MIRA INFORM REPORT

Report Date :

16.04.2012

IDENTIFICATION DETAILS

Name :	NAM VIET TRADING LIMITED COMPANY
Registered Office :	No. 83 Bach Dang Street - Ha Ly Ward , Hong Bang District, Hai Phong City
Country :	Vietnam
Financials (as on) :	31.12.2010
Year of Establishment :	2007
Com. Reg. No.:	0200741333
Legal Form :	Limited Liability Company
Line of Business :	producing pure water, pure ice
No. of Employees :	10

RATING & COMMENTS

MIRA’s Rating :

B

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

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 – March 31^st, 2012

Country Name	Previous Rating (31.12.2011)	Current Rating (31.03.2012)
Vietnam	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	NAM VIET TRADING LIMITED COMPANY
Vietnamese Name	CONG TY TNHH THUONG MAI NAM VIET
Short name	NAVICO
Type of Business	Limited liability company
Year Established	2007
Business Registration No.	0200741333
Date of Registration	30 Jul 2010
Place of Registration	Hai Phong Planning and Investment Department
Current registered capital	VND 6,800,000,000
Status	Unlisted
Tax code	0200741333
Total Employees	10
Size	Small
Note: The given name NAM VIET TRADING CO LTD is incorrect. The correct one is as above.

Historical Identification & Legal form

List	Changed Items	Date of changes
1	Subject has got former Board Of Director: Mr. PHAM NGOC HIEN Changed to: Mr. PHAM THE DUYEN	2010
2	Subject has got former Business registration No.: 0202005044 Changed to: 0200741333	30 Jul 2010

company ADDRESSES

Head Office
Address	No. 83 Bach Dang Street - Ha Ly Ward , Hong Bang District, Hai Phong City, Vietnam
Telephone	(84-31) 3533 666
Fax	(84-31) 3669 448
Email	navico@yahoo.com
Note: The given number phone belongs to Mr. PHAM NGOC HIEN – The subject’s former director. Currently, Mr. PHAM NGOC HIEN has not worked for the subject.

DIRECTORS

1. NAME	Mr. PHAM THE DUYEN
Position	Director
Date of Birth	15 Nov 1980
ID Number/Passport	121298934
ID Issue Date	04 Feb 2009
ID Issue Place	Bac Giang Police Station
Resident	An Duong Hamlet - An Dong Commune, An Duong District, Hai Phong City, Vietnam
Nationality	Vietnamese
Tel/Mobil phone	+84 9 7759 2640

BUSINESS NATURE AND ACTIVITIES

The subject specializes in producing pure water, pure ice.

IMPORT & EXPORT ACTIVITIES

IMPORT:

Note: Currently, the subject does not import

EXPORT:

Note: Currently, the subject does not export

BANKERS

1. PETROLIMEX GROUP COMMERCIAL JOINT STOCK BANK HAI PHONG BRANCH
Address	No.55 Dien Bien Phu, Minh Khai ward, Hong Bang District, Hai Phong City, Vietnam
Telephone	(84-31) 3569 024 /25/26/27/28
Fax	(84-31) 3569 029
2. VIETNAM PROSPERITY JOINT STOCK COMMERCIAL BANK HAI PHONG BRANCH
Address	No.31-33 Pham Ngu Lao Str, Luong Khanh Thien ward, Ngo Quyen District, Hai Phong City, Vietnam
Telephone	(84-31) 3757799/92
Fax	(84-31) 3757793

