MIRA INFORM REPORT

Report Date :

06.07.2011

IDENTIFICATION DETAILS

Name :	WIPRO GE HEALTHCARE PRIVATE LIMITED BRANCH OFFICE

Registered Office :	298 Tiong Bahru Road #17-06 Central Plaza, Singapore 168730

Country :	Singapore

Financials (as on) :	31.03.2009

Date of Incorporation :	14.08.2008

Com. Reg. No.:	T08FC7246K

Legal Form :	Foreign Company

Line of Business :	Manufacture and Trade in Medical Equipment.

RATING & COMMENTS

MIRA’s Rating :

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	INR 580,740,000
Status :	Affiliates of Wipro Limited
Payment Behaviour :	Usually Correct
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)

Singapore

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

Subject Company

WIPRO GE HEALTHCARE PRIVATE LIMITED BRANCH OFFICE

Line Of Business

MANUFACTURE AND TRADE IN MEDICAL EQUIPMENT

Parent Company

----

Financial Elements

FY 2009

BRANCH

Sales : RS$10,611,226,000

Networth : RS$3,871,601,000

Paid-Up Capital : RS$100,000,000

Net result : RS$875,172,000

Net Margin(%) : 8.25%

Return on Equity(%) : 22.6%

Leverage Ratio : 1.27%

Rating

Credit Opinion : CREDIT LINE TO A MAXIMUM OF INR 580,740,000 CAN BE CONSIDERED

COMPANY IDENTIFICATION

Subject Company :	WIPRO GE HEALTHCARE PRIVATE LIMITED BRANCH OFFICE
Business Address:	298 TIONG BAHRU ROAD #17-06 CENTRAL PLAZA
Town:	SINGAPORE
Postcode:	168730
Country:	Singapore
ROC Number:	T08FC7246K
Easy Number company:	00006551013350

SUMMARY

Legal Form:	Foreign Company
Date Inc.:	14/08/2008
Summary year :	31/03/2009
All amounts in this report are in :	INR
Sales:	10,611,226,000
Networth :	3,871,601,000
Capital:
Paid-Up Capital:	100,000,000
Net result :	875,172,000
Share value:

BASED ON ACRA'S RECORD

AUTHORISED CAPITAL 100,000,000.00 V/SHARE 10.00 INDIAN RUPEES

AUDITOR : NIL

REFERENCES

Credit Opinion:

CREDIT LINE TO A MAXIMUM OF INR 580,740,000 CAN BE CONSIDERED

Litigation:	No
Company status :	TRADING
Started :	14/08/2008

DIRECTOR(S)

CHAN HAW NGEE	S1405964D	Agent
Appointed on :	14/08/2008
Street :	171 LORONG 1 TOA PAYOH #18-1132
Town:	SINGAPORE
Postcode:	310171
Country:	Singapore

NARASIMHAN NARAYANAN	S2750020Z	Agent
Appointed on :	14/08/2008
Street :	29 LEONIE HILL #02-02 HORIZON TOWERS WEST
Town:	SINGAPORE
Postcode:	239228
Country:	Singapore

SYED OMAR ISHRAK	027529879	Director
Appointed on :	14/02/2003
Street :	8035 N. BEACH DRIVE
Town:	FOXPOINT
County:	WI
Postcode:	53217
Country:	United States

MICHAEL JOHN BARBER	047894568	Director
Appointed on :	21/12/2005
Street :	3000 N. GRANDVIEW, WI 53188
Town:	WAUKESHA
County:	WI
Country:	United States

REINALDO ANTONIO GARCIA	701985156	Director
Appointed on :	21/03/2006
Street :	26, AVE FOCH
Town:	PARIS
Country:	France

SALIL KUMAR	B2192296	Director
Appointed on :	22/04/2008
Street :	BIRCH B 31, SHERWOOD HOUSING BASAVANAGAR, KARNATAKA
Town:	BANGALORE
Postcode:	560037
Country:	India

FRANK MARIA SCHULKES	NJ8197188	Director
Appointed on :	07/03/2005
Street :	82 ROUTE SAINTE GEMME SAIONT NOM LA BRETECHE
Postcode:	78860
Country:	France

PRATIK KUMAR	Z1556201	Director
Appointed on :	02/05/2002
Street :	NO. 2/2 EMBASSY TRANQUIL 8TH MAIN, 3RD BLOCK KORAMANGALA
Town:	BANGALORE
Postcode:	560 039
Country:	India

AZIM HASHAM PREMJI	Z1651665	Director
Appointed on :	30/03/1990
Street :	MONA APARTMENTS, 9TH FLOOR MAHARASHTRA
Town:	MUMBAI
Country:	India

ANURAG BEHAR	Z1720206	Director
Appointed on :	22/10/2003
Street :	F-2, PLOT #158 SALARPURIA RESIDENCY DEFENCE COLONY
Town:	BANGALORE
Postcode:	560 038
Country:	India

