MIRA INFORM REPORT

Report Date :

20.12.2014

IDENTIFICATION DETAILS

Name :	NOVATEL INC.
Registered Office :	1120 68th Avenue NE, Calgary, Alberta T2E 8S5
Country :	Canada
Date of Incorporation :	01.08.2009
Legal Form :	Federal Corporation – Profit
Line of Business :	Manufactures and distributes precision global navigation satellite system (GNSS) components and subsystems.
No of Employees :	260

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)
Canada	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

CANADA ECONOMIC OVERVIEW

As a high-tech industrial society in the trillion-dollar class, Canada resembles the US in its market-oriented economic system, pattern of production, and high living standards. Since World War II, the impressive growth of the manufacturing, mining, and service sectors has transformed the nation from a largely rural economy into one primarily industrial and urban. The 1989 US-Canada Free Trade Agreement (FTA) and the 1994 North American Free Trade Agreement (NAFTA) (which includes Mexico) touched off a dramatic increase in trade and economic integration with the US, its principal trading partner. Canada enjoys a substantial trade surplus with the US, which absorbs about three-fourths of Canadian merchandise exports each year. Canada is the US's largest foreign supplier of energy, including oil, gas, uranium, and electric power. Given its abundant natural resources, highly skilled labor force, and modern capital plant, Canada enjoyed solid economic growth from 1993 through 2007. Buffeted by the global economic crisis, the economy dropped into a sharp recession in the final months of 2008, and Ottawa posted its first fiscal deficit in 2009 after 12 years of surplus. Canada's major banks, however, emerged from the financial crisis of 2008-09 among the strongest in the world, owing to the financial sector's tradition of conservative lending practices and strong capitalization. Canada achieved marginal growth in 2010-13 and plans to balance the budget by 2015. In addition, the country's petroleum sector is rapidly expanding, because Alberta's oil sands significantly boosted Canada's proven oil reserves. Canada now ranks third in the world in proved oil reserves behind Saudi Arabia and Venezuela.

Source : CIA

COMPANY NAME & ADDRESS

Company name: NOVATEL INC.

Address: 1120 68^th Avenue NE, Calgary, Alberta T2E 8S5 - Canada

Telephone: +1 403-295-4500

Fax: +1 403-295-4501

Website: www.novatel.ca

Company details

Corporate ID#: 4529189

State: Federal

Judicial form: Federal Corporation – Profit

Date incorporated: August 1, 2009

Stock: -

Value: -

Name of manager: Michael RITTER

ACTIVITIES & OPERATIONS

History:

Business issued from the merger of:

- NOVATEL INC (Federal ID# 762261) started in 1978.

- 7194803 CANADA INC.

IST

Business:

Novatel Inc. manufactures and distributes precision global navigation satellite system (GNSS) components and subsystems.

It offers receivers, SPAN GNSS inertial systems, antennas, SMART antennas, firmware, enclosures, scintillation and TEC monitors, and ground reference and uplink receivers; and anti-jamming, attitude, heading, integrity monitoring and augmentation, positioning, relative positioning, smooth positioning trajectory, timing, and velocity solutions.

The company also provides NovAtel Connect, a Windows based real time configurable display interface for users to access receiver’s features; a real time GNSS and GNSS-INS post-processing software; and a real time trajectory determination software. It serves aerospace, agricultural, construction, mining and industrial, defense, marine, mobile mapping, GNSS signal monitoring, surveying, timing application, geographical information system mapping, precision agriculture machine guidance, port automation, and unmanned system industries; and aviation ground networks in the United States, Japan, Europe, China, and India.

The company was founded in 1978 and is headquartered in Calgary, Canada. Novatel Inc. operates as a subsidiary of Hexagon AB.

Staff: 260

Operations & branches:

At the headquarters, we find a factory, warehouse and office, on

46,000 sq. ft.

SHAREHOLDERS & MANAGERS

Shareholders:

Hexagon AB (Public Company)
Lilla Bantorget 15
SE-103 59 Stockholm - Sweden
Ph: +46 8 601 26 20
Fx: +46 8 601 26 21

Management:

Michael RITTER is the President, Director and CEO

He has been Chief Executive Officer and President of NovAtel Inc. since January 2009. Mr. Ritter has over twenty years of experience in the precise Global Navigation Satellite System (GNSS) industry.

He served as a Senior Executive of Trimble Navigation Ltd. and was successful in implementing winning product and organizational strategies that were critical in driving both customer satisfaction and corporate revenues.

Prior to Trimble, Mr. Ritter held senior positions with Schlumberger and various other companies around the world.

Patrick Charles FENTON is Director and CTO.

Other Directors include Robert BELKIC and Ola ROLLEN.

Werner GARTNER is the CFO.

As far as we know, they are not involved in other local corporations.

Subsidiaries

And partnership: None

FINANCIALS

In Canada, privately held corporations are not required to publish any financials.

On a direct call, a financial assistant controlled the present report.

Sales declared for fiscal year ending August 2013 is in the range

CAD 50,000,000=

The business is profitable.

Banks: Royal Bank of Canada

…

LEGAL FILINGS

Legal filings & complaints:

As of today date, there is no legal filing pending with the Courts.

Secured debts summary (UCC): Several

COMPANY CREDIT HISTORY

Trade references:

Date reported: November 2014

High credit: CAD 60,000+

Now owing: 0

Past due: 0

Last purchase: October 2014

Line of business: Office supply

Paying status: On terms

Date reported: November 2014

High credit: CAD 500,000+

Now owing: 0

Past due: 0

Last purchase: October 2014

Line of business: Payroll

Paying status: As agreed

Date reported: November 2014

High credit: CAD 800

Now owing: 0

Past due: 0

Last purchase: October 2014

Line of business: Telecommunications

Paying status: On terms

Domestic credit history:

National Credit Bureaus gave a satisfying credit rating.

According to our credit analysts, during the last 6 months, domestic payments were made on terms.

International credit history:

Payments of imports are currently made on terms.

Other comments:

The Company maintains a strong business.

The bank confirmed a regular account.

The Company is in good standing.

This means that all local and federal taxes were paid on due date.

Last report was filed on September 10, 2014.

The risk is low.

Our opinion:

A business connection may be conducted.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs. 63.06
UK Pound	1	Rs. 98.73
Euro	1	Rs. 77.45

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%)

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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.