MIRA INFORM REPORT

Report Date :

29.07.2008

IDENTIFICATION DETAILS

Name :	DOMAIN 2000 PTE LTD

Registered Office :	^{120 Lower Delta Road#10-05cendex Centre} ¹⁶⁹²⁰⁸

Country :	Singapore

Financials (as on) :	30.06.2006

Date of Incorporation :	^17.06.1999

Com. Reg. No.:	^199903356W

Legal Form :	^{Exempt Pte Ltd}

Line of Business :	Retail and Wholesale of Computer Hardware and Software

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 :	Clear

Subject Company

DOMAIN 2000 PTE LTD

Line Of Business

RETAIL AND WHOLESALE OF COMPUTER HARDWARE AND SOFTWARE

Parent Company

Financial Elements

FY 2006

COMPANY

Sales : S$22,175,800

Networth : S$478,636

Paid-Up Capital : S$300,100

Net result : S$110,717

Net Margin(%) : 0.50

Return on Equity(%) : 23.13

Leverage Ratio : 9.03

COMPANY IDENTIFICATION

^{Subject Company : DOMAIN 2000 PTE LTD}

^{Former Name : -}

^{Business Address :120
LOWER DELTA ROAD}

^#10-05

^{CENDEX CENTRE}

^{Town : SINGAPORE}

^{Postcode : 169208}

^{County : -}

^{Country : Singapore}

^{Telephone : 6538 9558}

^{Fax : 6323 3275}

^{ROC Number : 199903356W}

^{Reg. Town
: -}

SUMMARY

^{All amounts in this
report are in: SGD unless otherwise
stated}

^{Legal Form :
Exempt Pte Ltd}

^{Date Inc. :
17/06/1999}

^{Previous Legal Form : -}

^{Summary year :
30/06/2006}

^{Sales : 22,175,800}

^{Networth : 478,636}

^{Capital : -}

^{Paid-Up Capital : 100}

^{Employees : -}

^{Net result : 110,717}

^{Share value :
1}

^{AUDITOR : VEERA &
ASSOCIATES}

REFERENCES

^{Litigation : NO}

^{Company status : TRADING}

^{Started
: 17/06/1999}

PRINCIPAL(S)

^{HERMAN MEYER S0446351Z Director}

DIRECTOR(S)

^{KALPANA SHUKLA E0587909 Director}

^{Appointed on :
20/08/2003}

^{Street : E-69 VASANT MARG VISANT VIHAR}

^{Town : NEW DELHI}

^{Postcode : 110017}

^{Country : India}

^{HERMAN MEYER S0446351Z Director}

^{Appointed on :
23/10/2006}

^{Street : 184C RIVERVALE CRESCENT}

^#04-189

^{Town : SINGAPORE}

^{Postcode : 543184}

^{Country : Singapore}

^{WANG LEE JYU S1600693I Company Secretary}

^{Appointed on :
23/10/2006}

^{Street :
114 BUKIT BATOK WEST AVENUE 6}

^#07-188

^{Town : SINGAPORE}

^{Postcode : 650114}

^{Country : Singapore}

^{SALMIAH BTE SARPIAI S1794643I Company Secretary}

^{Appointed on :
23/10/2006}

^{Street : 643 HOUGANG AVENUE 8}

^#10-279

^{Town : SINGAPORE}

^{Postcode : 530643}

^{Country : Singapore}

FORMER DIRECTOR(S)

^{ELANGO SUBRAMANIAN S1531258J}

ACTIVITY(IES)

^{COMPUTERS, PERSONAL -
HARDWARE - DEALER And/OR AGE
Code:5105}

^{IMPORTERS And
EXPORTERS
Code:11760}

^{BASED ON ACRA'S RECORD}

^{1) RETAIL SALE OF
COMPUTER HARDWARE AND ACCESSORIES AND COMPUTER}

^{SOFTWARE (EXCEPT GAMES)}

CHARGES

^{Date : 21/01/2008}

^{Comments : CHARGE
NO : C200800964}

^{AMOUNT SECURED: 0.00 AND
ALL MONIES OWING}

^{CHARGEE(S) : CITIBANK NA}

PREMISES/PROPERTY INFORMATIONS

No Premises/Property Information In Our Databases

BANKERS

^{CITIBANK N.A.}

SHAREHOLDERS(S)

