MIRA INFORM REPORT

Report Date :

14.12.2011

IDENTIFICATION DETAILS

Name :	PHO BINH TRADING COMPANY LIMITED
Registered Office :	No. 289 Luy Ban Bich, Hiep Tan Ward, Tan Phu District, Ho Chi Minh City,
Country :	Vietnam
Financials (as on) :	31.12.2010
Year of Establishment :	2001
Com. Reg. No.:	0302237742
Legal Form :	Limited Liability Company
Line of Business :	Trading in materials, chemicals in agriculture-industry, food, textile, dye, construction materials, cosmetic, foodstuff.
No. of Employees :	40 persons

RATING & COMMENTS

MIRA’s Rating :

B

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

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 – September 30^th, 2011

Country Name	Previous Rating (30.06.2011)	Current Rating (30.09.2011)
Vietnam	b1	b1

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

SUBJECT IDENTIFICATION & LEGAL FORM

Current legal status
Registered English Name	PHO BINH TRADING COMPANY LIMITED
Registered Vietnamese Name	CONG TY TNHH THUONG MAI PHO BINH
Trade name	PHO BINH TRADING CO., LTD
Type of Business	Limited liability company
Year Established	2001
Business Registration No.	0302237742
Date of Registration	21 Mar 2011
Place of Registration	Business Registration Office of Hochiminh City
Current registered capital	VND 22,000,000,000
Tax code	0302237742
Total Employees	40

Historical Identification & Legal form

List	Changed Items	Date of changes
1	Subject has got former Business Registration No: 4102003945 (Issued on March 05^th, 2001) Changed to: 0302237742	21 Mar 2011
2	Subject has got former Registered capital: 2,500,000,000 VND Changed to: 22,000,000,000 VND	21 Mar 2011

company ADDRESSES

Head Office
Address	No. 289 Luy Ban Bich, Hiep Tan Ward, Tan Phu District, Ho Chi Minh City, Vietnam
Telephone	(84-8) 3860 9856
Fax	(84-8) 3973 1778
Email	phobinh@hcm.vnn.vn
Workshop in Ho Chi Minh
Address	2 Road No. 14 – Linh Trung, Thu Duc District, Ho Chi Minh City, Vietnam

DIRECTORS

1. NAME	Mr. NGUYEN CONG PHO
Position	Director
Date of Birth	16 Jul 1968
ID Number/Passport	211260874
ID Issue Date	30 Mar 2004
ID Issue Place	Police Station of Hochiminh City
Resident	No. 34 Luy Ban Bich, Hiep Tan Ward, Tan Phu District, Ho Chi Minh City, Vietnam
Nationality	Vietnamese
2. NAME	Ms. NGUYEN THI BICH PHUONG
Position	Deputy Director
Nationality	Vietnamese
3. NAME	Ms. NGUYEN THI THUY
Position	Chief Accountant
Nationality	Vietnamese
4. NAME	Ms. VO NGOC ANH LIEN
Position	Import- Export Executive
Nationality	Vietnamese
Tel/Mobil phone	+84906 78 7178
Email	import@phobinh.com.vn

BUSINESS NATURE AND ACTIVITIES

The subject registered in the following lines of business:
- Trading in materials, chemicals in agriculture-industry, food, textile, dye, construction materials, cosmetic, foodstuff.
- Civil construction.
- Warehouses leasing service.
- Producing handicraft products, animal feed, foodstuffs.

IMPORT & EXPORT ACTIVITIES

IMPORT:
· Market	China, Japan, Korea, Taiwan, USA, France, Germany…
EXPORT:
· Market	N/A

BANKERS

1. VIETNAM EXPORT IMPORT COMMERCIAL JOINT STOCK BANK DISTRICT 11 BRANCH
Address	No. 31 Au Co Street , 11 District, Ho Chi Minh City, Vietnam
Telephone	(84-8) 3974 4300
Fax	(84-8) 3865 2892
2. VIETIN BANK HO CHI MINH CITY BRANCH NO. 1
Address	No. 93 – 95 Ham Nghi Street, Nguyen Thai Binh Ward, 1 District, Ho Chi Minh City, Vietnam
Telephone	(84-8) 3821 5388 – 3821 0089
Fax	(84-8) 3829 0696
Note: According to the subject, now sụbject is suspending trading with the Vietnam Russia Joint Venture.

