MIRA INFORM REPORT

Report Date :

10.12.2014

IDENTIFICATION DETAILS

Name :	TOKYO BOEKI TECHNO-SYSTEM LTD.
Registered Office :	Daisan Nagaoka Bldg. 9F., 2-13-4, Hacchobori, Chuo-ku, Tokyo 104-0032
Country :	Japan
Financials (as on) :	31.03.2014
Date of Incorporation :	01.03.1994
Com. Reg. No.:	0100-01-061642 (Tokyo)
Legal Form :	Private Limited Company
Line of Business :	Engaged in manufacturing 3D Measuring Equipment and Devices as well as the Related Software.
No of Employees :	100

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

Maximum Credit Limit :	US$ 1 million
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 – September 30, 2014

Country Name	Previous Rating (30.06.2014)	Current Rating (30.09.2014)
Japan	A1	A1

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

Japan ECONOMIC OVERVIEW

In the years following World War II, government-industry cooperation, a strong work ethic, mastery of high technology, and a comparatively small defense allocation (1% of GDP) helped Japan develop a technologically advanced economy. Two notable characteristics of the post-war economy were the close interlocking structures of manufacturers, suppliers, and distributors, known as keiretsu, and the guarantee of lifetime employment for a substantial portion of the urban labor force. Both features are now eroding under the dual pressures of global competition and domestic demographic change. Japan's industrial sector is heavily dependent on imported raw materials and fuels. A small agricultural sector is highly subsidized and protected, with crop yields among the highest in the world. While self-sufficient in rice production, Japan imports about 60% of its food on a caloric basis. For three decades, overall real economic growth had been spectacular - a 10% average in the 1960s, a 5% average in the 1970s, and a 4% average in the 1980s. Growth slowed markedly in the 1990s, averaging just 1.7%, largely because of the after effects of inefficient investment and an asset price bubble in the late 1980s that required a protracted period of time for firms to reduce excess debt, capital, and labor. Modest economic growth continued after 2000, but the economy has fallen into recession three times since 2008. A sharp downturn in business investment and global demand for Japan's exports in late 2008 pushed Japan into recession. Government stimulus spending helped the economy recover in late 2009 and 2010, but the economy contracted again in 2011 as the massive 9.0 magnitude earthquake and the ensuing tsunami in March disrupted manufacturing. The economy has largely recovered in the two years since the disaster, but reconstruction in the Tohoku region has been uneven. Prime Minister Shinzo ABE has declared the economy his government's top priority; he has overturned his predecessor's plan to permanently close nuclear power plants and is pursuing an economic revitalization agenda of fiscal stimulus, monetary easing, and structural reform. Japan joined the Trans Pacific Partnership negotiations in 2013, a pact that would open Japan's economy to increased foreign competition and create new export opportunities for Japanese businesses. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, Japan in 2013 stood as the fourth-largest economy in the world after second-place China, which surpassed Japan in 2001, and third-place India, which edged out Japan in 2012. The new government will continue a longstanding debate on restructuring the economy and reining in Japan's huge government debt, which is exceeding 230% of GDP. To help raise government revenue and reduce public debt, Japan decided in 2013 to gradually increase the consumption tax to a total of 10% by the year 2015. Japan is making progress on ending deflation due to a weaker yen and higher energy costs, but reliance on exports to drive growth and an aging, shrinking population pose other major long-term challenges for the economy.

Source : CIA

COMPANY NAME

TOKYO BOEKI TECHNO-SYSTEM LTD.

Company OUTLINE

Company name: TOKYO BOEKI TECHNO-SYSTEM LTD.

Name in local language: TOKYO BOEKI TECHNO-SYSTEM K.K.

