MIRA INFORM REPORT

Report Date :

24.07.2013

IDENTIFICATION DETAILS

Name :	VINHPHUC PHARMACEUTICAL JOINT STOCK COMPANY
Formerly Known As :	VINHPHUC PHARMACEUTICAL MEDICAL SUPPLY COMPANY
Registered Office :	No. 777, Me Linh Str., Khai Quang Ward, Vinh Yen City, Vinh Phuc Province
Country :	Vietnam
Financials (as on) :	31.12.2012
Year of Establishments:	1959
Com. Reg. No.:	2500228415
Legal Form :	Joint Stock Company
Line of Business :	Producing and trading in pharmaceutical products, chemicals, and cosmetics
No. of Employees :	730

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)
Vietnam	B1	B1

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

vietnam ECONOMIC OVERVIEW

Vietnam is a densely-populated developing country that has been transitioning from the rigidities of a centrally-planned economy since 1986. Vietnamese authorities have reaffirmed their commitment to economic modernization in recent years. Vietnam joined the World Trade Organization in January 2007, which has promoted more competitive, export-driven industries. Vietnam became an official negotiating partner in the Trans-Pacific Partnership trade agreement in 2010. Agriculture's share of economic output has continued to shrink from about 25% in 2000 to less than 22% in 2012, while industry's share increased from 36% to nearly 41% in the same period. State-owned enterprises account for roughly 40% of GDP. Poverty has declined significantly, and Vietnam is working to create jobs to meet the challenge of a labor force that is growing by more than one million people every year. The global recession hurt Vietnam's export-oriented economy, with GDP in 2012 growing at 5%, the slowest rate of growth since 1999. In 2012, however, exports increased by more than 18%, year-on-year; several administrative actions brought the trade deficit back into balance. Between 2008 and 2011, Vietnam's managed currency, the dong, was devalued in excess of 20%, but its value remained stable in 2012. Foreign direct investment inflows fell 4.5% to $10.5 billion in 2012. Foreign donors have pledged $6.5 billion in new development assistance for 2013. Hanoi has oscillated between promoting growth and emphasizing macroeconomic stability in recent years. In February 2011, the Government shifted policy away from policies aimed at achieving a high rate of economic growth, which had stoked inflation, to those aimed at stabilizing the economy, through tighter monetary and fiscal control. Although Vietnam unveiled a broad, "three pillar" economic reform program in early 2012, proposing the restructuring of public investment, state-owned enterprises, and the banking sector, little perceptible progress had been made by early 2013. Vietnam's economy continues to face challenges from an undercapitalized banking sector. Non-performing loans weigh heavily on banks and businesses. In September 2012, the official bad debt ratio climbed to 8.8%, though some independent analysts believe it could be higher than 15%.

Source : CIA

SUBJECT IDENTIFICATION & LEGAL FORM
Current legal status
English Name	VINHPHUC PHARMACEUTICAL JOINT STOCK COMPANY
Vietnamese Name	CONG TY CO PHAN DUOC PHAM VINH PHUC
Short name	VINPHACO
Type of Business	Joint stock company
Year Established	1959
Business Registration No.	2500228415
Date of Registration	03 Dec 2009
Place of Registration	Vinh Phuc Department of Planning and Investment
Chartered capital	VND 30,314,400,000
Status	Unlisted
Tax code	2500228415
Total Employees	730
Note: The correct name of the subject is above, no space between VINH and PHUC.

Historical Identification & Legal form

List	Changed Items	Date of changes
1	Subject has got former Chairman Mr. Do Van Doanh Changed to: Mr. Nguyen Van Truong	Oct 2012
2	Subject has got former General Director Mr. Do Van Doanh Changed to: Mr. Do Ngoc Son	Jul 2012
3	Subject has got former Tax code No: 2500154594 Changed to: 2500228415	N/A
4	Subject has got former Business Registration No: 111643 changed to 1903000089 and then Changed to: 2500228415	03 Dec 2009
5	Subject has got former Address: No 10 To Hieu - Vinh Yen City - Vinh Phuc Province - Vietnam Changed to: No 777 Me Linh Str. - Khai Quang Ward - Vinh Yen City - Vinh Phuc Province	15 Nov 2009
6	Subject has got former Registered Vietnamese Name: CONG TY DUOC VAT TU Y TE VINH PHUC Changed to: CONG TY CO PHAN DUOC PHAM VINH PHUC	23 Jun 2004
7	Subject has got former Registered English Name: VINHPHUC PHARMACEUTICAL MEDICAL SUPPLY COMPANY Changed to: VINHPHUC PHARMACEUTICAL JOINT STOCK COMPANY	23 Jun 2004
8	Subject has got former Type of Business: State Owned Company Changed to: Joint Stock Company	23 Jun 2004
9	Subject has got former Chartered capital: VND 17,832,000,000 Changed to: VND 30,314,400,000	N/A

