGAPORE LIMITED}

^{Date: 15/09/2000}

^{Comments : CHARGE NO:
200004394, 200004393 (DISCHARGED - 20/05/2004)}

^{SECURED : 0.00 ALL MONIES OWING}

^{CHARGEE (S) : OCBC FINANCE
LIMITED}

^{Date: 09/06/2000}

^{Comments : CHARGE
NO : 200002561, 200002560, 200002559,
200002558 , 200002557,}

^{SECURED : 0.00 ALL MONIES OWING}

^{CHARGEE (S) : OCBC FINANCE
LIMITED (DISCHARGED - 19/05/2004)}

^{Date: 09/06/2000}

^{Comments : CHARGE NO:
200002556, 20005555 (DISCHARGED - 19/05/2004)}

^{SECURED : 0.00 ALL MONIES OWING}

^{CHARGEE (s) :OCBC FINANCE
LIMITED}

^{Date: 30/03/2000 Amount: 190,000}

^{Comments : CHARGE NO
: 200001442 (DISCHARGED - 28/04/2003)}

^{CHARGEE (s) : SIME
DIAMOND LEASING (s) PL}

^{Date: 27/03/2000}

^{Comments : CHARGE NO:
200001383, 200001382, 200001381 (DISCHARGED-22/05/2003)}

^{SECURED : 0.00 ALL MONIES OWING}

^{CHARGEE (s) : MALAYAN
BANKING BERHAD}

^{Date: 04/10/1999}

^{Comments : CHARGE NO:199904264,4263,4262,4261,4260
(DISCHARGED-01/08/2003)}

^{SECURED : 0.00 ALL MONIES OWING}

^{HARGEE (s) : KEPPEL
TATLEE BANK LIMITED}

^{Date: 04/10/1999}

^{Comments : CHARGE NO: 199904259 , 199904258
(DISCHARGED-01/08/2003)}

^{SECURED : 0.00 ALL MONIES OWING}

^{CHARGEE (s) : KEPPEL
TATLEE BANK LIMITED}

^{Date: 01/11/2001}

^{Comments : CHARGE NO : 200105396, 200105395, 200105394
(DISCHARGED-16/08/2003)}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : UNITED OVERSEAS BANK LTD}

^{Date: 04/08/2006}

^{Comments : CHARGE NO : C200605114, C200605113,
C200605112}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : MALAYAN BANKING BHD}

^{Date: 21/09/2006}

^{Comments : CHARGE NO : C200606338, C200606337,
C200606336 (DISCHARGED)}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : MALAYAN BANKING BHD}

^{Date: 26/02/2007}

^{Comments : CHARGE NO : C200701537, C200701536}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : IFS CAPITAL LIMITED}

^{Date: 25/02/2004}

^{Comments : CHARGED NO : C200400917,C200400916}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : UNITED OVERSEAS
BANK LTD}

^{Date: 19/02/2004}

^{Comments : CHARGE NO :
C200400843,C2000400821,C200400795 (DISCHARGED-11/08/2004)}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : MALAYAN BANKING BHD}

^{Date: 07/01/2004}

^{Comments : CHARGE NO
:C200400097,00095,00093,00091,00090,00086}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : INTERNATIONAL
FACTORS (S) LTD}

^{Date: 06/01/2004}

^{Comments : CHARGE NO : C200400084, C200400083}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : INTERNATIONAL FACTORS (S) LTD}

^{Date: 05/01/2004}

^{Comments : CHARGE NO :
C200400039,C200400037,C200400036}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE
: INTERNATIONAL FACTORS (S) LTD}

^{Date: 01/01/2004}

^{Comments : CHARGE NO : C200400004,00003,00002,00001}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : INTERNATIONAL FACTORS (S) LTD}

^{Date: 07/11/2003}

^{Comments : CHARGE NO : C200305311,C200305309
(DISCHARGED-19/01/2005)}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : MALAYAN BANKING BHD}

^{Date: 06/11/2003}

^{Comments : CHARGE NO : C200305281 (DISCHARGED -
19/01/2005)}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : MALAYAN
BANKING BHD}

^{Date: 23/10/2003}

^{Comments : CHARGE NO :C200305078,5077,5075,5074}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : INTERNATIONAL FACTORS (S) LTD}

^{Date: 23/10/2003}

^{Comments : CHARGE NO : C200305071,5070,5066,5065,5064,5063}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : INTERNATIONAL FACTORS (S) LTD}

^{Date: 23/10/2003}

^{Comments : CHARGE NO :C200305061,5059,5058,5055,5052}

^{SECURED : 0.00
AND ALL MONIES OWING}

^{CHARGEE : INTERNATIONAL FACTORS (S) LTD}

^{Date: 03/10/2003}

^{Comments : CHARGE NO :
C200304726,C200304723,C200304722 (DISCHARGED-20/04/2005)}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : MALAYAN
BANKING BHD}

^{Date: 14/03/2003}

^{Comments : CHARGE NO : C200301149 (DISCHARGED -
23/04/2007)}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE
: MALAYAN BANKING BHD}

^{Date: 13/03/2003}

^{Comments : CHARGE NO : C200301121,C200301120
(DISCHARGED - 23/04/2007)}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : MALAYAN BANKING BHD}