Office address: Daisan Nagaoka Bldg. 9F., 2-13-4, Hacchobori, Chuo-ku, Tokyo 104-0032

Country: Japan

Office tel: 03-3555-7140

Office fax: 03-3555-7149

Website: www.tbts.co.jp

Business type: Manufacturer

Industry: 3D measuring equipment & devices, and software

Established: March 1, 1994

Capital: Jp. 340,000,000 yen

Employees: 100

Corporate formation: Private

Corporation No.: 0100-01-061642 (Tokyo Legal Affairs Bureau)

MAJOR SHAREHOLDERS

Paid in capital : Jp. 340,000,000 yen

Number of authorized shares : 9,600 shares

Shares issued : 6,800 shares

Number of shareholder : 1

Tokyo Boeki Holdings Ltd. holds 100 percent.

DETAILED PRODUCT CLASSFICATION & ACTIVITY

Activity Product/Service Description

-------------------------------------------------------------------------------

Manufacturing 3D measuring equipment and devices

Manufacturing Related software

COMPANY MANAGEMENT

President Mr. Toshiaki Ueda

Nationality: Japan

Managing Director Mr. Katsuhiko Masuda

Nationality: Japan

Managing Director Mr. Hirohito Mizuhara

Nationality: Japan

Director Mr. Hiroyuki Shigematsu

Nationality: Japan

Auditor Mr. Toshihiko Kezuka

Nationality: Japan

Note: The names of director(s) and auditor(s) are phonetically spelt.

*Key Personnel*

==============

Mr. Toshiaki Ueda

President and representative director

Born on January 25, 1948

Home address: 11-21, Saiwa-cho, Hiratsuka-shi, Kanagawa pref. 254-0804

FINANCIALS

Currency: (local currency - Jp. yen)

-------------------------------------------------------------------------------------

Year | Sales | Net Income

-------------------------------------------------------------------------------------

2009	4,836,524,000	43,337,000
2010	3,803,511,000	31,832,000
2011	4,130,108,000	226,138,000
2012	4,642,130,000	200,007,000
2013	5,418,070,000	310,660,000
2014	5,591,812,000	339,468,000

FINANCIAL DESCRIPTION

*Book Closing*

============

March 31st

*Financials*

==========

Balance Sheet
Unit: millions of JP yen
	3/31/2012	3/31/2013	3/31/2014
Current assets	3,423	3,772	3,783
Fixed assets	1,333	1,327	1,260
Tangible assets	1,195	1,175	1,193
Intangible assets	10	17	41
Investments & others	126	134	25
Total Assets	4,756	5,100	5,044

Current liabilities	2,121	2,380	2,191
Fixed liabilities	356	231	180
Retirement benefits	193	224	176
Others	163	7	4
Shareholders' equity	2,278	2,489	2,673
Paid up capital	340	340	340
Capital reserves	220	220	220
Retained earnings	1,718	1,929	2,113
Total Liabilities & Net Assets	4,756	5,100	5,044

Bank Details

Bank Name : Bank of Tokyo-Mitsubishi UFJ, Ltd.

Branch : Head office

Bank Name : Sumitomo Mitsui Banking Corp.

Branch : Atsugi

Bank Name : Resona Bank, Ltd.

Branch : Nihonbashi

Credit Opinion

The subject a Tokyo-based firm specializing in manufacturing 3D measuring equipment and devices as well as the related software.

Sales is picking up since it hit a bottom for Mar. 2010 term due mainly to the aftermath of the Lehman Shock.

The net income level has been enhanced better than that of the sales.

Customers are excellent and reliable though the sales appears to be small for the number of great customers listed in its website.

Negative factors are not observed in particular at present.

A weaker currency would be favorable for export business.

Our standard suggestion would be up to US$ 1 million on terms of 90 days.

LOCAL BRANCHES & MANAGEMENT

Branch name: Atsugi business office/technical center

Branch address: 1261, Kami-echi, Atsugi-shi, Kanagawa pref.

----------------------------------------------------------------------------------------------------

Branch name: Toyota business office

Branch address: Tsuchihashi-cho, Toyota-shi, Aichi pref.

