MIRA INFORM REPORT

Report Date :

10.03.2012

IDENTIFICATION DETAILS

Name :	DOCHIRNE PIDPRYEMSTVO SPETSTEHNOEKSPORT
Registered Office :	7 Moskovskiy ave., Kiev, 04073s
Country :	Ukraine
Financials (as on) :	30.06.2011
Date of Incorporation :	08.07.1998
Com. Reg. No.:	30019335
Legal Form :	Affiliated company by Ukrainian law
Line of Business :	Engaged in foreign economic activities for export and import of military and special-purpose products and services.
No. of Employees :	Not Available

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

Maximum Credit Limit :	300 000 EUR
Status :	Satisfactory
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)
Ukraine	B2	B2

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

Identification

Full Name

:

Dochirne Pidpryemstvo SPETSTEHNOEKSPORT

Name in national language

Full name: Dochirne Pidpryemstvo Derzhavnoyi kompaniyi "Ukrspetseksport" - Derzhavne Gosprozrahunkove zovnishnyetorgivelne pidpryemstvo SPETSTEHNOEKSPORT in English: Affiliated company of State company "Ukrspetseksport" - State self-governing foreign trade enterprise SPETSTEHNOEKSPORT

Office address

:

7 Moskovskiy ave., Kiev, 04073s, Ukraine

Legal Address

:

7 Moskovskiy ave., Kiev, 04073, Ukraine

Contacts

:

-	Phone	:	(+38 044) 4619574, 5685070, 5085062
-	Fax	:	(+38 044) 5685068
-	E-mail	:	office@ste.kiev.ua
-	WWW	:	www.ste.com.ua

SUMMARY

Legal Form : Affiliated company by Ukrainian law

Incorporation : 1998

Staff : n/a

Litigation events : n/a Remarks on payments : n/a

Sales :	956 359.00 th UAH ( for 6 months, ended 30.06.2011 )
	1 247 369.00 th UAH ( for 12 months, ended 31.12.2010 )

Credit Opinion

Credit Limit

:

300 000 EUR Credit amount exceeding the value above is advised to be supported by proper guarantees.

Incorporation

:

1998

Registration Data

Date of registration

:

08.07.1998

Registration number

:

30019335

Registr. authority

:

Local Administration (Kiev, Ukraine)

VAT number

:

300193326659

Registr. place

:

Ukraine

Number of VAT-certificate: 35481836 Date of issue: 09.07.2003

Legal Form

:

Affiliated company by Ukrainian law

since 08.07.1998

Share Capital

:

842 000 UAH (registered)

since 04.07.2005

Shareholders

:

-	Derzhavna Kompaniya z eksportu ta importu produktsiyi i poslug ta spets pryznachennya UKRSPETSEKSPORT (Ukraine)				100.00 %
		share's book value	:	842 000 UAH
		reg. number	:	21655998
	(name in English: State Company for Export and Import of Military and Special Appointment Products and Services UKRSPECEXPORT, State Enterprise)

/www.ukrspecexport.com/ 'Ukrspecexport', is an authorized state-owned intermediary company, which is engaged in foreign economic activities for export and import of military and special-purpose products and services. Ultimate shareholder: Cabinet of Ministers of Ukraine

Board / Executives

Executives

Director

:

Mr Gladush Igor Viktorovich (Ukraine)

Authorised signature

:

Mr Gladush Igor Viktorovich

Activities

:

-	5099	Durable goods, not elsewhere classified
		(NACE 5190: Other wholesale)
-	5099	Firearms & Ammo Exc Sporting
		(NACE 5190: Other wholesale)

Wholesale trading, but chief accountant refused to provide the type of product. According to the State Register the company trading of rough ferrous and non-ferrous metals; sale of weapons, materials and parts for military industries

Staff employed

:

n/a

There is no current information in the official sources. The company's administration refused to provide this information either.

