MIRA INFORM REPORT

Report Date :

15.02.2014

IDENTIFICATION DETAILS

Name :	SHANGHAI ASIAN DEVELOPMENT PROSPEROUS IMPORT AND EXPORT CO., LTD.
Registered Office :	8/F, Indus. & Comm. Building, No. 45 Yan’an East Road, Huangpu District, Shanghai, 200002 Pr
Country :	China
Financials (as on) :	31.12.2011
Date of Incorporation :	20.12.2004
Com. Reg. No.:	310109000393862
Legal Form :	Limited Liabilities Company
Line of Business :	Subject is engaged in importing and exporting trade.
No. of Employees :	68

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 – June 30^th, 2012

Country Name	Previous Rating (31.03.2012)	Current Rating (30.06.2012)
China	A2	A2

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

china - ECONOMIC OVERVIEW

Since the late 1970s China has moved from a closed, centrally planned system to a more market-oriented one that plays a major global role - in 2010 China became the world's largest exporter. Reforms began with the phasing out of collectivized agriculture, and expanded to include the gradual liberalization of prices, fiscal decentralization, increased autonomy for state enterprises, creation of a diversified banking system, development of stock markets, rapid growth of the private sector, and opening to foreign trade and investment. China has implemented reforms in a gradualist fashion. In recent years, China has renewed its support for state-owned enterprises in sectors it considers important to "economic security," explicitly looking to foster globally competitive national champions. After keeping its currency tightly linked to the US dollar for years, in July 2005 China revalued its currency by 2.1% against the US dollar and moved to an exchange rate system that references a basket of currencies. From mid 2005 to late 2008 cumulative appreciation of the renminbi against the US dollar was more than 20%, but the exchange rate remained virtually pegged to the dollar from the onset of the global financial crisis until June 2010, when Beijing allowed resumption of a gradual appreciation. The restructuring of the economy and resulting efficiency gains have contributed to a more than tenfold increase in GDP since 1978. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, China in 2010 stood as the second-largest economy in the world after the US, having surpassed Japan in 2001. The dollar values of China's agricultural and industrial output each exceed those of the US; China is second to the US in the value of services it produces. Still, per capita income is below the world average. The Chinese government faces numerous economic challenges, including: (a) reducing its high domestic savings rate and correspondingly low domestic demand; (b) sustaining adequate job growth for tens of millions of migrants and new entrants to the work force; (c) reducing corruption and other economic crimes; and (d) containing environmental damage and social strife related to the economy's rapid transformation. Economic development has progressed further in coastal provinces than in the interior, and by 2011 more than 250 million migrant workers and their dependents had relocated to urban areas to find work. One consequence of population control policy is that China is now one of the most rapidly aging countries in the world. Deterioration in the environment - notably air pollution, soil erosion, and the steady fall of the water table, especially in the North - is another long-term problem. China continues to lose arable land because of erosion and economic development. The Chinese government is seeking to add energy production capacity from sources other than coal and oil, focusing on nuclear and alternative energy development. In 2010-11, China faced high inflation resulting largely from its credit-fueled stimulus program. Some tightening measures appear to have controlled inflation, but GDP growth consequently slowed to near 9% for 2011. An economic slowdown in Europe is expected to further drag Chinese growth in 2012. Debt overhang from the stimulus program, particularly among local governments, and a property price bubble challenge policy makers currently. The government's 12th Five-Year Plan, adopted in March 2011, emphasizes continued economic reforms and the need to increase domestic consumption in order to make the economy less dependent on exports in the future. However, China has made only marginal progress toward these rebalancing goals.

Source : CIA

Company name and address

SHANGHAI ASIAN DEVELOPMENT PROSPEROUS IMPORT AND EXPORT CO., LTD.

