MIRA INFORM REPORT

Report Date :

09.03.2013

IDENTIFICATION DETAILS

Name :	GUESS EUROPE SAGL
Registered Office :	Piazza San Camillo De Lellis, s.n., 20100 – Milano (MI)
Country :	Italy
Financials (as on) :	28.01.2012
Date of Incorporation :	09.11.2006
Com. Reg. No.:	CH50140073641
Legal Form :	Limited Liability Company
Line of Business :	Wholesaler of clothing and accessories
No. of Employees :	150 to 175 employees

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 :	Usually 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 (31.03.2012)	Current Rating (30.06.2012)
Italy	A2	A2

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

ITALY - ECONOMIC OVERVIEW

Italy has a diversified industrial economy, which is divided into a developed industrial north, dominated by private companies, and a less-developed, welfare-dependent, agricultural south, with high unemployment. The Italian economy is driven in large part by the manufacture of high-quality consumer goods produced by small and medium-sized enterprises, many of them family owned. Italy also has a sizable underground economy, which by some estimates accounts for as much as 17% of GDP. These activities are most common within the agriculture, construction, and service sectors. Italy is the third-largest economy in the euro-zone, but exceptionally high public debt burdens and structural impediments to growth have rendered it vulnerable to scrutiny by financial markets. Public debt has increased steadily since 2007, reaching 120% of GDP in 2011, and borrowing costs on sovereign government debt have risen to record levels. During the second half of 2011 the government passed a series of three austerity packages to balance its budget by 2013 and decrease its public debt burden. These measures included a hike in the value-added tax, pension reforms, and cuts to public administration. The government also faces pressure from investors and European partners to address Italy's long-standing structural impediments to growth, such as an inflexible labor market and widespread tax evasion. The international financial crisis worsened conditions in Italy''s labor market, with unemployment rising from 6.2% in 2007 to 8.4% in 2011, but in the longer-term Italy''s low fertility rate and quota-driven immigration policies will increasingly strain its economy. The euro-zone crisis along with Italian austerity measures have reduced exports and domestic demand, slowing Italy''s recovery. Italy''s GDP is still 5% below its 2007 pre-crisis level.

Source : CIA

Company name & address

Guess Europe Sagl

Piazza San Camillo De Lellis, s.n.

20100 - Milano (MI) -IT-

Summary

Fiscal Code	:
Legal Form	:	Limited liability company
start of Activities	:	09/11/2006
Turnover Range	:	unknown
Number of Employees	:	from 150 to 175

Highlights

The company under review belongs to the USA group Guess.

Guess, Inc. (GUESS), designs, markets, distributes and licenses apparel

and accessories for men, women and children. The Company’s apparel is marketed

under numerous trademarks including GUESS, GUESS?, GUESS U.S.A., GUESS

Jeans, GUESS? and Triangle Design, MARCIANO, Question Mark and Triangle

Design, a stylized G and a stylized M, GUESS Kids, Baby GUESS, YES, G by

GUESS, GUESS by MARCIANO and Gc. The lines include full collections of

clothing, including jeans, pants, overalls, skirts, dresses, shorts, blouses,

shirts, jackets, knitwear and intimate apparel. It also grant licenses

to manufacture and distribute a range of products that complement its apparel

lines, including eyewear, watches, handbags, footwear, kids' and infants'

apparel, leather apparel, swimwear, fragrance, jewelry and other fashion

accessories. The Company’s products are sold through retail, wholesale,

e-commerce and licensing distribution channels. The Company operates in

five segments: North American retail, Europe, Asia, North American wholesale

and licensing.

In its Europe segment, the Company sells its products in 63 countries

throughout Europe and the Middle East through wholesale, retail and e-commerce

channels. In fiscal 2011, its Europe segment accounted for approximately

37% of its revenues and 48% of its earnings from operations. Its European

wholesale business generally relies on a large number of smaller regional

distributors and agents to distribute its products primarily to smaller

independent multi-brand boutiques. Its products are also sold directly

to department stores like Galeries Lafayette, Printemps and El Corte Ingles.

It has showrooms in Barcelona, Dusseldorf, Munich, London, Paris, Florence,

Milano and Lugano. It sells both its apparel and certain accessories products

under its GUESS? and GUESS by MARCIANO brand concepts through its wholesale

channel, operating primarily through two seasons, Spring/Summer and Fall/Winter.

The Company’s European retail network is comprised of a mix of directly

operated and licensee operated GUESS? and GUESS by MARCIANO retail and

outlet stores, GUESS? Accessories stores, GUESS? Footwear stores and GUESS?

Kids stores. At January 29, 2011, it had 141 directly operated stores and

333 licensee stores, excluding 12 smaller-sized jean and accessory concessions

in Europe. During fiscal 2011, it opened 56 new directly operated stores,

69 licensee stores and 7 concessions. Its GUESS? Accessories stores average

approximately 800 square feet, GUESS by MARCIANO stores average approximately

1,400 square feet and full-price GUESS? stores generally average 2,400

square feet.

* * * *

Coming bach to the company under review, we let you know that the legal

seat is in Switzerland and not in Italy, therefore a balance-sheet is not

available.

Business transactions on credit basis are feasible.

