MIRA INFORM REPORT

Report Date :

06.05.2011

IDENTIFICATION DETAILS

Name :	S.C. UNITED PTE LTD
Registered Office :	3791 Jalan Bukit Merah #10-21 E-Centre @ Redhill
Country :	Singapore
Date of Incorporation :	21.10.1998
Com. Reg. No.:	00004517542995
Legal Form :	Exempt Pte Ltd
Line of Business :	manufacture and distribution of raised access floor panel systems

RATING & COMMENTS

MIRA’s Rating :

Ba

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

Status :	Satisfactory
Payment Behaviour :	Regular
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 – December 31, 2010

Country Name	Previous Rating (30.09.2010)	Current Rating (31.12.2010)
Singapore	A1	A1

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

Company name

S.C. UNITED PTE LTD

Line Of Business 

 
MANUFACTURE AND DISTRIBUTION OF RAISED ACCESS FLOOR PANEL SYSTEMS  

Parent Company

---

Financial Elements

Sales : -

Networth : -

Paid-Up Capital : S$1,000,000

Net result : -

Net Margin(%) : -

Return on Equity(%) : -

Leverage Ratio : -

COMPANY IDENTIFICATION

Subject Company :	S.C. UNITED PTE LTD
Business Address:	3791 JALAN BUKIT MERAH #10-21 E-CENTRE @ REDHILL
Town:	SINGAPORE
Postcode:	159471
Country:	Singapore
Telephone:	63582622/ 62702622
Fax:	63582922
ROC Number:	199805142C
Easy Number company:	00004517542995

SUMMARY

Legal Form:	Exempt Pte Ltd
Date Inc.:	21/10/1998
Summary year :	30/06/2004
All amounts in this report are in :	SGD
Sales:	785,294
Networth :	-374,280
Capital:	1,000,000
Paid-Up Capital:	1,000,000
Net result :	-161,989
Share value:	1

 
AUDITOR: B H TAN & ASSOCIATES 
  
BASED ON ACRA'S RECORD 
  NO OF SHARES CURRENCY  AMOUNT 
ISSUED ORDINARY 1,000,000  SGD  1,000,000.00
PAID-UP ORDINARY -  SGD  1,000,000.00

REFERENCES

Litigation:	No
Company status :	TRADING
Started :	21/10/1998
Credit Rating:	LOW RISK

PRINCIPAL(S)

NEO THIAM SIEW

S0278675C

Director

DIRECTOR(S)

NG CHEE TIONG	S1481834J	Company Secretary
Appointed on :	02/11/1998
Street :	554 CHOA CHU KANG NORTH 6 #08-46
Town:	SINGAPORE
Postcode:	680554
Country:	Singapore

ZHANG YONG DING	142884754	Director
Appointed on :	12/09/1999
Street :	RM 714 1590 XIETU RD
Town:	SHANGHAI
Country:	China

GU LIMING	149424808	Director
Appointed on :	01/08/2003
Street :	CHANGZHOU CUIQIAO PLANET INDUSTRY VILLAGE CUIQIAO WUJING
Country:	China

NEO THIAM SIEW	S0278675C	Director
Appointed on :	26/04/1999
Street :	44 WEST COAST DRIVE HONG LEONG GARDEN
Town:	SINGAPORE
Postcode:	127979
Country:	Singapore

CHIA CHYE KHENG	S0385772G	Director
Appointed on :	08/02/2001
Street :	44 WEST COAST DRIVE HONG LEONG GARDEN
Town:	SINGAPORE
Postcode:	127979
Country:	Singapore

JOANNE NEO MURRAY @ NEO PECK LAN	S7512814B	Director
Appointed on :	08/02/2001
Street :	58 JALAN MA'MOR #01-43
Town:	SINGAPORE
Postcode:	320058
Country:	Singapore

ACTIVITY (IES)

Activity Code:	12080	INVESTMENT ADVISORY SERVICE
Activity Code:	11010	HARDWARE - RETAIL
Activity Code:	15800	PAINT - WHSLE And MFRS

