MIRA INFORM REPORT

Report Date :

26.10.2012

IDENTIFICATION DETAILS

Name :	THAI VISION HOLIDAYS CO., LTD.
Registered Office :	28/21 Soi Sukhumvit 36, Sukhumvit Road, Klongton, Klongtoey, Bangkok 10110
Country :	Thailand
Financials (as on) :	31.12.2011
Date of Incorporation :	2000
Com. Reg. No.:	0105543103793
Legal Form :	PRIVATE LIMITED COMPANY
Line of Business :	Inbound-Outbound Travel Agent Service
No. of Employees :	70

RATING & COMMENTS

MIRA’s Rating :

B

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Status :	Moderate
Payment Behaviour :	Slow but correct
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 (31.03.2011)	Current Rating (30.06.2012)
Thailand	B1	B1

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

THAILAND - ECONOMIC OVERVIEW

With a well-developed infrastructure, a free-enterprise economy, generally pro-investment policies, and strong export industries, Thailand enjoyed solid growth from 2000 to 2007 - averaging more than 4% per year - as it recovered from the Asian financial crisis of 1997-98. Thai exports - mostly machinery and electronic components, agricultural commodities, and jewelry - continue to drive the economy, accounting for more than half of GDP. The global financial crisis of 2008-09 severely cut Thailand's exports, with most sectors experiencing double-digit drops. In 2009, the economy contracted 2.3%. In 2010, Thailand's economy expanded 7.8%, its fastest pace since 1995, as exports rebounded from their depressed 2009 level. Steady economic growth at just below 4% during the first three quarters of 2011 was interrupted by historic flooding in October and November in the industrial areas north of Bangkok, crippling the manufacturing sector and leading to a revised growth rate of only 0.1% for the year. The industrial sector is poised to recover from the second quarter of 2012 onward, however, and the government anticipates the economy will probably grow between 5.5 and 6.5% for 2012, while private sector forecasts range between 3.8% and 5.7%.

Source : CIA

COMPANY NAME

THAI VISION HOLIDAYS CO., LTD.

SUMMARY

BUSINESS ADDRESS : 28/21 SOI SUKHUMVIT 36, SUKHUMVIT ROAD,

KLONGTON, KLONGTOEY, BANGKOK 10110

TELEPHONE : [66] 2661-4450

FAX : [66] 2661-4453

E-MAIL ADDRESS : weeramol@thaivisionholidays.com

REGISTRATION ADDRESS : SAME AS BUSINESS ADDRESS

ESTABLISHED : 2000

REGISTRATION NO. : 0105543103793

TAX ID NO. : 3030180155

CAPITAL REGISTERED : BHT. 30,000,000

CAPITAL PAID-UP : BHT. 30,000,000

SHAREHOLDER’S PROPORTION : THAI : 51.00%

INDIAN : 49.00%

FISCAL YEAR CLOSING DATE : DECEMBER 31

LEGAL STATUS : PRIVATE LIMITED COMPANY

EXECUTIVE : MR. SALEEM ERACHAM VEETIL, INDIAN

MANAGING DIRECTOR

NO. OF STAFF : 70

LINES OF BUSINESS : INBOUND-OUTBOUND TRAVEL AGENT

SERVICE

CORPORATE PROFILE

OPERATING TREND : STABLE

PRESENT SITUATION : OPERATING NORMALLY

REPUTATION : FAIR WITH NORMAL BUSINESS ENGAGEMENT

MANAGEMENT STANDARD : MANAGEMENT WITH FAIR PERFORMANCE

HISTORY

The subject was established on November 6, 2000 as a private limited company under the registered name THAI VISION HOLIDAYS CO., LTD., by Thai and Indian groups, with the objective to be engaged in inbound-outbound travel agent. It currently employs approximate 70 staff.

The subject’s registered address is 28/21 Soi Sukhumvit 36, Sukhumvit Rd., Klongton, Klongtoey, Bangkok 10110, and this is the subject’s current operation address.

