MIRA INFORM REPORT

Report Date :

08.04.2011

IDENTIFICATION DETAILS

Name :	JIANGMEN JIYING TRADING CO. LTD

Registered Office :	Room 602, NO. 2 Donghua 2^nd Road, Pengjiang District, Jiangmen City, Guangdong Province 529000

Country :	China

Date of Incorporation :	21.10.2010

Com. Reg. No.:	440703000054330

Legal Form :	Limited Liability Company.

Line of Business :	Wholesale of Textiles, Knit Goods and Related Raw Materials.

RATING & COMMENTS

MIRA’s Rating :

RATING

STATUS

PROPOSED CREDIT LINE

New Business

Status :	New Company

Payment Behaviour :	Regular

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)

China

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

Company name

JIANGMEN JIYING TRADING CO. LTD

Room 602, NO. 2 Donghua 2^nd Road, Pengjiang District, Jiangmen City, Guangdong Province 529000

Tel : 86 750 3951300

Fax 86 750 3299268

Website

Currency in this report is Chinese Yuan unless otherwise stated.

Exchange Rate: 1 USD=6.54 Chinese Yuan

"--"in this report indicates "unavailable" due to insufficient information or "no comments"

Note: We couldn’t provide the credit limit of subject company in this report due to lack of financial information. Thus we couldn’t response to the credit limit provided in your order.

EXECUTIVE SUMMARY

DATE OF establishment : Oct 21^st, 2010

Aic Registration No. : 440703000054330

REGISTERED LEGAL FORM : limited liability company

REGISTERED CAPITAL : 1000,000.00

main BUSINESS :whosale of textiles, knit goods and related raw materials

employees : 5

import and export permits : yes

base CREDIT limit : 0 Chinese Yuan

EXCHANGE RATE : 1 Usd=6.54 CNY (apr 7^th, 2011)

Registered Address : Room 602, NO. 2 Donghua 2^nd Road, Pengjiang District, Jiangmen City, Guangdong Province

Zip Code : 529000

Business Address : Room 602, NO. 2 Donghua 2^nd Road, Pengjiang District, Jiangmen City, Guangdong Province

Zip Code : 529000

Telephone : 86 750 3951300

Fax : 86 750 3299268

SIC Code (China) : 6331, Wholesale of textiles, knit goods and raw materials.

REGISTRATION

Date of Establishment	oct 21^st, 2010
Registry	Administration Bureau of Industry and Commerce - Jiangmen
Legal Representative	Wu Yuefeng
AIC Registration Number	440703000054330
Registered Legal Form	limited liability company
Registered Capital	1000,000.00
Operating Period	From Oct 21^st, 2010 to ---
Business Scope	I Wholesale of textiles, knit goods and related raw materials. Import and export of goods and technologies (excluding those forbidden by the government).
Changes in Registration	NO

Limited liabilities co.

This form of business in PR China is defined as a legal person. Its registered capital is contributed jointly by at least two shareholders and no more than fifty. Shareholders bear limited liability to the extent of shareholding, and the co. is liable for its debts only to extent of its total assets. The characteristics of this form of co. are as follows:

Upon the establishment of the co., an investment certificate is issued to the each of shareholders.

The board of directors is comprised of three to thirteen members.

The minimum registered capital for a co. is listed as follows:

-manufacturing co. : RMB 500,000.00

-trading &wholesaling co. : RMB 500,000.00

-retailing co. : RMB 300,000.00

-consultancy & service co. : RMB 100,000.00

Shareholders may take their capital contributions in cash or by means of tangible assets or intangible assets such as industrial property and non-patented technology.

Cash contributed by all shareholders must account for at least 50% of the registered capital while contribution by intangible assets must not exceed 20% of the registered capital.

Existing shareholders have pre-exemption right to purchase shares of the co. offered for sale by the other shareholders and to subscribe for the newly increased registered capital of the co.

REGISTRATION INFO: AVAILABLE

FINANCIAL REPORTS: AVAILABLE

FIELD INVESTIGATION

1. Subject’s income comes mainly from textiles and knit goods which take up about 50% of its income. Another 50% comes from related raw materials like yarns. SC’s sales businesses are developed directly to the clients. SC mainly deals with the sales business of textiles, knit goods and related raw materials. This industry is fiercely competitive. There are many similar companies in the local place as competitors of Subject. With a short history and a small scale, subject’s reputation in the local industry still needs to be promoted. Generally speaking, SC’s competitiveness in the local industry is below average.

