MIRA INFORM REPORT

Report Date :

20.09.2012

IDENTIFICATION DETAILS

Name :	INERTEC LÖTTECHNIK GMBH
Registered Office :	Kreuzstr. 17, D 97892 Kreuzwertheim
Country :	Germany
Financials (as on) :	31.12.2010
Date of Incorporation :	13.02.1992
Com. Reg. No.:	HRB 6434
Legal Form :	Private limited company
Line of Business :	Manufacture of other electric equipment
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

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)
Germany	A1	A1

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

GERMANY - ECONOMIC OVERVIEW

The German economy - the fifth largest economy in the world in PPP terms and Europe's largest - is a leading exporter of machinery, vehicles, chemicals, and household equipment and benefits from a highly skilled labor force. Like its Western European neighbors, Germany faces significant demographic challenges to sustained long-term growth. Low fertility rates and declining net immigration are increasing pressure on the country's social welfare system and necessitate structural reforms. Reforms launched by the government of Chancellor Gerhard SCHROEDER (1998-2005), deemed necessary to address chronically high unemployment and low average growth, contributed to strong growth in 2006 and 2007 and falling unemployment. These advances, as well as a government subsidized, reduced working hour scheme, help explain the relatively modest increase in unemployment during the 2008-09 recession - the deepest since World War II - and its decrease to 6.0% in 2011. GDP contracted 5.1% in 2009 but grew by 3.6% in 2010, and 2.7% in 2011. The recovery was attributable primarily to rebounding manufacturing orders and exports - increasingly outside the Euro Zone. Germany's central bank projects that GDP will grow 0.6% in 2012, a reflection of the worsening euro-zone financial crisis and the financial burden it places on Germany as well as falling demand for German exports. Domestic demand is therefore becoming a more significant driver of Germany's economic expansion. Stimulus and stabilization efforts initiated in 2008 and 2009 and tax cuts introduced in Chancellor Angela MERKEL's second term increased Germany's budget deficit to 3.3% in 2010, but slower spending and higher tax revenues reduce the deficit to 1.7% in 2011, below the EU's 3% limit. A constitutional amendment approved in 2009 limits the federal government to structural deficits of no more than 0.35% of GDP per annum as of 2016. Following the March 2011 Fukushima nuclear disaster, Chancellor Angela Merkel announced in May 2011 that eight of the country's 17 nuclear reactors would be shut down immediately and the remaining plants would close by 2022. Germany hopes to replace nuclear power with renewable energy. Before the shutdown of the eight reactors, Germany relied on nuclear power for 23% of its energy and 46% of its base-load electrical production.

Source : CIA

Company name and address

INERTEC Löttechnik GmbH

Kreuzstr. 17

D 97892 Kreuzwertheim

Telephone: 09342/9219-0

Telefax: 09342/9219-10

Homepage: www.inertec.de

E-mail: inertec_loettechnik@t-online.de

VAT no

DE234482323

CONCLUSION

Business relations are permissible.

Company details

LEGAL FORM Private limited company

Date of foundation: 13.02.1992

Shareholders'

agreement: 13.02.1992

Registered on: 19.01.1999

Commercial Register: Local court 97070 Würzburg

under: HRB 6434

Share capital: EUR 51,129.19

Shareholder

Andreas Hohnerlein

Ringstr. 7

D 97892 Kreuzwertheim

born: 29.07.1971

Share: EUR 38,346.89

Shareholder:

Elsbeth Hohnerlein

Ringstr. 7

D 97892 Kreuzwertheim

born: 01.08.1949

née: Ohnmeiß

Share: EUR 12,782.30

Manager

Elsbeth Hohnerlein

Ringstr. 7

D 97892 Kreuzwertheim

having sole power of representation

born: 01.08.1949

née: Ohnmeiß

Profession: Industrial manager

Marital status: married

Manager:

Andreas Hohnerlein

Ringstr. 7

D 97892 Kreuzwertheim

having sole power of representation

born: 29.07.1971

Profession: Technical engineer

COMPANY HISTORY

13.02.1992 - 23.11.1998 INERTEC Löttechnik GmbH (HRB 299-W, AG

Tauberb. )

Nebenzollgasse 2

D 97877 Wertheim

Private limited company

BUSINESS ACTIVITIES

Sectors

27900 Manufacture of other electric equipment n.e.c.

4669 Wholesale of other machinery, equipment and supplies

FINANCIAL INFORMATION

Payment experience: without complaints

Negative information:We have no negative information at hand.

