MIRA INFORM REPORT

Report Date :

28.07.2008

IDENTIFICATION DETAILS

Name :	RI.MA. - S.R.L.
Registered Office :	Via Stephenson, 32 20019- Settimo Milanese (MI)
Country :	Italy
Financials (as on) :	30.09.2007
Date of Incorporation :	26.10.1972
Com. Reg. No.:	MI146-150998
Legal Form :	Limited Liability Company
Line of Business :	Wholesale of Farming Machinery and Equipment, Tractors included.

RATING & COMMENTS

MIRA’s Rating :

A

RATING		STATUS	PROPOSED CREDIT LINE
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

Maximum Credit Limit :	Eur 436.000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear

name & address

RI.MA. - S.R.L.

Via STEPHENSON, 32

20019 - Settimo Milanese (MI) -IT-

SUMMARY

Fiscal Code	:	00882160153
Legal Form	:	Limited liability company
Start of Activities	:	26/10/1972
Patrimonial Consistence	:	Over 2.500.000 Eur
Turnover Range	:	7.750.000/9.000.000 Eur
Number of Employees	:	from 26 to 35

CREDIT ANALYSIS

CREDIT OPINION	:	436.000 - Eur
Score	:	Risk normal
Creditworthness Rate	:	Good
		Under the financial aspect a certain balance is reported which leads
		to a credit with a very limited risk.

ACTIVITY

Wholesale of farming machinery and equipment, tractors included.

Wholesale of farming machinery.

LEGAL DATA

Legal Form : Limited liability company

Fiscal Code : 00882160153

Foreign Trade Reg. no. : 11029 of Milano since 05/12/1991

Chamber of Commerce no. : 848663 of Milano since 29/11/1972

Firms' Register : MI146-150998 since 19/02/1996

Foundation Date	: 26/10/1972
Establishment Date	: 26/10/1972
Start of Activities	: 26/10/1972
Legal Duration Date	: 31/12/2100
Nominal Capital	: 50.000	Eur
Subscribed Capital	: 50.000	Eur
Paid up Capital	: 50.000	Eur

MEMBERS

Sartirana

Luigi

Born in MILANO

(MI)

on 23/05/1938

- Fiscal Code : SRTLGU38E23F205P

Residence :

Via

FROSINONE

, 0010

- 20100

Milano

(MI)

- IT -

Position	Since	Shares Amount	% Ownership
Board Chairman	29/02/1988

Molgora

Sergio

Born in MILANO

(MI)

on 06/07/1933

- Fiscal Code : MLGSRG33L06F205Y

Residence :

Via

PIAVE

, 0134

- 21047

Saronno

(VA)

- IT -

Position	Since	Shares Amount	% Ownership
Director	10/07/1979

Sartirana

Mauro Antonio

Born in MILANO

(MI)

on 13/08/1968

- Fiscal Code : SRTMNT68M13F205K

Residence :

Via

BAREGGIO

, 21

- 20090

Cusago

(MI)

- IT -

Position	Since	Shares Amount	% Ownership
Director	29/02/1988

COMPANIES CONNECTED TO MEMBERS *

*checkings have been performed on a national scale.

The Members of the subject firm are not reported to be Members in other companies.

CAPITAL SHAREHOLDERS

Style / Name	Seat / Address	Fiscal Code	Owned Shares	% of Ownership
SARMA S.R.L.	Milano - IT -	03586000154	14.687 .Eur	29,37
Sartirana Luigi	Milano - IT -	SRTLGU38E23F205P	10.000 .Eur	20,00
Molgora Sergio	Saronno - IT -	MLGSRG33L06F205Y	10.000 .Eur	20,00
Sartirana Mauro Antonio	Cusago - IT -	SRTMNT68M13F205K	8.375 .Eur	16,75
BOTTAN VALERIA		BTTVLR40S69L700W	2.875 .Eur	5,75
MOLGORA MONICA		MLGMNC65T59F205F	4.063 .Eur	8,13

DIRECT PARTICIPATIONS

The Company under review has no participations in other Companies.

