MIRA INFORM REPORT

Report Date :

12.10.2012

IDENTIFICATION DETAILS

Name :	RT MART INTERNATIONAL LIMITED
Registered Office :	B2F., No.306, Sec. 2, Bade Rd., Jhongshan District, Taipei City 106
Country :	Taiwan
Date of Incorporation :	13.09.1996
Com. Reg. No.:	97165560
Legal Form :	Joint Stock Company
Line of Business :	Sales of general merchandise, etc and operating of supermarket chains
No. of Employees :	About 5,600 Employees (Taiwan area)

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 :	Good
Payment Behaviour :	Regular
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)
Taiwan	A2	A2

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

TAIWAN - ECONOMIC OVERVIEW

Taiwan has a dynamic capitalist economy with gradually decreasing government guidance of investment and foreign trade. In keeping with this trend, some large, state-owned banks and industrial firms have been privatized. Exports, led by electronics, machinery, and petrochemicals have provided the primary impetus for economic development. This heavy dependence on exports exposes the economy to fluctuations in world demand. In 2009, Taiwan's GDP contracted 1.9%, due primarily to a 20% year-on-year decline in exports. In 2010 GDP grew 10.9%, as exports returned to the level of previous years, and in 2011, grew 5.2%. However, 2012 growth will likely be less, according to most forecasters, because of softening global demand. Taiwan's diplomatic isolation, low birth rate, and rapidly aging population are major long-term challenges. Free trade agreements have proliferated in East Asia over the past several years, but so far Taiwan has been excluded from this greater economic integration largely because of its diplomatic status with the exception of the landmark Economic Cooperation Framework Agreement (ECFA) signed with China in June 2010. The MA administration has said that the ECFA will serve as a stepping stone toward trade pacts with other regional partners, and negotiations on a deal with Singapore began this year. Follow-on components of ECFA, including deals on trade in goods, services, and investment, have yet to be completed. Taiwan's Total Fertility rate of just over one child per woman is among the lowest in the world, raising the prospect of future labor shortages, falling domestic demand, and declining tax revenues. Taiwan's population is aging quickly, with the number of people over 65 accounting for 10.9% of the island's total population as of 2011. The island runs a large trade surplus, and its foreign reserves are the world's fourth largest, behind China, Japan, and Russia. Since 2005 China has overtaken the US to become Taiwan's second-largest source of imports after Japan. China is also the island's number one destination for foreign direct investment. Three financial memorandums of understanding, covering banking, securities, and insurance, took effect in mid-January 2010, opening the island to greater investments from the mainland's financial firms and institutional investors, and providing new opportunities for Taiwan financial firms to operate in China. Closer economic links with the mainland bring greater opportunities for the Taiwan economy, but also poses new challenges as the island becomes more economically dependent on China while political differences remain unresolved.

Source : CIA

Contact Points

Company Name:	RT Mart International Limited
Supplied Name:	RT Mard International Ltd.
Trading Address:	2F., No. 36, Lane 128, Sinhu 1st Rd. Neihu District, Taipei City, 114 Taiwan
Supplied Address:	2F, No. 36, Lane 128, Sinhu 1st Road, Neihu District, Taipei Citi 114
Telephone Number:	+886-2-2795-2888
Fax Number:	+886-2-2796-8987
Website:	www.rt-mart.com.tw

Notes: The exact name and address are as above.

Credit Summary

Credit Opinion:

Business connections are permissible.

Company Identification Details

Registered Name:	RT Mart International Limited
Registered Address:	B2F., No.306, Sec. 2, Bade Rd., Jhongshan District, Taipei City 106, Taiwan (R.O.C.)
Date of Foundation:	1996-9-13
Registration Number:	97165560
Registry:	Department of Commerce, Ministry of Economic Affairs, R.O.C.
Registered Capital:	NTD 1,565,000,000 (USD 53,366,500) (As of 2012.10, 1 NTD = 0.0341 USD)
Paid-up Capital:	NTD 1,558,532,570 (USD 53,145,960.64)
Legal Representatives:	Sixie Mei
Legal Form:	Joint Stock Company
Principal Activities:	Sales of general merchandise, etc and operating of supermarket chains
Staff:	About 5,600 Employees (Taiwan area)
Listed at Stock Exchange:	No
Date of Last Annual Return:	2012-6-25

History

Subject was incorporated on 97165560 with registered number 1996-9-13 as Joint Stock Company in Taiwan.

