MIRA INFORM REPORT

Report Date :

07.12.2013

IDENTIFICATION DETAILS

Name :	BIO EEL SRL

Registered Office :	Mures county / 540390 Targu Mures – Bega Street No. 4

Country :	Romania

Financials (as on) :	31.12.2012

Date of Incorporation :	18.06.1992

Legal Form :	Limited Liability Company

Line of Business :	Manufacture of pharmaceutical preparations

No. of Employees :	170

RATING & COMMENTS

MIRA’s Rating :

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Status :	Satisfactory
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 – March 31^st, 2013

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

Romania

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

BIO EEL SRL

Address

Mures county / 540390 Targu Mures – Bega Street No. 4

Phone no.

Cell phone no.

0040-265-250667 , 246335, 250563, 250784, 250783

0040-742-107444

Fax. No

0040-265-250075

Web-site

www.bioeel.ro

e-mail

office@bioeel.ro

financiar@bioeel.ro

HISTORIC/OFFICIAL DATA

Date of foundation	June 18^th, 1992
Present legal form	limited liability company, join venture of Romanian and foreign (French) capital
Registered with the Trade Registry	J26/1928/1992
VAT no.	1199107
Registered capital	2,100,000 RON
Shareholders	Individuals
	1. Albert Attila – Romanian citizen, born on 30.10.1967
	Participation			50%
	2. Scheftsik De Szolnok Jean Stephan Georges – French citizen, born on 02.08.1963
	Participation			50%

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
- total	2007	2008	2009		2010	2011	2012
	126	130	136		161	183	170
BUSINESS ACTIVITY - Manufacture of pharmaceutical preparations, according to the national Trade Registry updated files (NACE: 2120) According to the company’s web-site - Medicines distributor - Producer of medicines and cosmetics Registered trade mark: BIOEEL BIOEEL is importer and distributor for 50 national and international pharmaceutical companies and it also provides logistics services for multinational pharmaceutical companies. Other premises Ware-house Bacau county / Bacau – Calea Moldovei nr. 197 Phone no.: +234-522633; Fax no.: +234-553550 Ware-house Timis county / Timisoara – Calea Buziaşului 11/a Phone no.: +256-223014; +256-223017; +256-223019 Cosmetics production unit Mures county / Targu Mureş – Bega Street No. 4 Phone no.: +265-246335 (+265-BIOEEL)

OTHER PARTICIPATION

1. Company’s participation	ECOFARMACIA NETWORK SRL – J08/1172/2009, VAT 25856816
	ECOPHARMA RESEARCH SRL – J08/1925/2011, VAT 29421130
2. Shareholders other participation	1. Albert Attila		ATLAS IMOBILIARE SRL – J26/812/2007, VAT 21646234
			DEAL PROPRIETATI SRL – J26/1441/2007, VAT 22252319
			FARMAMEDIA MB SRL – J26/1011/2005, VAT 17649836
			PROTEUS ECO SRL – J26/1007/2009, VAT 26242245
	2. Scheftsik De Szolnok Jean Stephan Georges		ATLAS IMOBILIARE SRL – J26/812/2007, VAT 21646234
REAL ESTATE (RON)
- lands & buildings	2007	2008		2009	2010	2011	2012
	2,655,413	6,258,530		7,800,949	7,507,649	7,322,345	10,411,950
BANKS	Romanian Commercial Bank, Raiffeisen Bank
MANAGEMENT as officially registered with the National Trade Registry	Administrator, General Manager Mr. Albert Attila – appointed on 10.06.1996 for an unlimited period
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	31.12.2010	31.12.2011	31.12.2012

INTANGIBLES - TOTAL	99,751	122,757	61,884
TANGIBLES - TOTAL	12,871,274	15,008,164	15,469,808
FINANCIALS - TOTAL	59,537	71,342	5,678,957
FIXED ASSETS - TOTAL	13,030,562	15,202,263	21,210,649
STOCKS - TOTAL	12,796,200	23,330,930	16,043,607
CLAIMS - TOTAL	48,269,586	56,551,096	64,897,399
CURRENT ASSETS	46,308,723	63,084,357	49,497,206
PREPAID EXPENSES	146,171	192,526	385,729
DEBTS WITHIN 1 YEAR	37,615,781	55,751,104	46,438,132
DEBTS OVER 1 YEAR	7,758,662	4,483,357	6,389,103
PROVISIONS	0	0	11,600
ADVANCED INCOMES	95,301	78,578	61,855
REGISTERED CAPITAL	2,063,452	2,100,000	2,100,000
RESERVES from reassessment of the fixed assets	59,640	619,020	617,661
RESERVES	1,546,469	1,555,703	1,557,062
PROFITS CARRIED FORWARD	6,469,622	9,739,875	12,781,116
NET RESULT - PROFIT	3,977,541	4,158,819	1,137,055
NET RESULT - LOSS	0	0	0
NET WORTH	14,015,712	18,166,107	18,192,894

