MIRA INFORM REPORT

Report Date :

17.12.2011

IDENTIFICATION DETAILS

Name :	QUIMICA SUIZA S.A.
Registered Office :	República de Panamá 2577, Urb. Santa Catalina, La Victoria Lima,13
Country :	Peru
Date of Incorporation :	06.03.1939
Legal Form :	Joint-Stock Company
Line of Business :	Manufacture through third parties, representation and commercialization of pharmaceutical products, food, confectionery, personal care products, consumer goods, dental products, children products, medical equipment and instruments, chemical products, etc.
No. of Employees :	2,109 (Data 2011-03, according to SUNAT)

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

Status :	Satisfactory
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)
Peru	A2	A2

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

IDENTIFICATION
CORRECT COMPANY NAME	QUIMICA SUIZA S.A.
TAXPAYER REGISTRATION	RUC 20100085225
MAIN ADDRESS	República de Panamá 2577, Urb. Santa Catalina, La Victoria
POSTAL CODE	Lima,13
PROVINCE / DEPARTAMENT	Lima
STATE / REGION	Lima
COUNTRY	PERU
TELEPHONE	(511) 2114000 - 2414444 - 2114019
E-MAIL	mail@quimicasuiza.com
WEB	www.quimicasuiza.com
COMMENTS	The report was requested with wrong RUC: 20100085228
SUMMARY Date of foundation 1939 Capital stock S/.60,350,000.= Nuevos Soles Annual revenues US$ 410,714,285.71 (31DEC2010) permanent employees 2,109 (Data 2011-03, according to SUNAT) Chief Executive ENGEL CHRISTEN, MARTIN Disposition Report prepared through third-party sources. Payments policy Usually to terms/good CREDIT OPINION Requested credit MAXIMUM Suggested credit (*) Open (*) After analyzing different factors and other opinions.

LEGAL BACKGROUNDS
LEGAL STATUS	Joint-Stock Company
DATE OF INCORPORATION	06MAR1939
PLACE OF REGISTRY	Lima
DURATION	Perpetual
REGISTRATION	Page 295, Volume 30, Entry 1 of Reg. of Companies
CURRENT PAID-IN CAPITAL	S/.60,350,000.= Nuevos Soles
CLASS OF SHARES	Registered
LISTED AT STOCK EXCHANGE	No
SHARE VALUE	S/.1.= Nuevo Sol
CURRENT EXCHANGE RATE (US$)	S/.2.69 per US$1.= Dollar
COMMENTS	Subject was incorporated on March 6th, 1939 under the corporate name LA QUIMICA SUIZA S.A., with representation of Ovaltine, Wander's pharmaceuticals products and colorings. Later, by a document dated on July 5th, 1967, before Notary Julio Teves, it adopted the current corporate name QUIMICA SUIZA S.A. By an agreement adopted in Shareholders' General Meeting, held on September 1st, , 1996, QUIMICA SUIZA S.A. took over by merging with LABORATORIOS ALFA S.A., which was dissolved without going under liquidation process. Under Board of Director meeting of March 19th, 2009 the following persons are appointed: - MARTIN EZEQUIEL ATARAMA GARCIA (National Identification Card DNI 02654830) as Head of office in Piura, to represent the company in Piura and Tumbes. - LARRY ALFREDO MELGAR CARPIO (National Identification Card DNI 29648567) as Head of office in Arequipa, to represent the company in Arequipa, Moquegua, Puno, Tacna, Cusco, Apurimac and Madre de Dios. - VICENTE FLORENTINO RODRIGUEZ CALDERON (National Identification Card DNI 08595676) as administrative Head of office in Arequipa to represent the company in Arequipa, Moquegua, Puno, Tacna, Cusco, Apurimac and Madre de Dios. This act duly recorded on the Entry C00123 of Electronic Registration 03020090. By Board of Directors' Meeting, held on March 19th, 2009, it was agreed to: REVOKE appointment of Mr. Jorge Luis Gomez Alvarado as a legal representative. REVOKE powers given to Mr. Carlos Enrique Sarango Castillo. REVOKE powers given to Mr. Luis Alfredo Fiorentini Fiorentini. REVOKE powers given to Mr. Larry Alfredo Melgar Carpio. As recorded on the Entry COO124 of Electronic Registration 03020090. According to SUNAT, the investigated company was incorporated in the Regime of Retention Agent of General Sales Tax (R.S. 037-2002) from June 1st, 2002.

