MIRA INFORM REPORT

Report Date :

23.07.2008

IDENTIFICATION DETAILS

Name :	FABRISTEEL PRIVATE LIMITED
Registered Office :	^9 Tuas Avenue 10 Singapore 639133
Country :	Singapore
Financials (as on) :	31.12.2006
Date of Incorporation :	^10.11.1979
Com. Reg. No.:	^197903379E
Legal Form :	^Pte Ltd
Line of Business :	Manufacturer of Steam Generators except Central Heating Hot Water Boilers Manufacturer of Fabricated Metal Products except Machinery

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 :	Regular
Litigation :	Clear

Subject Company

FABRISTEEL PRIVATE LIMITED

Line Of Business 

MANUFACTURE OF STEAM GENERATORS EXCEPT CENTRAL HEATING HOT WATER BOILERS; MANUFACTURE OF FABRICATED METAL PRODUCTS EXCEPT MACHINERY

Parent Company

-

Financial Elements

FY 2006

CONSOLIDATED

Sales : S$32,277,326

Networth : S$16,371,461

Paid-Up Capital : S$3,000,000

Net result : S$2,595,178

Net Margin(%) : 8.04

Return on Equity(%): 15.85

Leverage Ratio : 0.47

COMPANY IDENTIFICATION

^{Subject Company FABRISTEEL PRIVATE LIMITED}

^{Former Name -}

^{Business Address: 9 TUAS AVENUE 10}

^{Town SINGAPORE}

^{Postcode 639133}

^{County -}

^{Country Singapore}

^{Telephone 6862 3830}

^{Fax 6861 5988}

^{ROC Number 197903379E}

^{Reg. Town -}

SUMMARY

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

^{Legal Form Pte Ltd}

^{Date Inc. 10/11/1979}

^{Previous Legal Form}

^{Summary year 31/12/2006}

^{Sales 32,277,326}

^{Capital -}

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

^{Employees 105}

^{Net result} 2,595,178

^{Share value -}

^{AUDITOR: DELOITTE & TOUCHE LLP}

REFERENCES

^{Litigation : No}

^{Company status : TRADING}

^{Started : 10/11/1979}

PRINCIPAL(S)

^{TAY HUN KIAT S1432902A Managing Director}

DIRECTOR(S)

^{KEVIN NICHOLAS BLADES 093224068 Director}

^{Appointed on : 08/01/2007}

^{Street : HATCH FARM, BOSSINGHAM ROAD}

^{STELLING MINNIS, KENT}

^{CT4, 6AQ}

^{Town :}

^{Postcode :}

^{Country : United Kingdom}

^{JAN CHRISTIAN KARSSIENS 201248997 Director}

^{Appointed on : 08/01/2007}

^{Street : SHANGHAI, HUASHAN LU 688}

^#1322

^{Town : SHANGHAI}

^Postcode

^{Country : China}

^{LAM TECK YEOW LEONARD S7241776C Director}

^{Appointed on : 08/01/2007}

^{Street : 1003 BUKIT TIMAH ROAD}

^#10-07

^{THE STERLING}

^{Town SINGAPORE}

^{Postcode 596289}

^{Country Singapore}

^{LAM TECK YEOW LEONARD S7241776C Company Secretary}

^{Appointed on : 01/09/2007}

^{Street : 1003 BUKIT TIMAH ROAD}

^#10-07

^{THE STERLING}

^{Town : SINGAPORE}

^{Postcode : 596289}

^{Country : Singapore}

^{TAY HUN KIAT S1432902A Director}

^{Appointed on : 07/04/2008}

^{Street : 7 FRANKEL STREET}

^{FRANKEL ESTATE}

^{Town : SINGAPORE}

^{Postcode : 458048}

^{Country : Singapore}

^{TAY HUN KIAT S1432902A Managing Director}

^{Appointed on : 07/04/2008}

^{Street : 7 FRANKEL STREET}

^{FRANKEL ESTATE}

^{Town : SINGAPORE}

^{Postcode : 458048}

^{Country : Singapore}

FORMER DIRECTOR(S)

^{YEO GEK KIANG JASMIN S0002791Z}

^{CHEW KWAI YOKE CATHERINE S0292239H}

^{LAM YEN YONG S0308201F}

^{CHEW BENG SENG S0323146A}

^{CHEW MING SUN S0334721D}

^{IRWIN MICHAEL SHUR 026257256}

ACTIVITY(IES)

^{FABRICATED METAL PRODUCTS Code:9}

^{CUTLERY Code:6110}

^{KITCHEN EQUIPMENT And SUPPLIES - COMMERCIAL Code:12520}

^{BASED ON ACRA'S RECORD}

^{1) MANUFACTURE OF STEAM GENERATORS EXCEPT CENTRAL HEATING HOT WATER BOILERS; MANUFACTURE OF FABRICATED METAL PRODUCTS EXCEPT MACHINERY}

