MIRA INFORM REPORT

Report Date :

30.03.2013

IDENTIFICATION DETAILS

Name :	ROYTON QUIMICA FARMACEUTICA LTDA

Registered Office :	Avenida Casagrande,874 - Jardim Piraporinha 09961-350 - Diadema/Sp

Country :	Brazil

Date of Incorporation :	30.01.1975

Legal Form :	Limited Liability Company

Line of Business :	Manufacture of Pharmaceuticals.

No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

RATING		STATUS	PROPOSED CREDIT LINE
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

Maximum Credit Limit:	--
Status :	Moderate
Payment Behaviour :	Slow
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

(31.03.2011)

Current Rating

(30.06.2012)

Brazil

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

BRAZIL - ECONOMIC OVERVIEW

Characterized by large and well-developed agricultural, mining, manufacturing, and service sectors, Brazil's economy outweighs that of all other South American countries, and Brazil is expanding its presence in world markets. Since 2003, Brazil has steadily improved its macroeconomic stability, building up foreign reserves, and reducing its debt profile by shifting its debt burden toward real denominated and domestically held instruments. In 2008, Brazil became a net external creditor and two ratings agencies awarded investment grade status to its debt. After strong growth in 2007 and 2008, the onset of the global financial crisis hit Brazil in 2008. Brazil experienced two quarters of recession, as global demand for Brazil's commodity-based exports dwindled and external credit dried up. However, Brazil was one of the first emerging markets to begin a recovery. In 2010, consumer and investor confidence revived and GDP growth reached 7.5%, the highest growth rate in the past 25 years. Rising inflation led the authorities to take measures to cool the economy; these actions and the deteriorating international economic situation slowed growth to 2.7% for 2011 as a whole, though forecasts for 2012 growth are somewhat higher. Despite slower growth in 2011, Brazil overtook the United Kingdom as the world's seventh largest economy in terms of GDP. Urban unemployment is at the historic low of 4.7% (December 2011), and Brazil's traditionally high level of income equality has declined for each of the last 12 years. Brazil's high interest rates make it an attractive destination for foreign investors. Large capital inflows over the past several years have contributed to the appreciation of the currency, hurting the competitiveness of Brazilian manufacturing and leading the government to intervene in foreign exchanges markets and raise taxes on some foreign capital inflows. President Dilma ROUSSEFF has retained the previous administration's commitment to inflation targeting by the central bank, a floating exchange rate, and fiscal restraint.

Source : CIA

Company name

ROYTON QUIMICA FARMACEUTICA LTDA

ADDRESSES

MAIN ADDRESS:	AVENIDA CASAGRANDE,874 - JARDIM PIRAPORINHA
ZIP CODE/CITY:	09961-350 - DIADEMA/SP

PHONE:	11 2107-9000
FAX:	11 2107-9009
E-MAIL:	paulo@royton.com.br
WEB SITE:	www.royton.com.br

BRANCHES:

ADDRESS:	RUA PROFESSOR VIANA DE ABREU,336 - VILA OLÍMPIA
ZIP CODE/CITY:	04549-002 SÃO PAULO/SP
CNPJ:	46.385.514/0003-75
STATE REGISTER:	114.604.730.112

ADDRESS:	AV DR. CARDOSO DE MELO,1643 - VILA OLÍMPIA
ZIP CODE/CITY:	04548-005 SÃO PAULO/SP
CNPJ:	46.385.514/0004-56
STATE REGISTER:	115.563.210.114

ADDRESS:	AV DR. CARDOSO DE MELO,1639 - VILA OLÍMPIA
ZIP CODE/CITY:	04548-005 SÃO PAULO/SP
CNPJ:	46.385.514/0005-37
STATE REGISTER:	116.064.900.112

ADDRESS:	AV CASA GRANDE,850 - JARDIM PIRAPORINHA
ZIP CODE/CITY:	09961-350 DIADEMA/SP

LEGAL DATA

MAIN ACTIVITIES:

MANUFACTURE OF PHARMACEUTICALS.

LEGAL FORM:	LIMITED LIABILITY COMPANY

INCORPORATION DATE:	30/01/1975
REGISTER DATE:	30/01/1975
BALANCE SHEET FILING DATE:	31/12
TAX CONTRIBUTOR NUMBER(CNPJ):	46.385.514/0001-03
STATE REGISTER:	286.276.535.114

SHARE CAPITAL:	R$ 1.750.000,00
LAST REGISTER OF CAPITAL:	01/04/2002

BOARD OF DIRECTORS:

SERGIO YUKIO SENDODA	MANAGER

AUTHORIZED USE OF SIGNATURE

THE MANAGER IS AUTHORIZED TO SIGN ON BEHALF OF THE COMPANY.

