MIRA INFORM REPORT

Report Date :

10.10.2011

IDENTIFICATION DETAILS

Name :	ZHENJIANG DINGSHENG ALUMINIUM INDUSTRIES JOINT-STOCK LIMITED COMPANY

Registered Office :	Dongshi Village, Yanjiang Highway, Jingkou Science & Technology Industries Area, Zhenjiang, Jiangsu Province 212006 Pr

Country :	China

Financials (as on) :	31.12.2010

Date of Incorporation :	12.08.2003

Com. Reg. No.:	321100000026664

Legal Form :	Shares Limited Company

Line of Business :	Processing, Manufacturing and Selling Aluminium Materials

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 :	USD 5,000,000

Status :	Satisfactory

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)

China

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

Company name & address

Zhenjiang Dingsheng Aluminium Industries Joint-stock Limited Company

DONGSHI VILLAGE, YANJIANG HIGHWAY, JINGKOU SCIENCE & TECHNOLOGY INDUSTRIES AREA, ZHENJIANG, JIANGSU PROVINCE 212006 PR CHINA.

TEL: 86 (0) 511-83331195/83323788

FAX: 86 (0) 511-83327498

EXECUTIVE SUMMARY

Date of Registration : august 12, 2003

REGISTRATION NO. : 321100000026664

LEGAL FORM : SHARES LIMITED COMPANY

CHIEF EXECUTIVE : zhou xianhai (LEGAL REPRESENTATIVE)

REGISTERED CAPITAL : CNY 322,000,000

staff : 1,800

BUSINESS CATEGORY : manufacturing

Revenue : CNY 3,440,860,000 (AS OF DEC. 31, 2010)

EQUITIES : CNY 1,041,180,000 (AS OF DEC. 31, 2010)

WEBSITE : www.dingshenggroup.com

E-MAIL : jie.xu@dingshenggroup.com

PAYMENT : AVERAGE

Recommended Credit Limit: UP TO USD 5,000,000 (PERIODICAL REVIEW)

MARKET CONDITION : COMPETITIVE

FINANCIAL CONDITION : FAIRly stable

OPERATIONAL TREND : STEADY

GENERAL REPUTATION : fairly good

EXCHANGE RATE : CNY 6.38 = USD 1

Adopted abbreviations

(as follows)

SC - Subject Company (the company inquired by you)

N/A – Not available

CNY – China Yuan Ren Min Bi

OPERATIONAL TREND & GENERAL REPUTATION

This section aims at indicating the relative positions of SC in respect of its operational trend & general reputation

Operational Trend:- General Reputation:-

Upward Excellent

Steady Good

Fairly Steady Fairly Good

Ordinary Average

Fair Fair

Stagnant Detrimental

Downward Not known

Not known Not yet be determined

Not yet be determined

LEGAL STATUS & HISTORY

***Note: SC is also known as Zhenjiang Dingsheng Aluminum Stock Co., Ltd.

SC was established as a limited liabilities company of PRC on August 12, 2003. However, SC changed to present legal form, and was registered as a shares limited company of PRC with State Administration for Industry & Commerce (SAIC) under registration No.: 321100000026664 in July 2008.

SC’s Organization Code Certificate No.: 75321015-X

SC’s registered capital: CNY 322,000,000

SC’s paid-in capital: CNY 322,000,000

Registration Change Record:

Date	Change of Contents	Before the change	After the change
2008-7	Company Name	Zhenjiang Dingsheng Aluminium Industries Co., Ltd.	Zhenjiang Dingsheng Aluminium Stock Co., Ltd.
2008-7	Legal Form	Limited liabilities company	Shares limited co.
2007-12	Registered Capital	CNY 170,000,000	CNY 262,000,000
--	Registration No.	3211002604455	321100000026664
--	Shareholder (s) (% of Shareholding)	Hangzhou Dingsheng Industrial Co., Ltd.72.1% Jiangsu Changfa Industrial Group Co., Ltd. 0.3% Wang Xiaoli 3.5% Zhou Xianhai24.1%	Hangzhou Dingsheng Industrial Group Co., Ltd. 51.64% Tianma Holding Group Co., Ltd. 2.77% Shanghai Baoying Assets Management Co., Ltd. 1.15% Shanghai Dehui Venture Investment Co., Ltd. 1.72% Jiangsu Winfast Investment & Development Co., Ltd. 1.91% Zhou Xianhai 17.21% Gu Youxia 2.09% Chen Liming 1.85% Other 40 individuals 19.66%
2010	Registered Capital	CNY 262,000,000	CNY 322,000,000
2010	Shareholder (s) (% of Shareholding)	Hangzhou Dingsheng Industrial Group Co., Ltd. 51.64% Tianma Holding Group Co., Ltd. 2.77% Shanghai Baoying Assets Management Co., Ltd. 1.15% Shanghai Dehui Venture Investment Co., Ltd. 1.72% Jiangsu Winfast Investment & Development Co., Ltd. 1.91% Zhou Xianhai 17.21% Gu Youxia 2.09% Chen Liming 1.85% Other 40 individuals 19.66%	Hangzhou Dingsheng Industrial Group Co., Ltd. 42.02% Tianma Holding Group Co., Ltd. 2.25% Shanghai Baoying Assets Management Co., Ltd. 0.93% Shanghai Dehui Venture Investment Co., Ltd. 1.40% Jiangsu Winfast Investment & Development Co., Ltd. 1.55% Zhou Xianhai 14.01% Wang Xiaoli 2.05% Pan Jianjun 1.80% Gu Youxia 1.70% Duanmu Minhui 1.60% Chen Liming 1.50% Other 37 individuals 29.19%

Current Co search indicates SC’s shareholders & chief executives are as follows:-

Name of Shareholder (s)	% of Shareholding
Hangzhou Dingsheng Industrial Group Co., Ltd.	42.02
Tianma Holding Group Co., Ltd.	2.25
Shanghai Baoying Assets Management Co., Ltd.	0.93
Shanghai Dehui Venture Investment Co., Ltd.	1.40
Jiangsu Winfast Investment & Development Co., Ltd.	1.55
Zhou Xianhai	14.01
Wang Xiaoli	2.05
Pan Jianjun	1.80
Gu Youxia	1.70
Duanmu Minhui	1.60
Chen Liming	1.50
Other 37 individuals	29.19

SC’s Chief Executives:-

Position	Name
Legal Representative, Chairman, and General Manager	Zhou Xianhai
Director	Wang Xiaoli
	Wang Tianzhong
	He Jianwei
	Pan Yuqing
	Yang Yibing
	Cheng Xiaonong
	Xu Wenxue
	Tao Jie
Supervisor	Gao Fengting
	Liu Jing
	Li Rongchang

RECENT DEVELOPMENT

SC has got the certificate ISO9001.

SHAREHOLDER CHART & BACKGROUND

Name % of Shareholding

Hangzhou Dingsheng Industrial Group Co., Ltd. 42.02

Tianma Holding Group Co., Ltd. 2.25

Shanghai Baoying Assets Management Co., Ltd. 0.93

Shanghai Dehui Venture Investment Co., Ltd. 1.40

Jiangsu Winfast Investment & Development Co., Ltd. 1.55

Zhou Xianhai 14.01

Wang Xiaoli 2.05

Pan Jianjun 1.80

Gu Youxia 1.70

Duanmu Minhui 1.60

Chen Liming 1.50

Other 37 individuals 29.19

Hangzhou Dingsheng Industrial Group Co., Ltd.

========================================

Registration No.: 330184000016835

Date of Registration: January 22, 2003

Legal Form: Limited Liabilities Company

Registered Capital: CNY 70,500,000

Legal Representative: Wang Tianzhong

Tianma Holding Group Co., Ltd.

=============================

Registration No.: 330105000001582

Date of Registration: February 13, 1999

Legal Form: Limited Liabilities Company

Registered Capital: CNY 77,680,000

Legal Representative: Ma Xingfa

Shanghai Baoying Assets Management Co., Ltd.