CHARGES

^{Date : 11/08/1994}

^{Comments : CHARGE NO: 9404525 (DISCHARGED)}

^{AMOUNT SECURED: 0.00 AND ALL MONIES OWING}

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

^{Date : 21/07/1989}

^{Comments : CHARGE NO: 8902730 (DISCHARGED)}

^{AMOUNT SECURED: 0.00 AND ALL MONIES OWING}

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

^{Date : 11/08/1994}

^{Comments : CHARGE NO: 9404524 (DISCHARGED)}

^{AMOUNT SECURED: 0.00 AND ALL MONIES OWING}

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

^{Date : 21/07/1998}

^{Comments : CHARGE NO: 199803760 (DISCHARGED)}

^{AMOUNT SECURED: 0.00 AND ALL MONIES OWING}

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

PREMISES/PROPERTY INFORMATIONS

^{Date 18/03/2008}

^{Tax rate 10}

^{Site Address 9 TUAS AVENUE 10}

^{Town SINGAPORE}

^{Postcode 639133}

^{Country Singapore}

^{Annual Value 481,000}

*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).

*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.

BANKERS

^{DBS BANK LTD.}

SHAREHOLDERS(S)

^{ENODIS GROUP LTD 3,000,000 Company}

^{Street : WASHINGTON HOUSE, 40-41}

^{CONDUIT STREET}

^{Town : LONDON W1S 2 YQ}

^Postcode:

^{Country : United Kingdom}

FORMER SHAREHOLDER(S)

^{LAM HOLDINGS (PTE.) LTD. 2,130,000}

^{YEO GEK KIANG JASMIN 180,000}

^{LAM YEN YONG}

^{CHEW MING SUN 90,000}

^{CHEW KIN MUN GERALD 300,000}

^{CHEW WAI MUN KELVIN 300,000}

HOLDING COMPANY

^{ENODIS GROUP LTD UF45718R % : 100}

SUBSIDIARY(IES)

^{FABRISTEEL (M) SDN BHD}

^{SHANGHAI FABRISTEEL FOODSERVICE INT TRADE CO LTD}

^{FSV PRIVATE LIMITED}

^{NANHAI FABRISTEEL KITCHEN WARE CO LTD}

PAYMENT HISTORY AND EXPERIENCES

^{Trade Morality : AVERAGE}

^{Liquidity : SUFFICIANT}

^{Payments : REGULAR}

^{Trend : UPWARD}

^{Financial Situation: AVERAGE}

FINANCIAL ELEMENTS

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

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

^{Date Account Lodged : 27/07/2007}

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

^{Number of weeks : 52 52}

^{Consolidation Code : CONSOLIDATED CONSOLIDATED}

^{--- ASSETS ---}

^{Preliminary Exp - 174,306}

^{Tangible Fixed Assets : 6,326,071 6,829,606}

^{Total Fixed Assets : 6,326,071 7,003,912}

^{Inventories : 8,208,397 9,203,570}

^{Receivables : 5,769,002 5,804,800}

^{Cash,Banks, Securitis : 3,042,467 1,919,988}

^{Other current assets : 771,041 647,983}

^{Total Current Assets : 17,790,907 17,576,341}

^{TOTAL ASSETS : 24,116,978 24,580,253}

^{--- LIABILITIES ---}

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

^{Reserves : -292,221 -82,635}

^{Profit & loss Account: 13,663,682 11,068,504}

^{Total Equity : 16,371,461 13,985,869}

^{L/T deffered taxes : 168,703 -}

^{Total L/T Liabilities : 168,703 -}

^{Trade Creditors : 2,377,810 2,560,680}

^{Prepay. & Def. charges: 2,486,464 1,981,130}

^{Advanced payments : 505,294 1,346,090}

^{Due to Bank : - 2,678,521}

^{Provisions : 68,733 34}

^{Other Short term Liab.: 2,138,513 2,027,929}

^{Total short term Liab.: 7,576,814 10,594,384}

^{TOTAL LIABILITIES : 7,745,517 10,594,384}

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

^{Net Sales 32,277,326 26,900,282}

^{Purchases,Sces & Other Goods: 21,433,356 19,011,808}

^{Gross Profit : 10,843,970 7,888,474}

^{Result of ordinary operations 3,405,437 1,112,342}

^{NET RESULT BEFORE TAX : 3,286,703 866,672}

^{Tax : 691,525 155,339}

^{Net income/loss year : 2,595,178 711,333}

^{Interest Paid : 118,734 245,670}

^{Depreciation : 555,153 491,983}

^{Directors Emoluments : 576,506 427,045}

^{Wages and Salaries : 5,095,966 4,816,927}

^{Financial Income : 16,047 13,436}

RATIOS

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

^{Turnover per employee : 307403.10 256193.16}

^{Net result / Turnover(%) : 0.08 0.03}

^{Fin. Charges / Turnover(%): 0.00 0.01}

^{Stock / Turnover(%) : 0.25 0.34}

^{Net Margin(%) : 8.04 2.64}

^{Return on Equity(%) : 15.85 5.09}

^{Return on Assets(%) : 10.76 2.89}

^{Net Working capital : 10214093.00 6981957.00}

^{Cash Ratio : 0.40 0.18}

^{Quick Ratio : 1.16 0.73}

^{Current ratio : 2.35 1.66}

^{Receivables Turnover : 64.34 77.68}

^{Leverage Ratio : 0.47 0.76}

^{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}

^{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

^{THE FINANCIAL CONDITION OF THE GROUP WAS SEEN TO BE FAIR IN VIEW OF THE FOLLOWING:}

^{NET WORTH:}

^{THE BALANCE SHEET WAS CONSIDERED PASSABLE WITH NET WORTH IMPROVED BY 17.06% FROM S$13,985,869 IN FY 2005 TO S$16,371,461 IN FY 2006. THIS WAS DUE TO HIGHER ACCUMULATED PROFIT OF S$13,663,682 (2005: S$11,068,504); A RISE OF 23.45% FROM THE PRIOR FINANCIAL YEAR.}

