MIRA INFORM REPORT

Report Date :

09.03.2012

IDENTIFICATION DETAILS

Name :	TIONG HUAT RUBBER FACTORY SDN BHD
Registered Office :	No. 4627 U.P. Estate Sungai Division Sungai Petani Kedah Darul Aman 08000
Country :	Malaysia
Financials (as on) :	31.12.2010
Date of Incorporation :	06.08.1969
Com. Reg. No.:	8700-M
Legal Form :	Private Company Limited By Shares
Line of Business :	Manufacturing & sales of rubber and latex concentrate.
No. of Employees :	250 employees

RATING & COMMENTS

MIRA’s Rating :

A

RATING		STATUS	PROPOSED CREDIT LINE
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

Maximum Credit Limit :	USD 5,000,000
Status :	Good
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)
Malaysia	A2	A2

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

IDENTIFICATION DETAILS

Verified Address

Subject name : TIONG HUAT RUBBER FACTORY SDN BHD

Business address : No. 4627 U.P. Estate

Sungai Division

Town : Sungai Petani

Province : Kedah Darul Aman

Zip/postal code : 08000

Country : Malaysia

Tel : +60 4 4212732 / 4212733

Fax : +60 4 4225558

Email : info@tionghuatrubber.com

Website : www.tionghuatrubber.com

Registered address : C/o KEY MANAGEMENT SERVICES SDN. BHD.

1001-1002, 1st Floor Kompleks Sri Putra Seberang Jalan Putra

Town : Alor Setar

Province : Kedah Darul Aman

Zip/postal code : 05150

Country : Malaysia

Postal address : P.O. Box 65

_{Town : Sungai Petani}

Province : Kedah

Zip/postal code : 08007

Country : Malaysia

Comments : The provided address 23, First Floor, Seberang Jalan Putra, 05150, Alor Setar, Kedah was not recognized by the representative contacted.

SUMMARY DETAILS

Executive Summary

Date founded or registered : 06/08/1969

Legal form : Private Company Limited By Shares

Chief executive : Low Kok Horng

Issued & paid up capital : MYR 5,000,000

Sales turnover : MYR 1,309,285,286 (Consolidated 12 months, 31/12/2010)

Net income : MYR 53,450,956 (Consolidated 12 months, 31/12/2010)

Total fixed assets : MYR 517,132,881 (Consolidated 12 months, 31/12/2010)

Line of business : Manufacturing & sales of rubber and latex concentrate.

_{Staff employed : 250 employees}

CREDIT RISK OPINION

Company Analysis

Country risk : Country risk is minimal

Operation trend : Operational trend is booming

Management experience : Management is adequately experienced

Financial performance : Financial performance is very good

Organization structure : Organizational structure is consistent

Detrimental : No detrimental records found

Payment history : No payment delays noted

_{Credit amount suggestion : USD 5,000,000}

Credit amount asked : Not described.

Comments : Larger credit can still be considered. The Subject is well positioned in the market and the financial stability of the group is positive

STATUTORY DETAILS

Registry Data

Registration date : 06/08/1969

Legal form : Private Company Limited By Shares

Registration no 8700-M

Registered authority : Companies Commission of Malaysia

Registry status : Live/Active

Previous name : None reported.

Change of legal form : None reported.

