MIRA INFORM REPORT

Report Date :

05.12.2012

IDENTIFICATION DETAILS

Name :	GELEXIMCO TRADING AND INVESTMENT JOINT STOCK COMPANY
Registered Office :	6th Fl, GELEXIMCO Building, No. 36 Hoang Cau street, Dong Da District, Ha Noi
Country :	Vietnam
Date of Incorporation :	23.10.2010
Reg. No.:	0104956819
Legal Form :	Joint stock company
Line of Business :	The subject trades in building materials such as cement, steel, equipments for construction field, chemicals and paper powder.
No. of Employees :	30 (Office staff)

RATING & COMMENTS

MIRA’s Rating :

Ca

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Moderate
Payment Behaviour :	Unknown
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 – June 30^th, 2012

Country Name	Previous Rating (31.03.2011)	Current Rating (30.06.2012)
Vietnam	B1	B1

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

vietnam - ECONOMIC OVERVIEW

Vietnam is a densely-populated developing country that in the last 30 years has had to recover from the ravages of war, the loss of financial support from the old Soviet Bloc, and the rigidities of a centrally-planned economy. While Vietnam's economy remains dominated by state-owned enterprises, which still produce about 40% of GDP, Vietnamese authorities have reaffirmed their commitment to economic liberalization and international integration. They have moved to implement the structural reforms needed to modernize the economy and to produce more competitive export-driven industries. Vietnam joined the World Trade Organization in January 2007 following more than a decade-long negotiation process. Vietnam became an official negotiating partner in the developing Trans-Pacific Partnership trade agreement in 2010. Agriculture's share of economic output has continued to shrink from about 25% in 2000 to about 22% in 2011, while industry's share increased from 36% to 40% in the same period. Deep poverty has declined significantly, and Vietnam is working to create jobs to meet the challenge of a labor force that is growing by more than one million people every year. The global recession has hurt Vietnam's export-oriented economy, with GDP in 2009-11 growing less than the 7% per annum average achieved during the last decade. In 2011, exports increased by more than 33%, year-on-year, and the trade deficit, while reduced from 2010, remained high, prompting the government to maintain administrative trade measures to limit the trade deficit. Vietnam's managed currency, the dong, continues to face downward pressure due to a persistent trade imbalance. Since 2008, the government devalued it in excess of 20% through a series of small devaluations. Foreign donors pledged nearly $8 billion in new development assistance for 2011. However, the government's strong growth-oriented economic policies have caused it to struggle to control one of the region's highest inflation rates, which reached as high as 23% in August 2011 and averaged 18% for the year. In February 2011, Vietnam shifted its focus away from economic growth to stabilizing its economy and tightened fiscal and monetary policies. In early 2012 Vietnam unveiled a broad "three pillar" economic reform program, proposing the restructuring of public investment, state-owned enterprises and the banking sector. Vietnam's economy continues to face challenges from low foreign exchange reserves, an undercapitalized banking sector, and high borrowing costs. The near-bankruptcy and subsequent default of the state-owned-enterprise Vinashin, a leading shipbuilder, led to a ratings downgrade of Vietnam's sovereign debt, exacerbating Vietnam's borrowing difficulties.

Source : CIA

SUBJECT IDENTIFICATION & LEGAL FORM

Registered English Name	GELEXIMCO TRADING AND INVESTMENT JOINT STOCK COMPANY
Registered Vietnamese Name	CONG TY CO PHAN DAU TU THUONG MAI GELEXIMCO
Registered Short name	GELEXIMCO TRAINVES.,JSC
Type of Business	Joint stock company
Year Established	2010
Business Registration No.	0104956819
Date of Registration	23 Oct 2010
Place of Registration	Hanoi Planning and Investment Authority
Chartered capital	VND 36,000,000,000
Status	Unlisted
Tax code	0104956819
Total Employees	30 (Office staff)

ADDRESSES

Head Office
Address	6th Fl, GELEXIMCO Building, No. 36 Hoang Cau street, Dong Da District, Ha Noi City, Vietnam
Telephone	(84-4) 35133437
Fax	(84-4) 35133438
Email	gti@geleximco.vn
Website	http://gti.geleximco.vn

SUBSIDIARIES AND RELATED COMPANIES

PARENT COMPANY - HANOI GENERAL EXPORT IMPORT JOINT STOCK COMPANY
Business Registration	0100514947
Date of Registration	14 Jun 2010
Place of Registration	Hanoi Authority for Planning and Investment
Registered Capital	VND 6,000,000,000,000
Tax code	0100514947
Address	No. 36, Hoang Cau Street, O Cho Dua Ward, Dong Da District, Ha Noi City, Vietnam
Tel	(84-4) 35141199/ 35141830/ 35624757/ 22138377
Fax	(84-4) 35143939
Website	http://www.geleximco.vn

DIRECTORS

NAME	Mr. LE QUOC TUAN
Position	Director
Date of Birth	30 Nov 1971
ID Number/Passport	012237169
ID Issue Date	08 Apr 2005
ID Issue Place	Hanoi city Police Office
Resident	No. 52, AT3, Collective 361 Group 42, Yen Hoa ward, Cau Giay District, Ha Noi City, Vietnam
Nationality	Vietnamese

BUSINESS NATURE AND ACTIVITIES

The subject trades in building materials such as cement, steel, equipments for construction field, chemicals and paper powder. Besides, it also invests in construction projects.

