MIRA INFORM REPORT

Report Date :

05.12.2012

IDENTIFICATION DETAILS

Name :	P.T. BUANAMAS MUSTIKATAMA
Registered Office :	c/o Jl. Gayungsari Barat GA-17, Surabaya 60235, East Java
Country :	Indonesia
Date of Incorporation :	20.04.1994
Com. Reg. No.:	No. AHU-57926.AH.01.02.Tahun 2008
Legal Form :	Limited Liability Company
Line of Business :	Trading and Distribution of Motorcycle and Spare parts
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

C

RATING		STATUS	PROPOSED CREDIT LINE
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended

Status :	Company is Inactive
Payment Behaviour :	---
Litigation :	---

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 (31.03.2012)	Current Rating (30.06.2012)
Indonesia	B1	B1

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

Indonesia - ECONOMIC OVERVIEW

Indonesia, a vast polyglot nation, grew an estimated 6.1% and 6.4% in 2010 and 2011, respectively. The government made economic advances under the first administration of President YUDHOYONO (2004-09), introducing significant reforms in the financial sector, including tax and customs reforms, the use of Treasury bills, and capital market development and supervision. During the global financial crisis, Indonesia outperformed its regional neighbors and joined China and India as the only G20 members posting growth in 2009. The government has promoted fiscally conservative policies, resulting in a debt-to-GDP ratio of less than 25%, a small current account surplus, a fiscal deficit below 2%, and historically low rates of inflation. Fitch and Moody's upgraded Indonesia's credit rating to investment grade in December 2011. Indonesia still struggles with poverty and unemployment, inadequate infrastructure, corruption, a complex regulatory environment, and unequal resource distribution among regions. The government in 2012 faces the ongoing challenge of improving Indonesia's insufficient infrastructure to remove impediments to economic growth, labor unrest over wages, and reducing its fuel subsidy program in the face of rising oil prices.

Source : CIA

Name of company

P.T. BUANAMAS MUSTIKATAMA

company Address

Head Office

c/o Jl. Gayungsari Barat GA-17

Surabaya 60235, East Java

Indonesia

Phone - (62-31) 8286638

Fax. - (62-31) n.a.

Building Area - 2 storey

Office Space - 90 sq. meters

Region - Commercial

Status - Sold out

Date of Incorporation

20 April 1994

Legal Form

P.T. (Perseroan Terbatas) or Limited Liability Company

Company Reg.No.

The Ministry of Law and Human Rights

a. No. C-3264 HT.01.01.TH.98

Dated 11 August 1998

b. No. AHU-57926.AH.01.02.Tahun 2008

Dated 02 September 2008

Company Status

National Private Company

Permit by the Government Department :

The Department of Finance

NPWP No. 01.672.910.5-609.000

Related Company :

None

CAPITAL AND OWNERSHIP

Capital Structure :

Authorized Capital - Rp. 500,000,000.-

Issued Capital - Rp. 250,000,000.-

Paid up Capital - Rp. 250,000,000.-

Shareholders/Owners :

a. Mr. Sampoerno - Rp. 187,500,000.- (75%)

Address : Jl. Gayungsari No. 89

Surabaya, East Java

Indonesia

b. Mrs. Fransiska Erli Septibagio - Rp. 50,000,000.- (20%)

Address : Jl. Gayungsari No. 89

Surabaya, East Java

Indonesia

c. Mrs. Mari Boediono - Rp. 12,500,000.- ( 5%)

Address : Jl. Darmo Baru Barat 64

Surabaya, East Java

Indonesia

BUSINESS ACTIVITIES

Lines of Business :

Trading and Distribution of Motorcycle and Spare parts

Production Capacity :

None

Total Investment :

None

Started Operation :

1995 but, the company has been inactive since mid-2011

Technical Assistance :

None

Number of Employee :

None

Marketing Area :

No Comment

Market Situation :

Very Competitive

Business Trend :

No Comment

BANKER, AUDITOR & LITIGATION

Banker :

No Comment

Auditor :

Internal Auditor

Litigation :

No litigation record in our database

FINANCIAL FIGURE

Total Net Sales/Revenue :

No Comment

Net Profit (Loss) :

No Comment

Payment Manner :

No Comment

Financial Comments :