DIRECTORS - EXECUTIVES – SHAREHOLDERS

FULL NAMES / COMPANY NAME	TITLE	%PART.	SINCE
MULDER PANAS, JAN WILLEM	CEO
MULDER PANAS, LOUIS LEONARDUS	Director	4%
MULDER PANAS, CATHERINE	Director	4%
BARCLAY MENDEZ, JOHN PATRICK MICHAEL	Director
GRUENBERG SCHNEIDER, JORGE CONRAD	Director
ENGEL CHRISTEN, MARTIN	Regional General Manager		01/04/05
FORNO ALVISTUR, ERICK	Sales Manager
FUKUNAGA FUENTES, FERNANDO	Audit Manager		17/01/07
SEMINARIO FOSCA, PABLO	Agrovet Unit Manager		18/05/06
WEBER STARK, FRANK ROBERT	Industrial Unit Manager		18/05/06
BARDALES, OSCAR	Financial Manager
GIGLIO, FRANCISCO	Head of Systems
NAPA CHAVEZ, YVAN FERNANDO	General Accountant		01/07/07
GARCIA VERGARA, RICARDO	Legal Representative
GUIMAC PALOMINO, WILMER ARTURO	Legal Representative		27/03/08
LUCAR ESPINOZA, EDUARDO JAVIER	Legal Representative		27/03/08
MULDER EYMANN, FREDERIC HENRI (SUCESION)	Shareholder	11.80%
CREFINEX S.A.	Parent Co.	54.20%
ROXILAN AG	Shareholder / Member	22.00%

WHO IS WHO?

MULDER PANAS, JAN WILLEM

NATIONALITY

Peruvian

D.O.B.

26FEB1949

ID

DNI 08234620

CIVIL STATUS

Married to Silvia Fort

DOMICILE

, Lima,27

SEX

Male

TAX ID

10082346207

BACKGROUND INFORMATION

His Tax ID (RUC) 10082346207 was issued to be engaged as an Individual with no company in activities related to business consultancy, with registered office at Av. Los Andes 170, San Isidro/Lima,27.
 
Mr. Mulder has a degree in journalism, having studied at The Boston University, Boston, Massachusetts, USA.
 
He is currently Director in Quimica Suiza SA. Is Chairman of Productos Sancela del Perú and of Cifarma S.A., Lima, Perú, Director in Fadesa. He has been Director of Distribuidora DINO - Cementos Pacasmayo Peruplast SA, Laboratorios Alfa SA, Founder and General Manager of Quifatex SA in Quito Ecuador. He is the Founder and Chairman of Centro de la Fotografía S.A. in Lima Peru.
He has held and holds positions of President, Vice President and Director in various institutions, such as COMEXPERU, CEAL (Latin America Business Council), Peruvian Institute of Economy, CONFIEP, National Competitiveness Council of the Presidency of Council of Ministers, Chamber of Commerce of Lima, among others. He is an alternate member of ABAC.

ASSOCIATED AS PER OUR DATABASE TO

COMPANY	TITLE	TAX REG	COUNTRY
BANCO FINANCIERO DEL PERU	Director	20100105862	PERU
INTERCONTINENTAL DE REPRESENTACIONES S.A.	Director	20110363177	PERU
LABORATORIOS ALFA S.A.	Assist. Managing Director	20100086205	PERU
CIBELES ASOCIACION PARA EL FOMENTO DE ACTIVIDADES SOCIALES EDUCATIVAS Y CULTURALES	Legal Representative	20147824433	PERU
CIFARMA S.A.	President	20109346722	PERU
QUIFATEX S.A.	Shareholder	1790371506001	ECUADOR

