MIRA INFORM REPORT

Report Date :

20.12.2014

IDENTIFICATION DETAILS

Name :	HOSTMANN-STEINBERG AUSTRALIA PTY LTD
Registered Office :	3 Ash Road, Prestons, New South Wales, NSW 2170
Country :	Australia
Financials (as on) :	31.12.2013
Date of Incorporation :	21.10.2005
Com. Reg. No.:	ACN: 115955327
Legal Form :	Australian Proprietary Company
Line of Business :	Distribution of Printing Products.
No. of Employees :	44 (Subject)/ 3,600 (Group)

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 :	Good
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)
Australia	A1	A1

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

AUSTRALIA - ECONOMIC OVERVIEW

The Australian economy has experienced continuous growth and features low unemployment, contained inflation, very low public debt, and a strong and stable financial system. By 2012, Australia had experienced more than 20 years of continued economic growth, averaging 3.5% a year. Demand for resources and energy from Asia and especially China has grown rapidly, creating a channel for resources investments and growth in commodity exports. The high Australian dollar has hurt the manufacturing sector, while the services sector is the largest part of the Australian economy, accounting for about 70% of GDP and 75% of jobs. Australia was comparatively unaffected by the global financial crisis as the banking system has remained strong and inflation is under control. Australia has benefited from a dramatic surge in its terms of trade in recent years, stemming from rising global commodity prices. Australia is a significant exporter of natural resources, energy, and food. Australia's abundant and diverse natural resources attract high levels of foreign investment and include extensive reserves of coal, iron, copper, gold, natural gas, uranium, and renewable energy sources. A series of major investments, such as the US$40 billion Gorgon Liquid Natural Gas project, will significantly expand the resources sector. Australia is an open market with minimal restrictions on imports of goods and services. The process of opening up has increased productivity, stimulated growth, and made the economy more flexible and dynamic. Australia plays an active role in the World Trade Organization, APEC, the G20, and other trade forums. Australia has bilateral free trade agreements (FTAs) with Chile, Malaysia, New Zealand, Singapore, Thailand, and the US, has a regional FTA with ASEAN and New Zealand, is negotiating agreements with China, India, Indonesia, Japan, and the Republic of Korea, as well as with its Pacific neighbors and the Gulf Cooperation Council countries, and is also working on the Trans-Pacific Partnership Agreement with Brunei Darussalam, Canada, Chile, Malaysia, Mexico, New Zealand, Peru, Singapore, the US, and Vietnam.

Source : CIA

Company IDENTIFICATION

Verified
Subject name:	HOSTMANN-STEINBERG AUSTRALIA PTY LTD
Address:	3 Ash Road
Town:	Prestons
State/province:	New South Wales
Zip/postal code:	NSW 2170
Country:	Australia
Telephone:	+61 (2) 94267200
Fax:	+61 (2) 98258211
Website:	=
Remarks:	The Subject's registered address is: Unit 8, 450-466 Princes Highway Noble Park, VIC 3174, Australia

EXECUTIVE SUMMARY

Date registered:	21-10-2005
Legal form:	Australian Proprietary Company
Share capital	AUD 3,300,000
Sales turnover:	AUD 30,917,120 (12 months, 31-12-2013)
Main activities:	Distribution of printing products.
Employees:	44 (Subject) / 3,600 (Group)

REGISTRY DATA

Key Facts
Date registered:	21-10-2005
Legal form:	Australian Proprietary Company
Registration no:	ACN: 115955327
Registry auth.	Australian Securities and Investments Commission
Tax number:	ABN: 88115955327
Registry status:	Live/Active

LEGAL FILINGS

Bankruptcy filings:	None
Court judgements:	None
Tax liens:	None
Other:	None

MANAGEMENT & STAFF

Key Managers
Name:	Heiner Klokkers
Job title:	Director
Name:	Raymond James Toal
Job title:	Director
Name:	Margaret Jean Herrick
Job title:	Company Secretary
Key Advisors
Auditor:	BDO EAST COAST PARTNERSHIP Level 10, 1 Margaret Street Sydney, NSW 2000 Australia
Staff
No of employees	44 (Subject) / 3,600 (Group)

BOARD OF DIRECTORS/ OTHER APPOINTMENTS

Appointments
Name:	Heiner Klokkers
Board function:	Director
Date appointed:	16-05-2014
Address:	Pappelweg 10 85567 Grafing Germany
Biography:	Born: 30/10/1970 Birth Place: Neuenhaus, Germany
Name:	Raymond James Toal
Board function:	Director
Date appointed:	21-10-2005
Address:	44 Rangeview Road Mount Evelyn, VIC 3796 Australia
Biography:	Born: 18/08/1965 Birth Place: Belfast, United Kingdom
Name:	Margaret Jean Herrick
Board function:	Company Secretary
Date appointed:	06-04-2010
Address:	5 Mercy Court Narre Warren South, VIC 3805 Australia
Biography:	Born: 04/03/1965 Birth Place: Melbourne, Victoria

SHARE CAPITAL

Composition
Authorised:	AUD 3,300,000
Number/type:	3,300,000 ordinary shares
Share value:	AUD 1
Issued:	3,300,000 ordinary shares
Paid-up:	AUD 3,300,000