THE BOARD OF DIRECTOR

Name	Nationality	Age
Mr. Saleem Eracham Veetil	Indian	41
Ms. Prathana Yaemthong	Thai	42
Ms. Weeramol Silsong	Thai	33

AUTHORIZED PERSON

Anyone of the above directors can sign on behalf of the subject with company’s affixed.

MANAGEMENT

Mr. Saleem Eracham Veetil is the Managing Director.

He is Indian nationality with the age of 41 years old.

BUSINESS OPERATIONS

The subject operates as a travel agent including services of hotel reservation, airline booking, passport & visa arrangement and etc., as well as outbound travel service to Hong Kong, Laos, Korea, Japan, Vietnam and Cambodia.

PURCHASE

100% of purchasing is from local supplier.

SALES

Most of clients are tourists both Thai and Foreigner in Asia-Pacific region.

SUBSIDIARY AND AFFILIATED COMPANY

The subject is not found to have any subsidiary or affiliated company here in Thailand.

LITIGATION

Bankruptcy and Receivership

There are no litigation on bankruptcy and receivership cases filed against the subject found at Legal Execution Department for the past five years.

Others

There are no legal suits filed against the subject according to IRICO’S DATABASE for the past two years.

CREDIT

Sales are by cash or on the credit term of 30 days.

Local bills are paid by cash or on the credits term of 30-60 days.

BANKING

Bangkok Bank Public Co., Ltd.

The Siam Commercial Bank Public Co., Ltd.

EMPLOYMENT

The subject currently employs approximately 70 staff, comprising 50 office and sales, and 20 tour leaders.

LOCATION DETAILS

The premise is rented for administrative office at the heading address. Premise is located in commercial/residential area.

Branch office is located at 8/105 Moo 6, T. Naklua, A. Banglamung, Chonburi 20150.

COMMENT

The subject is a travel agent providing tourists an air ticket booking, hotel reservation and package tour. Its sales in 2011 was slow down due to prolong sluggish economy in many countries and huge earthquake in Japan. However, travel business has improved in 2012 with more inbound tourists as well as rising number of outbound tourists to Asian countries like Japan, Korea and China.

With the improvement of Thai economy and purchasing power have prompted the subject to increase its sales. Its business prospect is promising.

FINANCIAL INFORMATION

The capital was registered at Bht. 4,000,000 divided into 40,000 shares of Bht. 100 each with fully paid.

The capital was increased later as follows:

Bht. 7,000,000 on June 28, 2002

Bht. 10,000,000 on March 12, 2007

Bht. 14,000,000 on October 24, 2008

Bht. 20,000,000 on January 12, 2011

Bht. 30,000,000 on August 1, 2012

The latest registered capital was increased to Bht. 30 million, divided into 300,000 shares of Bht. 100 each with fully paid.

THE SHAREHOLDERS LISTED WERE

[as at July 30, 2012]

NAME	HOLDING	%
Ms. Prathana Yaemthong Nationality: Thai Address : 9/230 Ladkrabang Rd., Ladkrabang, Bangkok	151,000	50.33
Mr. Saleem Eracham Veetil Nationality: Indian Address : 28/21 Sukhumvit 36 Rd., Klongton, Klongtoey, Bangkok	147,000	49.00
Ms. Weeramol Silsong Nationality: Thai Address : 51/72 Soi Ramindra 55/8, Tharaeng, Bangkhen, Bangkok	2,000	0.67

Total Shareholders : 3

Share Structure

[as at July 30, 2012]

Nationality	Shareholders	No. of Share	% Shares
Thai	2	153,000	51.00
Foreign-Indian	1	147,000	49.00
Total	3	300,000	100.00

NAME OF AUDITOR & CERTIFIED PUBLIC ACCOUNTANT NO.