PARTICIPATED IN

COMPANY	TITLE	COUNTRY	YEAR / REF
CONSEJO NACIONAL DE COMPETITIVIDAD	Director	PERU	2008

MULDER PANAS, LOUIS LEONARDUS

NATIONALITY

Peruvian

ID

DNI 08245797

DOMICILE

Las Flores 612, San isidro, Lima 27

SEX

Male

ASSOCIATED AS PER OUR DATABASE TO

COMPANY	TITLE	TAX REG	COUNTRY
QUIFATEX S.A.	President	1790371506001	ECUADOR
PRODUCTOS ROCHE Q.F. S.A.	Vice President	20100177341	PERU
CIFARMA S.A.	Director	20109346722	PERU
PRODUCTOS S.A.NCELA DEL PERU S.A.	Director	20255172884	PERU
DORMESON S A	General Manager	20143305857	PERU

MULDER PANAS, CATHERINE

NATIONALITY

Peruvian

D.O.B.

02DEC1953

ID

DNI 06529656

DOMICILE

Choquehuanca 1545, San Isidro, Lima 27

SEX

Male

ASSOCIATED AS PER OUR DATABASE TO

COMPANY	TITLE	TAX REG	COUNTRY
DORMESON S A	Director	20143305857	PERU
QUIFATEX S.A.	Vice President	1790371506001	ECUADOR
CIFARMA S.A.	Shareholder	20109346722	PERU

ENGEL CHRISTEN, MARTIN

NATIONALITY

Swiss

D.O.B.

05JUL1947

ID

CExt. 000186514

DOMICILE

, Lima,33

TELEPHONE

4490836

TAX ID

15170718311

BACKGROUND INFORMATION

His Tax Registration was issued on 05.04.1982 and updated on 25.11.2002 as an individual to engage in the activities of consultants.
He takes part in several firms of RICHARD O. CUSTER GROUP.

ASSOCIATED AS PER OUR DATABASE TO

COMPANY	TITLE	TAX REG	COUNTRY
OMNISERVICIOS S A		20100096774	PERU
DATAROC S A		20100098718	PERU
ARTICULOS DERIVADOS DEL CAUCHO S A		20100278295	PERU
ARMOTEC DEL PERU S.A.EMP.MULTINAC.ANDINA		20304095661	PERU
FARMEX SEEDS S.A.		20344933082	PERU
INMOBILIARIA ROCSA S.A.		20389329003	PERU
GUIP S.A.		20100107130	PERU
PRODUCTOS S.A.NCELA DEL PERU S.A.		20255172884	PERU

FUKUNAGA FUENTES, FERNANDO

NATIONALITY

Peruvian

D.O.B.

09SEP1963

ID

DNI 07730144

SEMINARIO FOSCA, PABLO

NATIONALITY

Peruvian

ID

DNI 07808100

WEBER STARK, FRANK ROBERT

ID

CExt. 125973

NAPA CHAVEZ, YVAN FERNANDO

NATIONALITY

Peruvian

D.O.B.

18NOV1969

ID

DNI 09442164

SEX

Male

BACKGROUND INFORMATION

He is the Legal Representative of CIFARMA S.A. (Representative before the Superintendencia de Administración Tributaria - SUNAT (Tax Authority)).

ASSOCIATED AS PER OUR DATABASE TO

COMPANY	TITLE	TAX REG	COUNTRY
DORMESON S A	Legal Representative	20143305857	PERU
CIFARMA S.A.	Legal Representative	20109346722	PERU

GUIMAC PALOMINO, WILMER ARTURO

ID

DNI 06997400

LUCAR ESPINOZA, EDUARDO JAVIER

ID

DNI 09082081

CREFINEX S.A.

BUSINESS BACKGROUND

This company is headquartered in Switzerland.

ROXILAN AG

BUSINESS BACKGROUND

This company is headquartered in Switzerland. Besides controlling the 20% of QUIMICA SUIZA S.A. (Peru).
It hold shares in the following companies:
 
- QUIMIZA LTDA. (RUC 01489798), Bolivia
- CIFARMA S.A. (RUC 20109346722), Peru

BUSINESS HISTORY

In 1949, Quimica Suiza installed the first plant of colorings, manufacture of pigments and oil for leather. And, in 1950, it created Laboratorios Alfa to offer their represented companies a plant to produce pharmaceutical specialties.

