MIRA INFORM REPORT

Report Date :

25.05.2012

IDENTIFICATION DETAILS

Name :	4HOME, A.S.

Formerly Known As :	4home, s.r.o.

Registered Office :	Návazná 1154/35 , 165 00 Praha 6

Country :	Czech Republic

Financials (as on) :	31.12.2010

Date of Incorporation :	02.12.2004

Com. Reg. No.:	B/13415

Legal Form :	Public Limited Company

Line of Business :	Mail-order service specialized on household equipment, soft furnishings, furniture, footwear, handbags, healthcare equipment

No. of Employees :	45

RATING & COMMENTS

MIRA’s Rating :

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: infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – March 31^st, 2012

Country Name

Previous Rating

(31.12.2011)

Current Rating

(31.03.2012)

Czech Republic

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

Company name & address

4home, a.s.

Návazná 1154/35
165 00 Praha 6
telephone: 00420/ 498 511 611
telefax: 00420/ 498 511 612
e-mail: info@4home.cz
Web: www.4home.cz

Company summary

Company development	Constant company development
Order situation	Good course of business

Terms of payment	mostly no complaints, but occasional delays / reminders
Business connection	Business connections appear permissible

Legal form	Public limited company
Foundation		17/12/2007 - Public limited company 06/12/2007 - Private limited company 02/12/2004 - Private limited company

Comp. Register		17/12/2007, Městský soud v Praze, RegNr.: B/13415 06/12/2007, Městský soud v Praze, RegNr.: C/132611 02/12/2004, Krajský soud Hradec Králové, RegNr.: C/20592 Statistical number: 27465616 Tax number: CZ27465616
Share Capital	02/12/2004		CZK	200 000,-

17/12/2007		CZK	2 000 000,-
	200 pcs of common bearer shares in documentary form at nominal value of CZK 10 000,-

Main Shareholder	Michal Fišer (08.10.1969) Na Rybářce 108/3, 165 00 Praha 6	%	60
	Mgr. Jiří Špiroch (16.02.1972) U Josefa 117, 530 09 Pardubice	%	20

	Zuzana Hrazdírová (09.03.1963) Bellušova 1804/7, 155 00 Praha 5		%	20
Board of Directors		Mgr. Jiří Špiroch (16.02.1972) U Josefa 117, 530 09 Pardubice chairman

	Petra Kopecká (24.09.1970) Na Smetance 504/16, 120 00 Praha 2 vice-chairman
	Zuzana Hrazdírová (09.03.1963) Bellušova 1804/7, 155 00 Praha 5

Supervisory Board	Marcela Špirochová (21.05.1975) Na Drážce 531, 530 03 Pardubice 3
	Marta Bečvářová (09.07.1949) Tuklatská 2091/1, 100 00 Praha 10

	Jakub Špiroch (30.07.1981) Kunětická 768, 533 04 Sezemice
	Eva Provodová (23.12.1970) Letkov 161, 326 00 Plzeň

General Data		Mail-order service specialized on household equipment, soft furnishings, furniture, footwear, handbags, healthcare equipment. Sale by means of catalogues and internet.
	Main activity:

	Former name(s) 4home, s.r.o. Beginning of validity: 02.12.2004 End of validity: 17.12.2007
	Trade name(s) 4home, a.s. Beginning of validity: 17.12.2007

	Export: Slovakia Ukraine
	Import: France Germany Hong Kong India Pakistan


	Address: Návazná 1154/35, 165 00 Praha 6 Beginning of validity: 28.11.2007 e-mail: servis@4home.cz

	Vocelova 1176, 500 02 Hradec Králové Beginning of validity: 05.12.2004 End of validity: 28.11.2007
	business locations: Na Brně 1972, 500 02 Hradec Králové, Nový Hradec Králové telephone: 00420/ 498 511 611 telefax: 00420/ 498 511 612 e-mail: info@4home.cz Web: www.4home.cz

		Branch of the business: Sedláčkova 245/ 24, 301 00 Plzeň, Vnitřní Město
Staff	2006		15 employees

	2008	27 employees
	2009	23 employees

	2010	34 employees
	2011	45 employees

		2012	45 employees
Annual Sales	2005			actual sales	CZK	49 020 000,-

	2006	actual sales	CZK	66 196 000,-
	2007	actual sales	CZK	90 515 000,-

	2008	actual sales	CZK	114 947 000,-
	2009	actual sales	CZK	134 680 000,-

2010		actual sales	CZK	192 301 000,-
	The company does not provide its current economic data. The expected economic data for the year 2011 is unavailable.

