MIRA INFORM REPORT

Report Date :

11.11.2013

IDENTIFICATION DETAILS

Name :	VSONIC ELECTRONICS CO. LTD.

Registered Office :	Unit 706, 7/F., Winful Centre, 30 Shing Yip Street, Kwun Tong, Kowloon

Country :	Hong Kong

Date of Incorporation :	20.02.2002

Com. Reg. No.:	32396055

Legal Form :	Private Limited Company

Line of Business :	The subject is trading in the following commodities: Television (include LCD, Plasma Display, HDTV), Light Emitting Diode (LED), Liquid Crystal Display (LCD)

No. of Employees :	12

RATING & COMMENTS

MIRA’s Rating :

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)

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

Hong Kong has a free market economy, highly dependent on international trade and finance - the value of goods and services trade, including the sizable share of re-exports, is about four times GDP. Hong Kong levies excise duties on only four commodities, namely: hard alcohol, tobacco, hydrocarbon oil, and methyl alcohol. There are no quotas or dumping laws. Hong Kong's open economy left it exposed to the global economic slowdown that began in 2008. Although increasing integration with China, through trade, tourism, and financial links, helped it to make an initial recovery more quickly than many observers anticipated, it again faces a possible slowdown as exports to the Euro zone and US slump. The Hong Kong government is promoting the Special Administrative Region (SAR) as the site for Chinese renminbi (RMB) internationalization. Hong Kong residents are allowed to establish RMB-denominated savings accounts; RMB-denominated corporate and Chinese government bonds have been issued in Hong Kong; and RMB trade settlement is allowed. The territory far exceeded the RMB conversion quota set by Beijing for trade settlements in 2010 due to the growth of earnings from exports to the mainland. RMB deposits grew to roughly 9.1% of total system deposits in Hong Kong by the end of 2012, an increase of 59% from the previous year. The government is pursuing efforts to introduce additional use of RMB in Hong Kong financial markets and is seeking to expand the RMB quota. The mainland has long been Hong Kong's largest trading partner, accounting for about half of Hong Kong's exports by value. Hong Kong's natural resources are limited, and food and raw materials must be imported. As a result of China's easing of travel restrictions, the number of mainland tourists to the territory has surged from 4.5 million in 2001 to 34.9 million in 2012, outnumbering visitors from all other countries combined. Hong Kong has also established itself as the premier stock market for Chinese firms seeking to list abroad. In 2012 mainland Chinese companies constituted about 46.6% of the firms listed on the Hong Kong Stock Exchange and accounted for about 57.4% of the Exchange's market capitalization. During the past decade, as Hong Kong's manufacturing industry moved to the mainland, its service industry has grown rapidly. Growth slowed to 5% in 2011, and less than 2% in 2012. Credit expansion and tight housing supply conditions caused Hong Kong property prices to rise rapidly and inflation to rise 4.1% in 2012. Lower and middle income segments of the population are increasingly unable to afford adequate housing. Hong Kong continues to link its currency closely to the US dollar, maintaining an arrangement established in 1983.

Source : CIA

company name

VSONIC ELECTRONICS CO. LTD.

ADDRESS

Unit 706, 7/F., Winful Centre, 30 Shing Yip Street, Kwun Tong, Kowloon, Hong Kong

PHONE: 852-2341 3833

FAX: 852-2341 3830, 2264 5615

MANAGEMENT

Managing Director : Ms. Mo Lan Shiu

SUMMARY

Incorporated on : 20th February, 2002.

Organization : Private Limited Company

Capital: Nominal : HK$10,000.00

Issued : HK$10,000.00

Business Category : Electric Product Trader.

Employees : 12

Main Dealing Banker : HBZ Finance Ltd., Hong Kong.

Banking Relation : Satisfactory.

Company name

VSONIC ELECTRONICS CO. LTD.

ADDRESS

Registered Head Office:-

Unit 706, 7/F., Winful Centre, 30 Shing Yip Street, Kwun Tong, Kowloon, Hong Kong.

Associated/Affiliated Companies:-

Dominant Opto Technologies Sdn. Bhd., Malaysia.

Vsonic Opto Technologies Co. Ltd.

Room 2412-2415, Haitian Building, Cai Tian South Road, Futian District, Shenzhen Special Economic Zone, China.

Tel : 755-8356 090

Fax : 755-8356 0913

E-mail : zfw@vsonicled.com

joewi@vsonicled.com

BUSINESS REGISTRATION NUMBER

32396055

COMPANY FILE NUMBER

0786690

MANAGEMENT

Managing Director: Ms. Mo Lan Shiu

Contact Person: Mr. John Tung-Tsing Yip

CAPITAL

Nominal Share Capital: HK$10,000.00

(Divided into 10,000 shares of HK$1.00 each)

Issued Share Capital: HK$10,000.00

SHAREHOLDERS

(As per registry dated 20-02-2013)

Name		No. of shares
MO Lan Shiu		9,000
CHAN Chi Chiu		1,000
		–––––
	Total:	10,000 =====

DIRECTORS

(As per registry dated 20-02-2013)

Name

(Nationality)

Address

MO Lan Shiu

Room 1010, 10/F., Fai Ming House, Chung Ming Court, Tseung Kwan O, Kowloon, Hong Kong.