RELATED COMPANIES TO SUBJECT COMPANY OR TO MAJORITY SHAREHOLDER

COMPANY NAME	COUNTRY	TAX REG.	RELATION %
BOTICA TORRES DE LIMATAMBO S.A.C.	PERU	20302629219	Related
CIFARMA S.A.	PERU	20109346722	Related
CREFINEX S.A.	SWITZERLAND		Parent Co.
DORMESON S A	PERU	20143305857	Related
INTERCONTINENTAL DE REPRESENTACIONES S.A.	PERU	20110363177	Related
MIFARMA S.A.C.	PERU	20512002090	Related
PRODUCTOS S.A.NCELA DEL PERU S.A.	PERU	20255172884	Related
QUIFATEX S.A.	ECUADOR	1790371506001	Related
QUIMIZA LTDA.	BOLIVIA	1020345023	Related
QUIREXA S.A.	VENEZUELA	J-00157854-4	Related
ROXILAN AG	SWITZERLAND		Shareholder / Member

BUSINESS

Main activity

Manufacture through third parties, representation and commercialization of pharmaceutical products, food, confectionery, personal care products, consumer goods, dental products, children products, medical equipment and instruments, chemical products, perfumes, veterinary products, machinery, analytical balances, precision scales, microbalances, scales, multirange, and products for construction sector. At the same time, Subject is engaged in commercialization of fertilizers, insecticides, and seeds for agricultural sector.
 
It exports extracts from natural products, such as maca, cat's claw, and caigua.
 
All these activities are carried out through the following divisions: 
 
DISTRIBUTION DIVISION
(Food and beverages, personal care products, consumer goods, pharmaceutical products of general sales (OTC), children products, biomedical products, natural products).
PHARM MARKETING DIVISION
(Allegran, Altana Farma, Biomedico, Cinfa, Genzyme, Hospira, innothera, Leo Pharma, Quilab Farma, Quilab Generico, Quilab OTC, Sankyo, Servier, Solday, UCB)
MARKETING CONSUMER DIVISION
(Food and beverages, Austral, CTM, Equal, Inca Sur, Lindt, Tacama, Tradicion, personal care products, Bristol Myers-Squibb,Dermex, Droacsac, Etnia, Glaxo SmithKline, Mexyll, Ninet, Nosotras, Unilever, Tena, Wella,)
INDUSTRIAL DIVISION
(Foods, cosmetic products, construction material, pharmaceutical products, health products, metal-mechanical products, mining products, paper, plastic products, inks, paints, detergents, textiles and leather, veterinary products)
MANUFACTURE DIVISION
(Cifarma SA)
PHARMACEUTICAL PRODUCTS DIVISION
(3M, Allegram, Altana Pharma, Astra Zeneca, B. Braun, Bayer, Boehringer, Botox, BSB Medical, Cinfa, Galderma, Hospira, LGG, Mephra, Merck, Merck Sharp, Novartis, OM, Organon, Pfizer, Roche, Sanitas, Sankyo, SCHERING, solveer, Tecnofarma, UCB, Vifor)
CHILDREN DIVISION
(Abbott, Bristol Myers- Squibb)
NATURAL PRODUCTS DIVISION
(Naturalfa)
PERSONAL CARE PRODUCTS & HYGIENE DIVISION
(Bristol Myers-Squibb, Dermex, Droacsa,Etnia, Gillette,Glaxo, Mexyl, Ninet, Nosotras, Unilever, Tena, Wella)
OTC DIVISION
(Apropo, Bayer, Quilab OTC)
BIOMEDICAL DIVISION
(Biomerieux, Becton Dickinson, Standar Diagnostic)
FOOD AND BEVERAGES DIVISION
(Austral, CTM, Equal, inca Sur, Lindt, Ovaltine, Tacama, Tradicion)
CONSUMER GOODS DIVISION
(3M, Bayer, Energizer, Unilever, Panasonic, Schick)
AGRO-VETERINARY DIVISION
(Insecticides, pesticides, urea, products for veterinary use)
 
NOTE: Third parties report that is being evaluated that soon the Agroveterinary division and the industrialist division form a new company.

