MIRA INFORM REPORT

Report Date :

17.10.2013

IDENTIFICATION DETAILS

Name :	TWIN DISC (FAR EAST) PTE. LTD.
Registered Office :	80, Robinson Road, 02 - 00, 068898
Country :	Singapore
Financials (as on) :	30.06.2012
Date of Incorporation :	28.12.2010
Com. Reg. No.:	201027287-C
Legal Form :	Private Limited Company
Line of Business :	trader of marine and industrial products
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :	Ba
	With financials

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)
Singapore	A1	A1

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

Singapore ECONOMIC OVERVIEW

Singapore has a highly developed and successful free-market economy. It enjoys a remarkably open and corruption-free environment, stable prices, and a per capita GDP higher than that of most developed countries. The economy depends heavily on exports, particularly in consumer electronics, information technology products, pharmaceuticals, and on a growing financial services sector. Real GDP growth averaged 8.6% between 2004 and 2007. The economy contracted 0.8% in 2009 as a result of the global financial crisis, but rebounded 14.8% in 2010, on the strength of renewed exports, before slowing to 5.2% in 2011 and 1.3% in 2012, largely a result of soft demand for exports during the second European recession. Over the longer term, the government hopes to establish a new growth path that focuses on raising productivity, which has sunk to an average of about 1.0% in the last decade. Singapore has attracted major investments in pharmaceuticals and medical technology production and will continue efforts to establish Singapore as Southeast Asia's financial and high-tech hub.

Source : CIA

* Adopted abbreviations :	SC - Subject Company (the company enquired by you)
	N/A - Not Applicable

EXECUTIVE SUMMARY

REGISTRATION NO.	:	201027287-C
COMPANY NAME	:	TWIN DISC (FAR EAST) PTE. LTD.
FORMER NAME	:	N/A
INCORPORATION DATE	:	28/12/2010
COMPANY STATUS	:	EXIST
LEGAL FORM	:	PRIVATE LIMITED
LISTED STATUS	:	NO
REGISTERED ADDRESS	:	80, ROBINSON ROAD, 02 - 00, 068898, SINGAPORE.
BUSINESS ADDRESS	:	10, FIFTH LOK YANG ROAD, JURONG, 629761, SINGAPORE.
TEL.NO.	:	65-62670800
FAX.NO.	:	65-62642080
WEB SITE	:	WWW.TWINDISC.COM
CONTACT PERSON	:	CHRIS ( STAFF )
PRINCIPAL ACTIVITY	:	TRADING OF MARINE AND INDUSTRIAL PRODUCTS
ISSUED AND PAID UP CAPITAL	:	9,004,732.00 ORDINARY SHARE, OF A VALUE OF SGD 9,004,732.00
SALES	:	SGD 61,924,289 [2012]
NET WORTH	:	SGD 12,968,215 [2012]
STAFF STRENGTH	:	N/A
LITIGATION	:	CLEAR
FINANCIAL CONDITION	:	STABLE
PAYMENT	:	AVERAGE
MANAGEMENT CAPABILITY	:	AVERAGE
COMMERCIAL RISK	:	LOW
CURRENCY EXPOSURE	:	MODERATE
GENERAL REPUTATION	:	SATISFACTORY
INDUSTRY OUTLOOK	:	AVERAGE GROWTH

HISTORY / BACKGROUND

The SC is a private limited company and is allowed to have a minimum of one and a maximum of forty-nine shareholders. As a private limited company, the SC must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the SC is capable of owning assets, entering into contracts, sue or be sued by other companies. The liabilities of the shareholders are to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the SC is insolvent. The SC is governed by the Companies Act and the company must file its annual returns, together with its financial statements with the Registrar of Companies.

The SC is principally engaged in the (as a / as an) trading of marine and industrial products.