Company ADDRESSES
Head Office
Address	No. 777, Me Linh Str., Khai Quang Ward, Vinh Yen City, Vinh Phuc Province, Vietnam
Telephone	(84- 211) 3861233/ 3862705
Fax	(84- 211) 3862774/ 3843034
Email	vinphaco@vnn.vn
Website	http://www.vinphaco.com.vn
Branch in Ha Noi
Address	No.16 Lot M1 Yen Hoa New Area, Yen Hoa Ward, Cau Giay District, Ha Noi City, Vietnam
Telephone	(84-4) 62851638
Branch in Ho Chi Minh
Address	No. 46/12, Nguyen Gian Thanh Str., Ward 15, 10 District, Ho Chi Minh City, Vietnam
Telephone	(84-8) 62736589
Fax	(84-8) 62647526
Branch in Da Nang
Address	No.513 - Nguyen Huu Tho Str. Khue Trung Ward, Cam Le District, Da Nang City, Vietnam
Telephone	(84-511) 3697678
Fax	(84-511) 3697677
Branch in Vinh Phuc
Address	No. 5 Le Xoay Street, Ngo Quyen Ward, Vinh Yen City, Vinh Phuc Province, Vietnam
Telephone	(84-211) 3861451
Workshop Address
Address	Mau Thong Hamlet Khai Quang Ward, Vinh Yen City, Vinh Phuc Province, Vietnam
Workshop Address
Address	No. 10 To Hieu Street, Dong Da Ward, Vinh Yen City, Vinh Phuc Province, Vietnam

DIRECTORS
1. NAME	Mr. NGUYEN VAN TRUONG
Position	Chairman
Date of Birth	29 Sep 1980
ID Number/Passport	135035695
ID Issue Date	16 Jun 2008
ID Issue Place	Vinh Phuc Police Station
Resident	Bao Van Village Dong Van Commune, Yen Lac District, Vinh Phuc Province, Vietnam
Current resident	Vinphaco Collective, Ngo Quyen Ward , Vinh Yen City, Vinh Phuc Province, Vietnam
Nationality	Vietnamese
2. NAME	Mr. DO NGOC SON
Position	General Director
Nationality	Vietnamese
3. NAME	Ms. VU THI BINH
Position	Deputy Chairman cum Deputy General Director
ID Number/Passport	135392405
Resident	No.19, Alley 10, Nguyen Van Linh Street, Lien Bao Ward, Vinh Yen City, Vinh Phuc Province, Vietnam
Nationality	Vietnamese
Tel/Mobile phone	(84-211) 3862706
4. NAME	Mr. PHAM VAN QUY
Position	Deputy General Director
Nationality	Vietnamese
5. NAME	Mr. VAN DANG TUONG
Position	Deputy General Director
ID Number/Passport	135035380
Resident	Tu Trung Commune, Vinh Tuong District, Vinh Phuc Province, Vietnam
Nationality	Vietnamese
Note: No one named DO VAN OANH, just Mr. DO VAN DANH was former general director of the subject.

BUSINESS NATURE AND ACTIVITIES

- Producing and trading in pharmaceutical products, chemicals, and cosmetics
- Trading medical materials and equipment
- Import - export pharmaceutical products and medical materials
 - Training pharmaceuticals
 - Providing consulting services to pharmaceutical manufacturing, products, equipments.

