MIRA INFORM REPORT

Report Date :

18.02.2014

IDENTIFICATION DETAILS

Name :	MITSUI & CO. (ASIA PACIFIC) PTE. LTD.
Formerly Known as:	MITSUI & CO (ASIA PASIFIC) PTE. LTD.
Registered Office :	80, Robinson Road, 27-00, 068898
Country :	Singapore
Financials (as on) :	31.03.2012
Date of Incorporation :	06.02.2007
Com. Reg. No.:	200702159-M
Legal Form :	Private Limited Company
Line of Business :	· Acting as the regional headquarter for the holding company and its related group of companies in the Asia Pacific Region engaged in business consultation and investment holding company.
No. of Employees :	300 [2013]

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 30th, 2013

Country Name	Previous Rating (30.06.2013)	Current Rating (30.09.2013)
Singapore	A1	A1

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

Singapore ECONOMIC OVERVIEW

Singapore has a highly developed and successful free-market economy. It enjoys a remarkably open and corruption-free environment, stable prices, and a per capita GDP higher than that of most developed countries. The economy depends heavily on exports, particularly in consumer electronics, information technology products, pharmaceuticals, and on a growing financial services sector. Real GDP growth averaged 8.6% between 2004 and 2007. The economy contracted 0.8% in 2009 as a result of the global financial crisis, but rebounded 14.8% in 2010, on the strength of renewed exports, before slowing to 5.2% in 2011 and 1.3% in 2012, largely a result of soft demand for exports during the second European recession. Over the longer term, the government hopes to establish a new growth path that focuses on raising productivity, which has sunk to an average of about 1.0% in the last decade. Singapore has attracted major investments in pharmaceuticals and medical technology production and will continue efforts to establish Singapore as Southeast Asia's financial and high-tech hub.

Source : CIA

EXECUTIVE SUMMARY

REGISTRATION NO.	:	200702159-M
COMPANY NAME	:	MITSUI & CO. (ASIA PACIFIC) PTE. LTD.
FORMER NAME	:	MITSUI & CO (ASIA PASIFIC) PTE. LTD. (22/02/2007)
INCORPORATION DATE	:	06/02/2007
COMPANY STATUS	:	EXIST
LEGAL FORM	:	PRIVATE LIMITED
LISTED STATUS	:	NO
REGISTERED ADDRESS	:	80, ROBINSON ROAD, 27-00, 068898, SINGAPORE.
BUSINESS ADDRESS	:	80 ROBINSON ROAD 25-00, 068898, SINGAPORE.
TEL.NO.	:	65-63213111
FAX.NO.	:	65-64219268
CONTACT PERSON	:	SHINJI SATO ( DIRECTOR )
PRINCIPAL ACTIVITY	:	ACTING AS THE REGIONAL HEADQUARTER FOR THE HOLDING COMPANY AND ITS RELATED GROUP OF COMPANIES IN THE ASIA PACIFIC REGION
ISSUED AND PAID UP CAPITAL	:	225,101,415.00 ORDINARY SHARE, OF A VALUE OF USD 225,101,415.00
SALES	:	USD 4,519,999,000 [2012]
NET WORTH	:	USD 486,297,000 [2012]
STAFF STRENGTH	:	300 [2013]
LITIGATION	:	CLEAR
FINANCIAL CONDITION	:	FAIR
PAYMENT	:	GOOD
MANAGEMENT CAPABILITY	:	AVERAGE
COMMERCIAL RISK	:	LOW
CURRENCY EXPOSURE	:	MODERATE
GENERAL REPUTATION	:	SATISFACTORY
INDUSTRY OUTLOOK	:	MARGINAL GROWTH

HISTORY / BACKGROUND

The Subject is a private limited company and is allowed to have a minimum of one and a maximum of forty-nine shareholders. As a private limited company, the Subject must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the Subject is capable of owning assets, entering into contracts, sue or be sued by other companies. The liabilities of the shareholders are to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the Subject is insolvent. The Subject is governed by the Companies Act and the company must file its annual returns, together with its financial statements with the Registrar of Companies.

The Subject is principally engaged in the (as a / as an) acting as the regional headquarter for the holding company and its related group of companies in the asia pacific region.

The immediate and ultimate holding company of the Subject is MITSUI & CO., LTD., a company incorporated in JAPAN.