STRUCTURE AND COMPANY ACTIVITY

In order to carry out its activities the firm uses the following locations:

-

Legal and operative seat

since 26/10/1972

in :

Via

STEPHENSON

, 32

- 20019 -

SETTIMO MILANESE

(MI)

- IT -

PHONE

: 02/47995405

-

Branch

in :

Presso

P.O. Box 14176

- 20100 -

Milano

(MI)

- IT -

-

Branch

in :

Hospitalstrasse 24

Warstein

- DE -

Employees

: 26

Fittings and Equipment

for a value of 120.000

Eur

Stocks

for a value of 2.350.000

Eur

Vehicles

for a value of 22.000

Eur

The firm operates abroad as importer / exporter. .

To purchase foreign products the firm uses the following channels :

- direct orders to foreign companies

Export represents from 20% to 50% of the global turnover.

Products abroad are placed by :

- importers

- its own agents

- direct orders from foreign companies

Import comes generally from the following nations:

- Islanda

- Grecia

- Irlanda

- Somalia

Export is mainly towards:

- Islanda

- Grecia

- Irlanda

- Somalia

PAYMENTS ANALYSIS

The average term of debts to suppliers is shorter than the sector one.

PAYMENTS SCORE : - No insolvency

CREDIT REVOLVING

During last Year, the subject of inquiry has not been monitored by our company.

PROTESTS

Protests checking on the subject firm has given a negative result.

LEGAL PROCEDURES

None reported, standing to the last received edition of the Official Publications.

IMMOVABLES *

*No specific (mortgage/cadastrial registrations) inspections have been requested.

Immovable Type	Value
Buildings	0 .

NB.: For Capital Companies the value of the Immovables is the one reported in the last available financial documents.

FINANCIAL AND ECONOMICAL ANALYSIS

Subject is active since 1972

In the economic management , good and bad results followed on by turns. ; in the last financial year a loss was registered (r.o.e. -0,88%)

The operating result was positive in the last financial year (3,06%) falling within the field's average.

The company has an excellent net worth if compared to its debts, with a low indebtedness (0,83) but slighlty increasing.

The recourse to suppliers' credit is within the limits as arises from the ratio (80 gg.), and lower than sector's average

Payments are supported by good current assets.

FINANCIAL DATA

Complete balance-sheet for the year as at

30/09/2007

(in Eur

x 1 )

Item Type	Amount	Source
Sales	8.399.041	filed balance sheet
Profit (Loss) for the period	-22.724	filed balance sheet

Complete balance-sheet for the year as at

30/09/2006

(in Eur

x 1 )

Item Type	Amount	Source
Sales	8.179.389	filed balance sheet
Profit (Loss) for the period	58.513	filed balance sheet

Complete balance-sheet for the year as at

30/09/2005

(in Eur

x 1 )

Item Type	Amount	Source
Sales	6.708.382	filed balance sheet
Profit (Loss) for the period	20.720	filed balance sheet

Complete balance-sheet for the year as at

30/09/2004

(in Eur

x 1 )

Item Type	Amount	Source
Sales	5.922.851	filed balance sheet
Profit (Loss) for the period	7.254	filed balance sheet

Complete balance-sheet for the year as at

30/09/2003

(in Eur

x 1 )

Item Type	Amount	Source
Sales	5.865.568	filed balance sheet
Profit (Loss) for the period	418.181	filed balance sheet

BALANCE SHEETS

From our constant monitoring of the Public Administration, actually, no more recent balance sheets result to be filed.

