MIRA
INFORM REPORT

Report Date :

20.12.2012

IDENTIFICATION DETAILS

Name :

LEGARE’, L.P.

Registered Office :

3717 S. University Drive, Fort Worth, TX 76109

Country :

United States

Date of Incorporation :

25.08.2003

Legal Form :

Limited Partnership

Line of Business :

Subject is a furniture design and manufacturing company that produces
unique, easy to assemble furniture for the home and small office.

No. of Employees :

15 employees

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: [email-masked]
while quoting report number, name and date.

ECGC Country Risk Classification List – June 30th, 2012

Country Name

Previous Rating

(31.03.2012)

Current Rating

(30.06.2012)

United
States

A1

A1

Risk Category

ECGC
Classification

Insignificant

A1

Low

A2

Moderate

B1

High

B2

Very High

C1

Restricted

C2

Off-credit

D

United States - ECONOMIC OVERVIEW

The US has the largest and most technologically powerful economy in the
world, with a per capita GDP of $48,100. In this market-oriented economy,
private individuals and business firms make most of the decisions, and the
federal and state governments buy needed goods and services predominantly in
the private marketplace. US business firms enjoy greater flexibility than their
counterparts in Western Europe and Japan in decisions to expand capital plant,
to lay off surplus workers, and to develop new products. At the same time, they
face higher barriers to enter their rivals' home markets than foreign firms
face entering US markets. US firms are at or near the forefront in
technological advances, especially in computers and in medical, aerospace, and
military equipment; their advantage has narrowed since the end of World War II.
The onrush of technology largely explains the gradual development of a
"two-tier labor market" in which those at the bottom lack the
education and the professional/technical skills of those at the top and, more
and more, fail to get comparable pay raises, health insurance coverage, and
other benefits. Since 1975, practically all the gains in household income have
gone to the top 20% of households. Since 1996, dividends and capital gains have
grown faster than wages or any other category of after-tax income. Imported oil
accounts for nearly 55% of US consumption. Oil prices doubled between 2001 and
2006, the year home prices peaked; higher gasoline prices ate into consumers'
budgets and many individuals fell behind in their mortgage payments. Oil prices
increased another 50% between 2006 and 2008. In 2008, soaring oil prices
threatened inflation and caused a deterioration in the US merchandise trade
deficit, which peaked at $840 billion. In 2009, with the global recession
deepening, oil prices dropped 40% and the US trade deficit shrank, as US
domestic demand declined, but in 2011 the trade deficit ramped back up to $803
billion, as oil prices climbed once more. The global economic downturn, the sub-prime
mortgage crisis, investment bank failures, falling home prices, and tight
credit pushed the United States into a recession by mid-2008. GDP contracted
until the third quarter of 2009, making this the deepest and longest downturn
since the Great Depression. To help stabilize financial markets, in October
2008 the US Congress established a $700 billion Troubled Asset Relief Program
(TARP). The government used some of these funds to purchase equity in US banks
and industrial corporations, much of which had been returned to the government
by early 2011. In January 2009 the US Congress passed and President Barack
OBAMA signed a bill providing an additional $787 billion fiscal stimulus to be
used over 10 years - two-thirds on additional spending and one-third on tax
cuts - to create jobs and to help the economy recover. In 2010 and 2011, the
federal budget deficit reached nearly 9% of GDP; total government revenues from
taxes and other sources are lower, as a percentage of GDP, than that of most
other developed countries. The wars in Iraq and Afghanistan required major
shifts in national resources from civilian to military purposes and contributed
to the growth of the US budget deficit and public debt - through 2011, the
direct costs of the wars totaled nearly $900 billion, according to US
government figures. In March 2010, President OBAMA signed into law the Patient
Protection and Affordable Care Act, a health insurance reform bill that will
extend coverage to an additional 32 million American citizens by 2016, through
private health insurance for the general population and Medicaid for the
impoverished. Total spending on health care - public plus private - rose from
9.0% of GDP in 1980 to 17.9% in 2010. In July 2010, the president signed the
DODD-FRANK Wall Street Reform and Consumer Protection Act, a law designed to
promote financial stability by protecting consumers from financial abuses,
ending taxpayer bailouts of financial firms, dealing with troubled banks that
are "too big to fail," and improving accountability and transparency
in the financial system - in particular, by requiring certain financial
derivatives to be traded in markets that are subject to government regulation
and oversight. Long-term problems include inadequate investment in deteriorating
infrastructure, rapidly rising medical and pension costs of an aging
population, sizable current account and budget deficits - including significant
budget shortages for state governments - energy shortages, and stagnation of
wages for lower-income families.

