MIRA INFORM REPORT

Report Date :

20.11.2012

IDENTIFICATION DETAILS

Name :	MITSUYA BOEKI LTD
Registered Office :	Yamaguchi Kosan Sakaisuji Bldg, 2-2-7 Kyutaromachi Chuoku Osaka 541-0056
Country :	Japan
Financials (as on) :	31.03.2012
Date of Incorporation :	August 1985
Com. Reg. No.:	(Osaka-Chuoku) 090430
Legal Form :	Limited Company
Line of Business :	Import, export, wholesale of industrial chemicals, pharmaceuticals, health foods
No. of Employees :	51 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: infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – June 30^th, 2012

Country Name	Previous Rating (31.03.2012)	Current Rating (30.06.2012)
Japan	A1	A1

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

japan - ECONOMIC OVERVIEW

In the years following World War II, government-industry cooperation, a strong work ethic, mastery of high technology, and a comparatively small defense allocation (1% of GDP) helped Japan develop a technologically advanced economy. Two notable characteristics of the post-war economy were the close interlocking structures of manufacturers, suppliers, and distributors, known as keiretsu, and the guarantee of lifetime employment for a substantial portion of the urban labor force. Both features are now eroding under the dual pressures of global competition and domestic demographic change. Japan's industrial sector is heavily dependent on imported raw materials and fuels. A tiny agricultural sector is highly subsidized and protected, with crop yields among the highest in the world. Usually self-sufficient in rice, Japan imports about 60% of its food on a caloric basis. Japan maintains one of the world's largest fishing fleets and accounts for nearly 15% of the global catch. For three decades, overall real economic growth had been spectacular - a 10% average in the 1960s, a 5% average in the 1970s, and a 4% average in the 1980s. Growth slowed markedly in the 1990s, averaging just 1.7%, largely because of the after effects of inefficient investment and an asset price bubble in the late 1980s that required a protracted period of time for firms to reduce excess debt, capital, and labor. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, Japan in 2011 stood as the fourth-largest economy in the world after second-place China, which surpassed Japan in 2001, and third-place India, which edged out Japan in 2011. A sharp downturn in business investment and global demand for Japan's exports in late 2008 pushed Japan further into recession. Government stimulus spending helped the economy recover in late 2009 and 2010, but the economy contracted again in 2011 as the massive 9.0 magnitude earthquake in March disrupted manufacturing. Electricity supplies remain tight because Japan has temporarily shut down almost all of its nuclear power plants after the Fukushima Daiichi nuclear reactors were crippled by the earthquake and resulting tsunami. Estimates of the direct costs of the damage - rebuilding homes, factories, and infrastructure - range from $235 billion to $310 billion, and GDP declined almost 0.5% in 2011. Prime Minister Yoshihiko NODA has proposed opening the agricultural and services sectors to greater foreign competition and boosting exports through membership in the US-led Trans-Pacific Partnership trade talks and by pursuing free-trade agreements with the EU and others, but debate continues on restructuring the economy and reining in Japan's huge government debt, which exceeds 200% of GDP. Persistent deflation, reliance on exports to drive growth, and an aging and shrinking population are other major long-term challenges for the economy.

Source : CIA

Company name

MITSUYA BOEKI LTD

REGD NAME

Mitsuya Boeki KK

MAIN OFFICE

Yamaguchi Kosan Sakaisuji Bldg, 2-2-7 Kyutaromachi Chuoku Osaka 541-0056 JAPAN

Tel: 06-6260-4581 Fax: 06-6260-4575

URL: http://www.mitsuya-boeki.co.jp

E-Mail address: info@mitsuya-boeki.co.jp

ACTIVITIES

Import, export, wholesale of industrial chemicals, pharmaceuticals, health foods

BRANCHES

Teheran; Mitsuya Boeki (USA) Inc, India (subsidiary)

OFFICERS

Yasuo Takahashi, ch MASARU KIMURA, PRES

Kiyoshi Nishimura, s/mgn dir Hiroshi Sakakibara, dir

Hiroaki Gen, dir

Yen Amount: In million Yen, unless otherwise stated

SUMMARY

FINANCES FAIR A/SALES Yen 12,688 M

PAYMENTS No Complaints CAPITAL Yen 54 M

TREND SLOW WORTH Yen 329 M

STARTED 1985 EMPLOYES 51

COMMENT

TRADING HOUSE SPECIALIZING IN INDUSTRIAL CHEMICALS. FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

HIGHLIGHTS

The subject company was established by Yasuo Takahashi jointly with two other entrepreneurs (all on the board and shareholders). Originally started importing pharmaceutical raw materials & intermediates from Australia, India and China, the core of its operations. The firm has since diversified handling products to include: pigments, paints, other industrial chemicals, pharmaceutical intermediates, food additives, health foods, cosmetics & toiletries. Main market base is USA, where the firm operates a subsidiary, Mitsuya Boeki (USA) Inc (See OPERATION). Imports of raw materials for pharmaceuticals continue growing from India & China. Operations are also diversified into advanced areas, such as fuel cells, nano powder (fine), etc. Goods are actively exported to USA, Mid/South America, India, Europe, Africa, Mid/Near East, China, other S/E Asia.