IMPORT & EXPORT ACTIVITIES
IMPORT:
· Types of products	Pharmaceutical materials, equipments
· Market	EU, Korea, India, Singapore, China
· Mode of payment	L/C, T/T, D/P
EXPORT:
· Types of products	Pharmaceutical products
· Market	Laos, Cambodia and China
· Ratio	Small rate
· Mode of payment	L/C, T/T, D/P

BANKERS
1. JOINT STOCK COMMERCIAL BANK FOR FOREIGN TRADE OF VIETNAM - VINH PHUC BRANCH
Address	No.10 Kim Ngoc, Vinh Yen City, Vinh Phuc Province, Vietnam
Telephone	(84- 211) 3720931 / 3720920
Fax	(84- 211) 720921 / 3720934
2. BANK FOR INVESTMENT AND DEVELOPMENT OF VIETNAM VINH PHUC BRANCH
Address	No.1 Ly Bon Road, Ngo Quyen Ward, Vinh Yen City, Vinh Phuc Province, Vietnam
Telephone	(84- 211) 3843754
VND Account	42510000000088

SHAREHOLDERS
1. NAME	Ms. VU THI BINH
Position	Deputy Chairman cum Deputy General Director
ID Number/Passport	135392405
Resident	No.19, Alley 10, Nguyen Van Linh Street, Lien Bao Ward , Vinh Yen City, Vinh Phuc Province, Vietnam
Work phone	(84-211) 3862706
Nationality	Vietnamese
Value of shares	VND 1,968,530,000
Percentage	6.49%
2. NAME	Mr. VAN DANG TUONG
Position	Deputy General Director
ID Number/Passport	135035380
Resident	Tu Trung Commune , Vinh Tuong District, Vinh Phuc Province, Vietnam
Nationality	Vietnamese
Value of shares	VND 1,046,070,000
Percentage	3.45%
3. NAME	Ms. HOANG THU HUONG
ID Number/Passport	060644247
Resident	Dong Tam Ward, Yen Bai City, Yen Bai Province, Vietnam
Nationality	Vietnamese
Value of shares	VND 320,000,000
Percentage	1.06%
4. NAME	Ms. DUONG THI MINH THUY
ID Number/Passport	135033267
Resident	Dinh Trung Commune, Vinh Yen City, Vinh Phuc Province, Vietnam
Nationality	Vietnamese
Value of shares	VND 327,940,000
Percentage	1.08%
5. NAME	Mr. NGUYEN VAN TRUONG
Position	Chairman
Date of Birth	29 Sep 1980
ID Number/Passport	135035695
Issued on	16 Jun 2008
Issued Place	Vinh Phuc Police Station
Resident	Bao Van Village Dong Van Commune, Yen Lac District, Vinh Phuc Province, Vietnam
Current Resident	Vinphaco Collective, Ngo Quyen Ward , Vinh Yen City, Vinh Phuc Province, Vietnam
Nationality	Vietnamese
Value of shares	VND 8,664,890,000
Percentage	28.58%
6. NAME	OTHER SHAREHOLDERS
Value of shares	VND 17,986,970,000
Percentage	59.34%