Staff History

:

-	101
	( the data as of 31.03.2010 )
-	101
	( the data as of 31.12.2009 )

Export

- 01.05.2011

:

Fiscal period: 4 month(s), currency: UAH

198 354 813.00

Sudan, India, Algeria, Malaysia, Bangladesh

- 01.01.2011

:

Fiscal period: 12 month(s), currency: UAH

668 692 582.00

India, Latvia, Algeria, Sudan, Korea Republic

- 01.01.2010

:

Fiscal period: 12 month(s), currency: UAH

586 453 710.00

Import

- 01.05.2011

:

Fiscal period: 4 month(s), currency: UAH

668 149.00

India

- 01.01.2010

:

Fiscal period: 12 month(s), currency: UAH

3 078 999.00

Facilities

Real estate

:

unknown ownership:
-	Premises - Office
	address	:	7 Moskovskiy ave., Kiev, 03143, Ukraine

Branches

:

none

Subsidiaries and Participation

:

none

Bankers

:

-	Privatbank (Ukraine)
	bank code	:	321842
	account(s)	:	26002053106353 EUR, USD, UAH
-	Ukrsotsbank (Ukraine)
	bank code	:	322012
	account(s)	:	26156027243671 UAH, USD

Clients

:

-	Air Force Station Yelahanka (India)
-	Department of Defense (Bangladesh)
-	Department of Defense (Malaysia)
-	Military Industrial Corporation Ministry of Defence (Sudan)
-	Minister of National Defence (Algeria)

Suppliers

:

-	Joint Staff of the Ministry of Defence (India)

Litigation

:

Generally in the DB of the Unified State Register of the Legal Judgements data there have been traced 16 court where the subject company is filed as a defendant, co-defendant, claimant and co-claimant in the period from 13.06.2007 up to 16.11.2011. There are no bankruptcy/insolvency records filed. These litigation processes arise in the course of company's usual operation.

According to the data of Bulletin of the State Registration as of 07.03.2012, there are no bankruptcy records registered in the name of the subject company.

Remarks on payment

:

No official information is available according to the Ukrainian legislation.

Financial Elements

Period, months	6	12	12
Ended	30.06.2011	31.12.2010	31.12.2009
Currency	UAH th	UAH th	UAH th
Non-current assets	7 375.00	7 753.00	8 149.00
incl: - Fixed assets	7 361.00	7 751.00	8 142.00
- Financial assets	0.00	0.00	0.00
Current assets	712 715.00	949 187.00	753 140.00
incl: - Stock	710.00	902.00	557.00
- Debtors	610 230.00	880 255.00	678 231.00
- Cash	101 745.00	67 967.00	74 324.00
ASSETS TOTAL	720 132.00	956 966.00	761 318.00
Equity	93 724.00	79 811.00	62 535.00
incl: - Share capital	842.00	842.00	842.00
Liabilities Total	626 408.00	877 155.00	698 783.00
incl: - Long-term liabilities	82.00	76.00	901.00
- Short-term liabilities	626 326.00	877 079.00	697 882.00
EQUITY AND LIABILITIES TOTAL	720 132.00	956 966.00	761 318.00
Net sales	956 359.00	1 247 369.00	965 685.00
Cost of goods sold	2 354.00	20 642.00	21 342.00
Operating profit	22 280.00	24 622.00	45 255.00
Profit before taxation	22 269.00	27 687.00	45 772.00
Net profit	16 367.00	20 325.00	35 496.00
- - - - - - - KEY RATIOS - - - - - - -
Return on sales, %	2.33	2.22	4.74
Profit before taxation / Net sales
Operating margin of profit, %	2.33	1.97	4.69
Operating profit / Net sales
Return on investment, %	23.76	34.69	73.19
Profit before taxation / Equity
Current assets turnover	1.34	1.31	1.28
Net sales / Current assets
Working capital	86 389.00	72 108.00	55 258.00
Current assets - Short-term liabilities
Leverage	0.13	0.08	0.08
Equity / Total assets
Current ratio	1.14	1.08	1.08
Current assets / Short-term liabilities
Quick ratio	1.14	1.08	1.08
(Current assets - Stock) / Short-term liabilities
Debt-to-equity ratio	6.68	10.99	11.17
Total liabilities / Equity

The company is registered as a taxpayer at the State Tax Administration.

