MIRA INFORM REPORT

Report Date :

13.02.2014

IDENTIFICATION DETAILS

Name :	PATUM VEGETABLE OIL CO., LTD.
Registered Office :	1/8 Soi Charansanitwong 55,Charansanitwong Road, Bangbamru, Bangplad, Bangkok 10700,
Country :	Thailand
Financials (as on) :	31.03.2013
Date of Incorporation :	21.04.1975
Com. Reg. No.:	0105518003713
Legal Form :	Private Limited Company
Line of Business :	Subject is engaged in manufacturing and distributing of edible oil mainly palm and coconut oil
No. of Employees :	586

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 :	Regular
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, 2013

Country Name	Previous Rating (30.06.2013)	Current Rating (30.09.2013)
Thailand	B1	B1

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

THAILAND - ECONOMIC OVERVIEW

With a well-developed infrastructure, a free-enterprise economy, generally pro-investment policies, and strong export industries, Thailand achieved steady growth due largely to industrial and agriculture exports - mostly electronics, agricultural commodities, automobiles and parts, and processed foods. Thailand is trying to maintain growth by encouraging domestic consumption and public investment to offset weak exports in 2012. Unemployment, at less than 1% of the labor force, stands as one of the lowest levels in the world, which puts upward pressure on wages in some industries. Thailand also attracts nearly 2.5 million migrant workers from neighboring countries. The Thai government is implementing a nation-wide 300 baht ($10) per day minimum wage policy and deploying new tax reforms designed to lower rates on middle-income earners. The Thai economy has weathered internal and external economic shocks in recent years. The global economic crisis severely cut Thailand's exports, with most sectors experiencing double-digit drops. In 2009, the economy contracted 2.3%. However, in 2010, Thailand's economy expanded 7.8%, its fastest pace since 1995, as exports rebounded. In late 2011 growth was interrupted by historic flooding in the industrial areas in Bangkok and its five surrounding provinces, crippling the manufacturing sector. Industry recovered from the second quarter of 2012 onward with GDP growth at 5.5% in 2012. The government has approved flood mitigation projects worth $11.7 billion, which were started in 2012, to prevent similar economic damage, and an additional $75 billion for infrastructure over the next seven years with a plan to start in 2013

Source : CIA

Company name and address

PATUM VEGETABLE OIL CO., LTD.

SUMMARY

BUSINESS ADDRESS : 1/8 SOI CHARANSANITWONG 55,

CHARANSANITWONG ROAD, BANGBAMRU,

BANGPLAD, BANGKOK 10700, THAILAND

TELEPHONE : [66] 2424-1165, 2424-2168, 2434-8384-7

FAX : [66] 2433-6423

E-MAIL ADDRESS : patumoil@csloxinfo.com

REGISTRATION ADDRESS : SAME AS BUSINESS ADDRESS

ESTABLISHED : 1975

REGISTRATION NO. : 0105518003713

TAX ID NO. : 3101141207

CAPITAL REGISTERED : BHT. 60,000,000

CAPITAL PAID-UP : BHT. 60,000,000

SHAREHOLDER’S PROPORTION : THAI : 100%

FISCAL YEAR CLOSING DATE : MARCH 31

LEGAL STATUS : PRIVATE LIMITED COMPANY

EXECUTIVE : MR. PRAKIT TRIYANOND, THAI

MANAGING DIRECTOR

NO. OF STAFF : 586

LINES OF BUSINESS : PALM AND COCONUT OIL PRODUCTS

MANUFACTURER, DISTRIBUTOR AND EXPORTER

CORPORATE PROFILE

OPERATING TREND : STABLE

PRESENT SITUATION : OPERATING NORMALLY

REPUTATION : GOOD WITH NORMAL BUSINESS ENGAGEMENT

MANAGEMENT STANDARD : MANAGEMENT WITH GOOD PERFORMANCE

HISTORY

The subject was established on April 21, 1975 as a private limited company under the name style PATUM VEGETABLE OIL CO., LTD. by Thai groups, the Triyanond family. Its business objective is to manufacture palm and coconut oil products for both local and overseas markets. It currently employs 586 staff.

