MIRA INFORM REPORT

Report Date :

29.10.2013

IDENTIFICATION DETAILS

Name :	KITZ CORPORATION OF EUROPE SA.
Registered Office :	Calle Ramon Viñas 8, Sant Adria De Besos, 08930
Country :	Spain
Financials (as on) :	31.12.2011
Date of Incorporation :	1972
Com. Reg. No.:	A08276537
Legal Form :	Public Independent
Line of Business :	Manufacture of other pumps, compressors, taps and valves
No. of Employees :	64

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)
Spain	A2	A2

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

spain - ECONOMIC OVERVIEW

After almost 15 years of above average GDP growth, the Spanish economy began to slow in late 2007 and entered into a recession in the second quarter of 2008. GDP contracted by 3.7% in 2009, ending a 16-year growth trend, and by another 0.3% in 2010; GDP expanded 0.4% in 2011, before contracting 1.4% in 2012. The economy has once again fallen into recession as deleveraging in the private sector, fiscal consolidation, and continued high unemployment weigh on domestic demand and investment, even as exports have shown signs of resiliency. The unemployment rate rose from a low of about 8% in 2007 to 26.0% in 2012. The economic downturn has also hurt Spain's public finances. The government budget deficit peaked at 11.2% of GDP in 2010 and the process to reduce this imbalance has been slow despite the central government's efforts to raise new tax revenue and cut spending. Spain reduced its budget deficit to 9.4% of GDP in 2011, and roughly 7.4% of GDP in 2012, above the 6.3% target negotiated between Spain and the EU. Although Spain''s large budget deficit and poor economic growth prospects remain a source of concern for foreign investors, the government''s ongoing efforts to cut spending and introduce flexibility into the labor markets are intended to assuage these concerns. The government is also taking steps to shore up the banking system, namely by using up to $130 billion in EU funds to recapitalize struggling banks exposed to the collapsed domestic construction and real estate sectors.

Source : CIA

Company name and address

KITZ CORPORATION OF EUROPE SA.

Calle Ramon Viñas 8

Sant Adria De Besos, 08930

Spain

Tel:	+(34) 935079244
Fax:	+(34) 934620349
www.kitzeurope.com

Employees:	64
Company Type:	Public Independent
Incorporation Date:	1972
Auditor:	Grant Thornton Sl

Financials in:	USD (In Millions)
Fiscal Year End:	23-Oct-2012
Reporting Currency:	Euro
Annual Sales:	16.5 ^1
Net Income:	0.1
Total Assets:	19.1

Business Description

Manufacture of other taps and valves

Industry

Industry	Metal Products Manufacturing
ANZSIC 2006:	2299 - Other Fabricated Metal Product Manufacturing Not Elsewhere Classified
ISIC Rev 4:	2813 - Manufacture of other pumps, compressors, taps and valves
NACE Rev 2:	2814 - Manufacture of other taps and valves
NAICS 2012:	33291 - Metal Valve Manufacturing
UK SIC 2007:	2814 - Manufacture of other taps and valves
US SIC 1987:	3491 - Industrial Valves

Key Executives

Name	Title
Maria Luisa Ribas Steegmann	Chief Executive Officer, Member Of The Board
Toshiyuki Hara	President, Member Of The Board
Javier Dominguez Olivar	Non Consellor Secretary
Shimesu Fujihara	Member Of The Board
Takayoshi Saito	Member Of The Board

Registered No.(ESP): A08276537

1 - Profit & Loss Item Exchange Rate: USD 1 = EUR 0.773142
2 - Balance Sheet Item Exchange Rate: USD 1 = EUR 0.7656423

Corporate Overview

Location
Calle Ramon Viñas 8
Sant Adria De Besos, 08930
Spain

Tel:	+(34) 935079244
Fax:	+(34) 934620349

www.kitzeurope.com

Sales EUR(mil):	12.7
Assets EUR(mil):	14.6
Employees:	64
Fiscal Year End:	23-Oct-2012

Industry:

Miscellaneous Fabricated Products

Incorporation Date:	1972
Company Type:	Public Independent
Quoted Status:	Not Quoted
Registered No.(ESP):	A08276537