========================================

Registration No.: 310115000998529

Date of Registration: February 25, 2007

Legal Form: Limited Liabilities Company

Registered Capital: CNY 29,500,000

Legal Representative: Xiong Jun

Shanghai Dehui Venture Investment Co., Ltd.

======================================

Registration No.: 310115001021807

Date of Registration: July 2, 2007

Legal Form: Limited Liabilities Company

Registered Capital: CNY 50,000,000

Legal Representative: Xue Jiayu

Jiangsu Winfast Investment & Development Co., Ltd.

============================================

Jiangsu Winfast Investment & Development Co., Ltd. as a professional securities asset management company well-known in China was founded in July 2003 with a registered capital of CNY 50 million yuan. Investments of Jiangsu Winfast focus on capital market, stretch over three big segments of the securities circulation market (the secondary market), the market where additional corporate stock issue is tailed (the “one-half-grade” market) and the private equity investment market (venture investment and direct investment market or the primary market), thus completely covering the entire industrial chain of capital market.

MANAGEMENT

Zhou Xianhai, Legal Representative, Chairman and General Manager

------------------------------------------------------------------------------------------------------

Ø Gender: M

Ø Age: 50

Ø ID# 330107196107180616

Ø Qualification: University

Ø Working experience (s):

At present, working in SC as legal representative, chairman and general manager

Also working in Hangzhou Dingcheng Aluminium Co., Ltd., Hangzhou Dingfu Aluminium Co., Ltd. and Hangzhou Wuxing Aluminium Co., Ltd. as legal representative

Director

-----------

Wang Xiaoli ID# 330107196207020329

Wang Tianzhong ID# 330107195907020317

He Jianwei ID# 230108196112300435

Pan Yuqing ID# 132430196309116158

Yang Yibing ID# 130302196410111877

Cheng Xiaonong ID# 321102195802050437

Xu Wenxue ID# 321102196502150510

Tao Jie ID# 340104196310011570

Supervisor

--------------

Gao Fengting ID# 320302196608050411

Liu Jing ID# 321102197012211522

Li Rongchang ID# 310109197308161239

BUSINESS OPERATION

SC’s registered business scope includes deep processing, manufacturing and selling aluminium, aluminium alloy plate, aluminum tapes, rolled aluminium materials, aluminium coating materials and aluminium materials; selling electromechanical equipment; exporting its products and technology, importing machinery, parts, raw materials and technology needed in its production, excluding the items limited or prohibited by the state.

SC is mainly engaged in processing, manufacturing and selling aluminium materials.

SC’s products mainly include: aluminium sheet, aluminium cast coil, aluminium coil strip, aluminium foil, and so on.

SC sources its materials 100% from domestic market. SC sells 70% of its products in domestic market, and 30% to overseas market, mainly South Korea, Turkey, USA, Brazil, Thailand, India, and Israel.

The buying terms of SC include Check, T/T and Credit of 30-60 days. The payment terms of SC include Check, T/T, L/C and Credit of 30-60 days.

*Major Customers:

==============

Samsung

USA Fedders

Chigo

Staff & Office:

--------------------------

SC is known to have approx. 1,800 staff at present.

SC owns an area as its operating office & factory of approx. 300,000 sq. meters at the heading address.

RELATED COMPANY

SC is known to have 4 subsidiaries at present:

n Hangzhou Dingcheng Aluminium Co., Ltd.

n Hangzhou Wuxing Aluminium Co., Ltd.

n Hangzhou Dingfu Aluminium Co., Ltd.

n Hangzhou Dingsheng Imp. & Exp. Co., Ltd.

PAYMENT

Overall payment appraisal:

( ) Excellent ( ) Good (X) Average ( ) Fair ( ) Poor ( ) Not yet be determined

The appraisal serves as a reference to reveal SC's payments habits and ability to pay. It is based on the 3 weighed factors: Trade payment experience (through current enquiry with SC's suppliers), our delinquent payment and our debt collection record concerning SC.

Trade payment experience: SC did not provide any name of trade/service suppliers and we have no other sources to conduct the enquiry at present.

