MIRA INFORM REPORT

Report Date :

10.11.2008

IDENTIFICATION DETAILS

Name :	MEDIWE OY
Registered Office :	Teollisuuskatu 13, 74120 Iisalmi, PL 43, 74121 Iisalmi
Country :	Finland
Financials (as on) :	31.01.2008
Date of Incorporation :	20.01.1993
Legal Form :	Joint-Stock Company
Line of Business :	Wholesaler of Clothing

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 30.000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear

name & address

Mediwe Oy

 Teollisuuskatu 13

 74120 Iisalmi

 PL 43, 74121 Iisalmi

Telephone	+358 17 814010	Telefax	+358 17 814885
Trade register number	554332	Registered	20.01.1993
Business ID	09196740	Business started	01.02.1993
Turnover	In 2008, the turnover amounted to 1.897 thousand EUR, the length of the accounting period was 12 months, and the period ended on 31.01.2008.
Number of employees	In 2007, the personnel category was 0-4 persons.
Line of business	The company´s investigated line of business on 18.09.2004 is: wholesale of clothing (51421).

Maximum credit recommendation 30.000  EUR

Basics
Company form	Joint-stock company
Type of ownership	Private Finnish
Share capital	Paid share capital: 8.409 EUR
Number of shares	50 pc.
Activity	In 2008, the turnover amounted to 1.897 thousand EUR, the length of the accounting period was 12 months, and the period ended on 31.01.2008. In 2007, the personnel category was 0-4 persons. The company´s branch is Iisalmi. The company´s investigated line of business on 18.09.2004 is: wholesale of clothing (51421). The company is engaged in export and import. The company´s main export countries are Sweden, Norway. The company works in rented premises. Number of the company´s offices is 1. Shareholders requested on 10.12.2006. The company has been in the Prepayment register since 01.03.1995. Validity to be checked on 28.02.2009. The company has been in the Employer Register since 01.10.1994. The company has been VAT liable for business activity since 01.06.1994. According to an account of 24.09.2001, the company´s banker/financier is Savings bank -Optia, Iisalmi..
Payments The company has no registered payment defaults.

Persons in charge

Managing director
Kärkkäinen Sirpa Maria Helena, from 20.01.1993 on
150351, Kiuruvesi
Participation in 5 companies on the basis of the identity number, the companies have no payment defaults.

Ordinary member
Kärkkäinen Sirpa Maria Helena, from 20.01.1993 on
150351, Kiuruvesi
Participation in 5 companies on the basis of the identity number, the companies have no payment defaults.

Deputy member
Kärkkäinen Aarne Henrik Pietari, from 20.01.1993 on
220149, Kiuruvesi
Participation in 4 companies on the basis of the identity number, the companies have no payment defaults.

Authorised signatures

According to the statutes, the chairman of the Board and the managing director sign for the firm separately.

Procuration rights have not been granted.

Business mortgages

The company has no registered business mortgages.

Summary of the financial statement analysis

Volume

Profitability

	2006	2007	2008
Company
Line of business	3,3	5,0	7,3
Lower quartile	-15,0	-8,0	-2,7
Upper quartile	22,3	23,6	18,3

	2006	2007	2008
Company			16,9
Line of business	11,0	11,3	7,0
Lower quartile	0,0	0,0	3,2
Upper quartile	32,1	30,4	25,1

Solvency

Liquidity

	2006	2007	2008
Company			65,4
Line of business	39,1	39,9	35,8
Lower quartile	10,2	10,4	7,5
Upper quartile	69,8	71,9	66,5

	2006	2007	2008
Company			2,0
Line of business	1,9	2,2	2,0
Lower quartile	1,1	1,2	1,2
Upper quartile	3,8	4,0	4,2

Equity ratio

Current ratio

Financial statement analysis

 The financial statement analysis is based on the financial statement data of Mediwe Oy in the accounting period as at 31.01.2008. The analysis also utilizes the data of the previous accounting period.

The auditor´s report has not been available.