Source : CIA

Company name & address

The corporate name
is:

Company name:            LEGARE’,
L.P.

Address:
3717
S. University Drive, Fort Worth, TX 76109 - USA

Telephone:                    +1 817-737-8802

Fax:
+1
817-737-9984

Website:
www.legarefurniture.com

Company summary

Corporate ID#:              0800239277

State:
Texas

Judicial form:
Limited
Partnership (LP)

Date incorporated:        08-25-2003

Stock Value:                 A
LP has no stock

Name of manager:         Mickael
A. MARKWARDT

ACTIVITIES
& OPERATIONS

IST

Business:

The Company is doing
business as LEGARE FURNITURE.

Legare is a furniture design and manufacturing company that produces
unique, easy to assemble furniture for the home and small office.

The current Legare designs are simply an evolution of this original
modular  design, with the
introduction of some new materials and finishes along the way.  All components preserve the original
aesthetics and functionality while remaining free of the need for tools or
fasteners.

No name of suppliers available.

EIN:                  -

Staff:                15

Operations & branches:

At the headquarters, we
find a factory, warehouse and office, owned.

SHAREHOLDERS & MANAGERS

Shareholders:

LEGARE’ I, L.L.C.

3717 S. University Drive, Fort Worth, TX 76109

Incorporated in Texas on 08-25-2003

ID# 0800239273

Management:

Mickael A. MARKWARDT is the
Operation Manager

Mike Markwardt has spent over 22 years in the import/export residential
ceiling fan and lighting industry. Under Mike's leadership as President/CEO of
Fort Worth-based Encon Industries, he built a small family business into the
world's 2nd largest supplier of ceiling fans.

He has spent a great deal of time developing strong supplier relationships
in Southeast Asia and literally created the European ceiling fan market through
his pioneering sales & distribution efforts.

Brock BRANDENBERG is the original founder of Legare and the creator of
the patented designs for our innovative "fun to assemble" furniture.

He is the product designer and engineer.

Howard KLION is the Sales Manager.

As far as we know, they are involved in other corporations, including:

LEGARE’ I, L.L.C.

3717 S. University Drive, Fort Worth, TX 76109

Incorporated in Texas on 08-25-2003

ID# 0800239273

FINANCIALS

In United States, privately
held corporations are not required to publish any financials.

On a direct call, a
financial assistant controlled the present report.

Sales declared for year
2011 is in the range of USD 3,500,000=

The business is profitable.

Banks:  Bank of America

3100 S. University Dr., Fort Worth, TX 76109

Ph: 817-922-6700

LEGAL FILINGS

Legal filings
& complaints:

As of today date, there is no legal filing pending with the Courts.

Secured debts summary (UCC):
None

COMPANY
CREDIT HISTORY

Trade references:

Date reported:               November
2012

High credit:                   USD
5,000

Now owing:                   0

Past due:                      0

Last purchase:             October
2012

Line of business:           Office
supply

Paying status:               On
terms

Date reported:               November
2012

High credit:                   USD
2,500,000+

Now owing:                   0

Past due:                      0

Last purchase:             October
2012

Line of business:           Payroll

Paying status:               As
agreed

Date reported:               November
2012

High credit:                   USD
16,000

Now owing:                   0

Past due:                      0

Last purchase:             October
2012

Line of business:           Telecommunications

Paying status:               On
terms

Date report:                  November
2012

High credit:                   USD

Now owing:

Past due:

Line of business:           Insurance

Paying status:               On
terms

Domestic credit history:

Domestic credit history appears as follow:

Monthly Payment Trends - Recent Activity

Date

Balance

Current

Up to 30 DBT

31-60 DBT

61-90 DBT

>90 DBT

06/12

$1,100

100%

0%

0%

0%

0%

07/12

$1,200

100%

0%

0%

0%

0%

08/12

$1,100

100%

0%

0%

0%

0%

09/12

$1,200

100%

0%

0%

0%

0%

10/12

$1,200

100%

0%

0%

0%

0%

11/12

$1,200

100%

0%

0%

0%

0%

National Credit Bureaus
gave a satisfying credit rating.