SHAREHOLDERS

1. NAME	Ms. PHAM THI QUY
ID Number/Passport	031508708
Resident	No. 30/36 Chu Van An Street - Le Loi Ward , Ngo Quyen District, Hai Phong City, Vietnam
Nationality	Vietnamese
Value of shares	VND 5,700,000,000
Percentage	83.82%
2. NAME	Mr. PHAM THE DUYEN
Position	Director
Date of Birth	15 Nov 1980
ID Number/Passport	121298934
Issued on	04 Feb 2009
Issued Place	Bac Giang Police Station
Resident	An Duong Hamlet - An Dong Commune , An Duong District, Hai Phong City, Vietnam
Mobile phone	+84 9 7759 2640
Nationality	Vietnamese
Value of shares	VND 605,000,000
Percentage	8.9%
3. NAME	Mr. DO NGOC GIANG
ID Number/Passport	162551893
Resident	Hung Nhan Hamlet - Xuan Ninh Commune , Xuan Truong District, Nam Dinh Province, Vietnam
Nationality	Vietnamese
Value of shares	VND 495,000,000
Percentage	7.28%

FINANCIAL DATA

BALANCE SHEET
Unit: One VND
Balance sheet date	31/12/2010
Number of weeks	52
ASSETS
A – CURRENT ASSETS	584,467,068
I. Cash and cash equivalents	181,911,200
1. Cash	181,911,200
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	123,203,203
1. Receivable from customers	123,203,203
2. Prepayments to suppliers	0
3. Inter-company receivable	0
4. Receivable according to the progress of construction	0
5. Other receivable	0
6. Provisions for bad debts	0
IV. Inventories	279,352,665
1. Inventories	279,352,665
2. Provisions for devaluation of inventories	0
V. Other Current Assets	0
1. Short-term prepaid expenses	0
2. VAT to be deducted	0
3. Taxes and other accounts receivable from the State	0
4. Other current assets	0
B. LONG-TERM ASSETS	4,375,711,852
I. Long term accounts 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	4,375,711,852
1. Tangible assets	2,843,711,852
- Historical costs	3,248,977,052
- Accumulated depreciation	-405,265,200
2. Financial leasehold assets	0
- Historical costs	0
- Accumulated depreciation	0
3. Intangible assets	0
- Initial costs	0
- Accumulated amortization	0
4. Construction-in-progress	1,532,000,000
III. Investment property	0
Historical costs	0
Accumulated depreciation	0
IV. Long-term investments	0
1. Investments in affiliates	0
2. Investments in business concerns and joint ventures	0
3. Other long-term investments	0
4. Provisions for devaluation of long-term investments	0
V. Other long-term assets	0
1. Long-term prepaid expenses	0
2. Deferred income tax assets	0
3. Other long-term assets	0
VI. Goodwill	0
1. Goodwill	0
TOTAL ASSETS	4,960,178,920
LIABILITIES
A- LIABILITIES	474,437,065
I. Current liabilities	474,437,065
1. Short-term debts and loans	300,000,000
2. Payable to suppliers	55,625,000
3. Advances from customers	118,812,065
4. Taxes and other obligations to the State Budget	0
5. Payable to employees	0
6. Accrued expenses	0
7. Inter-company payable	0
8. Payable according to the progress of construction contracts	0
9. Other payable	0
10. Provisions for short-term accounts payable	0
II. Long-Term Liabilities	0
1. Long-term accounts payable to suppliers	0
2. Long-term inter-company payable	0
3. Other long-term payable	0
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	4,485,741,855
I. OWNER’S EQUITY	4,485,741,855
1. Capital	2,900,000,000
2. Share premiums	0
3. Other sources of capital	664,089,855
4. Treasury stocks	0
5. Differences on asset revaluation	0
6. Foreign exchange differences	0
7. Business promotion fund	0
8. Financial reserved fund	0
9. Other funds	0
10. Retained earnings	921,652,000
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	0
TOTAL LIABILITIES AND OWNER’S EQUITY	4,960,178,920

PROFIT & LOSS STATEMENT
Description	FY2010
1. Total Sales	3,312,620,515
2. Deduction item	0
3. Net sale	3,312,620,515
4. Costs of goods sold	1,781,858,575
5. Gross profit	1,530,761,940
6. Financial income	132,012
7. Financial expenses	23,562,590
- In which: Loan interest expenses	23,562,590
8. Selling expenses	0
9. Administrative overheads	573,414,611
10. Net operating profit	933,916,751
11. Other income	0
12. Other expenses	0
13. Other profit /(loss)	0
14. Total accounting profit before tax	933,916,751
15. Current corporate income tax	233,479,188
16. Deferred corporate income tax	0
17. Interest from subsidiaries/related companies	0
18. Profit after tax	700,437,563