2. Jiangmen, where SC is located, is a big coastal city in China. The high economic development level provides the local enterprises with wider development space and also many development challenges. As a domestically invested company, SC mainly deals with sales business of textiles, knit goods and related raw materials. It enjoys no favorable policies from the government.

SHAREHOLDERS AND SHARES

As indicated in the following table:

Shareholder	Capital Subscribed	Percentage
Li Bier	500,000.00	50.00%
Wu Yuefeng	500,000.00	50.00%
Total	1,000,000.00	100%

Shareholders	Paid-up Percentage	Investment Ways
Li Bier	100%	---------------l
Wu Yuefeng	100%	---------------l

Background of major shareholders

Name	Wu Yuefeng
Gender	Male
ID NO.	440723197509080012
Date of Birth	Sep 8^th, 1975

Name	Li Bier
Gender	Female
ID NO.	440701194411193623
Date of Birth	Nov 19^th, 1944

MANAGEMENT

Name	Wu Yuefeng
Title	Legal representative
Gender	Male
ID No.	440723197509080012
Nationality	China
Date of birth	Sep 8^th, 1975

NUMBER OF EMPLOYEES

Employees: 5

Recent Recruitment：No

BANKERS INFORMATION

Bank Name	Industrial and Commercial Bank of China – Jiangmen Branch
Telephone of the person investigated	86 750 3169926
Comment	The interviewee refused to disclose any information in order to keep secret for the client.

OFFICE FACILITIES

Geographic Location: SC is located in Room 602, NO. 2 Donghua 2^nd Road, Pengjiang District, Jiangmen City, Guangdong Province. The traffic and environment condition are average.

Property Ownership: rented

MAIN PRODUCTS & SERVICES

Main business	Sales of textiles and related raw materials
Products and services	SC mainly deals with the import and export business. It imports products from overseas countries and sells them in domestic markets.

SALES INFORMATION

Percentage of domestic sales	100%
Regions	Guangdong and its neighbouring regions
Major domestic clients	Textiles enterprises
Sales Terms:	Prompt payment; on credit
SC’s products are mainly sold in Guangdong and its neighbouring regions. With a short history, SC’s sales channels and customer base need to be further built.
The above information was confirmed by SC’s employee

PURCHASE INFORMATION

Main Commodities Purchased	Fabrics, yarns, etc.
Number of Major Suppliers	About 5
Main Terms of Payment	Prompt payment; on credit
SC’s exporting products are mainly imported from India, Vietnam, etc. SC still needs to strengthen its relationship with its suppliers due to its short history.
The above information was confirmed by SC’s employees

CREDIT

SC’s employees are cautious of their purchasing information. The interviewee refused to disclose their suppliers’ names and their purchasing information for the reason of keeping business secrets. Our investigators failed to get the names of Subject’s suppliers. Thus no credit records can be provided in this report.

LITIGATION RECORDS

After checking with China court website, local court website and other major searching websites, no litigation records related to subject in the recent 3 years was found.

FINANCE

SC was established in May, 2010 and doesn’t reach a financial year. So no financial information is got from the AIC. So no financial information and recommended credit limit is provided in this report.

INDUSTRY PROFILE

Industry

SIC Code (China): 6331 Wholesale of textiles, knit goods and related materials.

Description: It refers to wholesale, import and export activity of fabrics, textiles and related raw materials.

Status Quo & Trend

SC mainly deals with the import and export business of textiles, knit goods and related raw materials. Textiles are labour intensive products. At the present time, the influence of financial crisis reaches textile market in China. During the past 3 years, the textiles that China marketed in Asia, European Unions, Africa and North America have been decreasing. Now, the main textile organizations in America take some measures like anti-subsidies, anti-dumping, defense measures to particular products. Obama, who is the present president in USA, sticks to demanding textiles policies which may be unfavorable to sales of China’s textiles in USA.

GENERAL COMMENTS

Subject was registered in Oct, 2010. Its main business is wholesale and sales of textiles, knit goods and related raw materials. Since Subject has only established for a short time and no financial information is available, we are not sure about subject’s development future.

Financial analysis can’t be provided due to lack of financial information. We advise client to continue observing the development status of Subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.44.22
UK Pound	1	Rs.71.97
Euro	1	Rs.63.23

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
--	NB	New Business	--

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.