It achieves international standard the Round Table for Sustainable Palm Oil [RSPO] production system by SGS [Thailand] Ltd.

The subject’s registered address was initially located at 3^rd Floor, 421 Somboon Building, Jaransanitwong Rd., Bangbamru, Bangplad, Bangkok 10700.

On July 13, 2011, the subject’s registered address was relocated to 1/8 Soi Charansanitwong 55, Charansanitwong Road, Bangbamru, Bangplad, Bangkok 10700, and this is the subject’s current operation address.

THE BOARD OF DIRECTOR

Name		Nationality	Age
Mr. Mongkol Triyanond	[x]	Thai	84
Mr. Prakit Triyanond	[x]	Thai	62
Mr. Kriengsak Triyanond		Thai	69
Mr. Tonpong Triyanond	[x]	Thai	44
Mr. Torpong Triyanond	[x]	Thai	43
Mr. Sanin Triyanond	[x]	Thai	36

AUTHORIZED PERSON

Any two of the mentioned directors [x] can jointly sign on behalf of the subject with company’s affixed.

MANAGEMENT

Mr. Prakit Triyanond is the Managing Director.

He is Thai nationality with the age of 62 years old.

Mr. Torpong Triyanond is the General Manager.

He is Thai nationality with the age of 43 years old.

Mr. Tonpong Triyanond is the Factory Manager.

He is Thai nationality with the age of 44 years old.

BUSINESS OPERATIONS

The subject is engaged in manufacturing and distributing of edible oil mainly palm and coconut oil under its own brands: “GAYSORN” and “FLOWER”, as well as bio-diesel, refined glycerine and margarine.

Various contains of palm and coconut edible oils are as follows:

- Bottle : 1 liter, 2 liters, 5 liters, 250 ml. and 500 ml.

- Tin : 13.75 liters and 18 liters

- Plastic bag : 1 liters

PRODUCTION CAPACITY

Edible Oil : 840,000 tons per annum

Bio-diesel : 450,000 tons per annum

PURCHASE

100% of raw material and chemical are purchased from local suppliers.

SALES

90% of the products is sold locally to wholesalers, manufacturers and end-users, the remaining 10% is exported to Singapore, Republic of China, India, Korea, Sudan, Myanmar and Japan.

SUBSIDIARY AND AFFILIATED COMPANY

The subject is not found to have any subsidiary or affiliated company here in Thailand.

LITIGATION

Bankruptcy and Receivership

There are no litigation on bankruptcy and receivership cases filed against the subject found at Legal Execution Department for the past five years.

Others

There are no legal suits filed against the subject for the past two years.

CREDIT

Sales are by cash or on the credits term of 30-60 days.

Local bills are paid by cash or on the credits term of 30-60 days.

Exports are against T/T.

BANKING

Bangkok Bank Public Co., Ltd.

Kasikornbank Public Co., Ltd.

EMPLOYMENT

The subject currently employs 586 staff.

LOCATION DETAILS

The premise is owned for administrative office at the heading address. Premise is located in commercial/residential area.

Factory is located at 29/3 Moo 6, Pathumthani-Ladlumkaew Rd., Kubangluang, Ladlumkaew, Pathumthani 12140. Tel. [66] 2581-2348-50 Fax. [66] 2581-6407.

COMMENT

The subject is a manufacturer of palm and coconut oil. Its business has solid growth with strong consumption of the products. Current price of palm and coconut oil has outstanding increased as Thailand is keen on clean energy and by-product from palm and coconut oil which are environmental friendly raw materials and processes.

The company is able to maintain its healthy business despite consumer purchasing power is shrinking.

FINANCIAL INFORMATION

The capital was registered at Bht. 20,000,000 divided into 200,000 shares of Bht. 100 each with fully paid.

The capital was increased later as follows:

Bht. 50,000,000 on September 7, 2009

Bht. 60,000,000 on April 9, 2010

The latest registered capital was increased to Bht. 60 million, divided into 600,000 shares of Bht. 100 each with fully paid.