Import

Yes

Country

Argentina, Australia, Austria, Belgium, Bolivia, Brazil, Canada, Chile, Colombia Costa Rica, Czech Rep, Denmark, Ecuador, Finland, France, Germany

ANNUAL Imports In US$ (CIF)

YEAR	AMOUNT
2011	66,111,886.00
2010	70,890,340.00
2009	46,556,900.00
2008	51,158,441.00
2007	43,406,012.00
2006	28,354,008.00
2005	40,694,894.00

Export

Yes

COUNTRY

Bolivia, Brazil, Chile, Colombia, Ecuador, Italy, Switzerland, USA. Chile, Switzerland

Annual exports in US$ (FOB)

YEAR	AMOUNT
2011	817,700.00
2010	1,097,436.00
2009	899,459.00
2008	447,001.00
2007	922,974.00
2006	237,748.00
2005	286,170.00

% CASH SALES / METHOD

30%

% Credit SALES / Terms

70% (Invoices at 20-30 days)

SELLING TerritorY

Domestic and international market

EMPLOYEES

2,109 (Data 2011-03, according to SUNAT)

LOCATION
PREMISES	Own
FLOORS	5
AREA	17,484 m2
OTHER PREMISES	Subject has others facilities, among them: - Jr. Arequipa 861, Huancayo/Junín. - Calle Coricancha 270, La Victoria, Chiclayo/Lambayeque. - Jr. Tacna 262, Iquito/Loreto. - Av. Panamericana Norte 738, Piura/Piura. - Av. Venezuela 2515, Parque Industrial, Arequipa/Arequipa. - Pasaje Zavaleta 141, Wanchaq/Cuzco. - Av. Argentina 5921, Carmen de la Legua Reynoso/Callao (Warehouse) - Av. Javier Prado Oeste 640, San Isidro/Lima,27 (Administrative Office) - Av. Luis Gonzales 999, Chiclayo/Lambayeque (Warehouse) - Jr. Próspero 856, Iquitos/Maynas (Warehouse) - Av. San Martín 506 (Warehouse) - Carretera Central 1115, Santa Anita/Lima,43 - Jr. Arequipa 871, Huancayo/Huancayo (Warehouse) - Av. 28 de Julio 556-205, Huacho,Huaura/Lima (Commercial premises) - Cal. Guatemala 182-2, P. Ica/Ica (Commercial premises) - Los Cedros H-30, Trujillo, Trujillo/La Libertad (Warehouse) - Cal. J.F. Kennedy 215, José Leonardo Ortiz, Chiclayo/Lambayeque (Warehouse) - Jr. Moquegua 833, Huancayo, Huancayo/Junín (Warehouse) - Los Vilcos Mz-B-L-9, Arequipa/Arequipa (Warehouse) - Av. Manuel vera Enriquez 783, Urb. Primavera, Trujillo (Warehouse) - Cal. Juan Pablo fernandini Mz A Lt. 4, Urb. Sol de Ica, Ica (Commercial premises) - Av. Argentina 5799, Carmen de la Legua Reynoso/Callao (Commercial premises) - Av. Victor Larco 1049, Urb. La Merced, Trujillo (Commercial premises)

Comments

Subject also imports from Greece, Guatemala, Hungary, India, Indonesia, Ireland, Israel, Italy, Japan, Korea, Liechtenstein, Malaysia, Malt, Mexico, Holland, Norway, Panama, Philippines, Poland, Portugal, Romania, Singapore, Slovakia, Slovenia, Spain, South Africa, Switzerland, Sweden, Taiwan, Thailand, Turkey, United Kingdom, USA .
Its related company CIFARMA S.A. is responsible for production and manufacture of pharmaceutical products and personal care products.
Quimica Suiza SA is representative of several domestic and foreign firms. 
 