Property

none

Balance sheets

The enclosed balance of 2010 from business register, it is authenticated by the auditor. (31.12.2010 - 1 CZK)
The enclosed balance of 2009 from business register, it is authenticated by the auditor. (31.12.2009 - 1 CZK)
The enclosed balance of 2008 from business register, it is authenticated by the auditor. (31.12.2008 - 1 CZK)
The enclosed balance of 2007 from business register, it is authenticated by the auditor. (31.12.2007 - 1 CZK)

The enclosed profit/loss account of 2010 from business register, it is authenticated by the auditor. (31.12.2010 - 1 CZK)
The enclosed profit/loss account of 2009 from business register, it is authenticated by the auditor. (31.12.2009 - 1 CZK)
The enclosed profit/loss account of 2008 from business register, it is authenticated by the auditor. (31.12.2008 - 1 CZK)
The enclosed profit/loss account of 2007 from business register, it is authenticated by the auditor. (31.12.2007 - 1 CZK)

Remarks

All the sources of negative data accessible to public (insolvency registers, databases of debtors of health insurance institutions, commercial bulletin, collection database) are currently monitored.

The final accounts for the year 2011 are not available yet.

	Firm management: Jiří Špiroch – executive director Zuzana Hrazdírová – business director Other entrepreneurial interests: Michal Fišer - G - Solutions s.r.o., IČ: 47548380, executive, associate 100% - Microfinance, a.s., IČ 27860965, chairman of the Board of Supervision - AMBULATORIUM Vinohrady, a.s., IČ 28223667, member of the Board of Supervision - eHealth House, a.s., IČ 28951123, member of the Board of Directors - A4B Investment, uzavřený investiční fond, a.s., IČ: 24182389, chairman of the Board of Supervision By resolution from the General Meeting from December 12, 2007, the inquired company has changed its legal form from a limited liability company to a joint-stock company.
Bankers	Citibank Europe plc, organizační složka Account number: 2517470100/2600

Copyright: s.r.o. Praha

This information is addressed exclusively to the addressee. Contractor obligates to provide updated information. Although it is always put maximum effort to collect actual and exact information, it is not confirmed as delinquency if there are particular inaccurateness contained within the information, which are not considered as essential in terms of the objective for which the information is provided to the addressee. Contractor and recipient conform to the rules of the Name and Description Security Act, Nub.101/2000. According to the Name and Description Security Act, recipient has the right to process or to use forwarding data only for the purpose for which information has been sent to the recipient. Usage for other purpose is acceptable only in case referring to valid regulations of the above mentioned act.