No Comment

KEY EXECUTIVES

Board of Management :

Director - Mrs. Fransiska Erli Septibagio

Board of Commissioner :

President Commissioner - Mr. Sampoerno

Commissioner - Mrs. Mari Boediono

Signatories :

Director (Mrs. Fransiska Erli Septibagio) which must be approved by the Board of Commissioners (Mr. Sampoerno and Mrs. Mari Boediono)

CAPABILITIES

Management Capability :

Weak

Business Morality :

Doubted

OVERALL PERFORMANCE

P.T. BUANAMAS MUSTIKATAMA (P.T. BM) was established on April 20, 1988 with the authorized capital of Rp. 250,000,000,- of which Rp. 50,000,000.- was issued and fully paid up. The founding shareholders of the Company are Mr. Sampoerno (50%) and Miss Fransiska Erli Septibagio (50%), both are Indonesian business persons of Chinese extraction. The articles of association of the company have been revised. On February 13, 1998, the authorized capital was raised to be Rp. 500,000,000.- of which Rp. 250,000,000.- was issued and fully paid up. Since at the time, the shareholders of the Company are Mr. Sampoerno (60%), Mrs. Fransiska Erli Septibagio (30%) and Mrs. Mari Boediono (10%). The Articles of Association has been approved by the Minister of Law and Human Rights through Decision Letter No. C-3264.HT.01.01.TH.98 dated august 11, 1998. Lastly, by notarial deed of Wahyudi, SH., No. 146 dated July 21, 2008 concerning changes of the whole article of association of the Company’s to conform with Law No. 40 Year 2007 concerning Limited Liability Company. Since at the time, the structure of shareholders are Mr. Sampoerno (75%), Mrs. Fransiska Erli Septibagio (20%) and Mrs. Mari Boediono (5%). The amendment to Articles of association has been approved by the Minister of Law and Human Rights of the Republic of Indonesia through Decree No. AHU-57926.AH.01.02.Tahun 2008 dated September 2, 2008. No changes have been effected in term of its shareholding composition and capital structures to date.

Pursuant to the company’s notary deed, P.T. BM engaged to operate in general trading, development, supplier, service, industry, mining, agricultural, fishery, husbandry, plantation and transportation.

According to the results of our investigation we noticed that previously P.T. BM was engaged in trading and distribution of motorcycle and spare parts. The company’s office is located at Jalan Gayungsari Barat GA-17, Surabaya, East Java. Mr. Bambang, the former a marketing staff of P.T. BM, when reached by phone said that P.T. BM has not been in operation since mid-2011 (lockout) and all of its employees have also been dismissed. He also did not know why the company was shutdown. However it is likely that operations did not go smoothly and continuously suffered losses. According to Mr. Bambang, that land and building office owned by P.T. BM has been sold to another company namely CV. CITRA INDAH ABADI engaged in trading of railway equipments.

Furthermore we have checked to the Department of Law and Human Rights (DLHR) to ensure that whether the P.T. BM has been liquidated. But our source at DLHR said that until now there is no notice from the shareholders of P.T. BM concerning the shutdown of the company. According to our source in DLHR, that in Indonesia there are many companies that not actively operate or shut down, but never reported their case to DLHR. This is generally done by these companies, to avoid payment of taxes and duties.

We have a strong suspicion that P.T. BM has been abandoned by its shareholders. Company's financial strength was only Rp. 250 million which was paid capital as contained in its notary deed. But we strongly suspect that the capital had been spent and the currently P.T. BM does not have any assets.

In its last notary deed, P.T. BM was chaired by Mrs. Fransiska Erli Septibagio (43) as director and assisted by Mr. Sampoerno (43) as president commissioner and Mrs. Mari Boediono (47) as commissioner. We noticed that their reputation in motorcycle trading is also not prominent. In addition they were also not who bona fide or credible businessman/women. We strongly suspect that the management company has been dissolved, but was not reported to the Department of Law and Human Rights.

We therefore recommend to be very careful when doing business partnership with this company. We recommend to cancel the business transaction plan that was prepared for this company.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.54.95
UK Pound	1	Rs.88.42
Euro	1	Rs.71.71

INFORMATION DETAILS

Report Prepared by :

MNL

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.