Industrial Products Represented: 
- Datacolor Enka 
- Gattefoss FMC Biopolyn 
- GF Huntsman 
- Hilti 
 
Agro represented: 
- Acadian Seaplants Ltd (Canada) 
- Agan Chemical Manufactures Ltd (Israel) 
- Agrimor Int'l Co. (USA) 
- Alba Miracle International Spa (Italy) 
- Arysta Lifescience Corporation (Colombia) 
- Chemia Spa (Italy) 
- Chimac - Agriphar SA (Belgium) 
- Cibertrade International Inc. (Colombia) 
- Dupocsa Protec. Quimicos (Ecuador) 
- Helm Duengemittel GMBH (Germany) 
- Helm Fertilizer Corporation (USA) 
- Hockley International Ltd (England) 
- International Commodities Export (USA) 
- Irvita International (Brazil) 
- Isagro SpA (Italy) 
- Makhteshim Chemical Works Ltd. (Israel) 
 
Veterinary Sector Represented: 
- Agranco Corp. (USA) 
- Boehringer Ingelheim Vetmedica Inc. (Mexico) 
- Bonimex B.V. (Holland) 
- Cifarma SA (Peru) 
- Coventry Chemical Limited (England) 
- Von Franken Fatra SAIC (Argentina) 
- Joosten Products B.V. (Holland) 
- Laboratorios Dispert S.A. (Uruguay) 
- Novartis (Switzerland) 
- Novus International, Inc. (USA). 
- Nippon Soda Co. Ltd (Japan) 
- Pharmavet International Ltd (China) 
 
Represented pharmaceutical lines: 
- Abbott 
- Astrazeneca 
- Boehringer Ingelhem 
- Allerca 
- Bayer Health Care 
- Botox 
- Nycomex 
- B. Braun 
 
Represented consumer lines: 
- Unilever 
- Lindt 
- Wella 
- Vick 
- Equal 
- Tacama 
- Ninet 
- GlaxoSmithKline 
- Tena 
- We 
- CTMPerú 
 
Its main domestic clients are: 
- Social Health Security "ESSALUD" 
- Ministry of Health 
- In addition to pharmacies, drug stores and warehouses 
 
Its main clients abroad are: 
- Quifatex (Ecuador) 
- Chemicals Ltda. (Bolivia) 
- Quirexa SA (Venezuela)

FINANCIAL INFORMATION

Interviewee(s)

Third-party sources

Disposition

Report prepared through third-party sources.

Information provided

We contacted Quimica Suiza S.A. excecutives who informed us that according to corporative policies they only provide information to suppliers and customers.
 
From past experience know they are not favourably inclined to provide information to third parties.
 
Thus, this report was made through indirect sources ( public registries, own, etc.).
 
Recent financial data or comprehensive data is not available in external sources.
 
According to our records, we have global figures of the following years:
2010: Sales S/. 1,150,000,000.=
2009: Sales S/. 1,078,550,000.= Profit S/. 17,240,000.=, Total Assets S/. 531,406,000.=, Shareholders' equity S/.122,043,000.=
2008: Sales S/. 1,039,491,000.=, Profit S/. 14,543,000.=
2007: Sales S/. 888,551,000.=, Profit S/.11,700,000.=
2006: Sales S/. 811,857,000.=, Profit S/. 9,046,000.=
2005: Sales S/. 775,285,000.=, Profit S/. 4,130,000.=
 

FINANCIAL SITUATION

SATISFACTORY
Albeit we do not have updated detailed financial data, it is important to mention that QUIMICA SUIZA S.A. is the leader distributor of pharmaceutical products and the second bigger distributor of consumer goods in Peru.
 
By end of January of this year Quimica Suiza, owned by Mulder Panas family, through its related firm MIFARMA S.A., acquired 100% of shares held by TEVA Pharmaceutical Industries, which is a worldwide leader corporation in developing, researching and commercialization of pharmaceutical products, and which in Peru controlled Boticas Torres de Limatambo S.A. (drugstore chain) thus Quimica Suiza turned to be end parent company of BTL
It is considered that the investment was US$ 100 millions, with this acquisition Quimica Suiza will operate through Mifarma 303 drugstores nationwide, thus it turns to have 12% of participation of drugstores market.
 