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Branch name: Osaka business office/technical center

Branch address: Shin-senri-nishimachi, Toyonaka-shi, Osaka pref.

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Branch name: Hiroshima business office

Branch address: Teppou-cho, Naka-ku, Hiroshima-shi

PRODUCT, TECHNOLOGY, SERVICE DESCRIPTION

*Main Products & Services*

======================

Development, manufacture and sales/export/import of the following products:

- 3D measuring equipment and devices (80%)

- Related software (20%)

FACTORY FACILITIES & MANUFACTURING CAPABILITIES

Atsugi technical center: 1261, Kami-echi, Atsugi-shi, Kanagawa pref.

ORGANIZATION STRUCTURE

*Address*

=========

Registered address is the same as the operational address.

The quoted address and phone are for Atsugi business office.

The details are as follows:

1. Atsugi business office

1261, Kami-echi, Atsugi-shi, Kanagawa pref. 243-0801

TEL: 046-246-3950

FAX: 046-245-7970

2. Atsugi technical center

1261, Kami-echi, Atsugi-shi, Kanagawa pref. 243-0801

TEL: 046-246-3951

FAX: 046-246-1221

Company History

Date Development

-----------------------------------------------------------------------------------------------

1960 Started business as the trading division of Tokyo Boeki Mechatro-System

and became an agent for Portage-Double Quick Inc.(USA).

1969 Completed Atsugi plant(now technical center).

1972 Concluded an agreement with Portage for production.

1988 Opened an office in Detroit.

March 1, 1994 Incorporated under the name of the current company name by separating the

above business assets from the original firm.

1994 Became an agent for Imageware Inc.(USA)(now UGS PLM).

1998 Became an agent for Steinbichler GmbH(Germany).

2000 ISO9001 certified.

2002 Became an agent for Almonicos K. K.(Japan)

2003 Became an agent for Leica GeoSystmes AG, Switzerland.

Became an agent for EON Reality Inc.(USA)

2004 Opened an office in Bangkok.

2005 Founded a subsidiary in Thailand.

2006 Founded a subsidiary in China.

2008 Completed Atsugi technical center.

2013 Founded a subsidiary in Mexico.

TRADE REFERENCES

*Suppliers*

==========

Please refer to the above history for business alliance from overseas

Besides,

Kosaka Research Institute Inc.

TB Tech Ltd.

Fujisawa Sangyo Co., Ltd.

Maruichi Kogyo Co., Ltd.

Ichikawa Seiki Co., Ltd.

*Customers*

==========

Domestic:

Aisin Seiki Co., Ltd.

IHI Corp.

Isuzu Motors Ltd.

Olympus Corp.

Kawasaki Heavy Industries, Ltd.

65 more major companies are listed in its website.

Okayama Prefectural University

Keio University

The University of Tokyo

19 more educational institutions are listed in its website

Overseas:

Daimler Chrysler Corp.

Fiat Auto s.p.a.

Honda Motor Co., Ltd.

Hyundai Kia Motors Co., Ltd.

Tesla Inc.

42 more major companies are listed in its website

Some other authorized local distributors are in the following countries:

- China

- Taiwan

- R.O.K.

- Malaysia

- Italy

MAJOR SUBSIDIARIES, JOINT-VENTURES & AFFILIATES

Company name: Tokyo Boeki North America Inc.

Country: U.S.A.

Status: Affiliate

----------------------------------------------------------------------------------------------------

Company name: TOKYO BOEKI TECHNO-SYSTEM de MEXICO, S.A. de C.V

Country: Mexico

Status: Subsidiary

----------------------------------------------------------------------------------------------------

Company name: TBTS (Thailand) Co., Ltd.

Country: Thailand

Status: Subsidiary

Company name: Tokyo Boeki Technology(Guangzhou) Co., Ltd.

Country: China

Status: Affiliate

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.88
UK Pound	1	Rs.96.90
Euro	1	Rs.76.29

INFORMATION DETAILS

Analysis Done by :	DIV
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.