International
credit history:

Payments of imports are currently made on terms.

Other comments:

The Company maintains a
regular business.

The bank confirmed a
regular account.

The Company is in good
standing.

This means that all local
and federal taxes were paid on due date.

The risk is low.

Our opinion:

A business connection may
be conducted.

Standard
& Poor’s

United
States of America Long-Term Rating Lowered To 'AA+' Due To Political Risks,
Rising Debt Burden; Outlook Negative

Publication
date: 05-Aug-2011 20:13:14 EST

We have lowered our long-term sovereign credit rating on the United
States of America to 'AA+' from 'AAA' and affirmed the 'A-1+' short-term
rating.

·
We have also removed both the short- and long-term ratings
from CreditWatch negative.

·
The downgrade reflects our opinion that the fiscal
consolidation plan that Congress and the Administration recently agreed to
falls short of what, in our view, would be necessary to stabilize the
government's medium-term debt dynamics.

·
More broadly, the downgrade reflects our view that the
effectiveness, stability, and predictability of American policymaking and
political institutions have weakened at a time of ongoing fiscal and economic
challenges to a degree more than we envisioned when we assigned a negative
outlook to the rating on April 18, 2011.

·
Since then, we have changed our view of the difficulties in
bridging the gulf between the political parties over fiscal policy, which makes
us pessimistic about the capacity of Congress and the Administration to be able
to leverage their agreement this week into a broader fiscal consolidation plan
that stabilizes the government's debt dynamics any time soon.

·
The outlook on the long-term rating is negative. We could
lower the long-term rating to 'AA' within the next two years if we see that
less reduction in spending than agreed to, higher interest rates, or new fiscal
pressures during the period result in a higher general government debt
trajectory than we currently assume in our base case.

TORONTO (Standard &
Poor's) Aug. 5, 2011--Standard & Poor's Ratings Services said today that it
lowered its long-term sovereign credit rating on the United States of America
to 'AA+' from 'AAA'. Standard & Poor's also said that the outlook on the
long-term rating is negative. At the same time, Standard & Poor's affirmed
its 'A-1+' short-term rating on the U.S. In addition, Standard & Poor's
removed both ratings from CreditWatch, where they were placed on July 14, 2011,
with negative implications.

The transfer and convertibility (T&C) assessment of the U.S.--our
assessment of the likelihood of official interference in the ability of
U.S.-based public- and private-sector issuers to secure foreign exchange for

debt service--remains
'AAA'.

We lowered our long-term
rating on the U.S. because we believe that the prolonged controversy over
raising the statutory debt ceiling and the related fiscal policy debate
indicate that further near-term progress containing the growth in public
spending, especially on entitlements, or on reaching an agreement on raising
revenues is less likely than we previously assumed and will remain a
contentious and fitful process. We also believe that the fiscal consolidation
plan that Congress and the Administration agreed to this week falls short of
the amount that we believe is necessary to stabilize the general government
debt burden by the middle of the decade.

Our lowering of the
rating was prompted by our view on the rising public debt burden and our
perception of greater policymaking uncertainty, consistent with our criteria
(see "Sovereign Government Rating Methodology and
Assumptions ," June 30, 2011,
especially Paragraphs 36-41). Nevertheless, we view the U.S. federal
government's other economic, external, and monetary credit attributes, which
form the basis for the sovereign rating, as broadly unchanged.

We have taken the ratings
off CreditWatch because the Aug. 2 passage of the Budget Control Act Amendment
of 2011 has removed any perceived immediate threat of payment default posed by
delays to raising the government's debt ceiling. In addition, we believe that
the act provides sufficient clarity to allow us to evaluate the likely course
of U.S. fiscal policy for the next few years.

