MIRA INFORM REPORT

Report Date :

24.09.2013

IDENTIFICATION DETAILS

Name :	RECORDATI INDUSTRIA CHIMICA E FARMACEUTICA S.P.A.
Registered Office :	Via Matteo Civitali , 1, 20148 Milano (Mi)
Country :	Italy
Financials (as on) :	2012
Date of Incorporation :	26.04.1949
Com. Reg. No.:	00748210150
Legal Form :	Joint-Stock/Public Company
Line of Business :	Research, Industry and Trade Specialty ' Medicinal Products Fine Chemicals, and Pharmaceutical Products, Parafarmaceutic, Medical, Biological, Diagnostic, Galen, Hygiene, Food, Diet, Nutrition, Cosmetics and Perfumes, Animal and Veterinary for Agriculture, in Chemicals and Materials first in General Beverage Alcoholic and Non-Alcoholic, Liquor of Products Confectionery; Equipment, Equipment and tools for industrial use above and for medical use and scientific; products similar to above.
No. of Employees :	939

RATING & COMMENTS

MIRA’s Rating :

Ba

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)
Italy	A2	A2

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

italy - ECONOMIC OVERVIEW

Italy has a diversified industrial economy, which is divided into a developed industrial north, dominated by private companies, and a less-developed, highly subsidized, agricultural south, where unemployment is high. The Italian economy is driven in large part by the manufacture of high-quality consumer goods produced by small and medium-sized enterprises, many of them family-owned. Italy also has a sizable underground economy, which by some estimates accounts for as much as 17% of GDP. These activities are most common within the agriculture, construction, and service sectors. Italy is the third-largest economy in the euro-zone, but its exceptionally high public debt and structural impediments to growth have rendered it vulnerable to scrutiny by financial markets. Public debt has increased steadily since 2007, topping 126% of GDP in 2012, and investor concerns about the broader euro-zone crisis at times have caused borrowing costs on sovereign government debt to rise to euro-era. During the second half of 2011 the government passed three austerity packages to reduce its budget deficit and help bring down borrowing costs. These measures included a hike in the value-added tax, pension reforms, and cuts to public administration. The government also faces pressure from investors and European partners to sustain its recent efforts to address Italy's long-standing structural impediments to growth, such as labor market inefficiencies and widespread tax evasion. In 2012 economic growth and labor market conditions deteriorated, with growth at -2.3% and unemployment rising to nearly 11%, with youth unemployment around 35%. The government has undertaken several reform initiatives designed to increase long-term economic growth. Italy's GDP is now 7% below its 2007 pre-crisis level.

Source : CIA

Company Summary

Company Name RECORDATI INDUSTRIA CHIMICA E FARMACEUTICA S.P.A.

Company Registration Number 00748210150

Country IT

Activity Code 2833

Activity Description Research, Industry And Trade Specialty ' Medicinal Products Fine Chemicals, And Pharmaceutical Products, Parafarmaceutici, Medical, Biological, Diagnostic, Galen, Hygiene, Food, Diet, Nutrition, Cosmetics And Perfumes, Animal And Veterinary For Agriculture, In Chemicals And Materials First In General Beverage Alcoholic And Non-Alcoholic, Liquor Of Products Confectionery; Equipment, Equipment And Tools For Industrial Use Above And For Medical Use And Scientific; Products Similar To Above.

Latest Turnover 280,165,000.00 (EUR)

Latest Shareholders Equity 422,688,000.00 (EUR)

Rating Indicator Profit Before Tax 98,673,000.00 (EUR)

Company Identification

Activities

Activity Code 2833

Activity Description Research, Industry And Trade Specialty ' Medicinal Products Fine Chemicals, And Pharmaceutical Products, Parafarmaceutici, Medical, Biological, Diagnostic, Galen, Hygiene, Food, Diet, Nutrition, Cosmetics And Perfumes, Animal And Veterinary For Agriculture, In Chemicals And Materials First In General Beverage Alcoholic And Non-Alcoholic, Liquor Of Products Confectionery; Equipment, Equipment And Tools For Industrial Use Above And For Medical Use And Scientific; Products Similar To Above.