FINAL COMMENTS

The information given in this report was collected from all the sources accessible. We contacted officer on 07.03.2012 by the tel. number: +38 044 5685070. He confirmed the general information and asked us to send a questionnaire. An inquiry was sent for the attention of the Director but no answer was received. If the additional information comes in we will update the subject report. Registration file does not contain information about Jsc The State Export-Import Bank of Ukraine.

APPENDIX A

Financial Statements

Period, months	6	12	12
Ended	30.06.2011	31.12.2010	31.12.2009
Currency	UAH th	UAH th	UAH th
PROFIT AND LOSS ACCOUNT (s)
010 Sales revenue (Income from sales of goods, work,	956 359.00	1 247 369.00	965 685.00
services
015 VAT tax	8 483.00	11 962.00	12 223.00
020 Excise tax	0.00	0.00	0.00
025
030 Other compulsory payments	902 569.00	1 142 639.00	858 002.00
035 Net sales revenue	45 307.00	92 768.00	95 460.00
040 Cost of goods, work, services	2 354.00	20 642.00	21 342.00
050 Gross profit	42 953.00	72 126.00	74 118.00
055 Gross loss	0.00	0.00	0.00
060 Other operating income	125 296.00	223 464.00	233 052.00
070 Administrative and management costs	17 792.00	34 834.00	26 531.00
080 Distribution costs	5 029.00	10 728.00	9 111.00
090 Other operating charges	123 148.00	225 406.00	226 273.00
100 Operating profit	22 280.00	24 622.00	45 255.00
105 Operating loss	0.00	0.00	0.00
110 Income from capital participating	0.00	0.00	0.00
120 Other financial income	0.00	3 053.00	538.00
130 Other income	0.00	0.00	0.00
140 Financial charges	0.00	0.00	0.00
150 Capital participating expenses	0.00	0.00	0.00
160 Other expenses	11.00	19.00	21.00
170 Profit from ordinary activity before taxation	22 269.00	27 656.00	45 772.00
175 Loss from ordinary activity before taxation	0.00	0.00	0.00
180 Ordinary activity Income-tax	5 902.00	7 362.00	10 276.00
190 Profit from ordinary activity	16 367.00	20 294.00	35 496.00
195 Loss from ordinary activity	0.00	0.00	0.00
200 Extraordinary income	0.00	31.00	0.00
205 Extraordinary charges	0.00	0.00	0.00
210 Extraordinary activity Income-Tax	0.00	0.00	0.00
220 Net profit	16 367.00	20 325.00	35 496.00
225 Net loss	0.00	0.00	0.00
Operating charges details:
230 Tangible expenses	646.00	1 498.00	1 157.00
240 Payroll costs	8 018.00	16 606.00	11 033.00
250 Allocation to social needs	2 480.00	4 809.00	3 345.00
260 Amortization charges	536.00	1 478.00	1 355.00
270 Other operating charges	22 761.00	32 866.00	33 724.00
280 Operating charges total	34 441.00	57 257.00	50 614.00
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
BALANCE SHEET
ASSETS
I. NON-CURRENT ASSETS
Intangible assets
010 residual value	14.00	2.00	7.00
011 acquisition cost	34.00	21.00	15.00
012 depreciation	20.00	19.00	8.00
020 Construction in progress	2 854.00	2 854.00	2 273.00
Fixed assets
030 residual assets	4 507.00	4 897.00	5 869.00
031 acquisition cost	10 851.00	10 721.00	10 225.00
032 depreciation	6 344.00	5 824.00	4 356.00
Long-term financial assets
040 Capital participation in other enterprises	0.00	0.00	0.00
045 Other financial investments	0.00	0.00	0.00
050 Long-term accounts receivable	0.00	0.00	0.00
060 Deferred tax charges	0.00	0.00	0.00
070 Other non-current assets	0.00	0.00	0.00
