MIRA INFORM REPORT

Report Date :

24.12.2014

IDENTIFICATION DETAILS

Name :	NISSIN JIDOSHA KOGYO CO., LTD.
Registered Office :	456-1, Makuchi, Kazo-Shi, Saitama Pref. 349-1145
Country :	Japan
Date of Incorporation :	27.06.1984
Com. Reg. No.:	0300-01-033106
Legal Form :	Private Company
Line of Business :	Manufacturer of Auto Mobile-Related Equipment.
No. of Employees :	55

RATING & COMMENTS

MIRA’s Rating :

B

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limits :	US$ 100,000
Status :	Moderate
Payment Behaviour :	Slow but correct
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

NISSIN JIDOSHA KOGYO CO., LTD.

OUTLINE

Country: Japan

Company name: NISSIN JIDOSHA KOGYO CO., LTD.

Name in local language: NISSIN JIDOSHA KOGYO, K.K.

Office address: 456-1, Makuchi, Kazo-shi, Saitama pref. 349-1145

Office tel: 0480-72-7221

Office fax: 0480-72-7223

Website: www.nissin-apd.co.jp

Business type: Manufacturer

Industry: Auto mobile-related equipment

Established: June 27, 1984

Capital: Jp. 10,000,000 yen

Employees: 55

Corporate formation: Private

Corporation No.: 0300-01-033106 (Saitama Legal Affairs Bureau)

MAJOR SHAREHOLDERS

Paid in capital : Jp. 10,000,000 yen

Number of authorized shares : 800 shares

Shares issued : 200 shares

Number of shareholder : 1

Mikuni Corporation holds 100 percent.

DETAILED PRODUCT CLASSFICATION & ACTIVITY

Activity Product/Service Description

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

Manufacturing Driving equipment for handicapped person

Manufacturing Elevating equipment of motor vehicles for handicapped persons

Service Installation work of the above equipment

Service Rental service of motor vehicles for handicapped persons

COMPANY MANAGEMENT

President Mr. Yasuo Ichida

Nationality: Japan

Chairman Mr. Hiroki Onishi

Nationality: Japan

Director Mr. Toshiaki Inoue

Nationality: Japan

Director Mr. Kazushige Suzuki

Nationality: Japan

Director Mr. Yoshihiro Sato

Nationality: Japan

Director Mr. Masaki Hanasato

Nationality Japan

Auditor Mr. Takayoshi Iribe

Nationality: Japan

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

*Key Personnel*

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

Mr. Hiroki Onishi

Chairman and representative director

Business career:

April 1, 2014: Representative director and chairman of the subject.

Home address: 1-9-14-1002, Higashi-nippori, Arakawa-ku, Tokyo

FINANCIALS

Currency: (local currency - Jp. yen)

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

Year | Sales | Net Income

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

2011	584,000,000	47,000,000
2012	650,000,000	69,500,000
2013	677,000,000	81,000,000
2014	668,000,000	21,500,000

FINANCIAL DESCRIPTION

*Book Closing*

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

May 31st

*Financials*

==========

As a private limited company, no official financial statement is required to be disclosed publicly.

*Bank Details*

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

Bank Name : Saitama Resona Bank, Ltd.

Branch : Kurihashi

Bank Name : Ashikaga Bank, Ltd.

Branch : Furukawa

*Credit Opinion*

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

The latest status of the subject is a subsidiary of Mikuni Corporation, of which financial summary is as follows:

Date of foundation: October 1948

Head office: Sotokanda, Chiyoda-ku, Tokyo

Main business: Manufacture of nozzle for motorcycles and motor vehicles

Capital paid-in: JPY 2,215 million

Number of employees: 5,886(as of Sep. 30, 2014)

Annual sales: JPY 96,456 million for Mar. 2014 term

Net income: JPY 2,736 million (ditto)

Shareholders’ equity: JPY 22,679 million (as of Sep. 30, 2014)

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

Negative factors are not observed in particular at present though the net income declined for May 2014 term.

Our standard suggestion would be up to US$ 100,000 on terms of 90 days.

PRODUCT, TECHNOLOGY, SERVICE DESCRIPTION

*Main Products & Services*

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

Rubber products for motor vehicles for handicapped persons such as:

- Driving equipment for handicapped driver

- Elevating equipment of the motor vehicles for handicapped persons

Installation work of the above equipment

Rental service of motor vehicles for handicapped persons

FACTORY FACILITIES & MANUFACTURING CAPABILITIES

Head plant: At the location of the head office

Toyo-ake plant: Sakae-cho, Toyo-ake-shi, Aichi pref.

ORGANIZATION STRUCTURE

*Address*

=========

Registered address is the same as the operational address.

*Company History*

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

Date Development

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

February 1973 Invented the first driving equipment for handicapped drivers.

June 27 1984 Incorporated under the current company name.

October 1993 Started exporting to Ricon Corp., U.S.A.

October 1994 Appointed the first overseas agent, Recam Medical Co., Ltd. in R.O.K.

July 2002 Acquired the business assets from Techno Life Japan Co., Ltd.

December 2004 Founded Toyo-ake plant.

April 2014 Became a subsidiary of Mikuni Corporation, a public listed corporation on the TSE(#7247).

TRADE REFERENCES

*Suppliers*

==========

World Neji(Screws) Co., Ltd.

Samtec Corp.

Asama Auto Parts Co., Ltd.

Fukuyama Seisakusho Co., Ltd.

Toyo Enterprise Co., Ltd.

Toyota Shatai Co., Ltd.

Yoshida Kiko Co., Ltd.

Sanwa Paint Co., Ltd.

Miyako Brake Service Co., Ltd.

Aikoh Corp.

Ankler Japan K.K.

Eiko Electric Co., Ltd.

*Customers*

==========

Local auto dealers nationwide such as Keihin Batteries Industry Co., Ltd.

Local agents nationwide

General public

National Association of Handicapped People

National Rehabilitation Center

Welfare associations nationwide

National Welfare Taxi Association

Export to:

- Ricon Corp.(USA)

- Recam Medical Co., Ltd.(ROK)

- Siam Nissin Co., Ltd.(Thailand)

- Hua Auto Co., Ltd.(ROK)

- Cheng-Sheng Enterprise Co., Ltd.(Taiwan)

- Jiangsu Motors Co., Ltd.(China)

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.63.45
UK Pound	1	Rs.98.88
Euro	1	Rs.77.62

INFORMATION DETAILS

Analysis Done by :	KAR
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%)

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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.