CHAN Chi Chiu

Flat M, 9/F., Haven Court, 134, Leighton Road, Causeway Bay, Hong Kong.

SECRETARY

MO Lan Shiu

(As per registry dated 20-02-2013)

HISTORY

The subject was incorporated on 20th February, 2002 as a private limited liability company under the Hong Kong Companies Ordinance.

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

OPERATIONS

Activities : Electric Product Trader.

Lines : Television (include LCD / Plasma Display / HDTV), Light Emitting Diode (LED), Liquid Crystal Display (LCD), etc.

Employees : 12.

Commodities Imported : Malaysia, Europe, etc.

Markets : Hong Kong, China, other Asian countries, etc.

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

Terms/Buying : L/C, T/T, D/P, etc.

FINANCIAL INFORMATION

Nominal Share Capital : HK$10,000.00 (Divided into 10,000 shares of HK$1.00 each)

Issued Share Capital : HK$10,000.00

Mortgage or Charge : (See attachment)

Profit or Loss : Making a small profit every year.

Condition : Keeping in a satisfactory manner.

Facilities : Making rather active use of general banking facilities.

Payment : Met trade commitments as required.

Commercial Morality : Satisfactory.

Banker : HBZ Finance Ltd., Hong Kong.

Standing : Normal.

GENERAL

Having issued 10,000 ordinary shares of HK$1.00 each, Vsonic Electronics Co. Ltd. is jointly owned by Ms. Mo Lan Shiu, holding 90% interests; Mr. Chan Chi Chiu, holding 10%. Both are Hong Kong merchants. They are also directors of the subject.

The subject is trading in the following commodities:

Television (include LCD, Plasma Display,HDTV), Light Emitting Diode (LED), Liquid Crystal Display (LCD)

The subject is importing SMT LED from Dominant Opto Technologies Sdn. Bhd. [Dominant] which is a Malaysia-based company.

Dominant is one of the world’s leading SMT LED manufacturers. Since 2000, the prime activities of the company are designing, developing and manufacturing of opto semiconductor components mainly Light Emitting Diodes. It offers a comprehensive LED to cater for product segments for automotive, consumer, communications and industrial applications to fulfil the worldwide demand of LED applications.

Dominant has become a trusted and reliable brand acknowledged across the globe and is dedicated to meet the challenge of the global market to remain as the first one stop choice for designing, packaging and manufacturing of opto semiconductor solutions.

The subject imports the following products (models) from Dominant:

Standard Power

Power DomiLED™, DomiLED™, Mini DomiLED™, SSpiceLED™, M-SpiceLED™

Medium Power

Power DomiLED™, DomiPlus™

Primax

Primax5, PrimaxPlus, Primax7020, PrimaxN4014, SPNova™

High Power

SPNova™, KNova

Through Hole Lamp

3mm Round Lamp, 4mm Oval Lamp, 5mm Oval Lamp, 5mm Round Lamp

Multi Color

Bi Color Multi DomiLED™, Tri Color Multi DomiLED™, RGB SPNova™

Products are marketed in Hong Kong, China, and re-exported to the other Asian countries

The subject also trades in the other products manufactured by China and Asian manufacturers. The contact person is Mr. John Tung-Tsing Yip. The subject’s associated company in Shenzhen Special Economic Zone, China is known as Vsonic Opto Technologies Co. Ltd. [VOTC]. VOTC and the subject are engaged in the same lines of business. The contact person of VOTC is Mr. Joewi Yung.

The subject is able to make a small profit every year.

As the history of the subject is over eleven years in Hong Kong, on the whole, consider it good for normal business engagements.

MORTGAGE OR CHARGE

Date

Particulars

Amount

25-11-2008

Instrument: Lien & Set-Off Agreement

Property:

Fixed Deposit Receipt No.: FDN0112019

Value Date: 25-11-2008

Principal Amount: US$80,724.97

Maturity Date: 25-02-2009

Mortgagee: HBZ Finance Ltd., Hong Kong.

Loans, credit financial accommodation and facilities granted to the company from time to time by the Bank

30-05-2013

Instrument: Lien & Set-Off Agreement

Property:

Fixed Deposit Receipt No.: 2276

Value Date: 08-04-2013

Principal Amount: HK$500,369.86

Maturity Date: 08-07-2013

Mortgagee: HBZ Finance Ltd., Hong Kong.

Loans, credit financial accommodation and facilities granted to the company from time to time by the Bank

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 :

NNA

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.