The major shareholder(s) of the SC are shown as follows :

Name	Address	IC/PP/Loc No	Shareholding	(%)
TWIN DISC (FAR EAST) LIMITED	229, SOUTH STATE STREET, CITY OF DOVER, COUNTY OF KENT, STATE OF DELAWARE, UNITED STATES.	T11UF3625	9,004,731.00	100.00
TWIN DISC, INCORPORATED	1328 RACINE STREET, RACINE WI 53403, UNITED STATES.	T11UF1006	1.00	0.00
			---------------	------
			9,004,732.00	100.00
			============	=====

+ Also Director

The SC interest in other companies (Subsidiaries/Associates) are shown as follow :

Local No	Country	Company	(%)	As At
011085	INDIA	TWIN DISC POWER TRANSMISSION PTE LTD	99.00	30/06/2012

DIRECTORS

DIRECTOR 1

Name Of Subject	:	MR. CHRISTOPHER JOSEPH EPERJESY
Address	:	830, WATERS EDGE ROAD, RACINE, WI 53402, UNITED STATES.
IC / PP No	:	479187730
Nationality	:	AMERICAN
Date of Appointment	:	28/12/2010

DIRECTOR 2

Name Of Subject	:	MICHAEL ELLSWORTH BATTEN
Address	:	3419, MICHIGAN BLVD., RACINE WI 53402, UNITED STATES.
IC / PP No	:	027746918
Nationality	:	AMERICAN
Date of Appointment	:	28/12/2010

DIRECTOR 3

Name Of Subject	:	JOHN HITCHCOCK BATTEN
Address	:	5606, RIVER HILLS DRIVE RACINE, WI 53402, UNITED STATES.
IC / PP No	:	028459083
Nationality	:	AMERICAN
Date of Appointment	:	28/12/2010

DIRECTOR 4

Name Of Subject	:	KENNY YEO WAI SOON
Address	:	24, WATTEN VIEW, WATTEN HILL, 287145, SINGAPORE.
IC / PP No	:	S1676753J
Nationality	:	SINGAPOREAN
Date of Appointment	:	28/12/2010

DIRECTOR 5

Name Of Subject	:	JEFFREY SCOTT KNUTSON
Address	:	1651, MOUNTAIN AVENUE, WAUWATOSA WISCONSIN 53213, UNITED STATES.
IC / PP No	:	214608778
Nationality	:	AMERICAN
Date of Appointment	:	28/12/2010

DIRECTOR 6

Name Of Subject	:	JAMES EDWARD FEIERTAG
Address	:	7336, WOODBURY DRIVE, FRANKLIN, WI 53132, UNITED STATES.
IC / PP No	:	467489959
Nationality	:	AMERICAN
Date of Appointment	:	28/12/2010

MANAGEMENT

1)	Name of Subject	:	CHRIS
	Position	:	STAFF

2)	Name of Subject	:	CHRISTOPHER JOSEPH EPERJESY
	Position	:	DIRECTOR

AUDITOR

Auditor	:	PRICEWATERHOUSECOOPERS LLP
Auditor' Address	:	N/A

COMPANY SECRETARIES

1)	Company Secretary	:	LEE BEE FONG
	IC / PP No	:	S7376654J
	Address	:	118D, JALAN MEMBINA, 07 - 103, 164118, SINGAPORE.

2)	Company Secretary	:	NOR HAFIZA ALWI
	IC / PP No	:	S1788410G
	Address	:	2, GHIM MOH ROAD, 07 - 318, 270002, SINGAPORE.

BANKING

No Banker found in our databank. 

ENCUMBRANCE (S)

No encumbrance was found in our databank at the time of investigation. 

LEGAL CHECK AGAINST SC

* A check has been conducted in our databank against the SC whether the subject has been involved in any litigation. 

No legal action was found in our databank. 

No winding up petition was found in our databank. 

PAYMENT RECORD

SOURCES OF RAW MATERIALS:
Local	:	YES
Overseas	:	YES

The SC refused to provide any name of trade/service supplier and we are unable to conduct any trade enquiry. However, from financial historical data we conclude that :

OVERALL PAYMENT HABIT
Prompt 0-30 Days	[	]	Good 31-60 Days	[	]	Average 61-90 Days	[	X	]
Fair 91-120 Days	[	]	Poor >120 Days	[	]

CLIENTELE

Local	:	YES
Domestic Markets	:	SINGAPORE
Overseas	:	YES
Export Market	:	WORLDWIDE
Credit Term	:	N/A
Payment Mode	:	CHEQUES TELEGRAPHIC TRANSFER (TT)

OPERATIONS

Goods Traded

:

MARINE AND INDUSTRIAL PRODUCTS

Branch

:

NO

Other Information:

The SC is principally engaged in the (as a / as an) trading of marine and industrial products. 