MANAGEMENT / DIRECTORS

Key Management

Name : Low Kok Horng

Designation : Managing Director

Name : Tan Swee Huat

Designation : Director

Name : Tan Ah Bah

Designation : Director

Name : Low Keong Koon

Designation : Director

Name : Low Ping Kun

Designation : Director

Name : Teh Beng Hwa

Designation : Director

Name : Low Kok Kean

_{Designation : Director}

BOARD OF DIRECTORS/ OTHER APPOINTMENTS

Appointments

Name : Tan Swee Huat

Designation : Director

Identification no : 320419-02-5155

Appointment date : 06/08/69

Address : 6, Lorong Satu Bunga Raya Park Sungai Petani 08000

Kedah Darul Aman

Malaysia

Name : Tan Ah Bah

Designation : Director

Identification no : 521213-02-5409

Appointment date : 23/01/98

Address : 3, Jalan Desa Indah

Taman Desa Indah

08000 Sungai Petani Kedah Darul Aman Malaysia

Name : Low Keong Koon

_{Designation : Director}

Identification no : 530430-02-5573

Appointment date : 23/01/98

Address : 11-12, Komplek Jitra

06000 Jitra

Kedah Darul Aman

Malaysia

Name : Low Ping Kun

Designation : Director

Identification no : 550601-02-5665

Appointment date : 23/01/98

Address : 11-12, Komplek Jitra

06000 Jitra

Kedah Darul Aman

Malaysia

Name : Low Kok Kean

Designation : Director

Identification no : 650615-02-5963

Appointment date : 23/01/98

Address : 298, Taman Berjaya

Jalan Pegawai

05050 Alor Star Kedah Darul Aman Malaysia

Name : Teh Beng Hwa

Designation : Director

Identification no : 690423-02-5527

Appointment date : 30/06/09

Address : 404, Jalan Legenda 26

Legenda Heights

08000 Sungai Petani Kedah Darul Aman Malaysia

Name : Low Kok Horng

Designation : Director

Identification no : 700528-02-5167

Appointment date : 23/01/98

Address : 445, Persiaran Cinta Sayang

08000 Sungai Petani Kedah Darul Aman Malaysia

Name : Mak Poh Im

Designation : Company Secretary

Identification no : 560609-07-5164

Appointment date : 31/05/06

Address : 7, Taman Pumpong

_{05250 Alor Star}

Kedah Darul Aman

Malaysia

Staff employed : 250 employees

Key Advisors

Auditors : KIAT & ASSOCIATES

1st FLoor, 25 Seberang Jalan Putera

Alor Setar 05150

Kedah Darul Aman

_Malaysia

SHARE CAPITAL

Composition

Authorized Capital : MYR 5,000,000

No of shares : 5,000,000 Ordinary Shares

Share par value : MYR 1

Issued capital : MYR 5,000,000

_{Paid up capital : MYR 5,000,000}

OWNERSHIP / SHAREHOLDERS

How listed : Full List

Composition

Shareholder name : RIPRO SDN. BHD.

Address : No. 4627 U.P. Estate

Sungai Division

Sungai Petani 08000

Kedah Darul Aman

Malaysia

No. of shares : 5,000,000 Ordinary Shares

% of shares : 100%

RELATED COMPANIES & CORPORATE AFFILIATIONS

Structure

Name : KEMBOJA JATI SDN. BHD.

Affiliation type : Ultimate Holding Company

Address : No. 4627 U.P. Estate

Sungai Division

Sungai Petani 08000

Kedah Darul Aman

Malaysia

Name : RIPRO SDN. BHD.

Affiliation type : Parent Company

Address : No. 4627 U.P. Estate

Sungai Division

Sungai Petani 08000

Kedah Darul Aman

Malaysia

_{Name : COMMERCE TRADE INTERNATIONAL SDN. BHD.}

Affiliation type : Wholly-owned Subsidiary

Address : No. 4627 U.P. Estate Sungai Division Sungai Petani 08000

Kedah Darul Aman

Malaysia

_{Comments : Ceased operation.}

BANK & MORTGAGES

Bank Details

Name of bank : RHB Bank Berhad

Address : Malaysia

Account details : Current Account

Name of bank : Public Bank Berhad

Address : Malaysia

Account details : Current Account

Name of bank : CIMB Bank Berhad

Address : Malaysia

Account details : Current Account

Name of bank : Malayan Banking Berhad

Address : Malaysia

Account details : Current Account

Name of bank : Standard Chartered Bank Berhad

Address : Malaysia

Account details : Current Account

Name of bank : United Overseas Bank Berhad

Address : Malaysia

Account details : Current Account

Comments : It is generally not the policy of local banks to provide credit status information to non related parties, however interested parties would be advised to consult first with the Subject if banker's references are required.