Balance Sheet as at 30/09/2007 - Months 12 - Currency Eur - Amounts x 1

Balance Sheet as at 30/09/2006 - Months 12 - Currency Eur - Amounts x 1

Years		2007	2006
	BALANCE SHEET ACCOUNTS
.
ASSETS
CREDITS TO SHAREHOLDERS
FIXED ASSETS ( NET )		225.562	313.001
. Intangible assets		76.328	92.220
. Tangible fixed assets		124.276	129.464
. . Land and buildings
. . Plants, Equipm.and Machinery		124.276	129.464
. Long-term Investments		24.958	91.317
. . Financial loans		24.958	91.317
. . Own shares
CURRENT ASSETS		4.905.981	4.817.512
. Stock		2.350.799	2.311.066
. Credits		2.461.972	2.475.033
. . Credits to clients		2.461.972	2.421.827
. . Other credits			53.206
. Short-term financial assets
. Liquid assets		93.210	31.413
ACCRUED INCOME-DEFERR. ASSETS		121.532	128.123
TOTAL ASSETS		5.253.075	5.258.636
.
LIABILITIES
NET WORTH		2.554.508	2.637.231
. Company's capital		50.000	50.000
. Reserves		2.527.232	2.528.718
. Reserves company's own shares
. Retained profits (losses)
. Profit (loss)		-22.724	58.513
PROVISION FOR RISKS AND LOSSES
SEVERANCE INDEMNITY FUND		200.808	178.986
DEBTS		2.383.215	2.340.775
. Financial M/L terms			284.193
. . Financial M/L term banks			284.193
. . Financial M/L bonds
. . Other financial M/L debts
. Financial short-term debts			671.780
. . Financial short-term banks			622.620
. . Financial short-term bonds
. . Other financial short-term debts			49.160
. M/L term debts to suppliers
. Short-term debts to suppliers			1.122.956
. Sundry M/L debts
. Sundry short-term debts			261.846
ACCRUED EXPENSE		114.544	101.644
TOTAL LIABILITIES		5.253.075	5.258.636
.
	PROFIT AND LOSS ACCOUNTS
OUTPUT VALUE		8.401.282	8.180.242
. Revenues from sales/services		8.399.041	8.179.389
. Change of stock (products)
OPERATING EXPENSES		8.240.147	7.976.994
. Purchasing expenses		6.107.063	5.922.400
. Change of stock (raw material)		-39.733	134.911
. Expenses from services		860.120	646.527
. Expenses from leasing		267.368	262.198
. General expenses/sundry charges		65.840	55.209
. Staff expenses		901.980	877.645
. Depreciation/Devaluation costs		77.509	78.104
FINANCIAL REVENUES (CHARGES)		-79.203	-59.988
. Financial charges		-89.731	-63.741
. Financial revenues		10.528	3.753
FINANCIAL ASSETS CORRECTION		-6.628
EXTRAORDINARY FINANCIAL REVENUES (CHARGES)		520	684
PROFIT (LOSS) FOR THE PERIOD		75.824	143.944
TAX		98.548	85.431
CORRECT./ALLOCAT. FISCAL RULE
NET PROFIT (LOSS)		-22.724	58.513

RATIOS	Item	O.V.	O.V.	as at 30/09/2007	as at 30/09/2006	Sector Average
Fixed assets ratio	Units	=> 1	l	12,91	9,90	2,48
Net Short-term indebtedness	Units	- 1	l	0,83	0,76	4,36
Current ratio	Units	=> 1	l	2,20	2,34	1,18
Acid Test Ratio-Liquidity Ratio	Units	=> 1	l	1,14	1,21	0,77
Return on Sales	%		l	0,65	1,67	1,65
Average stock waiting period	dd		l	100,72	101,70	61,95
Credits to clients average term	dd		l	105,51	106,56	98,49
Debts to suppliers average term	dd		l	80,00	59,14	120,48
Net financial revenues/ charges incidence	%		l	- 0,94	- 0,73	- 0,83
Labour cost incidence	%		l	10,73	10,72	7,09

O.V. = Optimal Value. When not present refer to the sector's.

A coloured item indicates the opinion of the rate during the last financial year

(green=good; orange=not optimal; red=insufficient; n.c.=not computable)

CREDIT OPINION

On the basis of the above mentioned, and the sales volume obtained, we deem that the maximum exposure for short and medium term transactions ( 90 - 120 days ) could be of:

436.000 .Eur.

MARKET / TERRITORY DATA

Population living in the province	:	3.839.216
Population living in the region	:	9.393.092
Number of families in the region	:	3.858.736

Monthly family expences average in the region (in Eur.) :

- per food products	:	460
- per non food products	:	2.090
- per energy consume	:	114

SECTOR DATA

The values are calculated on a base of 6.238 significant companies.

The companies cash their credits on an average of 98 dd.

The average duration of suppliers debts is about 120 dd.

The sector's profitability is on an average of 1,65%.

The labour cost affects the turnover in the measure of 7,09%.

Goods are held in stock in a range of 61 dd.

The difference between the sales volume and the resources used to realize it is about 1,60.

The employees costs represent the 7,09% of the production costs.

STATISTICAL DETRIMENTAL DATA

Statistcally the trade activity shows periods of crisis.

The area is statistically considered lowly risky.

In the region 50.886 protested subjects are found; in the province they count to 24.765.

The insolvency index for the region is 0,55, while for the province it is 0,66.

Total Bankrupt companies in the province : 22.523.

Total Bankrupt companies in the region : 39.612.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.42.54
UK Pound	1	Rs.84.86
Euro	1	Rs.66.95

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