 
BASED ON ACRA'S RECORD 
1. OTHER INVESTMENT HOLDING COMPANIES 
2. RETAIL SALE OF HARDWARE, PAINT & GLASS NEC (EG WOOD, GLASS, 
 SANITARY WARE, DO-IT-YOURSELF MATERIALS)

SHAREHOLDERS(S)

ZHANG YONG DING

100,000

Private Person

Street :	RM 714 1590 XIETU RD
Town:	SHANGHAI
Country:	China

GU LIMING

50,000

Private Person

Street :	CHANGZHOU CUIQIAO PLANET INDUSTRY VILLAGE CUIQIAO WUJING
Country:	China

NEO THIAM SIEW

625,000

Private Person

Street :	44 WEST COAST DRIVE HONG LEONG GARDEN
Town:	SINGAPORE
Postcode:	127979
Country:	Singapore

CHIA CHYE KHENG

125,000

Private Person

Street :	44 WEST COAST DRIVE HONG LEONG GARDEN
Town:	SINGAPORE
Postcode:	127979
Country:	Singapore

JOANNE NEO MURRAY @ NEO PECK LAN

100,000

Private Person

Street :	58 JALAN MA'MOR #01-43
Town:	SINGAPORE
Postcode:	320058
Country:	Singapore

SUBSIDIARY (IES)

SHANGHAI HUILI SPECIAL COATINGS CO.LTD

PAYMENT HISTORY AND EXPERIENCES

Trade Morality:	AVERAGE
Liquidity :	UNKNOWN
Payments :	REGULAR
Trend :	LEVEL
Financial Situation:	UNKNOWN

FINANCIAL ELEMENTS

All amounts in this report are in :

SGD

Audit Qualification:	GOING CONCERN QUALIFICATION	GOING CONCERN QUALIFICATION
Date Account Lodged:	18/01/2005
Balance Sheet Date:	30/06/2004	30/06/2003
Number of weeks:	52	52
Consolidation Code:	COMPANY	COMPANY

--- ASSETS
Tangible Fixed Assets:	52,111	24,511
Investments		110,053
Total Fixed Assets:	52,111	134,564
Inventories:	17,899	19,506
Receivables:	224,185	69,514
Cash,Banks, Securitis:	86,912	11,030
Other current assets:	8,202	7,560
Total Current Assets:	337,198	107,610
TOTAL ASSETS:	389,309	242,174
--- LIABILITIES
Equity capital:	1,000,000	1,000,000
Profit & lost Account:	-1,374,280	-1,212,291
Total Equity:	-374,280	-212,291
Trade Creditors:	294,296	56,268
Other Short term Liab.:	469,293	398,197
Total short term Liab.:	763,589	454,465
TOTAL LIABILITIES:	763,589	454,465
--- PROFIT & LOSS ACCOUNT
Net Sales	785,294	346,036
Results of Ord Ops:	-161,989	-293,221
NET RESULT BEFORE TAX:	-161,989	-293,273
Net income/loss year:	-161,989	-293,273
Interest Paid:		52
Depreciation:	7,002	3,015
Directors Emoluments:	81,412	128,786

RATIOS

Date Account Lodged:	30/06/2004	30/06/2003
Net result / Turnover(%):	-0.21	-0.85
Fin. Charges / Turnover(%):		0
Stock / Turnover(%):	0.02	0.06
Net Margin(%):	-20.63	-84.75
Return on Equity(%):	43.28	138.15
Return on Assets(%):	-41.61	-121.1
Net Working capital:	-426391	-346855
Cash Ratio:	0.11	0.02
Quick Ratio:	0.41	0.18
Current ratio:	0.44	0.24
Receivables Turnover:	102.77	72.32
Leverage Ratio:

 
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)/1000
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

EXEMPT PRIVATE COMPANY 
 
WHERE THE SHARES OF A PRIVATE COMPANY ARE NOT OWNED BY ANY CORPORATE 
BODY AND THERE ARE NO MORE THAN 20 MEMBERS, THE PRIVATE COMPANY IS 
KNOWN AS AN EXEMPT PRIVATE COMPANY.
 