SURESH CHANDRA SENAPATY	Z1731196	Director
Appointed on :	25/01/1995
Street :	C-403 SPARTAN HEIGHTS RICHMOND ROAD
Town:	BANGALORE
Postcode:	560 025
Country:	India

RAJA VENKATARAMAN	Z1731407	Director
Appointed on :	14/07/2004
Street :	FLAT NO. 218 ROYAL HERITAGE APT. OLD MADRAS ROAD, BENNINGANAHALLI K.R. PURAM
Town:	BANGALORE
Postcode:	560 016
Country:	India

ACTIVITY(IES)

Activity Code:

13650

MEDICAL ELECTRONICS

BASED ON ACRA'S RECORD

1) WHOLESALE OF MEDICAL, PROFESSIONAL, SCIENTIFIC AND PRECISION

   EQUIPMENT;

   TO TRADE IN MEDICAL DISGNOSTIC IMAGING EQUIPMENTS

PAYMENT HISTORY AND EXPERIENCES

Trade Morality:	AVERAGE
Liquidity :	SUFFICIANT
Payments :	UNKNOWN
Trend :	UPWARD
Financial Situation:	AVERAGE

FINANCIAL ELEMENTS

All amounts in this report are in :

INR

Audit Qualification:	UNQUALIFIED (CLEAN) OPINION	UNQUALIFIED (CLEAN) OPINION
Date Account Lodged:	30/12/2009
Balance Sheet Date:	31/03/2009	31/03/2008
Number of weeks:	52	52
Consolidation Code:	BRANCH	BRANCH

ASSETS
Preliminary Exp	264,800,000	222,093,000
Intangible Fixed Assets:	0	0
Tangible Fixed Assets:	885,624,000	634,881,000
Investments	211,000	211,000
Total Fixed Assets:	1,150,635,000	857,185,000
Inventories:	1,164,028,000	888,034,000
Receivables:	3,660,922,000	3,496,731,000
Cash,Banks, Securitis:	93,236,000	154,399,000
Other current assets:	2,711,377,000	2,456,716,000
Total Current Assets:	7,629,563,000	6,995,880,000
TOTAL ASSETS:	8,780,198,000	7,853,065,000
LIABILITIES
Equity capital:	100,000,000	100,000,000
Reserves:	216,320,000	212,888,000
Profit & lost Account:	3,225,281,000	2,350,109,000
Other:	330,000,000
Total Equity:	3,871,601,000	2,662,997,000
Long Term Loans:	121,014,000	114,358,000
Total L/T Liabilities:	121,014,000	114,358,000
Advanced payments:	1,891,260,000	1,437,628,000
Provisions:	1,477,135,000	1,578,206,000
Other Short term Liab.:	1,419,188,000	2,059,876,000
Total short term Liab.:	4,787,583,000	5,075,710,000
TOTAL LIABILITIES:	4,908,597,000	5,190,068,000
PROFIT & LOSS ACCOUNT
Net Sales	10,611,226,000	10,003,846,000
Purchases,Sces & Other Goods:	7,342,670,000	7,298,009,000
Gross Profit:	3,268,556,000	2,705,837,000
NET RESULT BEFORE TAX:	940,706,000	637,111,000
Tax :	65,534,000	89,416,000
Net income/loss year:	875,172,000	547,695,000
Depreciation:	270,698,000	193,646,000
Wages and Salaries:	1,008,888,000	799,035,000
Financial Income:	121,237,000	100,308,000

RATIOS

Date Account Lodged:	31/03/2009	31/03/2008
Net result / Turnover(%):	0.08	0.05
Stock / Turnover(%):	0.11	0.09
Net Margin(%):	8.25	5.47
Return on Equity(%):	22.6	20.57
Return on Assets(%):	9.97	6.97
Net Working capital:	2841980000	1920170000
Cash Ratio:	0.02	0.03
Quick Ratio:	0.78	0.72
Current ratio:	1.59	1.38
Receivables Turnover:	124.2	125.83
Leverage Ratio:	1.27	1.95

Net Margin                              : (100*Net income loss year)/Net sales

Return on Equity                     : (100*Net income loss year)/Total equity

Return on Assets                     : (100*Net income loss year)/Total fixed assets

Dividends Coverage                  : Net income loss year/Dividends

Net Working capital                 : Total current assets - Total short term liabilities

Cash Ratio                              : Cash Bank securities/Total short term liabilities

Quick Ratio                             : (Cash Bank securities+Receivables)/Total Short term liabilities

Current ratio                            : Total current assets/Total short term liabilities

Inventory Turnover                    : (360*Inventories)/Net sales

Receivables Turnover                : (Receivable*360)/Net sales

Leverage Ratio                         : Total liabilities/(Total equity-Intangible assets)

FINANCIAL COMMENTS

THE FINANCIAL CONDITION OF THE COMPANY WAS SEEN TO BE FAIR IN VIEW OF

THE FOLLOWING:

NET WORTH:

THE BALANCE SHEET WAS CONSIDERED PASSABLE WITH NET WORTH IMPROVED BY

45.39% FROM RS$2,662,997,000 IN FY 2008 TO RS$3,871,601,000 IN FY

2009. THIS WAS DUE TO HIGHER ACCUMULATED PROFIT OF RS$3,225,281,000 IN

FY 2009 (2008: RS$2,350,109,000); A RISE OF 37.24% FROM THE PRIOR

FINANCIAL YEAR.

