MIRA INFORM REPORT

Report Date :

13.03.2013

IDENTIFICATION DETAILS

Name :	trumpler chemicals and dyes (jiaxing) co., ltd.
Registered Office :	Room 1528, Yangguang West Road, Weitang Town, Jiashan County, Jiaxing City, Zhejiang Province, 314100 PR
Country :	China
Financials (as on) :	31.12.2010
Date of Incorporation :	05.04.2004
Com. Reg. No.:	003092
Legal Form :	Wholly Foreign-Owned Enterprise
Line of Business :	Engaged in manufacturing and selling chemical dyes
No. of Employees :	380

RATING & COMMENTS

MIRA’s Rating :

B

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Status :	Moderate
Payment Behaviour :	Unknown
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)
China	A2	A2

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

china - ECONOMIC OVERVIEW

Since the late 1970s China has moved from a closed, centrally planned system to a more market-oriented one that plays a major global role - in 2010 China became the world's largest exporter. Reforms began with the phasing out of collectivized agriculture, and expanded to include the gradual liberalization of prices, fiscal decentralization, increased autonomy for state enterprises, creation of a diversified banking system, development of stock markets, rapid growth of the private sector, and opening to foreign trade and investment. China has implemented reforms in a gradualist fashion. In recent years, China has renewed its support for state-owned enterprises in sectors it considers important to "economic security," explicitly looking to foster globally competitive national champions. After keeping its currency tightly linked to the US dollar for years, in July 2005 China revalued its currency by 2.1% against the US dollar and moved to an exchange rate system that references a basket of currencies. From mid 2005 to late 2008 cumulative appreciation of the renminbi against the US dollar was more than 20%, but the exchange rate remained virtually pegged to the dollar from the onset of the global financial crisis until June 2010, when Beijing allowed resumption of a gradual appreciation. The restructuring of the economy and resulting efficiency gains have contributed to a more than tenfold increase in GDP since 1978. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, China in 2010 stood as the second-largest economy in the world after the US, having surpassed Japan in 2001. The dollar values of China's agricultural and industrial output each exceed those of the US; China is second to the US in the value of services it produces. Still, per capita income is below the world average. The Chinese government faces numerous economic challenges, including: (a) reducing its high domestic savings rate and correspondingly low domestic demand; (b) sustaining adequate job growth for tens of millions of migrants and new entrants to the work force; (c) reducing corruption and other economic crimes; and (d) containing environmental damage and social strife related to the economy's rapid transformation. Economic development has progressed further in coastal provinces than in the interior, and by 2011 more than 250 million migrant workers and their dependents had relocated to urban areas to find work. One consequence of population control policy is that China is now one of the most rapidly aging countries in the world. Deterioration in the environment - notably air pollution, soil erosion, and the steady fall of the water table, especially in the North - is another long-term problem. China continues to lose arable land because of erosion and economic development. The Chinese government is seeking to add energy production capacity from sources other than coal and oil, focusing on nuclear and alternative energy development. In 2010-11, China faced high inflation resulting largely from its credit-fueled stimulus program. Some tightening measures appear to have controlled inflation, but GDP growth consequently slowed to near 9% for 2011. An economic slowdown in Europe is expected to further drag Chinese growth in 2012. Debt overhang from the stimulus program, particularly among local governments, and a property price bubble challenge policy makers currently. The government's 12th Five-Year Plan, adopted in March 2011, emphasizes continued economic reforms and the need to increase domestic consumption in order to make the economy less dependent on exports in the future. However, China has made only marginal progress toward these rebalancing goals.

