MIRA INFORM REPORT

Report Date :

07.12.2011

IDENTIFICATION DETAILS

Name :	GIVAUDAN FRAGRANCES (SHANGHAI) LTD.
Registered Office :	No. 298 Lishizhen Road, Zhangjiang High Tech Park, Pudong New District, Shanghai, 201200 Pr
Country :	China
Financials (as on) :	30.11.2011
Date of Incorporation :	22.11.1995
Com. Reg. No.:	310115400032722
Legal Form :	Wholly Foreign-Owned Enterprise
Line of Business :	Manufacturing and selling fragrance and flavor
No. of Employees :	410

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 :	usd 2,000,000
Status :	Good
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 – September 30, 2011

Country Name	Previous Rating (30.06.2011)	Current Rating (30.09.2011)
China	A2	A2

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

Company name and address

GIVAUDAN FRAGRANCES (SHANGHAI) LTD.

NO. 298 LISHIZHEN ROAD, ZHANGJIANG HIGH TECH PARK,

PUDONG NEW DISTRICT, SHANGHAI, 201200 PR CHINA

TEL: 86 (0) 21-28931300 FAX: 86 (0) 21-50801000

EXECUTIVE SUMMARY

INCORPORATION DATE : NOV. 22, 1995

REGISTRATION NO. : 310115400032722

REGISTERED LEGAL FORM : WHOLLY FOREIGN-OWNED ENTERPRISE

CHIEF EXECUTIVE : MR. NICHOLAS J. T WONG (CHAIRMAN)

STAFF STRENGTH : 410

REGISTERED CAPITAL : USD 7,750,000

BUSINESS LINE : MANUFACTURING

TURNOVER : cny 622,410,000 (UNAUDITED, JAN. 1 TO NOV. 30, 2011)

EQUITIES : cny 355,400,000 (UNAUDITED, AS OF NOV. 30, 2011)

PAYMENT : AVERAGE

RECOMM. CREDIT RANGE : up to usd 2,000,000

MARKET CONDITION : COMPETITIVE

FINANCIAL CONDITION : fairly good

OPERATIONAL TREND : steady

GENERAL REPUTATION : WELL-KNOWN

EXCHANGE RATE : CNY 6.35 = USD 1

Adopted abbreviations:

ANS - amount not stated

NS - not stated

SC - subject company (the company inquired by you)

NA - not available

CNY - China Yuan Ren Min Bi

SC was registered as a Chinese-foreign equity joint venture enterprise at local Administration for Industry & Commerce (AIC - The official body of issuing and renewing business license) on Nov. 22, 1995 and has been under present ownership since April 23, 2003.

Company Status: Wholly foreign-owned enterprise

This form of business in PR China is defined as a legal person. It is a limited co. established within the territories of PR China with capital provided totally by the foreign investors. More than one foreign investors may jointly invest in a wholly foreign-owned enterprise. The investing party/parties solely exercise management, reap profit and bear risks and liabilities by themselves. This form of companies usually have a limited duration is extendible upon approval of Examination and Approval Authorities.

SC’s registered business scope includes manufacturing daily-use essence, edible essence compound and perfume products; selling self-made products; wholesaling, importing and exporting the same kind commodities with above products and their commission agent (excluding auction); relative assistance consulting and technology consulting; researching and developing technology, transferring self-owned technology (with permit if needed).

SC is mainly engaged in manufacturing and selling fragrances and flavors.

Mr. Nicholas J. T Wong has been the legal representative, chairman and general manager of SC since 2000.

SC is known to have approx. 410 employees at present.

SC is currently operating at the above stated address, and this address houses its operating office and factory in the high-tech park of Shanghai. SC’s accountant refused to release the detailed information of the area.

SC is not known to host web site of its own at present.

Changes of its registered information:

Date of change	Item	Before the change	After the change
1999-02-23	Registered capital	USD 4,250,000	Present amount
2000-03-09	Registered name	Shanghai Givaudan Roure Ltd.	Shanghai Givaudan Ltd.
	Legal representative	William Keller	Present one
2003-04-23	Legal form	Chinese-foreign equity joint venture enterprise	Present one
	Shareholdings	Shanghai Sunve Pharmaceutical Co., Ltd. 15% Givaudan S.A. 85%	Present one
2009-03-03	Registered name	Shanghai Givaudan Ltd.	Present one

MAIN SHAREHOLDER:

Name % of Shareholding

Givaudan S.A. (Switzerland) 100

Givaudan is one of the most respected companies in the fragrance and flavor industry. Its rich heritage dates back to 1796, making it the first company to establish itself as a creator of tastes and scents.