LEVERAGE:

IN THE SHORT-TERM, SUBJECT WAS LARGELY FINANCED BY ADVANCED PAYMENTS

WHICH MADE UP 39.5% IN FY 2009 (2008: 28.32%) OF THE TOTAL CURRENT

LIABILITIES AND AMOUNTED TO RS$1,891,260,000 IN FY 2009 (2008: RS

$1,437,628,000).

IN THE LONG-TERM, SUBJECT WAS FINANCED BY LONG TERM LOANS WHICH

AMOUNTED TO RS$121,014,000 IN FY 2009 (2008: RS$114,358,000).

IN ALL, LEVERAGE RATIO FELL FROM 1.95 TIMES IN FY 2008 TO 1.27 TIMES

IN FY 2009 AS A RESULT OF A RISE IN TOTAL EQUITY.

LIQUIDITY:

IN GENERAL, SUBJECT'S LIQUIDITY SITUATION WAS PASSABLE AS SEEN FROM

THE RISE IN NET WORKING CAPITAL AND LIQUIDITY RATIOS. CURRENT RATIO

ROSE TO 1.59 TIMES IN FY 2009, UP FROM 1.38 TIMES IN FY 2008 AND QUICK

RATIO IMPROVED TO 0.78 TIMES IN FY 2009 FROM 0.72 TIMES IN FY 2008.

SIMILARLY, NET WORKING CAPITAL IMPROVED BY 48% FROM RS$1,920,170,000

IN FY 2008 TO RS$2,841,980,000 IN FY 2009.

PROFITABILITY:

REVENUE POSTED AN INCREASE OF 6.07% FROM RS$10,003,846,000 IN FY 2008

TO RS$10,611,226,000 IN FY 2009 AND NET PROFIT IMPROVED BY 59.79% TO

RS$875,172,000 IN FY 2009 (2008: RS$547,695,000). HENCE, NET MARGIN

INCREASED TO 8.25% IN FY 2009 (2008: 5.47%).

REVENUE:

* SALE OF EQUIPMENT - 2009: RS8,117,309,000 (2008: RS8,044,293,000)

* CONTRACT REVENUE - 2009: RS56,098,000 (2008: -)

* SOFTWARE SERVICES - 2009: RS593,819,000 (2008: RS448,259,000)

* SERVICE INCOME - 2009: RS1,846,565,000 (2008: RS1,515,505,000)

DEBT SERVICING:

DEBT SERVICING PROBLEMS MIGHT NOT BE EXPECTED IF REVENUE AND EARNINGS

CAN BE MAINTAINED AND PAYMENT BY TRADE DEBTORS ARE FORTHCOMING.

NON-CURRENT ASSETS:

THE FOLLOWING ITEMS ARE CLASSIFIED UNDER PRELIMINARY:

* DEFERRED TAX ASSET - 2009: RS$230,613,000 (2008: RS$159,097,000)

* CAPITAL WORK-IN-PROGRESS - 2009: RS$34,187,000 (2008: RS$62,996,000)

BACKGROUND/OPERATION

SUBJECT WAS INCORPORATED IN INDIA, AND REGISTERED AS A FOREIGN BRANCH

IN SINGAPORE, ON 14/08/2008, TRADING UNDER THE NAMESTYLE "WIPRO GE

HEALTHCARE PRIVATE LIMITED BRANCH OFFICE".

AS AT 18/10/2010, THE COMPANY HAS AN AUTHORISED CAPITAL OF 100,000,000

(INDIA, RUPEES).

PRINCIPAL ACTIVITIES:

SUBJECT IS REGISTERED WITH THE ACCOUNTING AND CORPORATE REGULATORY

AUTHORITY (ACRA) BE PRINCIPALLY ENGAGED IN THE BUSINESS OF:

1) WHOLESALE OF MEDICAL, PROFESSIONAL, SCIENTIFIC AND PRECISION

   EQUIPMENT;

   TO TRADE IN MEDICAL DISGNOSTIC IMAGING EQUIPMENTS

DURING THE FINANCIAL YEAR(S), UNDER REVIEW, SUBJECT'S PRINCIPAL

ACTIVITIES ARE MANUFACTURE AND TRADE IN MEDICAL EQUIPMENT.

