MIRA INFORM REPORT

Report Date :

09.11.2013

IDENTIFICATION DETAILS

Name :	ASIA TODAY LTD.

Registered Office :	Suite 2501-2502, 25/F., Tower 2, Nina Tower, 8 Yeung Uk Road, Tsuen Wan, New Territories

Country :	Hong Kong

Date of Incorporation :	25.08.2004

Com. Reg. No.:	34853926

Legal Form :	Private Limited Company

Line of Business :	Importer, Exporter and Wholesaler of Garments and textile products.

No. of Employees :	20.

RATING & COMMENTS

MIRA’s Rating :

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

Maximum Credit Limit:	US$ 1,500,000.00
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)

Hong Kong

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

hong kong - ECONOMIC OVERVIEW

The US has the largest and most technologically powerful economy in the world, with a per capita GDP of $49,800. In this market-oriented economy, private individuals and business firms make most of the decisions, and the federal and state governments buy needed goods and services predominantly in the private marketplace. US business firms enjoy greater flexibility than their counterparts in Western Europe and Japan in decisions to expand capital plant, to lay off surplus workers, and to develop new products. At the same time, they face higher barriers to enter their rivals' home markets than foreign firms face entering US markets. US firms are at or near the forefront in technological advances, especially in computers and in medical, aerospace, and military equipment; their advantage has narrowed since the end of World War II. The onrush of technology largely explains the gradual development of a "two-tier labor market" in which those at the bottom lack the education and the professional/technical skills of those at the top and, more and more, fail to get comparable pay raises, health insurance coverage, and other benefits. Since 1975, practically all the gains in household income have gone to the top 20% of households. Since 1996, dividends and capital gains have grown faster than wages or any other category of after-tax income. Imported oil accounts for nearly 55% of US consumption. Crude oil prices doubled between 2001 and 2006, the year home prices peaked; higher gasoline prices ate into consumers' budgets and many individuals fell behind in their mortgage payments. Oil prices climbed another 50% between 2006 and 2008, and bank foreclosures more than doubled in the same period. Besides dampening the housing market, soaring oil prices caused a drop in the value of the dollar and a deterioration in the US merchandise trade deficit, which peaked at $840 billion in 2008. The sub-prime mortgage crisis, falling home prices, investment bank failures, tight credit, and the global economic downturn pushed the United States into a recession by mid-2008. GDP contracted until the third quarter of 2009, making this the deepest and longest downturn since the Great Depression. To help stabilize financial markets, in October 2008 the US Congress established a $700 billion Troubled Asset Relief Program (TARP). The government used some of these funds to purchase equity in US banks and industrial corporations, much of which had been returned to the government by early 2011. In January 2009 the US Congress passed and President Barack OBAMA signed a bill providing an additional $787 billion fiscal stimulus to be used over 10 years - two-thirds on additional spending and one-third on tax cuts - to create jobs and to help the economy recover. In 2010 and 2011, the federal budget deficit reached nearly 9% of GDP. In 2012 the federal government reduced the growth of spending and the deficit shrank to 7.6% of GDP. Wars in Iraq and Afghanistan required major shifts in national resources from civilian to military purposes and contributed to the growth of the budget deficit and public debt. Through 2011, the direct costs of the wars totaled nearly $900 billion, according to US government figures. US revenues from taxes and other sources are lower, as a percentage of GDP, than those of most other countries. In March 2010, President OBAMA signed into law the Patient Protection and Affordable Care Act, a health insurance reform that will extend coverage to an additional 32 million American citizens by 2016, through private health insurance for the general population and Medicaid for the impoverished. Total spending on health care - public plus private - rose from 9.0% of GDP in 1980 to 17.9% in 2010. In July 2010, the president signed the DODD-FRANK Wall Street Reform and Consumer Protection Act, a law designed to promote financial stability by protecting consumers from financial abuses, ending taxpayer bailouts of financial firms, dealing with troubled banks that are "too big to fail," and improving accountability and transparency in the financial system - in particular, by requiring certain financial derivatives to be traded in markets that are subject to government regulation and oversight. In December 2012, the Federal Reserve Board announced plans to purchase $85 billion per month of mortgage-backed and Treasury securities in an effort to hold down long-term interest rates, and to keep short term rates near zero until unemployment drops to 6.5% from the December rate of 7.8%, or until inflation rises above 2.5%. Long-term problems include stagnation of wages for lower-income families, inadequate investment in deteriorating infrastructure, rapidly rising medical and pension costs of an aging population, energy shortages, and sizable current account and budget deficits - including significant budget shortages for state governments.

