MIRA INFORM REPORT

Report Date :

05.10.2013

IDENTIFICATION DETAILS

Name :	SCHMOLZ+BICKENBACH BALTIC, UAB
Registered Office :	Ateities Road 31, Kaunas, LT-52167
Country :	Lithuania
Financials (as on) :	31.12.2012
Date of Incorporation :	13.03.2007
Com. Reg. No.:	300658478
Legal Form :	Private Joint-Stock Company
Line of Business :	· Wholesaler of metals and metal ores · selling of steel products such as high-quality bright steel, various stainless steel products, special steel and aluminum
No. of Employees :	13

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 :	Slow but 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 – March 31^st, 2013

Country Name	Previous Rating (31.12.2012)	Current Rating (31.03.2013)
Lithuania	A2	A2

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

Lithuania ECONOMIC OVERVIEW

Lithuania gained membership in the World Trade Organization and joined the EU in May 2004. Despite its EU accession, Lithuania's trade with its Central and Eastern European neighbors, and Russia in particular, accounts for a significant share of total trade. Foreign investment and business support have helped in the transition from the old command economy to a market economy. Lithuania's economy grew on average 8% per year for the four years prior to 2008 driven by exports and domestic demand. Lithuania''s GDP plunged nearly 15% in 2009. The three former Soviet Baltic republics were among the hardest hit by the 2008-09 financial crisis. The government''s efforts to attract foreign investment, to develop export markets, and to pursue broad economic reforms has been key to Lithuania''s quick recovery from a deep recession, making Lithuania one of the fastest growing economies in the EU. Lithuania is committed to meeting the Maastricht criteria to join the euro zone, which the government expects to achieve by 2015. Under the Conservative Party''s leadership, Lithuania raised the monthly minimum wage in 2012 nearly 25% over 2011. Despite government efforts, unemployment - at 13.2% in 2012 - remains high.

Source : CIA

Identification

Full Name

:

SCHMOLZ+BICKENBACH Baltic, UAB

Name in national language

:

SCHMOLZ+BICKENBACH Baltic, UAB

Office Address

:

Ateities road 31, Kaunas, LT-52167, Lithuania

Legal Address

:

Ateities road 31, Kaunas, LT-52167, Lithuania

Contacts

:

-	Phone	:	(+370 37) 710369
-	Fax	:	(+370 37) 406777
-	E-mail	:	info@schmolz-bickenbach.lt
-	WWW	:	http://www.schmolz-bickenbach.lt/

SUMMARY

Legal Form : UAB (Private Joint-Stock Co. by Lithuanian law)

Incorporation : 2007

Staff : 13

Litigation events : none Remarks on payments : none

Sales :	37 531 953.00 LTL ( for 12 months, ended 31.12.2012 )
	35 602 207.00 LTL ( for 12 months, ended 31.12.2011 )

Incorporation

:

2007

Registration Data

Date of registration

:

13.03.2007

Registration number

:

300658478

Registr. authority

:

State Register (Kaunas, Lithuania)

Date of registration

:

06.04.2007

VAT number

:

LT100003009518

Registr. authority

:

Tax Board (Kaunas, Lithuania)

Legal Form

:

UAB (Private Joint-Stock Co. by Lithuanian law)

since 13.03.2007

Share Capital

:

2 711 700 LTL (registered)

since 23.12.2010

Shareholders

:

-

SCHMOLZ+BICKENBACH concern

100.00 %

Board / Executives

Executives

Director

:

Mr Uzringis, Rokas (Lithuania)

Authorised signature

:

Mr Uzringis, Rokas

Changes in Registration Data

- 23.12.2010

:

share capital

Increase of the share capital

- 01.12.2010

:

shareholders

- 23.12.2009

:

share capital

Increase of the share capital

- 12.03.2009

:

share capital

Increase of the share capital

Activities

:

-	505	Metals and Minerals, Except Petroleum
		(NACE 5152: Wholesale of metals and metal ores)

SCHMOLZ + BICKENBACH Baltic is selling steel products: high-quality bright steel, various stainless steel products, special steel and aluminum.

Staff employed

:

13 [E]

Staff History

:

-	12 [E]
	( the data as of 01.01.2013 )
-	12 [E]
	( the data as of 01.01.2012 )
-	10 [E]
	( the data as of 01.01.2011 )
-	8 [E]
	( the data as of 01.01.2010 )
-	6 [E]
	( the data as of 01.01.2009 )

Export

:

European Union

Import

:

European Union

Branches

:

none

Subsidiaries and Participation

:

n/a

Bankers

:

n/a

Other associated Companies

:

Companies from SCHMOLZ+BICKENBACH group.