^LEVERAGE:

^{IN THE SHORT-TERM, SUBJECT WAS LARGELY FINANCED BY ACCRUALS WHICH MADE UP 32.82% (2005: 18.69%) OF THE TOTAL CURRENT LIABILITIES AND AMOUNTED TO S$2,486,464 (2005: S$1,981,130). THE BREAKDOWN IS AS FOLLOWS:}

^{-ACCRUED EXPENSES - 2006: S$2,486,464 (2005: S$1,981,130)}

^{AMOUNT DUE TO BANKS OF S$118,010 (2005: S$2,678,521) CONSISTED OF:}

^{-BANK LOAN, PAYABLE WITHIN ONE YEAR - 2006: - (2005: S$2,500,000)}

^{-BANK OVERDRAFT - FIXED ADVANCE FACILITY - 2006: - (2005: S$178,521)}

^{IN ALL, LEVERAGE RATIO FELL FROM 0.76 TIMES TO 0.47 TIMES AS A RESULT OF A DECLINE IN TOTAL LIABILITIES AND A RISE IN TOTAL EQUITY.}

^LIQUIDITY:

^{IN GENERAL, SUBJECT'S LIQUIDITY SITUATION WAS PASSABLE AS SEEN FROM THE RISE IN NET WORKING CAPITAL AND LIQUIDITY RATIOS. CURRENT RATIO ROSE TO 2.35 TIMES, UP FROM 1.66 TIMES AND QUICK RATIO IMPROVED TO 1.16 TIMES FROM 0.73 TIMES IN FY 2005.}

^{SIMILARLY, NET WORKING CAPITAL IMPROVED BY 46.29% FROM S$6,981,957 IN FY 2005 TO S$10,214,093.}

^{CASH AND CASH EQUIVALENTS COMPRISE OF:}

^{-FIXED DEPOSITS - 2006: S$462,543 (2005: S$205,436)}

^{-CASH AND BANK BALANCES - 2006: S$2,579,924 (2005: S$1,714,552)}

^{PROFITABILITY:}

^{REVENUE POSTED AN INCREASE OF 19.99% FROM S$26,900,282 IN FY 2005 TO S$32,277,326 AND NET PROFIT ROSE BY 2.65 TIMES TO S$2,595,178 (2005: S$711,333). HENCE, NET MARGIN ROSE TO 8.04% (2005: 2.64%).}

^{DEBT SERVICING:}

^{DEBT SERVICING PROBLEMS MIGHT NOT BE EXPECTED IF REVENUE AND EARNINGS CAN BE MAINTAINED AND PAYMENT BY TRADE DEBTORS ARE FORTHCOMING. IN ADDITION, ITS INTEREST COVERAGE WAS HEALTHY CONSIDERING THAT ITS INTEREST EXPENSES WERE LOW AT S$118,734 IN FY 2006 (2005: S$245,670).}

^{NON-CURRENT ASSETS:}

^{THE FOLLOWING ITEMS ARE CLASSIFIED UNDER PRELIMINARY:}

^{-PROVISION FOR DEFERRED TAX - 2006: - (2005: S$174,306)}

^{NOTES TO THE FINANCIAL STATEMENTS:}

^{BANK OVERDRAFT AND BANK LOAN}

^{THE DETAILS OF BANK LOAN WERE AS FOLLOWS:}

^{FIXED ADVANCE FACILITY}

^{INTEREST RATE - 2006: 5.15% (2005: 3.5% TO 5.15%) P.A.}

^{REPAYMENTS: WITHIN ONE YEAR}

^{THE ABOVE LIABILITIES AND OTHER BANKING FACILITIES ARE SECURED BY THE LEGAL MORTGAGE ON ONE OF THE COMPANY'S LEASEHOLD PROPERTIES AND THE PERSONAL GUARANTEE OF THE DIRECTORS.}

^{THE BANK OVERDRAFT INTEREST RATE DURING THE FINANCIAL YEAR IS AT 4.75%}

^{(2005: 4.75%) PER ANNUM.}

^{CONTINGENT LIABILITIES}

^{AS AT 31/12/2006, THERE WERE CONTINGENT LIABILITY (SECURED) AS FOLLOW:}

^{LETTER OF GUARANTEE - 2006: S$1,658,907 (2005: S$1,373,355)}

^{SUBSEQUENT EVENT}

^{ON 08/01/2007, ENODIS GROUP LIMITED, INCORPORATED IN THE UNITED KINGDOM, ACQUIRED ALL THE SHARES OF FABRISTEEL PRIVATE LIMITED AND BECAME THE IMMEDIATE HOLDING COMPANY OF FABRISTEEL PRIVATE LIMITED AND ITS SUBSIDIARIES. AS A RESULT OF THE ACQUISITION, ENODIS PLC, INCORPORATE IN THE UNITED KINGDOM, THE HOLDING COMPANY OF ENODIS GROUP LIMITED, HAD BECOME THE ULTIMATE HOLDING COMPANY OF FABRISTEEL PRIVATE LIMITED AND ITS SUBSIDIARIES.}