^{ANJALI KRISHEN
300,099 Private Person}

^{Street : 1008 SECTOR 36C}

^CHANDIGARH

^{Town : CHANDIGARH}

^{Postcode: 160036}

^{Country : India}

^{HERMAN MEYER
1 Private Person}

^{Street : 184C RIVERVALE CRESCENT}

^#04-189

^{Town : SINGAPORE}

^{Postcode: 543184}

^{Country : Singapore}

FORMER SHAREHOLDER(S)

^{ELANGO SUBRAMANIAN 1}

SUBSIDIARY(IES)

No Participation In Our Database

PAYMENT HISTORY AND EXPERIENCES

^{Trade Morality : AVERAGE}

^{Liquidity : SUFFICIENT}

^{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 : 04/04/2007 -}

^{Balance Sheet Date : 30/06/2006 30/06/2005}

^{Number of weeks : 52 52}

^{Consolidation Code : COMPANY
COMPANY}

^{---
ASSETS ---}

^{Inventories : 900,148 703,712}

^{Receivables : 3,622,181 3,976,736}

^{Cash,Banks,
Securitis:
251,337
16,460}

^{Other current assets
: 29,365 48,468}

^{Total Current Assets : 4,803,031 4,745,376}

^{TOTAL ASSETS :
4,803,031
4,745,376}

^{---
LIABILITIES ---}

^{Equity capital : 300,100 300,100}

^{Profit & lost Account: 178,536 67,819}

^{Total Equity
: 478,636 367,919}

^{Trade Creditors : 3,239,148 3,043,366}

^{Prepay. & Def. charges: 566,919 482,690}

^{Advanced payments : 437,206 752,982}

^{Provisions : 18,456 3,756}

^{Other Short term
Liab.: 62,666 94,663}

^{Total short term Liab.: 4,324,395 4,377,457}

^{TOTAL LIABILITIES: 4,324,395 4,377,457}

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

^{Net Sales : 22,175,800 19,085,760}

^{Purchases,Sces & Other Goods : 20,886,141
17,682,322}

^{Gross Profit: : 1,289,659 1,403,438}

^{Result of ordinary
operations: 192,340 88,666}

^{NET RESULT BEFORE TAX : 125,417
40,466}

^{Tax : 14,700 1,000}

^{Net income/loss year : 110,717 39,466}

^{Interest Paid :
109
146}

^{Directors Emoluments : - 1,800}

RATIOS

^{30/06/2006 30/06/2005}

^{Stock / Turnover(%) : 0.04 0.04}

^{Net Margin(%) : 0.50 0.21}

^{Return on Equity(%) : 23.13 10.73}

^{Return on Assets(%) : 2.31 0.83}

^{Net Working capital : 478636.00 367919.00}

^{Cash Ratio : 0.06 0.00}

^{Quick Ratio : 0.90 0.91}

^{Current ratio : 1.11 1.08}

^{Receivables Turnover: 58.80 75.01}

^{Leverage Ratio : 9.03
11.90}

^{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 COMPANY WAS SEEN TO BE FAIR IN VIEW OF}

^{THE FOLLOWING:}

^{NET WORTH:}

^{THE BALANCE SHEET WAS
CONSIDERED PASSABLE WITH NET WORTH IMPROVED BY} ^{30.09% FROM S$367,919 IN FY 2005 TO
S$478,636 IN FY 2006. THIS} ^{WAS DUE TO HIGHER ACCUMULATED PROFIT OF
S$178,536 (2005: S} ^{$67,819); A RISE OF 1.63 TIMES FROM THE PRIOR
FINANCIAL YEAR.}

^LEVERAGE:

^{IN THE SHORT-TERM,
SUBJECT WAS LARGELY FINANCED BY TRADE CREDITORS} ^{WHICH MADE UP 74.90% (2005: 69.52%) OF
THE TOTAL CURRENT LIABILITIES} ^{AND AMOUNTED TO S$3,239,148 (2005:
S$3,043,366).}

^{IN ALL, LEVERAGE RATIO
FELL FROM 11.90 TO 9.03 TIMES AS A RESULT OF A} ^{RISE IN TOTAL EQUITY AND A FALL IN
TOTAL LIABILITIES.}

^LIQUIDITY:

^{IN GENERAL, SUBJECT'S
LIQUIDITY SITUATION WAS PASSABLE AS SEEN FROM} ^{THE NET WORKING CAPITAL AND LIQUIDITY RATIOS.
CURRENT RATIO ROSE TO} ^{1.11 TIMES, FROM 1.08 TIMES AND QUICK RATIO
FELL TO 0.90 TIMES} ^{FROM 0.91 TIMES IN FY 2005.}