_Mortgages ^{: Total of Charge: 1,400,000.00}

Date of Creation: 20-02-1980

Name of Chargee: UNITED ASIAN BANK BHD Charge Status: FULLY SATISFIED

Total of Charge: 700,000.00

Date of Creation: 10-01-1981

Name of Chargee: UNITED MALAYAN BANKING CORP BHD & RHB BANK BERHAD

Charge Status: FULLY SATISFIED

Total of Charge: 700,000.00

Date of Creation: 10-01-1981

_{Name of Chargee: UNITED MALAYAN BANKING CORP BHD & RHB BANK}

BERHAD

Charge Status: FULLY SATISFIED

Total of Charge: 400,000.00

Date of Creation: 15-12-1980

Name of Chargee: UNITED ASIAN BANK BHD Charge Status: FULLY SATISFIED

Total of Charge: 1,400,000.00

Date of Creation: 11-03-1978

Name of Chargee: UNITED ASIAN BANK BHD Charge Status: FULLY SATISFIED

Total of Charge: 300,000.00

Date of Creation: 12-12-1983

Name of Chargee: UNITED SHANGHAI BANKING CORP & RHB BANK BERHAD

Charge Status: FULLY SATISFIED

Total of Charge: 300,000.00

Date of Creation: 12-12-1983

Name of Chargee: UNITED SHANGHAI BANKING CORP & RHB BANK BERHAD

Charge Status: FULLY SATISFIED

Total of Charge: 1,350,000.00

Date of Creation: 21-05-1985

Name of Chargee: UNITED ASIAN BANK BHD Charge Status: FULLY SATISFIED

Total of Charge: 2,750,000.00

Date of Creation: 21-06-1988

Name of Chargee: UNITED MALAYAN BANKING CORP LTD Charge Status: FULLY SATISFIED

Total of Charge: 2,000,000.00

Date of Creation: 16-05-1990

Name of Chargee: UNITED MALAYAN BANKING CORPORATION BERHAD Charge Status: FULLY SATISFIED

Total of Charge: 850,000.00

Date of Creation: 14-12-1994

Name of Chargee: UNITED MALAYAN BANKING CORPORATION BERHAD Charge Status: FULLY SATISFIED

Total of Charge: 1,500,000.00

Date of Creation: 11-06-1995

Name of Chargee: UNITED MALAYAN BANKING CORPORATION BERHAD Charge Status: FULLY SATISFIED

Total of Charge: 1,500,000.00

Date of Creation: 11-06-1995

Name of Chargee: UNITED MALAYAN BANKING CORPORATION BERHAD Charge Status: FULLY SATISFIED

Total of Charge: 1,200,000.00

Date of Creation: 04-11-1995

Name of Chargee: BANK OF COMMERCE M BERHAD Charge Status: FULLY SATISFIED

Total of Charge: 700,000.00

Date of Creation: 25-03-1996

Name of Chargee: UMBC & RHB BANK BERHAD Charge Status: FULLY SATISFIED

Total of Charge: 700,000.00

Date of Creation: 25-03-1996

Name of Chargee: UMBC & RHB BANK BERHAD Charge Status: FULLY SATISFIED

Total of Charge: 700,000.00

Date of Creation: 25-03-1996

Name of Chargee: UMBC & RHB BANK BERHAD Charge Status: FULLY SATISFIED

Total of Charge: 700,000.00

Date of Creation: 25-03-1996

Name of Chargee: UMBC & RHB BANK BERHAD Charge Status: FULLY SATISFIED

Total of Charge: 16,700,000.00

Date of Creation: 07-01-2000

Name of Chargee: MALAYAN BANKING BERHAD Charge Status: UNSATISFIED

Total of Charge: 16,700,000.00

Date of Creation: 07-01-2000

Name of Chargee: MALAYAN BANKING BERHAD Charge Status: UNSATISFIED

Total of Charge: 1,500,000.00

Date of Creation: 05-10-2000

Name of Chargee: BUMIPUTRACOMMERCE BANK BERHAD Charge Status: FULLY SATISFIED

Total of Charge: 5,535,000.00

Date of Creation: 25-02-2008

Name of Chargee: MAYBANK ISLAMIC BERHAD Charge Status: UNSATISFIED

Legal Fillings

Bankruptcy fillings : None reported.

Court judgements : None reported.

Tax liens : None reported.

Others : None reported

FINANCIAL DATA

Description

Source of financial statement : Commercial Registry Filings

Financial statement date : 31/12/10

Type of accounts : Full audited

Currency : Malaysia, Ringgit (MYR)

Exchange rate : 1 USD = MYR 3.03 as of 07-03-2012

Summarized Financial Information

^{Consolidation type :} Consolidated Consolidated

^{Currency :} Malaysia, Ringgit (MYR) Malaysia, Ringgit (MYR) ^{Denomination :} (x1) One (x1) One

^{Date of financial year end :} 31/12/10 31/12/09

^{Length of accounts :} 12 months 12 months

^{Sale turnover / Income :} 1,309,285,286 603,904,265

^{Gross profit :} 95,356,382 62,164,808

^{Operating profit :} 72,515,556 43,388,012

^{Profit before tax :} 70,772,672 41,785,095

^{Net income :} 53,450,956 31,960,051

^{Non current assets :} 35,907,379 28,129,104

^{Current assets :} 481,225,502 220,680,059

^{Inventories :} 221,635,764 133,808,385

^{Total assets :} 517,132,881 248,809,163

^{Current liabilities :} 384,121,991 164,147,729

^{Non current liabilities :} 475,100 551,600

^{Total liabilities :} 384,597,091 164,699,329

^{Share equity :} 132,535,790 84,109,834

^{Reserve :} 127,444,776 79,018,820

Comments : The consolidated financial information above relates to the Subject and its only subsidiary Commerce Trade International Sdn. Bhd.