BACKGROUND/OPERATION

^{THE SUBJECT WAS INCORPORATED IN THE REPUBLIC OF SINGAPORE ON 10/11/1979 AS A LIMITED PRIVATE COMPANY AND IS TRADING UNDER ITS PRESENT NAMESTYLE AS "FABRISTEEL PRIVATE LIMITED".}

^{THE COMPANY HAS AN 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 AND CORPORATE REGULATORY AUTHORITY (ACRA) BE PRINCIPALLY ENGAGED IN THE BUSINESS OF:}

^{1) MANUFACTURE OF STEAM GENERATORS EXCEPT CENTRAL HEATING HOT WATER BOILERS; MANUFACTURE OF FABRICATED METAL PRODUCTS EXCEPT MACHINERY & EQUIPMENT}

^{2) MANUFACTURE OF TABLE, KITCHEN AND OTHER CUTLERY DURING THE FINANCIAL YEAR UNDER REVIEW, THE PRINCIPAL ACTIVITIES OF THE COMPANY CONSIST OF FABRICATION AND PRODUCTION OF MATERIAL HANDLING EQUIPMENT AND UTENSILS OF ALL KINDS.}

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

^{SUBJECT IS LISTED IN THE SINGAPORE LOCAL DIRECTORY UNDER THE CLASSIFICATION OF: SHEET METAL SPECIALTIES}

^{SUBJECT ENGAGES IN THE FOLLOWING ACTIVITIES:}

^{* MANUFACTURER OF STAINLESS STEEL KITCHEN EQUIPMENT, FOOD SERVICES EQUIPMENT, COMMERCIAL REFRIGERATION, LAUNDRY EQUIPMENT, HOUSEKEEPING EQUIPMENT, EMERGENCY VEHICLES. DESIGN, PLANNING AND SUPERVISION OF HOTEL, RESTAURANT, CLUB, HOSPITAL PROJECTS; MOBILE KITCHEN, EMERGENCY & RESCUE VEHICLES AND EQUIPMENT.}

^{TRADE NAMES PRODUCTS:}

^{* ARPIN BAKING OVENS (FR)}

^{* BAKERS PRIDE CHAR BOILERS, DECK OVENS (US)}

^{* BERTO'S TOASTERS (IT)}

^{* BLENDTEC COMMERCIAL BLENDERS}

^{* CARPIGIANI ICE CREAM MACHINES}

^{* CARTER HOFFMANN WARMING CABINETS & DISPENSERS (US)}

^{* CECILWARE COUNTERTOP COOKING EQUIPMENT (US)}

^{* CLENAGLASS GLASSWASHERS (GB)}

^{* CURTIS COFFEE MACHINES (US)}

^{* DAIWA COMMERCIAL REFRIGERATORS, ICE CUBERS, CAKE}

^{SHOWCASES (JP)}

^{* DEAN DEEP FAT FRYERS}

^{* DITO SAMA PREPARATION EQUIPMENT (FR)}

^{* ELECTROLUX COMPLETE RANGE OF COOKING EQPT}

^{* EURO-GRILL ROTARY OVENS & DISPLAY MERCHANDIERS (NL)}

^{* GRANULDISK POT WASHERS (DE)}

^{* GROEN KETTLES & BRATT PANS (US)}

^{* HACKMAN TILTING KETTLES (FI)}

^{* HALLDE FOOD PREPARATION EQUIPMENT (SE)}

^{* HARDT ROTTISERIE OVENS VARIMIXER MIXERS (SE)}

^{* HATCO DRAWER WARMERS, CONVEYOR TOASTERS, HOLDING & DISPLAY}

^{CABINETS, SMOKE OVENS, WATER BOOSTER HEATERS}

^(US)