Financial data

	balance	31.12.2007 (CZK)	31.12.2008 (CZK)	31.12.2009 (CZK)	31.12.2010 (CZK)
r1	TOTAL ASSETS	28 999 000	33 629 000	39 113 000	83 400 000
r3	Fixed assets	2 101 000	1 983 000	3 144 000	6 018 000
r4	Intangible fixed assets	1 194 000	1 038 000	1 273 000	2 483 000
r5	Incorporation expenses	40 000	19 000
r7	Software	118 000	1 019 000	1 273 000	427 000
r11	Intangible fixed assets under construction	1 036 000			2 056 000
r13	Tangible fixed assets	907 000	945 000	1 872 000	3 535 000
r16	Equipment	907 000	945 000	1 872 000	3 535 000
r23	Long-term financial assets	0	0	0	0
r31	Current assets	26 872 000	30 240 000	33 250 000	76 670 000
r32	Inventory	9 606 000	22 214 000	13 324 000	21 923 000
r37	Merchandise	9 606 000	22 214 000	13 324 000	21 923 000
r39	Long-term receivables	111 000	111 000	1 024 000	1 210 000
r44	Long-term deposits given	111 000	111 000	1 024 000	1 210 000
r48	Short-term receivables	5 166 000	1 967 000	4 832 000	15 872 000
r49	Trade receivables	3 203 000	1 933 000	3 739 000	5 821 000
r54	Due from state - tax receivable	13 000	11 000	2 000	449 000
r55	Short-term deposits given	946 000	1 064 000	2 193 000	10 862 000
r56	Estimated receivable	1 003 000	-1 030 000	-1 102 000	-1 260 000
r57	Other receivables	1 000	-11 000
r58	Short-term financial assets	11 989 000	5 948 000	14 070 000	37 665 000
r59	Cash	148 000	38 000	91 000	39 000
r60	Bank accounts	11 841 000	5 910 000	13 979 000	37 626 000
r63	Accruals	26 000	1 406 000	2 718 000	712 000
r64	Deferred expenses	26 000	73 000	645 000	472 000
r66	Deferred income		1 333 000	2 073 000	240 000
r67	TOTAL LIABILITIES	28 999 000	33 629 000	39 112 000	83 400 000
r68	Equity	8 942 000	13 960 000	15 735 000	16 895 000
r69	Registered capital	2 000 000	2 000 000	2 000 000	2 000 000
r70	Registered capital	2 000 000	2 000 000	2 000 000	2 000 000
r73	Capital funds	0	0	0	0
r78	Reserve funds, statutory reserve account for cooperatives, and other retained earnings	0	200 000	200 000	400 000
r79	Legal reserve fund / indivisible fund		200 000	200 000	400 000
r81	Profit / loss - previous years	-2 572 000	6 742 000	11 760 000	13 335 000
r82	Retained earnings from previous years	-2 572 000	6 742 000	11 760 000	13 335 000
r84	Profit / loss - current year (+/-)	9 514 000	5 018 000	1 774 000	1 160 000
r85	Other sources	20 057 000	19 675 000	23 584 000	65 864 000
r86	Reserves	0	0	0	0
r91	Long-term payables	-129 000	-23 000	-36 000	-51 000
r101	Deferred tax liability	-129 000	-23 000	-36 000	-51 000
r102	Short-term payables	18 227 000	18 845 000	22 601 000	34 461 000
r103	Trade payables	11 763 000	14 433 000	12 222 000	14 532 000
r107	Payroll	400 000	3 734 000	6 717 000	14 988 000
r108	Payables to social securities and health insurance	214 000	182 000	191 000	384 000
r109	Due from state - tax liabilities and subsidies	4 563 000	763 000	3 706 000	4 846 000
r110	Short-term deposits received	20 000	14 000
r112	Estimated payables	1 260 000	-293 000	-236 000	-303 000
r113	Other payables	7 000	12 000		14 000
r114	Bank loans and financial accommodations	1 959 000	853 000	1 019 000	31 454 000
r115	Long-term bank loans	945 000	597 000	1 019 000	624 000
r117	Short-term accommodations	1 014 000	256 000		30 830 000
r118	Accruals	0	-6 000	-206 000	641 000
r119	Accrued expenses		-6 000	-206 000	641 000