THE SHAREHOLDERS LISTED WERE : [as at July 28, 2013]

NAME	HOLDING	%
Mr. Sanin Triyanond Nationality: Thai Address : 4/1 Sukhumvit 39 Rd., Klongtonnua, Wattana, Bangkok	80,000	13.33
Mr. Torpong Triyanond Nationality: Thai Address : 4 Sukhumvit 39 Rd., Klongtonnua, Wattana, Bangkok	70,000	11.67
Mr. Tonpong Triyanond Nationality: Thai Address : 4 Sukhumvit 39 Rd., Klongtonnua, Wattana, Bangkok	70,000	11.67
Mr. Mongkol Triyanond Nationality: Thai Address : 211/53 Pattanakarn Rd., Prawes, Bangkok	60,000	10.00
Mr. Prakit Triyanond Nationality: Thai Address : 6 Sukhumvit 39 Rd., Klongtonnua, Wattana, Bangkok	60,000	10.00
Ms. Jatekanya Triyanond Nationality: Thai Address : 6 Sukhumvit 39 Rd., Klongtonnua, Wattana, Bangkok	50,000	8.33
Mr. Kijjasak Triyanond Nationality: Thai Address : 6 Sukhumvit 39 Rd., Klongtonnua, Wattana, Bangkok	50,000	8.33
Mr. Kriengsak Triyanond Nationality: Thai Address : 4/1 Sukhumvit 39 Rd., Klongtonnua, Wattana, Bangkok	45,000	7.50
Mrs. Chantana Triyanond Nationality: Thai Address : 6 Sukhumvit 39 Rd., Klongtonnua, Wattana, Bangkok	40,000	6.67
Mrs. Krisana Triyanond Nationality: Thai Address : 4/1 Sukhumvit 39 Rd., Klongtonnua, Wattana, Bangkok	35,000	5.84
Mrs. Chantanat Eiamnirat Nationality: Thai Address : 4/1 Sukhumvit 39 Rd., Klongtonnua, Wattana, Bangkok	20,000	3.33

Ms. Karuna Triyanond Nationality: Thai Address : 4/1 Sukhumvit 39 Rd., Klongtonnua, Wattana, Bangkok

20,000

3.33

Total Shareholders : 12

Share Structure [as at July 28, 2013]

Nationality	Shareholders	No. of Share	% Shares
Thai	12	600,000	100.00
Foreign	-	-	-
Total	12	600,000	100.00

NAME OF AUDITOR & CERTIFIED PUBLIC ACCOUNTANT NO. :

Mr.Taweesak Sucharitchan No. 1448

BALANCE SHEET [BAHT]

The latest financial figures published for March 31, 2013, 2012 & 2011 were:

ASSETS

Current Assets	2013	2012	2011
Cash and Cash Equivalent
Cash in hand	153,919.00	534,204.00	512,050.00
Cash at bank	160,982,873.28	200,562,905.89	-
Investment	-	-	167,719,167.72
Trade Accounts Receivable
Trade Receivable	474,332,615.53	805,246,535.19	573,530,013.98
Notes Receivable	2,089,501.84	9,191,225.30	29,062,327.98
Total Trade Accounts Receivable	476,422,117.37	814,437,760.49	602,592,341.96
Inventories
Material	249,441,020.27	295,720,504.87	219,621,901.00
Hand Tool - Spare Part	51,829,756.06	37,749,725.80	27,494,339.23
Finished Goods	479,192,096.55	199,484,379.64	117,988,465.00
Total Inventories	780,462,872.88	532,954,610.31	365,104,705.23
Other Current Assets
Tax Card	187.50	219,408.72	21,928,872.20
Deposit Equipment	61,048,517.66	-	-
Value Added Tax	89,369.28	89,369.28	89,369.28
Total Other Current Assets	61,138,074.44	308,778.00	22,018,241.48
Total Current Assets	1,479,159,856.97	1,548,798,258.69	1,157,946,506.39
Non-current Assets
Fixed Assets
Land	285,929,287.00	199,298,857.00	197,048,857.00
Factory and Building	224,127,330.22	250,143,448.28	72,772,011.62
Machinery	331,234,943.30	315,222,060.72	80,708,985.80
Office Automation	5,175,518.62	5,524,248.05	3,695,911.30
Vehicle	18,547,001.58	18,053,621.48	12,316,680.85
Total Fixed Assets	865,014,080.72	788,242,235.53	366,542,446.57
Assets under Construction	554,592,662.50	513,299,443.61	775,560,619.20
Total Non-current Assets	1,419,606,743.22	1,301,541,679.14	1,142,103,065.77
Total Assets	2,898,766,600.19	2,850,339,937.83	2,300,049,572.16