FINANCIAL DATA
BALANCE SHEET
Unit: One VND
Balance sheet date	31/12/2012	31/12/2011	31/12/2010
Number of weeks	52	52	52
ASSETS
A – CURRENT ASSETS	273,432,305,325	282,350,446,101	169,569,000,000
I. Cash and cash equivalents	30,662,236,261	32,025,055,092	11,950,000,000
1. Cash	30,662,236,261	32,025,055,092	11,950,000,000
2. Cash equivalents	0		0
II. Short-term investments	0		0
1. Short-term investments	0		0
2. Provisions for devaluation of short-term investments	0		0
III. Accounts receivable	173,929,420,573	156,684,272,041	119,552,000,000
1. Receivable from customers	161,775,484,271	147,793,907,935	82,768,000,000
2. Prepayments to suppliers	11,364,582,797	8,110,147,099	12,818,000,000
3. Inter-company receivable	0		23,202,000,000
4. Receivable according to the progress of construction	0		0
5. Other receivable	3,095,557,471	1,676,089,390	1,380,000,000
6. Provisions for bad debts	-2,306,203,966	-895,872,383	-616,000,000
IV. Inventories	67,321,410,076	89,688,745,412	37,012,000,000
1. Inventories	67,709,820,484	90,008,344,400	37,012,000,000
2. Provisions for devaluation of inventories	-388,410,408	-319,598,988	0
V. Other Current Assets	1,519,238,415	3,952,373,556	1,055,000,000
1. Short-term prepaid expenses	238,883,326	368,861,265	88,000,000
2. VAT to be deducted	904,467,789	2,502,165,707	667,000,000
3. Taxes and other accounts receivable from the State	0		115,000,000
4. Other current assets	375,887,300	1,081,346,584	185,000,000
B. LONG-TERM ASSETS	91,040,462,532	65,727,365,219	89,888,000,000
I. Long term accounts receivable	0	232,641,032	0
1. Long term account receivable from customers	0		0
2. Working capital in affiliates	0		0
3. Long-term inter-company receivable	0		0
4. Other long-term receivable	0	232,641,032	0
5. Provisions for bad debts from customers	0		0
II. Fixed assets	81,581,038,050	57,713,436,909	86,803,000,000
1. Tangible assets	77,298,896,648	56,188,256,084	49,201,000,000
- Historical costs	160,121,189,225	125,877,372,130	106,826,000,000
- Accumulated depreciation	-82,822,292,577	-69,689,116,046	-57,625,000,000
2. Financial leasehold assets	0		0
- Historical costs	0		0
- Accumulated depreciation	0		0
3. Intangible assets	488,047,014	402,422,154	16,000,000
- Initial costs	767,165,382	469,165,382	182,000,000
- Accumulated amortization	-279,118,368	-66,743,228	-166,000,000
4. Construction-in-progress	3,794,094,388	1,122,758,671	37,586,000,000
III. Investment property	0		0
Historical costs	0		0
Accumulated depreciation	0		0
IV. Long-term investments	0		0
1. Investments in affiliates	0		0
2. Investments in business concerns and joint ventures	0		0
3. Other long-term investments	0		0
4. Provisions for devaluation of long-term investments	0		0
V. Other long-term assets	9,459,424,482	7,781,287,278	3,085,000,000
1. Long-term prepaid expenses	9,459,424,482	7,781,287,278	3,085,000,000
2. Deferred income tax assets	0		0
3. Other long-term assets	0		0
VI. Goodwill	0
1. Goodwill	0
TOTAL ASSETS	364,472,767,857	348,077,811,320	259,457,000,000
LIABILITIES
A- LIABILITIES	312,482,972,974	310,301,754,110	216,655,000,000
I. Current liabilities	270,796,941,774	277,706,452,457	183,265,000,000
1. Short-term debts and loans	103,789,397,378	113,878,404,113	97,126,000,000
2. Payable to suppliers	120,119,572,751	149,572,272,709	76,109,000,000
3. Advances from customers	19,196,717,884	941,405,394	1,151,000,000
4. Taxes and other obligations to the State Budget	6,963,089,571	4,254,593,815	2,934,000,000
5. Payable to employees	8,605,804,608	7,151,210,451	5,139,000,000
6. Accrued expenses	414,091,598	29,389,708	0
7. Inter-company payable	0		0
8. Payable according to the progress of construction contracts	0		0
9. Other payable	1,531,876,711	1,675,187,554	806,000,000
10. Provisions for short-term accounts payable	10,080,000,000		0
11. Bonus and welfare funds	96,391,273	203,988,713
II. Long-Term Liabilities	41,686,031,200	32,595,301,653	33,390,000,000
1. Long-term accounts payable to suppliers	0		0
2. Long-term inter-company payable	0		0
3. Other long-term payable	0		0
4. Long-term debts and loans	38,905,995,423	31,168,929,850	32,371,000,000
5. Deferred income tax payable	0		0
6. Provisions for unemployment allowances	0	1,426,371,803	1,019,000,000
7. Provisions for long-term accounts payable	0		0
8. Unearned Sale	0
9. Science and technology development fund	2,780,035,777
B- OWNER’S EQUITY	51,989,794,883	37,776,057,210	42,802,000,000
I. OWNER’S EQUITY	51,989,794,883	37,776,057,210	42,370,000,000
1. Capital	30,314,238,649	30,314,238,649	30,314,000,000
2. Share premiums	0		0
3. Other sources of capital	0		0
4. Treasury stocks	0		0
5. Differences on asset revaluation	0		0
6. Foreign exchange differences	0		0
7. Business promotion fund	1,079,655,093	697,452,533	697,000,000
8. Financial reserved fund	1,901,513,338	1,519,310,778	1,519,000,000
9. Other funds	0		0
10. Retained earnings	18,694,387,803	5,245,055,250	9,840,000,000
11. Construction investment fund	0		0
12. Business arrangement supporting fund	0
II. Other sources and funds	0		432,000,000
1. Bonus and welfare funds (Elder form)	0		432,000,000
2. Sources of expenditure	0		0
3. Fund to form fixed assets	0		0
MINORITY’S INTEREST	0
TOTAL LIABILITIES AND OWNER’S EQUITY	364,472,767,857	348,077,811,320	259,457,000,000

