MIRA INFORM REPORT

Report Date :

23.04.2014

IDENTIFICATION DETAILS

Correct Name :	MAREL SINGAPORE PTE. LTD.
Formerly Known As :	MAREL FOOD SYSTEMS PTE. LTD
Registered Office :	25, Pioneer Crescent, 628554
Country :	Singapore
Financials (as on) :	31.12.2012
Date of Incorporation :	13.06.1997
Com. Reg. No.:	199704069-H
Legal Form :	Private Limited Company
Line of Business :	Engaged in trading of food processing equipment and packaging services
No. of Employees :	120

RATING & COMMENTS

MIRA’s Rating :

Ca

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Moderate
Payment Behaviour :	Slow
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, 2014

Country Name	Previous Rating (31.12.2013)	Current Rating (31.03.2014)
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. The economy contracted 0.6% in 2009 as a result of the global financial crisis, but rebounded 15.1% in 2010, on the strength of renewed exports, before slowing to in 2011-13, 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. 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

EXECUTIVE SUMMARY

REGISTRATION NO.	:	199704069-H
COMPANY NAME	:	MAREL SINGAPORE PTE. LTD.
FORMER NAME	:	MAREL FOOD SYSTEMS PTE. LTD. (29/04/2010) DANTECH FOOD SYSTEMS PTE LTD (08/08/2008) DANTHAI INTERNATIONAL PTE LTD (02/07/1999)
INCORPORATION DATE	:	13/06/1997
COMPANY STATUS	:	EXIST
LEGAL FORM	:	PRIVATE LIMITED
LISTED STATUS	:	NO
REGISTERED ADDRESS	:	25, PIONEER CRESCENT, 628554, SINGAPORE.
BUSINESS ADDRESS	:	25, PIONEER CRESCENT, 628554, SINGAPORE.
TEL.NO.	:	65-62812878
FAX.NO.	:	65-62812908
CONTACT PERSON	:	BENT CHRISTIANSEN ( MANAGING DIRECTOR )
PRINCIPAL ACTIVITY	:	TRADING OF FOOD PROCESSING EQUIPMENT AND PACKAGING SERVICES
ISSUED AND PAID UP CAPITAL	:	11,155,070.00 ORDINARY SHARE, OF A VALUE OF SGD 11,158,070.00
SALES	:	SGD 27,543,704 [2012]
NET WORTH	:	SGD <1,358,106> [2012]
STAFF STRENGTH	:	120 [2013]
LITIGATION	:	CLEAR
FINANCIAL CONDITION	:	POOR
PAYMENT	:	FAIR
MANAGEMENT CAPABILITY	:	WEAK
COMMERCIAL RISK	:	MODERATE
CURRENCY EXPOSURE	:	MODERATE
GENERAL REPUTATION	:	SATISFACTORY
INDUSTRY OUTLOOK	:	AVERAGE GROWTH

HISTORY / BACKGROUND

The Subject 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 Subject must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the Subject 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 Subject is insolvent. The Subject 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 Subject is principally engaged in the (as a / as an) trading of food processing equipment and packaging services.

The immediate holding company of the Subject is MAREL SALMON A/S, a company incorporated in DENMARK.

The ultimate holding company of the Subject is MAREL HF, a company incorporated in ICELAND.

Share Capital History

Date	Authorised Shared Capital	Issue & Paid Up Capital
06/08/2013	SGD 11,158,070.00	SGD 11,158,070.00

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

Name	Address	IC/PP/Loc No	Shareholding	(%)
MAREL SALMON A/S	BOGILDSMINDEVEJ 3, 9400, NORRESUNDBY, DENMARK.	T05UF0301	11,155,070.00	100.00
			---------------	------
			11,155,070.00	100.00
			============	=====

+ Also Director

DIRECTORS

DIRECTOR 1

Name Of Subject	:	SNORRI HAFSTEINN PORKELSSON
Address	:	JOKLAFOLD 17, 112, REYKJAVIK, ICELAND.
IC / PP No	:	A1258610
Nationality	:	ICELANDER
Date of Appointment	:	21/09/2009

DIRECTOR 2

Name Of Subject	:	SIGSTEIN PALL GRETARSSON
Address	:	HAEDARBYGGD 26, 210, GARDABAER, ICELAND.
IC / PP No	:	A2088245
Nationality	:	ICELANDER
Date of Appointment	:	02/09/2009

