MIRA INFORM REPORT

Report Date :

01.10.2011

IDENTIFICATION DETAILS

Name :	UNITED LABORATORIES INC

Registered Office :	66 United Street, Mandaluyong City, Metro Manila, Postal code 1550

Country :	Philippines

Financials (as on) :	31.12.2010

Date of Incorporation :	08.10.1953

Com. Reg. No.:	0000008205

Legal Form :	Joint Stock Company

Line of Business :	manufacture and sale of pharmaceutical such as vitamins, antibiotics and etc.

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 :	PHP 50,000,000

Status :	Good

Payment Behaviour :	Usually Correct

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)

Philippines

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

REGISTERED NAME & COMPANY SUMMARY

IDENTIFICATION
Given
Subject Name:	United Laboratories Inc
Address:	66 United Street
Town:	Mandaluyong City
Country:	Philippines

Verified
Subject Name:	UNITED LABORATORIES INC.
Other Style:	UNILAB
Address:	66 United Street	Postal address:	PO Box 1070
Town:	Mandaluyong City	Town:	Mandaluyong City
State/province:	Metro Manila	State/province:	Metro Manila 1501
Zip/postal code:	1550
Country:	Philippines
Telephone:	+63 (2) 8581000
Fax:	+63 (2) 8581635
Website:	www.unilab.com.ph


EXECUTIVE SUMMARY

Date registered:	08-10-1953
Legal form:	Joint Stock Company
Authorised Capital:	PHP 10,000,000,000
Sales turnover:	PHP 32,017,989,601 (12 months, 31/12/2010)
Main activities:	Distributor of healthcare products.
Employees:	2,500
REGISTRY DATA
Key Facts
Date registered:	08-10-1953
Legal form:	Joint Stock Company
Registration no:	0000008205
Registry auth.	Philippines Register of Companies
Fiscal/tax code:	000-063-471
Registry status:	Live/Active

CREDIT RECOMENDATION

Current Credit Limit: PHP 50,000,000

Financial Rating

Satisfactory

• Profitability ratios satisfactory but decreasing

• Liquidity ratios excellent and increasing

• Efficiency ratios satisfactory but decreasing

• Debt ratios satisfactory and decreasing

Analysis

· Organisational structure is consistent

· Management is adequately experienced

· No detrimental found

· Financial performance is excellent

· Operational trend is steady

· No payment delays noted

DIRECTORS/MANAGEMENT

MANAGEMENT & STAFF
Key Managers
Name:	Jocelyn Campos Hess
Job Title:	Chairman

Name:	Clinton Andrew Hess
Job Title:	Vice Chairman

Name:	Mariano John L .Tan Jr
Job Title:	Vice Chairman

Name:	Andres B. Sta Maria
Job Title:	Director

Name:	Richard C. Dee
Job Title:	Director

Name:	Benjamin W. Yap
Job Title:	Chief Operating Officer

Name:	Joselito G. Diga
Job Title:	Chief Financial Officer

Name:	Marievic G. Ramos- Anonuevo
Job Title:	Company Secretary

Name:	Gil A. Santos
Job Title:	Treasurer

Name:	Benedicto P. Panigbatan
Job Title:	Assistant Company Secretary

Name:	Luis R. Ladrera
Job Title:	Assistant Company Secretary

Name:	Miss Angeli Buccat
Job Title:	Information Assistant

Key Advisors
Auditor:	SENTURIAS, JIMENEZ & COMPANY Certified Public Accountants

Staff
No of employees	2,500


BOARD OF DIRECTORS / OTHER APPOINTMENTS
Appointments
Name:	Jocelyn Campos Hess
Board function:	Chairman
ID Number:	148-584-152
Address:	66 United Street Mandaluyong City Philippines

Name:	Clinton Andrew Hess
Board function:	Vice Chairman
ID Number:	214-858-105
Address:	66 United Street Mandaluyong City Philippines

Name:	Mariano John L .Tan Jr
Board function:	Vice Chairman
ID Number:	128-442-060
Address:	66 United Street Mandaluyong City Philippines

Name:	Andres B. Sta Maria
Board function:	Director
ID Number:	106-214-861
Address:	105 Paseo de Roxas, Makati City Philippines

Name:	Richard C. Dee
Board function:	Director
ID Number:	128-429-770
Address:	66 United Street Mandaluyong City Philippines