Mrs. Pinpinat Yarnakorntanaphan No. 5841

BALANCE SHEET [BAHT]

The latest financial figures published for December 31, 2011 & 2010 were:

ASSETS

Current Assets	2011	2010
Cash and Cash Equivalents	73,366.78	157,881.59
Trade Accounts Receivable	-	598,920.86
Advance Payment Employees	-	906,771.59
Advance Payment to Related Company	1,463,662.35	3,752,262.43
Other Current Assets	33,382.00	261,183.60
Total Current Assets	1,570,411.13	5,677,020.07
Fixed Assets	50,272,018.72	67,068,625.12
Other Non - current Assets	-	23,465.38
Total Assets	51,842,429.85	72,769,110.57

LIABILITIES & SHAREHOLDERS’ EQUITY [BAHT]

Current Liabilities	2011	2010
Bank Overdraft from Financial Institutions	5,037,604.28	5,032,487.32
Trade Accounts Payable	-	4,713,144.11
Current Portion of Long-term Loans	1,428,000.00	1,428,000.00
Current Portion of Hire-purchase Payable	14,465,476.06	11,255,526.87
Other Current Liabilities	877,018.53	2,107,669.32
Total Current Liabilities	21,808,098.87	24,536,827.62
Long-term Loan, Net of Current Portion	1,647,432.14	2,640,151.00
Reserve for Employee’s Benefit	24,026,036.83	32,927,232.80
Total Liabilities	47,481,567.84	60,104,211.42
Shareholders' Equity
Share capital : Baht 100 value authorized, issued and fully paid share capital 200,000 shares	20,000,000.00	20,000,000.00
Capital Paid	20,000,000.00	20,000,000.00
Less: Receivable Share	-	[6,000,000.00]
Retained Earning - Unappropriated	[15,639,137.99]	[1,335,100.85]
Total Shareholders' Equity	4,360,862.01	12,664,899.15
Total Liabilities & Shareholders' Equity	51,842,429.85	72,769,110.57

PROFIT & LOSS ACCOUNT

Revenue	2011	2010
Services Income	125,925,321.81	157,693,584.14
Total Revenues	125,925,321.81	157,693,584.14
Expenses
Cost of Services	120,956,486.02	139,958,754.79
Selling Expenses	-	427,643.68
Administrative Expenses	13,348,118.13	12,078,213.08
Total Expenses	134,304,604.15	152,464,611.55
Profit / Loss] before Financial Costs & Income Tax	[8,379,282.34]	5,228,972.59
Financial Costs	[5,134,017.34]	[3,607,547.15]
Profit / [Loss] before Income Tax	[13,513,299.68]	1,621,425.44
Income Tax	[790,737.46]	[906,916.85]
Net Profit / [Loss]	[14,304,037.14]	714,508.59

FINANCIAL ANALYSIS

ITEM	UNIT	2011	2010
LIQUIDITY RATIO
CURRENT RATIO	TIMES	0.07	0.23
QUICK RATIO	TIMES	0.07	0.22
ACTIVITY RATIO
FIXED ASSETS TURNOVER	TIMES	2.50	2.35
TOTAL ASSETS TURNOVER	TIMES	2.43	2.17
INVENTORY CONVERSION PERIOD	DAYS	-	-
INVENTORY TURNOVER	TIMES	-	-
RECEIVABLES CONVERSION PERIOD	DAYS	-	1.39
RECEIVABLES TURNOVER	TIMES	-	263.30
PAYABLES CONVERSION PERIOD	DAYS	-	12.29
CASH CONVERSION CYCLE	DAYS	-	(10.91)
PROFITABILITY RATIO
COST OF GOODS SOLD	%	96.05	88.75
SELLING & ADMINISTRATION	%	10.60	7.93
INTEREST	%	4.08	2.29
GROSS PROFIT MARGIN	%	3.95	11.25
NET PROFIT MARGIN BEFORE EX. ITEM	%	(6.65)	3.32
NET PROFIT MARGIN	%	(11.36)	0.45
RETURN ON EQUITY	%	(328.01)	5.64
RETURN ON ASSET	%	(27.59)	0.98
EARNING PER SHARE	BAHT	(71.52)	3.57
LEVERAGE RATIO
DEBT RATIO	TIMES	0.92	0.83
DEBT TO EQUITY RATIO	TIMES	10.89	4.75
TIME INTEREST EARNED	TIMES	(1.63)	1.45
ANNUAL GROWTH
SALES GROWTH	%	(20.15)
OPERATING PROFIT	%	(260.25)
NET PROFIT	%	(2,101.94)
FIXED ASSETS	%	(25.04)
TOTAL ASSETS	%	(28.76)