DIRECTOR 3

Name Of Subject	:	MR. BENT CHRISTIANSEN
Address	:	51, HALTON ROAD, 06-00, 509684, SINGAPORE.
IC / PP No	:	S2711809G
Nationality	:	SINGAPOREAN
Date of Appointment	:	23/07/2002

DIRECTOR 4

Name Of Subject	:	HENRIK ZIEGLER
Address	:	97C, UPPER THOMSON ROAD, 21-09, LAKEVIEW ESTATE, 574329, SINGAPORE.
IC / PP No	:	S2735775Z
Nationality	:	SINGAPOREAN
Date of Appointment	:	13/06/1997

MANAGEMENT

1)	Name of Subject	:	BENT CHRISTIANSEN
	Position	:	MANAGING DIRECTOR

AUDITOR

Auditor	:	MGI MENON & ASSOCIATES
Auditor' Address	:	N/A

COMPANY SECRETARIES

1)	Company Secretary	:	ARUMUGAM CHETTIAR MANICKAM
	IC / PP No	:	S0537812E
	Address	:	184, STIRLING ROAD, 07-242, 140184, SINGAPORE.

BANKING

No Banker found in our databank.

ENCUMBRANCE (S)

Charge No	Creation Date	Charge Description	Chargee Name	Total Charge	Status
200102766	21/06/2001	N/A	SVENSKA HANDELSBANKEN AB.	N/A	Unsatisfied

LEGAL CHECK AGAINST SUBJECT

* A check has been conducted in our databank against the Subject 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	:	N/A
Overseas	:	N/A

The Subject refused to provide any information on its trade suppliers.

The Subject 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	[	]
Fair 91-120 Days	[	X	]	Poor >120 Days	[	]

CLIENTELE

Local	:	YES
Domestic Markets	:	SINGAPORE
Overseas	:	YES
Credit Term	:	N/A
Payment Mode	:	N/A

OPERATIONS

Goods Traded

:

FOOD PROCESSING EQUIPMENT

Services

:

PACKAGING SERVICES

Total Number of Employees:
YEAR	2013
GROUP	N/A
COMPANY	120

Branch

:

NO

Other Information:

The Subject is principally engaged in the (as a / as an) trading of food processing equipment and packaging services.

The Subject refused to provide any information on its business operation.

CURRENT INVESTIGATION

Latest fresh investigations carried out on the Subject indicated that :

Telephone Number Provided By Client	:	N/A
Current Telephone Number	:	65-62812878
Match	:	N/A
Address Provided by Client	:	FREEZING & TEMPERATURE DIVISION, 25 PIONEER CRESCENT, SINGAPORE
Current Address	:	25, PIONEER CRESCENT, 628554, SINGAPORE.
Match	:	NO

Other Investigations

we contacted a staff from the Subject and she provided some information on the Subject.

The Subject refused to disclose its banker.

FINANCIAL ANALYSIS

Profitability
Turnover	:	Increased	[	0.95%	]
Profit/(Loss) Before Tax	:	Decreased	[	557.05%	]
Return on Shareholder Funds	:	Unfavourable	[	365.61%	]
Return on Net Assets	:	Unfavourable	[	349.73%	]
The higher turnover could be attributed to the favourable market condition.The Subject incurred losses during the year due to the inefficient control of its operating costs. Although the Subject's returns showed positive figures it is not reflective of the true situation. The Subject incurred losses during the year and its shareholders' funds have turned red. The positive returns on shareholders' funds is the result of losses divided by negative shareholders' funds. The Subject's management was inefficient in utilising the assets to generate returns.
Working Capital Control
Stock Ratio	:	Favourable	[	21 Days	]
Debtor Ratio	:	Favourable	[	27 Days	]
Creditors Ratio	:	Unfavourable	[	73 Days	]
The Subject's stocks were moving fast thus reducing its holding cost. This had reduced funds being tied up in stocks. The favourable debtors' days could be due to the good credit control measures implemented by the Subject. The unfavourable creditors' ratio could be due to the Subject taking advantage of the credit granted by its suppliers. However this may affect the goodwill between the Subject and its suppliers and the Subject may inadvertently have to pay more for its future supplies.
Liquidity
Liquid Ratio	:	Unfavourable	[	0.66 Times	]
Current Ratio	:	Unfavourable	[	0.77 Times	]
A low liquid ratio means that the Subject may be facing working capital deficiency. If the Subject cannot obtain additional financing or injection of fresh capital, it may face difficulties in meeting its short term obligations.
Solvency
Interest Cover	:	Unfavourable	[	<18.07 Times>	]
Gearing Ratio	:	Unfavourable	[	<0.03 Times>	]
The Subject incurred losses in the year. It did not generate sufficient income to service its interest.  If the situation does not improve, the Subject may be vulnerable to default in servicing the interest. The Subject's gearing was negative during the year as its shareholders' funds was in the red. This means the Subject is running its business using borrowed money. We consider the Subject as facing high financial risks.
Overall Assessment :
Although the Subject's turnover increased its profits however showed a reverse trend. The losses could be due to the management's failure to maintain its competitiveness in the market. Due to its weak liquidity position, the Subject will be faced with problems in meeting all its short term obligations if no short term loan is obtained or additional capital injected into the Subject. The Subject's interest cover was negative, indicating that it did not generate sufficient income to service its interest. If its result does not show impressive improvements or succeed obtaining short term financing or capital injection, it may not be able to service its interest and repay the loans. The Subject has high financial risks. If its shareholders do not inject more capital into the company or if its business performance does not improve, its going concern may be in question.
Overall financial condition of the Subject : POOR