Share Capital History

Date	Issue & Paid Up Capital
23/09/2013	USD 225,101,415.00

The major shareholder(s) of the Subject are shown as follows :

Name	Address	IC/PP/Loc No	Shareholding	(%)
MITSUI & CO., LTD.	2-1, OHTEMACHI 1-CHOME CHIYODA-KU 100-0004, JAPAN.	S55FC1167	225,101,415.00	100.00
			---------------	------
			225,101,415.00	100.00
			============	=====

+ Also Director

The Subject interest in other companies (Subsidiaries/Associates) are shown as follow :

Local No	Country	Company	(%)	As At
199505844N	SINGAPORE	MI-MI INVESTMENT SINGAPORE PTE. LTD.	50.00	31/03/2012

DIRECTORS

DIRECTOR 1

Name Of Subject	:	SHINJI SATO
Address	:	1, ANDERSON ROAD, 08-03, SHANGRI-LA APARTMENTS, 259983, SINGAPORE.
IC / PP No	:	G5268595N
Nationality	:	JAPANESE
Date of Appointment	:	02/04/2012

DIRECTOR 2

Name Of Subject	:	SHINJI TSUCHIYA
Address	:	57B, DEVONSHIRE ROAD, 06-04, SUITES AT CENTRAL, THE, 239899, SINGAPORE.
IC / PP No	:	G5059025P
Nationality	:	JAPANESE
Date of Appointment	:	01/04/2012

DIRECTOR 3

Name Of Subject	:	TOMOAKI WATANABE
Address	:	18, MARINA BOULEVARD, 42-09, MARINA BAY RESIDENCES, 018980, SINGAPORE.
IC / PP No	:	G5411054K
Nationality	:	JAPANESE
Date of Appointment	:	01/04/2013

DIRECTOR 4

Name Of Subject	:	YAMAUCHI TAKASHI
Address	:	238, ORCHARD BOULEVARD, 10-07, ORCHARD RESIDENCES, THE, 237973, SINGAPORE.
IC / PP No	:	G5126500P
Nationality	:	JAPANESE
Date of Appointment	:	28/04/2011

DIRECTOR 5

Name Of Subject	:	KOHEI TAKATA
Address	:	7, ORANGE GROVE ROAD, 03-169, TREETOPS EXECUTIVE RESIDENCES, 258355, SINGAPORE.
IC / PP No	:	G5413474L
Nationality	:	JAPANESE
Date of Appointment	:	08/04/2013

DIRECTOR 6

Name Of Subject	:	YUJI MURAKAMI
Address	:	7, ORANGE GROVE ROAD, 03-155, TREETOPS EXECUTIVE RESIDENCES, 258355, SINGAPORE.
IC / PP No	:	G5404416Q
Nationality	:	JAPANESE
Date of Appointment	:	04/04/2013

MANAGEMENT

1)	Name of Subject	:	SHINJI SATO
	Position	:	DIRECTOR

AUDITOR

Auditor	:	DELOITTE & TOUCHE LLP
Auditor' Address	:	N/A

COMPANY SECRETARIES

1)	Company Secretary	:	KENJI FUTAMURA
	IC / PP No	:	G6389950Q
	Address	:	80, MOHAMED SULTAN ROAD, 04-23, 239013, SINGAPORE.

2)	Company Secretary	:	HIDEKI MORIMATSU
	IC / PP No	:	G6400263K
	Address	:	6, MOUNT SOPHIA, 07-05, 8 @ MOUNT SOPHIA, 228457, SINGAPORE.

BANKING

No Banker found in our databank. 

ENCUMBRANCE (S)

No encumbrance was found in our databank at the time of investigation. 

LEGAL CHECK AGAINST SUBJECT

* A check has been conducted in our databank against the Subject whether the subject has been involved in any litigation. 

No legal action was found in our databank. 

No winding up petition was found in our databank. 

PAYMENT RECORD

SOURCES OF RAW MATERIALS:
Local	:	N/A
Overseas	:	N/A

The Subject refused to disclose any information regarding to its trade supplier. 