Company Identification

Basic Information

Company Name RECORDATI INDUSTRIA CHIMICA E FARMACEUTICA S.P.A.

Registered Company Name RECORDATI INDUSTRIA CHIMICA E FARMACEUTICA S.P.A.

Company Registration Number 00748210150

Country IT

VAT Registration Number 00748210150

VAT Registration Date 26/04/1949

Date of Company Registration 26/04/1949

Date of Starting Operations 26/04/1949

Commercial Court Legal Form JOINT-STOCK/PUBLIC COMPANY

Contact Address VIA MATTEO CIVITALI ,

1, 20148 MILANO (MI)

Contact Telephone Number 02487871

Main Address

Address VIA MATTEO CIVITALI , 1, 20148 MILANO (MI)

Country IT

Telephone 02487871

Other Addresses

Address MEDIANA CISTERNA, 04011 APRILIA (LT)

Country IT

Telephone 0692900010

Address BUOZZI, 20090 SETTALA (MI)

Country IT

Current Directors Managers

Name GIOVANNI RECORDATI

Address VIA CIVITALI MATTEO , 1, 20148 MILANO (MI)

Gender Male

Date of Birth 10/12/1949

Position COUNCILLOR

Date Appointed 13/04/2011

Name ALBERTO RECORDATI

Address VIA CIVITALI , 1, 20100 MILANO (MI)

Gender Male

Date of Birth 19/07/1953

Position COUNCILLOR

Date Appointed 13/04/2011

Name ANDREA RECORDATI

Address VIA CIVITALI MATTEO , 1, 20148 MILANO (MI)

Gender Male

Date of Birth 06/11/1971

Position COUNCILLOR

Date Appointed 13/04/2011

Name MARIO GARRAFFO

Address VIA CIVITALI MATTEO , 1, 20148 MILANO (MI)

Gender Male

Date of Birth 02/08/1937

Position COUNCILLOR

Date Appointed 13/04/2011

Name CARLO PEDERSOLI

Address VIA CIVITALI MATTEO , 1, 20148 MILANO (MI)

Gender Male

Date of Birth 05/12/1953

Position COUNCILLOR

Date Appointed 13/04/2011

Name FRITZ SQUINDO

Address VIA MATTEO CIVITALI , 1, 20148 MILANO (MI)

Gender Male

Date of Birth 19/05/1956

Position SOLICITOR

Date Appointed 15/09/2003

Name WALTER WENNINGER

Address AUF'M BERG , 10 LEVERKUSEN

Gender Male

Date of Birth 15/02/1938

Position COUNCILLOR

Date Appointed 13/04/2011

Name SILVANO CORBELLA

Address VIA MATTEO CIVITALI , 1, 20148 MILANO (MI)

Gender Male

Date of Birth 18/04/1965

Position COUNCILLOR

Date Appointed 13/04/2011

Name MARIO GERMANO GIULIANI

Address VIA MATTEO CIVITALI , 1, 20148 MILANO (MI)

Gender Male

Date of Birth 26/02/1972

Position COUNCILLOR

Date Appointed 13/04/2011

Name UMBERTO MORTARI

Address VIA MATTEO CIVITALI , 1, 20148 MILANO (MI)

Gender Male

Date of Birth 27/10/1946

Position COUNCILLOR

Date Appointed 13/04/2011

Share Capital Structure

Nominal Share Capital 26,140,644.50 (EUR)

Issued Share capital 26,140,644.50 (EUR)

