MIRA INFORM REPORT

Report Date :

04.11.2008

IDENTIFICATION DETAILS

Name :	LA RETE S.R.L.
Registered Office :	Via Siviano Localita' Porto, 223 25050 - Monte Isola (BS)
Country :	Italy
Financials (as on) :	31.12.2007
Date of Incorporation :	02.01.1985
Com. Reg. No.:	BS029-32418
Legal Form :	Limited Liability Company
Line of Business :	Production of Ropes and Strings. Production of Other Textiles. Production of Fishing and Hunting Nets.

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

Maximum Credit Limit :	Eur 88.000
Status :	Satisfactory
Payment Behaviour :	Regular
Litigation :	Clear

name & address

La Rete S.r.l.

Via

Siviano Localita' Porto,

223

25050

- Monte Isola

(BS)

-IT-

SUMMARY

Fiscal Code	:	01998640179
Legal Form	:	Limited liability company
Start of Activities	:	02/01/1985
Patrimonial Consistence	:	500.000 Eur
Turnover Range	:	3.000.000/3.750.000 Eur
Number of Employees	:	from 16 to 25

CREDIT ANALYSIS

CREDIT OPINION	:	88.000 - Eur
Score	:	Risk medium
Creditworthness Rate	:	Sufficient
		The financial situation is sufficently adequate and the insolvency
		risk is limited.

ACTIVITY

Production of ropes and strings.

Production of other textiles.

Production of fishing and hunting nets.

LEGAL DATA

Legal Form : Limited liability company

Register of Handcraft firms : 99161 of Brescia since 18/02/1986

Fiscal Code : 01998640179

Foreign Trade Reg. no. : 23504 of Brescia since 30/12/1991

Chamber of Commerce no. : 283501 of Brescia since 24/01/1985

Firms' Register : BS029-32418 since 19/02/1996

V.A.T. Code : 01998640179

Court : 32418 of Brescia since 09/01/1986

Foundation Date	: 02/01/1985
Establishment Date	: 02/01/1985
Start of Activities	: 02/01/1985
Legal Duration Date	: 31/12/2050
Nominal Capital	: 85.800	Eur
Subscribed Capital	: 85.800	Eur
Paid up Capital	: 85.800	Eur

MEMBERS

Agnesi

Elio

Born in Monte Isola

(BS)

on 17/05/1948

- Fiscal Code : GNSLEI48E17F532I

Residence :

Via

Peschiera Maraglio

, 133

- 25050

Monte Isola

(BS)

- IT -

Position	Since	Shares Amount	% Ownership
Managing Director	27/12/1995
Board Chairman	27/12/1995

No Protests registered.

Turla

Fiorello

Born in Monte Isola

(BS)

on 17/01/1958

- Fiscal Code : TRLFLL58A17F532R

Residence :

Via

Peschiera Maraglio

, 124

- 25050

Monte Isola

(BS)

- IT -

Position	Since	Shares Amount	% Ownership
Managing Director	27/12/1995

No Protests registered.

Bonissoni

Claudio

Born in Maclodio

(BS)

on 03/01/1956

- Fiscal Code : BNSCLD56A03E787D

Residence :

Via

Presso

, 20

- 25057

Sale Marasino

(BS)

- IT -

Position	Since	Shares Amount	% Ownership
Managing Director	27/12/1995

No Protests registered.

COMPANIES CONNECTED TO MEMBERS *

*checkings have been performed on a national scale.

*In this module are listed the companies in which members hold or held positions.

AGNESI

ELIO

Company Style	Legal Seat	Fiscal Code	Position	Position Status	Firm Status
AGNESI ELIO	Monte Isola (BS) - IT -	GNSLEI48E17F532I	Proprietor	Dismiss	Ceased
MONTISOLA PORTO S.A.S. DI AGNESI ELIO E C.	Monte Isola (BS) - IT -	03105350171	General Partner	Dismiss	Registered

TURLA

FIORELLO

Company Style	Legal Seat	Fiscal Code	Position	Position Status	Firm Status
COOPERATIVA LAVORATORI DI MONTEISOLA A R.L.	Monte Isola (BS) - IT -	00955740170	Supervisory Board Chairman	Dismiss	Registered
MONTISOLA PORTO S.A.S. DI AGNESI ELIO E C.	Monte Isola (BS) - IT -	03105350171	Limited Partner	Dismiss	Registered
TURLA FIORELLO	Monte Isola (BS) - IT -	TRLFLL58A17F532R	Proprietor	Dismiss	Ceased