	profit/loss account	31.12.2007 (CZK)	31.12.2008 (CZK)	31.12.2009 (CZK)	31.12.2010 (CZK)
a1	Turnover	90 515 000	114 947 000	134 680 000	192 301 000
a2	Revenues from sold goods	82 515 000	104 598 000	125 659 000	181 132 000
a3	Expenses on sold goods	33 800 000	40 374 000	48 560 000	75 820 000
a4	Sale margin	48 715 000	64 224 000	77 098 000	105 312 000
a5	Production	8 000 000	10 349 000	9 021 000	11 169 000
a6	Revenues from own products and services	8 000 000	10 349 000	9 021 000	11 169 000
a9	Production consumption	35 471 000	50 756 000	58 972 000	76 552 000
a10	Consumption of material and energy	957 000	911 000	1 013 000	2 630 000
a11	Services	34 514 000	49 845 000	57 959 000	73 922 000
a12	Added value	21 244 000	23 817 000	27 147 000	39 929 000
a13	Personnel expenses	6 606 000	15 467 000	20 094 000	34 705 000
a14	Wages and salaries	4 741 000	12 885 000	17 426 000	30 495 000
a16	Social security expenses and health insurance	1 589 000	2 315 000	2 382 000	3 814 000
a17	Other social expenses	276 000	267 000	286 000	396 000
a18	Taxes and fees	9 000	23 000	25 000	50 000
a19	Depreciations of intangible and tangible assets	691 000	1 795 000	2 332 000	3 392 000
a20	Revenues from disposals of fixed assets and materials	0	0	0	0
a23	Net book value of disposed fixed assets and materials	0	0	0	0
a27	Other operating revenues	673 000	889 000	463 000	874 000
a28	Other operating expenses	775 000	655 000	670 000	690 000
a31	Operating profit / loss	13 836 000	6 766 000	4 488 000	1 966 000
a34	Revenues from long-term financial assets	0	0	0	0
a43	Interest revenues	12 000	62 000	8 000
a44	Interest expenses	855 000	226 000	720 000	999 000
a45	Other financial revenues	28 000	2 084 000	1 050 000	3 848 000
a46	Other financial expenses	1 039 000	2 015 000	2 555 000	3 156 000
a49	Profit / loss from financial operations ( transactions )	-1 854 000	-95 000	-2 216 000	-307 000
a50	Income tax on ordinary income	2 468 000	1 517 000	497 000	499 000
a51	Due tax	2 597 000	1 411 000	510 000	514 000
a52	Tax deferred	-129 000	106 000	-13 000	-15 000
a53	Operating profit / loss ordinary activity	9 514 000	5 154 000	1 774 000	1 160 000
a54	Extraordinary revenues		80 000
a55	Extraordinary expenses		216 000
a56	Income tax on extraordinary income	0	0	0	0
a59	Operating profit / loss extraordinary activity	0	-136 000	0	0
a61	Profit / loss of current accounting period (+/-)	9 514 000	5 018 000	1 774 000	1 160 000
a62	Profit / loss before tax (+/-)	11 982 000	6 535 000	2 272 000	1 659 000
	Receivables more than 180 days after due date				238 000
	Liabilities after due date total				24 000

Balance indices		31.12.2007	31.12.2008	31.12.2009	31.12.2010
Return on total assets ROA (in %)	a62/r1 * 100	41,32	19,43	5,81	1,99
Return on equity ROE (in %)	a62/r68 * 100	134,00	46,81	14,44	9,82
Return on sales ROS (in %)	a62/a1 * 100	13,24	5,69	1,69	0,86
Turnover of receivables (in days)	r49/a1 * 365	12,92	6,14	10,13	11,05
Turnover of liabilities (in days)	r103/a1 * 365	47,43	45,83	33,12	27,58
Turnover of inventories (days)	r32/a1 * 365	38,74	70,54	36,11	41,61
Net working capital (in ths. CZK)	r31 - r102 - r116 - r117	7 631,00	11 139,00	10 649,00	11 379,00
Ratio of accounts payable to accounts receivable (in %)	(r39+r48) / (r91+r102) * 100	29,16	11,04	25,95	49,64
Ratio of profit/loss to tangible assets (in%)	r3 / a1 * 100	2,32	1,73	2,33	3,13
Current ratio	r31 / (r102+r116+r117)	n/a	n/a	n/a	n/a
Quick ratio	(r58+r48) / (r102+r116+r117)	0,89	0,41	0,84	0,82
Cash ratio	r58 / (r102+r116+r117)	n/a	n/a	n/a	n/a
Debt ratio I (in %)	(1-r68/r67) * 100	69,16	58,49	59,77	79,74
Debt ratio II (in %)	r85/r67 * 100	69,16	58,51	60,30	78,97

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.56.29
UK Pound	1	Rs.88.26
Euro	1	Rs.70.82

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%)

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.

MIRA INFORM REPORT

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