MIRA INFORM REPORT

Report Date :

27.09.2011

IDENTIFICATION DETAILS

Name :	PETROVIETNAM ENGINEERING CONSULTANCY JOINT STOCK COMPANY
Registered Office :	G1 Thanh Da Hotel Ward 27 - Binh Thanh District - Ho Chi Minh City
Country :	Vietnam
Financials (as on) :	30.06.2011
Year of Establishment :	1998
Com. Reg. No.:	0301479273
Legal Form :	Joint Stock Company
Line of Business :	Specializing in consulting, design, construction for exploitation gas

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 :	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)
Viet Nam	B1	B1

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

SUBJECT IDENTIFICATION & LEGAL FORM

Current legal status
English Name	PETROVIETNAM ENGINEERING CONSULTANCY JOINT STOCK COMPANY
Vietnamese Name	TONG CONG TY TU VAN THIET KE DAU KHI – CONG TY CO PHAN
Trade name	PETROVIETNAM ENGINEERING CONSULTANCY JOINT STOCK COMPANY
Short name	PV ENGINEERING
Type of Business	Joint stock company
Year Established	1998
Business Registration No.	0301479273
Date of Registration	07 Mar 2011
Place of Registration	Planning and Investment Department of Hochiminh City
Current registered capital	180,000,000,000 VND
Status	Listed
Stock symbol	PVE
Stock Market	HNX
Tax code	0301479273
Total Employees	120
Size	Medium
Note: The given name “PETROVIETNAM ENGINEERING JSC” is not exactly.

Historical Identification & Legal form

List	Changed Items	Date of changes
1	Subject has got former Registered capital: 80,000,000,000 VND Changed to: 180,000,000,000 VND	15 Aug 2011
2	Subject has got former Registered English Name: PETROVIETNAM INVESMENT CONSULTANCY AND ENGINEERING JOINT STOCK COMPANY Changed to: PETROVIETNAM ENGINEERING CONSULTANCY JOINT STOCK COMPANY	15 Aug 2011
3	Subject has got former Business Registration No: 4103003829 Changed to: 0301479273	08 Mar 2011
4	Subject has got former registered capital: 35,000,000,000 VND Changed to: 80,000,000,000 VND	-
5	Subject has got former Registered Vietnamese Name: CONG TY CO PHAN TU VAN DAU TU VA THIET KE DAU KHI Changed to: TONG CONG TY TU VAN THIET KE DAU KHI – CONG TY CO PHAN	-
6	Subject has got former Abbreviated Name: PV ENGINEERING J.S.C Changed to: PV ENGINEERING	-

ADDRESSES

Registered Address
Address	G1 Thanh Da Hotel Ward 27 - Binh Thanh District - Ho Chi Minh City - Vietnam
Representative office in Ha Noi
Address	Room 304 Floor 3, MDC Building, No. 535 Kim Ma, Ngoc Khanh Ward - Ba Dinh District - Ha Noi City - Vietnam
Business Registration No.	312919
Branch in Ba Ria-Vung Tau
Address	Ward 7 Ward 7 - Ba Ria District - Ba Ria-Vung Tau Province - Vietnam
Business Registration No.	0301479273-006
Transaction Address
Address	Flr 8th, C.T Plaza, 60A Truong Son - Tan Binh District - Ho Chi Minh City - Vietnam
Telephone	(84-8) 6297 1767
Fax	(84-8) 6297 1770
Email	contact@pvengineering.com.vn
Website	www.pvengineering.com.vn
Branch in Ba Ria-Vung Tau
Address	No.35 Street 30/4, Ward 9 - Vung Tau City - Ba Ria-Vung Tau Province - Vietnam
Telephone	(84-64) 359 2926
Fax	(84-64) 383 7972

SUBSIDIARIES AND RELATED COMPANIES

PARENT COMPANY - PETROVIETNAM CONSTRUCTION JOINT STOCK CORPORATION
Business Registration	0103021423
Date of Registration	20 Dec 2007
Place of Registration	Hanoi Planning and Investment Department
Registered Capital	2,500,000,000,000 VND
Tax code	3500102365
Address	25th-CEO Building, Lot HH2-1 Me Tri Ha urban zone - Pham Hung Str. - Tu Liem District - Ha Noi City - Vietnam
Tel	(84-4) 3768 9291
Fax	(84-4) 3768 9290
Website	www.pvc.vn