Shareholders

Name	Subscription Shares
Monic Corporation (Literal Translation)	96,259,898
Ruentex Industries Ltd.
16,828,936
China Development Industrial Bank	7,358,490

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

Subsidiaries & Branches

Branch Companies

1
Name	Bade Branch
Registration Number	53001443
Date of Registration	2010-10-20
Status	Live Company
Date of Last Annual Return	--
2
Name	Toufen Branch
Registration Number	29181515
Date of Registration	2010-9-3
Status	Live Company
Date of Last Annual Return	2011-7-28
3
Name	Fengshan Branch
Registration Number	28989998
Date of Registration	2010-1-8
Status	Live Company
Date of Last Annual Return	2010-7-28
4
Name	Jiayi Branch
Registration Number	28436167
Date of Registration	2008-6-13
Status	Live Company
Date of Last Annual Return	2010-10-5
5
Name	Taidong Branch
Registration Number	27245990
Date of Registration	2004-11-16
Status	Live Company
Date of Last Annual Return	--
6
Name	Pingzhen Branch
Registration Number	80033587
Date of Registration	2003-11-18
Status	Live Company
Date of Last Annual Return	2007-5-30
7
Name	Anping Branch
Registration Number	80030771
Date of Registration	2003-9-18
Status	Live Company
Date of Last Annual Return	2011-5-5
8
Name	Dounan Branch
Registration Number	80030765
Date of Registration	2003-9-18
Status	Live Company
Date of Last Annual Return	2010-5-21
9
Name	Zhongxiao Branch
Registration Number	80030759
Date of Registration	2003-9-18
Status	Live Company
Date of Last Annual Return	2010-5-21
10
Name	Zhongli Branch
Registration Number	80030744
Date of Registration	2003-9-18
Status	Live Company
Date of Last Annual Return	2011-4-18
11
Name	Tucheng Branch
Registration Number	80030738
Date of Registration	2003-9-18
Status	Live Company
Date of Last Annual Return	2004-11-11
12
Name	Nanhu Branch
Registration Number	80030723
Date of Registration	2003-9-18
Status	Live Company
Date of Last Annual Return	2009-5-12
13
Name	Tainan Jiali Branch
Registration Number	70795832
Date of Registration	2002-1-17
Status	Live Company
Date of Last Annual Return	2010-1-8
14
Name	Xindian Branch
Registration Number	70789389
Date of Registration	2000-11-1
Status	Live Company
Date of Last Annual Return	2010-5-21
15
Name	Zhonghe Branch
Registration Number	70766560
Date of Registration	2000-3-10
Status	Live Company
Date of Last Annual Return	2009-5-12
16
Name	Tainan Branch
Registration Number	70762776
Date of Registration	2000-1-25
Status	Live Company
Date of Last Annual Return	2010-5-21
17
Name	Neihu Branch
Registration Number	70758956
Date of Registration	1999-12-17
Status	Live Company
Date of Last Annual Return	2009-7-16
18
Name	Taichung Branch
Registration Number	16431075
Date of Registration	1997-12-1
Status	Live Company
Date of Last Annual Return	2007-5-30
19
Name	Hsinchu Branch
Registration Number	97172062
Date of Registration	1996-12-20
Status	Live Company
Date of Last Annual Return	2012-6-4

Personnel Information

Core Management

Directors

1
Name	Sixie Mei
Position	Board Director
2
Name	Mingduan Huang
Position	Director
3
Name	Yanliang Yin
Position	Director
4
Name	Luyu Du
Position	Director
5
Name	Gude Pan
Position	Director
6
Name	Qifan Wang
Position	Director
7
Name	Weiyu Sa
Position	Director
8
Name	Dehua Su
Position	Director
9
Name	Huaixuan Bao
Position	Director
10
Name	China Development Industrial Bank
Position	Director
11
Name	Zhiquan Chen
Position	Supervisor
12
Name	Deliang Feng
Position	Supervisor
13
Name	Tianrui Wang
Position	Manager
Date of Appointment	2012-5-16

Personnel Structure

Total Employees

About 5,600 Employees (Taiwan area)

Operation Information

Offices & Factories

	Headquarters
Add	2F., No. 36, Lane 128, Sinhu 1st Rd. Neihu District, Taipei City, 114 Taiwan

Production Information

l Subject is engaged in manufacturing of condiment, can, pickled and bakery food, etc.

l Subject has factories in Taiwan and mainland China, etc for production.

