MIRA INFORM REPORT

Report Date :

16.12.2011

IDENTIFICATION DETAILS

Name :	ERIC MACKENZIE CYCLE TECHNOLOGY LIMITED
Registered Office :	11 Athol Place, Saint Heliers , Auckland, Zip/postal code 1071
Country :	New Zealand
Date of Incorporation :	27.04.2004
Com. Reg. No.:	1506398
Legal Form :	Private Limited Company
Line of Business :	Designing and distribution of bicycles.
No. of Employees :	1 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

Maximum Credit Limit :	USD 13,000
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 – September 30^th, 2011

Country Name	Previous Rating (30.06.2011)	Current Rating (30.09.2011)
New Zealand	a1	a1

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

Bottom of Form

Identification details Bottom of Form

Verified Address

Subject name : ERIC MACKENZIE CYCLE TECHNOLOGY LIMITED

Business address : 11 Athol Place

Town : Saint Heliers

Province : Auckland

Zip/postal code : 1071

Country : New Zealand

Tel : +64 9 5210145 / 21 677797

Fax : +64 9 5210145

Email : info@emcbikes.com

Website : www.emcbikes.com

Registered address : 11 Athol Place

Town : Saint Heliers

Province : Auckland

Zip/postal code : 1071

Country : New Zealand

Comments : The Subject does not operate from a physical office and all correspondence is

conducted through the residential premise of the directors verified above.

Summary details

Executive Summary

Date founded or registered : 27/04/2004

Legal form : Private Limited Company

Chief executive : Eric Stuart MacKenzie

Issued & paid up capital : NZD 100

Sales turnover : NZD 500,000 (Estimated non-consolidated 12 months, 31/03/2011)

Line of business : Designing and distribution of bicycles.

_{Staff employed : 2 directors are the only employees of the Subject}

Credit risk opinion

Company Analysis

Country risk : Country risk is minimal

Operation trend : Operational trend is declining

Management experience : Management is modestly experienced

Financial performance : Financial performance is fair

Organization structure : Organizational structure is acceptable

Detrimental : No detrimental records found

Payment history : No payment delays noted

Credit amount suggestion : USD 13,000

Credit amount asked : USD 1,500,000

_{Comments It is strictly advisable to conduct business dealing on prepayment or L/C basis for larger credit transaction than suggested.}

Statutory details

Registry Data

Registration date : 27/04/2004

Legal form : Private Limited Company

Registration no : 1506398

Registered authority : New Zealand Companies Office

Registry status : Live/Active

Previous name : None reported.

Change of legal form : None reported.

Management / directors

Key Management

Name : Eric Stuart MacKenzie

Designation : Managing Director

Name : Kim Maree Turfus

Designation : Director

Board of directors / other appointments

Appointments

Name : Eric Stuart MacKenzie

Designation : Director

Appointment date : 19/04/06

Address : 11 Athol Place

Saint Heliers, Auckland, 1071

New Zealand

Biography : Born on 28-08-1958 in New Zealand.

Name : Kim Maree Turfus

Designation : Director

Appointment date : 27/04/04

Address : 11 Athol Place

Saint Heliers, Auckland, 1071

New Zealand

Biography : Born on 08-08-1964 in New Zealand. She is the wife of Mr. Eric Stuart

MacKenzie.

_{Staff employed : 2 directors are the only employees of the Subject}

Share capital

Composition

Authorized Capital : NZD 100

No of shares : 100 Shares

Share par value : NZD 1

Issued capital : NZD 100

_{Paid up capital : NZD 100}

ownership / shareholders

How listed Full List

Composition

Shareholder name Jointly held by Eric Stuart MacKenzie, Kim Maree Turfus & CORNWALL

TRUSTEES LIMITED

Address Eric Stuart MacKenzie & Kim Maree Turfus

11 Athol Place

Saint Heliers, Auckland, 1071

New Zealand

CORNWALL TRUSTEES LIMITED C/o Gilligan Rowe & Associates Ltd Level 6, 135 Broadway

Newmarket, Auckland 1023

New Zealand

No. of shares 98 Shares

Shareholder name Eric Stuart MacKenzie

Address 11 Athol Place

Saint Heliers, Auckland, 1071

New Zealand

No. of shares 1 Share

Shareholder name Kim Maree Turfus

Address 11 Athol Place

Saint Heliers, Auckland, 1071

New Zealand

_{No. of shares 1 Share}

Related companies & corporate Affiliations

Structure

Name EMC BICYCLES PTY LIMITED

Affiliation type Associate

Address C/o ERIC MACKENZIE CYCLE TECHNOLOGY LIMITED

11 Athol Place

Saint Heliers, Auckland, 1071

New Zealand

Comments Registered company in Australia.

