MIRA INFORM REPORT

Report Date :

05.04.2011

IDENTIFICATION DETAILS

Correct Name :	PD. SINAR
Registered Office :	Jalan Arteri Mangga Dua Raya, Ruko Textile Block C2 No. 24-25, Jakarta Utara, 14430
Country :	Indonesia
Year of Establishment :	1999
Legal Form :	Sole Proprietary Company
Line of Business :	Trading and Importer of Textile Products

RATING & COMMENTS

MIRA’s Rating :

B

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	US$ 145,000,000
Status :	Moderate
Payment Behaviour :	No Complaints
Litigation :	Clear

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – December 31, 2010

Country Name	Previous Rating (30.09.2010)	Current Rating (31.12.2010)
Indonesia	b1	b1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

Name of Company

PD. SINAR

company Address

Head Office

Jalan Arteri Mangga Dua Raya

Ruko Textile Block C2 No. 24-25

Jakarta Utara, 14430

Indonesia

Phones - (62-21) 6128331 (Hunting)

Fax - (62-21) 6120391, 6129112, 6129116

Building Area - 3 storey

Office Space - 100 sq. meters

Region - Commercial Building

Status - Rent

Store (Electronic)

Jalan Arteri Mangga Dua

Mangga Dua Mall Ground Floor

Jakarta Utara

West Java

Indonesia

Phone - (62-21) 6127993

Building Area - 3 storey

Office Space - 100 sq. meters

Region - Commercial Building

Status - Rent

Date of Incorporation

1999

Legal Form

Sole Proprietary Company

Company Reg.No.

Not Required

Company Status

Private National Company

Permit by the Government Department

Not Available

Related Company

None

CAPITAL AND OWNERSHIP

Capital Structure :

Owned Capital : Rp. 700.0 million

Owners :

a. Mr. Manohardas Pitoomali

b. Mr. Manu Mulanii

c. Mr. Prem Mulani

BUSINESS ACTIVITIES

Lines of Business :

Trading and Importer of Textile Products

Production Capacity :

None

Total Investment :

None

Started Operation :

1999

Brand Name :

None

Technical Assistance :

None

Number of Employee :

23 persons

Marketing Area :

Domestic (Local) - 100%

Main Customer :

a. Trading and Distribution of Electronic Household Products

b. Trading of Textile Products (Moslem Wears)

Market Situation :

Very Competitive

Main Competitors :

a. P.T. YOSHI INDONESIA (Textile)

b. Toko LAKSANA TEXTILE (Textile)

c. C.V. BARU TEKNIK (Electronic)

d. P.T. SARANA KENCANA MULYA (Elelctronic)

e. Etc.

Business Trend :

Growing

BANKER, AUDITOR & LITIGATION

Banker :

P.T. Bank KESAWAN Tbk

Jalan Arteri Mangga Dua

Jakarta Utara

Indonesia

Auditor :

Internal Auditor

Litigation :

No litigation record in our database

FINANCIAL FIGURE

Annual Sales (estimated) :

2008 – Rp. 14.5 billion

2009 – Rp. 15.2 billion

2010 – Rp. 16.3 billion

Net Profit (estimated) :

2008 – Rp. 725 million

2009 – Rp. 760 million

2010 – Rp. 815 million

Payment Manner :

Average

Financial Comments :

Satisfactory

KEY EXECUTIVES

Board of Management :

President Director - Mr. Prem Mulani

Director - Mr. Manohardas Pitoomal

Board of Commissioner :

None

Signatories :

President Director (Mr. Prem Mulani) or the Director (Mr. Manohardas Pitoomal) is the authorized person to sign the loan on behalf of the company

CAPABILITIES

Management Capability :

Satisfactory

Business Morality :

Good

Credit Risk :

Average

Credit Recommendation :

Credit should be proceeded with monitor

Proposed Credit Limit :

Small amount – periodical review

Maximum Credit Limit :

US$ 145,000,000 on 90 days D/A

OVERALL PERFORMANCE

PD. SINAR was established in Jakarta in 1999’s with a status of Sole Proprietary Company. Founder and owner of the company are Mr. Manu Mulani, Mr. Prem Mulani and Mr. Manohardas Pitoomal, they are Indonesian businessman of Indian descent. Being as Sole Proprietary Company, the amount of its authorized capital was not mentioned at the time of its establishment. In our estimate, the company has own capital of about Rp. 700 million and it will be rising in line with the progress of its business operation.

PD. SINAR has been in operating since 1999 in the field of trading and distribution of electronic household products and textile products. The merchandising goods are TV, LCD, Plasma, DVD, Mini-HiFi, Refrigerators, Washing Machine, Microwaves with various brands such as POLITRON, SAMSUNG, SONY, SHARP, LG, JVC, PHILIPS, SANYO, TOSHIBA and PANASONIC. Besides, PD. SINAR is also sells electronic household products which imported with NAKAI brand of Japan and G-Hans brand of Germany. The whole electronic household products sold to end users and also to various electronic trader and shops in Jakarta. Besides, PD. SINAR has a retail and stores in Jakarta, Cirebon and Tegal. Besides that, PD. SINAR is also engaged in trading and distribution of textile products such as woman’s Moslem wears. Mr. Manohardas Pitoomal went to say the whole textile products is bought from various textile industries in Bandung, West Java. The textile products is distributed and supplied to trading and textile shops which operating in Pasar Pagi Mangga Dua, Tanah Abang, tailor and konveksi in Jakarta and surrounding.

The demand for textile products especially lady’s menswear has kept on rising 6% to 8% per annum in the last five years. The sharp growth of the demand was in line with the progress achieved in textile products locals markets. The demand growth is estimated to continually rising by 6% over the next five years. Market competition is very sharp considering many other similar companies operating in the country. According to the Indonesian Electronic Goods Producers Association (GABEI), the demand for Indonesian electronic goods/products from both the domestic and export market has been rising sharply, The demand for electronic goods/products is still strongly dominated by demand for household appliances, including color TV sets, video CD, electric irons, water pumps, vacuum cleaners, electric fans, gas stoves, rice cookers, etc. PD. SINAR in this case is in a sufficiently fairly good business position in view of the company has controlled a wide marketing network in Jakarta and surroundings.

PD. SINAR has not been registered with Indonesian Stock Exchange, so that they shall not obliged to announce their financial statement. We observed that total sales turnover of the company in 2008 amounted to Rp. 14.5 billion increased to Rp. 15.2 billion 2009 to Rp. 16.3 billion in 2010 and projected to go on rising by at least 4% in 2011. The operation in 2010 has yielded an estimated net profit at least Rp. 815 million and the company has an estimated total net worth at Rp. 2.5 billion. We observe that PD. SINAR is supported by financially fairly strong behind it. So far, we did not heard that the company having been black listed by the Central Bank (Bank Indonesia). Mr. Manohardas Pitoomal, director of the company disclosed that the company usually pays its debts punctually to suppliers.

The management of PD. SINAR is led by Mr. Prem Mulani (54), a professional manager with experienced in the field of trading and distribution of electronic household products. He studied Hotel Management in Australia. Besides, in the textile division is led by Mr. Manohardas Pitoomal (47) and experienced in textile and garment products. They have wide relations with private businessmen within and outside the country. So far, we did not hear that the management of the company being filed to the district court for detrimental cases or involved in any business malpractices. The company’s litigation record is clean and it has not registered with the black list of Bank of Indonesia. PD. SINAR is sufficiently fairly good for business transaction.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.44.65
UK Pound	1	Rs.71.93
Euro	1	Rs.63.24

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	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

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

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.