SHAREHOLDERS

1. NAME	Mr. NGUYEN CONG PHO
Position	Director
Date of Birth	16 Jul 1968
ID Number/Passport	211260874
Issued Place	Police Station of Hochiminh City
Resident	No. 34 Luy Ban Bich, Hiep Tan Ward, Tan Phu District, Ho Chi Minh City, Vietnam
Nationality	Vietnamese
Value of shares	VND 20,800,000,000
Percentage	94.5%
2. NAME	Mr. NGUYEN CONG HUY
ID Number/Passport	211045038
Resident	Binh Duong Hamlet Hoai Duc Village, Hoai Nhon District, Binh Dinh Province, Vietnam
Nationality	Vietnamese
Value of shares	VND 100,000,000
Percentage	0.5%
3. NAME	Ms. NGUYEN THI BICH PHUONG
Position	Deputy Director
Nationality	Vietnamese
Value of shares	VND 1,100,000,000
Percentage	5%

FINANCIAL DATA

BALANCE SHEET
Unit: One VND
Balance sheet date	31/12/2010	31/12/2009	31/12/2008
Number of weeks	52	52	52
ASSETS
A – CURRENT ASSETS	79,735,274,236	61,879,000,000	39,178,000,000
I. Cash and cash equivalents	917,370,770	3,082,000,000	3,195,000,000
1. Cash	917,370,770	3,082,000,000	3,195,000,000
2. Cash equivalents	0	0	0
II. Short-term investments	0	0	0
1. Short-term investments	0	0	0
2. Provisions for devaluation of short-term investments	0	0	0
III. Accounts receivable	35,384,553,252	26,863,000,000	20,930,000,000
1. Receivable from customers	31,464,833,946	25,299,000,000	16,868,000,000
2. Prepayments to suppliers	3,874,719,306	2,134,000,000	4,052,000,000
3. Inter-company receivable	0	0	0
4. Receivable according to the progress of construction	0	0	0
5. Other receivable	45,000,000	18,000,000	10,000,000
6. Provisions for bad debts	0	-588,000,000	0
IV. Inventories	39,876,258,325	30,912,000,000	14,788,000,000
1. Inventories	39,876,258,325	30,912,000,000	14,788,000,000
2. Provisions for devaluation of inventories	0	0	0
V. Other Current Assets	3,557,091,889	1,022,000,000	265,000,000
1. Short-term prepaid expenses	4,840,750	0	0
2. VAT to be deducted	2,043,608,845	264,000,000	248,000,000
3. Taxes and other accounts receivable from the State	179,571,044	6,000,000	17,000,000
4. Other current assets	1,329,071,250	752,000,000	0
B. LONG-TERM ASSETS	7,064,885,987	6,916,000,000	2,478,000,000
I. Long term accounts receivable	0	0	0
1. Long term account receivable from customers	0	0	0
2. Working capital in affiliates	0	0	0
3. Long-term inter-company receivable	0	0	0
4. Other long-term receivable	0	0	0
5. Provisions for bad debts from customers	0	0	0
II. Fixed assets	6,831,749,210	6,753,000,000	2,275,000,000
1. Tangible assets	6,052,192,647	6,447,000,000	2,232,000,000
- Historical costs	8,875,955,965	8,120,000,000	2,910,000,000
- Accumulated depreciation	-2,823,763,318	-1,673,000,000	-678,000,000
2. Financial leasehold assets	0	0	0
- Historical costs	0	0	0
- Accumulated depreciation	0	0	0
3. Intangible assets	0	0	0
- Initial costs	0	0	0
- Accumulated amortization	0	0	0
4. Construction-in-progress	779,556,563	306,000,000	43,000,000
III. Investment property	0	0	0
Historical costs	0	0	0
Accumulated depreciation	0	0	0
IV. Long-term investments	0	163,000,000	0
1. Investments in affiliates	0	0	0
2. Investments in business concerns and joint ventures	0	0	0
3. Other long-term investments	0	163,000,000	0
4. Provisions for devaluation of long-term investments	0	0	0
V. Other long-term assets	233,136,777	0	203,000,000
1. Long-term prepaid expenses	0	0	0
2. Deferred income tax assets	0	0	0
3. Other long-term assets	233,136,777	0	203,000,000
VI. Goodwill	0	0	0
1. Goodwill	0	0	0
TOTAL ASSETS	86,800,160,223	68,795,000,000	41,656,000,000
LIABILITIES
A- LIABILITIES	43,262,344,712	65,775,000,000	40,242,000,000
I. Current liabilities	43,262,344,712	65,775,000,000	40,242,000,000
1. Short-term debts and loans	20,820,000,000	53,845,000,000	40,163,000,000
2. Payable to suppliers	17,959,424,528	10,838,000,000	0
3. Advances from customers	104,341,060	644,000,000	0
4. Taxes and other obligations to the State Budget	2,279,682,921	429,000,000	79,000,000
5. Payable to employees	0	0	0
6. Accrued expenses	0	0	0
7. Inter-company payable	0	0	0
8. Payable according to the progress of construction contracts	0	0	0
9. Other payable	2,098,896,203	19,000,000	0
10. Provisions for short-term accounts payable	0	0	0
II. Long-Term Liabilities	0	0	0
1. Long-term accounts payable to suppliers	0	0	0
2. Long-term inter-company payable	0	0	0
3. Other long-term payable	0	0	0
4. Long-term debts and loans	0	0	0
5. Deferred income tax payable	0	0	0
6. Provisions for unemployment allowances	0	0	0
7. Provisions for long-term accounts payable	0	0	0
B- OWNER’S EQUITY	43,537,815,511	3,020,000,000	1,414,000,000
I. OWNER’S EQUITY	43,537,815,511	3,020,000,000	1,414,000,000
1. Capital	2,500,000,000	2,500,000,000	2,500,000,000
2. Share premiums	0	0	0
3. Other sources of capital	40,000,000,000	0	0
4. Treasury stocks	0	0	0
5. Differences on asset revaluation	0	0	0
6. Foreign exchange differences	0	0	0
7. Business promotion fund	0	0	0
8. Financial reserved fund	0	0	0
9. Other funds	0	0	0
10. Retained earnings	1,037,815,511	520,000,000	-1,086,000,000
11. Construction investment fund	0	0	0
II. Other sources and funds	0	0	0
1. Bonus and welfare funds	0	0	0
2. Sources of expenditure	0	0	0
3. Fund to form fixed assets	0	0	0
MINORITY’S INTEREST	0	0	0
TOTAL LIABILITIES AND OWNER’S EQUITY	86,800,160,223	68,795,000,000	41,656,000,000

