MIRA INFORM REPORT

Report Date :

06.12.2013

IDENTIFICATION DETAILS

Name :	FILDAS TRADING SRL
Registered Office :	Arges county / Pitesti – Banat Street No. 2, Corp D, Etaj 1-C1, Birou 10
Country :	Romania
Financials (as on) :	31.12.2012
Date of Incorporation :	October 1993
Legal Form :	Limited Liability Company
Line of Business :	Import and distribution of pharmaceuticals.
No. of Employees :	611

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, 2013

Country Name	Previous Rating (31.12.2012)	Current Rating (31.03.2013)
Romania	B2	B2

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

ROMANIA - ECONOMIC OVERVIEW

Romania, which joined the European Union on 1 January 2007, began the transition from Communism in 1989 with a largely obsolete industrial base and a pattern of output unsuited to the country's needs. The country emerged in 2000 from a punishing three-year recession thanks to strong demand in EU export markets. Domestic consumption and investment fueled strong GDP growth, but led to large current account imbalances. Romania's macroeconomic gains have only recently started to spur creation of a middle class and to address Romania''s widespread poverty. Corruption and red tape continue to permeate the business environment. Inflation rose in 2007-08, driven by strong consumer demand, high wage growth, rising energy costs, a nation-wide drought, and a relaxation of fiscal discipline. As a result of the increase in fiscal and current account deficits and the global financial crisis, Romania signed on to a $26 billion emergency assistance package from the IMF, the EU, and other international lenders. Worsening international financial markets, as well as a series of drastic austerity measures implemented to meet Romania''s obligations under the IMF-led bail-out agreement contributed to a GDP contraction of 6.6% in 2009, followed by a 1.1% GDP contraction in 2010. The economy returned to positive growth in 2011 due to strong exports, a better than expected harvest, and weak domestic demand. In 2012, however, growth slowed to less than 1%, partially due to slackening export demand and an extended drought that resulted in an exceptionally poor harvest. In March 2011, Romania and the IMF/EU/World Bank signed a 24-month precautionary stand-by agreement, worth $6.6 billion, to promote fiscal discipline, encourage progress on structural reforms, and strengthen financial sector stability. The Romanian authorities announced that they do not intend to draw funds under the agreement

Source : CIA

Company name and address

NAME OF THE COMPANY	FILDAS TRADING SRL
Address	Arges county / Pitesti – Banat Street No. 2, Corp D, Etaj 1-C1, Birou 10
Phone no.	0040-248-251250 0040-21-2211773, 2211774, 2079136, 2079137	Fax no.	0040-21-2204927, 2079141
Web-site	www.fildas.ro	E-mail address	secretariat@fildas.com

HISTORIC/OFFICIAL DATA

Date of foundation	October, 1993 in Bucharest. In April, 2008 it moved its headquarters in Arges county and it was re-incorporated under a new registration umber.
Present legal form	limited liability company, entire Romanian capital
Registered with the Trade Registry	J03/849/2008 actual J40/24499/1993 former
VAT no.	4851409
Registered capital	45,400,925 RON
Shareholders	Individual
	1. Mrs. Vlad Anca – Romanian citizen, born on 23.03.1957
	Participation				99.9117%
	Legal person
	2. FILDAS SRL – Romanian legal person (J40/10410/1991, VAT 1582012)
	Address: Bucharest, sector 5 – Unirii Blvd. No. 9, Bl. 2A, Ap. 46
	Participation			0.0883%
Obligation to publish	According to the Romanian Financial Legislation, subject company is obliged to lodge with the Ministry of Public Finance its half-yearly accounts
EMPLOYEES	2007	2008	2009			2010	2011	2012
total	611	578	480			488	499	611
BUSINESS ACTIVITY - wholesale trade with pharmaceuticals, according to the national Trade Registry updated files (NACE: 4646) According to the company’s web-site FILDAS TRADING SRL is one of the most important Romanian companies for import and distribution of pharmaceuticals. The main goal of the company is to improve the distribution system of the pharmaceuticals to pharmacies, hospitals and other type of clients. It is market leader in Romania, offering a wide range of products. Activities of FILDAS National distribution Door-to-door/24 hours delivery services for its clients Storing and assembling warehousing services. Marketing communication consultancy and support for their partners FILDAS’s turnover is 75% through pharmacies and 25% through hospitals. FILDAS has a national ware-houses network (over 20). Since 2001 FILDAS is certified ISO 9001. Since 2005 it has been also certified OHSAS 18001/ 2004 and ISO 14001/2005, having implemented a quality management system For more details, please do visit www.fildas.ro