PROFIT & LOSS STATEMENT
Description	FY2012	FY2011	FY2010
1. Total Sales	589,679,630,146	487,098,678,103	326,920,000,000
2. Deduction item	5,390,982,376	14,922,282,259	10,313,000,000
3. Net sale	584,288,647,770	472,176,395,844	316,607,000,000
4. Costs of goods sold	434,141,033,445	345,967,976,433	258,014,000,000
5. Gross profit	150,147,614,325	126,208,419,411	58,593,000,000
6. Financial income	1,476,797,207	4,765,893,529	141,000,000
7. Financial expenses	23,433,425,764	25,858,674,795	13,124,000,000
- In which: Loan interest expenses	21,798,262,742	24,381,730,213	11,664,000,000
8. Selling expenses	58,838,370,564	61,304,977,043	12,337,000,000
9. Administrative overheads	45,990,332,359	31,195,960,224	24,789,000,000
10. Net operating profit	23,362,282,845	12,614,700,878	8,484,000,000
11. Other income	1,685,343,039	662,256,199	51,000,000
12. Other expenses	46,017,190	3,650,449,075	0
13. Other profit /(loss)	1,639,325,849	-2,988,192,876	51,000,000
14. Total accounting profit before tax	25,001,608,694	9,626,508,002	8,535,000,000
15. Current corporate income tax	5,072,459,871	1,982,456,746	2,134,000,000
16. Deferred corporate income tax	0		0
17. Interest from subsidiaries/related companies	0
18. Profit after tax	19,929,148,823	7,644,051,256	6,401,000,000

FINANCIAL RATIOS AND AVERAGE INDUSTRY RATIOS
Description	FY2012	FY2011	FY2010	Average Industry
Current liquidity ratio	1.01	1.02	0.93	1.80
Quick liquidity ratio	0.76	0.69	0.72	1.12
Inventory circle	6.45	3.86	6.97	3.56
Average receive period	108.65	121.12	137.83	117.46
Utilizing asset performance	1.60	1.36	1.22	1.10
Liability by total assets	85.74	89.15	83.50	50.87
Liability by owner's equity	601.05	821.42	506.18	169.03
Ebit / Total assets (ROA)	12.84	9.77	7.79	12.05
Ebit / Owner's equity (ROE)	90.02	90.03	47.19	27.25
Ebit / Total sale (NPM)	7.94	6.98	6.18	12.32
Gross profit / Total sale (GPM)	25.46	25.91	17.92	29.69
Note: The Average Industry was calculated by VietnamCredit based on our own statistical data

CASH FLOW STATEMENT
(Indirect method)
Items	FY2012
I. Cash flows from operating activities
1. Profit before tax	25,001,608,694
2. Adjustments
- Depreciation and amortization	14,119,927,619
- Provisions	52,771,200
- Unrealized foreign exchange difference
- Gain/loss from investing activities	-225,267,448
- Interest expense	21,798,262,742
3. Operating profit before movements in working capital	60,747,302,807
- (Increase)/Decrease in receivables	-46,352,322,913
- (Increase)/Decrease in inventories	22,298,523,916
- Increase/(Decrease) in accounts payable	4,709,844,864
- (Increase)/Decrease in prepaid expenses	-1,315,518,233
- Interest paid	-21,737,732,450
- Corporate income tax paid	-3,652,322,348
- Other cash inflows
- Other cash outflows	-489,800,000
Net cash from (used in) operating activities	14,207,975,643
II. Cash flows from investing activities
1. Acquisition of fixed assets and other long - term assets	-7,987,528,760
2. Proceeds from fixed assets and long - term assets disposal
3. Cash outflow for lending, buying debt instruments of other companies
4. Cash recovered from lending, selling debt instruments of other companies
5. Investment in other entities
6. Cash recovered from investments in other entities
7. Interest income, dividend and profit paid	225,267,448
Net cash from (used in) investing activities	-7,762,261,312
III. Cash flows from financing activities
1. Proceeds from issuing stocks, receiving capital from owners
2. Capital withdrawal, buying back issued stocks
3. Proceeds from borrowings	566,991,743,837
4. Repayment of borrowings	-569,343,684,998
5. Repayment of obligations under finance leased
6. Dividends paid	-5,456,592,000
Net cash from (used in) financing activities	-7,808,533,161
Net increase/(decrease) in cash and cash equivalents	-1,362,818,830
Cash and cash equivalents at beginning of year	32,025,055,092
Effect from changing foreign exchange rate
Cash and cash equivalents at end of year	30,662,236,262