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 1997, the Subject is a Private Limited company, focusing on trading of food processing equipment and packaging services. With its long establishment in the market, the Subject has received strong support from its stable customers base. Its business position in the market is quite stable and it is expected to enjoy better market shares over its rivals. Presently, issued and paid up capital of the SC stand at SGD 11,158,070.

Over the years, the Subject has penetrated into both the local and overseas market. The Subject has positioned itself in the global market and is competing in the industry. Its stable clientele base will enable the Subject to further enhance its business in the near term. The Subject is a fairly large and rapidly growing company with over 120 staff in its operations. Overall, we regard that the Subject's management capability is weak. Without capable management, the Subject is unlikely to be successful and often contribute to unacceptable levels of accountability. Weak management can affect productivity, profitability, sales growth and ultimately can result in the failure of a business.

Despite the higher turnover, the Subject suffered pre-tax losses which reflected a highly competitive business environment. The Subject has generated an unfavourable return on shareholders' funds indicating that the management was inefficient in utilising its funds to generate return. Due to its weak liquidity position, the Subject may face working capital deficiency in meeting its short term financial obligations if no fresh capital are injected into the Subject. The Subject has generated an unfavourable gearing ratio indicated that the Subject is in high financial risk. The Subject's unfavourable financial performance over the years has wiped out its shareholders' funds to a deficit of SGD -1,358,106. Therefore, the Subject as a going concern is much dependent on its ability to generate sufficient cash flow and obtain additional financing to meet its future obligations.

Without a strong assets backing, the Subject may face difficulties in getting loans for its future expansion and continued growth.

The Subject's overall payment habit is fair and this clearly implied a weak credit control of the Subject.

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

In view of above and due to its red shareholders' fund, we do not recommend any credit be granted to the Subject.

PROFIT AND LOSS ACCOUNT

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

MAREL SINGAPORE PTE. LTD.

Financial Year End	2012-12-31	2011-12-31
Months	12	12
Consolidated Account	Company	Company
Audited Account	YES	YES
Unqualified Auditor's Report (Clean Opinion)	YES	YES
Financial Type	FULL	FULL
Currency	SGD	SGD
TURNOVER	27,543,704	27,284,252
Other Income	16,129	12,005
	----------------	----------------
Total Turnover	27,559,833	27,296,257
Costs of Goods Sold	<25,266,217>	<20,468,005>
	----------------	----------------
Gross Profit	2,293,616	6,828,252
	----------------	----------------
PROFIT/(LOSS) FROM OPERATIONS	<4,865,688>	1,064,596
	----------------	----------------
PROFIT/(LOSS) BEFORE TAXATION	<4,865,688>	1,064,596
Taxation	<99,690>	<179,601>
	----------------	----------------
PROFIT/(LOSS) AFTER TAXATION	<4,965,378>	884,995
	----------------	----------------
RETAINED PROFIT/(LOSS) BROUGHT FORWARD
As previously reported	<4,216,728>	<5,101,723>
	----------------	----------------
As restated	<4,216,728>	<5,101,723>
	----------------	----------------
PROFIT AVAILABLE FOR APPROPRIATIONS	<9,182,106>	<4,216,728>
	----------------	----------------
RETAINED PROFIT/(LOSS) CARRIED FORWARD	<9,182,106>	<4,216,728>
	=============	=============
INTEREST EXPENSE (as per notes to P&L)
Bank overdraft	2,098	-
Hire purchase	7,908	7,909
Term loan / Borrowing	245,197	339,569
Others	-	3,761
	----------------	----------------
	255,203	351,239

BALANCE SHEET

MAREL SINGAPORE PTE. LTD.