Delinquent payment record: None in our database.

Debt collection record: No overdue amount owed by SC was placed to us for collection within the last 6 years.

BANKING

Industrial & Commercial Bank of China Zhenjiang Branch Chengxi Sub-branch

AC#1104050009200113647

Bank of China Zhenjiang Jingkou Sub-branch

AC# 27872308091001

FINANCIALS

Balance Sheet

Unit: CNY’000	As of Dec. 31, 2009	As of Dec. 31, 2010
Cash	269,730	506,590
Accounts receivable	210,030	223,840
Advances to suppliers	0	0
Other receivable	1,290	81,960
Inventory	361,350	473,220
Non-current assets within one year	0	0
Other current assets	129,040	462,240
	------------------	------------------
Current assets	971,440	1,747,850
Fixed assets	634,430	652,150
Construction in progress	43,170	98,250
Intangible assets	0	0
Long-term investment	352,230	492,230
Deferred income tax assets	0	0
Other non-current assets	33,490	32,730
	------------------	------------------
Total assets	2,034,760	3,023,210
	=============	=============
Short-term loans	878,100	859,430
Notes payable	408,900	827,000
Accounts payable	121,930	158,390
Advances from clients	6,930	32,760
Other payable	35,310	89,070
Other current liabilities	23,620	15,380
	------------------	------------------
Current liabilities	1,474,790	1,982,030
Non-current liabilities	0	0
	------------------	------------------
Total liabilities	1,474,790	1,982,030
Equities	559,970	1,041,180
	------------------	------------------
Total liabilities & equities	2,034,760	3,023,210
	=============	=============

Income Statement

Unit: CNY’000	As of Dec. 31, 2010
Revenue	3,440,860
Cost of sales	3,086,770
Sales expense	54,180
Management expense	61,990
Finance expense	77,710
Profit before tax	149,620
Less: profit tax	25,720
Profits	123,900

Important Ratios

=============

	As of Dec. 31, 2009	As of Dec. 31, 2010
*Current ratio	0.66	0.88
*Quick ratio	0.41	0.64
*Liabilities to assets	0.72	0.66
*Net profit margin (%)	--	3.60
*Return on total assets (%)	--	4.10
*Inventory / Revenue ×365	--	51 days
*Accounts receivable/ Revenue ×365	--	24 days
* Revenue/Total assets	--	1.14
* Cost of sales / Revenue	--	0.90

FINANCIAL COMMENTS

PROFITABILITY: AVERAGE

l The revenue of SC appears fairly good in its line in 2010.

l SC’s net profit margin is average in 2010.

l SC’s return on total assets is average in 2010.

l SC’s cost of goods sold is fairly high, comparing with its revenue.

LIQUIDITY: FAIR

l The current ratio of SC is maintained in a fair level in both years.

l SC’s quick ratio is maintained in a fair level in both years.

l The inventory of SC is maintained in an average level.

l The accounts receivable of SC is maintained in an average level.

l The short-term loans of SC appear large.

l SC’s revenue is in an average level, comparing with the size of its total assets.

LEVERAGE: AVERAGE

l The debt ratio of SC is average in both years.

l The risk for SC to go bankrupt is low.

Overall financial condition of the SC: Fairly Stable.

CONCLUSIONS

SC is considered large-sized in its line with fairly stable financial conditions. The large amount of short-term loans may be a threat to SC’s financial condition. A credit line up to USD 5,000,000 is recommended upon a periodical review basis.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.49.14
UK Pound	1	Rs.75.97
Euro	1	Rs.65.99

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.

Company name & address

EXECUTIVE SUMMARY

Adopted abbreviations

OPERATIONAL TREND & GENERAL REPUTATION

LEGAL STATUS & HISTORY

RECENT DEVELOPMENT

SHAREHOLDER CHART & BACKGROUND

MANAGEMENT

BUSINESS OPERATION

RELATED COMPANY

PAYMENT

BANKING

FINANCIALS

FINANCIAL COMMENTS

CONCLUSIONS

Unit