^{* I M C REFRIGERATED BAR DISPLAY COOLERS (GB)}

^{* ICEMATIC ICE MAKING MACHINES (IT)}

^{* ICE-O-MATIC ICE MAKING MACHINES (US)}

^{* KYSOR NAX DISPLAY CABINETS (US)}

^{* KAJIWARA INDUSTRIAL COOKING EQUIPMENT (JP)}

^{* LAINOX COMBI/STEAM OVENS (IT)}

^{* LINCOLN IMPINGER CONVEYOR OVENS SHOWCASES (US)}

^{* MADO MINCER, BONE CUTTER (DE)}

^{* M K N COMPLETE RANGE OF COOKING EQUIPMENT (DE)}

^{* OZAKI JAPANESE COOKING EQPT}

^{* PRINCE CASTLE BUN TOASTERS, TIMERS, FRYER BASKETS, OIL POLISHERS, ETC. (US)}

^{* RIEBER FOOD TRANSPORT SYSTEMS}

^{* SOCAMEL HOT/COLD FOOD TROLLEYS (FR)}

^{* SOUTHBEND COMPLETE RANGE OF COOKING EQUIPMENT (US)}

^{* TITAN MIXERS (US)}

^{* TOASTWELL TOASTERS, WAFFLE BAKERS, ROLL WARMERS (US)}

^{* TRUE WESTERN COMMERCIAL REFRIGERATORS & MERCHANDIERS (US)}

^{* WELLS FRYERS}

^{* WEXIODISK DISHWASHING MACHINES (SE)}

^{* WILLIAMS COMMERCIAL REFRIGERATORS CABINETS, DISPLAY WARMERS, BREADING TABLES (US)}

^{* ZANUSSI COMPLETER RANGE OF COOKING EQUIPMENT (IT) MARKET PRESENCE:}

^{* ASIA}

^{INDUSTRIES SERVED:}

^{* HOSPITALITY AND RESTAURANT}

^{* MASS CATERING (EG SCHOOLS, HOSPITALS, IN-FLIGHT CATERING, CORRECTIONAL FACILITIES AND CORPORATE CANTEENS, ETC)}

^{* HOTELS}

^{* ETC}

^{BCA, BUILDING & CONSTRUCTION AUTHORITY (SINGAPORE) REGISTERED WORK HEADS/DESCRIPTION/TENDERING LIMIT:}

^{* ME11/MECHANICAL ENGINEERING/L5 $10 MILLION}

^{* SY08/MECHANICAL EQUIPMENT, PLANT & MACHINERY/L5 $10 MILLION}

^{QUALITY ASSESSMENT:}

^{* ISO 9001}

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

^{* SINGAPORE MANUFACTURERS' FEDERATION}

^{* ASSOCIATION OF SMALL & MEDIUM ENTERPRISES}

^{* SINGAPORE BUSINESS FEDERATION}

^{FROM THE TELE-INTERVIEW CONDUCTED, THE FOLLOWING WAS GATHERED:}

^{NO. OF EMPLOYEES:}

^{* 2008: 105}

^{NO OTHER TRADE INFORMATION WAS MADE AVAILABLE}

^{THE HOLDING AND ULTIMATE HOLDING COMPANY IS LAM HOLDINGS (PTE.) LTD, INCORPORATED IN SINGAPORE.}

^{NUMBER OF EMPLOYEES (31 DECEMBER):}

^{* COMPANY - 2006: 105 (STAFF: 101; DIRECTORS: 4)}

^{- 2005: 102 (STAFF: 98; DIRECTORS: 4)}

^{- 2004: 99 (STAFF: 95; DIRECTORS: 4)}

^{- 2003: 99 (STAFF: 95; DIRECTORS: 4)}

^{* GROUP - 2006: 313 (STAFF: 307; DIRECTORS: 6)}

^{- 2005: 288 (STAFF: 282; DIRECTORS: 6)}

^{- 2004: 284 (STAFF: 279; DIRECTORS: 5)}

^{- 2003: 246 (STAFF: 240; DIRECTORS: 6)}

^{REGISTERED AND BUSINESS ADDRESS:}

^{9 TUAS AVENUE 10}

^{SINGAPORE 639133}

^{DATE OF CHANGE OF ADDRESS: 09/01/1995}

^{- OWNED PREMISE}

^WEBSITE:

^{http://www.fabristeel.com.sg}

^EMAIL:

^{corp@Fabristeel.com.sg}

MANAGEMENT

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

^{1) KEVIN NICHOLAS BLADES, A BRITISH}

^{- BASED IN UNITED KINGDOM.}

^{2) JAN CHRISTIAN KARSSIENS,, AN AMERICAN}

^{- BASED IN CHINA.}

^{3) TAY HUN KIAT A SINGAPOREAN}

^{- HOLDS NO OTHER DIRECTORSHIPS AS RECORDED IN OUR DATABASE.}

^{4) LAM TECK YEOW LEONARD, A SINGAPOREAN}

^{- HOLDS NO OTHER DIRECTORSHIPS AS RECORDED IN OUR DATABASE.}

ADVERSE ON DIRECTORS

^{DIRECTOR'S NAME : TAY HUN KIAT}

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

^{PROPERTY OWNERSHIP 1}

^{ANNUAL VALUE : S$66,000}

^{CO-OWNER(S) : WINNIE TAN}

^{DIRECTOR'S NAME :LAM TECK YEOW, LEONARD}

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

^{PROPERTY OWNERSHIP 1}

^{ANNUAL VALUE : S$32,400}

^{CO-OWNER(S) : WONG CHIUNG ING}

* 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 5.4% IN 4Q 2007, SLOWER THAN THE 9.5% GROWTH IN 3Q 2007. GROW MOMENTUM WAS LED BY CONSTRUCTION AND FINANCIAL SERVICES. FOR THE WHOLE OF 2007, THE ECONOMY GREW BY 7.7%, DOWN FROM 8.2% IN 2006.