Name:	Benjamin W. Yap
Board function:	Chief Operating Officer
ID Number:	128-443-802
Address:	66 United Street Mandaluyong City Philippines

Name:	Joselito G. Diga
Board function:	Chief Financial Officer
ID Number:	110-854-759
Address:	66 United Street Mandaluyong City Philippines

Name:	Marievic G. Ramos- Anonuevo
Board function:	Company Secretary
ID Number:	116-283-640
Address:	105 Paseo de Roxas, Makati City Philippines

Name:	Gil A. Santos
Board function:	Treasurer
ID Number:	128-440-939
Address:	66 United Street Mandaluyong City Philippines

Name:	Benedicto P. Panigbatan
Board function:	Assistant Company Secretary
ID Number:	911-615-380
Address:	105 Paseo de Roxas, Makati City Philippines

Name:	Luis R. Ladrera
Board function:	Assistant Company Secretary
ID Number:	133-939-872
Address:	105 Paseo de Roxas, Makati City Philippines

NEGATIVE INFORMATION

LEGAL FILINGS

Bankruptcy Filings:	None
Court Judgements:	None
Tax Liens:	None
Other:	None

SHARE & SHARE CAPITAL INFORMATION

SHARE CAPITAL
Composition
Authorised:	PHP 10,000,000,000
Number/type:	80,000,000 common shares, 80,000,000 organizer shares
Share value:	PHP 25 (organizer shares), PHP 100 (common shares)
Issued:	PHP 5,688,557,800
Paid-up:	PHP 5,688,557,800


Shareholders/Owners

How Listed	Full List

Composition
Name:	DYNAVISION DEV INV CORP
No. of shares:	28,025,371 shares
Address:	66 United Street Mandaluyong City Philippines

Name:	ACTIVE RESEARCH & MGT CORP
No. of shares:	9,946,342 shares
Address:	750 Shaw Boulevard, Mandaluyong City Philippines

Name:	NORTHWEST MARINE DRIVE CO LTD
No. of shares:	8,815,558 shares
Address:	Philippines

Name:	DSO INVESTMENT MGT CORP
No. of shares:	7,306,050 shares
Address:	Philippines

Name:	TREASURY SHARES
No. of shares:	2,727,600 shares

Name:	ULTRA RESOURCES HOLDINGS INC
No. of shares:	1,517,939 shares
Address:	66 United Street Mandaluyong City Philippines

Name:	DOLMAR REAL EST DEV CORP
No. of shares:	1,373,809 shares
Address:	56 EDSA, Mandaluyong City Philippines

Name:	NARRA PRINCETON HOLDINGS LIMITED
No. of shares:	757,604 shares
Address:	Makati City Philippines

Name:	RAINBOW REAL EST CORP
No. of shares:	343,186 shares
Address:	66 United Street Mandaluyong City Philippines

Name:	Joselito D. Campos Jr
No. of shares:	2,187 shares
Address:	66 United Street Mandaluyong City Philippines

Name:	Jocelyn Campos Hess
No. of shares:	2,187 shares
Address:	66 United Street Mandaluyong City Philippines

Name:	Jeffrey D. Campos
No. of shares:	2,187 shares
Address:	66 United Street Mandaluyong City Philippines

Name:	Howard Q. Dee
No. of shares:	738 shares
Address:	66 United Street Mandaluyong City Philippines

Name:	Mariano K. Tan
No. of shares:	257 shares
Address:	66 United Street Mandaluyong City Philippines

Name:	Gil A . Santos
No. of shares:	1 shares
Address:	66 United Street Mandaluyong City Philippines

Name:	Richard C. Dee
No. of shares:	1 shares
Address:	66 United Street Mandaluyong City Philippines

Name:	Mariano John L .Tan Jr
No. of shares:	1 shares
Address:	66 United Street Mandaluyong City Philippines

Name:	Benjamin W.Yap
No. of shares:	1 shares
Address:	66 United Street Mandaluyong City Philippines

Name:	Clinton Andrew Hess
No. of shares:	1 shares
Address:	66 United Street Mandaluyong City Philippines

Name:	Andres B. Sta Maria
No. of shares:	1 shares
Address:	105 Paseo de Roxas, Makati City Philippines

PAYMENT INFORMATION

PAYMENTS
Purchase Terms
Local:	Cash Credits 14-30 days
Imports:	L/Cs Credits 30 days net

Sales Terms
Local:	Cash Credits 14-30 days
Exports:	L/Cs Credits 30 days net

Debt Collections / Judgements	No negative information was found.