Source : CIA

Company name and address

trumpler chemicals and dyes (jiaxing) co., ltd.

room 1528, yangguang west road, weitang town, jiashan county,

jiaxing city, zhejiang PROVINCE, 314100 PR CHINA

TEL: 86 (0) 573-84062882/ 84062028 FAX: 86 (0) 573-84062798

EXECUTIVE SUMMARY

INCORPORATION DATE : april 5, 2004

REGISTRATION NO. : 003092

REGISTERED LEGAL FORM : Wholly foreign-owned enterprise

CHIEF EXECUTIVE : dr. thomas feigel (CHAIRMAN)

STAFF STRENGTH : 380

REGISTERED CAPITAL : eur 2,430,000

BUSINESS LINE : manufacturing and selling

TURNOVER : CNY 101,594,000 (AS OF DEC. 31, 2010)

EQUITIES : CNY 53,580,000 (AS OF DEC. 31, 2010)

PAYMENT : AVERAGE

RECOMM. CREDIT RANGE : MODERATE AMOUNT

MARKET CONDITION : COMPETITIVE

FINANCIAL CONDITION : FAIRLY STABLE (AS OF DEC. 31, 2010)

OPERATIONAL TREND : STEADY

GENERAL REPUTATION : AVERAGE

EXCHANGE RATE : CNY 6.21=USD

Adopted abbreviations:

ANS - amount not stated

NS - not stated

SC - subject company (the company inquired by you)

NA - not available

CNY – China Yuan Ren Min Bi

SC was registered as a wholly foreign-owned enterprise at local Administration for Industry & Commerce (AIC - The official body of issuing and renewing business license) on april 5, 2004.

Company Status: Wholly foreign-owned enterprise

This form of business in PR China is defined as a legal person. It is a limited co. established within the territories of PR China with capital provided totally by the foreign investors. More than one foreign investor may jointly invest in a wholly foreign-owned enterprise. The investing party/parties solely exercise management, reap profit and bear risks and liabilities by themselves. This form of companies usually have a limited duration is extendible upon approval of Examination and Approval Authorities.

SC’s registered business scope includes manufacturing and selling fat fluid, tanning agents and re-tanning agents, leather tanning chemical raw materials, dye products.

SC is mainly engaged in manufacturing and selling chemical dyes.

Dr. Thomas Feigel (German) has been the legal representative and chairman of SC since 2004.

SC is known to have approx. 380 employees at present.

SC is currently operating at the above stated address, and this address houses its operating office and factory in the industrial zone of Jiaxing city. Our checks reveal that SC owns the total premise, but the gross area is unspecified.

http://www.trumpler.de/ The website belongs to Trumpler International. The design is professional and the content is well organized. At present it is in German and English versions.

Email: mail@trumpler.cn

Changes of its registered information:

Date of change	Item	Before the change	After the change
2005-02	Registered capital	EUR 2,030,000	Present amount

Tax Registration Certificate No.: 330421757099882.

MAIN SHAREHOLDERS:

Name % of shareholdings

Trumpler GmbH & Co. KG, Chemische Fabrik (Germany) 65

Trumpler Española S.A. (Spain) 35

Trumpler GmbH & Co. KG, Chemische Fabrik (Germany):

==========================================

Company number: HRA 10073

Add.: Hafenstrabe 10 67547 Worms Germany

Tel: (+49) 6241-4060

Fax: (+49) 6241-406111

E-mail: mail@trumpler.de

Trumpler Española S.A. (Spain)

=======================

Add.: Apartado de Correos 10208210 Barbera del Valles, Barcelona

Tel: (+34-93) 7 47 93 55

Fax: (+34-93) 7 18 80 06

Email: info@trumpler.es

l Legal Representative & Chairman:

Dr. Thomas Feigel, German, born in 1955, Passport No. 2194070355. He is currently responsible for the overall management of SC.

Working Experience(s):

From 2004 to present Working in SC as legal representative & chairman.

Director:

-----------

Christian Roos Passport No.: 2184409352

Juan Barenys Marti Passport No.: 43397587-z

SC is mainly engaged in manufacturing and selling chemical dyes.

SC’s products mainly include: chemical dyes, etc.

SC sources its materials 100% from overseas market, mainly Germany. SC sells 100% of its products in domestic market, mainly Shandong province and Zhejiang province.

The buying terms of SC include L/C and Credit of 30-60 days. The payment terms of SC include T/T and Credit of 30-60 days.

*Major Customer:

==============

Jinan Weinuoer Industry Co., Ltd.

*Major Supplier:

============

Trumpler GmbH & Co. KG, Chemische Fabrik (Germany)

According to http://www.trumpler.de/:

Trumpler Brasileira Ltda. (Brazil)

Trumpler France S.a.r.l. (France)

Etc.