Shareholders/Owners

How Listed	Full List
Composition
Name:	MICRO INKS PRIVATE LIMITED
No. of shares:	3,300,000 ordinary shares
% of shares:	100%
Address:	Bilakhia House, Muktanand Marg Chala, Vapi 396191 Gujarat India

CORPORATE AFFILIATIONS

Structure
Name:	MHM HOLDING GMBH
Affiliation type:	Ultimate Holding Company
Address:	Feldkirchener Straße 15 85551 Kirchheim bei München Germany
Name:	MICRO INKS PRIVATE LIMITED
Affiliation type:	Parent Company
Address:	Bilakhia House, Muktanand Marg Chala, Vapi 396191 Gujarat India
Name:	HOSTMANN-STEINBERG GMBH
Affiliation type:	Associate
Address:	Germany
Name:	HOSTMANN-STEINBERG NEW ZEALAND LIMITED
Affiliation type:	Associate
Address:	New Zealand
Comments	Other companies of the MHM HOLDING Group should also be considered as affiliates of the Subject.

BANKING & FINANCING

Bankers
Bank name:	THE AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED
Address:	Australia
Comments	It is generally not the policy of local banks to provide credit status information to non-bona fide applications, and interested parties would be advised to consult first with the Subject if banker's references are required.

FINANCIAL ACCOUNTS

Description
Required to file:	Yes
Source:	Commercial Registry Filings
Presentation:	Attached to this report / Summarised below
Date of accounts:	31-12-2013
Type of accounts:	Full audited
Currency:	Australian Dollar (AUD)
Exchange rate:	USD 1 = AUD 1.21
Summarised
	31-12-2013	31-12-2012
Period:	12 months	12 months
Sales turnover:	30,917,120	40,185,652
Gross profit:	12,405,866	15,987,373
Profit before tax:	1,540,519	4,043,134
Profit after tax:	1,171,793	2,783,160
Non-current assets:	3,365,135	3,372,801
Current assets:	14,137,630	13,123,595
Inventories:	5,473,570	5,076,134
Total assets:	17,502,765	16,496,396
Current liabilities:	3,423,083	3,542,872
Non-cur liabilities:	172,723	218,358
Total liabilities:	3,595,806	3,761,230
Shareholders' equity:	13,906,959	12,735,166

OPERATIONS & HISTORY

Activities
Full description:	The Subject is engaged in distributing printing varnishes, coatings, dampening solutions, additives and printing auxiliaries. Subject is a member of HUBER Group, largest manufacturers of printing inks and related products.
Purchases
Import:	Worldwide
Sales
Export:	Worldwide

PROPERTY & ASSETS

Premises	The Subject principally operates from premises located at the heading address, consisting of administrative offices.
Branches	Unit 4, 45 Canberra Street Hemmant, QLD 4174 Australia 24 Fifth Street Bowden, SA 5007 Australia Unit 2 28 Barrier Street Fyshwick, ACT 2609 Australia Unit 2, 63 Walters Drive Osborne Park, WA 6017 Australia

PAYMENTS

Purchase Terms
Local:	Cash Credits 14-30 days
Imports:	L/Cs Credits 30 days net
Sales Terms
Local:	Cash Credits 14-30 days
Exports:	L/Cs Credits 30 days net
Debt Collections/ Judgements	No negative information was found.
Payment Experience
Payment behaviour:	As trade references were not supplied, the Subject's payment track record history CANNOT BE ACCURATELY DETERMINED, but payments are believed to be PROMPT.

INVESTIGATIVE NOTES

Sources:

Interviews and material provided by the Subject Other official and local business sources

ATTACHMENTS

Attachments:

Financial statements Financial ratios

Financial Ratios
	31-12-2013	31-12-2012	Trend
PROFITABILITY [%]
Gross Margin	40.13%	39.78%	0.88%
Gross Profit / Sales Turnover * 100
Operating Margin	N/A	N/A	N/A
Operating Profit / Sales Turnover * 100
Net Profit Margin	3.79%	6.93%	-45.31%
Profit After Tax / Sales Turnover * 100
Return On Equity (ROE)	8.43%	21.85%	-61.42%
Profit After Tax / Equity * 100
Return On Assets (ROA)	6.69%	16.87%	-60.34%
Profit After Tax / Total Assets * 100
Return On Investment (ROI)	11.08%	31.75%	-65.1%
Profit Before Tax / Equity * 100
EFFICIENCY [%]
Asset Turnover	176.64%	243.6%	-27.49%
Sales Turnover / Total Assets * 100
Inventory Turnover	564.84%	791.66%	-28.65%
Sales Turnover / Inventory * 100
LIQUIDITY [%]
Current Ratio (CR)	413.01%	370.42%	11.5%
Current Assets / Current Liabilities * 100
Quick Ratio (QR)	253.11%	227.15%	11.43%
(Current Assets – Inventory) / Current Liabilities * 100
DEBT [%]
Debt Ratio	20.54%	22.8%	-9.91%
Total Liabilities / Total Assets * 100
Long-Term Debt Ratio	1.24%	1.71%	-27.49%
Long-Term Liabilities / Equity * 100

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.63.07
UK Pound	1	Rs.98.73
Euro	1	Rs.77.46

INFORMATION DETAILS

Analysis Done by :	SUB
Report Prepared by :	NIT

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.