Chief Executive Officer, Member Of The Board:	Maria Luisa Ribas Steegmann

Industry Codes

ANZSIC 2006 Codes:
2299	-	Other Fabricated Metal Product Manufacturing Not Elsewhere Classified

ISIC Rev 4 Codes:
2813	-	Manufacture of other pumps, compressors, taps and valves

NACE Rev 2 Codes:
2814	-	Manufacture of other taps and valves

NAICS 2012 Codes:
33291	-	Metal Valve Manufacturing

US SIC 1987:
3491	-	Industrial Valves

UK SIC 2007:
2814	-	Manufacture of other taps and valves

Business Description

Manufacture of other taps and valves

Financial Data

Financials in:	EUR(mil)
Revenue:	12.7
Net Income:	0.1
Assets:	14.6
Current Assets:	12.4
Fixed Assets:	2.2
Long Term Debt:	0.0
Total Liabilities:	14.6
Issued Capital:	0.4
Net Worth:	11.1
Date of Financial Data:	23-Oct-2012

1 Year Growth

36.0%

NA

NA

Key Corporate Relationships

Auditor:	Grant Thornton Sl
Bank:	Societe Generale, S.E., Caja De Ahorros Y Pensiones De Barcelona, Sumitomo Bank Limited, Banca Catalana, S.A., The Sanwa Bank Limited, Banco Bilbao Vizcaya Argentaria, S.A., Banco Español De Credito, S.A., Banco Santander Central Hispano, S.A., Banco Exterior De España, S.A.
Auditor:	Grant Thornton Sl

Executives Report

Board of Directors

Name	Title	Function
Shimesu Fujihara	Member Of The Board	Director/Board Member
Toshiyuki Hara	President, Member Of The Board	Director/Board Member
Maria Luisa Ribas Steegmann	Chief Executive Officer, Member Of The Board	Director/Board Member
Takayoshi Saito	Member Of The Board	Director/Board Member
Sadao Sakai	Member Of The Board	Director/Board Member
Yasunori Sugita	Member Of The Board	Director/Board Member
Natori Toshiaki	Member Of The Board	Director/Board Member

Executives

Name	Title	Function
Maria Luisa Ribas Steegmann	Chief Executive Officer, Member Of The Board	Chief Executive Officer
Toshiyuki Hara	President, Member Of The Board	President
Javier Dominguez Olivar	Non Consellor Secretary	Administration Executive

Annual Profit & Loss

	31-Dec-2011	31-Dec-2010	31-Dec-2009
Period Length	12 Months	12 Months	12 Months
Filed Currency	EUR	EUR	EUR
Exchange Rate (Period Average)	0.71919	0.755078	0.719047
Consolidated	No	No	No
Charges	17.9	12.6	16.0
Stock Reduction	-	0.5	0.3
Supplies	12.3	7.3	10.3
Goods Consumption	2.7	2.1	4.0
Consumption of Raw Materials	8.4	4.6	5.5
Miscellaneous External Expenditures	1.3	0.6	0.8
Staff Costs	3.8	3.5	3.7
Wages and Salaries	3.0	2.8	2.9
Social Security Costs	0.9	0.7	0.8
Depreciation	0.3	0.2	0.2
Allowance for Trade Operations	-	0.0	0.3
Stock Provision Variation	-	-	0.3
Variation of Other Trade Provisions	-	0.0	-
Other Operating Charges	1.4	1.0	1.1
External Services	1.3	1.0	1.0
Taxes	0.1	0.1	0.1
Operating Benefits	0.1	-	0.2
Financials and Similar Charges	0.0	0.0	0.0
Due to Liabilities With Group Companies	-	0.0	-
Due to Other Liabilities	0.0	0.0	0.0
Exchange Losses	-	0.0	-
Net Financial Income	0.1	0.0	0.1
Profit From Ordinary Activities	0.2	-	0.3
Losses From Assets and Securities Portfolio	-	-	0.0
Extraordinary Expenses	0.0	-	-
Extraordinary Profit	0.0	0.1	0.2
Profit Before Taxes	0.2	0.0	0.5
Corporation Tax	0.1	0.0	0.1
Financial Year Result (Profit)	0.2	0.0	0.4
Income	18.1	12.6	16.4
Net Total Sales	17.7	12.4	16.0
Sales	17.9	12.6	16.2
Rendering of Services	0.0	0.0	0.0
Sales Refunds	-0.2	-0.2	-0.2
Increase in Stocks	0.3	-	-
Works Performed for Fixed Assets	-	0.0	0.0
Miscellaneous Operating Income	0.0	0.1	0.1
Charges for Provisions	0.0	0.1	0.1
Operating Losses	-	0.1	-
Income From Equity Investment	-	-	0.1
In Group Companies	-	-	0.1
Third Parties	-	-	0.0
Income From Miscellaneous Interests	0.1	0.1	-
From Group Companies	0.1	0.1	-
Miscellaneous Interests	0.0	0.0	-
Gains from Exchange Rate	0.0	-	0.0
Ordinary Activities' Losses	-	0.1	-
Profit on Disposal of Assets	0.0	0.0	-
Capital Grants Transferred to Profit and Loss	-	-	0.3
Extraordinary Income	-	0.1	0.0