Add.: 5, chemin de la parfumerie 1214 Vernier Switzerland

Tel: +41 22 780 9111

Fax: +41 22 780 9150

Web: http://www.givaudan.com/

l Legal representative, chairman and general manager:

Mr. Nicholas J. T Wong, Singaporean, Passport # S1424227Z, with university education. He is currently responsible for the overall management of SC.

Working Experience(s):

From 2000 to present Working in SC as legal representative, chairman and general manager.

SC is mainly engaged in manufacturing and selling fragrance and flavor.

SC’s products mainly include: daily-use essence, edible essence compound, perfume products, etc.

SC sources its materials 70% from domestic market and 30% from the overseas markets. SC sells 40% of its products in domestic market and 60% to the overseas markets.

The buying terms of SC include Check, T/T, L/C and Credit of 30-60 days. The payment terms of SC include T/T, L/C and Credit of 30-60 days.

Note: SC’s management declined to release its main clients and suppliers.

Givaudan Specialty Products (Shanghai) Ltd.

==================================

Add: No. 210, Jiangtian East Road, Songjiang Development Zone, Shanghai

Tel: 021-57746899

Fax: 021-57746392

Givaudan Fragrances (Shanghai) Ltd. Beijing Branch

======================================

Add: Unit 1201-1204, Tower A, Beijing Kelun Building, 12A, Guanghua Road, Chaoyang District, Beijing

Tel: 010-65812973

Fax: 010-65811980

(The related companies’ information is from http://www.givaudan.com/)

Overall payment appraisal:

( ) Excellent ( ) Good (X) Average ( ) Fair ( ) Poor () Not yet determined

The appraisal serves as a reference to reveal SC's payments habits and ability to pay. It is based on the 3 weighed factors: Trade payment experience (through current enquiry with SC's suppliers), our delinquent payment and our debt collection record concerning SC.

Trade payment experience : SC refused to release any information of its suppliers and the trade reference was not available.

Delinquent payment record : None in our database.

Debt collection record :No overdue amount owed by SC was placed to us for collection within the last 6 years.

China Construction Bank Shanghai Pudong Branch Zhangjiang Sub-branch

AC# 3100523211055634167

Relationship: Normal.

Balance Sheet

Unit: CNY’000

	As of Nov. 30, 2011
Cash & bank	110,410
Inventory	179,680
Accounts receivable	188,940
Advances to suppliers	5,410
Other receivables	64,540
Other current assets	10,460
	------------------
Current assets	559,440
Fixed assets net value	118,720
Long term investment	0
Projects under construction	3,230
Intangible and other assets	2,230
	------------------
Total assets	683,620
	===========
Short loan	91,540
Accounts payable	121,530
Advances from clients	5,500
Salaries payable	6,330
Taxes payable	8,770
Other Accounts payable	85,870
Other current liabilities	8,680
	------------------
Current liabilities	328,220
Long term liabilities	0
	------------------
Total liabilities	328,220
Equities	355,400
	------------------
Total liabilities & equities	683,620
	===========

Income Statement

Unit: CNY’000

	Jan. 1 to Nov. 30, 2011
Turnover	622,410
Cost of goods sold	424,060
Sales expense	48,870
Management expense	75,410
Finance expense	4,180
Profit before tax	84,750
Less: profit tax	19,500
Profits	65,250

Note: The above financial records have not been audited.

Important Ratios

=============

	As of Nov. 30, 2011
*Current ratio	1.70
*Quick ratio	1.16
*Liabilities to assets	0.48
*Net profit margin (%)	10.48
*Return on total assets (%)	9.54
*Inventory /Turnover ×365	--
*Accounts receivable/Turnover ×365	--
*Turnover/Total assets	0.91
* Cost of goods sold/Turnover	0.68

PROFITABILITY: FAIRLY GOOD

l The turnover of SC appears fairly good.

l SC’s net profit margin is fairly good.

l SC’s return on total assets is fairly good.

l SC’s cost of goods sold is low, comparing with its turnover.

LIQUIDITY: AVERAGE

l The current ratio of SC is maintained in a normal level.

l SC’s quick ratio is maintained in a normal level.

l The inventory of SC appears average.

l The accounts receivable of SC appears average.

l The short-term loan of SC appears average.

l SC’s turnover is in an average level, comparing with the size of its total assets.

LEVERAGE: FAIRLY GOOD

l The debt ratio of SC is low.

l The risk for SC to go bankrupt is low.

Overall financial condition of the SC: Fairly good.

SC is considered medium-sized in its line with favorable background and fairly good financial conditions. A credit line of the above stated amount appears to be within SC’s capacities.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.51.39
UK Pound	1	Rs.80.20
Euro	1	Rs.68.92

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.