PAYMENT HISTORY & PERFORMANCE EXPERIENCES
Trade Morality	Good
Liquidity	Low/Medium
Payment status	Normal
Financial Situation	Above Average
Development trend	Stable
Litigation data	No Record
Bankruptcy	No Record
Payment Methods	T/T, L/C, D/P
Sale Methods	Distributor
Public opinion	Good

INTERPRETATION ON THE SCORES

VINHPHUC PHARMACEUTICAL JOINT STOCK COMPANY, of which short name is VINPHACO, was established in 1959 as a state owned company. In the past, the subject was called “VinhPhuc Pharmaceutical Medical Supply Company”. In 2004, it was converted to joint stock company with new name of VinhPhuc Pharmaceutical Joint Stock Company and 100% capital of individuals.

Currently, the subject is operating under business registration No.2500228415 (the same as tax code) and chartered capital of VND 30,314,400,000. According to Mr. Nguyen Anh Tuan – Human Resource Manager, the subject is doing procedure to raise capital up to VND 40,419,200,000.

Head office of the subject is located at No 777, Me Linh Street, Khai Quang Ward, Vinh Yen District, Vinh Phuc Province. The subject has 2 workshops placed not far from the head office in large areas. Besides, it has branches in Hanoi city, Ho Chi Minh city, Da Nang city... In terms of business scale, excepting for above branches, the subject has more than 70 distributors and nearly 1000 agents covering from the North to the South of Vietnam. It is main injection distributor of some big hospitals in Vietnam such as Bach Mai Hospital, National Hospital of Pediatrics, Cho Ray Hospital. It applies the quality systems such as ISO 9001:2000 and standards of GMP, GSP and GLP.

The subject specializes in producing and trading in pharmaceutical products, chemicals, cosmetics and trading medical materials and equipments. The company has import relationship with EU, Korea, China and India... for pharmaceutical products, medical materials and equipments. Within small export quota, the subject has exported its pharmaceutical products to Laos and Cambodia and in 2012, the two containers were sold to China market.

Based on the latest financial data above, the financial capacity of the subject is considered above average. Total assets, total sales increased year on year. Especially, profit in 2012 soared against 2011. By financial factors, we can see that the liquidity is not good and the liabilities by total assets and by owner’s equity are higher than the average industry. However, the operational ratios and the profitability are acceptable.

In general, the subject is medium firm in the industry. The development of the subject is expected uptrend in the future. The subject company can have enough ability to meet normal financial commitment. 

APPENDIX

INDUSTRY DATA
Industry code	GDP growth speed by price compared with 1994 (%)		Total enterprises 2010		Total employees 2011 (Thous.pers.)	Annual average capital of enterprises 2010 (billion dongs)
	2012	2011
Agriculture, Forestry and Fishing	2.72	4.00	8,887		24,362.9	95,227
Industry and Construction	4.52	5.53	95,217		10,718.9	3,641,376
Trade and Services	6.42	6.69	187,195		15,270.2	6,957,082
ECONOMIC INDICATORS
			2012	2011		2010
Population (Million person)			88.78	87.84		86.93
Gross Domestic Products (USD billion)			136	119		102.2
GDP Growth (%)			5.03	5.89		6.78
GDP Per Capita (USD/person/year)			1,540	1,300		1,160
Inflation (% Change in Composite CPI)			9.21	18.58		11.75
State Budget Deficit compared with GDP (%)			4.8	4.9		5.8
SERVICE TRADE PERFORMANCE
Billion USD			2012	2011		2010
Exports			114.6	96.3		72.2
Imports			114.3	105.8		84.8
Trade Balance			0.3	-9.5		-12.6

Source: General Statistics Office

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.59.69
UK Pound	1	Rs.91.66
Euro	1	Rs.78.69

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.