MIRA INFORM REPORT

Report Date :

31.01.2011

IDENTIFICATION DETAILS

Correct Name :	YS SOLUTIONS CO LTD

Registered Office :	Kojimachi Tsuruya Hachiman Bldg 2F, 2-4 Kojimachi Chiyodaku Tokyo

Country :	Japan

Financials (as on) :	31.03.2010

Date of Incorporation :	April 2001

Legal Form :	Limited Company

Line of Business :	Import, wholesale of system solutions peripherals

RATING & COMMENTS

MIRA’s Rating :

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

Maximum Credit Limit :	Yen 5.7 Million
Status :	Moderate
Payment Behaviour :	Regular
Litigation :	----

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)

Japan

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

Company Name

YS SOLUTIONS CO LTD

REGD NAME

Y S Solutions KK

MAIN OFFICE

Kojimachi Tsuruya Hachiman Bldg 2F, 2-4 Kojimachi Chiyodaku Tokyo

102-0083 JAPAN

Tel: 03-5212-3521 Fax: 03-4212-3524

URL: http://www./y.sol.co.jp

E-Mail address: info@y.sol.co.jp

ACTIVITIES

Import, wholesale of system solutions peripherals

BRANCHES

Osaka

OFFICER(S)

YUJI SAKUMA, PRES

Toshio Sakuma, dir

Ritsuko Sakuma, dir

Yen Amount: In million Yen, unless otherwise stated

SUMMARY

FINANCES R/WEAK A/SALES Yen 300 M

PAYMENTS REGULAR CAPITAL Yen 10 M

TREND SLOW WORTH Yen 26 M

STARTED 2001 EMPLOYES 10

COMMENT

IMPORTER OF SYSTEM SOLUTIONS PERIPHERALS.

FINANCIAL SITUATION CONSIDERED RATHER WEAK BUT GOOD FOR CREDIT ENGAGEMENTS: US$75,000 / O/A 45 DAYS.

MAX CREDIT LIMIT: YEN 5.7 MILLION, 30 DAYS NORMAL TERMS.

HIGHLIGHTS

The subject company was established by Yuji Sakuma in order to make most of his experience in the subject line of business. This is a family-based trader, owned & operated by the Sakuma family, for import and wholesale of system solutions & peripherals (See OPERATION for details). Goods are imported centrally from USA. Clients include major electronics mfrs, wholesalers, networking companies, etc.

FINANCIAL INFORMATION

Financials are only partially disclosed as is the case with a family-based company.

The sales volume for Mar/2010 fiscal term amounted to Yen 300 million, a 19% down from Yen 370 million in the previous term. The global economic downturn affected sales negatively. Consumer spending was sluggish. Reportedly the firm lost one big client due to financial difficulties. High yen hurt sales in Yen terms. The operations plunged into the red to register Yen 10 million net loses for the terms, compared with Yen 10 million a year ago. Huge foreign exchange losses were incurred, as reported.

For the current term ending Mar 2011 the net profit is projected at Yen 10 million, on a 10% fall in turnover, to Yen 330 million. Demand is recovered. Higher Yen will erode profits in Yen terms.

The financial situation is considered RATHER WEAK but good for MODERATE business engagements. Max credit limit is estimated at Yen 6 million, on 30 days normal terms. The proposed amount for 45 days terms is considered within the firm’s financial capacities.

REGISTRATION

Date Registered: Apr 2001

Legal Status: Limited Company (Kabushiki Kaisha)

Authorized: 800 shares

Issued: 200 shares

Sum: Yen 10 million

Major shareholders (%): Yuji Sakuma & families (--100)

No. of shareholders: 5

Nothing detrimental is known as to the commercial morality of executives.

OPERATION

Activities: Imports and wholesales system solutions & peripherals (--100%).

(Handling Items): console servers, KVM switch, DVI KVM switches, KVM extender, PC share switches, USB extender, date center solutions, KVM over IP, secure device server, DVI solutions, network camera & video, input/output devices, VSOL cable adapter, optics fiber series, other

Clients: [Electronics mfrs, wholesalers] Taxon Japan, Daiwabo Information Systems, Third Wave Co, Oki Electric Ind, Itochu Techno Solutions, Net One Systems, Mitsui Knowledge Industries Ltd, other

No. of accounts: 300

Domestic areas of activities: Nationwide

Suppliers: [Mfrs, wholesalers] AZU KVM Switch Solution, KVM Switches Online, LCD Monitor Online, Server Technology Inc, Server Rack Online, Austin Hughes, other

Domestically supplied from: Raritan Computer Japan, Avocent Japan, other.

Payment record: Regular

Location: Business area in Tokyo. Office premises at the caption address are leased and maintained satisfactorily.

Bank References:

MUFG (Aoyamadori)

Relations: Satisfactory

FINANCES

(In Million Yen)

Terms Ending:	31/03/2011	31/03/2010	31/03/2009	31/03/2008
Annual Sales	330	300	370	395
Recur. Profit
Net Profit	5	-10	10	10
Total Assets		N/A	N/A	N/A
Net Worth		26	36	46
Capital, Paid-Up		10	10	10
Div.P.Share(¥)		0.00	0.00	0.00
*<Analytical Data>*	(%)	(%)	(%)	(%)
S.Growth Rate	10.00	-18.92	-6.33	46.30
Current Ratio		..	..	..
N.Worth Ratio		..	..	..
N.Profit/Sales	1.52	-3.33	2.70	2.53

Notes: Financials are only partially disclosed.

Forecast (or estimated) figures for the 31/03/2011 fiscal term.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.45.74
UK Pound	1	Rs.72.73
Euro	1	Rs.62.73

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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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.