DIRECTORS

1 . NAME	Mr. DO VAN THANH
Position	Chairman
Date of Birth	March 15^th, 1962
ID No.	B2479243
Issued on	21 Aug 2008
Resident	No. 49 Dinh Cong Trang Street, Tan Dinh Ward, Dist 1, Hochiminh City
Nationality	Vietnamese
2 . NAME	Mr. BUI TUAN ANH
Position	General Director
ID No.	021582954
Date of Issuance	17 Aug 2001
Place of Issuance	Police Station of HCMC
Date of Birth	05 Dec 1966
Resident	No. 84/5 Nguyen Dinh Chieu Street, DaKao Ward, Dist 1, Hochiminh City
Nationality	Vietnamese
3 . NAME	Mr. PHAM THANH MINH
Position	Deputy Director
Resident	Hochiminh City Vietnam
Nationality	Vietnamese
4 . NAME	Mr. HO KHA THINH
Position	Chief Accountant
Resident	Hochiminh City, Vietnam
Nationality	Vietnamese

BUSINESS NATURE AND ACTIVITIES

The subject is specializing in consulting, design, construction for exploitation gas

IMPORT & EXPORT ACTIVITIES

IMPORT:
· Types of products	machines, materials and equipment
· Market	Germany, Singapore, England, Thailand
EXPORT:
· Types of products	N/A

BANKERS

JOINT STOCK COMMERCIAL BANK FOR FOREIGN TRADE OF VIETNAM KY DONG BRANCH
Address	No. 13-13Bis Ky Dong Str,No.9 Ward - 3 District - Ho Chi Minh City - Vietnam
Telephone	(84-8) 3931 8956
Fax	(84-8) 3931 8953

SHAREHOLDERS

1 . NAME	Mr. DO VAN THANH
Position	Chairman
Date of Birth	March 15^th, 1962
ID No.	B2479243
Issued on	21 Aug 2008
Resident	No. 49 Dinh Cong Trang Street, Tan Dinh Ward, Dist 1, Hochiminh City
Nationality	Vietnamese
Percentage	1.02%
2. NAME	owner stated representative
Representative	Mr. DO VAN DINH, Mr. DO VAN THANH and Mr. HO KHA THINH
Percentage	73.43%
3. NAME	241 other shareholder
Percentage	25.25%

FINANCIAL DATA

BALANCE SHEET
Unit: One VND
Balance sheet date	30/06/2011
Number of weeks	26
ASSETS
A – CURRENT ASSETS	443,299,957,173
I. Cash and cash equivalents	86,936,705,381
1. Cash	86,936,705,381
2. Cash equivalents	0
II. Short-term investments	0
1. Short-term investments	0
2. Provisions for devaluation of short-term investments	0
III. Accounts receivable	297,214,562,488
1. Receivable from customers	45,025,470,540
2. Prepayments to suppliers	26,965,666,683
3. Inter-company receivable	0
4. Receivable according to the progress of construction	219,389,918,466
5. Other receivable	6,026,351,618
6. Provisions for bad debts	-192,844,819
IV. Inventories	28,323,728,631
1. Inventories	28,323,728,631
2. Provisions for devaluation of inventories	0
V. Other Current Assets	30,824,960,673
1. Short-term prepaid expenses	2,100,380,158
2. VAT to be deducted	315,702,184
3. Taxes and other accounts receivable from the State	0
4. Other current assets	28,408,878,331
B. LONG-TERM ASSETS	124,851,613,374
I. Long term account receivable	0
1. Long term account receivable from customers	0
2. Working capital in affiliates	0
3. Long-term inter-company receivable	0
4. Other long-term receivable	0
5. Provisions for bad debts from customers	0
II. Fixed assets	17,039,674,716
1. Tangible assets	12,986,654,534
- Historical costs	38,916,332,237
- Accumulated depreciation	-25,929,677,703
2. Financial leasehold assets	0
- Historical costs	0
- Accumulated depreciation	0
3. Intangible assets	4,053,020,182
- Initial costs	6,469,398,178
- Accumulated amortization	-2,416,377,996
4. Construction-in-progress	0
III. Investment property	0
Historical costs	0
Accumulated depreciation	0
IV. Long-term investments	106,197,066,820
1. Investments in affiliates	0
2. Investments in business concerns and joint ventures	0
3. Other long-term investments	106,197,066,820
4. Provisions for devaluation of long-term investments	0
V. Other long-term assets	1,614,871,838
1. Long-term prepaid expenses	1,614,871,838
2. Deferred income tax assets	0
3. Other long-term assets	0
TOTAL ASSETS	568,151,570,547
LIABILITIES
A- LIABILITIES	336,776,154,809
I. Current liabilities	330,743,025,641
1. Short-term debts and loans	4,051,839,954
2. Payable to suppliers	31,027,503,999
3. Advances from customers	52,015,983,934
4. Taxes and other obligations to the State Budget	7,166,140,098
5. Payable to employees	35,176,952,393
6. Accrued expenses	170,703,758,341
7. Inter-company payable	2,965,805,569
8. Payable according to the progress of construction contracts	0
9. Other payable	16,179,662,789
10. Provisions for short-term accounts payable	11,455,378,564
II. Long-Term Liabilities	6,033,129,168
1. Long-term accounts payable to suppliers	137,050,000
2. Long-term inter-company payable	5,000,000,000
3. Other long-term payable	896,079,168
4. Long-term debts and loans	0
5. Deferred income tax payable	0
6. Provisions for unemployment allowances	0
7. Provisions for long-term accounts payable	0
B- OWNER’S EQUITY	216,304,108,145
I. OWNER’S EQUITY	216,304,108,145
1. Capital	180,000,000,000
2. Share premiums	321,888,415
3. Other sources of capital	1,600,295,812
4. Treasury stocks	0
5. Differences on asset revaluation	0
6. Foreign exchange differences	171,889,908
7. Business promotion fund	5,902,424,923
8. Financial reserved fund	4,892,901,528
9. Other funds	0
10. Retained earnings	23,414,707,559
11. Construction investment fund	0
II. Other sources and funds	0
1. Bonus and welfare funds	0
2. Sources of expenditure	0
3. Fund to form fixed assets	0
MINORITY’S INTEREST	15,071,307,593
TOTAL LIABILITIES AND OWNER’S EQUITY	568,151,570,547