BONISSONI

CLAUDIO

Company Style	Legal Seat	Fiscal Code	Position	Position Status	Firm Status
ALT CONFEZIONI S.P.A.	Castelcovati (BS) - IT -	01869530178	Director	Dismiss	Ceased
AMICALIA S.R.L.	Iseo (BS) - IT -	02384500985	Sole Director	Active	Registered
AN.FIN SRL	Brescia (BS) - IT -	03135330177	Sole Director	Dismiss	Registered
BONISSONI CLAUDIO	Iseo (BS) - IT -	BNSCLD56A03E787D	Proprietor	Active	Registered
BONISSONI S.R.L.	Iseo (BS) - IT -	02539550984	Sole Director	Active	Registered
CIDNEO MECCANICA S.R.L.	Corzano (BS) - IT -	02359050982	Procurator	Active	Registered
FONDAZIONE LORENZO ZIROTTI	Sale Marasino (BS) - IT -	80015490172	Director	Active	Registered
LOGO INTERNATIONAL-SRL	Iseo (BS) - IT -	03386960177	Liquidator	Dismiss	Liquidated
MAGGINI S.R.L.	Brescia (BS) - IT -	00270440175	Liquidator	Dismiss	Liquidated
MATHERSON S.P.A.	Presezzo (BG) - IT -	00269880167	Director	Active	Registered
MATHERSON S.P.A.	Presezzo (BG) - IT -	00269880167	Board Chairman	Active	Registered
MATHFIN S.R.L.	- -	02787280169	Sole Director	Dismiss	Ceased
MONTISOLA PORTO S.A.S. DI AGNESI ELIO E C.	Monte Isola (BS) - IT -	03105350171	Limited Partner	Dismiss	Registered
MULTIPLAST S.R.L.	Provaglio d'Iseo (BS) - IT -	03393460179	Director	Dismiss	Ceased
MULTIPLAST S.R.L.	Provaglio d'Iseo (BS) - IT -	03393460179	Managing Director	Dismiss	Ceased
NEMO S.R.L.	San Zeno Naviglio (BS) - IT -	02828310173	Director	Dismiss	Registered
RICHARD - GINORI 1735 - S.P.A	Sesto Fiorentino (FI) - IT -	01549500062	Director	Active	Registered
SAVA COMMERCIALE S.R.L.	Iseo (BS) - IT -	03380070171	Sole Director	Dismiss	Registered
SO.F.IM.I. S.R.L.	Bagnolo Mella (BS) - IT -	01489660173	Liquidator	Dismiss	Ceased
TRE BI S.R.L.	Adrara San Martino (BG) - IT -	11178680150	Director	Active	Registered

The indication "REGISTERED" as Firm Status could refere to Firms in Liquidation, Active, Inactive, etc.

For more information, in this case, we advise to request further investigations.

CAPITAL SHAREHOLDERS

Style / Name	Seat / Address	Fiscal Code	Owned Shares	% of Ownership
Agnesi Elio	Monte Isola - IT -	GNSLEI48E17F532I	16.588 .Eur	19,33
Turla Fiorello	Monte Isola - IT -	TRLFLL58A17F532R	16.588 .Eur	19,33
Bonaldi Daniela	Brescia - IT -	BNLDNL62E58A940X	12.012 .Eur	14,00
Bonissoni Claudio	Sale Marasino - IT -	BNSCLD56A03E787D	28.600 .Eur	33,33
Uberti Luisa	Brescia - IT -	BRTLSU53P61E271L	12.012 .Eur	14,00

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 23/05/1991

in :

Via

Siviano Localita' Porto

, 223

- 25050 -

Monte Isola

(BS)

- IT -

PHONE

: 030/9886336

-

Branch

(Factory )

since 27/12/1995

in :

Via

Siviano Loc. Porto

, 219

- 25050 -

Monte Isola

(BS)

- IT -

PHONE

: 030/9886336

Employees

: 18

Fittings and Equipment

for a value of 190.000

Eur

Stocks

for a value of 540.000

Eur

Vehicles

: 1.