The SC has been distributing power transmission products that make things work.

The SC supplies the commercial, pleasure craft and military segments of the marine market with transmissions, surface and waterjet drives, propellers and electronic controls. 

CURRENT INVESTIGATION

Latest fresh investigations carried out on the SC indicated that :

Telephone Number Provided By Client	:	65 62670800
Current Telephone Number	:	65-62670800
Match	:	YES
Address Provided by Client	:	10 FIFTH LOK YANG ROAD SINGAPORE 629761
Current Address	:	10, FIFTH LOK YANG ROAD, JURONG, 629761, SINGAPORE.
Match	:	NO

Other Investigations

we contacted one of the staff from the SC and she provided some information on the SC.

The address provided is incomplete.

The SC refused to disclose its number of employees.

The SC refused to comment on its nil turnover for the year 2011.

FINANCIAL ANALYSIS

Profitability
Turnover	:	Increased	[	<0.00%>	]
Profit/(Loss) Before Tax	:	Decreased	[	<0.00%>	]
Return on Shareholder Funds	:	Favourable	[	30.75%	]
Return on Net Assets	:	Favourable	[	37.61%	]
The higher turnover could be attributed to the favourable market condition.The management had succeeded in turning the SC into a profit making company. The profit could be due to better control of its operating costs and efficiency in utilising its resources. Generally the SC was profitable. The favourable return on shareholders' funds and return on net assets indicate that the SC's management was efficient in utilising the assets to generate returns.
Working Capital Control
Stock Ratio	:	Unfavourable	[	78 Days	]
Debtor Ratio	:	Favourable	[	46 Days	]
Creditors Ratio	:	Favourable	[	50 Days	]
The SC could be incurring higher holding cost. As its capital was tied up in stocks, it could face liquidity problems. The favourable debtors' days could be due to the good credit control measures implemented by the SC. The SC had a favourable creditors' ratio where the SC could be taking advantage of the cash discounts and also wanting to maintain goodwill with its creditors.
Liquidity
Liquid Ratio	:	Acceptable	[	0.91 Times	]
Current Ratio	:	Unfavourable	[	1.88 Times	]
The SC's liquid ratio was slightly low. This could indicate that the SC's working capital was slightly deficient. The SC will have to improve its liquidity position either by obtaining short term financing or increase its paid up capital so that it can meet all its short term obligations as and when they fall due.
Solvency
Interest Cover	:	Nil	[	0.00 Times	]
Gearing Ratio	:	Favourable	[	0.00 Times	]
The SC's interest cover was nil as it did not pay any interest during the year. The SC had no gearing and hence it had virtually no financial risk. The SC was financed by its shareholders' funds and internally generated fund. During the economic downturn, the SC, having a zero gearing, will be able to compete better than those which are highly geared in the same industry.
Overall Assessment :
The higher turnover had helped to reduce the SC's losses. The SC's liquidity was at an acceptable range. If the SC is able to obtain further short term financing, it should be able to meet all its short term obligations. The SC did not make any interest payment during the year. The SC was dependent on its shareholders' funds to finance its business needs. The SC was a zero gearing company, it was solely dependant on its shareholders to provide funds to finance its business. The SC has good chance of getting loans, if the needs arises.
Overall financial condition of the SC : STABLE