OPERATION DETAILS

Main activities : The Subject is engaged in manufacturing & sales of rubber and latex concentrate.

The Subject’s manufacturing facility is located at Sungai Petani, Kedah, Malaysia. In 2009, the Subject won the Malaysia Best Rubber Processing Factory award.

The Subject client's include Kossan, Topglove, Firelli, Michelin, Goodyear and Apollo.

Product & services : Standard Malaysian Rubber(SMR) Compound Rubber

Latex Concentrate

Brand : TAYTEX, THR

Purchases

International : Asian countries

Sales

Local : Yes

International : Argentina, India, Spain, Australia, Iran, South Korea, Brazil, Italy, Singapore, China, Japan, Turkey, England, New Zealand, United Arab Emirates, Eastern Europe, Netherland, USA, Egypt, Philippines, France, Poland, Germany, Russia

Property & Assets

Premises : The Subject operates from premises located at the verified heading address consisting of production facilities, warehouse and administrative office.

Branches : None reported.

Other property : Total NBV of property, plant and equipment as of 31-12-2010 was MYR

_35,893,729.

SUMMARIZED COUNTRY RISK

Gross Domestic Products (GDP) & Economic Overview

Central bank : Central Bank of Malaysia

Reserve of foreign exchange & gold : US$ 133.7 billion as of 13 January 2012

Gross domestic product - GDP : US$ 247.781 billion

GPP (Purchasing power parity) : US$ 442.01 billion of International dollars

GDP per capita - current prices : US$ 8,624

GDP - composition by sector : agriculture: 9.4% industry: 40.9% services: 49.7%

Inflation : 2008: 5.4%

2009: 0.6%

2010: 1.7%

Unemployment rate : 2008: 3.3%

2009: 3.6%

_{2010: 3.3%}

Public debt

(General Government gross debt as a % GDP) : 2008: 42.8%

2009: 55.4%

_{2010: 54.2%}

Government bond ratings : Standard & Poor's: A-/Stable/A-2

Moody's rating: A3

_{Moody's outlook: STA}

Market value of publicly traded shares : US$420 billion

Largest companies in the country : CIMB Group Holdings (Banking), Sime Darby (Conglomerates), Public Bank Berhad (Banking), Maybank (Banking), Tenaga Nasional Berhad(Utilities), Petronas Chemicals, Maxis Berhad

Trade & Competitiveness Overview

Total exports : US$210.3 billion

Exports commodities : electronic equipment, petroleum and liquefied natural gas, wood and wood products, palm oil, rubber, textiles, chemicals

Total imports : US$156.2 billion

Imports commodities : electronics, machinery, petroleum products, plastics, vehicles, iron and steel products, chemicals

Export - major partners : US 15.6%, Singapore 14.6%, Japan 9.1%, China 8.8%, Thailand 5%, Hong

Kong 4.6%

Import - major partners : Japan 13%, China 12.9%, Singapore 11.5%, US 10.8%, Taiwan 5.7%, Thailand 5.3%, South Korea 4.9%, Germany 4.6%, Indonesia 4.2%

FDI Inflows : 2007: US$8,538 million

2008: US$7,318 million

_{2009: US$1,381 million}

FDI Outflows : 2007: US$11,280 million

2008: US$14,988 million

2009: US$8,038 million

Best countries for doing business: 21 out of 183 countries

Global competitiveness ranking : 26 (ranking by country on a basis of 133, the first is the best)

Country and Population Overview

Total population : 28.23 million

Total area : 329,847 km2

Capital : Kuala Lumpur

_{Currency : Malaysia Ringgits (MYR)}

Internet users as % of total population: 57.61%

PAYMENT HISTORY

Purchase Term

Local : Prepayment, Document against payment, Credit up to 120 days

International : L/C, Prepayment, Telegraphic transfer, Credit up to 120 days

Sales Term

Local : Prepayment, Document against payment, Credit up to 120 days

International : L/C, Prepayment, Telegraphic transfer, Credit up to 120 days

Trade Reference/ Payment

Behaviour

Comments : As local and international trade references were not supplied, the Subject's payment track record history cannot be appropriately determined but based on our research, payments are believed to be met without delay.

Investigation Note

Sources : Interviews and material provided by the Subject

: Other official and local business sources

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.50.57
UK Pound	1	Rs.79.57
Euro	1	Rs.66.49

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.