Litigation

:

none

Last lawsuit, where company participated as a plaintiff, is dated 28.01.2013.

Remarks on payment

:

none

No current are reported by the local debt collection companies.

Financial Elements

Period, months	12	12
Ended	31.12.2012	31.12.2011
Currency	LTL	LTL
Non-current assets	254 689.00	285 435.00
incl: - Fixed assets	197 736.00	126 913.00
- Financial assets	0.00	0.00
Current assets	12 322 849.00	12 920 859.00
incl: - Stock	4 924 199.00	3 553 914.00
- Debtors	6 554 216.00	8 902 632.00
- Cash	844 434.00	464 313.00
ASSETS TOTAL	12 577 538.00	13 206 294.00
Equity	2 203 833.00	1 813 406.00
incl: - Share capital	2 711 700.00	2 711 700.00
Liabilities Total	10 373 705.00	11 392 888.00
incl: - Long-term liabilities	778 148.00	778 148.00
- Short-term liabilities	9 595 557.00	10 614 740.00
EQUITY AND LIABILITIES TOTAL	12 577 538.00	13 206 294.00
Net sales	37 531 953.00	35 602 207.00
Cost of goods sold	34 556 264.00	32 463 364.00
Operating profit	435 662.00	1 458 797.00
Profit before taxation	491 996.00	605 331.00
Net profit	390 427.00	514 531.00
- - - - - - - KEY RATIOS - - - - - - -
Return on sales, %	1.31	1.70
Profit before taxation / Net sales
Operating margin of profit, %	1.16	4.10
Operating profit / Net sales
Return on investment, %	22.32	33.38
Profit before taxation / Equity
Current assets turnover	3.05	2.76
Net sales / Current assets
Working capital	2 727 292.00	2 306 119.00
Current assets - Short-term liabilities
Leverage	0.18	0.14
Equity / Total assets
Current ratio	1.28	1.22
Current assets / Short-term liabilities
Quick ratio	0.77	0.88
(Current assets - Stock) / Short-term liabilities
Debt-to-equity ratio	4.71	6.28
Total liabilities / Equity

Income range of the subject LTL (according to data of Statistics Dep-t): 30,000,001-40,000,000 /2011-12-31/ 20,000,001-30,000,000 /2010-12-31/ 7,000,001-9,000,000 /2009-12-31/ 7,000,001-9,000,000 /2008-12-31/ 2,000,001-3,000,000 /2008-01-02/

FINAL COMMENTS

Information was received from all the sources available, some information was confirmed by the chief accountant of the company Mrs. Vilma Gudaitiene. She said that the latest financial information will be available only in November. /Date: 02.10.2013, phone: (+370 37) 710369/