SHAREHOLDERS / PARTNERS:

SERGIO YUKIO SENDODA	100%

AFFILIATES / SUBSIDIARIES:
A SCAN THROUGH OUTSIDE SOURCES SHOWED THE SUBJECT AND/OR DIRECTORS HAS/HAVE THE FOLLOWING UNCONFIRMED HOLDINGS:
SERMAN ADMINISTRACAO DE BENS LTDA.
SAGA SERVICOS EMPRESARIAIS LTDA - ME

COMPANY'S BACKGROUND

THE SUBJECT WAS ESTABLISHED ON JANUARY 30, 1975 TO BE ENGAGED IN THE SAID LINE OF BUSINESS AND UP TO DATE IT IS STILL OPERATING WITHIN THE GENERAL SCENE REPORTED HEREIN.

THE COMPANY OPERATES WITH THE TRADE NAME "ROYTON QUIMICA FARMACEUTICA".

PARTNER:

SERGIO YUKIO SENDODA: BRAZILIAN, HOLDER OF DOCUMENTS CPF 648.599.758-04, RG, RESIDENTIAL ADDRESS AT RUA DIONISIO MURCOVIC 06, OSASCO/SP.

FURTHER DETAILS ARE SO FAR NOT KNOWN.

REMARKS:

--------

WHEN INTERVIEWED SOURCES AT THE SUBJECT STATED THAT ARE STILL WAITING FOR AUTHORIZATION FROM THE PRINCIPALS TO PROVIDE THE DATA NECESSARY TO COMPLETE THIS REPORT.

A REQUEST FOR FURTHER DATA HAS BEEN SENT TO THE COMPANY. PROVIDED THE DATA REQUESTED ARE RECEIVED FROM THE SUBJECT A COMPLEMENTARY REPORT WILL BE SENT TO YOUR ATTENTION.

THE DATA CONTAINED HEREIN WERE OBTAINED FROM OUTSIDE SOURCES, OUR DATABASE AND OFFICIAL. NO FURTHER DATA WAS AVAILABLE WITH SEVERAL SOURCES USUALLY INVESTIGATED.

PUBLIC INFORMATION:

INFORMATION ON RETURNED CHEQUES:

QTY:	DETAILS:	LAST ONE:	BANK:
2	RETURNED CHEQUES	28/12/2012	BANCO BRADESCO S/A

PROTESTS:

685 PROTESTS,TOTAL AMOUNT R$ 2.258.721,60

DATE OF FIRST PROTEST: 03/2008 R$ 3.111,95

DATE OF HIGHEST PROTEST: 05/2012 R$ 49.327,50

DETAILS OF LATEST PROTESTS:

NOTARY OFFICE:	DATE:	VALUE:
1º CARTÓRIO DE DIADEMA/SP	01/03/2013	R$ 2.552,50
1º CARTÓRIO DE DIADEMA/SP	01/03/2013	R$ 3.060,83
1º CARTÓRIO DE DIADEMA/SP	06/03/2013	R$ 2.070,00
1º CARTÓRIO DE DIADEMA/SP	01/03/2013	R$ 1.508,90
1º CARTÓRIO DE DIADEMA/SP	07/03/2013	R$ 450,00

LAWSUITS:
	DATE:	COURT OF LAW:

5	EXEECUTIVE LAWSUITS	28/03/12	2ª VARA DE SP-DIADEMA
11	STATE LAWSUITS	14/12/11	VARA DE SP-DIADEMA
11	FEDERAL LAWSUITS	17/12/12	2ª VARA DE SP--SAO BERNARDO DO CAMPO
1	MUNICIPAL LAWSUITS	14/12/11	VARA DE SP-DIADEMA
5	MONITORY SUITS	21/05/12	2ª VARA DE SP-DIADEMA

FINANCIAL INFORMATION

DUE TO THE SUBJECT'S LEGAL FORM, IT IS NOT OBLIGED TO PUBLISH THE BALANCE SHEET INFORMATION. WHEN INTERVIEWING SOURCES AT THE SUBJECT COMPANY DECLINED TO PROVIDE ANY KIND OF FINANCIAL INFORMATION.

OUTSIDE SOURCES CONTACTED SHOWED NO FINANCIAL DATA ABOUT THIS COMPANY.

EXCHANGE RATE:

US$ 1,00 = R$ 2,00

- OFFICIAL RATE ON 26/03/2013

COMMENTS ON THE FINANCIAL INFORMATION:

IN THE ABSENCE OF FINANCIAL INFORMATION NO COMMENTS CAN BE MADE ABOUT THE SUBJECT'S CURRENT FINANCIAL STANDING.

REAL ESTATE:

NOT AVAILABLE

VEHICLES:

NOT AVAILABLE

MACHINES:

NOT AVAILABLE

INSURANCE

THE SUBJECT IS SAID TO HOLD INSURANCE POLICIES BUT DETAILS WERE NOT DISCLOSED.