The Subject refused to provide any name of trade/service supplier and we are unable to conduct any trade enquiry. However, from financial historical data we conclude that :

OVERALL PAYMENT HABIT
Prompt 0-30 Days	[	]	Good 31-60 Days	[	X	]	Average 61-90 Days	[	]
Fair 91-120 Days	[	]	Poor >120 Days	[		]

CLIENTELE

Local	:	YES
Domestic Markets	:	SINGAPORE
Overseas	:	YES
Export Market	:	ASIA PACIFIC
Credit Term	:	N/A
Payment Mode	:	CHEQUES LETTER OF CREDIT (LC)

OPERATIONS

Services

:

REGIONAL HEADQUARTER FOR THE HOLDING COMPANY AND ITS RELATED GROUP OF COMPANIES

Total Number of Employees:
YEAR	2013	2012	2011	2010
GROUP	N/A	N/A	N/A	N/A
COMPANY	300	300	300	290

Branch

:

YES

Other Information:

The Subject is principally engaged in the (as a / as an) acting as the regional headquarter for the holding company and its related group of companies in the asia pacific region. 

The Subject engaged in business consultation and investment holding company.

However, the Subject refused to disclose detail information regarding to its business operation. 

CURRENT INVESTIGATION

Latest fresh investigations carried out on the Subject indicated that :

Telephone Number Provided By Client	:	65 6321 3111
Current Telephone Number	:	65-63213111
Match	:	YES
Address Provided by Client	:	80, ROBINSON ROAD # 25-00 SINGAPORE 068898
Current Address	:	80 ROBINSON ROAD 25-00, 068898, SINGAPORE.
Match	:	YES

Other Investigations

we contacted one of the staff from the Subject and she provided some information.

FINANCIAL ANALYSIS

Profitability
Turnover	:	Increased	[	2010 - 2012	]
Profit/(Loss) Before Tax	:	Decreased	[	2010 - 2012	]
Return on Shareholder Funds	:	Acceptable	[	10.76%	]
Return on Net Assets	:	Acceptable	[	12.31%	]
The Subject's turnover increased steadily as the demand for its products / services increased due to the goodwill built up over the years.The Subject's profit fell sharply because of the high operating costs incurred. The Subject's management had generated acceptable return for its shareholders using its assets.
Working Capital Control
Stock Ratio	:	Favourable	[	7 Days	]
Debtor Ratio	:	Favourable	[	43 Days	]
Creditors Ratio	:	Favourable	[	46 Days	]
The Subject's stocks were moving fast thus reducing its holding cost. This had reduced funds being tied up in stocks. The favourable debtors' days could be due to the good credit control measures implemented by the Subject. The Subject had a favourable creditors' ratio where the Subject could be taking advantage of the cash discounts and also wanting to maintain goodwill with its creditors.
Liquidity
Liquid Ratio	:	Acceptable	[	0.96 Times	]
Current Ratio	:	Unfavourable	[	1.05 Times	]
The Subject's liquid ratio was slightly low. This could indicate that the Subject's working capital was slightly deficient. The Subject will have to improve its liquidity position either by obtaining short term financing or increase its paid up capital so that it can meet all its short term obligations as and when they fall due.
Solvency
Interest Cover	:	Acceptable	[	9.85 Times	]
Gearing Ratio	:	Favourable	[	0.72 Times	]
The Subject's interest cover was slightly low. If there is no sharp fall in its profit or sudden increase in the interest rates, we believe the Subject is able to generate sufficient income to service its interest and repay the loans. The Subject was lowly geared thus it had a low financial risk. The Subject was mainly financed by its shareholders' funds and internally generated funds. In times of economic slowdown / downturn, the Subject being a lowly geared company, will be able to compete better than those companies which are highly geared in the same industry.
Overall Assessment :
Although the Subject's turnover had increased, its profits had declined over the same corresponding period. This could be due to the stiffer market competition and / or higher operating costs which lowered the Subject's profit margin. The Subject's liquidity was at an acceptable range. If the Subject is able to obtain further short term financing, it should be able to meet all its short term obligations. The Subject had an acceptable interest cover. If there is no sudden sharp increase in interest rate or fall in the Subject's profit, we do believe the Subject is able to generate sufficient cash flow to service its interest payment. The Subject as a lowly geared company, will be more secured compared to those highly geared companies. It has the ability to meet all its long term obligations.
Overall financial condition of the Subject : FAIR