AS THE SUBJECT'S CONTACT NUMBER AND OTHER INFORMATION WERE NOT LISTED

IN THE LOCAL DIRECTORIES AND INTERNET, NO OTHER INFORMATION WAS

AVAILABLE

WIPRO GE HEALTHCARE PRIVATE LIMITED ("THE COMPANY") IS A JOINT VENTURE

BETWEEN GENERAL ELECTRIC COMPANY, USA ("GE" OR "THE PARENT") AND WIPRO

LIMITED ("WIPRO"). THE COMPANY WAS INCORPORATED IN 1991 AS WIPRO GE

MEDICAL SYSTEMS PRIVATE LIMITED. WITH WIPRO AND GE INITIALLY HOLDING

50% EACH OF THE TOTAL PAID-UP EQUITY. IN 1993, GE INCREASED ITS

SHAREHOLDING IN THE COMPANY TO 51%. SUBSEQUENTLY WITH EFFECT FROM 16

JANUARY 2007 THE NAME OF THE COMPANY WAS CHANGED TO WIPRO GE

HEALTHCARE PRIVATE LIMITED. THE COMPANY IS FOCUSED TOWARDS HEALTH CARE

SEGMENT IN SOUTH ASIA. THE COMPANY MANUFACTURES AND TRADES IN MEDICAL

EQUIPMENT. FURTHER, IT IS ALSO ENGAGED IN PROVIDING SOFTWARE SERVICES

AND TECHNOLOGY SOLUTIONS TO ITS PARENT FOR PRODUCTS MANUFACTURED

WOLDWIDE.

REGISTERED AND BUSINESS ADDRESS:

298 TIONG BAHRU ROAD

#17-06 CENTRAL PLAZA

SINGAPORE 168730

DATE OF CHANGE OF ADDRESS: 14/08/2008

- OWNED BY: ARMF (CENTRAL PLAZA) PTE. LTD.

WEBSITE: -

EMAIL: -

MANAGEMENT

THE DIRECTORS AT THE TIME OF THIS REPORT ARE:

1) SYED OMAR ISHRAK, AN AMERICAN

   - BASED IN UNITED STATES OF AMERICA.

2) MICHAEL JOHN BARBER, AN AMERICAN

   - BASED IN UNITED STATES OF AMERICA.

3) REINALDO ANTONIO GARCIA, AN AMERICAN

   - BASED IN PARIS.

4) SALIL KUMAR, AN INDIAN

   - BASED IN INDIA.

5) FRANK MARIA SCHULKES, A NETHERLANDS

   - BASED IN PARIS.

6) PRATIK KUMAR, AN INDIAN

   - BASED IN INDIA.

7) AZIM HASHAM PREMJI, AN INDIAN

   - BASED IN INDIA.

8) ANURAG BEHAR, AN INDIAN

   - BASED IN INDIA.

9) SURESH CHANDRA SENAPATY, AN INDIAN

   - BASED IN INDIA.

10) RAJA VENKATARAMAN, AN INDIAN

    - BASED IN INDIA.

THE AGENTS AT THE TIME OF THIS REPORT ARE:

1) CHAN HAW NGEE, A SINGAPOREAN

   - HOLDS NO OTHER AGENTSHIPS AS RECORDED IN OUR DATABASE.

2) NARASIMHAN NARAYANAN, AN INDIAN

   - BASED IN SINGAPORE.

Singapore’s Country Rating 2010

Investment Grade

THE SINGAPORE ECONOMY WAS SIGNIFICANTLY AFFECTED BY THE CRISIS DUE TO THE CONTRACTION OF EXPORTS, WHICH REPRESENT 210% OF GDP. SALES ABROAD OF MANUFACTURED PRODUCTS (ELECTRONICS, ENGINEERING, PHARMACEUTICALS, PETROCHEMICALS) AND SERVICES (FINANCIAL SERVICES, TOURISM, TRANSPORT) WERE AFFECTED BY THE WEAK PERFORMANCE OF THE MAIN TRADING PARTNERS (MALAYSIA, UNITED STATES, CHINA, JAPAN). WITH THE ECONOMY'S SLIDE INTO RECESSION, THE CENTRAL BANK REDUCED INTEREST RATES SEVERAL TIMES AND A STIMULUS PROGRAMME REPRESENTING 8% OF GDP WAS IMPLEMENTED IN JANUARY LAST YEAR. ALTHOUGH INCREASED PUBLIC SPENDING ON INFRASTRUCTURE, TRANSPORT, HEALTH AND EDUCATION ENABLED THE AUTHORITIES TO LIMIT THE CONTRACTION OF INVESTMENT, THAT DID NOT SUFFICE TO OFFSET THE DROP IN PRIVATE INVESTMENT. THE GOVERNMENT MOREOVER GRANTED DEFAULT GUARANTEES OF UP TO 80% ON NEW LOANS. AND HOUSEHOLD CONSUMPTION WAS SUPPORTED BY A REDUCTION OF INCOME TAX AND MEASURES TO FOSTER EMPLOYMENT.