Activity

Wholesale of clothing and accessories

Wholesale of leather goods; luggage in any material

Legal Data

Legal Form : Limited liability company

V.A.T. Code : 05847610960

Registration No. : CH50140073641

: 660849

Foundation date	: 09/11/2006
Establishment date	: 09/11/2006
Start of Activities	: 09/11/2006
Nominal Capital	: 83.963
Subscribed Capital	: 83.963
Paid up Capital	: 83.963

The firm under review is not registered at the competent local Firm's Registry.

Members

Marciano

Paul

Born in Tiaret

( )

on 12/04/1952

- Fiscal Code : MRCPLA52D12Z301P

Residence:

South Alameda Street

, 1444

Los Angeles

- IT -

Position	Since	Shares Amount	% Ownership
Director

No Prejudicial events are reported

Reddy

Sandeep Rajaram

Position	Since	Shares Amount	% Ownership
Procurator

Bariguian

Gilles

Position	Since	Shares Amount	% Ownership
Board Chairman	19/10/2012

Companies connected to members *

*checkings have been performed on a national scale.

In this module are listed the companies in which members hold or have holded positions.

Marciano

Paul

Firm's Style	Seat	Fiscal Code	Position	Position Status	Firm's Status
Maco Apparel S.r.l.	Sesto Fiorentino (FI) - IT -	04219000488	Director	Withdrawn	Ceased
Guess Italia S.r.l.	Firenze (FI) - IT -	10904000154	Director	Withdrawn	Registered
Focus Europe S.r.l.	Crevalcore (BO) - IT -	01934481209	Director	Withdrawn	Registered
Barn - S.r.l.	Firenze (FI) - IT -	05284250486	Director	Withdrawn	Ceased
Barn - S.r.l.	Firenze (FI) - IT -	05284250486	Board Chairman	Withdrawn	Ceased

The indication "REGISTERED" as Firm Status could refer to Firms in Liquidation, Active, Inactive, etc.

For more information, in this case, we advise to request further investigations.

Capital Shareholders

Shareholders' list as at date of data collection:

Firm's Style / Name	Seat / Residence	Fiscal Code	Owned Shares	% Ownership
Guess Europe BV			83.123 .Chf	99,00

Direct Participations

The Company under review has no participations in other Companies.

Firm's location and structure

In order to carry out its activities the firm uses the following locations:

-

Registered office

since 06/08/2009

Strada Regina

, 44

- 6992

- Bioggio/ti

- CH -

PHONE

: 0918095000

FAX	: 0918095100

Email

: www.guess.com

-

Branch

San Camillo De Lellis

, 44

- 20100

- Milano

(MI)

- IT -

PHONE

: 0266988125

-

Branch

Por Santa Maria

, 38/40 R

- 50100

- Firenze

(FI)

- IT -

PHONE

: 055281990

-

Branch

Portico

, 71

- 24050

- Orio Al Serio

(BG)

- IT -

-

Branch

Fillungo

, 33

- 20100

- Milano

(MI)

- IT -

PHONE

: 058346431

-

Branch

via San Grato

, 1

- 6924

- Sorengo

- CH -

PHONE

: 0919800870

Employees

: 160

Historical Information and/or Firm's Status

COMPANY STYLE MODIFICATIONS:

Former Style	New Style	Changement Date
Guess Swiss Europe Sagl	Guess Europe Sagl	02/11/2007

EX-MEMBERS / EX-POSITIONS:

Pecchioli Leonardo

- Fiscal Code : PCCLRD23M20I921O

Ex-Postions

Director

Donnini

Luca

Born in Firenze

(FI)

on 01/11/1963

- Fiscal Code : DNNLCU63S01D612A

Residence:

Via Rubiana

, 27

Gentilino

- CH -

Ex-Postions

Board Chairman

Secor

Dennis Robert

Born in Los Angeles

( )

on 24/09/1962

Ex-Postions

Director

CEASINGS/INCORPORATIONS/MERGES:

The firm absorbed by merging of

Guess Swiss Sagl

Date

:

27/07/2010

Protests

Protests checking on the subject firm has given a negative result.

Data Base Prejudicial Events Search

Search performed on a National Scale

Prejudicial Events Search Result: NEGATIVE

Search performed on a specialized data base.

Legal Procedures

None reported, standing to the latest received edition of the Official Publications.

Financial Data

Consolidated result

28/01/2012

(in Eur

x 1)

Item Type	Value
Sales	1.870.083.409
Profit (Loss) for the period	189.703.512
Profit before tax	279.905.376
Tax	90.201.864

Consolidated result

29/01/2011

(in Eur

x 1)

Item Type	Value
Sales	1.662.628.443
Profit (Loss) for the period	202.921.427
Shareholders' equity	747.314.782
Depreciation	44.682.835
Operating income	283.614.635
Cash flow	242.779.842
Investments	86.258.499

Consolidated result

30/01/2010

(in Eur

x 1)

Item Type	Value
Sales	1.491.880.564
Profit (Loss) for the period	172.657.181
Shareholders' equity	719.382.491
Depreciation	39.616.598
Operating income	251.500.666
Cash flow	251.075.909
Investments	57.675.755

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.54.40
UK Pound	1	Rs.81.57
Euro	1	Rs.71.24

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.