PROFIT & LOSS STATEMENT
Description	6 months 2011
1. Total Sale	313,083,310,706
2. Deduction item	1,000,592,677
3. Net revenue	312,082,718,029
4. Costs of goods sold	265,796,513,705
5. Gross profit	46,286,204,324
6. Financial income	5,030,842,865
7. Financial expenses	159,171,381
- In which: Loan interest expenses	142,753,015
8. Selling expenses	0
9. Administrative overheads	23,269,884,026
10. Net operating profit	27,887,991,782
11. Other income	3,883,010,595
12. Other expenses	151,559,089
13. Other profit /(loss)	3,731,451,506
14. Total accounting profit before tax	31,619,443,288
15. Current corporate income tax	7,922,856,284
16. Deferred corporate income tax	0
18. Profit after tax	23,696,587,004

FINANCIAL RATIOS AND AVERAGE INDUSTRY RATIOS
Description	6 moths 2011
Current liquidity ratio	1.34
Quick liquidity ratio	1.25
Inventory circle	9.38
Average receive period	347.61
Utilizing asset performance	0.55
Liability by total asset	59.28
Liability by owner equity	155.70
Ebit / Total asset (ROA)	5.59
Ebit / Owner's equity (ROE)	14.68
Ebit / Total revenue (NPM)	10.15
Gross profit / Total revenue (GPM)	14.78