LIABILITIES & SHAREHOLDERS’ EQUITY [BAHT]

Current Liabilities	2013	2012	2011
Bank Overdraft & Short-term Loan from Financial Institute	193,727,548.64	16,268,756.78	6,304,826.88
Trade Accounts Payable	511,633,856.68	725,596,491.26	264,930,697.54
Other Current Liabilities
Accrued Expenses	300,000.00	250,000.00	250,000.00
Accrued Withholding Income Tax	1,215,509.27	1,137,359.05	1,178,319.19
Accrued Income Tax	14,844,425.34	20,202,296.67	15,916,977.45
Value Added Tax	38,755,972.83	68,585,970.80	41,374,475.81
Social Securities	305,737.00	195,857.00	277,922.00
Total Other Current Liabilities	55,421,644.44	90,371,483.52	58,747,694.45
Total Current Liabilities	760,783,049.76	832,236,731.56	330,233,218.87
Estimated Liabilities for Employee Benefits	24,077,962.00	17,874,360.00	-
Total Liabilities	784,861,011.76	850,111,091.56	330,233,218.87
Shareholders’ Equity
Share capital : Baht 100 par value authorized, issued and fully paid share capital 600,000 shares	60,000,000.00	60,000,000.00	60,000,000.00
Capital Paid	60,000,000.00	60,000,000.00	60,000,000.00
Retained Earning
Statutory Reserve	6,000,000.00	6,000,000.00	6,000,000.00
Unappropriated	2,047,905,588.43	1,934,228,846.27	1,903,816,353.29
Total Shareholders' Equity	2,113,905,588.43	2,000,228,846.27	1,969,816,353.29
Total Liabilities & Shareholders' Equity	2,898,766,600.19	2,850,339,937.83	2,300,049,572.16

PROFIT & LOSS ACCOUNT

Revenue	2013	2012	2011
Sales	13,159,960,042.07	12,022,928,765.11	9,713,246,181.20
Less: Discount	-	[17,522,993.90]	[20,186,927.40]
	13,159,960,042.07	12,005,405,771.21	9,693,059,253.80
Other Income	8,777,187.24	5,117,114.00	26,024,628.25
Total Revenues	13,168,737,229.31	12,010,522,885.21	9,719,083,882.05
Expenses
Cost of Goods Sold	12,520,820,158.23	11,501,056,848.60	9,046,159,848.55
Selling Expenses	152,739,104.22	95,094,832.64	71,448,930.16
Administrative Expenses	61,192,205.88	59,119,139.89	50,955,563.31
Other Expenses	6,203,602.00	-	-
Total Expenses	12,740,955,070.33	11,655,270,821.13	9,168,564,342.02
Profit / [Loss] before Financial Cost & Income Tax	427,782,158.98	355,252,064.08	550,519,540.03
Financial Cost – Interest	[11,780,991.48]	[2,362,914.43]	[1,027,169.59]
Profit / [Loss] before Income Tax	416,001,167.50	352,889,149.65	549,492,370.44
Advance Income Tax	[17,480,000.00]	[14,400,000.00]	[20,145,000.00]
Income Tax	[14,844,425.34]	[20,202,296.67]	[15,916,977.45]
Net Profit / [Loss]	383,676,742.16	318,286,852.98	513,430,392.99