^{NET WORKING CAPITAL
IMPROVED BY 30.09% FROM S$367,919 IN} ^{FY 2005 TO S$478,636.}

^{PROFITABILITY:}

^{REVENUE POSTED AN
INCREASE OF 16.19% FROM S$19,085,760 IN FY 2005 TO S} ^{$22,175,800 NET PROFIT ROSE BY 1.80
TIMES TO S$110,717 (2005: S} ^{$39,466). HENCE, NET MARGIN ROSE TO
0.50% (2005: 0.21%).}

^{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$109 IN
FY 2006 (2005: S$146).}

^{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} ^{INTEREST, 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.}

^{CREDIT REQUEST:
USD447,000}

^{CREDIT OPINION:
RECOMMEND ON USD50,000}

^{CREDIT RATING: ABOVE AVG
RISK}

BACKGROUND/OPERATION

^{THE COMPANY WAS INCORPORATED
IN THE REPUBLIC OF SINGAPORE ON}

^{17/06/1999 AS A LIMITED
EXEMPT PRIVATE COMPANY AND IS TRADING UNDER}

^{THE PRESENT NAMESTYLE OF
"DOMAIN 2000 PTE LTD".}

^{THE COMPANY HAS AN
ISSUED AND PAID-UP CAPITAL OF} ^{300,100 SHARES, OF A VALUE OF S$300,100.}

^{PRINCIPAL ACTIVITIES:}

^{SUBJECT IS REGISTERED
WITH THE ACCOUNTING AND CORPORATE REGULATORY}

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

^{1) RETAIL SALE OF
COMPUTER HARDWARE AND ACCESSORIES AND COMPUTER}

^{SOFTWARE (EXCEPT GAMES)}

^{2) OTHER IT AND RELATED
ACTIVITIES ( EG DISASTER RECOVERY SERVICES)}

^{DURING THE FINANCIAL
YEAR (S) UNDER REVIEW, THE PRINCIPAL ACTIVITIES} ^{OF THE COMPANY IS TO CARRY ON THE
BUSINESS OF RETAILING, IMPORTING} ^{AND EXPORTING OF COMPUTER HARDWARE
AND SOFTWARE PRODUCTS.}

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

^{SUBJECT ENGAGES IN THE
FOLLOWING ACTIVITIES:}

^{* RETAIL AND WHOLESALE
OF COMPUTER HARDWARE AND SOFTWARE}

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

^{THE PROVIDED ADDRESS IS JUST
THE SUBJECT'S REGISTERED ADDRESS FOR}

^{MAILING PURPOSE. SUBJECT
CURRENTLY DO NOT HAVE ANY BUSINESS ADDRESS.}

^{NO OTHER TRADE
INFORMATION WAS MADE AVAILABLE}

^{REGISTERED ADDRESS:}

^{120 LOWER DELTA ROAD}

^#10-05

^{CENDEX CENTRE}

^{SINGAPORE 169208}

^{DATE OF CHANGE OF
ADDRESS: 29/11/2007}

^{- RENTED PREMISE}

^{- OWNED BY: PROSPER
REALTY PTE LTD}

^{WEBSITE: -}

^{EMAIL: -}

MANAGEMENT

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

^{1) KALPANA SHUKLA, AN
INDIAN}

^{- BASED IN INDIA}

^{2) HERMAN MEYER, A
SINGAPOREAN}

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

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.

WHOLESALE AND RETAIL TRADE SECTOR

PAST PERFORMANCE

THE WHOLESALE AND RETAIL TRADE SECTOR GREW BY 6.0% IN 4Q 2007, SLOWER THAN THE 6.8% GROWTH IN 3Q 2007. RETAIL SALES FELL BY 2.5%, FOLLOWING A 1.5% GROWTH IN 3Q 2007.

DOMESTIC WHOLESALE TRADE INDEX

THE OVERALL DOMESTIC WHOLESALE TRADE ROSE BY 22.2% IN 4Q 2007 OVER 4Q 2006.

EXCLUDING PETROLEUM, DOMESTIC SALES GREW BY 4.8%.