BANKING REFERENCES

	BRANCH/PHONE:
BANCO DO BRASIL S/A	11 6845-8379
BANCO SAFRA S/A	11 3175-8382
BANCO BRADESCO S/A	11 5508-3657

REMARKS: IN BRAZIL THE BANKS ARE PROHIBITED BY LAW TO PROVIDE INFORMATION OR ANY KIND OF COMMENTS ABOUT THEIR CLIENTS. DUE TO THIS LAW PROHIBITION WE ARE UNABLE TO PROVIDE ANY BANKING DETAILS.

ACCORDING TO THE CENTRAL BANK OF BRAZIL OFFICIAL REPORT, THE COMPANY HAS 2 RETURNED CHECKS UP TO DATE. (IN THE TERMS OF "CIRCULAR 1682 BRAZILIAN CENTRAL BANK").

ACTIVITIES COMMENTS

SUBJECT IS ENGAGED IN THE MANUFACTURE OF PHARMACEUTICAL PRODUCTS.

IMPORT AND EXPORT:

IMPORTS FROM:

EUROPE AND CHINA

EXPORTS TO:

CHILE

MAIN CLIENTS:

DOMESTIC CLIENTS:		PHONE:
AGEPLUS COM. E P. FARM. LTDA		51 471-7776
CERVOSIL DIST. DE PERF. LTDA		51 230-4000
DIST. NOVARRO DE MEDIC. LTDA		11 3975-0881
ELITE C. E REP. PROD. FARMAC. LTDA		11 4437-2777
GAUCHAFARMA MEDIC. LTDA		57 338-1566
JORGE BATISTA CIA LTDA		86 218-2626
MERCANTIL FARMED LTDA		11 3839-5668
S. T. I. COM. PRODUTOS FARM. LTDA		11 3766-4147
SULFARMA LTDA		51 3339-5566

STAFF:

NOT AVAILABLE

CONCEPT AND FULFILMENT

THE SUBJECT IS A WELL-ESTABLISHED COMPANY, OPERATING SINCE 1975. HOWEVER, IT SHOWS A TRADE HISTORY AFFECTED BY SEVERAL DETRIMENTAL FILES.

THE COMPANY HAS TRADE RELATIONS WITH SOME LOCAL SUPPLIERS BUT UP TO DATE ONLY SMALL PAYMENTS WERE REPORTED AND THE SUBJECT IS NOT SAID TO BE USER OF TRADE CREDIT FACILITIES.

THE LAWSUITS REPORTED ARE NOT RELATED WITH TRADE DEBTS. THEY ARE RELATED TO TAX DEBTS THAT FOR ANY REASON THE COMPANY HAS NOT YET PAID.

OUR INVESTIGATION THROUGH THE PUBLIC RECORDS SHOWED SEVERAL DETRIMENTAL FILES REGISTERED AGAINST THE SUBJECT SHOWING IT HAS BEEN FAILING TO FULFILL ITS TRADE COMMITMENTS PROPERLY.

MAIN SUPPLIERS:

DOMESTIC SUPPLIERS:		PHONE:
ALCOA ALUMINIO S/A		11 3443-1022
COPYPJET INDUSTRIA GRAFICA LTDA		11 6345-5095
GALENA QUIMICA E FARMACÊUTICA LTDA		11 0800-144150
KLOECKNER PENTAPLAST DO BRASIL LTDA		11 4613-9999
LITOCOMP IND. GRAFICA LTDA		11 229-1522
M CASSAB COMERCIO LTDA		11 5522-7788
MACROM INDUSTRIA GRÁFICA LTDA		11 3845-8366
PALMARES ERVY COML. E IMPO. LTDA		11 6946-5065
PURIFARMA DIST. Q. FARM. LTDA		11 272-5600
VALDEQUIMICA PROD. QUIMICOS LTDA		11 3721-1077
VEDAT TAMPAS HERMITICAS LTDA		11 4704-4266
VITROSUL I. C. VIDROS LTDA		11 791-1574
WHEATON DO BRASIL S/A		11 5585-1044

PAYMENT HISTORY:

1 SUPPLIER REPORTED PAYMENTS:

TOTAL AMOUNT: R$ 163.607,00

AMOUNT OF INVOICES PAID: 42

TOTAL OF PROMPT PAYMENTS: 77,7%

TOTAL OF DELAYED PAYMENTS: 22,3%

HIGHEST INVOICE: R$ 13.426,00

HIGHEST CREDIT: R$ 30,00

FINAL OPINION

TAKING INTO ACCOUNT THE OVERALL INFORMATION IN THIS REPORT IT WOULD BE RECOMMENDED DEALING UNDER FULLY SECURED BASIS.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.54.39
UK Pound	1	Rs.82.32
Euro	1	Rs.69.54

INFORMATION DETAILS

Report Prepared by :

PRL

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.