MIRA INFORM REPORT

Report Date :

06.08.2011

IDENTIFICATION DETAILS

Name :	MORGAN TECNICA SPA

Registered Office :	Via Lavoro E Industria 36, Coccaglio, 25030

Country :	Italy

Financials (as on) :	31.12.2009

Date of Incorporation :	18.02.2008

Legal Form :	Public Independent

Line of Business :	manufacture of textile machinery

RATING & COMMENTS

MIRA’s Rating :

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

Maximum Credit Limit :

Status :	Moderate

Payment Behaviour :	Unknown

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 – March 31^st, 2011

Country Name

Previous Rating

(31.12.2010)

Current Rating

(31.03.2011)

Italy

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

Company name & address Bottom of Form

Morgan Tecnica SpA

Via Lavoro E Industria 36

Coccaglio, 25030

Italy

Tel: +39 0307 704446

Fax: +39 0308 367004

Synthesis

Employees: 13

Company Type: Public Independent

Incorporation Date: 18-Feb-2008

Financials in: USD (Millions)

Fiscal Year End: 31-Dec-2008

Reporting Currency: Euro

Annual Sales: 2.0

Total Assets: 2.4

Business Description

Morgan Tecnica SpA is primarily engaged in manufacture of textile machinery (machines for preparing, producing, extruding, drawing, texturing or cutting man-made textile fibres, materials or yarns; machines for preparing textile fibres: cotton gins, bale breakers, garnetters, cotton spreaders, wool scourers, wool carbonisers, combs, carders, roving frames, etc.; spinning machines; machines for preparing textile yarns: reelers, warpers and related machines; weaving machines (looms) including hand looms; knitting machines; machines for making knotted net, tulle, lace, braid, etc.); manufacture of auxiliary machines or equipment for textile machinery (dobbies, Jacquards, automatic stop motions, shuttle changing mechanisms, spindles and spindle flyers, etc.); manufacture of machinery for fabric processing (machinery for washing, bleaching, dyeing, dressing, finishing, coating or impregnating textile fabrics; manufacture of machines for reeling, unreeling, folding, cutting or pinking textile fabrics); manufacture of laundry machinery (ironing machines including fusing presses; laundry-type washing and drying machines; dry cleaning machines); manufacture of sewing machines, sewing machine heads and sewing machine needles; manufacture of machines for producing or finishing felt or nonwovens; manufacture of leather machines (machinery for preparing, tanning or working hides, skins or leather; and machinery for making or repairing footwear or other articles of hides, skins, leather or furskins).

Industry

Industry Miscellaneous Capital Goods

ANZSIC 2006: 2469 - Other Specialised Machinery and Equipment Manufacturing

NACE 2002: 2954 - Manufacture of machinery for textile, apparel and leather production

NAICS 2002: 333292 - Textile Machinery Manufacturing

UK SIC 2003: 2954 - Manufacture of machinery for textile, apparel and leather production

US SIC 1987: 3552 - Textile Machinery

Key Executives

Name	Title
Federica Giachetti	President
Marco Giuseppe Giova Canali	Member of the board
Fabrizio Giachetti	Member of the board

Registered No.(ITA): 02981450980

1 - Profit & Loss Item Exchange Rate: USD 1 = EUR 0.6836792

2 - Balance Sheet Item Exchange Rate: USD 1 = EUR 0.7193986

Corporate Overview

Location

Via Lavoro E Industria 36

Coccaglio, 25030

Italy

Tel: +39 0307 704446

Fax: +39 0308 367004

Sales EUR(mil): 1.3

Assets EUR(mil): 1.7

Employees: 13

Fiscal Year End: 31-Dec-2008

Industry: Miscellaneous Capital Goods

Incorporation Date: 18-Feb-2008

Company Type: Public Independent

Quoted Status: Not Quoted

Registered No.(ITA): 02981450980

Member of the board: Marco Giuseppe Giova Canali

· Industry Codes

· Business Description

· Financial Data

· Subsidiaries

· Key Corporate Relationships

Industry Codes

ANZSIC 2006 Codes:

2469 - Other Specialised Machinery and Equipment Manufacturing

NACE 2002 Codes:

2954 - Manufacture of machinery for textile, apparel and leather production

NAICS 2002 Codes:

333292 - Textile Machinery Manufacturing

US SIC 1987:

3552 - Textile Machinery

UK SIC 2003:

2954 - Manufacture of machinery for textile, apparel and leather production

Business Description

Financial Data

Financials in:	EUR(mil)

Revenue:	1.3
Assets:	1.7
Current Assets:	1.4
Total Liabilities:	1.7
Net Worth:	0.1

Date of Financial Data:	31-Dec-2008

1 Year Growth

Subsidiaries

Company	Percentage Owned	Country
Morgan Dynamics SRL		Italy

Key Corporate Relationships

Bank:	Intesa Sanpaolo Ag

Executive report

Board of Directors

Name

Title

Function

Marco Giuseppe Giova Canali

Member of the board

Director/Board Member

Fabrizio Giachetti

Member of the board

Director/Board Member

Executives

Name

Title

Function

Federica Giachetti

President

Annual Profit & Loss

	31-Dec-2009	31-Dec-2008
Period Length	12 Months	12 Months
Filed Currency	EUR	EUR
Exchange Rate (Period Average)	0.719047	0.683679
Consolidated	No	No