FINANCIAL RATIOS AND AVERAGE INDUSTRY RATIOS
Description	FY2010	Average Industry
Current liquidity ratio	1.23	1.70
Quick liquidity ratio	0.64	1.05
Inventory circle	6.38	7.68
Average receive period	13.58	37.77
Utilizing asset performance	0.67	1.72
Liability by total assets	9.56	51.74
Liability by owner's equity	10.58	145.40
Ebit / Total assets (ROA)	19.30	14.18
Ebit / Owner's equity (ROE)	21.34	31.73
Ebit / Total sale (NPM)	28.90	10.11
Gross profit / Total sale (GPM)	46.21	20.29
Note: The Average Industry was calculated by VietnamCredit based on our own statistical data

PAYMENT HISTORY & PERFORMANCE EXPERIENCES

Trade Morality	Normal
Liquidity	Low/Medium
Payment status	Normal
Financial Situation	Below Average
Development trend	Developing
Litigation data	No Record
Bankruptcy	No Record
Payment Methods	Cash, Through its bank accounts
Sale Methods	Retailer and Wholesaler
Public opinion	Normal

INTERPRETATION ON THE SCORES

NAM VIET TRADING LIMITED COMPANY was established under the former business registration No. 0202005044 granted by Hai Phong Planning and Investment Department on 22nd May 2007. Currently, the subject is operating with registered capital as VND 6.8 billion.

The subject is specialized in producing pure water, pure ice. Currently, it does not import of export. Its products are sold throughout Hai Phong City.

Now, the subject's management capability is simple with total labors as 10 employees. In which the temporally worker are dominated. Its business operation seems not busy now with humble marker share.

According to the financial statement in 2010, we found that the subject's operating was normal.. The sale and total assets was humble. In 2011, its sale and profit decreased to VND 2.8 billion and VND 0.28 billion.

In 2010 the subject's debt rate was low because of humble amount of liabilities. Its debt rate was 9.56%, so its capital structure was safe. However, with low financial leverage its operating efficiency would be reduced.

As the subject's debt ratio was high the subject's liquidity ratios was low. The subject's current liquidity was low because the current liabilities rate was high. Moreover, as it remained the considerable amount inventory, its quick liquidity ratio was poor too.

In 2010, the subject's utilizing asset performances was low. Its receivables turnover was still high because the subject applied the tighter credit policies for its customers. Its profitability was normal because its total asset turnover was low.

In general, the subject has small capital. With the current operation situation, the subject has capability to meet very small payment commitments. However, caution is till need for all normal business transaction.

APPENDIX

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)
	2011	2010
Agriculture, Forestry and Fishing	4.00	2.78	8,749		23,896.3	81,559
Industry and Construction	5.53	7.70	85,115		10,630	2,751,975
Trade and Services	6.69	7.52	154,978		14,522	4,939,069
ECONOMIC INDICATORS
			2011	2010		2009
Population (Million person)			87.84	86.93		86.02
Gross Domestic Products (USD billion)			119	102.2		91
GDP Growth (%)			5.89	6.78		5.32
GDP Per Capita (USD/person/year)			1,300	1,160		1,080
Inflation (% Change in Composite CPI)			18.58	11.75		6.88
State Budget Deficit compared with GDP (%)			4.9	5.8		6.9
SERVICE TRADE PERFORMANCE
Billion USD			2011	2010		2009
Exports			96.3	72.2		57.1
Imports			105.8	84.8		69.9
Trade Balance			-9.5	-12.6		-12.8

Source: General Statistics Office

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.51.42
UK Pound	1	Rs.81.93
Euro	1	Rs.67.67

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.