FINANCIAL ANALYSIS

ITEM	UNIT	2013	2012	2011
LIQUIDITY RATIO
CURRENT RATIO	TIMES	1.94	1.86	3.51
QUICK RATIO	TIMES	0.84	1.22	2.33
ACTIVITY RATIO
FIXED ASSETS TURNOVER	TIMES	15.21	15.23	26.44
TOTAL ASSETS TURNOVER	TIMES	4.54	4.21	4.21
INVENTORY CONVERSION PERIOD	DAYS	22.75	16.91	14.73
INVENTORY TURNOVER	TIMES	16.04	21.58	24.78
RECEIVABLES CONVERSION PERIOD	DAYS	13.21	24.76	22.69
RECEIVABLES TURNOVER	TIMES	27.62	14.74	16.09
PAYABLES CONVERSION PERIOD	DAYS	14.91	23.03	10.69
CASH CONVERSION CYCLE	DAYS	21.05	18.65	26.73
PROFITABILITY RATIO
COST OF GOODS SOLD	%	95.14	95.80	93.33
SELLING & ADMINISTRATION	%	1.63	1.28	1.26
INTEREST	%	0.09	0.02	0.01
GROSS PROFIT MARGIN	%	4.92	4.24	6.94
NET PROFIT MARGIN BEFORE EX. ITEM	%	3.25	2.96	5.68
NET PROFIT MARGIN	%	2.92	2.65	5.30
RETURN ON EQUITY	%	18.15	15.91	26.06
RETURN ON ASSET	%	13.24	11.17	22.32
EARNING PER SHARE	BAHT	639.46	530.48	855.72
LEVERAGE RATIO
DEBT RATIO	TIMES	0.27	0.30	0.14
DEBT TO EQUITY RATIO	TIMES	0.37	0.43	0.17
TIME INTEREST EARNED	TIMES	36.31	150.34	535.96
ANNUAL GROWTH
SALES GROWTH	%	9.62	23.86
OPERATING PROFIT	%	20.42	(35.47)
NET PROFIT	%	20.54	(38.01)
FIXED ASSETS	%	9.74	115.05
TOTAL ASSETS	%	1.70	23.93

ANNUAL GROWTH : EXCELLENT

An annual sales growth is 9.62%. Turnover has increased from THB 12,005,405,771.21 in 2012 to THB 13,159,960,042.07 in 2013. While net profit has increased from THB 318,286,852.98 in 2012 to THB 383,676,742.16 in 2013. And total assets has increased from THB 2,850,339,937.83 in 2012 to THB 2,898,766,600.19 in 2013.

PROFITABILITY : EXCELLENT

PROFITABILITY RATIO

Gross Profit Margin	4.92	Impressive	Industrial Average	1.04
Net Profit Margin	2.92	Impressive	Industrial Average	1.09
Return on Assets	13.24	Impressive	Industrial Average	1.55
Return on Equity	18.15	Impressive	Industrial Average	2.03

Gross Profit Margin used to assess a firm's financial health by revealing the proportion of money left over from revenues after accounting for the cost of goods sold. Gross profit margin serves as the source for paying additional expenses and future savings. The company’s figure is 4.92%. When compared with the industry average, the ratio of the company was higher, indicated that company was more profitable than the same industry.

Net Profit Margin is the indicator of the company's efficiency in that net profit takes into consideration all expenses of the company. A low profit margin indicates a low margin of safety, higher risk that a decline in sales will erase profits and result in a net loss. The company’s figure is 2.92%, higher figure when compared with those of its average competitors in the same industry, indicated that business was an efficient operators in a dominant position within its industry.

Return on Assets measures how efficiently profits are being generated from the assets employed in the business when compared with the ratios of firms in a similar business. A low ratio in comparison with industry averages indicates an inefficient use of business assets. Return on Assets ratio is 13.24%, higher figure when compared with those of its average competitors in the same industry, indicated that business was an efficient profit in a dominant position within its industry.

Return on Equity indicates how profitable a company is by comparing its net income to its average shareholders' equity, ROE measures how much the shareholders earned for their investment in the company. Return on Equity ratio is 18.15%, higher figure when compared with those of its average competitors in the same industry, indicated that business was an efficient profit in a dominant position within its industry.