Total income	3.8	2.5
Net sales	2.6	2.0
Other operating income	0.0	0.0
Raw materials and consumables employed	1.3	1.0
Other expenses	1.3	0.9
Total payroll costs	1.1	0.5
Fixed asset depreciation and amortisation	0.3	0.1
Other operating costs	0.0	0.0
Total financial income	-	0.1
Total expenses	0.0	0.0
Profit before tax	-	0.0
Profit after extraordinary items and before tax	-	0.0
Total taxation	0.0	0.0
Net loss	0.3	0.0

Annual Balance Sheet

Financials in: USD (mil)

	31-Dec-2009	31-Dec-2008
Filed Currency	EUR	EUR
Exchange Rate	0.696986	0.719399
Consolidated	No	No

Total stockholders equity	-	0.1
Provision for risks	0.0	0.0
Provision for pensions	0.1	0.0
Other long-term liabilities	0.0	-
Trade creditors	0.9	0.7
Bank loans and overdrafts	3.1	1.4
Other current liabilities	0.4	0.1
Accruals and deferred income	0.0	-
Total current liabilities	4.4	2.2
Total liabilities (including net worth)	4.2	2.4
Intangibles	1.1	0.4
Total tangible fixed assets	0.1	0.1
Total financial assets	0.0	0.0
Receivables due after 1 year	-	0.0
Total non-current assets	1.3	0.5
Net stocks and work in progress	1.1	0.8
Trade debtors	1.9	0.8
Other receivables	-	0.3
Cash and liquid assets	0.0	0.0
Accruals	0.0	0.0
Total current assets	3.0	1.9
Total assets	4.2	2.4

Annual Ratios

Financials in: USD (mil)

	31-Dec-2009	31-Dec-2008
Period Length	12 Months	12 Months
Filed Currency	-	EUR
Exchange Rate	-	0.719399
Consolidated	No	No

Sales per employee	0.14	0.43
Profit per employee	-	0.00
Average wage per employee	0.06	0.12
Net worth	-	0.1
Number of employees	26	6

Annual Profit & Loss

	31-Dec-2009	31-Dec-2008
Period Length	12 Months	12 Months
Filed Currency	EUR	EUR
Exchange Rate (Period Average)	0.719047	0.683679
Consolidated	No	No

Total income	3.8	2.5
Net sales	2.6	2.0
Other operating income	0.0	0.0
Raw materials and consumables employed	1.3	1.0
Other expenses	1.3	0.9
Total payroll costs	1.1	0.5
Fixed asset depreciation and amortisation	0.3	0.1
Other operating costs	0.0	0.0
Total financial income	-	0.1
Total expenses	0.0	0.0
Profit before tax	-	0.0
Profit after extraordinary items and before tax	-	0.0
Total taxation	0.0	0.0
Net loss	0.3	0.0

Annual Balance Sheet

Financials in: USD (mil)

	31-Dec-2009	31-Dec-2008
Filed Currency	EUR	EUR
Exchange Rate	0.696986	0.719399
Consolidated	No	No

Total stockholders equity	-	0.1
Provision for risks	0.0	0.0
Provision for pensions	0.1	0.0
Other long-term liabilities	0.0	-
Trade creditors	0.9	0.7
Bank loans and overdrafts	3.1	1.4
Other current liabilities	0.4	0.1
Accruals and deferred income	0.0	-
Total current liabilities	4.4	2.2
Total liabilities (including net worth)	4.2	2.4
Intangibles	1.1	0.4
Total tangible fixed assets	0.1	0.1
Total financial assets	0.0	0.0
Receivables due after 1 year	-	0.0
Total non-current assets	1.3	0.5
Net stocks and work in progress	1.1	0.8
Trade debtors	1.9	0.8
Other receivables	-	0.3
Cash and liquid assets	0.0	0.0
Accruals	0.0	0.0
Total current assets	3.0	1.9
Total assets	4.2	2.4

Annual Ratios

Financials in: USD (mil)

	31-Dec-2009	31-Dec-2008
Period Length	12 Months	12 Months
Filed Currency	-	EUR
Exchange Rate	-	0.719399
Consolidated	No	No

Sales per employee	0.14	0.43
Profit per employee	-	0.00
Average wage per employee	0.06	0.12
Net worth	-	0.1
Number of employees	26	6

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.44.80
UK Pound	1	Rs.72.86
Euro	1	Rs.63.11

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.

Company name & address Bottom of Form

Synthesis

Business Description

Key Executives

Corporate Overview

Contents

Executive report

Annual Profit & Loss

Annual Balance Sheet

Annual Ratios

Annual Profit & Loss

Annual Balance Sheet

Annual Ratios

Unit