Industry comparison	The comparison includes 223 companies in the industry class 51421 (Wholesale of clothing) from the period 2007. The risk of bankruptcy in the line is 0.7 %, and the risk of payment defaults 5.1 %. The risk of payment defaults is lower than average.
Volume	The turnover of Mediwe Oy is medium-sized (1.9 mill EUR) in relation to all active companies. In its line, the company is clearly larger than average (406 tEUR).
Profitability	The operating margin of the company (3.7 %) is passable, proportioned to the line (median 6.8 %). The operating result in % (3.7 %) is satisfactory, compared with the line (median 4.6 %). The central ratio for profitability, return on investment, is good (16.9 %). The average profitability in the line is 11.3 %. If, instead of the return on investment, the return on assets is calculated, taking also into account interest-free loans, the return ratio is 12.9 %. The return is satisfactory, in relation to the line of business (7.6%).
Liquidity	The liquidity is good, measured by current ratio (2.0), which is about equal to the average in the line (median 2.2). The average age of accounts receivable of the company is 13 days, and in the line of business 27 days, respectively.
Solvency	The solvency of Mediwe Oy is very good, measured by equity ratio (65.4 %). The median in the line is 39.9%, so the company is more solvent than is usual in its line. The company´s net gearing is -0.5, which can be considered very good. The relative indebtedness is 11.8%, which is very good compared with the median in the line (26.2%). According to the capital structure ratios, the company´s debt burden is very low.
Summary and remarks	The company´s profitability, liquidity and solvency are all good or very good. This renders really good possibilities for a successful continuation of operation. With respect to the line, the company´s preconditions for activities (profitability, liquidity and solvency) are reasonably good. The verbal interpretation of the financial statements analysis has been produced programmatically from unadjusted financial statements. Suomen Asiakastieto Oy does not guarantee that the information in the report is correct or complete, nor does it assume responsibility for damages possibly caused by the use of this report.

Company´s payment defaults and other credit information entries 

The company has no registered payment defaults

Company´s payments analysis 

No payments analysis is available of the company.

Authorised signatures 

Name		Nationality	Resigned
Kärkkäinen Aarne Henrik Pietari, Kiuruvesi	Authorised signatory	FI
220149	The authorised persons sign for the firm separately.

Business mortgages

The company has no registered business mortgages

Summary of the profit and loss account (t EUR)  

	31.01.2008 12 months	31.01.2006 12 months	31.01.2005 12 months
Turnover	1.897,1	1.840,4	2.053,1
Other operating income	27,2	32,9	1,0
Raw materials and services	-1.541,4	-1.453,1	-1.632,6
Gross result	382,9	420,2	421,5
Other operating expenses	-312,2	-308,4	-288,1
Depreciation	-0,2	-0,3	-0,4
Operating result	70,6	111,5	133,0
Financing income	13,2	6,4	3,3
Financing expenses			-0,2
Result before extraordinary items	83,7	117,9	136,0
Extraordinary items		0,2	0,7
Result before appropriations and taxes	83,7	118,1	136,7
Appropriations
Direct taxes	-22,0	-31,3	-35,8
Result for the financial year	61,7	86,8	100,9

Summary of the profit and loss account (t EUR)  

	31.01.2004 12 months	31.01.2003 12 months	31.01.2002 12 months
Turnover	1.703,5	1.595,2	1.304,9
Other operating income	2,8	42,7	21,1
Raw materials and services	-1.394,6	-1.346,1	-1.053,8
Gross result	311,7	291,8	272,2
Other operating expenses	-251,8	-231,1	-216,4
Depreciation	-0,6	-0,8	-0,1
Operating result	59,3	59,9	55,7
Financing income	2,5	3,4	5,7
Financing expenses	-0,2	0,0	-0,1
Result before extraordinary items	61,6	63,3	61,3
Extraordinary items	-0,1		0,0
Result before appropriations and taxes	61,5	63,3	61,3
Appropriations
Direct taxes	-18,7	-19,1	-18,5
Result for the financial year	42,8	44,2	42,8

Profit and loss account (t EUR)  

	31.01.2008 12 months
PROFIT AND LOSS ACCOUNT
TURNOVER	1.897,1
Change in finished goods and work-in-progress inv	24,0
Other operating income	3,2
Materials and services
Materials, supplies and goods
Purchases during the fiscal period	-1.541,4
Personnel expenses
Salaries and wages	-109,5
Social security expenses
Other social security expenses	-21,1
Depreciation and reductions in value
Depreciation according to plan	-0,2
Other operating expenses	-181,6
OPERATING RESULT	70,6
Financial income and expenses
Income on investments in other fixed assets	7,6
Other interest and financial income	5,6
RESULT BEFORE EXTRAORDINARY ITEMS	83,7
RESULT BEFORE CLOSING ENTRIES AND TAXES	83,7
Closing entries
Income taxes	-22,0
RESULT FOR THE FISCAL PERIOD	61,7

Summary of the balance sheet (t EUR)  

	31.01.2008 12 months	31.01.2006 12 months	31.01.2005 12 months
Intangible assets
Tangible assets	0,6	1,0	1,3
Investments	200,7	99,6	98,1
Stocks	90,4	75,9	13,9
Current financial assets	355,2	358,4	415,1
Subscribed capital	8,4	8,4	8,4
Reserves
Retained earnings	352,8	278,2	202,3
Result for the financial year	61,7	86,8	100,9
Subordinated loans
Accumulated appropriations
Provisions
Long-term debts
Current liabilities	223,8	161,4	216,8
Balance sheet total	646,8	534,9	528,4