THE RISE IN THE OVERALL INDEX WAS MAINLY DUE TO HIGHER SALES OF PETROLEUM AND PETROLEUM PRODUCTS (47.3%), TIMBER, PAINTS AND CONSTRUCTION MATERIALS (29.8%). OTHER WHOLESALE SEGMENTS THAT REPORTED DOUBLE-DIGIT GROWTH WERE WHOLESALING OF GENERAL WHOLESALE TRADE, HOUSEHOLD EQUIPMENT AND FURNITURE AND CHEMICALS AND CHEMICAL PRODUCTS.

ON THE OTHER HAND, WHOLESALE SEGMENT THAT REPORTED LOWER SALES WERE ELECTRONIC COMPONENTS (-35.8%).

AT CONSTANT PRICES, THE OVERALL DOMESTIC WHOLESALE TRADE ROSE BY 1.6% IN 4Q 2007 OVER 4Q 2006. EXCLUDING PETROLEUM, DOMESTIC SALES ROSE SLIGHTLY BY 0.2%.

ON A QUARTER-OVER-QUARTER BASIS, THE OVERALL DOMESTIC WHOLESALE TRADE IN 4Q 2007 ROSE BY 7.1% OVER 3Q 2007. EXCLUDING PETROLEUM, DOMESTIC SALES CONTRACTED BY 2.9%.

THE MAJORTIY OF THE WHOLESALE SECTORS RECORDED HIGHER DOMESTIC SALES IN 4Q 2007 OVER PREVIOUS QUARTER. PETROLEUM AND PETROLEUM PRODUCTS EXPANDED BY 20.0%. GENERAL WHOLESALE TRADE AND INDUSTRIAL AND CONSTRUCTION MACHINERY ALSO REGISTERED

DOUBLE-DIGIT GROWTH OVER PREVIOUS QUARTER.

ON THE OTHER HAND, SALES OF FOOD, BEVERAGES AND TOBACCO AND ELECTRONIC COMPONENTS FELL IN 4Q 2007 OVER 3Q 2007.

FOREIGN WHOLESALE TRADE INDEX

THE OVERALL FOREIGN WHOLESALE TRADE FOR 4Q 2007 ROSE BY 27.0%, IN COMPARISON TO 4Q 2006. EXCLUDING PETROLEUM, IT EXPANDED BY 15.3%

MOST OF THE SECTORS REPORTED HIGHER SALES. DOUBLE-DIGIT GROWTH RATES FOR OVERSEAS SALES WERE RECORDED BY FOOD, BEVERAGES AND TOBACCO (40.6%) PETROLEUM AND PETROLEUM PRODUCTS (39.9%) SHIP CHANDLERS AND BUNKERING (24.3%) INDUSTRIAL AND CONSTRUCTION MACHINERY (18.2%) CHEMICALS AND CHEMICAL PRODUCTS (16.4%) ELECTRONIC COMPONENTS (12.1%) TIMBER, PAINT AND CONSTRUCTION MATERIALS (11.1%).

ON THE OTHER HAND, OVERSEAS SALES OF TELECOMMUNICATIONS AND COMPUTERS FELL BY 2.8%

IN 4Q 2007 OVER 4Q 2006.

AT CONSTANT PRICES, THE OVERALL INDEX ROSE BY 11.5% IN 4Q 2007 OVER 4Q 2006.

EXCLUDING PETROLEUM, FOREIGN WHOLESALE TRADE GREW BY 15.1%.

ON A QUARTER-OVER-QUARTER BASIS, THE OVERALL FOREIGN WHOLESALE TRADE IN 4Q 2007 ROSE BY 11.7% OVER 3Q 2007. EXCLUDING PETROLEUM, IT GREW BY 6.0%.

ALL WHOLESALE SECTORS RECORDED BETTER BUSINESS IN 4Q 2007 WITH THE EXCEPTION OF THE ELECTRONIC COMPONENTS SECTOR. THOSE SECTORS THAT REGISTERED DOUBLE-DIGIT GROWTH WERE WHOLESALE SECTORS OF PETROLEUM AND PETROLEUM PRODUCTS, TELECOMMUNICATIONS AND COMPUTERS, INDUSTRIAL AND CONSTRUCTION MACHINERY AND CHEMICALS AND CHEMICAL PRODUCTS.