IN Q1 2010, GROWTH REBOUNDED SIGNIFICANTLY (15.5% Y/Y). FOR THE ENTIRE YEAR, GROWTH IS EXPECTED TO REMAIN HIGH (8.9%) THANKS TO THE POSITIVE IMPACT ON DOMESTIC DEMAND OF THESE EXPANSIONARY MONETARY AND FISCAL POLICIES AND THE GRADUAL RECOVERY OF THE WORLD ECONOMY. INVESTMENT, CONSUMPTION, AND NET EXPORTS ARE AGAIN EXPECTED TO CONTRIBUTE POSITIVELY TO GROWTH. ON THE SUPPLY SIDE, THE CONSTRUCTION SECTOR WILL BENEFIT AGAIN THIS YEAR FROM INCREASED PUBLIC SPENDING WHILE ELECTRONICS, PHARMACEUTICALS, PETROCHEMICALS, FINANCIAL SERVICES, AND TOURISM WILL GRADUALLY RECOVER. THE COFACE PAYMENT MONITORING ARE THUS EXPECTED TO REFLECT THIS FAVOURABLE TREND. SINGAPORE BOASTS THE BEST GOVERNANCE IN ASIA UNDERPINNED BY AN EFFECTIVE LEGAL SYSTEM THAT FACILITATES CLAIM COLLECTION AND A HIGH LEVEL OF FINANCIAL TRANSPARENCY.

STRONG FINANCIAL POSITION

DESPITE IMPLEMENTATION OF A BROAD STIMULUS PROGRAMME, THE COUNTRY CONTINUED TO RUN A SLIGHT FISCAL SURPLUS IN 2009, WHICH IS EXPECTED TO GROW IN 2010. PUBLIC SECTOR FINANCES HAVE THUS REMAINED SOLID.

DESPITE THE CONTRACTION OF THE CURRENT ACCOUNT SURPLUS, EXTERNAL ACCOUNTS ALSO REMAINED LARGELY IN SURPLUS LAST YEAR. IN 2010, THE CURRENT ACCOUNT SURPLUS WILL LIKELY REMAIN STABLE AS RESULT OF THE MORE RAPID RECOVERY OF IMPORTS COMPARED TO EXPORTS, ASSOCIATED WITH THE RISE OF RAW MATERIAL PRICES AND THE REBOUND OF DOMESTIC DEMAND. BESIDES, THE VOLATILITY OF PORTFOLIO INVESTMENT FLOWS THAT DEVELOPED AFTER THE LEHMAN BROTHERS BANKRUPTCY EASED IN 2009. IN 2010, THE HIGH LEVEL OF FOREIGN EXCHANGE RESERVES IS EXPECTED TO CONTINUE TO ENDOW THE COUNTRY WITH GOOD CAPACITY TO WITHSTAND SUDDEN CAPITAL.

MOREOVER, DESPITE THE INTERNATIONAL FINANCIAL TURMOIL AND THE EXPOSURE OF SOME BANKS TO SUBPRIMES AND LEHMAN BROTHERS, THE BANKING SYSTEM IS STILL SOLID THANKS TO SATISFACTORY RISK MANAGEMENT, EFFECTIVE OVERSIGHT, AND HIGH SOLVENCY AND LIQUIDITY RATIOS.

ASSETS

· VERY HIGH QUALITY-COMPETITIVENESS

· DEVELOPMENT OF HIGH VALUE-ADDED SECTORS (CHEMICALS, PHARMACEUTICALS, FINANCE)

· STRONG FDI INFLOWS THANKS TO AN ADVANTAGEOUS TAX REGIME, POLITICAL STABILITY AND AN EXCELLENT BUSINESS ENVIRONMENT

· MAJOR EXPORTER OF CAPITAL IN ASIA VIA THE PUBLIC HOLDING COMPANY TEMASEK

WEAKNESSES

ECONOMY DEPENDENT ON FOREIGN DEMAND
SHORTAGES OF SKILLED LABOUR
AGEING POPULATION
LATENT SOCIAL TENSIONS IN A CONTEXT OF INCREASING INEQUALITY AND GROWING DURABLE UNEMPLOYMENT AMONG THE LEAST SKILLED

OVERVIEW OF SINGAPORE

PAST PERFORMANCE

IN 2Q 2010, The Singapore economy ROSE by 18.8%, after growing by 16.9% in 1q 2010. ALL MAJOR SECTORS EXPANDED, WITH manufacturing, wholesale and retail trade and financial services contributing mainly to growth.

ON A SEASONALLY ADJUSTED ANNUALISED QUARTER-ON-QUARTER BASIS, REAL GROSS DOMESTIC PRODUCT (GDP) rose BY 24.0%, FOLLOWING A 45.7% GROWTH IN 1Q 2010.

The manufacturinG Sector grew by 45.0%, COMPARED TO 2Q 2009.

the construction sector grew by 12.0%, SLOWER than the 13.7% in 1q 2010.

THE SERVICES PRODUCING INDUSTRIES AS A WHOLE ROSE BY 11.0%, SIMILAR TO THE GROWTH ACHIEVED IN 1Q 2010. IT IS LED BY STRONG EXPANSIONS IN THE WHOLESALE AND RETAIL TRADE SECTOR (19.0%) AND THE FINANCIAL SERVICES SECTOR (10.0%).

The financial services sector EXPANDED BY 10.2% IN 2Q 2010, SLOWER than the 18.1% GROWTH IN 1Q 2010.