^{Date: 03/01/2003}

^{Comments : CHARGE NO : 200300051,200300050
(DISCHARGED-29/09/2003)}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : INTERNATIONAL FACTORS (S) LTD}

^{Date: 24/12/2002}

^{Comments : CHARGE NO :200205660,200205659,200205658
(DISCHARGED-17/02/2006)}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : MALAYAN BANKING BHD}

^{Date: 27/08/2002}

^{Comments : CHARGE NO : 200203759,200203758,200203757
(DISCHARGED - 17/02/2006)}

^{SECURED : 0.00 AND ALL MONIES OWING}

^{CHARGEE : MALAYAN BANKING BHD}

PREMISES/PROPERTY INFORMATIONS

^{Date :
19/10/2007}

^{Tax rate : 10}

^{Site Address : 9 PANDAN CRESCENT}

^{Town :
SINGAPORE}

^{Postcode : 128465}

^{Country :
Singapore}

^{Annual Value : 905,000}

* TAX RATE OF 4% MEANS THE ADDRESS (I.E RESIDENTIAL PROPERTY) IS OWNER OCCUPIED.

* TAX RATE OF 10% MEANS THE ADDRESS (I.E RESIDENTIAL PROPERTY) IS PARTIALLY OR FULLY RENTED OUT BY THE OWNER/OWNED BY COMPANY.

* FOR PROPERTIES OTHER THAN RESIDENTIAL PROPERTIES REGARDLESS RENTED OUT OR NOT, THE TAX RATE IS 10% (I.E INDUSTRIAL AND COMMERCIAL PROPERTY).

BANKERS

^{KEPPEL TATLEE BANK
LIMITED}

^{OVERSEAS UNION BANK
LIMITED}

^{UNITED OVERSEAS BANK
LIMITED}

^{MALAYAN BANKING BERHAD}

^{J P MORGAN SINGAPORE LTD}

SHAREHOLDERS(S)

^{TAN SEK KHOON
1,500,000 Private Person}

^{Street : 3 LOTHIAN
TERRACE}

^{FRANKEL ESTATE}

^{Town : SINGAPORE}

^{Postcode : 456779}

^{Country : Singapore}

^{TAN KENG SIONG
THOMAS 1,500,000 Private Person}

^{Street : 3 HARTLEY GROVE}

^{FRANKEL ESTATE}

^{Town : SINGAPORE}

^{Postcode : 457872}

^{Country : Singapore}

FORMER SHAREHOLDER(S)

^{TAN ENG HAI 400,000}

^{NG GEOK TUAN 200,000}

^{SEK ANN THONG 600,000}

^{TAN WAN BEE
CAROLINA 400,000}

^{TAN KENG HOCK
KELVIN 793,334}

^{TAN KENG HOE MELVIN 10,000}

SUBSIDIARY(IES)

No Participation In Our Database

PAYMENT HISTORY AND EXPERIENCES

^{Trade Morality :
AVERAGE}

^{Liquidity : UNKNOWN}

^{Payments : REGULAR}

^{Trend :
LEVEL}

^{Financial Situation : UNKNOWN}

LITIGATION(S)