PROFIT & LOSS STATEMENT
Description	FY2010	FY2009	FY2008
1. Total Sales	180,227,774,467	141,405,000,000	118,417,000,000
2. Deduction item	175,975,200	91,000,000	743,000,000
3. Net sale	180,051,799,267	141,314,000,000	117,674,000,000
4. Costs of goods sold	158,456,319,024	119,670,000,000	105,725,000,000
5. Gross profit	21,595,480,243	21,644,000,000	11,949,000,000
6. Financial income	279,217,849	186,000,000	225,000,000
7. Financial expenses	11,144,228,378	11,813,000,000	6,004,000,000
- In which: Loan interest expenses	5,762,951,168	-	-
8. Selling expenses	0	0	0
9. Administrative overheads	4,957,351,943	8,145,000,000	6,315,000,000
10. Net operating profit	5,773,117,771	1,872,000,000	-145,000,000
11. Other income	31,340,171	46,000,000	176,000,000
12. Other expenses	68,332	172,000,000	0
13. Other profit /(loss)	31,271,839	-126,000,000	176,000,000
14. Total accounting profit before tax	5,804,389,610	1,746,000,000	31,000,000
15. Current corporate income tax	366,756,989	306,000,000	9,000,000
16. Deferred corporate income tax	0	0	0
17. Interest from subsidiaries/related companies	0	0	0
18. Profit after tax	5,437,632,621	1,440,000,000	22,000,000