OTHER PARTICIPATION

1. Company’s participation	1. MED SERV UNITED SRL – J40/28632/1994, VAT 7005439 2. CATENA MANAGEMENT SRL – J40/13740/2003, VAT 15814902 3. FARMACEUTICA ARGESFARM SA – J3/363/1991, VAT 129022 4. IRIS PLUS SRL – J31/70/2003, VAT 15199611 5. FARMAVIT SRL – J11/543/1995, VAT 7870502 6. MARCELA FARM SRL – J03/1577/2012 (former J01/135/1999), VAT 11624590
2. Shareholders other participation	Mrs. Vlad Anca	In other 29 Romanian companies

REAL ESTATE (RON)

- lands & buildings	2007	2008	2009	2010	2011	2012
	12,291,940	45,436,611	43,835,119	42,870,244	43,007,662	42,914,187
BANKS	Romanian Commercial Bank, Citi Bank Romania
MANAGEMENT as officially registered with the National Trade Registry according to the company’s web-site	Administrator Mr. Mihai Dragos – Romanian citizen, born on 19.11.1967 Appointed on 28.03.2008 for an unspecified period Executives General Manager, CEO Mr. Dragos Mihai; e-mail address: dragos.mihai@fildas.com
CURRENCY Exchange rate of EURO	1 EURO = 3.6102 RON on 31.12.2007 1 EURO = 3.9852 RON on 31.12.2008 1 EURO = 4.2282 RON on 31.12.2009 1 EURO = 4.2848 RON on 31.12.2010 1 EURO = 4.3197 RON on 31.12.2011 1 EURO = 4.4287 RON on 31.12.2012

FINANCIAL DATA: RON

BALANCE SHEET	31.12.2011	31.12.2012
INTANGIBLES - TOTAL	185,865	239,708
TANGIBLES - TOTAL	60,494,402	59,967,474
FINANCIALS - TOTAL	194,446,951	194,018,262
FIXED ASSETS - TOTAL	255,127,218	254,225,444
STOCKS - TOTAL	67,434,011	157,037,095
CLAIMS - TOTAL	604,665,621	687,618,038
CURRENT ASSETS	686,550,782	861,286,762
PREPAID EXPENSES	5,974,737	5,330,947
DEBTS WITHIN 1 YEAR	543,432,813	703,609,302
DEBTS OVER 1 YEAR	317,629,128	310,617,317
PROVISIONS	0	0
ADVANCED INCOMES	12,621	3,418
REGISTERED CAPITAL	45,400,925	45,400,925
RESERVES from reassessment of the fixed assets	17,032,477	16,939,411
RESERVES	11,812,782	13,428,383
PROFITS CARRIED FORWARD	-10,886,294	7,284,775
NET RESULT - PROFIT	24,596,603	25,082,158
NET RESULT - LOSS	0	0
DISTRIBUTION OF PROFIT	1,378,318	1,522,536
NET WORTH	86,578,175	106,613,116
PROFIT & LOSS ACCOUNT	31.12.2011	31.12.2012
Turnover	935,162,376	1,115,265,491
Own production & services	18,604,408	26,515,435
Sales	946,887,771	1,186,043,341
Discounts granted	30,329,803	97,293,285
INCOMES FROM ORDINARY OPERATING ACTIVITY	942,125,075	1,116,293,248
Raw materials	6,692,417	8,479,270
Costs of goods sold	831,383,226	1,042,993,848
Wages	13,608,062	15,248,642
Depreciations & provisions	4,996,409	5,138,839
Other operating costs	68,826,591	67,052,113
COSTS OF ORDINARY OPERATING ACTIVITY	872,129,605	1,044,703,932
ORDINARY OPERATING RESULT - PROFIT	69,995,470	71,589,314
ORDINARY OPERATING RESULT - LOSS	0	0
FINANCIAL INCOMES	22,368,617	16,738,254
FINANCIAL COSTS	64,797,723	57,876,847
FINANCIAL RESULT - PROFIT	0	0
FINANCIAL RESULT - LOSS	42,429,106	41,138,593
CURRENT RESULT - PROFIT	27,566,364	30,450,721
CURRENT RESULT - LOSS	0	0
Extraordinary incomes	0	0
Extraordinary costs	0	0
EXTRAORDINARY RESULT - PROFIT	0	0
EXTRAORDINARY RESULT - LOSS	0	0
TOTAL INCOMES	964,493,692	1,133,031,500
TOTAL COSTS	936,927,328	1,102,580,779
PRETAX RESULT - PROFIT	27,566,364	30,450,721
PRETAX RESULT - LOSS	0	0
TAX ON PROFIT	2,969,761	5,368,563
NET RESULT - PROFIT	24,596,603	25,082,158
NET RESULT - LOSS	0	0

N.B.: any difference occurred between former report and the present one regarding some positions of the “Balance Sheet” for the end of the previous years does not belong to us.