Overall payment appraisal:

( ) Excellent ( ) Good (X) Average ( ) Fair ( ) Poor ( ) Not yet determined

The appraisal serves as a reference to reveal SC's payments habits and ability to pay. It is based on the 3 weighed factors: Trade payment experience (through current enquiry with SC's suppliers), our delinquent payment and our debt collection record concerning SC.

Trade payment experience: SC’s suppliers declined to make any comments.

Delinquent payment record: None in our database.

Debt collection record: No overdue amount owed by SC was placed to us for collection within the last 6 years.

Bank of China Jiaxing City Jiashan Branch

AC# 860026990608091001

Relationship: Normal

Balance Sheet

Unit: CNY’000

	As of Dec. 31, 2009	As of Dec. 31, 2010
Cash & bank	2,548	2,938
Notes receivable	6,307	17,101
Inventory	19,450	24,127
Accounts receivable	37,275	27,302
Advances to suppliers	9	192
Other accounts receivable	256	979
Prepaid expenses	0	0
Other current assets	141	135
	------------------	------------------
Current assets	65,986	72,774
Disposal of fixed assets	0	0
Fixed assets net value	17,920	16,408
Project under construction	0	0
Long term investment	0	0
Other long-term assets	14	8
Intangible and other assets	1,399	1,347
	------------------	------------------
Total assets	85,319	90,537
	=============	=============
Short loans	12,539	12,824
Notes payable	0	0
Accounts payable	21,845	13,899
Advances from clients	712	111
Accrued payroll	691	252
Welfare payable	0	0
Taxes payable	2,926	3,008
Surcharge payable	0	0
Accrued expenses	0	0
Other accounts payable	5,017	6,791
Other current liabilities	64	72
Interest payable	0	0
	------------------	------------------
Current liabilities	43,794	36,957
Long-term liabilities	624	0
Long-term payables	0	0
	------------------	------------------
Total liabilities	44,418	36,957
Equities	40,901	53,580
	------------------	------------------
Total liabilities & equities	85,319	90,537
	=============	=============

Income Statement

Unit: CNY’000

	As of Dec. 31, 2009	As of Dec. 31, 2010
Turnover	82,446	101,594
Cost of goods sold	51,005	65,652
Taxes and additional of main operations	106	230
Other operating profit	584	1,204
Sales expense	6,575	8,271
Management expense	9,578	13,230
Finance expense	545	971
Non-operating income	75	4
Profit before tax	15,296	14,448
Less: profit tax	1,726	1,770
Profits	13,570	12,678

Note: SC’s management declined to release the latest financial information.

Important Ratios

=============

	As of Dec. 31, 2009	As of Dec. 31, 2010
*Current ratio	1.51	1.97
*Quick ratio	1.06	1.32
*Liabilities to assets	0.52	0.41
*Net profit margin (%)	16.46	12.48
*Return on total assets (%)	15.91	14.00
*Inventory /Turnover ×365	87 days	87 days
*Accounts receivable/Turnover ×365	166 days	99 days
*Turnover/Total assets	0.97	1.12
* Cost of goods sold/Turnover	0.62	0.65

PROFITABILITY: GOOD

l The turnover of SC appears average in 2009 and fairly good in 2010.

l SC’s net profit margin appears good in both 2 years.

l SC’s return on total assets appears good in both 2 years.

l SC’s cost of goods sold is average, comparing with its turnover.

LIQUIDITY: AVERAGE

l The current ratio of SC is in a normal level in both 2 years.

l SC’s quick ratio is in a normal level in both 2 years.

l The inventory of SC appears average in both 2 years.

l The accounts receivable of SC appears fairly large in 2009 and 2010.

l The short-term loan of SC is average in both 2 years.

l SC’s turnover is in an average level, comparing with the size of its total assets.

LEVERAGE: AVERAGE

l The debt ratio of SC is average in 2009 but low in 2010.

l The risk for SC to go bankrupt is average.

Overall financial condition of the SC: Fairly stable.

SC is considered medium-sized in its line with fairly stable financial conditions. Credit dealings with SC in moderate amount appear acceptable.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.54.33
UK Pound	1	Rs.80.89
Euro	1	Rs.70.73

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.