THE WHOLESALE AND RETAIL TRADE SECTOR ROSE BY 18.9% IN 2Q 2010, GREATER THAN THE 17.7%% GROWTH IN 1Q 2010.

GROWTH IN THE TRANSPORT AND STORAGE SECTOR ROSE BY 7.6% IN 2Q 2010, SIMILAR TO THE GROWTH ACHIEVED IN 1Q 2010.

The hotels and restaurants sector ROSE BY 10.4% IN 2Q 2010, MUCH GREATER THAN THE 6.7% GROWTH IN 1Q 2010.

The information and communications sector rose by 2.8% in 2Q 2010, SLIGHTLY SLOWER than the 2.9% growth in 1Q 2010.

The business services sector expanded by 6.4% in 1Q 2010, GREATER THAN THE

6.1 % in 1Q 2010.

NEWS

GROWTH MAY SURPASS GOVT’S 15% FORECAST

SINGAPORE’S REBOUNDING ECONOMY MAY BURST THROUGH THE 15.0% GROWTH CEILING FORECASTED BY THE GOVERNMENT EARLIER THIS YEAR.

ACCORDING TO 20 ECONOMISTS AND ANALYSTS SURVEYED BY THE MONETARY AUTHORITY OF SINGAPORE (MAS), THE ECONOMY IS MOST LIKELY TO EXPAND BY BETWEEN 14.9% AND 15.9% THIS YEAR, RATHER THAN THE 13.0% TO 15.0% RANGE EXPECTED BY THE GOVERNMENT.

THEIR MEDIAN GROWTH FORECAST OF 14.9% - ANNOUNCED IN THE LATEST MAS SURVEY OF PROFESSIONAL FORECASTERS RELEASED YESTERDAY – IS A SIGNIFICANT LEAP FROM THE MEDIAN FORECAST OF 9.0% CONTAINED IN THE PREVIOUS SURVEY IN JUNE.

AND, IF ACHIEVED, IT WILL ENTER THE RECORD BOOKS AS SINGAPORE’S HIGHEST-EVER ANNUAL GROWTH RATE.

THE LAST RECORD WAS SET IN 1970, WHEN THE ECONOMY ADVANCED 13.8%.

ALONG WITH THE RECORD GROWTH, THE ECONOMISTS HAVE ALSO RAISED THEIR FORECASTS FOR THIS YEAR’S EXPORTS, INFLATION AND THE UNEMPLOYMENT RATE.

BUT THIS YEAR’S BIGGER OUTPUT JUMP COULD SPELL SLOWER GROWTH NEXT YEAR, BECAUSE 2011’S PERFORMANCE WILL BE MEASURED AGAINST THIS YEAR’S HIGHER BASE.

THE FORECASTERS ARE NOW ANTICIPATING 4.0% TO 4.9% EXPANSION FOR NEXT YEAR, DOWN FROM THEIR EARLIER FORECAST OF 5.0% TO 5.9%.

THE UPGRADED PROJECTION FOR THIS YEAR WAS DRIVEN MAINLY BY THE MANUFACTURING SECTOR, WHICH IS NOW THOUGHT TO HAVE PERFORMED BETTER FOR THE FULL YEAR.

EXPECTATIONS HAVE ALSO BEEN RAISED FOR THE FINANCIAL SERVICES AND WHOLESALE AND RETAIL TRADE INDUSTRIES.

THIS SHOULD SEE THE ECONOMY REGISTERING DOUBLE-DIGIT EXPANSIONS IN THE THIRD AND FOURTH QUARTERS, SAID THE ECONOMIST POLLED.

THEY ARE PREDICTING 11.6% GROWTH FOR THE THIRD QUARTER, UP FROM A PREVIOUS FORECAST OF 6.0%; ALTHOUGH IT IS DOWN ON THE 18.8% RISE IN THE SECOND QUARTER.

IN THE FOURTH QUARTER, GROWTH MAY ACCELERATE TO 12.6%, THE SURVEY SHOWED.

MOST ECONOMISTS BELIEVE THE ECONOMY PEAKED IN THE SECOND QUARTER AND WILL SLOW AS THE GLOBAL ECONOMY WAVERS IN THE SECOND HALF OF THE YEAR.

MR DAVID COHEN OF ACTION ECONOMICS FORECASTS 15.5% GROWTH THIS YEAR, EVEN AFTER TAKING INTO ACCOUNT A QUARTER-QUARTER CONTRACTION IN THE THIRD QUARTER AND SLIGHT GROWTH IN THE FOURTH QUARTER.

“I THINK THE SENSE IS THAT THE SECOND QUARTER GOT A LITTLE AHEAD OF ITSELF, AND MAY HAVE BEEN EXAGGERATED BY SOME SPECIAL FACTORS IN BIOMEDICAL MANUFACTURING,” HE SAID.

“THE PRODUCTION SCHEDULES TEND TO BOUNCE AROUND AND MAYBE WERE A LITTLE OVERSTATED IN THE SECOND QUARTER.”