It is important to mention that Quimica Suiza not only is engaged in commercialization and distribution of pharmaceutical products. Its industrial arm , Cifarma also manufactures products for health and personal care which are sold by Mifarma.
 
The competition in drugstores sector is very strong and to succeed not only it is necessary to have long experience but many premises and millions of transactions to be competitive.
 
The BTL acquisition was made two weeks after IFH Peru, Holding of Interbank Group announced the acquisition of the Inkafarma chain of drugstores.
 
Martin Reaño, senior consultant of MR Consulting, said that the BTL acquisition by Quimica Suiza does not have to surprise, because it confirms the consolidation process which health sector goes through, in which it is not only observed the acquisition of drugstore chains and some clinics, but laboratories too (this month TEVA Pharmaceutical Industries from Israel, until yesterday owner of BTL , has announced the acquisition of Infarmasa Corporation).
 
Reaño stated that in a second stage, it is likely some players will acquire hospitals, as occurred in Colombian market. "Sometime this chapter will be written, as prescription comes from clinics and it is logic that many companies will want to close the circle". Reaño does not believe that Mulder family will have problems to grow and face the aggressive plans of expansion of Interbank Group.

INSURANCE

COMPANY	AGAINST	EXPIRATION	AMOUNT
EL PACIFICO PERUANO-SUIZA CIA.DE SEGUROS	All risk-contract

Insurance Comments

Subject holds a insurance policy taken through its Broker Rehder & Asociados.

PAYMENTS RECORD: TRADE REFERENCES

(Confidential Information)

Supplier	Telephone	Country	Comment
Corporación Infarmasa S.A.	(511) 3483300	PERU
Gillete del Perú SA	(511) 2113700	PERU
Bayer S.A.	(511) 2113800	PERU
Aduatécnica Postal S.A.	(511) 2663928	PERU
Aduandina Ag. de Ad.		PERU
Aduanera Capricornio S.A.	(511) 4202022	PERU
Luis Battifora Ag. Ad.	(511) 518866	PERU
Schaff Ag. Ad. de Ad.	(511) 5751884	PERU
Productos de Gelatina S.A.	(57.6) 8745599	COLOMBIA
Empresas de Transportes Hilda		PERU
Minerva SpA		ITALY
Transportes Vidalito S.R.L.	(511) 3263785	PERU
Orica Australia PTY Ltda.		CHINA
Lab. Roche	(511) 6188878	PERU
Boehringer Ingelhem Int. Gmbh		GERMANY

RISK INFORMATION CENTER

DELINQUENCY (INVOICES, RECEIPTS, CHECKS)

Creditor	Date of default	Amount S/.	Amount US$	Payment Date
AFP PROFUTURO S.A.	2010-07	1,746.73	0.00
AFP PROFUTURO S.A.	2010-07	4,906.43	0.00

DELINQUENCY (PROTESTED DRAFTS, PROMISSORY NOTES)

Drawer

Document

Amount S/.

Amount US$

Protested date

Payment date

CREDIT HISTORY

Trade references have been requested from the aforementioned local suppliers. We await their response.
 
Earlier reports showed timely payments in full.

LAWSUITS

According to the diverse registries investigated no legal actions have been found filed against this company.

BANKING INFORMATION

Bank

CREDITO

INTERBANK

CONTINENTAL

CITIBANK DEL PERU S.A.

B. INTERAMERICANO DE FINANZAS

FINANCIERO

HSBC BANK PERÚ

SANTANDER

Banking transactions are performed through the aforementioned banks, without further particulars available under privacy policy. However, other sources inform subject uses banking facilities without negative records.