PROFIT & LOSS ACCOUNT	31.12.2010	31.12.2011	31.12.2012

Turnover	92,765,119	112,706,001	128,321,237
Own production & services	10,467,775	10,954,297	9,884,964
Sales	82,297,344	101,751,704	118,446,228
INCOMES FROM ORDINARY OPERATING ACTIVITY	95,214,228	116,057,188	130,902,203
Raw materials	3,351,495	4,441,994	3,883,367
Costs of goods sold	76,476,703	95,808,117	111,252,016
Wages	4,373,621	6,015,078	6,205,400
Depreciations & provisions	1,220,787	1,402,885	1,478,779
Other operating costs	6,744,213	8,407,911	8,946,595
COSTS OF ORDINARY OPERATING ACTIVITY	90,573,933	111,404,313	124,098,277
ORDINARY OPERATING RESULT - PROFIT	4,640,295	4,652,875	6,803,926
ORDINARY OPERATING RESULT - LOSS	0	0	0
FINANCIAL INCOMES	5,410,595	7,345,725	2,510,483
FINANCIAL COSTS	5,283,988	7,050,221	8,083,574
FINANCIAL RESULT - PROFIT	126,607	295,504	0
FINANCIAL RESULT - LOSS	0	0	5,573,091
CURRENT RESULT - PROFIT	4,766,902	4,948,379	1,230,835
CURRENT RESULT - LOSS	0	0	0
Extraordinary incomes	0	0	0
Extraordinary costs	0	0	0
EXTRAORDINARY RESULT - PROFIT	0	0	0
EXTRAORDINARY RESULT - LOSS	0	0	0
TOTAL INCOMES	100,624,823	123,402,913	133,412,686
TOTAL COSTS	95,857,921	118,454,534	132,181,851
PRETAX RESULT - PROFIT	4,766,902	4,948,379	1,230,835
PRETAX RESULT - LOSS	0	0	0
TAX ON PROFIT	789,361	789,560	93,780
NET RESULT - PROFIT	3,977,541	4,158,819	1,137,055
NET RESULT - LOSS	0	0	0

N.B.: any difference occurred between former reports and the present one regarding some positions of the “Balance Sheet” or P/L Account for previous periods 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

medium, considering the number of employees

Position & trend

Very large volume of activity, with positive results. The figures for entire period reflect an ascendant trend of turnover.

Yet, on the returns side, these look generally fluctuating; in 2012 their level was very low.

The B/S Accounts prove satisfactory liquidity & solvability.

Payment behavior is correct, without delays.

Generally, the financial standing looks constant satisfactory.

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	58,958,282	76,590,626		81,562,366					92,765,119		112,706,001				128,321,237
EURO	16,331,029	19,218,766		19,290,092					21,649,813		26,091,164				28,974,922

Gross profit
RON	2,391,021	1,262,614		2,309,182					4,766,902		4,948,379				1,230,835
EURO	662,296	316,826		546,138					1,112,514		1,145,538				277,922

Net profit
RON	2,067,199	1,095,207		11,853,396					3,977,541		4,158,819				1,137,055
EURO	572,600	274,819		2,803,414					928,291		962,756				256,747

												31.12.2012
CREDITS & LOANS (ACTIVE BALANCE)												4,412,515
Bank credits & other financial loans, on short term (within 1year)												706,002
Bank credits & other financial loans, on medium term (over 1 year)												3,706,513

BALANCE CLAIMS-DEBTS												Negative
Total claims													64,897,399
clients & trade debtors							63,109,171
Total debts													52,827,235
- Short term													46,438,132
suppliers							37,648,776
trade creditors							785,482
bank credits & other financial loans							706,002
payable bills of exchange							5,955,946
other debts, including fiscal debts & dues to the Social Insurance							1,341,926
- Medium term													6,389,103
bank credits & other financial loans							3,706,513
other debts, including fiscal debts & dues to the Social Insurance							2,682,590

PAYMENTS BEHAVIOR												correct, no delays reported

PAYMENTS INCIDENTS, as officially recorded with the Payment Incident Bureau						No incidents recorded in the period 5.12.2012 – 5.12.2013

			2007		2008			2009		2010				2011		2012
			Satisfactory
Liquidity analysis
- current ratio			1.20		0.94			1.26		1.23				1.13		1.07
- quick ratio			0.79		0.56			0.81		0.89				0.71		0.73

Solvability analysis			Constant easy over limits
- the borrowing ratio (total debts/net worth)			2.04		2.40			3.05		3.23				3.32		2.91

Profitability analysis (%)			Fluctuant; very low in 2012
- return on capital			21.63		9.56			17.17		28.37				22.89		6.25
- return on assets			7.09		2.82			4.22		6.68				5.31		1.60
- gross profit margin			4.05		1.64			2.83		5.13				4.39		0.96

Activity analysis			Heavy settlements, specific to its line of business in Romania
- debtor’s days			123		118			155		190				183		185
- creditor’s days			106		103			86		125				144		107
Stocks turnover, times/year			7		8			7		7				5		8

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.67
UK Pound	1	Rs.100.65
Euro	1	Rs.84.25

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.

MIRA INFORM REPORT

Company name and address

HISTORIC/OFFICIAL DATA

OTHER PARTICIPATION

FINANCIAL DATA: RON

Unit