ON TOP OF THAT, MR COHEN SAID”THERE IS A SENSE THAT THE GLOBAL ECONOMY IS SLIPPING FROM THE PACE OF REBOUND SEEN EARLIER THIS YEAR.

WHILE THE ASIAN ECONOMIES GENERALLY CONTINUED ROARING IN THE SECOND QUARTER, GROWTH IN BOTH JAPAN AND THE UNITED STATES SLOWED SHARPLY.

THE MAS SURVEY REPORTED YESTERDAY THAT THE SINGAPORE DOLLAR IS PROJECTED TO RISE TO $1.363 AGAINST THE US DOLLAR AT THE END OF THIS MONTH AND TO $1.35 BY YEAR-END.

OUTLOOK

THE COMPOSITE LEADING INDEX (CLI) FELL ON A QUARTER-ON-QUARTER BASIS FOR THE FIRST TIME SINCE 1Q 2009. THE CLI DECLINED BY 1.8% IN 2Q 2010, REVERSING THE 2.4% RISE IN 1Q 2010. OF THE NINE COMPONENTS WITHIN THE INDEX, SIX COMPONENTS – NAMELY, STOCK OF FINISHED GOODS, NON-OIL SEA CARGO HANDLED,

NEW COMPANIES FORMED, STOCK PRICES, NON-OIL RETAINED IMPORTS AND WHOLESALE TRADE – DECLINED COMPARED TO THE PRECEDING PERIOD.

THE ONLY INDICATOR THAT SHOWED AN INCREASE WAS US PURCHASING MANAGERS’ INDEX, WHILE THE DOMESTIC LIQUIDITY AND MONEY SUPPLY INDICATORS REMAINED STABLE IN 2Q 2010.

THE SINGAPORE ECONOMY ROSE STRONGLY AT A PACE OF 18.0% IN 1Q 2010, IN TANDEM WITH THE RECOVERY IN GLOBAL AND REGIONAL MARKETS. THIS RECOVERY WAS BROAD-BASED ACROSS ALL KEY SECTORS OF THE ECONOMY, PARTICULARLY MANUFACTURING, WHOLESALE AND RETAIL TRADE AND FINANCIAL SERVICES.

FOR THE REST OF THE YEAR, THE GLOBAL ECONOMY IS EXPECTED TO RECOVER AT A MODEST PACE. SIGNS OF A SLOWDOWN CAN ALREADY BE OBSERVED IN THE KEY EXTERNAL ECONOMIES. IN PARTICULAR, US GROWTH HAS SLOWED IN 2Q 2010, DUE TO A SMALLER RISE IN PRIVATE CONSUMPTION EXPENDITURE AND A LOWER BOOST FROM INVENTORY RESTOCKING EFFORTS. HOUSEHOLD SPENDING IS LIKELY TO BE DEPRESSED FOR SOME TIME AS THE LABOUR AND HOUSING MARKETS REMAIN WEAK. FORWARD-LOOKING INDICATORS SUCH AS CONSUMER AND BUSINESS CONFIDENCE INDICES HAVE ALSO DECLINED. IN THE EU, MARKET CONCERNS HAVE BEEN LIFTED TO SOME EXTENT BY THE POSITIVE RESULTS OF STRESS TESTS ON COMMERCIAL BANKS AND SECURED DEBT FINANCING IN GREECE. HOWEVER, THE SITUATION IN SEVERAL SOUTHERN EUROPEAN ECONOMIES REMAIN WEAK, AND ON THE WHOLE, FINAL DEMAND IN THE EU IS EXPECTED TO BE SLUGGISH. THE SLOWDOWN IN EXTERNAL DEMAND HAS ALSO AFFECTED ASIAN ECONOMIES. SPECIFICALLY, CHINA REPORTED A SLOWER PACE OF GROWTH IN THE SECOND QUARTER AS COMPARED TO THE PREVIOUS QUARTER.

IN LINE WITH THESE DEVELOPMENTS, THE STRONG GROWTH MOMENTUM IN SINGAPORE IN THE FIRST HALF OF THE YEAR MAY EASE IN THE LATTER HALF OF THIS YEAR, ALTHOUGH GROWTH RATES WILL REMAIN HEALTHY. INDUSTRY SPECIFIC FACTORS SUCH AS ANTICIPATED PLANT MAINTENANCE SHUTDOWNS IN THE BIOMEDICAL MANUFACTURING CLUSTER MAY ALSO DAMPEN OVERALL GROWTH.

TAKING THESE FACTORS INTO CONSIDERATION, THE MINISTRY OF TRADE AND INDUSTRY EXPECTS THE SINGAPORE ECONOMY TO GROW BY 13.0% TO 15.0% IN 2010.

IN THE FINANCIAL SERVICES INDUSTRY, A NET WEIGHTED BALANCE OF 70% OF FIRMS

FORECASTS FAVOURABLE BUSINESS CONDITIONS FOR THE MONTHS ENDING SEP 2010. IN PARTICULAR, BANKS AND FINANCE COMPANIES, STOCK, SHARE AND BOND BROKERS, FUND MANAGERS AND INSURANCE COMPANIES FORECAST A BETTER BUSINESS CLIMATE IN THE COMING MONTHS.

