MIRA INFORM REPORT

Report Date :

20.06.2011

IDENTIFICATION DETAILS

Name :	UD. PUTRA SENTOSA
Registered Office :	Jalan Kalimas Udik 1 No. 56, Kembang Jepun, Surabaya, 60162, East Java
Country :	Indonesia
Year of Establishment :	2000
Com. Reg. No.:	Not Available
Legal Form :	Sole Proprietary Concern
Line of Business :	Trading, Import and Distribution of Agricultural Commodities Products

RATING & COMMENTS

MIRA’s Rating :

B

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

Maximum Credit Limit :	US$ 52,600
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)
Indonesia	b1	b1

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

Bottom of Form

Name of Concern

UD. PUTRA SENTOSA

concern Address

Head Office

Jalan Kalimas Udik 1 No. 56

Kembang Jepun, Surabaya, 60162

East Java

Indonesia

Phone - (62-31) 3521828

Fax - (62-31) 3551775

Building Area - 1 storey

Office Space - 100 sq. meters

Region - Commercial

Status - Rent

Date of Incorporation

2000’s

Legal Form

Sole Proprietary Concern

Concern Reg. No.

Not Required

Concern Status

Private National Concern

Permit by the Government Department

Not Available

Related Concern

None

CAPITAL AND OWNERSHIP

Capital Structure :

Owned Capital : Rp. 260 million

Owners :

a. Mr. David

BUSINESS ACTIVITIES

Lines of Business :

Trading, Import and Distribution of Agricultural Commodities Products

Production Capacity :

None

Total Investment :

None

Started Operation :

2000’s

Brand Name :

Putra Sentosa

Technical Assistance :

N o n e

Number of Employee :

8 persons

Marketing Area :

Local - 100%

Main Customer :

Traditional Market

Market Situation :

Very Competitive

Main Competitors :

a. P.T. ASIA AGROMAS ABADI

b. C.V. BUMI DJAJA

c. C.V. PUTRA NUSA

d. P.T. TUNASUTAMA SARIPERKASA

e. Etc.

Business Trend :

Growing

BANKER, AUD1ITOR & LITIGATION

Banker :

P.T. Bank MANDIRI Tbk

Jalan Jend. Basuki Rachmat 127

Surabaya, East Java

Indonesia

Auditor :

Internal Auditor

Litigation :

No litigation record in our database

FINANCIAL FIGURE

Annual Sales (estimated) :

2008 – Rp. 3.0 billion

2009 – Rp. 3.7 billion

2010 – Rp. 4.0 billion

Net Profit (estimated) :

2008 – Rp. 200 million

2009 – Rp. 240 million

2010 – Rp. 275 million

Payment Manner :

Average

Financial Comments :

Satisfactory

KEY EXECUTIVES

Board of Management :

Director - Mr. David

Board of Commissioners :

N o n e

Signatories :

Director (Mr. David) is only the authorized person to sign the loan on behalf of the concern.

CAPABILITIES

Management Capability :

Satisfactory

Business Morality :

Satisfactory

Credit Risk :

Average

Credit Recommendation :

Credit should be proceeded with monitor

Proposed Credit Limit :

Small amount – periodical review

Maximum Credit Limit :

US$ 52,600 on 90 days D/A

OVERALL PERFORMANCE

UD. PUTRA SENTOSA (UD. PS) was established in Surabaya, East Java in 2000’s the status of Sole Proprietary Concern. The concern’s authorized capital is not announced in its deed of establishment. In general, the concern with legal status of sole proprietary concern shall increase its capital continuously together with its business development. We estimated that UD. PUTRA SENTOSA has capital about Rp. 260 million.

UD. PUTRA SENTOSA (UD. PS) has been operating since 2000’s dealing with trading, import and distribution of agricultural commodities. Mr. David, Director and owner of the concern went on to say the concern import of ground nuts and garlic of India; red onion from China. Then, the whole product like garlic, red onion and ground nut marketed locally through traditional market in Surabaya and East Java. We find that UD. PS's operations have been growing slowly in the last three years. The global economic crisis and very sharp depreciation of the Rupiah to foreign currencies have adversely affected the concern's operations for having caused the sales prices of agro commodities product the concern is selling, which have mostly been imported, to be very highly priced. Meanwhile, the domestic demand has sharply fallen. We observe the operation of UD. PS has gradually been increasing since the early 2009 due to the amelioration economic condition in the country.

We have noticed that the demand for agricultural products had increased some 10% to 11% per annum in the last five years in line with the growth of industrial manufacturing in the country and international market. In the coming years, the growth rate of demand is estimated at about 6% to 7% per annum. The present market situation for agricultural products is very competitive for a large number of similar companies operating in the country. Besides, that generally the domestic demand for fruit has been rising by about 6% - 8% per year in the last five years in line with the growing population and increasing income of part of the population in the country. The demand is projected to go on rising each year in the next five years. Meanwhile, competition is quite heavy in the fruit trade with many companies now doing business in this field in Indonesia. We consider that UD. PS to be in quite favorable position for having already got hold of a steady clientele in East Java.

Until this time UD. PS has not been registered with Indonesian Stock Exchange, so that they shall not obliged to announce their financial statement. The management of UD. PS is very reclusive towards outsiders and rejected to disclose its financial condition. We observed that total sales turnover of the concern in 2008 amounted to Rp. 3.0 billion rose to Rp. 3.7 billion in 2009 increased to Rp. 4.0 billion in 2010 and projected to go on rising by at least 4% in 2011. The operation in 2010 yielded an estimated net profit of at least Rp. 275 million. So far, we did not heard that the concern having been black listed by the Central Bank (Bank Indonesia). The concern usually pays its debts punctually to suppliers.

The management of UD. PS is led by Mr. David (46) a businessman and professional manager with experience in trading, import and distribution of agriculture commodities products. The management is handled by experienced staff in this business, having maintained a wide business relation with private businessmen at home and abroad as well as with government sectors. So far, we did not hear that the management of the concern being filed to the district court for detrimental cases or involved in any business malpractices. The concern’s litigation record is clean and it has not registered with the black list of Bank of Indonesia. UD. PUTRA SENTOSA is sufficiently fairly good for business transaction.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.44.93
UK Pound	1	Rs.72.43
Euro	1	Rs.63.62

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%)

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