Payment Experience
Payment Behaviour:	As trade references were not supplied, the Subject's payment track record history CANNOT BE ACCURATELY DETERMINED, but payments are believed to be PROMPT.

GROUP STRUCTURE & AFFILIATED COMPANIES

CORPORATE AFFILIATIONS
Structure
Name:	ACTIVE RESEARCH & MGT CORP
Affiliation type:	Shareholder
Address:	750 Shaw Boulevard, Mandaluyong City Philippines

Name:	DOLMAR REAL EST DEV CORP
Affiliation type:	Shareholder
Address:	56 EDSA, Mandaluyong City Philippines

Name:	DSO INVESTMENT MGT CORP
Affiliation type:	Shareholder
Address:	Philippines

Name:	DYNAVISION DEV INV CORP
Affiliation type:	Shareholder
Address:	66 United Street Mandaluyong City Philippines

Name:	NARRA PRINCETON HOLDINGS LIMITED
Affiliation type:	Shareholder
Address:	Makati City Philippines

Name:	NORTHWEST MARINE DRIVE CO LTD
Affiliation type:	Shareholder
Address:	Philippines

Name:	RAINBOW REAL EST CORP
Affiliation type:	Shareholder
Address:	66 United Street Mandaluyong City Philippines

Name:	ULTRA RESOURCES HOLDINGS INC
Affiliation type:	Shareholder
Address:	66 United Street Mandaluyong City Philippines

Name:	AMHERST LABORATORIES, INC
Affiliation type:	Wholly-owned Subsidiary
Address:	Philippines
Comment:	Amherst Laboratories, Inc.(ALI) is registered with the BOl as New Producer of Pharmaceutical Products (Essential Drugs) on a Pioneer Status under the Omnibus Investment Code of 1987 (Executive Order No.226)

Name:	ASIAN ANTIBIOTICS,INC
Affiliation type:	Wholly-owned Subsidiary
Address:	Philippines
Comment:	Principal Activities : Pharmaceutical

Name:	BIOFEMME, INC
Affiliation type:	Wholly-owned Subsidiary
Address:	Philippines
Comment:	Principal Activities : Pharmaceutical

Name:	EXCELCORP, INC
Affiliation type:	Wholly-owned Subsidiary
Address:	Philippines
Comment:	EXCELCORP is a holding company with two major subsidiaries namely Amherst Parentals, Inc (API) and Natural Solutions, Inc (NWI). Principal Activities: Holding Company

Name:	FIRST PIONEER DISTRIBUTION, INC
Affiliation type:	Wholly-owned Subsidiary
Address:	Philippines
Comment:	Principal Activities : Distribution

Name:	INNOVITELLE, INC
Affiliation type:	Wholly-owned Subsidiary
Address:	Philippines
Comment:	Principal Activities : Pharmaceutical

Name:	MEDICHEM PHARMACEUTICAL, INC
Affiliation type:	Wholly-owned Subsidiary
Address:	Philippines
Comment:	Principal Activities : Pharmaceutical

Name:	PEDIATRICA, INC
Affiliation type:	Wholly-owned Subsidiary
Address:	Philippines
Comment:	Principal Activities : Pharmaceutical

Comments	Other companies of the UNITED LABORATORIES INC. should also be considered as affiliates of the Subject. A list of major affiliated companies is attached to this report.

FINANCIAL INFORMATION

FINANCIAL ACCOUNTS
Description
Required to file:	Yes
Source:	Commercial Registry Filings
Presentation:	Attached to this report / Summarised below
Date of accounts:	31-12-2010
Type of accounts:	Full audited
Currency:	Philippines Peso (PHP)
Exchange rate:	USD 1 = PHP 42.39 as of 20-09-2011

Summarised
	31-12-2010	31-12-2009
Period:	12 months	12 months

Sales turnover:	32,017,989,601	30,347,178,277
Gross profit:	18,410,190,120	18,493,405,431
Profit before tax:	4,004,291,681	3,888,126,220
Profit after tax:	3,134,235,339	2,967,528,945
Non-current assets:	14,318,616,292	13,364,078,407
Current assets:	26,632,196,656	24,627,622,155
Inventories:	6,645,638,847	5,986,723,618
Total assets:	40,950,812,948	37,991,700,562
Current liabilities:	7,032,269,256	7,298,546,248
Non-current liabilities:	4,045,341,137	3,922,017,970
Total liabilities:	11,077,610,393	11,220,564,218
Shareholders' equity:	29,873,202,555	26,771,136,344