BALANCE SHEET
Unit: One VND
Balance sheet date	31/12/2010	31/12/2009
Number of weeks	52	52
ASSETS
A – CURRENT ASSETS	281,279,000,000	196,551,000,000
I. Cash and cash equivalents	101,565,000,000	42,270,000,000
1. Cash	101,565,000,000	42,270,000,000
2. Cash equivalents	0	0
II. Short-term investments	0	6,034,000,000
1. Short-term investments	0	6,034,000,000
2. Provisions for devaluation of short-term investments	0	0
III. Accounts receivable	135,430,000,000	59,216,000,000
1. Receivable from customers	11,520,000,000	17,940,000,000
2. Prepayments to suppliers	10,736,000,000	1,965,000,000
3. Inter-company receivable	0	0
4. Receivable according to the progress of construction	108,938,000,000	34,796,000,000
5. Other receivable	4,277,000,000	4,943,000,000
6. Provisions for bad debts	-41,000,000	-428,000,000
IV. Inventories	30,436,000,000	78,788,000,000
1. Inventories	30,436,000,000	78,788,000,000
2. Provisions for devaluation of inventories	0	0
V. Other Current Assets	13,848,000,000	10,243,000,000
1. Short-term prepaid expenses	1,203,000,000	403,000,000
2. VAT to be deducted	1,757,000,000	3,288,000,000
3. Taxes and other accounts receivable from the State	0	0
4. Other current assets	10,888,000,000	6,552,000,000
B. LONG-TERM ASSETS	94,843,000,000	42,244,000,000
I. Long term account receivable	0	0
1. Long term account receivable from customers	0	0
2. Working capital in affiliates	0	0
3. Long-term inter-company receivable	0	0
4. Other long-term receivable	0	0
5. Provisions for bad debts from customers	0	0
II. Fixed assets	11,666,000,000	10,010,000,000
1. Tangible assets	7,605,000,000	7,445,000,000
- Historical costs	33,235,000,000	30,206,000,000
- Accumulated depreciation	-25,630,000,000	-22,761,000,000
2. Financial leasehold assets	0	0
- Historical costs	0	0
- Accumulated depreciation	0	0
3. Intangible assets	4,061,000,000	2,512,000,000
- Initial costs	6,084,000,000	3,916,000,000
- Accumulated amortization	-2,023,000,000	-1,404,000,000
4. Construction-in-progress	0	53,000,000
III. Investment property	0	0
Historical costs	0	0
Accumulated depreciation	0	0
IV. Long-term investments	77,436,000,000	27,611,000,000
1. Investments in affiliates	0	0
2. Investments in business concerns and joint ventures	0	0
3. Other long-term investments	77,436,000,000	27,611,000,000
4. Provisions for devaluation of long-term investments	0	0
V. Other long-term assets	5,741,000,000	4,623,000,000
1. Long-term prepaid expenses	1,155,000,000	1,298,000,000
2. Deferred income tax assets	0	0
3. Other long-term assets	4,586,000,000	3,325,000,000
TOTAL ASSETS	376,122,000,000	238,795,000,000
LIABILITIES
A- LIABILITIES	275,194,000,000	136,140,000,000
I. Current liabilities	269,992,000,000	130,880,000,000
1. Short-term debts and loans	0	0
2. Payable to suppliers	24,125,000,000	22,089,000,000
3. Advances from customers	66,146,000,000	42,241,000,000
4. Taxes and other obligations to the State Budget	3,767,000,000	3,061,000,000
5. Payable to employees	40,150,000,000	19,637,000,000
6. Accrued expenses	92,533,000,000	17,933,000,000
7. Inter-company payable	0	0
8. Payable according to the progress of construction contracts	0	0
9. Other payable	28,060,000,000	19,224,000,000
10. Provisions for short-term accounts payable	15,211,000,000	6,695,000,000
II. Long-Term Liabilities	5,202,000,000	5,260,000,000
1. Long-term accounts payable to suppliers	0	0
2. Long-term inter-company payable	0	0
3. Other long-term payable	137,000,000	137,000,000
4. Long-term debts and loans	5,000,000,000	0
5. Deferred income tax payable	0	5,000,000,000
6. Provisions for unemployment allowances	65,000,000	123,000,000
7. Provisions for long-term accounts payable	0	0
B- OWNER’S EQUITY	100,928,000,000	102,655,000,000
I. OWNER’S EQUITY	100,928,000,000	100,871,000,000
1. Capital	80,000,000,000	80,000,000,000
2. Share premiums	354,000,000	0
3. Other sources of capital	1,600,000,000	1,600,000,000
4. Treasury stocks	0	-1,224,000,000
5. Differences on asset revaluation	0	0
6. Foreign exchange differences	0	-30,000,000
7. Business promotion fund	4,751,000,000	3,246,000,000
8. Financial reserved fund	3,741,000,000	2,237,000,000
9. Other funds	9,000,000	0
10. Retained earnings	10,473,000,000	15,042,000,000
11. Construction investment fund	0	0
II. Other sources and funds	0	1,784,000,000
1. Bonus and welfare funds	0	1,784,000,000
2. Sources of expenditure	0	0
3. Fund to form fixed assets	0	0
MINORITY’S INTEREST	0	0
TOTAL LIABILITIES AND OWNER’S EQUITY	376,122,000,000	238,795,000,000

PROFIT & LOSS STATEMENT
Description	FY2010	FY2009
1. Total Sale	405,049,000,000	301,748,000,000
2. Deduction item	0	6,000,000
3. Net revenue	405,049,000,000	301,742,000,000
4. Costs of goods sold	349,055,000,000	260,869,000,000
5. Gross profit	55,994,000,000	40,873,000,000
6. Financial income	3,911,000,000	5,649,000,000
7. Financial expenses	964,000,000	1,398,000,000
- In which: Loan interest expenses	902,000,000	-
8. Selling expenses	0	0
9. Administrative overheads	39,433,000,000	28,549,000,000
10. Net operating profit	19,508,000,000	16,575,000,000
11. Other income	6,783,000,000	1,444,000,000
12. Other expenses	523,000,000	475,000,000
13. Other profit /(loss)	6,260,000,000	969,000,000
14. Total accounting profit before tax	25,768,000,000	17,544,000,000
15. Current corporate income tax	4,495,000,000	2,829,000,000
16. Deferred corporate income tax	0	0
18. Profit after tax	21,273,000,000	14,715,000,000

