MIRA INFORM REPORT

Report Date :

15.12.2014

IDENTIFICATION DETAILS

Name :	CARGILL JAPAN LTD.
Registered Office :	Kokusai Bldg., 3-1-1, Marunouchi, Chiyoda-ku, Tokyo 100-0005
Country :	Japan
Financials (as on) :	31.05.2014
Date of Incorporation :	16.11.1946
Com. Reg. No.:	0100-01-034873
Legal Form :	Private Company
Line of Business :	Trading of foods and foodstuffs.
No of Employees :	307

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 – 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 Risk	A2
Moderate Low Risk	B1
Moderate Risk	B2
Moderate High Risk	C1
High Risk	C2
Very High Risk	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

CARGILL JAPAN LTD.

OUTLINE

Country: Japan

Company name: CARGILL JAPAN LTD.

Name in local language: CARGILL JAPAN, K.K. (株式会社カーギルジャパン)

Office address: Kokusai Bldg., 3-1-1, Marunouchi, Chiyoda-ku, Tokyo 100-0005

Office tel: 03-3285-0800

Website: www.cargill.co.jp

Business type: Trader

Industry: Food and foodstuffs

Established: November 16, 1946

Capital: Jp. 2,800,000,000 yen

Employees: 307

Corporate formation: Private

Corporation No.: 0100-01-034873 (Tokyo Legal Affairs Bureau)

MAJOR SHAREHOLDERS

Paid in capital : Jp. 2,800,000,000 yen

Number of authorized shares : 200,000 shares

Shares issued : 62,405 shares

Number of shareholder : 2

Name of shareholders Number of shares (%)

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

Cargill Asia Pacific Ltd. 50,000 shares (80.12)

Cargill, Inc.(USA) 12,405 shares (19.88)

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Total 62,405 shares (100.0)

DETAILED PRODUCT CLASSFICATION & ACTIVITY

Activity Product/Service Description

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

Trading Foods

Trading Foodstuffs

COMPANY MANAGEMENT

President Mr. Hiroto Sasaki (*)

Nationality: Japan

Managing Director Mr. Anri Hamatani (*)

Nationality: Japan

Director Mr. Tatsuo Ishii

Nationality: Japan

Director Mr. Miyoji Saito

Nationality: Japan

Auditor Mr. Kenichi Nagaya

Nationality: Japan

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

(*) = representative directors

*Key Personnel*

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

Mr. Hiroto Sasaki

President and representative director

Home address: 2-2-23, Oyamadai, Setagaya-ku, Tokyo 158-0086

FINANCIALS

Currency: (local currency - Jp. yen)

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

Year | Sales | Net Income

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

2009	234,591,000,000	4,685,000,000
2010	176,572,000,000	1,699,000,000
2011	173,586,000,000	4,927,000,000
2012	182,278,000,000	1,800,000,000
2013	178,721,000,000	3,796,000,000
2014	164,019,000,000	1,208,000,000

FINANCIAL DESCRIPTION

*Book Closing*

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

May 31st

*Financials*

==========

Balance Sheet
Unit: millions of JP yen
	5/31/2012	5/31/2013	5/31/2014
Current assets	96,031	105,589	102,869
Fixed assets	24,495	13,045	12,882
Tangible assets	272	199	179
Intangible assets	20	11	10
Investments & others	24,203	12,835	12,693
Total Assets	120,526	118,634	115,751
Current liabilities	31,995	34,478	30,193
Fixed liabilities	341	433	383
Shareholders' equity	87,807	82,802	84,010
Paid up capital	2,800	2,800	2,800
Retained earnings	85,007	80,002	81,210
Valuation & adjustment	383	921	1,165
Total Net Assets	88,190	83,723	85,175
Total Liabilities & Net Assets	120,529	118,634	115,751
Income Statement
Unit : millions of JP yen
	5/31/2012	5/31/2013	5/31/2014
Sales	182,278	178,721	164,019
Cost of goods sold	172,742	170,760	156,948
Gross profit(loss)	9,536	7,961	7,071
Sales/administrative expenses	6,217	5,751	5,800
Operating profit(loss)	3,319	2,210	1,271
Non operating income	386	3,718	1,026
Non operating expenses	4	6	1
Ordinary profit(loss)	3,701	5,922	2,296
Special profits	7	240	32
Special losses	368	13	3
Pretax profit	3,340	6,149	2,325
Taxes & adjustment	1,539	2,354	1,117
Net profit	1,801	3,795	1,208

*Bank Details*

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

Bank Name : Sumitomo Mitsui Banking Corp.