^{Type Of Case: Magistrate Court - W/S}

^{Case Number: MCS23873/2006}

Defendant KIM HENG MARINE & OILFIELD PTE LT ROC # : 197800703R

^{Type Of Case: Magistrate Court - W/S}

^{Case Number: MCS29563/2005}

Defendant KIM HENG MARINE & OILFIELD PTE LT ROC # : 197800703R

^{Type Of Case: District Court - W/S}

^{Case Number: DCS003950/2003}

Defendant KIM HENG MARINE & OILFIELD PTE LT ROC # : 197800703R

^{Type Of Case: Magistrate Court - W/S}

^{Case Number: MCS032263/2002}

Defendant KIM HENG MARINE & OILFIELD PTE LT ROC # : 197800703R

^{Type Of Case: Magistrate Court - W/S}

^{Case Number: MCS017581/2002}

Defendant KIM HENG MARINE & OILFIELD PTE LT ROC # : 197800703R

^{Type Of Case: Magistrate Court - W/S}

^{Case Number: MCS009189/2002}

Defendant KIM HENG MARINE & OILFIELD PTE LT ROC # : 197800703R

^{Type Of Case: Magistrate Court - W/S}

^{Case Number: MCS000507/2002}

Defendant KIM HENG MARINE & OILFIELD PTE LT ROC # : 197800703R

^{Type Of Case: High Court - W/S}

^{Case Number: HWS000169/2002}

Defendant KIM HENG MARINE & OILFIELD PTE LT ROC # : 197800703R

^{Type Of Case: Magistrate Court - W/S}

^{Case Number: MCS022176/2001}

Defendant KIM HENG MARINE & OILFIELD PTE LT ROC # : 197800703R

^{Type Of Case: Magistrate Court - W/S}

^{Case Number: MCS012848/1997}

Defendant KIM HENG MARINE & OILFIELD PTE LT ROC # : 197800703R

FINANCIAL ELEMENTS

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

^{Date Account
Lodged: 27/02/2006}

^{Balance Sheet
Date: 31/12/2004 31/12/2003}

^{Number of
weeks:
52 52}

^{Consolidation
Code: COMPANY COMPANY}

^{--- ASSETS ---}

^{Preliminary Exp 28,000 28,000}

^{Tangible Fixed
Assets: 17,195,415 14,987,756}

^Investments

^{Total Fixed
Assets: 17,223,415 15,015,756}

^{Inventories: 918,501 1,102,972}

^{Receivables: 6,152,189 3,137,870}

^{Cash,Banks,
Securitis: 142,956 345,345}

^{Other current
assets: 6,794,049 3,527,815}

^{Total Current
Assets: 14,007,695 8,114,002}

^{TOTAL ASSETS: 31,231,110 23,129,758}

^{--- LIABILITIES ---}

^{Equity capital: 3,000,000 3,000,000}

^{Profit &
lost Account: 4,299,962
3,913,224}

^{Total Equity: 7,299,962 6,913,224}

^{Long Term
Loans:
5,681,133
4,519,685}

^{L/T deffered
taxes: 650,000 210,000}

^{Other long term
Liab.: 4,681,154 1,848,474}

^{Total L/T
Liabilities:
11,012,287
6,578,159}

^{Trade
Creditors:
5,534,372
4,023,843}

^{Prepay. & Def.
charges: 291,101 245,069}

^{Short term
liabilities:
1,300,731
735,012}

^{Due to Bank: 4,861,937 4,202,784}

^{Other Short term
Liab.: 930,720 431,667}

^{Total short term
Liab.: 12,918,861 9,638,375}

^{TOTAL
LIABILITIES:
23,931,148
16,216,534}

^{--- PROFIT &
LOSS ACCOUNT ---}

^{Net Sales 26,295,517 16,243,833}

^{Purchases,Sces &
Other Goods: 21,130,421 12,424,445}

^{Gross Profit: 5,165,096 3,819,388}

^{Result of ordinary
operations 1,747,760 522,127}

^{NET RESULT BEFORE
TAX: 826,738 103,071}

^{Tax :
440,000
194,065}

^{Net income/loss
year: 386,738 -90,994}

^{Interest Paid: 921,022
419,056}

^{Depreciation: 3,506,508 2,489,876}

^{Directors
Emoluments:
712,000
597,535}

^{Wages and
Salaries:
2,753,309 2,519,722}

^{Financial
Income: 1,442}

RATIOS

^{31/12/2004
31/12/2003}

^{Net result /
Turnover(%): 0.01
-0.01}

^{Fin. Charges /
Turnover(%): 0.04 0.03}

^{Stock /
Turnover(%): 0.03 0.07}

^{Net Margin(%): 1.47 -0.56}

^{Return on
Equity(%): 5.30
-1.32}

^{Return on
Assets(%): 1.24
-0.39}

^{Net Working
capital: 1088834.00
-1524373.00}

^{Cash Ratio: 0.01
0.04}

^{Quick Ratio: 0.49
0.36}

^{Current ratio: 1.08 0.84}

^{Receivables
Turnover: 84.23
69.54}

^{Leverage Ratio: 3.28 2.35}

^{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}

^{Inventory Turnover : (360*Inventories)/Net sales}

^{Receivables Turnover : (Receivable*360)/Net sales}

^{Leverage Ratio :
Total liabilities/(Total equity-Intangible assets)}

FINANCIAL COMMENTS

^{NOTE: THE FINANCIAL STATEMENT IN THIS REPORT
IS THOSE OF 2004 AND IS} ^{CONSIDERED OUTDATED. HENCE, FINANCIAL ANALYSIS IS NOT CONDUCTED.
THE} ^{FINANCIAL STATEMENT SERVES AS A REFERENCE ONLY. IN REPLACEMENT,} ^{ADVERSE CHECK ON ITS LOCAL DIRECTORS ARE MADE.}

^{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} ^{NTEREST, 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 COMPANY WAS
INCORPORATED IN THE REPUBLIC OF SINGAPORE ON} ^{01/04/1978 AS A LIMITED EXEMPT PRIVATE
COMPANY AND IS TRADING UNDER} ^{ITS NAMESTYLE AS "KIM HENG MARINE
(PTE) LTD".}

^{SUBSEQUENTLY ON
18/03/1992, SUBJECT CHANGED TO ITS PRESENT NAMESTYLE} ^{AS "KIM HENG MARINE & OILFIELD
PTE LTD".}

^{AS AT 18/01/2008, THE
COMPANY HAS ISSUED AND PAID-UP CAPITAL OF} ^{3,000,000 SHARES, OF A VALUE OF S$3,000,000.} ^{PRINCIPAL
ACTIVITIES:} ^{SUBJECT IS REGISTERED WITH THE ACCOUNTING &
CORPORATE REGULATORY}