8/F, INDUS. & COMM. BUILDING, NO. 45 YAN’AN EAST ROAD, HUANGPU DISTRICT, SHANGHAI, 200002 PR CHINA

TEL: 86 (0) 21-63373787/63374629

FAX: 86 (0) 21-63374402

EXECUTIVE SUMMARY

INCORPORATION DATE : DECEMBER 20, 2004

REGISTRATION NO. : 310109000393862

REGISTERED LEGAL FORM : LIMITED LIABILITIES COMPANY

CHIEF EXECUTIVE : MS. WANG HONG (CHAIRMAN)

STAFF STRENGTH : 68

REGISTERED CAPITAL : CNY 10,000,000

BUSINESS LINE : TRADING

TURNOVER : CNY 813,840,000 (AS OF DEC. 31, 2011)

EQUITIES : CNY 13,910,000 (AS OF DEC. 31, 2011)

PAYMENT : AVERAGE

MARKET CONDITION : COMPETITIVE

FINANCIAL CONDITION : fairly STABLE

OPERATIONAL TREND : STEADY

GENERAL REPUTATION : AVERAGE

EXCHANGE RATE : CNY 6.22 = USD 1

Adopted abbreviations:

ANS - amount not stated

NS - not stated

SC - subject company (the company inquired by you)

NA - not available

CNY – China Yuan Ren Min Bi

Note: SC is also known as Shanghai ADP Trade Co., Ltd.

The “16/F” belongs to “Shanghai Asian Development International Transportation Pudong Co., Ltd.”

SC was registered as a limited liabilities company at local Administration for Industry & Commerce (AIC - The official body of issuing and renewing business license) on December 20, 2004.

Company Status: Limited liabilities co.

This form of business in PR China is defined as a legal person. No more than fifty shareholders contribute its registered capital jointly. Shareholders bear limited liability to the extent of shareholding, and the co. is liable for its debts only to extent of its total assets. The characteristics of this form of co. are as follows:

Upon the establishment of the co., an investment certificate is issued to the each of shareholders.

The board of directors is comprised of three to thirteen members.

The minimum registered capital for a co. is CNY 30,000.

Shareholders may take their capital contributions in cash or by means of tangible assets or intangible assets such as industrial property and non-patented technology.

Cash contributed by all shareholders must account for at least 30% of the registered capital.

Existing shareholders have pre-exemption right to purchase shares of the co. offered for sale by the other shareholders and to subscribe for the newly increased registered capital of the co.

SC’s registered business scope includes importing and exporting commodities and technology, commercial consultant (excluding broker); ocean and railway international freight forwarding; Civil air transport sales agency, selling of edible agricultural products and cosmetics (excluding pig products); wholesaling of chemical products (except for dangerous chemicals, monitoring chemicals, fireworks and civilian explosives, precursor chemicals), wholesale non-physical way: pre-packaged foods (including cooked lo, refrigerated); dairy products (including infant formula milk powder); wholesale of alcoholic products. (with permits if needed).

SC is mainly engaged in importing and exporting trade.

Ms. Wang Hong has been legal representative and chairman of SC since 2004.

SC is known to have approx. 68 employees at present.

SC is currently operating at the above stated address, and this address houses its operating office and head office in the commercial zone of Shanghai. Our checks reveal that SC rents the total premise about 200 square meters.

http://www.adpsh.com/ The design is professional and the content is well organized. At present it is both in Chinese and English versions.

E-mail: helen1374@adp.com.cn

Changes of its registered information:

Date of change	Item	Before the change	After the change
2006-01	Registered capital	CNY 5,000,000	CNY 10,000,000
	Shareholders and % of Shareholdings	Shanghai Asian Development International Transportation Pudong Co., Ltd. 60% Wang Hong 王红 40%	Shanghai Asian Development International Transportation Pudong Co., Ltd. 30% Wang Hong 20% Lao Yusheng 30% Fang Weiming 20%
2006-10	Registered capital	CNY 10,000,000	CNY 7,000,000
	Shareholders and % of Shareholdings	Shanghai Asian Development International Transportation Pudong Co., Ltd. 30% Wang Hong 20% Lao Yusheng 30% Fang Weiming 20%	Wang Hong 28.6% Lao Yusheng 42.8% Fang Weiming 28.6%
2007-01	Registered capital	CNY 7,000,000	CNY 10,000,000
2007-01	Shareholders and % of Shareholdings	Wang Hong 28.6% Lao Yusheng 42.8% Fang Weiming 28.6%	Wang Hong 20% Lao Yusheng 60% Fang Weiming 20%
2008-03	Shareholders and % of Shareholdings	Wang Hong 20% Lao Yusheng 60% Fang Weiming 20%	Lao Yusheng 40% Wang Hong 15% Fang Weiming 15% Yao Jun 10% Zheng Xingping 4% Du Jimei 4% Zhou Yu 1% Ge Lan 1 % Xiang Junhong 1% Dong Yanzheng 1% Shi Jizheng 1% Other 11 individuals 7%
Unknown	Shareholders and % of Shareholdings	Lao Yusheng 40% Wang Hong 15% Fang Weiming 15% Yao Jun 10% Zheng Xingping 4% Du Jimei 4% Zhou Yu 1% Ge Lan 1% Xiang Junhong 1% Dong Yanzheng 1% Shi Jizheng 1% Other 11 individuals 7%	Present ones

MAIN SHAREHOLDERS:

Name % of shareholdings

Lao Yusheng 40

Wang Hong 19.5

Yao Jun 12

Zheng Xingping 12

Dong Yanzheng 2

Shi Jizheng 1.5

Zhao Li’na 1.5

Zhou Yu 1.5

Deng Yiwu 1

Wan Pengcheng 1

Other 13 individuals 8

Legal representative and chairman:

Ms. Wang Hong, ID# 310106195805232482, born in 1958, with university education. She is currently responsible for the overall management of SC.

Working Experience(s):

From 2004 to present Working in SC as chairman and legal representative.

Also working in Shanghai Yadong International Logistic Co., Ltd., Shanghai Asian Development Container Transport Pu Dong Co., Ltd., Shanghai ADP International Logistic Co., Ltd. as legal representative.

General Manager:

Mr. Zheng Xingping, born in 1983, he is currently responsible for the daily management of SC.

Working Experience(s):

At present Working in SC as general manager.

SC is mainly engaged in importing and exporting trade.

SC’s products mainly include: mechanical equipment, Industrial products, Wood, Electrical product, Daily necessities, Food and Wine products, Energy saving and Environment Protection Product, Family Craftworks, Resource Products, etc.

SC sources its materials 70% from domestic market, and 30% from overseas market, mainly Southeast Asia. SC sells 30% of its products in domestic market, and 70% to overseas market.

The buying terms of SC include Check, L/C, T/T and Credit of 30-60 days. The payment terms of SC include Check, L/C, T/T, and Credit of 30-60 days.

Note: SC’s employee refused to release its major customers or suppliers.

Shanghai Asian Development International Transportation Pudong Co., Ltd.

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

Registration No.: 310109000119890

Incorporation Date: 1994-10-14

Chairman: Lao Yusheng

Registered Capital: CNY 22,000,000

Tel.: 021-63373666

Web: http://www.adp.com.cn/

E-mail: jssh@adp.com.cn

Add: 16/F, Industry & Commercial Building, No. 45 Yan’an East Road, Shanghai

Shanghai Yadong International Logistic Co., Ltd.

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

Registration No.: 310113000618647

Incorporation Date: 2005-05-25

Chairman: Wang Hong

Registered Capital: CNY 6,000,000

Shanghai ADP Customs Broker Co., Ltd.

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

Registration No.: 310109000444341

Incorporation Date: 2006-11-08

Chairman: Zhao Min

Registered Capital: CNY 2,000,000

Web: http://www.adpcustoms.com/

Tel.: 021-65378833

Fax: 021-65862522

Shanghai Asian Development Container Transport Pu Dong Co., Ltd.

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

Registration No.: 310113000388841

Incorporation Date: 2001-12-29

Chairman: Wang Hong

Registered Capital: CNY 1,000,000

Etc.

SC is also known to have the following subsidiary:

Shanghai ADP International Logistic Co., Ltd.