Summary of the balance sheet (t EUR)  

	31.01.2004 12 months	31.01.2003 12 months	31.01.2002 12 months
Intangible assets
Tangible assets	1,8	2,4	0,4
Investments	15,0	15,0	15,0
Stocks	60,4	28,8	27,0
Current financial assets	395,4	305,3	263,4
Subscribed capital	8,4	8,4	8,4
Reserves
Retained earnings	179,5	152,3	124,5
Result for the financial year	42,8	44,2	42,8
Subordinated loans
Accumulated appropriations
Provisions
Long-term debts
Current liabilities	241,9	146,7	130,1
Balance sheet total	472,6	351,6	305,9

Balance sheet (t EUR)  

	31.01.2008 12 months
BALANCE SHEET
ASSETS
FIXED AND OTHER NON-CURRENT ASSETS
Tangible assets
Machinery and equipment	0,6
Investments
Shares/Similar rights of ownership in other compa	200,7
CURRENT ASSETS
Inventories and work-in-progress
Materials and supplies	90,4
Receivables
Long term receivables
Short term receivables
Trade receivables	67,5
Other receivables	23,3
Financial assets
Cash in hand and at banks	264,4
BALANCE SHEET TOTAL	646,8
SHAREHOLDERS´ EQUITY AND LIABILITIES
SHAREHOLDERS´ EQUITY
Share capital, subscribed capital of a co-operati	8,4
Other reserves
Retained earnings (losses)	352,8
Result for the fiscal period	61,7
LIABILITIES
Short term liabilities
Trade payables	151,4
Other loans and liabilities	72,5
BALANCE SHEET TOTAL	646,8

Company´s ratios

Accounting period	31.01.2008	31.01.2006	31.01.2005	31.01.2004
Volume
Turnover EUR 1000	1.897,1	1.840,4	2.053,1	1.703,5
Change in turnover in %		-10,4	20,5	6,8
Turnover/person EUR 1000		920,2	684,4	567,8
Profitability
Operating margin (EBITDA) in %	3,7	6,1	6,5	3,5
Operating result (EBIT) in %	3,7	6,0	6,5	3,5
Return on investment in %	16,9	31,7	47,3	26,8
Return on total assets in %	12,9	22,2	27,2	15,0
Liquidity
Quick ratio	1,6	2,2	1,9	1,6
Current ratio	2,0	2,7	2,0	1,9
Solvency
Equity ratio in %	65,4	69,8	59,0	48,8
Net gearing	-0,5	-0,6	-0,9	-0,7
Relative indebtedness in %	11,8	8,8	10,6	14,2
Working capital
Working capital ratio in %	0,3	1,9	-0,3	4,4
Inventories/turnover in %	4,8	2,3	0,7	1,0
Sales receivable turnover in days	13	16	20	46
Accounts payable turnover in days	36	31	30	52

Ratios of the line of business

Line of business 51421 Wholesale of clothing (801 kpl)

Year	2008	2007	2006	2005	2004
Companies in the line	27	223	301	311	318
Volume
Turnover EUR 1000	723,0	405,8	239,6	220,0	202,0
Change in turnover in %	7,3	5,0	3,3	3,1	-2,2
Turnover/person EUR 1000	230,0	159,1	137,0	143,0	139,7
Profitability
Operating margin (EBITDA) in %	5,4	6,8	6,3	6,1	6,1
Operating result (EBIT) in %	4,5	4,6	4,7	5,1	4,3
Return on investment in %	7,0	11,3	11,0	11,3	11,1
Return on total assets in %	6,2	7,6	8,2	8,9	7,6
Liquidity
Quick ratio	1,2	1,1	1,1	1,0	1,1
Current ratio	2,0	2,2	1,9	1,8	1,9
Solvency
Equity ratio in %	35,8	39,9	39,1	40,0	36,7
Relative indebtedness in %	32,0	26,2	27,2	28,0	28,0
Working capital
Working capital ratio in %	12,2	18,9	17,0	17,2	13,9
Inventories/turnover in %	16,0	20,1	18,5	18,4	16,3
Sales receivable turnover in days	38	27	28	29	30
Accounts payable turnover in days	25	24	29	35	35
	Line of business	All companies
Payment default risk	5,1%	5,4%
Bankruptcy risk	0,7%	0,5%

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.47.32
UK Pound	1	Rs.74.20
Euro	1	Rs.60.73

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