RETAIL TRADE

THE OVERALL RETAIL SALES CONTRACTED BY 2.5%, IN CONTRAST TO THE 1.5% GROWTH IN 3Q 2007. THE SECTOR THAT RECORDED THE LARGEST DECLINE WERE MOTOR VEHICLES, FOLLOWED BY PROVISION AND SUNDRY SHOPS, FOOD AND BEVERAGES, WATCHES AND JEWELLERY AND MEDICAL GOODS AND TOILETRIES. EXCLUDING MOTOR VEHICLES, RETAIL SALES ROSE BY 5.2%, A DECLINE FROM THE 6.O% GROWTH IN 3Q 2007.

NEWS

SURPRISING DROP IN RETAIL SALES

RETAIL SALES FELL UNEXPECTEDLY IN FEBRUARY, THE FIRST TIME IN SEVEN MONTHS, AS INFLATION HIT 26 YEAR HIGHS AND WORRIES GREW ABOUT THE WORLD ECONOMY. SHOPS, SUPERMARKETS AND OTHER RETAILERS SAW REVENUES FELL 1.3% FROM A YEAR EARLIER, AS CAR SALES DECLINED 10.6% AND FOOD AND BEVERAGES SALES PLUNGED 21.8%.

THE OVERALL CONTRACTION BY THE SECTOR WOULD HAVE BEEN BIGGER IF NOT FOR MUCH HIGHER PRICES THIS YEAR. IN CONSTANT PRICES TERMS, SALES FELL 5.7%. THIS IS THE WORST READING SINCE THE 5.0% DECLINE IN MARCH 2007, IF ONE WERE TO IGNORE THE 2.0% CONTRACTION IN JULY THAT WAS DUE TO THE HIKE IN THE GOODS AND SERVICES TAX,” SAID HSBC ECONOMIST PRAKRITI SOFAT.

ANALYSTS SAID RISING LIVING COSTS AND UNCERTAINTY ABOUT THE ECONOMY WOULD AFFECT SINGAPORE CONSUMER’S SPENDING THIS YEAR. MANY, HOWEVER, REMAIN LARGELY OPTIMISTIC ABOUT THE DOMESTIC RETAIL SCENE, SAYING THE POOR FEBRUARY SHOWING COULD BE A STATISTICAL BLIP.

DOMESTIC DEMAND CONDITIONS REMAIN POSITIVE, HELPED BY THE GOVERNMENT WHICH IS GIVING CASH FROM LAST YEAR’S SURPLUS TO THE WHOLE POPULATION AND ISSUING FOOD VOUCHERS TO THE POOR. “LOW INTEREST RATES AND A HEALHY JOBS MARKET SHOULD KEEP SPENDING FIRM,” SAID HSBC’S MS SOFAT. SHE ADDED THAT FEBRUARY’S DECLINE WAS DUE LARGELY TO A HIGH BASE SET THE PREVIOUS YEAR AND PREDICTED THAT MARCH SALES WOULD BOUNCE BACK WITH A 15.0% SURGE. ALSO, IF COMPARED WITH JANUARY, FEBRUARY SALES ROSE 8.8% AFTER ADJUSTING FOR SEASONAL EFFECTS. THIS WAS THE STRONGEST PERFORMANCE IN FOUR YEARS, SHE SAID.

CIMB-GK ECONOMIST SONG SENG WUN SAID MUCH OF THE POOR PERFORMANCE CAME ON THE BACK OF WEAKER CAR SALES. EXCLUDING THOSE, RETAIL SALES WOULD HAVE RISEN 2.9%. CAR SALES HAVE BEEN HURT SINCE OCTOBER BY RISING CERTIFICATE OF ENTITLEMENT PRICES, CAUSED BY AN EXPECTED CUT IN QUOTAS FROM NEXT MONTH AND SURGING PUMP PRICES.

OUTLOOK

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.

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.42.47
UK Pound	1	Rs.84.00
Euro	1	Rs.66.14

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

MIRA INFORM REPORT

Subject Company

Line Of Business

Parent Company

Financial Elements

COMPANY IDENTIFICATION

SUMMARY

REFERENCES

PRINCIPAL(S)

DIRECTOR(S)

FORMER DIRECTOR(S)

ACTIVITY(IES)

CHARGES

PREMISES/PROPERTY INFORMATIONS

BANKERS

SHAREHOLDERS(S)

FORMER SHAREHOLDER(S)

SUBSIDIARY(IES)

PAYMENT HISTORY AND EXPERIENCES

FINANCIAL ELEMENTS

RATIOS

FINANCIAL COMMENTS

BACKGROUND/OPERATION

MANAGEMENT

Singapore’s Country Rating 2007

Unit