MIRA INFORM REPORT

Report Date :

16.02.2011

IDENTIFICATION DETAILS

Name :	C.V. BATU MAS SEJAHTERA
Registered Office :	Jalan Ahmad Yani, Komplek Batu Asri No. 18, Banjarmasin, South Kalimantanf
Country :	Indonesia
Year of Establishment :	2007
Legal Form :	Partnership with Sleeping Partner
Line of Business :	Trader of Coal

RATING & COMMENTS

MIRA’s Rating :

Ca

RATING		STATUS	PROPOSED CREDIT LINE
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

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 – June 30, 2010

Country Name	Previous Rating (01.04.2010)	Current Rating (30.06.2010)
Indonesia	b1	b1

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

Name of Company

C.V. BATU MAS SEJAHTERA

company Address

Head Office

Correspondence Office

Jalan Ahmad Yani

Komplek Batu Asri No. 18

Banjarmasin

South Kalimantan

Phones - None

Fax - None

Previously Address

Correspondence Office

Jalan S. Parman No. 2

Banjarmasin

South Kalimantan

Indonesia

Phones - None

Fax - None

Date of Incorporation

2007’s

Legal Form

C.V. (Commanditaire Vennootschap) or Partnership with Sleeping Partner

Company Reg. No.

Not Required

Company Status

National Private Company

Permit by the Government Department

The Department of Finance

Not Available

Related Company

None

CAPITAL AND OWNERSHIP

Capital Structure :

Owned Capital : Rp. 50 million

Owners :

a. Mr. Afis Ibrahim (Active Partner)

b. Mrs. Ibrahim (Silent Partner)

BUSINESS ACTIVITIES

Lines of Business :

Trader of Coal

Production Capacity :

None

Total Investment :

None

Started Operation :

2007’s

Brand Name :

Batu Mas Sejahtera

Technical Assistance :

None

Number of Employee :

None

Marketing Area :

Local - 100%

Main Customer :

Unknown

Market Situation :

Unknown

Main Competitor :

None

Business Trend :

No comment

BANKER, AUDITOR & LITIGATION

Banker :

Unknown

Auditor :

Internal Auditor

Litigation :

No litigation record in our database

FINANCIAL FIGURE

Annual Sales (estimated) :

Unknown

Net Profit (Loss) :

Unknown

Payment Manner :

Unknown

Financial Comments :

Weak

KEY EXECUTIVES

Board of Management :

Director - Mr. Afis Ibrahim

Board of Commissioner :

None

Signatories :

Director (Mr. Afis Ibrahim) is only the authorized person to sign the loan on behalf of the company.

CAPABILITIES

Management Capability :

Weak

Business Morality :

Prudent

Credit Risk :

Very High

Credit Recommendation :

Not qualified for credit assessment

Proposed Credit Limit :

Deposit or Advance Payments

Maximum Credit Limit :

No Comment

OVERALL PERFORMANCE

Based to our investigation to the above address at Jalan S. Parman No. 2, Banjarmasin, South Kalimantan, through TELKOM Book Directory and Information explained that C.V. BATU MAS SEJAHTERA has yet been registered on book directory. According information the address registered on Mr. Jeffry Hadi with telephone number (62-511) 3360510 and Mr. Suparto with telephone number (62-511) 3352308. Based information from the above persons explained they did not know about C.V. BATU MAS SEJAHTERA.

Besides based on our investigation thorough address Jalan Ahmad Yani Komplek Ratu Asri No. 18, Banjarmasin, South Kalimantan that C.V. BATU MAS SEJAHTERA was not found.

According information from former marketing staff Mr. Agung with mobile phone 0815 - 6040146 went on to say that he does not know the complete address of C.V. BATU MAS SEJAHTERA. Previously that C.V. BATU MAS SEJAHTERA is handled by Mr. Afis Ibrahim. But now, Mr. Agung did not know again the complete address of the company.

C.V. BATU MAS SEJAHTERA was established in 2007’s in Banjarmasin, South Kalimantan with the legal status of C.V. (Commanditaire Vennootschap) or partnership with sleeping partner. The company was founded by Mr. Afis Ibrahim as active partner and his wife Mrs. Ibrahim as silent partner. As in common in cases of companies with C.V. status, there is no mention in the company’s notarial act of its capital structure. But going by the company’s conditions it’s capital at some Rp. 50 million.

C.V. BATU MAS SEJAHTERA dealing with coal mining, general trading, distribution, export import of agricultural commodities, industry, general contracting, plantation, land clearing, custom clearance, logistic services, custom brokerage services etc. (Source : Notary Deed of C.V. BMS). According information from Mr. Agung (mobile phone 0815 - 6040146) explained that C.V. BATU MAS SEJAHTERA is engaged in trader of coal.

Mr. Agung explained that C.V. BMS will purchase coal from some owners of coal mining contractors in the area of Tapin, Pleihari, Satui, South Kalimantan. But, because C.V. BMS does not have sufficient funds to pay for such coal in cash, a business as a coal trader is always failed. He explained that there are some buyers who want to buy coal to C.V. BMS but due to financial problems it collide with many a disappointed buyer. Mr. Agung further explained that the actual C.V. BMS does not have sufficient funds, because the coal owners request payment in cash. Since the end of 2008 Mr. Agung resigned as marketing and he also did not know the complete address of this company.

The company’s address details are also not clear when it is actually addressed only correspondence office (passenger) on the Jalan S. Parman No. 2, Banjarmasin and had no telephone number. Then they want the buyer to buy coal from them and paid in cash. But the buyers did not want to conduct transactions in cash because many traders companies in Banjarmasin doing business illegally and to deceive buyers. When we conduct an investigation and spoke with Mr. Agung, he was shocked and he claimed have resigned of C.V. BMS since the end of 2008. But his name and mobile phone still listed as marketing. Further, he did not know the company activities up to present. Besides, we didn’t know the complete line of business of C.V. BMS due to the complete address of the company was not found.

We refrain from informing business prospect of C.V. BMS because of having yet found the complete address up to present. In view of having yet to be unknown the complete address, the company’s financial condition is as much as the company’s issued capital worth Rp. 50,000,000. We find that the company’s financial condition still depends on the financial condition of its shareholders being supported by the businessmen behind it.

The management of C.V. BMS is led by Mr. Afis Ibrahim as director. The management will eventually be handled by a number of staff. In view of negative factor surrounded C.V. BATU MAS SEJAHTERA, we recommend to stop any new proposed loan to the company.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.45.50
UK Pound	1	Rs.73.07
Euro	1	Rs.61.63

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

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%)

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