Source : CIA

Company name

ASIA TODAY LTD.

ADDRESS

Suite 2501-2502, 25/F., Tower 2, Nina Tower, 8 Yeung Uk Road, Tsuen Wan, New Territories, Hong Kong.

PHONE: 852-2169 3533, 2169 3077, 3658 6713

FAX: 852-2169 3933, 2169 3433, 3658 6799

E-MAIL: mandy@asiatoday.com.hk

MANAGEMENT

Managing Director: Ms. Silke Schulz

SUMMARY

Incorporated on: 25th August, 2004.

Organization: Private Limited Company.

Capital: Nominal: HK$30,000,000.00

Issued: HK$30,000,000.00

Business Category: Importer, Exporter and Wholesaler.

Annual Turnover: US$70-90 million.

Employees: 20.

Main Dealing Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

Banking Relation: Satisfactory.

Credit Request: Credit of US$3,000,000.00 is excessive, a lesser amount of US$ 1,500,000.00 is advisable.

Company name

ASIA TODAY LTD.

ADDRESS

Registered Head Office:-

Suite 2501-2502, 25/F., Tower 2, Nina Tower, 8 Yeung Uk Road, Tsuen Wan, New Territories, Hong Kong.

Holding Company:-

Holdas Nominees Ltd., Hong Kong.

Associated Company:-

United Fashion Brands Ltd., Hong Kong. (Same address)

BUSINESS REGISTRATION NUMBER

34853926

COMPANY FILE NUMBER

0918874

MANAGEMENT

Managing Director: Ms. Silke Schulz

Contact Person: Ms. Lentner Andrea

CAPITAL

Nominal Share Capital: HK$30,000,000.00 (Divided into 30,000,000 shares of HK$1.00 each)

Issued Share Capital: HK$30,000,000.00

SHAREHOLDER

(As per registry dated 25-08-2013)

Name

No. of share

Holdas Nominees Ltd., Hong Kong.

30,000,000

========

DIRECTOR

(As per registry dated 25-08-2013)

Name

(Nationality)

Address

Silke SCHULZ

49 Kadoorie Avenue, Kowloon, Hong Kong.

SECRETARY

(As per registry dated 25-08-2013)

Name	Address	Co. No.
Benta Nominees Ltd.	20/F., Tung Wai Commercial Building, 109-111 Gloucester Road, Wanchai, Hong Kong.	0042671

HISTORY

The subject was incorporated on 25th August, 2004 as a private limited liability company under the Hong Kong Companies Ordinance.

Formerly the subject was located at Room 6510, 65/F., The Center, 99 Queen’s Road Central, Hong Kong, moved to the present address with effect from 1st December, 2008.

Apart from these, neither material change nor amendment has been ever traced and noted.

OPERATIONS

Activities: Importer, Exporter and Wholesaler.

Lines: Garments and textile products.

Employees: 20.

Commodities Imported: Imported from China, etc.

Markets: India, North America, Europe, etc.

Annual Turnover: US$70-90 million.

Terms/Sales: L/C or as per contracted.

Terms/Buying: As per contracted.