SINGAPORE ECONOMIC / INDUSTRY OUTLOOK

Major Economic Indicators :	2008	2009	2010	2011	2012
Population (Million)	4.84	4.98	5.08	5.18	5.31
Gross Domestic Products ( % )	1.5	<0.8>	14.5	4.9	1.3
Consumer Price Index	6.6	0.6	2.8	5.2	4.6
Total Imports (Million)	450,892.6	356,299.3	423,221.8	459,655.1	474,554.0
Total Exports (Million)	476,762.2	391,118.1	478,840.7	514,741.2	510,329.0
Unemployment Rate (%)	2.2	3.2	2.2	2.1	2.0
Tourist Arrival (Million)	10.12	9.68	11.64	13.17	14.37
Hotel Occupancy Rate (%)	81.0	75.8	85.6	86.5	86.4
Cellular Phone Subscriber (Million)	1.31	1.37	1.43	1.50	1.52
Registration of New Companies (No.)	25,327	26,414	29,798	32,317	31,892
Registration of New Companies (%)	<2.2>	4.3	12.8	8.5	<1.3>
Liquidation of Companies (No.)	10,493	22,393	15,126	19,005	17,218
Liquidation of Companies (%)	13.7	113.4	<32.5>	25.6	9.4
Registration of New Businesses (No.)	24,850	26,876	23,978	23,494	24,788
Registration of New Businesses (%)	0.36	8.15	<10.78>	2.02	5.51
Liquidation of Businesses (No.)	21,150	23,552	24,211	23,005	22,489
Liquidation of Businesses (%)	<0.8>	11.4	2.8	<5>	<2.2>
Bankruptcy Orders (No.)	2,326	2,058	1,537	1,527	1,748
Bankruptcy Orders (%)	<15.9>	<11.5>	<25.3>	<0.7>	14.5
Bankruptcy Discharges (No.)	1,500	3,056	2,252	1,391	1,881
Bankruptcy Discharges (%)	<7.7>	103.7	<26.3>	<38.2>	35.2
INDUSTRIES ( % of Growth ) :
Agriculture
Production of Principal Crops	<0.32>	3.25	<0.48>	4.25	3.64
Fish Supply & Wholesale	<6.31>	<1.93>	<10.5>	12.10	<0.5>
Manufacturing *	74.6	71.5	92.8	100.0	100.3
Food, Beverages & Tobacco	94.8	90.4	96.4	100.0	103.5
Textiles	180.1	145.9	122.1	100.0	104.0
Wearing Apparel	334.6	211.0	123.3	100.0	92.1
Leather Products & Footwear	128.2	79.5	81.8	100.0	98.6
Wood & Wood Products	132.0	101.4	104.0	100.0	95.5
Paper & Paper Products	101.0	95.4	106.1	100.0	97.4
Printing & Media	118.2	100.9	103.5	100.0	93.0
Crude Oil Refineries	113.1	96.4	95.6	100.0	99.4
Chemical & Chemical Products	84.5	80.3	97.6	100.0	100.5
Pharmaceutical Products	43.7	49.1	75.3	100.0	109.7
Rubber & Plastic Products	120.1	101.2	112.3	100.0	96.5
Non-metallic Mineral	96.5	91.9	92.5	100.0	98.2
Basic Metals	109.8	92.6	102.2	100.0	90.6
Fabricated Metal Products	101.3	90.8	103.6	100.0	104.3
Machinery & Equipment	65.0	57.3	78.5	100.0	112.9
Electrical Machinery	81.7	86.8	124.1	100.0	99.3
Electronic Components	93.1	85.2	113.6	100.0	90.6
Transport Equipment	102.0	96.0	94.0	100.0	106.3
Construction	45.90	<36.9>	14.20	20.50	28.70
Real Estate	<11.2>	1.4	21.3	25.4	31.9
Services
Electricity, Gas & Water	<1.3>	1.70	4.00	7.00	6.30
Transport, Storage & Communication	11.60	3.90	12.80	7.40	5.30
Finance & Insurance	<5.9>	<16.4>	<0.4>	8.90	0.50
Government Services	17.40	4.50	9.70	6.90	6.00
Education Services	0.50	0.10	<0.9>	<1.4>	0.30
* Based on Index of Industrial Production (2011 = 100)
(Source : Department of Statistics)