Employee Information

Year 2012

Number of Employees 939

Year 2011

Number of Employees 917

Year 2010

Number of Employees 897

Financial Statements

Profit & Loss

Financial Year 2012 2011 2010

Number of Weeks 0 0 0

Currency EUR EUR EUR

Revenue 280,165,000.00 273,270,000.00 241,827,543.00

Operating Costs 241,115,000.00 233,112,000.00 208,210,288.00

Operating Profit 39,050,000.00 40,158,000.00 33,617,255.00

Wages & Salaries 68,170,000.00 67,910,000.00 63,779,643.00

Depreciation 5,101,000.00 5,643,000.00 5,539,464.00

Amortisation 2,417,000.00 2,252,000.00 4,190,000.00

Financial Income 68,341,000.00 58,994,000.00 56,404,200.00

Financial Expenses 9,094,000.00 8,005,000.00 9,155,228.00

Extraordinary Income -27,000.00 3,199,000.00 0.00

Profit Before Tax 98,673,000.00 93,976,000.00 81,038,227.00

Tax 13,641,000.00 15,514,000.00 13,146,000.00

Profit After Tax 85,032,000.00 78,462,000.00 67,892,227.00

Balance Sheet

Financial Year 2012 2011 2010

Number of Weeks 0 0 0

Currency EUR EUR EUR

Land & Buildings 11,607,000.00 12,612,000.00 12,865,000.00

Other Tangible Assets 28,468,000.00 23,332,000.00 22,302,000.00

Total Tangible Assets 40,075,000.00 35,944,000.00 35,167,000.00

Total Intangible Assets 33,670,000.00 17,532,000.00 19,260,639.00

Investments 519,787,000.00 470,269,000.00 327,097,398.00

Loans to Group 19,465,000.00 20,112,000.00 0.00

Miscellaneous Fixed Assets 0.00 0.00 56,601.00

Total Other Fixed Assets 539,252,000.00 490,381,000.00 327,153,999.00

Total Fixed Assets 612,997,000.00 543,857,000.00 381,581,638.00

Raw Materials 39,731,000.00 36,395,000.00 33,285,000.00

Other Inventories 11,194,000.00 10,176,000.00 8,737,627.00

Total Inventories 50,925,000.00 46,571,000.00 42,022,627.00

Trade Receivables 36,750,000.00 27,317,000.00 26,088,000.00

Miscellaneous Receivables 136,258,000.00 106,627,000.00 57,217,690.00

Total Receivables 173,008,000.00 133,944,000.00 83,305,690.00

Cash 8,532,000.00 35,519,000.00 105,688,747.00

Other Current Assets 1,634,000.00 2,110,000.00 1,163,910.00

Total Current Assets 234,099,000.00 218,144,000.00 232,180,974.00

Total Assets 847,096,000.00 762,001,000.00 613,762,612.00

Trade Payables 42,067,000.00 35,413,000.00 34,625,493.00

Bank Liabilities 49,020,000.00 528,000.00 438,350.00

Miscellaneous Liabilities 183,464,000.00 146,424,000.00 139,841,934.00

Total Current Liabilities 274,551,000.00 182,365,000.00 174,905,777.00

Bank Liabilities due after 1 year 69,332,000.00 81,818,000.00 30,000,000.00

Miscellaneous Liabilities

due after 1 year 80,525,000.00 98,434,000.00 87,706,045.00

Total Long Term Liabilities 149,857,000.00 180,252,000.00 117,706,045.00

Total Liabilities 424,408,000.00 362,617,000.00 292,611,822.00

Called Up Share Capital	26,141,000.00	26,141,000.00	26,140,645.00
Share Premium	83,718,000.00	83,718,000.00	83,718,523.00
Other Reserves	312,829,000.00	289,525,000.00	211,291,622.00
Total Shareholders Equity	422,688,000.00	399,384,000.00	321,150,790.00
Other Financials
Working Capital	-40,452,000.00	35,779,000.00	57,275,197.00
Net Worth	389,018,000.00	381,852,000.00	301,890,151.00
Ratios
Pre-Tax Profit Margin	35.22	34.39	33.51
Return on Capital Employed	17.23	16.21	18.47
Return on Total Assets Employed	11.65	12.33	13.20
Return on Net Assets Employed	23.34	23.53	25.23
Sales/Net Working Capital	-6.93	7.64	4.22
Stock Turnover Ratio	18.18	17.04	17.38
Debtor Days	47.88	36.49	39.38
Creditor Days	54.81	47.30	52.26
Current Ratio	0.85	1.20	1.33
Liquidity Ratio/Acid Test	0.67	0.94	1.09
Current Debt Ratio	0.65	0.46	0.54
Gearing	50.10	47.59	47.68
Equity in Percentage	154.17	157.18	120.12
Total Debt Ratio	1.00	0.91	0.91

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.62.52
UK Pound	1	Rs.100.26
Euro	1	Rs.84.67

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.