THE MANUFACTURING SECTOR ROSE BY 0.2% IN 4Q 2007, SLOWER THAN THE 11.0% IN 3Q 2007. THE SMALL GROWTH WAS ATTRIBUTED TO A 28.0% CONTRACTION IN THE BIOMEDICAL MANUFACTURING SECTOR. ON THE OTHER HAND, ELECTRONICS, CHEMICALS, PRECISION ENGINEERING AND TRANSPORT ENGINEERING SECTOR PERFORMED BETTER. OVERALL, THE MANUFACTURING SECTOR POSTED A 5.8% GROWTH IN 2007, DOWN FROM 12.0% IN 2006.

THE FINANCIAL SERVICES SECTOR ROSE SIGNIFICANTLY BY 16% IN 4Q 2007, FOLLOWING A 20% GROWTH IN THE PREVIOUS QUARTER. MOST SECTORS EXPERIENCE STRONG EXPANSION WITH THE EXCEPTION OF STOCK BROKING AND FUND MANAGEMENT ACTIVITIES WHICH HAVE SLOWED DOWN. OVERALL, THE FINANCIAL SERVICES SECTOR POSTED A 17% GROWTH IN 2007, HIGHER THAN 11.0% IN 2006.

THE CONSTRUCTION SECTOR REGISTERED A STRONG GROWTH. THE SECTOR GREW BY 24%, FOLLOWING 20% GAIN IN 3Q 2007. GROWTH MOMENTUM FOR THE WHOLE YEAR GREW 20%, ITS FASTEST GROWTH SINCE 1996.

THE WHOLESALE AND RETAIL TRADE SECTOR GREW BY 6.0% IN 4Q 2007, SLOWER THAN THE 6.8% GROWTH IN 3Q 2007. NON-OIL RE-EXPORTS SAW GROWTH REDUCED FROM 9.0% IN 3Q 2007 TO 7.0% IN 4Q 2007. RETAIL SALES FELL BY 2.5% IN 4Q 2007, FOLLOWING A 1.5% GROWTH IN 3Q 2007. OVERALL, THE WHOLESALE AND RETAIL TRADE SECTOR POSTED A 7.3% GROWTH IN 2007, DOWN FROM 10.0% IN 2006.

THE TRANSPORT AND STORAGE SECTOR ROSE BY 5.4% IN 4Q 2007, FROM 5.0% IN 3Q 2007. HIGHER GROWTH IN THE SEA TRANSPORT SEGMENT WAS OFFSET BY SLOWER GROWTH IN THE AIR TRANSPORT SEGEMENT. OVERALL, THE TRANSPORT AND STORAGE SECTOR POSTED A 5.1% GROWTH IN 2007, UP FROM 4.7% IN 2006.

THE HOTELS AND RESTAURANTS SECTOR GREW BY A SMALLER 2.5% FROM 4.9% IN 3Q 2007. VISITOR ARRIVALS ROSE 5.5% IN 4Q 2007, SIMILAR TO 5.4% RISE IN 3Q 2007. HOWEVER, THE AVERAGE OCCUPANCY RATE OF HOTELS DIPPED TO 86.0% IN 4Q 2007 FROM 88.0% IN 4Q 2006. VISITOR ARRIVALS ROSE 5.4% TO REACH A RECORD OF 10.3 MILLION IN 2007. OVERALL, THE HOTELS AND RESTAURANTS SECTOR POSTED A 4.4% GROWTH IN 2007, DOWN FROM 4.8% IN 2006.

THE INFORMATION AND COMMUNICATIONS SECTOR ROSE 6.1% IN 4Q 2007, SLIGHTLY SLOWER THAN THE 6.6% IN 3Q 2007. BOTH THE TELECOMMUNICATIONS AND IT SERVICES SEGMENTS REMAINED HEALTHY DURING THE QUARTER. FOR THE TELECOMMUNICATIONS SEGMENT, THE GROWTH OF INTERNATIONAL TELEPHONE CALLS DURATION AND NUMBER OF SUBSCRIBERS FOR BOTH MOBILE PHONE SERVICE AND BROADBAND INTERNET REMAINED STRONG. OVERALL, THE INFORMATION AND COMMUNICATIONS SECTOR POSTED A 6.3% GROWTH IN 2007, UP FROM 4.6% IN 2006.

THE BUSINESS SERVICES SECTOR EXPANDED BY 8.7%, HIGHER THAN THE 7.5% GAIN IN 3Q 2007. GROWTH WAS HEALTHY ACROSS ALL SEGMENTS, WITH GOOD PERFORMANCES IN THE BUSINESS REPRESENTATIVE OFFICES AND REAL ESTATE SEGMENTS. OVERALL, THE BUSINESS SERVICES SECTOR POSTED A 7.8% GROWTH IN 2007, UP FROM 6.9% IN 2006.

NEWS

SINGAPORE ECONOMY GROWS 7.2% ON STRONG SHOWING IN MANUFACTURING

SINGAPORE’S ECONOMY TURNED OUT TO BE SURPRISINGLY RESLIENT IN THE FIRST QUARTER, EASILY BEATING MARKET EXPECTATIONS WITH STRONG GROWTH OF 7.2%.