^{AUTHORITY (ACRA) TO BE
PRINCIPALLY ENGAGED IN THE BUSINESS OF:}

^{1) REPAIR OF SHIPS, TANKERS AND OTHER
OCEAN-GOING VESSELS;}

^{REPAIRING/DOCKING OF SHIPS & OTHER KINDS
OF VESSELS}

^{2) MANUFACTURE OF MACHINE TOOL ACCESSORIES
(EG SMALL CUTTING/PRECISION}

^{MEASURING TOOLS);}

^{MANUFACTURE OF MACHINE TOOLS & ENGINEERS'
TOOLS}

^{DURING THE FINANCIAL YEAR UNDER REVIEW, THE
PRINCIPAL ACTIVITIES OF} ^{THE COMPANY CONSIST OF CHARTERING, FREIGHT, SERVICING AND
REPAIRING OF} ^{VESSELS, PROVISION OF SERVICES OF MARINE ENGINEERS AND
CONSULTANTS,} ^{CONTRACTORS AND LABOUR SUPPLY FOR THE CONSTRUCTION OF
OILFIELD} ^{INSTALLATIONS.}

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

^{BACKGROUND OF KIM HENG GROUP:}

^{KIM HENG HAS BEEN AT THE FOREFRONT IN
PROVIDING LOGISTICS SERVICES TO} ^{THE MANY OFFSHORE OIL DRILLING AND DREDGING COMPANIES. THE GROUP} ^{CONTINUES TO ENHANCE ITS SCOPE OF SERVICES TO OFFERING TURN-KEY AND} ^{SUPPLY-CHAIN
SOLUTIONS TO CLIENTS FOR OPERATIONAL AND CONTINUOUS} ^{QUALITY
IMPROVEMENT.}