The political brinksmanship of recent months highlights what we see as
America's governance and policymaking becoming less stable, less effective, and
less predictable than what we previously believed. The statutory debt ceiling
and the threat of default have become political bargaining chips in the debate
over fiscal policy. Despite this year's wide-ranging debate, in our view, the
differences between political parties have proven to be extraordinarily
difficult to bridge, and, as we see it, the resulting agreement fell well short
of the comprehensive fiscal consolidation program that some proponents had
envisaged until quite recently. Republicans and Democrats have only been able
to agree to relatively modest savings on discretionary spending while
delegating to the Select Committee decisions on more comprehensive measures. It
appears that for now, new revenues have dropped down on the menu of policy
options. In addition, the plan envisions only minor policy changes on Medicare
and little change in other entitlements,

the containment of which
we and most other independent observers regard as key to long-term fiscal
sustainability.

Our opinion is that
elected officials remain wary of tackling the structural issues required to
effectively address the rising U.S. public debt burden in a manner consistent
with a 'AAA' rating and with 'AAA' rated sovereign peers (see Sovereign Government Rating Methodology and
Assumptions," June 30, 2011,
especially Paragraphs 36-41). In our view, the difficulty in framing a
consensus on fiscal policy weakens the government's ability to manage public
finances and diverts attention from the debate over how to achieve more
balanced and dynamic economic growth in an era of fiscal stringency and private-sector
deleveraging (ibid). A new political consensus might (or might not) emerge
after the 2012 elections, but we believe that by then, the government debt
burden will likely be higher, the needed medium-term fiscal adjustment
potentially greater, and the inflection point on the U.S. population's
demographics and other age-related spending drivers closer at hand (see "Global Aging 2011: In The U.S., Going Gray Will Likely
Cost Even More Green, Now,"
June 21, 2011).

Standard & Poor's
takes no position on the mix of spending and revenue measures that Congress and
the Administration might conclude is appropriate for putting the U.S.'s
finances on a sustainable footing.

The act calls for as much
as $2.4 trillion of reductions in expenditure growth over the 10 years through
2021. These cuts will be implemented in two steps: the $917 billion agreed to
initially, followed by an additional $1.5 trillion that the newly formed
Congressional Joint Select Committee on Deficit Reduction is supposed to
recommend by November 2011. The act contains no measures to raise taxes or
otherwise enhance revenues, though the committee could recommend them.

The act further provides
that if Congress does not enact the committee's recommendations, cuts of $1.2
trillion will be implemented over the same time period. The reductions would
mainly affect outlays for civilian discretionary spending, defense, and
Medicare. We understand that this fall-back mechanism is designed to encourage
Congress to embrace a more balanced mix of expenditure savings, as the
committee might recommend.

We note that in a letter
to Congress on Aug. 1, 2011, the Congressional Budget Office (CBO) estimated
total budgetary savings under the act to be at least $2.1 trillion over the
next 10 years relative to its baseline assumptions. In updating our own fiscal
projections, with certain modifications outlined below, we have relied on the
CBO's latest "Alternate Fiscal Scenario" of June 2011, updated to
include the CBO assumptions contained in its Aug. 1 letter to Congress. In
general, the CBO's "Alternate Fiscal Scenario" assumes a continuation
of recent Congressional action overriding existing law.

We view the act's measures
as a step toward fiscal consolidation. However, this is within the framework of
a legislative mechanism that leaves open the details of what is finally agreed
to until the end of 2011, and Congress and the Administration could modify any
agreement in the future. Even assuming that at least $2.1 trillion of the
spending reductions the act envisages are implemented, we maintain our view
that the U.S. net general government debt burden (all levels of government
combined, excluding liquid financial assets) will likely continue to grow.
Under our revised base case fiscal scenario--which we consider to be consistent
with a 'AA+' long-term rating and a negative outlook--we now project that net
general government debt would rise from an estimated 74% of GDP by the end of
2011 to 79% in 2015 and 85% by 2021. Even the projected 2015 ratio of sovereign
indebtedness is high in relation to those of peer credits and, as noted, would
continue to rise under the act's revised policy settings.

Compared with previous
projections, our revised base case scenario now assumes that the 2001 and 2003
tax cuts, due to expire by the end of 2012, remain in place. We have changed
our assumption on this because the majority of Republicans in Congress continue
to resist any measure that would raise revenues, a position we believe Congress
reinforced by passing the act. Key macroeconomic assumptions in the base case
scenario include trend real GDP growth of 3% and consumer price inflation near
2% annually over the decade.