INDUSTRY ANALYSIS

INDUSTRY :	TRADING
The wholesale and retail trade sector contracted by 1.5% in the fourth quarter of 2012, extending the 0.2% decline in the preceding quarter. For the whole of 2012, the sector declined by 0.7%, reversing the 1.6% growth in 2011. The sector was weighed down primarily by the wholesale trade segment. In 2012, the wholesale trade segment contracted by 1.0%, a reversal from the 1.4% growth in 2011. Growth of the retail trade segment also moderated to 2.0%, from 3.2% in the year 2011.
The domestic wholesale trade index grew by 1.2% in the fourth quarter of 2012, an improvement from the 5.4% decline in the third quarter. This was partly due to an increase in the sales of chemicals & chemical products and ship chandlers & bunkering. For the full year of 2012, the domestic wholesale trade index contracted by 2.2%, extending the 1.7% decline in 2011. The foreign wholesale trade index grew by 8.6% in the fourth quarter, an increase from the 6.6% growth in the third quarter. The expansion was partly due to resilient sales of petroleum & petroleum products. For the whole of 2012, the foreign wholesale trade index expanded by 9.1%, faster than the 4.3% increase in 2011.
In the fourth quarter of 2012, retail sales volume declined by 2.0%, extending the 0.3% decline in the third quarter. Excluding motor vehicles, retail sales volume grew by 0.4%, a slight moderation compared to the 1.5% gain in the third quarter of 2012. The sales volume of motor vehicles fell by 11% in the fourth quarter of 2012, after contracting by 6.1% in the third quarter. The sales of several discretionary items also declined in the fourth quarter. Besides, the sales of optical goods & books in 2012 fell by 3.6%, while the sales of telecommunications apparatus & computers declined by 1.4%.
For 2012 as a whole, retail sales volume grew by 1.3%, compared to the 2.0% expansion in 2011. Excluding motor vehicle sales, the increase in retail sales volume also moderated from 5.4% in 2011 to 1.7% in 2012. Medical goods & toiletries registered the largest increase (9.3%) in sales, followed by telecommunications apparatus & computers (6.9%). By contrast, the sales of watches & jewellery (-2.2%) and optical goods & books (-3.6%) declined.
OVERALL INDUSTRY OUTLOOK : AVERAGE GROWTH

CREDIT RISK EVALUATION & RECOMMENDATION

Incorporated in 2010, the SC is a Private Limited company, focusing on trading of marine and industrial products. Having been in the industry for 3 years, the SC has yet to establish its clientele base and mainly depends on a few major clients. Having strong support from its holding company has enabled the SC to remain competitive despite the challenging business environment. The capital standing of the SC is fair. With an adequate share capital, the SC has the potential of expanding its business in future. 

Over the years, the SC has penetrated into both the local and overseas market. The SC has positioned itself in the global market and is competing in the industry. Its stable clientele base will enable the SC to further enhance its business in the near term. Overall, we regard that the SC's management capability is average. This indicates that the SC has greater potential to improve its business performance and raising income for the SC. 

We noted that both the turnover and profits have increased compared to the previous year. The higher profit could be due to increase in turnover and better control over its operating costs. Based on the higher profitability, the SC has generated a favourable return based on its existing shareholders' funds which indicated that the management was efficient in utilising its funds to generate income. The SC managed to maintain an adequate liquidity level, indicating that the SC has the ability to meet its financial obligations. Being a zero geared company, the SC virtually has no financial risk as it is mainly dependent on its internal funds to finance its business. Given a positive net worth standing at SGD 12,968,215, the SC should be able to maintain its business in the near terms. 

Without a strong assets backing, the SC may face difficulties in getting loans for its future expansion and continued growth. The SC's supplier are from both the local and overseas countries. This will eliminates the risk of dependency on deliveries from a number of key suppliers and insufficient quantities of its raw materials. Overall the SC has a good control over its resources. 

The SC's payment habit is average. With its adequate working capital, the SC should be able to pay its short term debts. 

The industry shows an upward trend and this trend is very likely to sustain in the near terms. Hence, the SC is expected to benefit from the favourable outlook of the industry. 

Based on the above condition, we recommend credit be granted to the SC promptly.

PROFIT AND LOSS ACCOUNT

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH SINGAPORE FINANCIAL REPORTING STANDARDS.

TWIN DISC (FAR EAST) PTE. LTD.

Financial Year End	2012-06-30	2011-06-30
Months	12	6
Consolidated Account	Company	Company
Audited Account	YES	YES
Unqualified Auditor's Report (Clean Opinion)	YES	YES
Financial Type	FULL	FULL
Currency	SGD	SGD
TURNOVER	61,924,289	-
	----------------	----------------
Total Turnover	61,924,289	-
Costs of Goods Sold	<50,614,421>	-
	----------------	----------------
Gross Profit	11,309,868	-
	----------------	----------------
PROFIT/(LOSS) FROM OPERATIONS	4,886,170	-
	----------------	----------------
PROFIT/(LOSS) BEFORE TAXATION	4,886,170	-
Taxation	<897,972>	-
	----------------	----------------
PROFIT/(LOSS) AFTER TAXATION	3,988,198	-
	----------------	----------------
RETAINED PROFIT/(LOSS) BROUGHT FORWARD
	----------------	----------------
PROFIT AVAILABLE FOR APPROPRIATIONS	3,988,198	-
	----------------	----------------
RETAINED PROFIT/(LOSS) CARRIED FORWARD	3,988,198	-
	=============	-

BALANCE SHEET

TWIN DISC (FAR EAST) PTE. LTD.