^{SUBJECT ENGAGES IN THE FOLLOWING ACTIVITIES:}

^{* OFFERS AN ALL ENCOMPASSING TURNKEY SERVICES
TO THE MARINE AND}

^{OFFSHORE INDUSTRY}

^{PRODUCTS AND SERVICES:}

^{ON/OFFSHORE OILFIELD
SERVICE & SUPPLY}

^{* FORKLIFTS}

^{* ANCHORS, ANCHOR CHAINS
& ACCESSORIES}

^{* FOAM FILLED ANCHOR
BUOY C/W ACCESSORIES}

^{* BULK TRANSFER TANKS /
CUTTING POT / DRYER}

^{* TOWING SERVICES}

^{* ROAD HAULAGE}

^{* EXCAVATORS / WHEEL
LOADER / LIGHTING TRUCK / LIGHT TOWER}

^{* MOORING EQUIPMENT
& ACCESSORIES}

^{* MOORING SERVICES}

^{* MOORING - MAGNETIC
WIRE INSPECTION}

^{* MOORING SERVICES -
SPOOLING OF 3" WIRE}

^{* MOORING SERVICES -
SPOOLING OF 3" CHAIN}

^{* CHAIN OPERATION}

^{CRANE FACILITIES:}

^{* HITACHI-SUMITOMO
SCX2500 HYDRAULIC CRAWLER CRANE}

^{* IHI CRAWLER CRANE}

^{* HITACHI-SUMITOMO
SCX2000 HYDRAULIC CRAWLER CRANE}

^{* SUMITOMO CRAWLER CRANE}

^{* IHI HYDRAULIC SPANNER}

^{* P&H HYDRAULIC
TRUCK CRANE}

^LOGISTICS

^{* ACCOMMODATION
CONTAINERS}

^{* PERSONNEL & CARGO
BASKETS}

^{* STORAGE CONTAINERS}

^{* WASTE OIL CONTAINERS}

^{* RENTAL & SALE OF
HEAVY EQUIPMENT}

^{* LOGISTICS SUPPORT
SERVICES - MOBILISATION LOADOUT FOR CONOCO}

^INDONESIA

^{* LOGISTICS SUPPORT
SERVICES - FPSO "GIRRASOL" OPERATION IN JAKARTA}

^{* LOGISTICS SUPPORT
SERVICES - TSF BOP STACKING/LOADING OPERATION}

^{* LOGISTICS SUPPORT
SERVICES - SUPPLY, SHIP & OFFLOAD CHROME TUBING A}

^{BP MARUNDA}

^{* STEVEDORING &
LABOUR SUPPLIER}

^{PROCUREMENT & ADMINISTRATION}

^{* TRAVEL MANAGEMENT
& VISA APPLICATIONS/CREW CHANGE MANAGEMENT}

^{* PURCHASING SERVICES
& DISTRIBUTOR AGENT}

^{* PROVISION OF PROJECT
OFFICES & SECRETARIAL SUPPORT}

^{SHIP BUILDING}

^{* KH 1899}

^{* KH 53}

^{* KH 1888}

^{* KH 2388}

^{OFFSHORE SALVAGE & WASTE
DISPOSAL MANAGEMENT}

^{* TANK CLEANING &
SLUDGE DISPOSAL}

^{* OFFSHORE SALVAGE &
WASTE DISPOSAL}

^{SERVICE/REPAIR/SUPPLY}

^{* FIRE MONITORING SYSTEM}

^{* RADIO COMMUNICATIONS
& NAVIGATION EQUIPMENT}

^{ENGINEERING/FABRICATION/INSTALLATION}

^{* HIGH PRESSURE PIPING}

^{* STRUCTURAL STEEL
FABRICATION/INSTALLATION ONBOARD OFFSHORE RIG}

^{AGENTS FOR:}

^{* SOUTHWEST OILFIELD
PRODUCTIVITY INC. (US)}

^{SOME OF SUBJECT'S
CLIENTS:}

^{OIL COMPANIES}

^{* AEDC JAPAN}

^{* ALCORN PHILIPPINES}

^{* AMERADA, HESS UK}

^{* AMOCO ORIENT PETROLEUM
COMPANY}

^{* AMOSEAS INDONESIA INC}

^{* ANADAKO}

^{* ANZOIL NL}

^{* APACHE CHINA
CORPORATION}

^{* APACHE ENERGY
CORPORATION}

^{* ARABIAN OIL CO. LTD}

^{* ARCO CHINA INC.}

^{* ARCO MYANMAR INC.}

^{* ARCO PHILIPPINES INC.}

^{* ARCO INTERNATIONAL
INC.}

^{* ARCO (DALLARS) LTD}

^{* ATLANTIS OMAN INC.}

^{* BHP PETROLEUM}

^{* BP EXPLORATION
OPERATING CO. LTD (VIETNAM)}

^{* BP EXPLORATION
OPERATING CO. LTD (INDONESIA)}

^{* BP BERAU (INDONESIA)}

^{* BRITISH GAS E & P
LTD}

^{* CAMPEX}

^{* CANADIAN PETROLUEM
INDONESIA}

^{* CARIGALI TRITON
OPERATING CO.}

^{* CARIGALI PTT EPI
OPERATING COMPANY SDN. BHD.}

^{* CAIRN ENERGY PLC}

^{* CAIRN ENERGY INDIA}

^{* CAIRN ENERGY AUSTRALIA}

^{* CONOCO PHILIPS}

^{* CONOCO PHILIPS USA}

^{* CONOCO PHILIPS
INDONESIA}

^{* CONOCO PHILIPS NZ}

^{* COSTAL OIL}

^{* DRAGON OIL PLC}

^{* ENRON OIL & GAS
INT'I INC.}

^{* ESSO AUSTRALIA}

^{* ESSO PRODUCTION
MALAYSIA INC.}

^{* FINA EXPLORATION MINH
HAI BV}

^{* HARDY OIL & GAS
PLC}

^{* HARDY OIL INDIA}

^{* HARRODS ENERGY
THAILAND}

^{* IMPEX MASALA INDONESIA}

^{* INPEX RABE TIMOR SEA,
LTD}

^{* IPL VIETNAM / IPBL /
IPC DUBAI}

^{* JAPAN VIETNAM
PETROLEUM COMPANY}

^{* JAPEX INDONESIA}

^{* JAPEX JAPAN}

^{* KERR MC GEE CHINA
PETROLEUM LTD.}

^{* KNOC INDONESIA}

^{* LASMO OIL (MALAYSIA)
LTD}

^{* MARATHON OIL COMPANY}

^{* MATRIX OIL IDONESIA}

^{* MODEC ELANG INDONESIA}

^{* MOBIL OIL INDONESIA}

^{* NESCOR ENERGY (ROC
OIL) PTY LTD}

^{* NEWFIELD EXPLORATION
AUSTRALIA}

^{* NEXEN PETROLEUM
AUSTRALIA P/L}

^{* NEXEN PETROLEUM
INDONESIA}

^{* NIPPON OIL}

^{* OCCIDENTAL INT'I
EXPLORATION & PRODUCTION}

^{* OCCIDENTAL OF
BANGLADESH LTD}

^{* OMV VIETNAM}