Balance sheet year: 2010

REAL ESTATE

Type of ownership: Tenant

Address Kreuzstr. 17

D 97892 Kreuzwertheim

Land register documents were not available.

BANKERS

Principal bank

COMMERZBANK VORMALS DRESDNER BANK, WERTHEIM A MAIN

Sort. code: 79080052, BIC: DRESDEFF790

Further bank

VOLKSBANK MAIN-TAUBER, WERTHEIM A MAIN

Sort. code: 67390000, BIC: GENODE61WTH

FINANCIAL FIGURES

Turnover: 2010 EUR 2,500,000.00

Equipment: EUR 72,000.00

Ac/ts receivable: EUR 2,003,769.00

Liabilities: EUR 1,466,920.00

Total numbers of vehicles: 3

Employees: 12

- thereof permanent staff: 12

The aforementioned business figures may partly be estimated

information based on average values in the line of business.

BALANCE SHEETS

Balance sheet ratios 01.01.2010 - 31.12.2010

Equity ratio [%]: 83.51

Liquidity ratio: 10.00

Return on total capital [%]: 19.58

Balance sheet ratios 01.01.2009 - 31.12.2009

Equity ratio [%]: 89.05

Liquidity ratio: 10.00

Return on total capital [%]: -3.48

Balance sheet ratios 01.01.2008 - 31.12.2008

Equity ratio [%]: 93.22

Liquidity ratio: 10.00

Return on total capital [%]: -42.93

Balance sheet ratios 01.01.2007 - 31.12.2007

Equity ratio [%]: 89.52

Liquidity ratio: 10.00

Return on total capital [%]: -1.21

Equity ratio

The equity ratio indicates the portion of the equity as compared

to the total capital. The higher the equity ratio, the better the

economic stability (solvency) and thus the financial autonomy of

a company.

Liquidity ratio

The liquidity ratio shows the proportion between adjusted

receivables and net liabilities. The higher the ratio, the lower

the company's financial dependancy from external creditors.

Return on total capital

The return on total capital shows the efficiency and return on

the total capital employed in the company. The higher the return

on total capital, the more economically does the company work

with the invested capital.

Type of balance

sheet: Company balance sheet

Financial year: 01.01.2010 - 31.12.2010

ASSETS EUR 3,824,942.37

Fixed assets EUR 130,197.00

Intangible assets EUR 2.00

Other / unspecified intangible assetsEUR 2.00

Tangible assets EUR 130,195.00

Other / unspecified tangible assets EUR 130,195.00

Current assets EUR 3,689,480.37

Stocks EUR 1,290,750.11

Accounts receivable EUR 2,003,768.50

Other debtors and assets EUR 2,003,768.50

Liquid means EUR 394,961.76

Remaining other assets EUR 5,265.00

Accruals (assets) EUR 5,265.00

LIABILITIES EUR 3,824,942.37

Shareholders' equity EUR 2,081,897.41

Capital EUR 51,129.19

Subscribed capital (share capital) EUR 51,129.19

Balance sheet profit/loss (+/-) EUR 2,030,768.22

Balance sheet profit / loss EUR 2,030,768.22

Provisions EUR 276,124.56

Liabilities EUR 1,466,920.40

Other liabilities EUR 1,466,920.40

Unspecified other liabilities EUR 1,466,920.40

Type of balance

sheet: Company balance sheet

Financial year: 01.01.2009 - 31.12.2009

ASSETS EUR 2,719,489.99

Fixed assets EUR 169,040.00

Intangible assets EUR 2.00

Other / unspecified intangible assetsEUR 2.00

Tangible assets EUR 169,038.00

Other / unspecified tangible assets EUR 169,038.00

Current assets EUR 2,544,185.16

Stocks EUR 517,817.50

Accounts receivable EUR 872,266.43

Other debtors and assets EUR 872,266.43

Liquid means EUR 1,154,101.23

Remaining other assets EUR 6,264.83

Accruals (assets) EUR 6,264.83

LIABILITIES EUR 2,719,489.99

Shareholders' equity EUR 1,333,007.71

Capital EUR 51,129.19

Subscribed capital (share capital) EUR 51,129.19

Balance sheet profit/loss (+/-) EUR 1,281,878.52

Balance sheet profit / loss EUR 1,281,878.52

Provisions EUR 47,309.00

Liabilities EUR 1,339,173.28

Other liabilities EUR 1,339,173.28

Unspecified other liabilities EUR 1,339,173.28

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.54.25
UK Pound	1	Rs.88.14
Euro	1	Rs.71.03

INFORMATION DETAILS

Report Prepared by :

PDT

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.