MIRA INFORM REPORT

Report Date :

09.02.2012

IDENTIFICATION DETAILS

Name :	SMART MACHINERY CO., LTD.

Registered Office :	3F, No.166, Sec.1, Tashing West Road, Taoyuan City, Taoyuan County

Country :	Taiwan

Date of Incorporation :	14.05.1997

Com. Reg. No.:	97455929

Legal Form :	Joint Stock Company

Line of Business :	Manufacture and sales of knitting machines, etc

No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

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

Maximum Credit Limit :	USD 40,000
Status :	Moderate
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 – September 30, 2011

Country Name

Previous Rating

(30.06.2011)

Current Rating

(30.09.2011)

Taiwan

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

Contact Points

Company Name:	Smart Machinery Co., Ltd.
Supplied Name:	Smart Machinery Co Ltd.
Trading Address:	3F, No.166 Tashing West Road, Taoyuan, Taiwan
Supplied Address:	3F, No. 166 Sec 1 Tashing West Road, Taoyuan Taiwan
Telephone Number:	+886-3-3160869
Fax Number:	+886-3-3160870
E-mail:	smartmc@seed.net.tw

Notes: Subject’s exact name and address are as above.

Credit Summary

Credit Rating:	Maximum credit USD 40,000
Credit Opinion:	Business connections are permissible.

Company Identification Details

Registered Name:	Smart Machinery Co., Ltd.
Registered Address:	3F, No.166, Sec.1, Tashing West Road, Taoyuan City, Taoyuan County, Taiwan, R.O.C.
Date of Foundation:	1997-5-14
Registration Number:	97455929
Registry:	MOEA Central Office
Registered Capital:	NTD 5,000,000 (USD 169,000) (As of 2012.02, 1 NTD = 0.0338 USD)
Paid-up Capital:	NTD 5,000,000 (USD 169,000)
Legal Representatives:	Xiting Lai
Legal Form:	Joint Stock Company
Principal Activities:	Manufacture and sales of knitting machines, etc
Staff:	N/A
Listed at Stock Exchange:	No
Date of Last Annual Return:	2009-4-1

Notes: Subject did not introduce its staff number; from other source we can not obtain the relevant information, either.

History

Subject was incorporated on 1997-5-14 with registered number 97455929 as Joint Stock Company in Taiwan.

Shareholders

Name	Subscription Shares
Xiting Lai	175,000
Xiuting Ruan
100,000
Fengzhen Zeng	75,000
Yusheng Ruan	25,000

The information above is that of subject’s major shareholders.

Subsidiaries & Branches

Factory:

Name:

No. 28, Lane 510, Jiadong Rd., Bade City, Taoyuan, Taiwan

Personnel Information

Core Management

Directors

1
Name	Xiting Lai
Position	Board Chairman
2
Name	Xiuting Ruan
Position	Director
3
Name	Fengzhen Zeng
Position	Director
4
Name	Yusheng Ruan
Position	Supervisor

Operation Information

Offices & Factories

	Headquarters
Add	3F, No.166 Tashing West Road, Taoyuan, Taiwan

Production Information

l Subject is a manufacturer of knitting machines.

Purchase Information

l The registered activities of subject:

Business Code	Details
--	Sales of Whole Plant Equip, knitting machines and relevant components, etc
--	Sales of all sorts of Textile raw materials, end products, semi-finished products and garments, etc
--	Agent, price quoting, bidding service, Import, export and marketing of all kinds of above mentioned items.
--	General import and export trading business

l Subject purchases components mainly from Taiwan, while it is introduced that subject can purchases according to customers’ demands.

Sales Information

l The subject is mainly engaged in sales of knitting machines and relevant components, etc

l Subject’s products are both sold in domestic and overseas market.

Major products sold

1	High Speed Double Circular Knitting Machine
2	High Speed Rib Circular Knitting Machine
3	Pattern Wheel Rib Mesh Jacquard Circular Knitting Machine
4	High Speed Single Jersey Circular Knitting Machine
5	High Speed Single Terry Circular Knitting Machine
6	High Speed Single Fleece Circular Knitting Machine
7	Pattern Wheel Terry Jacquard Circular Knitting Machine
8	Single Mini Jacquard Circular Knitting Machine
9	Double Mini Jacquard Circular Knitting Machine
10	Super Fine Gauge Circular Knitting Machine ( Up To 50 Gauge )

Import and export right:

Import right	Yes
Export right	Yes

Settlements

Purchase

Domestic Purchase

Product	Payment Terms	Proportion
Components, etc	COD, Credit Sales, etc	100%

Foreign Purchase

Subject did not introduce its foreign purchase terms.

Sales

Domestic Markets

Product	Sales Terms	Proportion
Knitting machines, etc	30% prepayment, 70% before delivery, etc	100%

Export

Product	Sales Terms	Proportion
Knitting machines, etc	30% prepayment, 70% before delivery, etc	100%

Financial Information

Subject has no obligations to disclose its financial statements to the third party according to the relevant policy in Taiwan and the only source from which we can obtain the information is the subject itself.

Subject declined to disclose its financials citing the grounds of company’s confidentiality; from other source we can not obtain the relevant information, either.

Bankers

Subject declined to disclose its bank details; from other source we can not obtain the relevant information, either.

Public Record

Mortgage

No chattel mortgage record of subject has been found within the recent 3 months.

Lawsuit

Up to date of reporting, no existing or latent litigation of the subject has been found.

Interview Details

Department

Sales department

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.49.07
UK Pound	1	Rs.78.09
Euro	1	Rs.65.15

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%)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.