^{* PETRONAS CARIGALI SDN
BHD}

^{* PETRO VIETNAM
EXPLORATION & PRODUCTION (PVEP)}

^{* PINGHU OIL-GAS FIELD
DRILLING & COMPLETION PROJECT}

^{* PREMIER OIL PLC}

^{* PTT EXPLORATION &
PRODUCTION PUBLIC CO. LTD}

^{* RELIANCE OIL INDIA LTD}

^{* ROC OIL (GOBI) PTY LTD}

^{* SANTOS AUSTRALIA}

^{* SANTOS INDONESIA}

^{* SHELL DEVELOPMENT
AUSTRALIA P/L}

^{* SHELL EXPLORATION
CHINA LTD}

^{* SHELL PHILIPPINES;
SHELL VIETNAM; SHELL INDIA DEVELOPMENT}

^{* SOCO OIL}

^{* TALISMAN ENERGY}

^{* THAI SHELL EXPLORATION
& PRODUCTION CO. LTD}

^{* TEXACO EXPLORATION}

^{* TEXACO CHINA B.V.}

^{* TOTAL EXPLORATION
& PRODUCTION, THAILAND}

^{* TOTAL CAMPAGNIE
FRANCAISE DES PETROLES}

^{* TOTAL YEMEN}

^{* TOTAL MYANMAR E &
P}

^{* UNIONS TEXAS PETROLEUM}

^{* UNOCAL INDONESIA}

^{* UNOCAL VIETNAM}

^{* UNOCAL THAILAND}

^{* UNOCAL LIMITED}

^{* UPSTEAM}

^{* YUKONG LTD (MYANMAR /
THAILAND)}

^{* WOODSIDE PETROLEUM}

^{* WORLD VISION}

^{* WESTERN MINING
CORPORATION LTD}

^{OVERSEAS OFFICES:}

^{* INDONESIA}

^{* AUSTRALIA}

^{SUBJECT IS A MEMBER OF
THE FOLLOWING ENTITIES:}

^{* ASSOCIATION OF
SINGAPORE MARITIME INDUSTRIES}

^{* SINGAPORE SHIPPING
ASSOCIATION}

^{NO OTHER TRADE
INFORMATION IS AVAILABLE AS TELE-INTERVIEW WAS NOT}

^{GRANTED BY SUBJECT'S PERSONNEL}

^{REGISTERED AND BUSINESS
ADDRESS:}

^{9 PANDAN CRESCENT}

^{SINGAPORE 128465}

^{DATE OF CHANGE OF
ADDRESS: 09/03/2000}

^{- OWNED PREMISE}

^{WEBSITE: http://www.kimheng.com.sg}

^{EMAIL : ttks@kimheng.com.sg}

MANAGEMENT

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

^{1) TAN SEK KHOON, A
SINGAPOREAN}

^{- HOLDS OTHER
DIRECTORSHIP(S) AS RECORDED IN OUR DATABASE:}

^{ALPINE MARINE & IND
SUPPLIES PL}

^{BAYSWATER SHIPPING &
FORWARDING PL}

^{KIM HENG MARITIME PTE
LTD}

^{KIM HENG TUBULARS PTE
LTD}

^{KIM HENG SHIPBUILDING
& ENGINEERING PTE. LTD.}

^{2) TAN KENG SIONG
THOMAS, A SINGAPOREAN}

^{- HOLDS OTHER
DIRECTORSHIP(S) AS RECORDED IN OUR DATABASE:}

^{KIM HENG MARITIME PTE
LTD}

^{KIM HENG TUBULARS PTE
LTD}

^{KIM HENG SHIPBUILDING
& ENGINEERING PTE. LTD.}

ADVERSE ON DIRECTORS

^{DIRECTOR'S NAME :
TAN SEK KHOON}

^{ADVERSE REPORT AGAINST
DIRECTOR : NOT
AVAILABLE FROM OUR DATABASE}

^{PROPERTY OWNERSHIP :
1}

^{ANNUAL VALUE :
S$32,400}

^{CO-OWNER (S) :
YEO AI TEE}

^{DIRECTOR'S NAME :
TAN KENG SIONG THOMAS}

^{ADVERSE REPORT AGAINST
DIRECTOR : NOT
AVAILABLE FROM OUR DATABASE}

^{PROPERTY OWNERSHIP :
1}

^{ANNUAL VALUE :
S$63,600}

^{CO-OWNER (S) :
NG CHWEE LIAN NATALIE AMANDA}

^{* ANNUAL VALUE IS THE ESTIMATED
ANNUAL RENT THE PROPERTY CAN FETCH IF} ^{IT WERE RENTED OUT. THE ANNUAL VALUE IS DETERMINED IN THE SAME
MANNER} ^{REGARDLESS OF WHETHER THE PROPERTY IS LET-OUT, OWNER-OCCUPIED
OR} ^VACANT.

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.

OVERVIEW OF SINGAPORE

PAST PERFORMANCE

SINGAPORE’S ECONOMY GREW BY 8.9% IN 3Q 2007, FOLLOWING 8.7% GROWTH IN 2Q 2007. GROW MOMENTUM (ON AN ANNUALISED QUARTER-ON-QUARTER BASIS) WAS 4.3%, COMPARED WITH 14.5% IN THE SECOND QUARTER.

THE FINANCIAL SERVICES SECTOR ROSE SIGNIFICANTLY BY 20% IN 3Q 2007, FOLLOWING A 17% GROWTH IN THE PREVIOUS QUARTER. HOWEVER, ON A SEASONALLY-ADJUSTED QUARTER-ON-QUARTER BASIS, THE SECTOR FELL BY 8.6%, IN CONTRAST TO THE 39% GROWTH IN THE SECOND QUARTER. THE DECLINE STEMS FROM THE IMPACT FROM THE TURMOIL IN GLOBAL FINANCIAL MARKETS.

THE CONSTRUCTION SECTOR REGISTERED A STRONG GROWTH. THE SECTOR GREW BY 18%, FOLLOWING 19% GAIN IN 2Q 2007. GROWTH MOMENTUM MODERATED FROM 15% IN 2Q 2007 TO 6% IN 3Q 2007.

MANUFACTURING SECTOR ROSE BY 10% IN 3Q 2007, UP FROM 8.3% IN 2Q 2007. THE HIGHEST GROWTH WAS REGISTERED IN THE BIOMEDICAL MANUFACTURING CLUSTER, FOLLOWED BY TRANSPORT ENGINEERING, ELECTRONICS AND CHEMICALS

CLUSTERS. PRECISION ENGINEERING SECTOR CONTINUED TO SEE LOWER PRODUCTION.

THE WHOLESALE AND RETAIL TRADE SECTOR GREW BY 6.6% IN 3Q 2007, SLOWER THAN THE 8.4% GROWTH IN 2Q 2007. ALTHOUGH NON-OIL RE-EXPORTS STRENGTHENED IN THE QUARTER, RETAIL SALES SAW WEAKER GROWTH.