The firm has a direct commercial organization

Sales area on a national scale.

The firm operates abroad as importer / exporter. .

To purchase foreign products the firm uses the following channels :

- distributors

Export represents up to 20% of the global turnover.

Products abroad are placed by :

- direct orders from foreign companies

Import comes generally from the following nations:

- Spagna

- Olanda

Export is mainly towards:

- Ungheria

- Austria

- Grecia

HISTORICAL INFORMATION AND/OR FIRM'S STATUS

Changes to the legal form

Former legal form	New legal form	Changement Date
De facto company	General partnership	20/12/1985
General partnership	Limited liability company	27/12/1995

Ex-Members / Ex-Positions

Agnesi

Elio

Born in Monte Isola

on 17/05/1948

- Fiscal Code : GNSLEI48E17F532I

Residence :

Via

Peschiera Maraglio

, 133

- 25050

Monte Isola

(BS)

- IT -

Position

Partner

Turla

Fiorello

Born in Monte Isola

on 17/01/1958

- Fiscal Code : TRLFLL58A17F532R

Residence :

Via

Peschiera Maraglio

, 124

- 25050

Monte Isola

(BS)

- IT -

Position

Partner

Bonaldi

Daniela

Born in Bollate

on 18/05/1962

- Fiscal Code : BNLDNL62E58A940X

Residence :

Via

Peschiera Maraglio

, 124

- 25100

Brescia

(BS)

- IT -

Position

Partner

Bonissoni

Claudio

Born in Maclodio

on 03/01/1956

- Fiscal Code : BNSCLD56A03E787D

Residence :

Via

Presso

, 20

- 25057

Sale Marasino

(BS)

- IT -

Position

Partner

Uberti

Luisa

Born in Gussago

on 21/09/1953

- Fiscal Code : BRTLSU53P61E271L

Residence :

Via

Peschiera Maraglio

, 133

- 25100

Brescia

(BS)

- IT -

Position

Partner

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
Real estates	533.895 .Eur

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

FINANCIAL AND ECONOMICAL ANALYSIS

The company is active since 1985

During the last years, net losses were registered; in 2007 r.o.e. is -16,33%.

and reflects the field's average.

but with an increase as against the previous accounting period.

Bank borrowings' volume is slightly high but it modestly dips into suppliers credit, 73,04 gg. is the payments' average time below the sector's average.

FINANCIAL DATA

Complete balance-sheet for the year as at

31/12/2007

(in Eur

x 1 )

Item Type	Amount	Source
Sales	3.382.772	filed balance sheet
Profit (Loss) for the period	-69.666	filed balance sheet

Complete balance-sheet for the year as at

31/12/2006

(in Eur

x 1 )

Item Type	Amount	Source
Sales	2.882.105	filed balance sheet
Profit (Loss) for the period	-63.446	filed balance sheet

Complete balance-sheet for the year as at

31/12/2005

(in Eur

x 1 )

Item Type	Amount	Source
Sales	2.634.769	filed balance sheet
Profit (Loss) for the period	-28.735	filed balance sheet

Complete balance-sheet for the year as at

31/12/2004

(in Eur

x 1 )

Item Type	Amount	Source
Sales	2.898.763	filed balance sheet
Profit (Loss) for the period	-50.166	filed balance sheet

Complete balance-sheet for the year as at

31/12/2003

(in Eur

x 1 )

Item Type	Amount	Source
Sales	2.893.300	filed balance sheet
Profit (Loss) for the period	12.584	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 31/12/2007 - Months 12 - Currency Eur - Amounts x 1