FINANCIAL RATIOS AND AVERAGE INDUSTRY RATIOS
Description	FY2010	FY2009	Average Industry
Current liquidity ratio	1.04	1.50	1.94
Quick liquidity ratio	0.93	0.90	0.98
Inventory circle	6.39	3.31	9.29
Average receive period	122.04	71.63	54.01
Utilizing asset performance	1.08	1.26	2.21
Liability by total asset	73.17	57.01	58.72
Liability by owner equity	272.66	132.62	256.76
Ebit / Total asset (ROA)	7.09	7.35	7.90
Ebit / Owner's equity (ROE)	26.42	17.09	25.68
Ebit / Total revenue (NPM)	6.58	5.81	4.18
Gross profit / Total revenue (GPM)	13.82	13.55	15.30

PAYMENT HISTORY & PERFORMANCE EXPERIENCES

Trade Morality	Good
Liquidity	Medium
Payment status	Average
Financial Situation	Above Average
Development trend	Positive
Litigation data	No Record
Bankruptcy	No Record
Sale Methods	Distributor
Public opinion	Well-known

INTERPRETATION ON THE SCORES

Formerly, the subject was established in 1998 and called Petrovietnam Investment Consultance and Construction Company (PVICCC) - a subsidiary of Petrovietnam. In 2002, it was renamed Petrovietnam Engineering company (PV Engineering). In 2005, the subject finished the equitization and became joint stock type of company with the new name PETROVIETNAM INVESTMENT CONSULTANCY AND ENGINEERING JOINT STOCK COMPANY. On 15 Aug 2011, the subject changed name to PETROVIETNAM ENGINEERING CONSULTANCY JOINT STOCK COMPANY and increased the registered capital from 80 billion VND to 180 billion VND.
The subject is specializing in consulting, design, construction for exploitation gas. The subject has project references such as Thi Vai LPG pipeline, jetties and terminal, Phu My - Ho Chi Minh Gas Pipeline, Rang Dong - Bach Ho offshore Pipeline, PM3 - Ca Mau Gas Pipeline, Phu My - Ho Chi Minh Gas Pipeline (modified)…
The subject has imported machines and materials from Germany, Singapore, England and Thailand. This subject had long history of construction and development as well as achieved many remarkable projects in petrol consultancy field. After equitization in year 2005, this subject has redesigned structures and set out the motto to become one of the leading companies in Vietnam specialized in investment consultancy, engineering and supply of EPC or partial services in oil and gas industry field. And year 2008 was a milestone of this subject when it launched IPO via HNX. Up to now, petrol is also a monopolistic industry in Vietnam not except consultancy services respect to operations of petrol industry. So, this subject possessed a lot of advantages doing business for a long time and being supported strongly from Petrol Corporation and local government.
According to the financial data, this subject has quite healthy business situation with increasing sharply in revenue and profit after tax each year. So, this subject has no difficulty to meet with the given inquiry.

------------ APPENDIXES ----------

INDUSTRY DATA
Industry code	Growth speed by price compared with 1994 (%)		Total enterprises 2009		Total employees 2010 (Thous.pers.)	Annual average capital of enterprises 2009 (billion dongs)
	2010	2009
Agriculture, Forestry and Fishing	2.78	1.82	8,749		23,896.3	81,559
Industry and Construction	7.70	5.52	85,115		10,630	2,751,975
Trade and Services	7.52	6.63	154,978		14,522	4,939,069
ECONOMIC INDICATORS
			2010	2009		2008
Population (Million person)			86.93	86.02		86.1
Gross Domestic Products (US$ billion)			102.2	91		84.9
GDP Growth (%)			6.78	5.32		6.2
GDP Per Capita (US$)			1,160	1,080		1,040
Inflation (% Change in Composite CPI)			11.75	6.88		24.4
SERVICE TRADE PERFORMANCE
Billion USD			2010	2009		2008
Exports			72.2	57.1		62.7
Imports			84.8	69.9		80.7
Trade Balance			-12.6	-12.8		-18

Source: General Statistics Office

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.49.62
UK Pound	1	Rs.76.68
Euro	1	Rs.66.47

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.