THE TRANSPORT AND STORAGE SECTOR MOEDERATED TO 4.8% IN 3Q 2007, FROM 5.3% IN 2Q 2007. HIGHER GROWTH IN THE AIR TRANSPORT SEGMENT WAS OFFSET BY SLOWER GROWTH IN THE WATER TRANSPORT SEGEMENT AFTER LAST QUARTER’S STRONG GROWTH.

THE HOTELS AND RESTAURANTS SECTOR GREW BY 4.5% FROM 5.3% IN 2Q 2007.

THE AVERAGE OCCUPANCY RATE OF HOTELS CLIMBED TO 89%, A 2.1% RISE OVER 3Q 2006. THE AVERAGE ROOM RATE ALSO GREW BY 22% TO S$204. CONSEQUENTLY, TOTAL HOTEL ROOM REVENUE OF GAZETTED HOTELS ROSE BY 20% IN 3Q 2007 TO AN ESTIMATED S$478 MILLION.

THE INFORMATION AND COMMUNICATIONS SECTOR ROSE 6.9% IN 3Q 2007, HIGHER THAN THE 6.5% IN 2Q 2007. THE TELECOMMUNICATIONS SEGMENT CONTINUED TO ACCOUNT FOR MUCH OF THE GROWTH IN THE SECTOR. IT SERVICES MAINTAINED ITS MODERATE GROWTH LEVEL FROM 2Q 2007.

IN THE TELECOMMUNICATIONS SEGMENT, THE GROWTH OF MOBILE SUBSCRIBERS CONTINUED TO RISE, RISING BY 20%, UP FROM 18% IN 2Q 2007. INTERNATIONAL TELEPHONE CALL DURATION GREW TO 27%, UP FROM 24% IN 2Q 2007.

THE BUSINESS SERVICES SECTOR EXPANDED BY 7.1%, SIMILAR TO THE 7.2% GAIN IN 2Q 2007. GROWTH WAS HEALTHY ACROSS ALL SEGMENTS, WITH GOOD PERFORMANCES IN THE BUSINESS REPRESENTATIVE OFFICES, REAL ESTATE AND PROFESSIONAL SERVICES SEGMENTS.

NEWS

SINGAPORE GROWTH SLOWS TO 6% IN 4Q 2007

THE SINGAPORE ECONOMY GREW AT A SLOWER-THAN-EXPECTED 6% GROWTH IN 4Q 2007, WEIGHED DOWN BY DECLINING MANUFACTURING OUTPUT.

ECONOMISTS HAD ANTICIPATED GROWTH OF 7.0-8.5% FOR 4Q 2007.

THE ESTIMATE FOR REAL GROSS DOMESTIC PRODUCT (GDP) GROWTH, COMPARED WITH 4Q 2006, MEANT THE GROWTH HAD MODERATED FROM THE REVISED GROWTH FIGURE OF 9% SEEN IN 3Q 2006, THE MINISTRY OF TRADE AND INDUSTRY SAID.

ON A QUARTER-ON-QUARTER SEASONALLY ADJUSTED ANNUALISED BASIS, REAL GDP FELL BY 3.2% IN 4Q 2007 COMPARED WITH A 4.4% GAIN IN 3Q 2007, CAUSED BY A SLOWDOWN IN MANFACTURING OUTPUT.

THE FIGURE MARKS THE FIRST QUARTER-ON-QUARTER DECLINE SINCE 1Q 2005, ACCORDING TO DATA.

GROWTH IN THE MANUFACTURING SECTOR IS FORECASTED TO HAVE SLOWED FROM 10.3% IN 3Q 2007 TO 0.5% IN 4Q 2007. IT WAS LARGELY ATTRIBUTED TO A DECLINE IN THE BIOMEDICAL MANUFACTURING CLUSTER AS SOME ACTIVE PHARMACEUTICAL INGREDIENTS WERE NOT PRODUCED.

TRANSPORT ENGINEERING, WHICH INCLUDES OIL RIG MANUFACTURING AND SHIP REPAIR, CONTINUED TO SHOW DOUBLE-DIGIT GROWTH, WHILE THE CONSTRUCTION SECTOR IS PREDICTED TO HAVE GROW STRONGLY BY 24.4% IN 4Q 2007, UP FROM 19.2% IN 3Q 2007.

GROWTH IN THE SERVICE SECTOR WAS STEADY AT 8.3%.

SINGAPORE’S ECONOMY GREW BY 7.5% IN 2007, MARKING THE FOURTH STRAIGHT YEARS OF STRONG GROWTH, PRIME MINISTER LEE HSIEN LOONG SAID IN HIS NEW YEAR MESSAGE.

THE FIGURE FOR 2007 ECONOMIC EXPANSION WAS AT THE LOWER END OF THE GOVERNMENT’S UPGRADED FULL-YEAR GROWTH TARGET OF 7.5-8.0%, AND WAS BELOW THE 7.9% GROWTH REGISTERED FOR 2006.

MR LEE FORECAST GROWTH OF 4.5-6.5% FOR SINGAPORE IN 2008.