Our revised upside
scenario--which, other things being equal, we view as consistent with the
outlook on the 'AA+' long-term rating being revised to stable--retains these
same macroeconomic assumptions. In addition, it incorporates $950 billion of
new revenues on the assumption that the 2001 and 2003 tax cuts for high earners
lapse from 2013 onwards, as the Administration is advocating. In this scenario,
we project that the net general government debt would rise from an estimated
74% of GDP by the end of 2011 to 77% in 2015 and to 78% by 2021.

Our revised downside
scenario--which, other things being equal, we view as being consistent with a
possible further downgrade to a 'AA' long-term rating--features less-favorable
macroeconomic assumptions, as outlined below and also assumes that the second
round of spending cuts (at least $1.2 trillion) that the act calls for does not
occur. This scenario also assumes somewhat higher nominal interest rates for
U.S. Treasuries. We still believe that the role of the U.S. dollar as the key
reserve currency confers a government funding advantage, one that could change
only slowly over time, and that Fed policy might lean toward continued loose
monetary policy at a time of fiscal tightening. Nonetheless, it is possible
that interest rates could rise if investors re-price relative risks. As a
result, our alternate scenario factors in a 50 basis point (bp)-75 bp rise in
10-year bond yields relative to the base and upside cases from 2013 onwards. In
this scenario, we project the net public debt burden would rise from 74% of GDP
in 2011 to 90% in 2015 and to 101% by 2021.

Our revised scenarios
also take into account the significant negative revisions to historical GDP
data that the Bureau of Economic Analysis announced on July 29. From our perspective,
the effect of these revisions underscores two related points when evaluating
the likely debt trajectory of the U.S. government. First, the revisions show
that the recent recession was deeper than previously assumed, so the GDP this
year is lower than previously thought in both nominal and real terms.
Consequently, the debt burden is slightly higher. Second, the revised data
highlight the sub-par path of the current economic recovery when compared with
rebounds following previous post-war recessions. We believe the sluggish pace
of the current economic recovery could be consistent with the experiences of
countries that have had financial crises in which the slow process of debt
deleveraging in the private sector leads to a persistent drag on demand. As a
result, our downside case scenario assumes relatively modest real trend GDP
growth of 2.5% and inflation of near 1.5% annually going forward.

When comparing the U.S.
to sovereigns with 'AAA' long-term ratings that we view as relevant
peers--Canada, France, Germany, and the U.K.--we also observe, based on our
base case scenarios for each, that the trajectory of the U.S.'s net public debt
is diverging from the others. Including the U.S., we estimate that these five
sovereigns will have net general government debt to GDP ratios this year
ranging from 34% (Canada) to 80% (the U.K.), with the U.S. debt burden at 74%.
By 2015, we project that their net public debt to GDP ratios will range between
30% (lowest, Canada) and 83% (highest, France), with the U.S. debt burden at
79%. However, in contrast with the U.S., we project that the net public debt
burdens of these other sovereigns will begin to decline, either before or by
2015.

Standard & Poor's
transfer T&C assessment of the U.S. remains 'AAA'. Our T&C assessment
reflects our view of the likelihood of the sovereign restricting other public
and private issuers' access to foreign exchange needed to meet debt service.
Although in our view the credit standing of the U.S. government has
deteriorated modestly, we see little indication that official interference of
this kind is entering onto the policy agenda of either Congress or the
Administration. Consequently, we continue to view this risk as being highly
remote.

The outlook on the
long-term rating is negative. As our downside alternate fiscal scenario
illustrates, a higher public debt trajectory than we currently assume could
lead us to lower the long-term rating again. On the other hand, as our upside
scenario highlights, if the recommendations of the Congressional Joint Select
Committee on Deficit Reduction--independently or coupled with other
initiatives, such as the lapsing of the 2001 and 2003 tax cuts for high
earners--lead to fiscal consolidation measures beyond the minimum mandated, and
we believe they are likely to slow the deterioration of the government's debt
dynamics, the long-term rating could stabilize at 'AA+'.

FOREIGN EXCHANGE RATES

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.74

UK Pound

1

Rs.89.02

Euro

1

Rs.72.48

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%)