Annual Balance Sheet

Financials in: USD (mil)

	31-Dec-2011	31-Dec-2010	31-Dec-2009
Filed Currency	EUR	EUR	EUR
Exchange Rate	0.770327	0.745406	0.696986
Consolidated	No	No	No
Research and Development Costs	0.0	0.1	-
Software	0.1	0.1	0.1
Total Intangible Fixed Assets	0.1	0.1	0.1
Land and Construction	0.8	0.9	1.0
Technical Installations and Machinery	1.4	0.7	0.6
Other Installations, Tools, and Furniture	0.2	0.1	0.1
Tangible Fixed Assets Under Construction	-	-	0.0
Other Tangible Assets	0.2	0.1	0.1
Total Tangible Fixed Assets	2.6	1.8	1.7
Investments in Group Companies	0.1	0.1	0.1
Long-Term Guarantees and Deposits	0.0	0.0	0.0
Financial Investments	0.1	0.1	0.1
Total Fixed Assets	2.9	2.0	1.9
Goods for Resale	0.1	0.1	0.1
Raw Materials and Other Consumables	3.6	2.6	3.6
Goods in Process	0.6	0.4	0.5
Finished Products	0.9	0.9	1.4
Payments on Account	0.0	0.1	0.0
Total Stocks	5.2	4.0	5.6
Trade Debtors	4.9	3.4	4.3
Receivables, Group Companies	0.9	1.1	0.2
Other Debtors	-	0.0	-
Public Bodies	0.5	0.3	0.2
Total Debtors	6.4	4.7	4.8
Receivables from Group Companies	2.6	2.7	2.9
Short-Term Securities Portfolio	1.2	2.8	2.2
Other Receivables	0.0	-	-
Short-Term Guarantees and Deposits	0.0	0.0	0.0
Total Short-Term Investments	3.8	5.5	5.1
Cash	0.7	0.6	0.6
Prepayments and Accrued Income	0.0	0.0	0.0
Total Current Assets	16.1	14.8	16.1
Total Assets	19.0	16.8	18.0
Revaluation Reserves	2.8	2.9	3.0
Legal Reserve	0.1	0.1	0.1
Miscellaneous Reserves	10.5	10.9	11.3
Total Reserves	10.6	11.0	11.4
Profit or Loss for the Financial Year	0.2	0.0	0.4
Total Equity	14.4	14.7	15.7
Other Provisions	-	-	0.1
Total Provisions for Liabilities and Charges	-	-	0.1
Amounts Owed to Group Companies	1.2	0.2	0.3
Total Short-Term Amounts Owed to Group and Associa	1.2	0.2	0.3
Advanced Payments from Customers	0.0	0.0	0.0
Amounts Owed for Purchases of Goods or Services	3.1	1.6	1.4
Total Trade Creditors	3.1	1.6	1.4
Public Bodies	0.2	0.1	0.3
Wages and Salaries Payable	0.2	0.1	0.2
Total Other Creditors	0.3	0.3	0.5
Prepayments and Accrued Income	-	0.0	-
Total Short Term Creditors	4.6	2.1	2.2
Total Liabilities and Equity	19.0	16.8	18.0

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.50
UK Pound	1	Rs.99.49
Euro	1	Rs.84.88

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%)

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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.