OUTLOOK

FOR 2008, EXTERNAL ECONOMIC CONDITIONS ARE EXPECTED TO WEAKEN SLIGHTLY COMPARED TO 2007. THE LINGERING EFFECTS OF THE SUB-PRIME PROBLEMS AND AN OVERALL WEAKENING OF THE HOUSING MARKET WILL DAMPEN US CONSUMPTION. EU GROWTH IS ALSO EXPECTED TO BE LOWER AS A STRONG CURRENCY ERODES EXPORT COMPETITIVENESS. HOWEVER, THE FORECAST FOR ASIAN ECONOMIES REMAIN POSITIVE, WITH CHINA EXPECTED TO SUBSTAIN DOUBLE-DIGIT GROWTH.

WITH THESE FACTORS IN MIND, THE MINISTRY OF TRADE AND INDUSTRY PREDICTS THS SINGAPORE ECONOMY TO GROW BY 4.5-6.5% IN 2008. THIS REPRESENTS A MODERATION IN GROWTH TOWARDS THE ECONOMY’S POTENTIAL RATE OF GROWTH, AFTER FOUR YEARS OF ABOVE-TREND GROWTH.

THERE ARE SOME DOWNSIDE RISKS. IF THE SUB-PRIME PROBLEMS WORSEN THAN EXPECTED, OR OIL PRICES RISE FURTHER IN 2008, THIS COULD BRING A GREATER-THAN-EXPECTED SLOWDOWN IN US, WHICH WOULD AFFECT THE SINGAPORE ECONOMY.

IN THE FINANCIAL SERVICES INDUSTRY, A NET WEIGHTED BALANCE OF 17% OF FIRMS, ESPECIALLY INSURANCE COMPANIES, REMAINS POSITIVE ABOUT THE BUSINESS OUTLOOK IN THE MONTHS AHEAD.

FIRMS IN THE REAL ESTATE INDUSTRY EXPECT BUSINESS TO BE BRISK FOR THE

COMING MONTHS, IN PARTICULAR THE REAL ESTATE DEVELOPERS.

MANUFACTURING FIRMS REMAIN OPTIMISTIC FOR THE PERIOD ENDING MARCH 2008. A NET WEIGHTED BALANCE OF 25% OF MANUFACTURERS FORECAST BETTER BUSINESS, SLIGHTLY HIGHER THAN THE 22% REGISTERED BOTH IN THE PREVIOUS QUARTER AND THE SAME PERIOD IN THE PREVIOUS YEAR.

WHOLESALERS GENERALLY REMAIN POSITIVE ABOUT THEIR BUSINESS CONDITIONS, WITH A NET WEIGHTED BALANCE OF 24% OF FIRMS BEING OPTIMISTIC FOR THE COMING MONTHS. SEGMENTS THAT ARE EXPECTED TO PERFORM BETTER INCLUDE WHOLESALING OF FOOD AND BEVERAGES, WEARING APPAREL AND FOOTWEAR, COSMETICS AND TOILETRIES, AND HOUSEHOLD ELECTRICAL APPLIANCES.

RETAILERS ANTICIPATES BETTER BUSINESS IN THE COMING MONTHS DUE TO YEAR-END FESTIVE SHOPPING, WITH A NET WEIGHTED BALANCE OF 31% BEING POSITIVE. THE SEGMENTS THAT ARE FORECASTING BRISK BUSINESS IN THE COMING MONTHS INCLUDE DEPARTMENT STORE AND SUPERMARKET OWNERS, WEARING APPAREL AND FOOTWEAR, FURNITURE AND FURNISHINGS, AND JEWELLERY AND WATCHES.

IN THE TRANSPORT AND STORAGE INDUSTRY, A NET WEIGHTED BALANCE OF 18% OF FIRMS FORECASTS FAVOURABLE BUSINESS CONDITIONS FOR THE COMING MONTHS.

HOTELIERS FORESEES A FAVOURABLE BUSINESS OUTLOOK, WITH A NET WEIGHTED BALANCE OF 79% OF FIRMS EXPECTING THEIR BUSINESSES TO RISE IN ANTICIPATION OF HIGHER BANQUET SALES AND INCREASE IN ROOM REVENUE IN VIEW OF THE POSITIVE DEVELOPMENT IN THE TOURISM INDUSTRY. FIRMS IN THE CATERING TRADE INDUSTRY ALSO FORESEES BETTER BUSINESS CONDITIONS.

FIRMS IN THE INFORMATION AND COMMUNICATIONS INDUSTRY PREDICTS A HIGHER DEMAND FOR THEIR SERVICES, WITH A NET WEIGHTED BALANCE OF 5%.

IN THE BUSINESS SERVICES INDUSTRY, AN OVERALL NET WEIGHTED BALANCE OF 33% OF FIRMS EXPECTS POSITIVE SENTIMENTS. THESE INCLUDE ACCOUNTING, BOOK-KEEPING AND AUDITING, ENGINEERING AND SPECIALISED DESIGN SERVICES AS WELL AS TRAVEL AGENCIES.

EXTRACTED FROM: MINISTRY OF TRADE AND INDUSTRY, SINGAPORE

SINGAPORE DEPARTMENT OF STATISTICS

CHANNEL NEWS ASIA

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%)

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