FINANCIAL RATIOS AND AVERAGE INDUSTRY RATIOS
Description	FY2010	FY2009	FY2008	Average Industry
Current liquidity ratio	1.84	0.94	0.97	1.45
Quick liquidity ratio	0.92	0.47	0.61	0.87
Inventory circle	3.97	3.87	7.74	7.48
Average receive period	71.73	69.38	64.92	64.15
Utilizing asset performance	2.07	2.05	2.82	2.38
Liability by total assets	49.84	95.61	96.61	69.14
Liability by owner's equity	99.37	2,177.98	2,845.97	281.46
Ebit / Total assets (ROA)	13.33	2.54	0.07	10.33
Ebit / Owner's equity (ROE)	26.57	57.81	2.19	35.61
Ebit / Total sale (NPM)	6.42	1.23	0.03	4.71
Gross profit / Total sale (GPM)	11.98	15.31	10.09	15.43
Note: The Average Industry was calculated by VietnamCredit based on our own statistical data

PAYMENT HISTORY & PERFORMANCE EXPERIENCES

Trade Morality	Normal
Liquidity	Medium
Payment status	Average
Financial Situation	Average
Development trend	Uptrend
Litigation data	No
Bankruptcy	No
Payment Methods	Direct payment or through its corresponding bank. Foreign remittance by letter of credit (L/C), by t
Sale Methods	Wholesaler

CREDIT INQUIRY: 125,000 USD (TP DA)

Acceptable!

INTERPRETATION ON THE SCORES

PHO BINH TRADING COMPANY LIMITED is a limited liability company which was officially established in 2001 with the Business Registration No.4102003945 and registered capital 2,500,000,000 VND. Now, the subject is operating under Business Registration No. 0302237742 and registration capital VND 22 billion
The subject is located at No.289 Luy Ban Bich Street, Hiep Tan Ward, Tan Phu Dist, Hochiminh City. The subject is a chemical distributor in Vietnam. It is dealing in chemicals serving for food industry, aquatic and marine product processing industry and aquaculture industry. Besides, the subject also distributes kinds of industrial chemicals and additives serving dyeing and textile industry, leather, paper industry, construction, tile industry, etc.
The subject has established good relations with many foreign partners from China, Japan, Korea, Taiwan, Pakistan, India, USA, France, Germany…and gained a passable market share with traditional clients nationwide. The subject is exclusive distributor for products of above ten foreign firms in Vietnam such as Aditya Birla Chemical and Thai Peroxide. The subject’s business is regularly developing.
According to our collected financial data, business situation is more and more positive. Turnover of 2010 increased 21 percent comparing to 2009 and increased 34 percent comparing to 2008. Its liquidity ratios in 2009 are low, However, in 2010 the liquidity of the subject was better. At present, the subject has capability for transaction with small and medium sums.

APPENDIX

INDUSTRY DATA
Industry code	Growth speed by price compared with 1994 (%)		Total enterprises 2009		Total employees 2010 (Thous.pers.)	Annual average capital of enterprises 2009 (billion dongs)
	2010	2009
Agriculture, Forestry and Fishing	2.78	1.82	8,749		23,896.3	81,559
Industry and Construction	7.70	5.52	85,115		10,630	2,751,975
Trade and Services	7.52	6.63	154,978		14,522	4,939,069
ECONOMIC INDICATORS
			2010	2009		2008
Population (Million person)			86.93	86.02		86.1
Gross Domestic Products (US$ billion)			102.2	91		84.9
GDP Growth (%)			6.78	5.32		6.2
GDP Per Capita (US$)			1,160	1,080		1,040
Inflation (% Change in Composite CPI)			11.75	6.88		24.4
SERVICE TRADE PERFORMANCE
Billion USD			2010	2009		2008
Exports			72.2	57.1		62.7
Imports			84.8	69.9		80.7
Trade Balance			-12.6	-12.8		-18

Source: General Statistics Office

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.53.40
UK Pound	1	Rs.83.32
Euro	1	Rs.70.44

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.