MIRA INFORM REPORT

Report Date :

19.10.2011

IDENTIFICATION DETAILS

Name :	GUANGZHOU HUADU XUANZHIYIN SPEAKER COMPONENTS FACTORY

Registered Office :	Shitang Industrial Zone, Xinhua Town, Huadu District, Guangzhou Guangdong Province 510800 Pr

Country :	China

Date of Incorporation :	25.11.2004

Com. Reg. No.:	4401212101192

Legal Form :	Sole Proprietorship Enterprise

Line of Business :	Processing speaker components.

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 :	USD 1,000
Status :	Small Company
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 – September 30, 2011

Country Name

Previous Rating

(30.06.2011)

Current Rating

(30.09.2011)

China

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

Company name and address

GUANGZHOU HUADU XUANZHIYIN SPEAKER COMPONENTS FACTORY

(TRADE NAME: KEYONE INTERNATIONAL CO., LTD.)

SHITANG INDUSTRIAL ZONE, XINHUA TOWN, HUADU DISTRICT, GUANGZHOU

GUANGDONG PROVINCE 510800 PR CHINA

TEL: 86 (0) 20-34297976

FAX: 86 (0) 20-36813067

EXECUTIVE SUMMARY

Date of Registration : november 25, 2004

REGISTRATION NO. : 4401212101192

LEGAL FORM : Sole Proprietorship enterprise

CHIEF EXECUTIVE : lin huadong (MANAGER)

REGISTERED CAPITAL : N/A

staff : 30

BUSINESS CATEGORY : processing & TRADING

Revenue : n/a

EQUITIES : n/a

WEBSITE : N/A

E-MAIL : N/A

PAYMENT : AVERAGE

Recommended Credit Limit: UP TO USD 1,000

MARKET CONDITION : fair

FINANCIAL CONDITION : n/a

OPERATIONAL TREND : ORDINARY

GENERAL REPUTATION : AVERAGE

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’s name should be the above stated one, KEYONE INTERNATIONAL CO LTD. (the given name) is SC’s related company registered in Hong Kong, and however, SC always uses this name as its trade name.

SC was established as a sole proprietorship enterprise of PRC with State Administration of Industry & Commerce (SAIC) under registration No.: 4401212101192 on November 25, 2004.

SC’s Organization Code Certificate No.: 76950704-6

No significant changes of SC have been noted in SAIC since its incorporation.

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

Investor

Lin Huadong

SC’s Chief Executives:-

Position	Name
Manager	Lin Huadong

RECENT DEVELOPMENT

No recent development was found during our checks at present.

INVESTOR

Name

Lin Huadong

The amount of Investment: CNY 50,000

MANAGEMENT

Lin Huadong , Manager

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

Ø Gender: M

Ø Qualification: University

Ø Mobile: 86 13922365960

Ø Working experience (s):

At present, working in SC as manager

BUSINESS OPERATION

SC’s registered business scope includes processing speaker components.

SC is mainly engaged in processing speaker components.

Brand: XUANYIN

SC’s products mainly include: tweeter, coaxial speaker, component speaker, etc.

SC sources its materials 100% from domestic market, mainly Guangdong. SC sells 35% of its products in domestic market, and 65% to overseas market.

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

*Major Local Competitor:

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

Guangzhou Huadu Zhenyang Speaker Components Factory

Guangzhou Huadu Shunfa Speaker Components Factory

Guangzhou Huadu Xinhua Xingjia Components Factory

Staff & Office:

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

SC is known to have approx. 30 staff at present.

SC rents an area as its operating office and factory, but the detailed information is unknown.

RELATED COMPANY

n Keyone International Co., Limited (Hong Kong)

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

Date of Registration: October 6, 2011

Registration No.: 1669812

Legal Form: Private

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

Basic Bank:

Agricultural Bank of China Guangzhou Huadu Sub-branch

AC#: 44-087101040001572

FINANCIALS

SC was registered as a sole proprietorship enterprise and it is not required to submit its financials to the local SAIC.

CONCLUSIONS

SC is considered as a small-sized company in its line with a development history of 7 years. A credit line up to USD 1,000 would appear to be within SC’s capacities.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.49.14
UK Pound	1	Rs.77.58
Euro	1	Rs.67.58

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.