APPENDIX A

Financial Statements

Period, months	12	12
Ended	31.12.2012	31.12.2011
Currency	LTL	LTL
PROFIT AND LOSS ACCOUNT
I. SALES AND SERVICES	37 531 953.00	35 602 207.00
II. COSTS OF GOODS SOLD AND SERVICES	34 556 264.00	32 463 364.00
RENDERED
III. GROSS PROFIT (LOSS)	2 975 689.00	3 138 843.00
IV. OPERATING EXPENSES	2 540 027.00	1 680 046.00
IV.1 Expenses on sales	1 654 743.00	1 038 398.00
IV.2 Administrative and other expenses	885 284.00	641 648.00
V. OPERATING PROFIT (LOSS)	435 662.00	1 458 797.00
VI. OTHER OPERATIONS	463 792.00	-340 410.00
VI.1 Revenue from other operations	464 867.00	40 176.00
VI.2 Expenses on other operations	1 075.00	380 586.00
VII. FINANCIAL AND INVESTMENT ACTIVITIES	-407 458.00	-513 056.00
VII.1 Revenue from financial and investing activities	77 859.00	14 218.00
VII.2 Expenses on financial and investing activities	485 317.00	527 274.00
VIII. BASIC ACTIVITY PROFIT (LOSS)	491 996.00	605 331.00
IX. EXTRA-ORDINARY PROFIT
X. EXTRA-ORDINARY LOSS
XI. PROFIT LIABLE TO TAXATION (LOSS)	491 996.00	605 331.00
XII. PROFIT TAX	101 569.00	90 800.00
XIII. NET PROFIT (LOSS)	390 427.00	514 531.00
XIV. PROFIT (LOSS) before minority share
XV. MINORITY SHARE
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
BALANCE SHEET
ASSETS
A. NON-CURRENT ASSETS	254 689.00	285 435.00
I. INTANGIBLE ASSETS	0.00	0.00
I.1 Reseach and development costs
I.2 Goodwill
I.3 Rights obtained (licences, patents etc.)
I.4 Software
I.5 Other intangible assets
II. TANGIBLE ASSETS	197 736.00	126 913.00
II.1 Land
II.2 Buildings and constructions	18 008.00
II.3 Plant and equipment
II.4 Transport vehicles	1.00	6 059.00
II.5 Other fixtures, fittings, tools and equipment	179 727.00	120 854.00
II.6 Construction in progress and prepayments
II.7 Other tangible assets
II.8 Investment assets	0.00	0.00
II.8.1. Land
II.8.2. Buildings
III. LONG-TERM FINANCIAL ASSETS	0.00	0.00
III.1 Capital participation and investments in related
companies
III.2 Loans to subsidiaries and associated companies
III.3 Long-term accounts receivable
III.4 Other long-term finacial assets
IV. OTHER LONG TERM ASSETS	56 953.00	158 522.00
IV.1 Deffered tax profit	56 953.00	158 522.00
IV.2 Other long term assets
B. CURRENT ASSETS	12 322 849.00	12 920 859.00
I. STOCKS AND CONTRACTS IN PROGRESS	4 924 199.00	3 553 914.00
I.1. Stocks	4 670 103.00	3 123 473.00
I.1.1 Raw materials and consumables	2 768.00	9 384.00
I.1.2 Work in progress
I.1.3 Finished products
I.1.4 Goods purchased for sale	4 667 335.00	3 114 089.00
I.1.5 Long term assets for resale
I.2 Advanced payments	254 096.00	430 441.00
I.3. Contracts in progress
II. SHORT-TERM ACCOUNTS RECEIVABLE	6 554 216.00	8 902 632.00
II.1. Trade debtors	6 554 216.00	8 902 632.00
II.2 Loans to subsidiaries and associated companies
II.3. Other accounts receivable
III. OTHER CURRENT ASSETS	0.00	0.00
III.1 Short-term investments
III.2 Deposit accounts
III.3 Other current assets
IV. CASH IN HAND AND BANK ACCOUNT	844 434.00	464 313.00
TOTAL ASSETS	12 577 538.00	13 206 294.00
EQUITY AND LIABILITIES
C. CAPITAL AND RESERVES	2 203 833.00	1 813 406.00
I. CAPITAL	2 711 700.00	2 711 700.00
I.1. Authorized capital	2 711 700.00	2 711 700.00
I.2. Uncalled capital
I.3 Share premium account
I.4 Own shares
II. REVALUATION RESERVE
III. RESERVES	0.00	0.00
III.1. Legally prescribed reserves
III.2. Non-distributable reserves
III.3. Other reserves
IV. RETAINED EARNINGS	-507 867.00	-898 294.00
IV.1 Profit (loss) from the current year	390 427.00	514 531.00
IV.2 Profit (loss) brought forward from previous years	-898 294.00	-1 412 825.00
V. Currency exchange rate influence
D. FINANCING (GRANTS AND SUBSIDIES)
D. MINORITY SHARE
E. ACCOUNTS PAYABLE AND LIABILITIES	10 373 705.00	11 392 888.00
I. LONG-TERM ACCOUNTS PAYABLE	778 148.00	778 148.00
I.1 Financial loans	778 148.00	778 148.00
I.1.1 Leasing and other similar obligations
I.1.2 Amounts owed to credit institutions
I.1.3 Other financial loans	778 148.00	778 148.00
I.2 Trade creditors
I.3 Advanced payments under contracts in progress
I.4 Provisions	0.00	0.00
I.4.1 Liabilities repayment
I.4.2 Benefit and similar liabilities
I.4.3 Other provisions
I.5 Deffered taxes
I.6 Other accounts payable and long-term liabilities
II. SHORT-TERM LIABILITIES	9 595 557.00	10 614 740.00
II.1 Short-term portion of long-term debts
II.2 Financial debts	3 534 072.00	3 721 615.00
II.2.1 To credit institutions
II.2.2 Other loans	3 534 072.00	3 721 615.00
II.3 Trade creditors	5 534 110.00	6 112 255.00
II.4 Advanced payments under contracts in progress	9 836.00	5 108.00
II.5 Profit tax liabilities
II.6 Taxes, accrued payroll and social insurance payments	37 329.00	42 261.00
II.7 Provisions	36 263.00	43 826.00
II.8 Other accounts payable and short-term liabilities	443 947.00	689 675.00
TOTAL EQUITY AND LIABILITIES	12 577 538.00	13 206 294.00

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.41
UK Pound	1	Rs.99.29
Euro	1	Rs.83.68

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%)

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.