FINANCIAL INFORMATION

The sales volume for Mar/2012 fiscal term amounted to Yen 12,688 million, a 5% down from Yen 13,367 million in the previous term. Exports were hurt by the high Yen, reducing revenues and profits in Yen terms, despite the amount of exports increased. The recurring profit was posted at Yen 69 million and the net profit at Yen 4 million, respectively, compared with Yen 35 million recurring profit and Yen 15 million net profit, respectively, a year ago.

For the current term ending Mar 2013 the recurring profit is projected at Yen 70 million and the net profit at Yen 10 million, respectively, on a 2% rise in turnover, to Yen 13,000 million. Exports are expanding steadily. Dietary foods and health foods will grow in Japan amid ballooning aging population here.

The financial situation is considered maintained FAIR and good for ORDINARY business engagements.

REGISTRATION

Date Registered: Aug 1985

Regd No.: (Osaka-Chuoku) 090430

Legal Status: Limited Company (Kabushiki Kaisha)

Authorized: 4,000 shares

Issued: 1,080 shares

Sum: Yen 54 million

Major shareholders (%): Yasuo Takahashi (42), Kiyoshi Nishimura (21), Masaru Kimura (10), Hiroshi Sakakibara (10), Hiroaki Gen (10)

No. of shareholders: 9

Nothing detrimental is known as to the commercial morality of executives.

OPERATION

Activities: Imports, exports and wholesales industrial chemicals: cosmetics/toiletries, electronics materials, food additives, glass materials, pharmaceuticals materials & intermediates, textiles, pulp & paper, plastics, toothpaste, detergent, agricultural chemicals, construction materials, raw materials for fuel cells, machine components, various nano products, others (--100%).

Pharmaceuticals raw materials & intermediates are mainly imported from China and India.

(New Products):

Fuel Cell Materials: anode, carbon, catalysts, cathode, electrolyte, interconnector

materials;

Dietary Supplements: EPA oil, DHA oil, calcium gluconate, calcium lactate, taurin,

Vitamin (A, B, D, E, H), soybean lecithin, ohlor tetra cycline, other;

Nano Products;

Amino Acid.

Goods are widely exported to: USA, Mid/South America, India, China, UK, Germany, Africa, Mexico, Taiwan, other S/E Asian countries, etc.

(North American Operations): Operation is conducted by firm’s USA subsidiary selling typically following products through distributors & agencies across the country:

(Commodities): additives (fluoride, etc) for tooth polishing, raw materials of synthetic rubber, paints for cars, new materials such as high purity chemicals for use in Lithium Ion secondary batteries & fuel cells, raw materials for health foods, raw materials of agrochemicals (mainly shipped to Mexico & Chile), chelating agents.

Clients: [Mfrs, wholesalers] Exports to USA, Australia, India, China, Europe, Mid/South America, Mid/Near East, UK, Korea, Thailand, Taiwan, Malaysia, S/E Asia, other.

Domestic clients include: Osaka Organic Chemical Ind, Japan General, Wako Pure

Chemical Ind, other.

No. of accounts: 1,000

Domestic areas of activities: Nationwide

Suppliers: [Mfrs, wholesalers] Tosoh Corp, Okuno Chemical Ind, Shin-Etsu Chemical, Otsuka Chemical, Ube Ind, Nippon Shokubai, Stella Chemifa, Daicel Chemical, Nippon Paper Chemical, Japan Carbide, Mitsubishi Chemical, Mitsubishi Gas Chemical, Mitsubishi Rayon, Japan Vam & Poval Co, Nippon Paper Ind (Chemical Div), Yokkaichi Chemical Co, other. Also imports from India, China, Australia, other.

Payment record: No Complaints

Location: Business area in Osaka. Office premises at the caption address are leased and maintained satisfactorily.

Bank References:

MUFG (Semba-Chuo)

SMBC (Namba)

Relations: Satisfactory

FINANCES

(In Million Yen)

Terms Ending:		31/03/2013	31/03/2012	31/03/2011	31/03/2010
Annual Sales		13,000	12,688	13,367	11,205
Recur. Profit		70	69	35	144
Net Profit		10	4	15	69
Total Assets			3,229	3,276	2,888
Current Assets			2,985	3,042	2,659
Current Liabs			2,179	2,242	1,937
Net Worth			329	325	309
Capital, Paid-Up			54	54	54
Div.P.Share(¥)			0.00	0.00	0.00
<Analytical Data>		(%)	(%)	(%)	(%)
S.Growth Rate		2.46	-5.08	19.29	32.98
Current Ratio		..	136.99	135.68	137.27
N.Worth Ratio		..	10.19	9.92	10.70
R.Profit/Sales		0.54	0.54	0.26	1.29
N.Profit/Sales		0.08	0.03	0.11	0.62
Return On Equity		..	1.22	4.62	22.33

Note: Forecast (or estimated) for the 31/03/2013 fiscal term.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.54.97
UK Pound	1	Rs.87.50
Euro	1	Rs.70.16

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.