THE ADVANCE ESTIMATES ISSUED BY THE MINISTRY OF TRADE AND INDUSTRY (MTI) REPORTED YESTERDAY WERE A MARKED IMPROVEMENT OVER THE 5.4% POSTED IN THE FINAL QUARTER OF LAST YEAR. EARLIER REPORTS HAD SUGGESTED MARKET EXPECTATIONS OF 5.9% GROWTH. ON A SEASONALLY ADJUSTED ANNUALISED BASIS, THE ECONOMY GREW AT A BREAKNECK RATE OF 16.9% QUARTER-ON-QUARTER. IT SHRANK 4.8% IN 4Q 2007.

HOWEVER, ECONOMISTS DO NOT BELIEVE THE STRONG PERFORMANCE SIGNIFIES AN UPTREND FOR THE REST OF THE YEAR. THEY POINT TO A POTENTIAL RECESSION IN THE UNITED STATES AND RISING GLOBAL INFLATION.

MANUFACTURING AND SERVICES WERE CONTRIBUTORS TO THE BETTER-THAN-EXPECTED FIRST QUARTER GROWTH.

MANUFACTURING IS ESTIMATED TO HAVE EXPANDED BY 13.2% IN THE FIRST QUARTER, COMPARED TO A SMAL 0.2% RISE IN THE PREVIOUS THREE MONTHS. IT WAS ALSO CONSIDERABLY HIGHER THAN THE 3.9% REGISTERED IN 1Q 2007.

THIS WAS LARGELY DUE TO A SURGE IN BIOMEDICAL MANUFACTURING OUTPUT. THE REST OF THE MANUFACTURING CLUSTERS ALSO ENJOYED BETTER PERFORMANCES WITH THE EXCEPTION OF TRANSPORT ENGINEERING AND PRECISION ENGINEERING CLUSTER WHO ENJOY MODERATE GROWTH.

SERVICES INDUSTRIES GROW 7.6%, SIMILAR TO THE 7.7% IN 4Q 2007 AS WELL AS IN 1Q 2007. FINANCIAL SERVICES CONTINUED TO BE THE FASTEST-GROWING AMONG THE SERVICES SECTORS.

HOWEVER, THE FIGURE FOR THE SLOWING CONSTRUCTION SECTOR WAS LESS ROSY WITH GROWTH SLIPPING TO 14.6% FROM 24.3% IN 4Q 2007.

UNITED OVERSEAS BANK ECONOMIST HO WOEI CHEN SAID THIS WAS DISAPPOINTING, AFTER THREE QUARTERS OF GROWTH ABOVE 20.0%. BUT SHE STILL EXPECTED THE SECTOR TO CONTRIBUTE TO GROWTH THIS YEAR, ON THE BACK OF INFRASTRCTURE PROJECTS SUCH AS THE INTEGRATED RESORTS AND THE PROPOSED SPORTS HUB IN KALLANG.

ECONOMISTS WERE SURPRISED BY WHAT THEY SAID AMOUNTED TO A CONTRACTION IN THE INDUSTRY BUT THEY REMAINED CONFIDENT THAT GROWTH WAS STILL HEALTHY AND IN LINE WITH THEIR FORECASTS FOR THE YEAR, WHICH RANGED FROM 10.0%

TO 25.0%.

CIMG-GK ECONOMIST SOGN SENG WUN SAID THAT RISING INFLATION, ESPECIALLY FOR FOOD PRICES, WILL BE A MAJOR CONCERN. “PEOPLE ARE FOCUSING ON ISSUES SUCH AS THE RISING PRICE OF RICE AND THIS IS SOMETHING THAT COULD PERSIST FOR THE REST OF THE YEAR”.

NONE OF THE ECONOMISTS INTERVIEWED REVISE FULL-YEAR GROWTH FORECASTS WHICH RANGE FROM 4.7% TO 5.5%. MTI HAS FORECAST A RANGE OF 4.0% TO 6.0% FOR THE YEAR.

OUTLOOK

AFTER THE LAST REVIEW IN NOVEMBER 2007, THE OUTLOOK FOR EXTERNAL DEMAND IN 2008 HAS WORSENED AND THERE ARE INCREASED DOWNSIDE RISKS. COMPARED TO THE FORECAST THREE MONTHS AGO, THERE IS BROAD CONSENSUS NOW THAT THE US ECONOMY IS ENTERING A SLOWDOWN. THE LENGTH AND SEVERITY OF THE SLOWDOWN REMAINS TO BE SEEN, AND IT WILL AFFECT COUNTRIES WORLDWIDE AND KEY INDUSTRIES.

TAKING INTO ACCOUNT THE RISE IN DOWNSIDE RISKS, THE MINISTRY OF TRADE AND INDUSTRY LOWERED THE ECONOMIC FORECAST FOR THE SINGAPORE ECONOMY TO GROW BY 4.0-6.0% IN 2008, DOWN FROM THE GROWTH FORECAST OF 4.5-6.5% EARLIER.