Financial Ratios
	31-12-2010	31-12-2009	Trend
PROFITABILITY [%]
Gross Margin	57.5%	60.94%	-5.64 %
Gross Profit / Revenue * 100
Operating Margin	N/A	N/A	N/A
Operating Income / Revenue * 100
Net Profit Margin	9.79%	9.78%	0.1 %
Profit After Tax / Revenue * 100
Return On Equity (ROE)	10.49%	11.08%	-5.32 %
Profit After Tax / Equity * 100
Return On Assets (ROA)	7.65%	7.81%	-2.05 %
Profit After Tax / Total Assets * 100
Return On Investment (ROI)	13.4%	14.52%	-7.71 %
Profit Before Tax / Equity * 100
EFFICIENCY [%]
Asset Turnover	78.19%	79.88%	-2.12 %
Revenue / Total Assets * 100
Inventory Turnover	481.79%	506.91%	-4.96 %
Revenue ./ Inventory * 100
LIQUIDITY [%]
Current Ratio (CR)	378.71%	337.43%	12.23 %
Current Assets ./ Current Liabilities * 100
Quick Ratio (QR)	284.21%	255.41%	11.28 %
(Current Assets – Inventory) ./ Current Liabilities * 100
DEBT [%]
Debt Ratio	27.05%	29.53%	-8.4 %
Total Liabilities ./ Total Assets * 100
Long-Term Debt Ratio	13.54%	14.65%	-7.58 %
Long-Term Liabilities ./ Equity * 100

FOREIGN EXCHANGE RATES

Exchange rate:

USD 1 = PHP 42.39 as of 20-09-2011

ADDITIONAL INFORMATION

OPERATIONS & HISTORY
Activities
Full description:	The Subject is engaged in as a healthcare company in providing quality and affordable healthcare products and services. The Subject also engaged in the manufacture and sale of pharmaceutical such as vitamins, antibiotics and etc.
Products/services:	Health Tools : Calorie Burn Rate Depression Quiz Mobility Check Waist-to-Hip Ratio Body Mass Index Hydration Calculator Pace Calculator Brain Booster Food Intake Air Purity At Home Energy Level

Purchases
Import:	Japan United States Europe

Sales
Local:	Yes
Export:	Hong Kong Indonesia Malaysia Vietnam

History	Starting out as a small drugstore in 1945 post-war Manila, UNILAB provided quality medicines at prices within the reach of the community. Today, UNILAB develops, manufactures, and markets over 300 prescription, over-the-counter, and personal care brands covering the major therapeutic categories from common illnesses, like cough, colds, pain, allergy, and fever, to diseases like hypertension, high cholesterol, diabetes, asthma, infections, tuberculosis, ulcer, anaemia, and cancer. Aside from the Philippines, UNILAB operates in ten other countries in Southeast Asia: China, Hong Kong, Indonesia, Laos, Malaysia, Myanmar, Singapore, Sri Lanka, Thailand, and Vietnam. The major UNILAB manufacturing complex in Metro Manila has been cited by international health organizations as one of the finest in Asia.
PROPERTY & ASSETS

Premises	The Subject operates from premises located at the heading address, consisting of a manufacturing complex, a warehouse and administrative offices.

Branches	The Company operates also from offices located at China, Hong Kong, Indonesia, Laos, Malaysia, Myanmar, Singapore, Sri Lanka, Thailand, and Vietnam

BANKING & FINANCING
Bankers
Bank name:	BANK OF THE PHILIPPINE ISLANDS
Address:	Philippines
Relationship type:	Current Account

Bank name:	CITIBANK
Address:	Philippines
Relationship type:	Current Account

Bank name:	PHILIPPINE COMMERCIAL INTERNATIONAL BANK
Address:	Philippines
Relationship type:	Current Account

Comments	It is generally not the policy of local banks to provide credit status information to non-bona fide applications, and interested parties would be advised to consult first with the Subject if banker's references are required.

NOTES & COMMENTS

INVESTIGATIVE NOTES

Interviews and material provided by the Subject

Other official and local business sources

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.48.93
UK Pound	1	Rs.76.52
Euro	1	Rs.66.65

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.