SINGAPORE ECONOMIC / INDUSTRY OUTLOOK

Major Economic Indicators :	2008	2009	2010	2011	2012
Population (Million)	4.84	4.98	5.08	5.18	5.31
Gross Domestic Products ( % )	1.5	<0.8>	14.5	4.9	1.3
Consumer Price Index	6.6	0.6	2.8	5.2	4.6
Total Imports (Million)	450,892.6	356,299.3	423,221.8	459,655.1	474,554.0
Total Exports (Million)	476,762.2	391,118.1	478,840.7	514,741.2	510,329.0
Unemployment Rate (%)	2.2	3.2	2.2	2.1	2.0
Tourist Arrival (Million)	10.12	9.68	11.64	13.17	14.37
Hotel Occupancy Rate (%)	81.0	75.8	85.6	86.5	86.4
Cellular Phone Subscriber (Million)	1.31	1.37	1.43	1.50	1.52
Registration of New Companies (No.)	25,327	26,414	29,798	32,317	31,892
Registration of New Companies (%)	<2.2>	4.3	12.8	8.5	<1.3>
Liquidation of Companies (No.)	10,493	22,393	15,126	19,005	17,218
Liquidation of Companies (%)	13.7	113.4	<32.5>	25.6	9.4
Registration of New Businesses (No.)	24,850	26,876	23,978	23,494	24,788
Registration of New Businesses (%)	0.36	8.15	<10.78>	2.02	5.51
Liquidation of Businesses (No.)	21,150	23,552	24,211	23,005	22,489
Liquidation of Businesses (%)	<0.8>	11.4	2.8	<5>	<2.2>
Bankruptcy Orders (No.)	2,326	2,058	1,537	1,527	1,748
Bankruptcy Orders (%)	<15.9>	<11.5>	<25.3>	<0.7>	14.5
Bankruptcy Discharges (No.)	1,500	3,056	2,252	1,391	1,881
Bankruptcy Discharges (%)	<7.7>	103.7	<26.3>	<38.2>	35.2
INDUSTRIES ( % of Growth ) :
Agriculture
Production of Principal Crops	<0.32>	3.25	<0.48>	4.25	3.64
Fish Supply & Wholesale	<6.31>	<1.93>	<10.5>	12.10	<0.5>
Manufacturing *	74.6	71.5	92.8	100.0	100.3
Food, Beverages & Tobacco	94.8	90.4	96.4	100.0	103.5
Textiles	180.1	145.9	122.1	100.0	104.0
Wearing Apparel	334.6	211.0	123.3	100.0	92.1
Leather Products & Footwear	128.2	79.5	81.8	100.0	98.6
Wood & Wood Products	132.0	101.4	104.0	100.0	95.5
Paper & Paper Products	101.0	95.4	106.1	100.0	97.4
Printing & Media	118.2	100.9	103.5	100.0	93.0
Crude Oil Refineries	113.1	96.4	95.6	100.0	99.4
Chemical & Chemical Products	84.5	80.3	97.6	100.0	100.5
Pharmaceutical Products	43.7	49.1	75.3	100.0	109.7
Rubber & Plastic Products	120.1	101.2	112.3	100.0	96.5
Non-metallic Mineral	96.5	91.9	92.5	100.0	98.2
Basic Metals	109.8	92.6	102.2	100.0	90.6
Fabricated Metal Products	101.3	90.8	103.6	100.0	104.3
Machinery & Equipment	65.0	57.3	78.5	100.0	112.9
Electrical Machinery	81.7	86.8	124.1	100.0	99.3
Electronic Components	93.1	85.2	113.6	100.0	90.6
Transport Equipment	102.0	96.0	94.0	100.0	106.3
Construction	45.90	<36.9>	14.20	20.50	28.70
Real Estate	<11.2>	1.4	21.3	25.4	31.9
Services
Electricity, Gas & Water	<1.3>	1.70	4.00	7.00	6.30
Transport, Storage & Communication	11.60	3.90	12.80	7.40	5.30
Finance & Insurance	<5.9>	<16.4>	<0.4>	8.90	0.50
Government Services	17.40	4.50	9.70	6.90	6.00
Education Services	0.50	0.10	<0.9>	<1.4>	0.30
* Based on Index of Industrial Production (2011 = 100)
(Source : Department of Statistics)