FINANCIAL INFORMATION

Nominal Share Capital: HK$30,000,000.00 (Divided into 30,000,000 shares of HK$1.00 each)

Issued Share Capital: HK$30,000,000.00

Increase of Nominal Capital:-

From

HK$1,000.00

HK$30,000,000.00

02-11-2005

Alternation of Issued Capital:-

25-08-2004	paid up	HK$ 1.00
02-11-2005	paid up	HK$29,999,999.00
		––––––––––––––––
Total:	paid up	HK$30,000,000.00 ==============

Profit & Loss: Making a small profit every year.

Condition: Keeping in an active condition.

Facilities: Making active use of general banking facilities.

Payment: Met trade commitments on time.

Commercial Morality: Satisfactory.

Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

Standing: Good.

GENERAL

Asia Today Ltd. is a wholly-owned subsidiary of Holdas Nominees Ltd. [Holdas] which is a Hong Kong registered firm. Formerly the subject had just issued 1 ordinary share of HK$1.00, increased to 30,000,000 ordinary shares of HK$1.00 each on 2nd November, 2005. Now, all the issued shares have been allotted to Holdas which is the present holding company. This firm is located at the operating address of Benta Nominees Ltd. which is the secretary of the subject.

Operating from a rented office, the subject was located at the 65th floor of The Center and now it has moved to Nina Tower since early December 2008.

The subject was controlled by an Indian Mr. Mahesh Sham Sujanani who had been in Hong Kong for a very long time. Now, he has retired.

The managing director of the subject Ms. Silke Schulz, a German, is a Hong Kong ID Card holder and has got the right to reside in Hong Kong permanently. She is also the only director of the subject.

The husband of Ms. Silke Schulz is Mr. Rainer Schulz. He was also a director of the subject but now has retired.

In fact the subject is operated by the Schulz family.

The subject is a garment trader. It is trading in the following commodities:-

Footwear — Sport Shoes, Slippers, Slippers (Textile and PVC), Sandals (Wooden, PVC and Cork), Rubber and Textile Footwear, PVC and Plastic Footwear, Leather Shoes and Boots;
Garments (Men’s, Women’s and Children’s) — Fleece Garments, Trousers and Slacks, Dresses and Skirts, Denim Garments, Blouses, Suits and Jackets (Women’s), Jacket (Ladies excluding Ski-Jacket);
Knitwear — Tee and Sweat Shirts, Knitted Garments, Cardigan, Sweater and Pullover;
Sportswear — Sports Gloves, Winter Sports Apparel, Water Sports Apparel, Sport Suits;
Underwear and Nightwear — Nightwear and Pyjamas, Underwear (Women’s); &
Machinery and Equipment — Shoe Making Machinery and Equipment, etc.

Commodities are chiefly sourced from China and the other Asian countries. Most of the products are exported to India, North America, Africa, the Middle East, etc. Business is rather active.

According to the subject, it has set up an office in Southern China responsible for sourcing commodities from local suppliers. The office is employing over 30 persons.

The subject’s business keeps on expanding and improving.

The subject has got an associated company United Fashion Brands Ltd. [UFB] located at its operating address. Incorporated on 7th December, 2006, UFB is an international young ladies retail fashion chain group with over 150 stores in Europe. The subject in fact a buying office for its associated shops in Europe.

Fashion Club is the newest retail chain owned by UFB, founded in Berlin in the mid-1990s by Rainer Schulz and his wife Silke Schulz.

UFB has plenty of experience in the fashion field. Its two other chains, Forever 18 and Colloseum, now have more than 250 stores in Germany, Poland, Russia, Austria, Latvia and Lithuania, with a sourcing office in Hong Kong which is the subject. Its European headquarters are now in Vienna.

Forever 18 is geared forward young women and girls. Colloseum is for the slightly older shopper, ages 15 to 25. Fashion Club is catering to the next age group up.

The annual sales turnover of the subject ranges from US$70 to 90 million. Overall business is active.

The history of the subject in Hong Kong is over nine years.

On the whole, consider it good for normal business engagements.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.62.73
UK Pound	1	Rs.100.92
Euro	1	Rs.84.06

INFORMATION DETAILS

Report Prepared by :

SDA

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.