IN THE FINANCIAL SERVICES INDUSTRY, A NET WEIGHTED BALANCE OF 37% OF FIRMS

FORECASTS FAVOURABLE BUSINESS SENTIMENTS FOR THE MONTHS ENDING DEC 2010. IN PARTICULAR, BANKS AND FINANCE COMPANIES, FUND MANAGERS AND INSURANCE COMPANIES FORECAST A BETTER BUSINESS CLIMATE IN THE COMING MONTHS.

IN THE REAL ESTATE INDUSTRY, AN OVERALL NET WEIGHTED BALANCE OF 27% OF FIRMS PREDICTS BETTER BUSINESS CONDITIONS AHEAD.

OVERALL, THE SERVICES INDUSTRY ARE UPBEAT BUSINESS OUTLOOK FOR THE MONTHS ENDING DEC 2010. A OVERALL NET WEIGHTED BALANCE OF 33% OF FIRM FORECASTS BETTER BUSINESS CONDITIONS. THIS MAGNITUDE IS SMALLER THAN THE POSITIVE NET WEIGHTED BALANCE OF 36% REGISTERED FOR THE MONTHS ENDING SEP 2010. THE POSITIVE OUTLOOK IS ALSO IN CONTRAST TO THE SLIGHT NEGATIVE NET WEIGHTED BALANCE OF 3% RECORDED FOR THE MONTHS ENDING DEC 2009.

A NET WEIGHTED BALANCE OF 37% OF WHOLESALERS EXPECT POSITIVE BUSINESS SENTIMENTS FOR THE PERIOD ENDING DEC 2010. IN PARTICULAR, THOSE DEALING WITH FOOD AND BEVERAGES, COSMETICS AND TOILETRIES, INDUSTRIAL MACHINERY AND EQUIPMENT, ELECTRONIC COMPONENTS, COMPUTERS AND ACCESSORIES, AND MOTOR VEHICLES.

RETAILERS FORECAST FAVOURABLE BUSINESS CONDITIONS FOR THE COMING MONTHS. A NET WEIGHTED BALANCE OF 29% OF RETAILERS FORECAST POSITIVE FAVOURABLE BUSINESS PROSPECTS FOR THE PERIOD ENDING DEC 2010. THIS APPLIES TO DEPARTMENT STORES, RETAILERS OF WEARING APPAREL AND FOOTWEAR, JEWELLERY AND WATCHES.

IN THE TRANSPORT AND STORAGE INDUSTRY, A NET WEIGHTED BALANCE OF 24% OF FIRMS FORECAST A BRISK BUSINESS CLIMATE FOR THE MONTHS ENDING DEC 2010. FIRMS IN SHIPPING LINES, PROVIDING AIR TRANSPORT SERVICES AND SUPPORTING SERVICES TO AIR TRANSPORT ARE OPTIMISTIC ABOUT BUSINESS CONDITIONS IN THE MONTHS AHEAD.

HOTELIERS ANTICIPATE BETTER BUSINESS CONDITIONS FOR THE PERIOD ENDING DEC 2010. SIMILARLY, A NET WEIGHTED BALANCE OF 47% OF FIRMS IN THE CATERING TRADE INDUSTRY FORECASTS POSITIVE OUTLOOK AHEAD. CONVENTIONAL RESTAURANTS, FAST FOOD RESTAURANTS AND FOOD CATERERS ARE AMONG THOSE THAT FORECAST HIGHER BUSINESS VOLUME DURING THAT PERIOD.

IN THE INFORMATION AND COMMUNICATIONS INDUSTRY, A NET WEIGHTED BALANCE OF 38% OF FIRMS PREDICTS BETTER BUSINESS CONDITIONS IN THE COMING MONTHS. IN PARTICULAR, FIRMS ENGAGED IN PUBLISHING, MOTION PICTURE AND VIDEO, RADIO AND TELEVISION, SOUND RECORDING AND BROADCASTING AND TELECOMMUNICATIONS ACTIVITIES FORECASTS BETTER BUSINESS CLIMATE IN THE MONTHS AHEAD.

IN THE BUSINESS SERVICES INDUSTRY, A NET WEIGHTED BALANCE OF 25% OF FIRMS PREDICTS POSITIVE SENTIMENTS. THESE INCLUDE FIRMS ENGAGED IN RENTING OF CONSTRUCTION EQUIPMENT AND LEGAL ACTIVITIES AS WELL AS HEAD AND REGIONAL OFFICES, LABOUR RECRUITMENT FIRMS AND TRAVEL AGENCIES.

EXTRACTED FROM: MINISTRY OF TRADE AND INDUSTRY, SINGAPORE

SINGAPORE DEPARTMENT OF STATISTICS

THE STRAITS TIMES

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.44.50
UK Pound	1	Rs.71.25
Euro	1	Rs.64.40

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.