Name EMC AUSTRALIA LIMITED

Affiliation type Associate

Address C/o ERIC MACKENZIE CYCLE TECHNOLOGY LIMITED

11 Athol Place

Saint Heliers, Auckland, 1071

New Zealand

Name MACKENZIE TURFUS INVESTMENT LIMITED

Affiliation type Associate

Address C/o ERIC MACKENZIE CYCLE TECHNOLOGY LIMITED

11 Athol Place

Saint Heliers, Auckland, 1071

Related companies and corporate affiliations comments

Mr. Eric Stuart MacKenzie and Ms. Kim Maree Turfus are directors and shareholders of all the associated company mentioned above.

Bank & mortgages

Bank Details

Name of bank : Bank of New Zealand

Address : New Zealand

Account details : Current Account

Comments : It is generally not the policy of local banks to provide credit status information to non related parties, however interested parties would be advised to consult first with the Subject if banker's references are required.

Mortgages: None reported.

Legal Fillings

Bankruptcy fillings : None reported.

Court judgements : None reported.

Tax liens : None reported.

Others : None reported.

financial data

Description

Source of financial statement : Provided by the Subject

Financial statement date : 31/03/11

Type of accounts : Estimated key figures

Currency : New Zealand, Dollar (NZD)

Exchange rate : 1 USD = NZD 1.32 as of 14-12-2011

Summarized Financial Information

Consolidation type : Non Consolidated

Currency : New Zealand, Dollar(NZD)

Denomination : (x1) One Date of financial year end : 31/03/11

Length of accounts : 12 months

Sale turnover / Income : 500,000

Comments : The estimated turnover was provided by Mr. Eric Stuart MacKenzie.

Private Companies in New Zealand are not required to file accounts unless classified as "Large", which at the moment means that two out of the following three conditions are met:

_{- The company has a sales turnover of over NZD 20,000,000;}

- The company has total assets of over NZD 10,000,000;

_{- The company employs 50 people or more.}

Operation details

Main activities : The Subject is engaged in designing and distribution of bicycles. Product & services : Equip carbon road bikes Etape alloy road bikes Fluide TKR alloy track bike Fluid TT

alloy time trial bike FBR commuter bikes

Brand : EMC Bikes

Purchases

International : Taiwan

Sales

Local : Yes

International : No exports.

Property & Assets

Premises : The Subject operates from residential premises located at the verified heading address consisting of administrative office.

_{Branches : None reported.}

Summarized country risk

Gross Domestic Products (GDP) & Economic Overview

Central bank Reserve Bank of New Zealand

Reserve of foreign exchange & gold US$ 18.421 billion

Gross domestic product - GDP US$ 140,434 billion

GPP (Purchasing power parity) 119.791 billion of International dollars

GDP per capita - current prices US$ $32,145

GDP - composition by sector agriculture: 4.6% industry: 23.7% services: 71.7%

Inflation 2008: 4%

2009: 2.1%

2010: 2.5%

Unemployment rate 2008:4.2%

2009: 6.2%

2010: 6.2%

Public debt

(General Government gross

debt as a % GDP) 2008: 20.4 %

2009: 26.2%

_{2010: 31 %}

Government bond ratings Standard & Poor's: AA+/Stable/A-1+

Moody's rating: Aaa

Moody's outlook: STA

Market value of publicly traded shares US$ 67.061 Billion

Largest companies in the country : Telecom of New Zealand, Trans power, Fletcher Building, Infratil

Trade & Competitiveness Overview

Total exports US$29.53 billion

Exports commodities dairy products, meat, wood and wood products, fish, machinery

Total imports US$31.11 billion

Imports commodities machinery and equipment, vehicles and aircraft, petroleum,

electronics, textiles, plastics

Export - major partners Australia 22%, US 11.5%, Japan 9.2%, China 5.3%, UK 4.6%

Import - major partners Australia 20.7%, China 13.4%, US 9.7%, Japan 9.5%, Singapore 4.9%,

Germany 4.7%

FDI Inflows 2007: US$3,441 million

2008: US$4,993 million

2009: US$348 million

FDI Outflows 2007: US$3,703 million

2008: US$-239 million

2009: US$-406 million

Best countries for doing

business 3 out of 183 countries

Global competitiveness ranking 23 (ranking by country on a basis of 133, the first is the best)

Country and Population Overview

Total population : 4.37 million

Total area : 270,467 km2

Capital : Wellington

_{Currency : New Zealand Dollar (NZD)}

Internet users as % of total population : 84.38%

Payment history

Purchase Term

International : Credit 60-90 days

Sales Term

Local : Credit 30-90 days

Trade Reference/ Payment Behaviour

Comments : As local and international trade references were not supplied, the Subject's payment track record history cannot be appropriately determined but based on our research, payments are believed to be met without delay.

Investigation Note

Sources : Interviews and material provided by the Subject

: Other official and local business sources

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.54.24
UK Pound	1	Rs.83.77
Euro	1	Rs.70.46

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.