SUPERINTENDENCY OF BANK & INSURANCE (SBS)

Debt structure for bank. SBS Latest Consolidated Credit Report as of : 30/10/2011

Bank	Debt Rating	Current Debt
		S/.	US$
SANTANDER PERU	NORMAL	3,951,460.00	2,069,542.00
CREDITO	NORMAL	39,159,389.00	8,737,216.00
INTERBANK	NORMAL	111,829.00	12,700.00
CONTINENTAL	NORMAL	2,819,533.00	3,547,042.00
SCOTIABANK	NORMAL	12,801,535.00	2,601,557.00
HSBC BANK PERU	NORMAL	402,767.00	764,604.00
CITIBANK DEL PERU	NORMAL	18,230,381.00	100,553.00
BIF	NORMAL	9,778.00	551,369.00
Total		77,486,672.00	18,384,583.00
Guarantees		18,641,420.00	16,575,859.00

CONSOLIDATED DEBT (ALL BANKS)                              ENTITIES NUMBER : 8                           30/10/2011

		Domestic Currency	Foreign Currency
LOANS	:	18,230,381.00	4,968,681.00
FINANCIAL LEASING	:	12,365,353.00	1,029,774.00
FOREIGN TRADE	:		2,500,000.00
ADVANCE ON CURRENT ACCOUNT	:	409,875.00
FACTORING	:	38,595,239.00	85,198.00
CREDIT CARDS	:	21,779.00	24,804.00
OTHER INDIRECT CONTINGENT DEBTS	:	7,285,589.00	9,631,660.00
	:	578,456.00	144,466.00
		--------------------------------------------	--------------------------------------------
TOTAL DEBT	:	77,486,672.00	18,384,583.00
		=========================	=========================

Comments :

The SBS has given subject a 100% NORMAL rating in latest 12 months.

RATING DESCRIPTION ACCORDING TO THE SBS (Caption)
Normal	Good Finantial Situation, Prompt payments, Consistent information. Increasing Trend, Creditworthy.
Potential Problem	Satisfactory Finantial Situation but cash flow can be weak. Irregular payments. Irregular Trend.
Deficient	Fair Finantial Situation, cash problems, profits shortage, delayed and overdue payments.
Doubtful	Heavy Finantial Situation, liquidity shotage, notorious delayed payments, Judicial Collection, Bad Management.
Loss	Bad Finantial Situation, Insufficient funds, declared bankruptcy, debt default.

GENERAL INFORMATION

REPUTATION

NOTHING AGAINST COMPANY

CREDIT OPINION
Comnsulted Credit Amount :	MAXIMUM
Suggested Credit :	Open
NOTE : The opinion given is confidential, referential and with out liability.
PRESS RELEASES
PRESS RELEASE AFTER PHARMACIES PURCHASING February 28th, 2011 Some people were surprised that InkaFarma and BTL were sold with short difference of time. The first one was sold to Interbank group for US$400 millions and the second one to Quimica Suiza about US$100 millions. Other people think it was a coincidence. It was not. In fact, this is the beginning of health market integration and matter of the last cover story of Semana Economica magazine (Economical Week). To achieve this integration, first of all market of pharmacy chains must be consolidated. It is expected more acquisitions be made in the future. Even experts in the area explain that there will remain four or five pharmacy chains in the market (from the existing nine chains) and besides foreign competitors could enter. We do not know when. The chains that remain operative will initially be differentiated. For example InkaFarma is differentiated by means of its wide coverage of the sector (it has 417 pharmacies at local level); Boticas Arcangel with their medical service center. MiFarma and BTL with the support of Quimica Suiza is the owner of the last two ones. The pharmacies which do not only depend on medicine sales but hygiene, beauty and grooming products will become stronger. It is not as easy. Pharmacies will not be able to exist by themselves; they must be articulated with other health market players: clinics, laboratories and insurance companies. When this happens (we can imagine a pharmacy interconnected to a clinic both supported by a laboratory and negotiate with an insurance company to achieve better prices to their customers) other players will participate: outpatient medicine, rehabilitation, preventive medicine centers and clinical laboratories. Finally, the company which will gain with this business model will be the one that fully articulate all these services. Arcangel is one of the chains best integrated, even at initial level. The owner of this pharmacy chain is the same of Cipa laboratory both work together and it has already participated in health service by means of more than 60 medical centers in Peru. This company, with apparent competitive advantage, is Albis distributor.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.52.81
UK Pound	1	Rs.82.00
Euro	1	Rs.68.81

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.