Balance Sheet as at 31/12/2006 - Months 12 - Currency Eur - Amounts x 1

Years		2007	2006
	BALANCE SHEET ACCOUNTS
.
ASSETS
CREDITS TO SHAREHOLDERS
FIXED ASSETS ( NET )		1.133.725	1.154.730
. Intangible assets		12.344	17.335
. Tangible fixed assets		748.939	765.470
. . Land and buildings		533.895	485.625
. . Plants, Equipm.and Machinery		186.058	244.867
. Long-term Investments		372.442	371.925
. . Financial loans		372.442	371.925
. . Own shares
CURRENT ASSETS		1.331.711	1.659.456
. Stock		542.274	732.876
. Credits		726.302	887.463
. . Credits to clients		671.731	845.927
. . Other credits		54.571	41.536
. Short-term financial assets
. Liquid assets		63.135	39.117
ACCRUED INCOME-DEFERR. ASSETS		33.218	24.469
TOTAL ASSETS		2.498.654	2.838.655
.
LIABILITIES
NET WORTH		426.367	496.034
. Company's capital		85.800	85.800
. Reserves		410.233	473.680
. Reserves company's own shares
. Retained profits (losses)
. Profit (loss)		-69.666	-63.446
PROVISION FOR RISKS AND LOSSES		257.930	241.036
SEVERANCE INDEMNITY FUND		175.184	187.684
DEBTS		1.595.570	1.870.849
. Financial M/L terms		611.704	835.899
. . Financial M/L term banks		401.704	605.899
. . Financial M/L bonds
. . Other financial M/L debts		210.000	230.000
. Financial short-term debts		352.961	523.386
. . Financial short-term banks		284.961	455.386
. . Financial short-term bonds
. . Other financial short-term debts		68.000	68.000
. M/L term debts to suppliers
. Short-term debts to suppliers		552.605	429.455
. Sundry M/L debts
. Sundry short-term debts		78.300	82.109
ACCRUED EXPENSE		43.603	43.052
TOTAL LIABILITIES		2.498.654	2.838.655
.
	PROFIT AND LOSS ACCOUNTS
OUTPUT VALUE		3.324.663	2.835.337
. Revenues from sales/services		3.382.772	2.882.105
. Change of stock (products)		-101.890	-61.373
OPERATING EXPENSES		3.282.194	2.787.783
. Purchasing expenses		1.977.230	1.693.820
. Change of stock (raw material)		88.711	-35.770
. Expenses from services		662.491	576.215
. Expenses from leasing		83.226	74.189
. General expenses/sundry charges		19.749	17.689
. Staff expenses		347.126	356.729
. Depreciation/Devaluation costs		103.661	104.911
FINANCIAL REVENUES (CHARGES)		-75.833	-75.686
. Financial charges		-76.340	-76.573
. Financial revenues		507	887
FINANCIAL ASSETS CORRECTION
EXTRAORDINARY FINANCIAL REVENUES (CHARGES)		-5.490	-10.431
PROFIT (LOSS) FOR THE PERIOD		-38.854	-38.563
TAX		30.812	24.883
CORRECT./ALLOCAT. FISCAL RULE
NET PROFIT (LOSS)		-69.666	-63.446

RATIOS	Item	O.V.	O.V.	as at 31/12/2007	as at 31/12/2006	Sector Average
Fixed assets ratio	Units	=> 1	l	1,07	1,31	1,84
Net Short-term indebtedness	Units	- 1	l	2,15	2,00	2,02
Current ratio	Units	=> 1	l	1,35	1,60	1,33
Acid Test Ratio-Liquidity Ratio	Units	=> 1	l	0,80	0,89	0,92
Return on Sales	%		l	1,00	1,43	3,86
Average stock waiting period	dd		l	57,70	91,51	56,73
Credits to clients average term	dd		l	71,46	105,66	127,36
Debts to suppliers average term	dd		l	73,04	65,91	140,12
Net financial revenues/ charges incidence	%		l	- 2,24	- 2,62	- 1,12
Labour cost incidence	%		l	10,26	12,37	18,07

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:

88.000 .Eur.

MARKET / TERRITORY DATA

Population living in the province	:	1.169.259
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 321 significant companies.

The companies cash their credits on an average of 127 dd.

The average duration of suppliers debts is about 140 dd.

The sector's profitability is on an average of 3,86%.

The labour cost affects the turnover in the measure of 18,07%.

Goods are held in stock in a range of 56 dd.

The difference between the sales volume and the resources used to realize it is about 1,10.

The employees costs represent the 18,57% of the production costs.

STATISTICAL DETRIMENTAL DATA

Statistically the trade activity passes through serious crises.

The area is statistically considered moderately risky.

In the region 50.886 protested subjects are found; in the province they count to 5.551.

The insolvency index for the region is 0,55, while for the province it is 0,48.

Total Bankrupt companies in the province : 3.452.

Total Bankrupt companies in the region : 39.612.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.47.18
UK Pound	1	Rs.75.05
Euro	1	Rs.60.89

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