Branch : Nihonbashi

Bank Name : J.P. Morgan Bank, Corp.

Branch : Tokyo

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

Branch : Hibiya

*Credit Opinion*

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

The subject is a Tokyo-based subsidiary of Cargill Group.

The ultimate parent corporation, Cargill, Inc., was founded in 1865 in Minnesota, USA, and now one of the grain major companies, of which sales is US$ 134,872 million and Net Income; US$ 1,870 million for May 2014 term.

As for the subject itself a steady performance has been maintained for years.

Negative factors are not observed in particular at present thought a weaker currency may be against for imported foods and materials.

Our standard suggestion would be up to US$ 35 million on terms of 90 days.

LOCAL BRANCHES & MANAGEMENT

Branch name: Kansai branch

Branch address: Isogami-dori, Chuo-ku, Kobe-shi

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Four overseas branches are in London(UK), Bangkok(Thailand),Vancouver(Canada) and Winnipeg(Canada)

PRODUCT, TECHNOLOGY, SERVICE DESCRIPTION

*Main Products & Services*

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

Trading of foods and foodstuffs.

Its business is being conducted by the following four segments:

- Food materials

- Processed foods

- Food engineering

- Eggs and meats

ORGANIZATION STRUCTURE

*Address*

=========

Registered address is the same as the operational address.

*Company History*

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

Date Development

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

November 16, 1946 Incorporated under the name of “Tokyo Shokuhin(Foods) Co., Ltd.” as

a member of Mitsui Group.

May 1949 Public listed on the TSE.

1956 Cargill Japan Ltd. was founded by Cargill, Inc.(USA)

1961 Renamed as “Toshoku Co., Ltd.”

December 18, 1997 Filed a protection of assets with the Tokyo District Court under the

business rehabilitation law. The debt amount was JPY 639.7 billion.

March 1998 Unlisted from the TSE.

November 1998 Business rehabilitation program started, backed by Cargill Japan Ltd.

2000 Relocated the head office to the current address.

February 2004 Completed the rehabilitation.

June 2007 Merged with Cargill Japan Ltd. and was renamed as the current name

of “Cargill Japan Ltd.”

TRADE REFERENCES

*Suppliers*

==========

Cargill Group companies worldwide

Nisshin Seifun Group Inc.

Tokuyama Corporation

J-Oil Mills, Inc.

Mitsui Sugar Co., Ltd.

Tsuji Seiyu Co., Ltd.

*Customers*

==========

The Ministry of Agriculture and Forestry

Kewpie Corporation

Nichiwa Sangyo Co., Ltd.

Ito-en Co., Ltd.

Meiji Co., Ltd.

Showa Sangyo Co., Ltd.

Nippon Corn Starch Co., Ltd.

Sanwa Denpun Kogyo Co., Ltd.

Nisshin OiliO Group Ltd.

SUBSIDIARIES, JOINT-VENTURES & AFFILIATES

Company name: Kenmin Shokuhin Co., Ltd.

Country: Japan

Status: Subsidiary

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

Company name: Tokyo Shokuryo Co., Ltd.

Country: Japan

Status: Subsidiary

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Company name: Nippon Tank Terminal Co., Ltd.

Country: Japan

Status: Subsidiary

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

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs. 62.44
UK Pound	1	Rs. 98.15
Euro	1	Rs. 77.38

INFORMATION DETAILS

Analysis Done by :	SMT
Report Prepared by :	DPT

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.