ASSETS EMPLOYED:
FIXED ASSETS	393,091	-
LONG TERM INVESTMENTS/OTHER ASSETS
Subsidiary companies	313,873	313,873
	----------------	----------------
TOTAL LONG TERM INVESTMENTS/OTHER ASSETS	313,873	313,873
INTANGIBLE ASSETS
Others	350,000	-
	----------------	----------------
TOTAL INTANGIBLE ASSETS	350,000	-
	----------------	----------------
TOTAL LONG TERM ASSETS	1,056,964	313,873
CURRENT ASSETS
Stocks	13,150,575	-
Trade debtors	7,863,650	-
Other debtors, deposits & prepayments	392,234	-
Amount due from holding company	1,559,339	-
Cash & bank balances	2,588,342	1
	----------------	----------------
TOTAL CURRENT ASSETS	25,554,140	1
	----------------	----------------
TOTAL ASSET	26,611,104	313,874
	=============	=============
CURRENT LIABILITIES
Trade creditors	6,969,008	313,873
Other creditors & accruals	2,391,302	-
Deposits from customers	3,419,367	-
Provision for taxation	841,392	-
	----------------	----------------
TOTAL CURRENT LIABILITIES	13,621,069	313,873
	----------------	----------------
NET CURRENT ASSETS/(LIABILITIES)	11,933,071	<313,872>
	----------------	----------------
TOTAL NET ASSETS	12,990,035	1
	=============	=============
SHARE CAPITAL
Ordinary share capital	9,004,732	1
	----------------	----------------
TOTAL SHARE CAPITAL	9,004,732	1
RESERVES
Exchange equalisation/fluctuation reserve	<24,715>	-
Retained profit/(loss) carried forward	3,988,198	-
	----------------	----------------
TOTAL RESERVES	3,963,483	-
	----------------	----------------
SHAREHOLDERS' FUNDS/EQUITY	12,968,215	1
LONG TERM LIABILITIES
Deferred taxation	21,820	-
	----------------	----------------
TOTAL LONG TERM LIABILITIES	21,820	-
	----------------	----------------
	12,990,035	1
	=============	=============

FINANCIAL RATIO

TWIN DISC (FAR EAST) PTE. LTD.

TYPES OF FUNDS
Cash	2,588,342	1
Net Liquid Funds	2,588,342	1
Net Liquid Assets	<1,217,504>	<313,872>
Net Current Assets/(Liabilities)	11,933,071	<313,872>
Net Tangible Assets	12,640,035	1
Net Monetary Assets	<1,239,324>	<313,872>
BALANCE SHEET ITEMS
Total Borrowings	0	0
Total Liabilities	13,642,889	313,873
Total Assets	26,611,104	313,874
Net Assets	12,990,035	1
Net Assets Backing	12,968,215	1
Shareholders' Funds	12,968,215	1
Total Share Capital	9,004,732	1
Total Reserves	3,963,483	0
LIQUIDITY (Times)
Cash Ratio	0.19	0.00
Liquid Ratio	0.91	0.00
Current Ratio	1.88	0.00
WORKING CAPITAL CONTROL (Days)
Stock Ratio	78	0
Debtors Ratio	46	0
Creditors Ratio	50	0
SOLVENCY RATIOS (Times)
Gearing Ratio	0.00	0.00
Liabilities Ratio	1.05	313,873.00
Times Interest Earned Ratio	0.00	0.00
Assets Backing Ratio	1.40	1.00
PERFORMANCE RATIO (%)
Operating Profit Margin	7.89	0.00
Net Profit Margin	6.44	0.00
Return On Net Assets	37.61	0.00
Return On Capital Employed	36.63	0.00
Return On Shareholders' Funds/Equity	30.75	0.00
Dividend Pay Out Ratio (Times)	0.00	0.00
NOTES TO ACCOUNTS
Contingent Liabilities	0	0

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.69
UK Pound	1	Rs.98.59
Euro	1	Rs.83.67

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%)

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.