AN EXEMPT PRIVATE COMPANY ENJOYS A GREATER AMOUNT OF PRIVACY THAN A 
PRIVATE COMPANY. IT IS NOT REQUIRED TO FILE ACCOUNTS WITH THE 
REGISTRAR IF IT CAN PRODUCE A CERTIFICATE SIGNED BY ONE OF ITS 
DIRECTORS, SECRETARY AND AUDITOR CONFIRMING THE FOLLOWING POINTS:
1. THE COMPANY IS AN EXEMPT PRIVATE COMPANY. 
2. THE AUDITED ACCOUNTS HAVE BEEN TABLED BEFORE THE SHAREHOLDERS AT 
 THE ANNUAL GENERAL MEETING. 
3. THE COMPANY IS ABLE TO MEET ITS LIABILITIES.
 
THERE IS THEREFORE NO DISCLOSURE TO THE PUBLIC OF THE ACCOUNTS OF THE 
COMPANY ALTHOUGH THE ACCOUNTS STILL HAVE TO BE AUDITED EVERY YEAR AND 
APPROVED AT AN ANNUAL GENERAL MEETING OF THE COMPANY.
 
A PRIVATE COMPANY THAT IS WHOLLY OWNED BY THE GOVERNMENT MAY BECOME AN
EXEMPT PRIVATE COMPANY IF THE MINISTER FOR FINANCE, IN THE NATIONAL 
INTEREST, DECLARES IT TO BE SUCH BY A GAZETTE NOTIFICATION. 
 
EXEMPT FROM AUDIT
AN EXEMPT PRIVATE COMPANY IS EXEMPT FROM AUDIT REQUIREMENTS IF THE 
STARTING DATE OF ITS FINANCIAL YEAR IS BETWEEN 15 MAY 2003 AND 31 MAY 
2004 AND ITS TURNOVER FOR THAT FINANCIAL YEAR DOES NOT EXCEED $2.5 
MILLION. FOR FINANCIAL YEARS STARTING 1 JUNE 2004, THE AMOUNT OF THE 
TURNOVER HAS BEEN RAISED TO $5 MILLION. THESE COMPANIES ARE STILL
REQUIRED TO MAINTAIN PROPER ACCOUNTING.

BACKGROUND/OPERATION

THE COMPANY WAS INCORPORATED IN THE REPUBLIC OF SINGAPORE ON 
21/10/1998 AS AN EXEMPT LIMITED PRIVATE COMPANY AND IS TRADING UNDER 
ITS PRESENT NAMESTYLE AS "S.C. UNITED PTE LTD". 
  
AS AT 28/04/2011, THE COMPANY HAS AN ISSUED AND PAID-UP CAPITAL OF
1,000,000 SHARES, OF A VALUE OF S$1,000,000. 
 
PRINCIPAL ACTIVITIES: 
SUBJECT IS REGISTERED WITH THE ACCOUNTING AND CORPORATE REGULATORY 
AUTHORITY (ACRA) BE PRINCIPALLY ENGAGED IN THE BUSINESS OF:
1. OTHER INVESTMENT HOLDING COMPANIES  
2. RETAIL SALE OF HARDWARE, PAINT & GLASS NEC (EG WOOD, GLASS, 
 SANITARY WARE, DO-IT-YOURSELF MATERIALS) 
 
FROM THE RESEARCH DONE, THE FOLLOWING INFORMATION WAS GATHERED:
 
SUBJECT ENGAGES IN THE FOLLOWING ACTIVITIES: 
* MANUFACTURE AND DISTRIBUTION OF RAISED ACCESS FLOOR PANEL SYSTEMS 
  
PRODUCTS:
* STEEL ACCESS FLOOR PANELS 
* STEEL HOLLOW PANEL 
* STEEL AIR - FLOW PANEL(PERFORATED PANEL) 
* OA STEEL ACCESS FLOOR PANEL(500 X 500MM) 
* WOODCORE PANEL
* ALUMINIUM FLOOR PANEL 
* HPL (HIGH PRESSURE LAMINATE) PHYSICAL / MECHANICAL DATA  
* PVC (POLYVINYL CHLORIDE) PHYSICAL/MECHANICAL DATA 
* PATTERN & COLOUR CHART 
* ACCESSORIES
 
FROM THE TELE-INTERVIEW CONDUCTED, SUBJECT PERSONNEL 
CONFIRMED THE ADDRESS, BUSINESS ACTIVITES AND CONTACT DETAILS. NO 
FURTHER INFORMATION WAS PROVIDED.
 