Trend of the average competitors in the same industry for last 5 years

Return on Assets Uptrend

Return on Equity Downtrend

LIQUIDITY : SATISFACTORY

LIQUIDITY RATIO

Current Ratio	1.94	Satisfactory	Industrial Average	2.58
Quick Ratio	0.84
Cash Conversion Cycle	21.05

The Current Ratio is to ascertain whether a company's short-term assets are readily available to pay off its short-term liabilities. The company's figure is 1.94 times in 2013, increased from 1.86 times, then it is generally considered to have good short-term financial strength. When compared with the industry average, the ratio of the company was lower.

The Quick Ratio is a liquidity indicator that further refines the current ratio by measuring the amount of the most liquid current assets there are to cover current liabilities. The company's figure is 0.84 times in 2013, decreased from 1.22 times, by excluding inventory, the company may have problems meeting current liabilities.

The Cash Conversion Cycle measures the number of days a company's cash is tied up in the production and sales process of its operations and the benefit from payment terms from its creditors. It meant the company could survive when no cash inflow was received from sale for 22 days.

Trend of the average competitors in the same industry for last 5 years

Current Ratio Uptrend

LEVERAGE : IMPRESSIVE

LEVERAGE RATIO

Debt Ratio	0.27	Acceptable	Industrial Average	0.18
Debt to Equity Ratio	0.37	Impressive	Industrial Average	0.22
Times Interest Earned	36.31	Impressive	Industrial Average	-

Debt to Equity Ratio a measurement of how much suppliers, lenders, creditors and obligors have committed to the company versus what the shareholders have committed. A lower the percentage means that the company is using less leverage and has a stronger equity position.

Times Interest Earned measuring a company's ability to meet its debt obligations. Ratio is 36.32 higher than 1, so the company can pay interest expenses on outstanding debt.

Debt Ratio shows the proportion of a company's assets which are financed through debt. The company's figure is 0.27 less than 0.5, most of the company's assets are financed through equity.

Trend of the average competitors in the same industry for last 5 years

Debt Ratio Downtrend

Times Interest Earned Stable

ACTIVITY : EXCELLENT

ACTIVITY RATIO

Fixed Assets Turnover	15.21	Impressive	Industrial Average	-
Total Assets Turnover	4.54	Impressive	Industrial Average	1.43
Inventory Conversion Period	22.75
Inventory Turnover	16.04	Impressive	Industrial Average	6.86
Receivables Conversion Period	13.21
Receivables Turnover	27.62	Impressive	Industrial Average	10.90
Payables Conversion Period	14.91

The company's Account Receivable Ratio is calculated as 27.62 and 14.74 in 2013 and 2012 respectively. This ratio measures the efficiency of the company in managing its trade debtors to generate revenue. A lower ratio may indicate over extension and collection problems. Conversely, a higher ratio may indicate an overtly stringent policy. In this case, the company's A/R ratio in 2013 increased from 2012. This would suggest the company had good performance in the management of its debt collections.

Inventory Turnover in Days Ratio indicates the liquidity of inventory. It estimates the number of days that it will take to sell the current inventory. Inventory is particularly sensitive to change in business activities. The inventory turnover in days has increased from 17 days at the end of 2012 to 23 days at the end of 2013. This represents a negative trend. And Inventory turnover has decreased from 21.58 times in year 2012 to 16.04 times in year 2013.

The company's Total Asset Turnover is calculated as 4.54 times and 4.21 times in 2013 and 2012 respectively. This ratio is determined by dividing total assets into total sales turnover. The ratio measures the activity of the assets and the ability of the firm to generate sales through the use of the assets.

Trend of the average competitors in the same industry for last 5 years

Fixed Assets Turnover Stable

Total Assets Turnover Uptrend

Inventory Turnover Uptrend

Receivables Turnover Uptrend

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.62.13
UK Pound	1	Rs.102.25
Euro	1	Rs.84.72

INFORMATION DETAILS

Report Prepared by :

NIS

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.