Purchase Information

l The registered activities of subject:

Business Code	Details
C103050	Manufacturing of can, frozen, dehydrated, and pickled food
C104020	Manufacturing of bakery food
C306010	Garment industry
CK01010	Manufacturing of shoes
CN01010	Manufacturing of furniture and decorations
F101040	Wholesale of domestic animal and fowl
F101050	Wholesale of aquatic product
F101100	Wholesale of flower
F101130	Wholesale of vegetable
F102020	Wholesale of edible fat and oil
F102030	Wholesale of alcohol and tobacco
F102040	Wholesale of beverage
F102050	Wholesale of tea
F102170	Wholesale of food grocery
F103010	Wholesale of feed
F104110	Wholesale of garment
F106020	Wholesale of daily supplies
F201010	Retail of agricultural products
F201020	Retail of animal by-products
F201030	Retail of aquatic product
F202010	Retail of feed
F203010	Retail of food grocery and beverage
F203020	Retail of alcohol and tobacco
F204110	Retail of garment
F206020	Retail of daily supplies
F301010	Department store industry
F399010	Convenience store industry
F399990	Other comprehensive retail
F401010	International trade business
F401071	Import and export of germchit
F401161	Import of tobacco
F401171	Import of alcohol
F501030	Beverage industry
F501050	Hotel industry
F501060	Restaurant industry
ZZ99999	Besides licensed business, all other business items those are not banned or restricted.

l The raw materials for production are mostly purchased in domestic market.

l It is introduced that subject import some products from Europe.

Sales Information

l Subject is engaged in operating of supermarket chains and sales of all kinds of food, beverage, daily supplies, garment, shoes, cosmetic and furniture, etc.

l Subject’s sales regions include Taiwan domestic market, mainland China, and Europe, etc.

l Subject is cooperative with Auchan group to establish supermarkets in Europe such as Luxembourg, Spain, France, Portugal, Italy, Poland, Hungary, and Russia, etc.

l Subject has their own brand “RT Mart”.

l It is introduced that subject has established more than 100 supermarkets in mainland China.

Major types of products sold

	Type
1	Home Appliances
2	Record
3	Book
4	Household Paper
5	Cosmetic
6	Garment
7	Shoe
8	Baby Products
9	Furniture
10	Auto and Motor Products
11	Fish, Meat, Vegetable, Fruit
12	All kinds of bread
13	Candy, Cookie
14	Pet Food and Supplies

Import and export right:

Import right	Yes
Export right	Yes

Settlements

Purchase

Domestic Purchase (Taiwan and Mainland, China)

Product	Payment Terms	Proportion
General merchandise, etc	Interior Settlement, COD, CBD, etc	100%

Foreign Purchase

Product	Payment Terms	Proportion
General merchandise, etc	CBD, etc	100%

Sales

Domestic Markets (Taiwan and Mainland, China)

Product	Sales Terms	Proportion
General merchandise, etc	Credit Sales, COD, CBD, etc	100%

Export

Product	Sales Terms	Proportion
General merchandise, etc	CBD, 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’s relevant staff Mr. Huang 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 cannot obtain the relevant information, either.

Public Record

Mortgage

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

Lawsuit

1
Trial Number:	2010,Beijian,19622
Date of Trial:	2010-4-26
Reason:	Pay off debts
2
Trial Number:	2009,Beilaojian,277
Date of Trial:	2010-2-9
Reason:	Pay for severance
3
Trial Number:	2007,Beijian,18633
Date of Trial:	2008-4-9
Reason:	Pay for agreed amount
4
Trial Number:	2006,Beichongsu,3
Date of Trial:	2008-3-5
Reason:	Compensation for infringement act
5
Trial Number:	2006,Beichongsu,3
Date of Trial:	2008-3-5
Reason:	Compensation for infringement act
6
Trial Number:	2006,Beixiao,717
Date of Trial:	2006-6-6
Reason:	Compensation for damages
7
Trial Number:	2006,Beixiao,717
Date of Trial:	2006-5-17
Reason:	Compensation for damages
8
Trial Number:	2003,Beilaoxiao,28
Date of Trial:	2003-4-30
9
Trial Number:	2003,Beilaoxiao,28
Date of Trial:	2003-4-30
Reason:	Compensation for damages
10
Trial Number:	2003,Beilaoxiao,28
Date of Trial:	2002-9-24

Interview Details

Name	Mr. Huang
Department	Sales Department

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.53.07
UK Pound	1	Rs.84.95
Euro	1	Rs.68.24

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.