080 NON-CURRENT ASSETS TOTAL	7 375.00	7 753.00	8 149.00
II. CURRENT ASSETS
Stock
100 Raw materials, consumables and supplies	271.00	240.00	63.00
110 Working and productive animals	0.00	0.00	0.00
120 Construction in progress	0.00	0.00	0.00
130 Finished goods	0.00	0.00	0.00
140 Goods for resale	439.00	662.00	494.00
150 Bills of exchange receivable	0.00	0.00	0.00
Trade debtors:
160 net realizable value	76 898.00	164 088.00	15 248.00
161 acquisition cost	76 898.00	164 088.00	15 248.00
162 doubtful debts reserve	0.00	0.00	0.00
Accounts receivable
170 Budget accounts receivable	1.00	2.00	1.00
180 Payments in advance	529 862.00	712 493.00	662 165.00
190 Accrued income	0.00	0.00	0.00
200 Internal payments	0.00	0.00	0.00
210 Other current accounts receivable	3 469.00	3 672.00	817.00
220 Current financial investments	0.00	0.00	0.00
Cash at bank and in hand
230 Funds in local currency	518.00	968.00	2 720.00
240 Funds in foreign currencies	101 227.00	66 999.00	71 604.00
250 Other current assets	30.00	63.00	28.00
260 CURRENT ASSETS TOTAL	712 715.00	949 187.00	753 140.00
270 III. DEFERRED CHARGES	42.00	26.00	29.00
280 ASSETS TOTAL	720 132.00	956 966.00	761 318.00
EQUITY AND LIABILITIES
I. CAPITAL AND RESERVES
300 Authorized capital	842.00	842.00	842.00
310 Share capital	0.00	0.00	0.00
320 Additional contributed capital	0.00	0.00	0.00
330 Other additional capital	88 228.00	74 315.00	57 039.00
340 Reserve capital	210.00	210.00	210.00
350 Retained earnings (loss)	4 874.00	4 874.00	4 874.00
360 Unpaid capital (minus)	430.00	430.00	430.00
370 Retired capital (minus)	0.00	0.00	0.00
380 CAPITAL AND RESERVES TOTAL	93 724.00	79 811.00	62 535.00
II. PROVISIONS FOR EXPENSES AND
LIABILITIES
400 Provisions for payments to personnel	0.00	0.00	0.00
410 Other provisions	0.00	0.00	0.00
415 Insurance reserves	0.00	0.00	0.00
416 portion covered by insurers	0.00	0.00	0.00
420 Special-purpose funding	0.00	0.00	0.00
430 PROVISIONS FOR EXPENSES AND	0.00	0.00	0.00
LIABILITIES TOTAL
III. LONG-TERM LIABILITIES
440 Long-term amounts owed to credit institutions	0.00	0.00	0.00
450 Other financial liabilities	0.00	0.00	0.00
460 Deferred tax liabilities	82.00	76.00	901.00
470 Other long-term liabilities	0.00	0.00	0.00
480 TOTAL LONG-TERM LIABILITIES	82.00	76.00	901.00
IV. SHORT-TERM LIABILITIES
500 Short-term amounts owed to credit institutions	0.00	0.00	0.00
510 Short-term portion of long-term liabilities	0.00	0.00	0.00
520 Bills of exchange payable	0.00	0.00	0.00
530 Trade creditors	8 159.00	23 012.00	7 104.00
Accounts payable:
540 Advance payments	510 948.00	711 096.00	674 830.00
550 Budget accounts payable	9 539.00	6 637.00	10 001.00
560 Non-budget accounts payable	0.00	0.00	0.00
570 Insurance payments	171.00	2.00	0.00
580 Accrued payroll	382.00	0.00	0.00
590 Liabilities to shareholders	0.00	0.00	0.00
600 Internal payments	0.00	0.00	0.00
610 Other short-term liabilities	97 127.00	136 332.00	5 947.00
620 SHORT-TERM LIABILITIES TOTAL	626 326.00	877 079.00	697 882.00
630 V. DEFERRED INCOME	0.00	0.00	0.00
640 EQUITY AND LIABILITIES TOTAL	720 132.00	956 966.00	761 318.00

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.50.02
UK Pound	1	Rs.79.01
Euro	1	Rs.66.18

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.