ASSETS EMPLOYED:
FIXED ASSETS	534,964	549,028
LONG TERM INVESTMENTS/OTHER ASSETS
Deferred assets	843,626	943,316
Others	-	129,000
	----------------	----------------
TOTAL LONG TERM INVESTMENTS/OTHER ASSETS	843,626	1,072,316
INTANGIBLE ASSETS
Others	624,348	809,995
	----------------	----------------
TOTAL INTANGIBLE ASSETS	624,348	809,995
	----------------	----------------
TOTAL LONG TERM ASSETS	2,002,938	2,431,339
CURRENT ASSETS
Stocks	1,549,956	1,704,302
Trade debtors	2,071,214	3,261,184
Other debtors, deposits & prepayments	542,454	436,834
Short term deposits	-	34,493
Cash & bank balances	2,279,582	2,819,057
Others	4,611,629	2,395,350
	----------------	----------------
TOTAL CURRENT ASSETS	11,054,835	10,651,220
	----------------	----------------
TOTAL ASSET	13,057,773	13,082,559
	=============	=============
CURRENT LIABILITIES
Trade creditors	5,047,950	3,558,991
Other creditors & accruals	1,976,287	1,489,497
Amounts owing to holding company	-	56,531
Amounts owing to related companies	5,929,870	4,760,420
Lease payables	48,550	48,550
Other liabilities	1,373,426	1,088,766
	----------------	----------------
TOTAL CURRENT LIABILITIES	14,376,083	11,002,755
	----------------	----------------
NET CURRENT ASSETS/(LIABILITIES)	<3,321,248>	<351,535>
	----------------	----------------
TOTAL NET ASSETS	<1,318,310>	2,079,804
	=============	=============
SHARE CAPITAL
Ordinary share capital	7,824,000	6,213,000
	----------------	----------------
TOTAL SHARE CAPITAL	7,824,000	6,213,000
RESERVES
Retained profit/(loss) carried forward	<9,182,106>	<4,216,728>
	----------------	----------------
TOTAL RESERVES	<9,182,106>	<4,216,728>
	----------------	----------------
SHAREHOLDERS' FUNDS/EQUITY	<1,358,106>	1,996,272
LONG TERM LIABILITIES
Lease obligations	39,796	83,532
	----------------	----------------
TOTAL LONG TERM LIABILITIES	39,796	83,532
	----------------	----------------
	<1,318,310>	2,079,804
	=============	=============

FINANCIAL RATIO

MAREL SINGAPORE PTE. LTD.

TYPES OF FUNDS
Cash	2,279,582	2,853,550
Net Liquid Funds	2,279,582	2,853,550
Net Liquid Assets	<4,871,204>	<2,055,837>
Net Current Assets/(Liabilities)	<3,321,248>	<351,535>
Net Tangible Assets	<1,942,658>	1,269,809
Net Monetary Assets	<4,911,000>	<2,139,369>
BALANCE SHEET ITEMS
Total Borrowings	39,796	83,532
Total Liabilities	14,415,879	11,086,287
Total Assets	13,057,773	13,082,559
Net Assets	<1,318,310>	2,079,804
Net Assets Backing	<1,358,106>	1,996,272
Shareholders' Funds	<1,358,106>	1,996,272
Total Share Capital	7,824,000	6,213,000
Total Reserves	<9,182,106>	<4,216,728>
LIQUIDITY (Times)
Cash Ratio	0.16	0.26
Liquid Ratio	0.66	0.81
Current Ratio	0.77	0.97
WORKING CAPITAL CONTROL (Days)
Stock Ratio	21	23
Debtors Ratio	27	44
Creditors Ratio	73	63
SOLVENCY RATIOS (Times)
Gearing Ratio	<0.03>	0.04
Liabilities Ratio	<10.61>	5.55
Times Interest Earned Ratio	<18.07>	4.03
Assets Backing Ratio	<0.25>	0.20
PERFORMANCE RATIO (%)
Operating Profit Margin	<17.67>	3.90
Net Profit Margin	<18.03>	3.24
Return On Net Assets	349.73	68.08
Return On Capital Employed	664.37	48.99
Return On Shareholders' Funds/Equity	365.61	44.33
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.60.71
UK Pound	1	Rs.102.04
Euro	1	Rs.83.77

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.