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

Registration No.: 3101152029446

Incorporation Date: 2006-12-11

Chairman: Wang Hong

Registered Capital: CNY 5,000,000

Etc.

Overall payment appraisal:

( ) Excellent ( ) Good (X) Average ( ) Fair ( ) Poor ( ) Not yet determined

The appraisal serves as a reference to reveal SC's payments habits and ability to pay. It is based on the 3 weighed factors: Trade payment experience (through current enquiry with SC's suppliers), our delinquent payment and our debt collection record concerning SC.

Trade payment experience: SC did not provide any name of trade/service suppliers and we have no other sources to conduct the enquiry at present.

Delinquent payment record: None in our database.

Debt collection record: No overdue amount owed by SC was placed to us for collection within the last 6 years.

China Merchants Bank Shanghai Branch Dongdaming Sub-branch

AC#: 212581712210001

Relationship: Normal

Balance Sheet

Unit: CNY’000

	As of Dec. 31, 2010	As of Dec. 31, 2011
Cash & bank	33,630	41,900
Notes receivable	0	0
Inventory	56,890	40,430
Accounts receivable	13,450	9,700
Advances to suppliers	0	630
Other accounts receivable	7,910	2,880
Other current assets	0	3,580
	------------------	------------------
Current assets	111,880	99,120
Fixed assets net value	230	170
Project under construction	0	0
Long term investment	5,000	5,400
Intangible and other assets	0	20
	------------------	------------------
Total assets	117,110	104,710
	=============	=============
Short loans	0	0
Notes payable	0	0
Accounts payable	0	90
Advances from clients	103,170	90,230
Accrued payroll	0	0
Taxes payable	480	250
Other accounts payable	110	230
Other current liabilities	0	0
	------------------	------------------
Current liabilities	103,760	90,800
Long-term liabilities	0	0
	------------------	------------------
Total liabilities	103,760	90,800
Equities	13,350	13,910
	------------------	------------------
Total liabilities & equities	117,110	104,710
	=============	=============

Income Statement

Unit: CNY’000

	As of Dec. 31, 2010	As of Dec. 31, 2011
Turnover	840,030	813,840
Cost of goods sold	806,180	793,540
Taxes and additional of main operation	390	300
Sales expense	27,120	12,010
Management expense	5,480	6,470
Finance expense	-2,270	-1,680
Non-operating income	40	100
Non-operating expense	0	20
Profit before tax	3,170	3,280
Less: profit tax	800	820
Profits	2,370	2,460

Important Ratios

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

	As of Dec. 31, 2010	As of Dec. 31, 2011
*Current ratio	1.08	1.09
*Quick ratio	0.53	0.65
*Liabilities to assets	0.89	0.87
*Net profit margin (%)	0.28	0.30
*Return on total assets (%)	2.02	2.35
*Inventory /Turnover ×365	25 days	19 days
*Accounts receivable/Turnover ×365	6 days	5 days
*Turnover/Total assets	7.17	7.77
* Cost of goods sold/Turnover	0.96	0.98

PROFITABILITY: AVERAGE

The turnover of SC appears fairly good in its line.

SC’s net profit margin appears average.

SC’s return on total assets appears average.

SC’s cost of goods sold is high, comparing with its turnover.

LIQUIDITY: FAIR

The current ratio of SC is maintained in a normal level.

SC’s quick ratio is maintained in a fair level.

The inventory of SC appears fairly large in both years.

The accounts receivable of SC appears average in both years.

SC has no short-term loan in both years.

SC’s turnover is in a good level, comparing with the size of its total assets.

LEVERAGE: FAIR

The debt ratio of SC is high.

The risk for SC to go bankrupt is average.

Overall financial condition of the SC: Fairly stable

SC is considered medium-sized in its line with fairly stable financial conditions. The large amount of inventory could be a threat to SC’s financial condition.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.62.28
UK Pound	1	Rs.103.67
Euro	1	Rs.85.18

INFORMATION DETAILS

Report Prepared by :

NIS

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