INDUSTRY ANALYSIS

INDUSTRY :	ECONOMY
According to Ministry of Trade and Industry (MTI), the Singapore economy is expected to grow by 1.0 to 3.0% in 2013 as growth in the global economy is likely to remain subdued despite macroeconomic conditions stablising in recent months of 2013.
However, the global economic outlook is still clouded with uncertainties. Notably, concerns remain over the extent of the fiscal cutback with the budget sequester in the US and potential flareup of the debt crisis in the Eurozone. Should any of these risks materialise, Singapore's economic growth could come in lower than expected.
Although resilient domestic demand in emerging Asia will provide some support to global demand, it will not fully mitigate the effects of an economic slowdown in the advanced economies. Consequently, Singapore's externally-oriented sectors such as electronics and wholesale trade will continue to perform poorly, while the financial services sector will be affected by heightened uncertainties in the external environment. Nevertheless, there will be some modest support to growth from the biomedical manufacturing cluster and tourism-related sectors. The former will likely see increased production of active pharmaceutical ingredients and biologics while the latter will benefit from rising visitor arrivals from the region.
For the whole of 2012, Singapore's GDP growth slowed to 1.3%, from 5.2% in 2011, mainly due to weakness in the externally-oriented sectors. Manufacturing sector growth slowed sharply from 7.8% in the year 2011 to 0.1%. The hudge decline was largely due to a rebound in the output of the biomedical manufacturing and transport engineering clusters, which together helped to mitigate part of the fall in output in the electronics cluster. By contrast, the construction sector growth accelerated from 6.3% to 8.2% in 2012, due to the expansion in both public and private building activities.
Growth in the services producing industries also moderated to 1.2% in 2012, compared to 4.6% in 2011. This was mainly due to the slowdown in wholesale and retail trade, accommodation and food services as well as other services industries. In particular, the wholesale and retail trade sector contracted by 0.7%, compared to the 1.6% growth in year 2011. The accommodation and food services as well as other services industries posted lower gains of 2.8% and 0.1% respectively, compared to 8.2% and 6.3% in 2011.
For the whole of 2012, all sectors, except the wholesale and retail trade, contributed to growth. Business services was the largest contributor with 0.4 percentage-points, followed by construction with 0.3 percentage-points and transportation and storage at 0.2 percentagepoints. Besides, growth in total demand moderated to 2.4%, compared to 4.2% in 2011. Domestic demand was the key contributor to total demand growth, accounting for 2.2 percentage-points, or over 90 per cent, of the increase.
In 2012, total domestic demand rose by 9.7%, following the 6.5% increase in 2011. The growth in total domestic demand was broad-based across consumption, gross fixed capital formation (GFCF) and changes in inventories. The total consumption expenditure in 2012 grew slightly by 0.9%, easing from the 3.7% growth in 2011. Public consumption expenditure fell by 3.6%, reversing the 0.5% growth in 2011. Private consumption expenditure registered a 2.2% gain, moderating from the 4.6% increase in the preceding year.
Overall, the Singapore economy is expected to grow by 1.0 to 3.0% in 2013.
OVERALL INDUSTRY OUTLOOK : MARGINAL GROWTH

CREDIT RISK EVALUATION & RECOMMENDATION

Incorporated in 2007, the Subject is a Private Limited company, focusing on acting as the regional headquarter for the holding company and its related group of companies in the asia pacific region. Having been in business for more than 5 years, the Subject has established a remarkable clientele base for itself which has contributed to its business growth. Strongly supported by its well-established holding company, the Subject is expected to enjoy timely financial and technical support should the needs arise.

Over the years, the Subject has penetrated into both the local and overseas market. The Subject has positioned itself in the global market and is competing in the industry. Its stable clientele base will enable the Subject to further enhance its business in the near term. The Subject is a fairly large and rapidly growing company with over 300 staff in its operations Overall, we regard that the Subject's management capability is average. This indicates that the Subject has greater potential to improve its business performance and raising income for the Subject. 

Financially, the Subject registered a higher turnover compared to previous year. However, its profits showed a reverse trend. The lower profit achieved was a result of higher operating cost and increased competition. Return on shareholders' funds of the Subject was at an acceptable range which indicated that the management was efficient in utilising its funds to generate income. The Subject managed to maintain an adequate liquidity level, indicating that the Subject has the ability to meet its financial obligations. Being a lowly geared company, the Subject is exposed to low financial risk as it is mainly dependent on its internal funds to finance its business needs. Given a positive net worth standing at USD 486,297,000, the Subject should be able to maintain its business in the near terms.

Overall, the Subject's payment habit is good as the Subject has a good credit control and it could be taking advantage of the cash discounts while maintaining a good reputation with its creditors.