The financial data from this report are the ones officially declared by the subject with the Ministry of Public Finance data basis for 31.12.2012. As consequence, the responsibility for their accuracy belongs exclusively to the company.

OUR OPINION

based upon financial figures reported in the latest balance-sheet – 31.12.2012.

- all figures are reported in RON if otherwise not specified.

Size

large, considering the number of employees

Position & trend

Very well-known company in its line of business, one of the market leaders.

It carries on a huge & increasing volume of activity, with variable returns in the investigated period.

However, since 2010 company registered an important recovery in terms of profitability, quite from operating activity.

In terms of B/S accounts, it is to be pointed out the constant over limited indebtedness rate.

Payments behavior – correct, without delays.

Overall, the financial standing looks satisfactory, especially considering the business volume.

Business contacts are feasible and credit facilities suitable.

31.12.2007

31.12.2008

31.12.2009

31.12.2010

31.12.2011

31.12.2012

Turnover

RON

616,999,023

691,559,299

843,798,724

924,855,006

935,162,376

1,115,265,491

EURO

170,904,388

173,531,893

199,564,525

215,845,548

216,487,806

251,826,832

Gross profit

RON

-20,933,727

-45,767,864

-15,839,228

37,344,684

27,566,364

30,450,721

EURO

-5,798,495

-11,484,458

-3,746,092

8,715,619

6,381,546

6,875,770

Net profit

RON

-20,933,727

-45,767,864

-15,867,895

37,312,434

24,596,603

25,082,158

EURO

-5,798,495

-11,484,458

-3,752,872

8,708,092

5,694,054

5,663,549

31.12.2012

CREDITS & LOANS (ACTIVE BALANCE)

283,585,162

Bank credits & other financial loans, on short term (within 1year)

17,329,504

Bank credits & other financial loans, on medium term (over 1 year)

266,255,658

BALANCE CLAIMS-DEBTS

negative

Total claims

687,618,038

clients & trade debtors

684,314,478

Total debts

1,014,226,619

- Short term

703,609,302

suppliers

680,049,456

trade creditors

119,095

bank credits & other financial loans

17,329,504

other debts, including fiscal debts & dues to the Social Insurance

6,111,247

- Medium term

310,617,317

bank credits & other financial loans

266,255,658

other debts, including fiscal debts & dues to the Social Insurance

44,361,659

PAYMENTS BEHAVIOR

correct, no delays reported

PAYMENTS INCIDENTS, as

officially recorded with the Payment Incident Bureau

No incidents recorded in the period 2.12.2012 – 2.12.2013

FINANCIAL STRENGTH

59,677 tsd EURO

RISK CATEGORY

Above normal

BUSINESS RELATIONS

Permissible

Applies to short term credit facilities and should not be construed as a maximum credit limit, which can be only established by the supplier. The credit limit has been set using a formula which takes into consideration the credit rating, and the latest behavioral and financial performances. Other information may of course influence the size of the credit you may grant.

2007

2008

2009

2010

2011

2012

Good

Liquidity analysis

- current ratio

1.91

2.01

1.23

1.27

1.26

1.22

- quick ratio

1.46

1.52

1.01

1.08

1.14

1.00

Solvability analysis

Constant over limited

- the borrowing ratio (total debts/net worth)

7.06

14.31

29.91

13.01

9.95

9.51

Profitability analysis (%)

Variable

- return on capital

Loss

Loss

Loss

59.49

28.41

23.53

- return on assets

Loss

Loss

Loss

4.25

2.61

2.24

- gross profit margin

Loss

Loss

Loss

4.04

22.95

2.73

Activity analysis

Heavy settlements, specific to its line of business in Romania

- debtor’s days

178

159

180

201

236

225

- creditor’s days

140

101

178

187

201

223

Stocks turnover, times/year

5.47

6.84

9.27

10

14

7

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.69
UK Pound	1	Rs.101.08
Euro	1	Rs.84.07

INFORMATION DETAILS

Report Prepared by :

NIS

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.