PROFITABILITY RATIO

Gross Profit Margin	3.95	Deteriorated	Industrial Average	16.55
Net Profit Margin	(11.36)	Deteriorated	Industrial Average	(0.69)
Return on Assets	(27.59)	Deteriorated	Industrial Average	(1.21)
Return on Equity	(328.01)	Deteriorated	Industrial Average	(2.45)

Gross Profit Margin used to assess a firm's financial health by revealing the proportion of money left over from revenues after accounting for the cost of goods sold. Gross profit margin serves as the source for paying additional expenses and future savings. The company's figure is 3.95%. When compared with the industry average, the ratio of the company was lower, indicated that company was originated from the problems with control over its costs.

Net Profit Margin is the indicator of the company's efficiency in that net profit takes into consideration all expenses of the company. A low profit margin indicates a low margin of safety, higher risk that a decline in sales will erase profits and result in a net loss. The company's figure is -11.36%. When compared with the industry average, the ratio of the company was lower.

Return on Assets measures how efficiently profits are being generated from the assets employed in the business when compared with the ratios of firms in a similar business. A low ratio in comparison with industry averages indicates an inefficient use of business assets. When compared with the industry average, it was lower, the company's figure is -27.59%.

Return on Equity indicates how profitable a company is by comparing its net income to its average shareholders' equity, ROE measures how much the shareholders earned for their investment in the company. When compared with the industry average, it was lower, the company's figure is -328.01%.

Trend of the average competitors in the same industry for last 5 years

Return on Assets Downtrend

Return on Equity Downtrend

LIQUIDITY RATIO

Current Ratio	0.07	Risky	Industrial Average	1.77
Quick Ratio	0.07
Cash Conversion Cycle	-

The Current Ratio is to ascertain whether a company's short-term assets are readily available to pay off its short-term liabilities. The company's figure is 0.07 times in 2011, decreased from 0.23 times, then the company may not be efficiently using its current assets. When compared with the industry average, the ratio of the company was lower.

The Quick Ratio is a liquidity indicator that further refines the current ratio by measuring the amount of the most liquid current assets there are to cover current liabilities. The company's figure is 0.07 times in 2011, decreased from 0.22 times, then the company has not enough current assets that presumably can be quickly converted to cash for pay financial obligations.

Trend of the average competitors in the same industry for last 5 years

Current Ratio Uptrend

LEVERAGE RATIO

Debt Ratio	0.92	Acceptable	Industrial Average	0.50
Debt to Equity Ratio	10.89	Risky	Industrial Average	0.97
Times Interest Earned	(1.63)	Risky	Industrial Average	0.07

Debt to Equity Ratio a measurement of how much suppliers, lenders, creditors and obligors have committed to the company versus what the shareholders have committed. A lower the percentage means that the company is using less leverage and has a stronger equity position.

Times Interest Earned measuring a company's ability to meet its debt obligations. Ratio is -1.64 lower than 1, so the company is not generating enough cash from EBIT to meet its interest obligations.

Debt Ratio shows the proportion of a company's assets which are financed through debt. The company's figure is 0.92 greater than 0.5, most of the company's assets are financed through debt.

Trend of the average competitors in the same industry for last 5 years

Debt Ratio Downtrend

Times Interest Earned Downtrend

ACTIVITY RATIO

Fixed Assets Turnover	2.50	Satisfactory	Industrial Average	3.25
Total Assets Turnover	2.43	Impressive	Industrial Average	1.68
Inventory Conversion Period	-
Inventory Turnover	-		Industrial Average	34.43
Receivables Conversion Period	-
Receivables Turnover	-		Industrial Average	3.02
Payables Conversion Period	-

Trend of the average competitors in the same industry for last 5 years

Fixed Assets Turnover Downtrend

Total Assets Turnover Downtrend

Inventory Turnover Downtrend

Receivables Turnover Downtrend

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.5363
UK Pound	1	Rs.86.17
Euro	1	Rs.69.74

INFORMATION DETAILS

Report Prepared by :

SDA

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.