MIRA INFORM REPORT

Report Date :

17.06.2011

IDENTIFICATION DETAILS

Name :	DIANA BRANDS LTD.

Registered Office :	P.O. Box 48034, Tel Aviv (61480), 12 Rabenu Hananel Street, Tel Aviv 66076

Country :	Israel

Date of Incorporation :	05.11.2000

Legal Form :	Private Limited Company

Line of Business :	Importers and marketers of fashionable bags, back-bags, handbags, luggage, satchels, etc.

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 :	US$ 80,000.
Status :	Moderate
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 – March 31^st, 2011

Country Name

Previous Rating

(31.12.2010)

Current Rating

(31.03.2011)

Israel

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

Bottom of Form

Company name & address

DIANA BRANDS LTD.

Telephone 972 3 681 31 13

Fax 972 3 518 38 13

P.O. Box 48034, Tel Aviv (61480)

12 Rabenu Hananel Street

TEL AVIV 66076-ISRAEL

HISTORY & LEGAL FORMATION

A private limited company, incorporated as per file No. 51-302976-9 on the 05.11.2000.

Subject is continuing activities of a non-registered partnership established by the Avrahami family in 1979.

SHARE CAPITAL

Authorized share capital NIS 39,100.00, divided into:

39,100 ordinary shares of NIS 1.00 each,

of which 30 shares amounting to NIS 30.00 were issued.

SHAREHOLDERS

1. Itzhak Avrahami, 40%,

2. Emanuel Avrahami, 30%,

3. Shmuel Avrahami, 30%, all latter 3 are brothers.

SOLE DIRECTOR AND GENERAL MANAGER

Itzhak Avrahami.

BUSINESS

Importers and marketers of fashionable bags, back-bags, handbags, luggage, satchels, etc.

Marketing to some 300 shops and chains.

Amongst clientele: NEW HAMASHBIR LAZARCHAN, ACADEMON, DYONUN, BAGINDA, A. ALTER LUGGAGE, etc.

Sole local representatives of:

DELSEY, of France,

LEE COOPER, of the UK.

LUMBERJACK.

Also authorized for using logos on their bags of “PLAYBOY” and “OP”.

Operating from rented premises, on an area of 500 sq. meters, in 12 Rabenu Hananel Street, Tel Aviv.

Having 15 employees (same as in 2009).

MEANS

Financial data not forthcoming.

There are 2 charges for unlimited amounts registered on the company's assets (financial assets), in favor of Bank Leumi Le’Israel Ltd.

ANNUAL SALES

2001 sales reported to be NIS 20,000,000.

Later sales figures not forthcoming.

BANKERS

Bank Leumi Le’Israel Ltd., Florentine Branch (No. 805), Tel Aviv, account No. 351100/10.

A check with the Central Banks’ database did not reveal anything detrimental on subject’s a/m account.

CHARACTER AND REPUTATION

Nothing unfavorable learned.

Subject's General Manager refused to disclose financial data.

In June 2004, it was reported that subject received the local concession to market bags, purses, and accessories with the “Playboy” logo.

In August 2005, it was reported that subject also received the concession to market bags under the brand name “Ocean Pacific”.

SUMMARY

Notwithstanding the refusal to disclose financial data, considered good for trade engagements.

Maximum unsecured credit recommended US$ 80,000.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.44.90
UK Pound	1	Rs.72.54
Euro	1	Rs.63.39

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.