REGISTERED AND BUSINESS ADDRESS: 
3791 JALAN BUKIT MERAH  
#10-21; E-CENTRE@ REDHILL 
SINGAPORE (159471) 
DATE OF CHANGE OF ADDRESS: 09/09/2004
- OWNED BY: CHIA CHYE KHENG (DIRECTOR)  
 JOANNE NEO MURRAY (DIRECTOR) 
 
OVERSEAS ADDRESS:
B#22B FUDU GARDEN , 299 XUANHUA RD 
SHANGHAI 200050 
TEL: 8621-6240 7098 
FAX: 8621-6240 7097  
EMAIL: SHSCCL@ONLINE.SH.CN
 
 
WEBSITE: http://www.scu-huili.com 
EMAIL : info@scu-huili.com 

MANAGEMENT

THE DIRECTORS IN OFFICE AT THE TIME OF THE REPORT ARE: 
  
1) ZHANG YONG DING, A CHINESE 
 - BASED IN CHINA
 
2) GU LIMING, A CHINESE 
  - BASED IN CHINA 
 
3) NEO THIAM SIEW, A SINGAPOREAN
 - HOLDS NO OTHER DIRECTORSHIPS IN OUR DATABASE 
  
4) CHIA CHYE KHENG, A SINGAPOREAN 
 - HOLDS NO OTHER DIRECTORSHIPS IN OUR DATABASE
 
5) JOANNE NEO MURRAY @ NEO PECK LAN, A SINGAPOREAN 
 - HOLDS NO OTHER DIRECTORSHIPS IN OUR DATABASE

ADVERSE ON DIRECTORS

DIRECTOR'S NAME: NEO THIAM SIEW 
ADVERSE REPORT AGAINST DIRECTOR: NOT AVAILABLE FROM OUR DATABASE 
PROPERTY OWNERSHIP: 1  
ANNUAL VALUE: $25,200 
CO-OWNER (S): CHIA CHYE KHENG
 
DIRECTOR'S NAME: CHIA CHYE KHENG  
ADVERSE REPORT AGAINST DIRECTOR: NOT AVAILABLE FROM OUR DATABASE 
PROPERTY OWNERSHIP: 2 
ANNUAL VALUE: $25,000 (44 WEST COAST DR )
CO-OWNER (S): NEO THIAM SIEW  
ANNUAL VALUE: $30,900 (3791 JLN BT MERAH #10-21) 
CO-OWNER (S): JOANNE NEO MURRAY
 
DIRECTOR'S NAME: JOANNE NEO MURRAY @ NEO PECK LAN 
ADVERSE REPORT AGAINST DIRECTOR: NOT AVAILABLE FROM OUR DATABASE  
PROPERTY OWNERSHIP: 2 
ANNUAL VALUE: $6,600 (58 JLN MA'MOR #01-43 ) 
CO-OWNER (S): PETER MURRAY
ANNUAL VALUE: $30,900 (3791 JLN BT MERAH #10-21) 
CO-OWNER (S): CHIA CHYE KHENG 
 
* ANNUAL VALUE IS THE ESTIMATED ANNUAL RENT THE PROPERTY CAN FETCH IF
IT WERE RENTED OUT. THE ANNUAL VALUE IS DETERMINED IN THE SAME MANNER
REGARDLESS OF WHETHER THE PROPERTY IS LET-OUT, OWNER- OCCUPIED OR 
VACANT

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 RECORDS 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.44.59
UK Pound	1	Rs.73.42
Euro	1	Rs.66.04

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