IMPORT & EXPORT ACTIVITIES

IMPORT:
Types of products	Chemicals
Market	China
EXPORT:
Note: Currently, the subject does not export.

BANKERS

1. STANDARD CHARTERED BANK (VIETNAM) LIMITED
Address	No. 49 Hai Ba Trung Street, Tran Hung Dao Ward, Hoan Kiem District, Ha Noi City, Vietnam
Telephone	(84-4) 3936 8000
Fax	(84-4) 3837 8356
2. MILITARY COMMERCIAL JOINT STOCK BANK HOANG CAU TRANSACTION
Address	No.9 10/100 Hoang Cau, Dong Da District, Ha Noi City, Vietnam
Telephone	(84-4) 6258 9888
Fax	(84-4) 6250 9888

SHAREHOLDERS

1. NAME	HANOI GENERAL EXPORT IMPORT JOINT STOCK COMPANY
Business Registration	0100514947
Date of Registration	14 Jun 2010
Place of Registration	Hanoi Authority for Planning and Investment
Registered Capital	VND 6,000,000,000,000
Tax code	0100514947
Address	No. 36, Hoang Cau Street, O Cho Dua Ward, Dong Da District, Ha Noi City, Vietnam
Tel	(84-4) 35141199/ 35141830/ 35624757/ 22138377
Fax	(84-4) 35143939
Email	infor@geleximco.vn/ geleximcogroup@hn.vnn.vn
Website	http://www.geleximco.vn
Number of shares	200,000
Value of shares	VND 20,000,000,000
Percentage	55.55%
2. NAME	Mr. LE QUOC TUAN
Position	Director
Date of Birth	30 Nov 1971
ID Number/Passport	012237169
Issued on	08 Apr 2005
Issued Place	Hanoi city Police Office
Resident	No. 52, AT3, Collective 361 Group 42, Yen Hoa ward, Cau Giay District, Ha Noi City, Vietnam
Nationality	Vietnamese
Number of Shares	75,000
Value of shares	VND 7,500,000,000
Percentage	20.84%
3. NAME	Mr. NGUYEN MANH DAN
Resident	No. 65C, Alley 6A Trung Phung ward, Dong Da District, Ha Noi City, Vietnam
Nationality	Vietnamese
Number of Shares	75,000
Value of shares	VND 7,500,000,000
Percentage	20.84%
4. NAME	Mr. TRINH VIET TUAN
ID Number/Passport	011713254
Resident	No. 9, Alley 52, Group 34A Trung Hoa ward, Cau Giay District, Ha Noi City, Vietnam
Nationality	Vietnamese
Number of Shares	10,000
Value of shares	VND 1,000,000,000
Percentage	2.77%

FINANCIAL DATA

N/A

PAYMENT HISTORY & PERFORMANCE EXPERIENCES

Trade Morality	Fair
Liquidity	N/A
Payment status	N/A
Financial Situation	Below Average
Development trend	Developing
Litigation data	No Record
Bankruptcy	No Record
Payment Methods	Bank transfer
Sale Methods	Retailer and Wholesaler
Public opinion	Good

INTERPRETATION ON THE SCORES

GELEXIMCO TRAINVES.,JSC was established in 2010 according to the business number 0104956819 (the same as tax code), granted by Planning and Investment Department of Ha Noi City with chartered capital of VND 36 billion. It is a subsidiary of HANOI GENERAL EXPORT IMPORT JOINT STOCK COMPANY (GELEXIMCO., JSC), which is a rather large company with about 33 subsidiaries and affiliates. This company is a multi business corporation including real estates, finance-banking, industrial manufacture, trading, services, training and IT. In industrial manufacture field, it has cement factory and paper factory, and GELEXIMCO TRAINVES., JSC trades in products of these factories.

The subject is specialized in trading building materials such as steels of all types, cement (of THANG LONG CEMENT JOINT STOCK COMPANY, a subsidiary of subject's parent company) and equipments for construction field. Besides, it also trades in paper powder (of AN HOA PAPER JOINT STOCK COMPANY, a subsidiary of subject's parent company), and chemicals such as Na2S, NaOH. It imports chemicals from China. Building materials such as steel are supplied by domestic companies such as VIET NAM - ITALY STEEL JOINT STOCK COMPANY, VINA KYOEI STEEL COMPANY LIMITED, etc.

In general, the subject is operating normally. With great supports of parent company and good relationships with other subsidiaries in the corporation, the subject's development is sustainable and bright. It is reliable for small and normal commitments.

INDUSTRY DATA

Industry code	Growth speed by price compared with 1994 (%)		Total enterprises 2010	Total employees 2011 (Thous.pers.)	Annual average capital of enterprises 2010 (billion dongs)
	2011	2010
Agriculture, Forestry and Fishing	4.00	2.78	8,887	24,362.9	95,227
Industry and Construction	5.53	7.70	95,217	10,718.9	3,641,376
Trade and Services	6.69	7.52	187,195	15,270.2	6,957,082

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.54.94
UK Pound	1	Rs.88.42
Euro	1	Rs.71.71

INFORMATION DETAILS

Report Prepared by :

SDA

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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