CURRENT CONDITIONS INDICATE THAT THE US ECONOMY WILL LIKELY ENTER A MILD RECESSION IN THE FIRST HALF BUT ITS STRONG FUNDAMENTALS, COUPLED WITH FISCAL AND MONETARY STIMULUS, WILL ASSIST TO SUPPORT RECOVERY IN THE SECOND HALF. REGIONAL ECONOMIES WILL HAVE MODERATE BUT HEALTHY GROWTH. SINGAPORE’S GDP GROWTH WILL THEN BE IN THE UPPER HALF OF THE FORECAST RANGE. HOWEVER, IF THE US FALLS INTO A MORE SEVERE RECESSION, THE REGION WILL BE MORE SIGNIFICANTLY AFFECTED. THE IMPACT ON THE SINGAPORE ECONOMY WILL ALSO BE STRONGER, PARTICULARLY IN THE SENTIMENT-SENSITIVE AND EXPORT-ORIENTED SECTORS LIKE FINANCIAL SERVICES, WHOLESALE TRADE AND ELECTRONICS. IN THIS ENVIRONMENT, THE SINGAPORE ECONOMY WILL GROW AT A SLOWER PACE, NEARER THE LOWER END OF THE FORECAST RANGE.

IN THE FINANCIAL SERVICES INDUSTRY, A NET WEIGHTED BALANCE OF 19% OF FIRMS, ESPECIALLY INSURANCE COMPANIES AND FIRMS PROVIDING CREDIT CARD SERVICES, REMAINS POSITIVE ABOUT THE BUSINESS OUTLOOK IN THE MONTHS AHEAD.

IN THE REAL ESTATE INDUSTRY, A NET WEIGHTED BALANCE OF 17% OF FIRMS, EXPECT BUSINESS TO BE BRISK FOR THE COMING MONTHS.

MANUFACTURING FIRMS ARE CAUTIOUS ABOUT BUSINESS CONDITIONS FOR THE PERIOD ENDING JUNE 2008. A NET WEIGHTED BALANCE OF 2% OF MANUFACTURERS FORECAST BETTER BUSINESS, LOWER THAN THE 7% REGISTERED IN THE SAME PERIOD LAST YEAR AND THE 25% RECORDED IN THE PREVIOUS QUARTER.

GENERALLY, WHOLESALERS ARE POSITIVE ABOUT THEIR BUSINESS PROSPECTS IN THE COMING MONTHS, WITH A NET WEIGHTED BALANCE OF 4% OF FIRMS EXPRESSING POSITIVE BUSINESS SENTIMENTS. THE MAJORITY OF WHOLESALERS OF PETROLEUM AND PETROLEUM PRODUCTS, CHEMICALS AND CHEMICAL PRODUCTS, INDUSTRIAL MACHINERY AND EQUIPMENT AND COMPUTERS AND ACCESSORIES FORECAST BUSINESS OUTLOOK TO REMAIN THE SAME IN THE FIRST SIX MONTHS OF 2008 COMPARED WITH THE LAST SIX MONTHS IN 2007.

A NET WEIGHTED BALANCE OF 12% OF RETAILERS PREDICTS LESS FAVOURABLE BUSINESS CONDITIONS FOR THE PERIOD ENDING JUNE 2008. AS A RESULT OF THE REDUCED CERTIFICATE OF ENTITLEMENT (COE) QUOTA, MOTOR VEHICLES RETAILERS ARE ESPECIALLY CONCERNED WITH THE SALES.

IN THE TRANSPORT AND STORAGE INDUSTRY, A NET WEIGHTED BALANCE OF 5% OF FIRMS FORECASTS LESS FAVOURABLE BUSINESS CONDITIONS FOR THE COMING MONTHS.

IN THE SERVICES INDUSTRY, A NET WEIGHTED BALANCE OF 8% OF FIRMS, EXPECT BUSINESS TO BE BRISK FOR THE COMING MONTHS. THIS IS SMALLER THAN THE 18% REGISTERED IN THE SAME PERIOD LAST YEAR AND THE 23% RECORDED IN THE PREVIOUS QUARTER. HOTELIERS REMAIN BULLISH ON BUSINESS CONDITIONS FOR THE COMING MONTHS, WITH A NET WEIGHTED BALANCE OF 35% OF HOTELIERS EXPECTING THEIR BUSINESSES TO RISE IN ANTICIPATION OF EXPECTED INCREASES IN ROOM RATES AND HIGHER OCCUPANCY RATES. IN THE CATERING TRADE INDUSTRY, A NET WEIGHTED BALANCE OF 27% OF CATERERS ANTICIPATES MORE FAVOURABLE BUSINESS CONDITIONS.

IN THE INFORMATION AND COMMUNICATIONS INDUSTRY, A NET WEIGHTED BALANCE OF 9% OF FIRMS PREDICTS A HIGHER DEMAND FOR THEIR SERVICES, IN PARTICULAR THE NETWORK OPERATORS.

IN THE BUSINESS SERVICES INDUSTRY, AN OVERALL NET WEIGHTED BALANCE OF 19% OF FIRMS EXPECTS POSITIVE SENTIMENTS. THESE INCLUDE ACCOUNTING, BOOK-KEEPING AND AUDITING, RENTING OF CONSTRUCTION AND INDUSTRIAL MACHINERY AND RENTING OF TRANSPORT EQUIPMENT.

EXTRACTED FROM: MINISTRY OF TRADE AND INDUSTRY, SINGAPORE

SINGAPORE DEPARTMENT OF STATISTICS

THE STRAITS TIMES

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.42.33
UK Pound	1	Rs.84.32
Euro	1	Rs.66.75

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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