The industry has reached its maturity stage and only enjoying a marginal growth. The steady growth of the country's economy will further enhance the industry activities. Thus, the Subject's future performance is very much depend on its marketing strategies in order to retain its position in the market.

Based on the above condition, we recommend credit be granted to the Subject normally.

PROFIT AND LOSS ACCOUNT

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH SINGAPORE FINANCIAL REPORTING STANDARDS.

MITSUI & CO. (ASIA PACIFIC) PTE. LTD.

Financial Year End	2012-03-31	2011-03-31	2010-03-31
Months	12	12	12
Consolidated Account	GROUP	GROUP	GROUP
Audited Account	YES	YES	YES
Unqualified Auditor's Report (Clean Opinion)	YES	YES	YES
Financial Type	FULL	FULL	FULL
Currency	USD	USD	USD
TURNOVER	4,519,999,000	4,435,713,000	2,389,848,000
	----------------	----------------	----------------
Total Turnover	4,519,999,000	4,435,713,000	2,389,848,000
Costs of Goods Sold	<4,308,707,000>	-	-
	----------------	----------------	----------------
Gross Profit	211,292,000	-	-
	----------------	----------------	----------------
PROFIT/(LOSS) FROM OPERATIONS	63,872,000	186,331,000	36,701,000
	----------------	----------------	----------------
PROFIT/(LOSS) BEFORE TAXATION	63,872,000	186,331,000	36,701,000
Taxation	<11,414,000>	<5,080,000>	<3,954,000>
	----------------	----------------	----------------
PROFIT/(LOSS) AFTER TAXATION	52,458,000	181,251,000	32,747,000
Minority interests	<123,000>	<256,000>	<180,000>
	----------------	----------------	----------------
PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS	52,335,000	180,995,000	32,567,000
	----------------	----------------	----------------
PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS	52,335,000	180,995,000	32,567,000
RETAINED PROFIT/(LOSS) BROUGHT FORWARD
As previously reported	74,461,000	33,466,000	899,000
	----------------	----------------	----------------
As restated	74,461,000	33,466,000	899,000
	----------------	----------------	----------------
PROFIT AVAILABLE FOR APPROPRIATIONS	126,796,000	214,461,000	33,466,000
DIVIDENDS - Ordinary (paid & proposed)	-	<140,000,000>	-
	----------------	----------------	----------------
RETAINED PROFIT/(LOSS) CARRIED FORWARD	126,796,000	74,461,000	33,466,000
	=============	=============	=============
INTEREST EXPENSE (as per notes to P&L)
Bank overdraft	7,215,000	6,270,000	3,767,000
	----------------	----------------	----------------
	7,215,000	6,270,000	3,767,000
	=============	=============	=============

BALANCE SHEET

MITSUI & CO. (ASIA PACIFIC) PTE. LTD.

ASSETS EMPLOYED:
FIXED ASSETS	14,527,000	10,153,000	5,872,000
LONG TERM INVESTMENTS/OTHER ASSETS
Associated companies	311,225,000	308,616,000	246,773,000
Loans & advances - non-current	92,986,000	305,000	284,000
Deferred assets	742,000	696,000	742,000
Others	110,440,000	111,556,000	87,701,000
	----------------	----------------	----------------
TOTAL LONG TERM INVESTMENTS/OTHER ASSETS	515,393,000	421,173,000	335,500,000
	----------------	----------------	----------------
TOTAL LONG TERM ASSETS	529,920,000	431,326,000	341,372,000
CURRENT ASSETS
Stocks	86,109,000	112,822,000	62,768,000
Trade debtors	530,357,000	646,502,000	328,459,000
Other debtors, deposits & prepayments	26,793,000	23,314,000	16,218,000
Loans & advances - current portion	26,708,000	103,193,000	89,026,000
Amount due from holding company	57,369,000	83,486,000	59,434,000
Amount due from related companies	96,795,000	96,187,000	50,230,000
Amount due from associated companies	1,291,000	1,347,000	666,000
Cash & bank balances	87,155,000	81,460,000	24,129,000
Others	242,000	45,000	136,000
	----------------	----------------	----------------
TOTAL CURRENT ASSETS	912,819,000	1,148,356,000	631,066,000
	----------------	----------------	----------------
TOTAL ASSET	1,442,739,000	1,579,682,000	972,438,000
	=============	=============	=============
CURRENT LIABILITIES
Trade creditors	540,408,000	722,852,000	313,997,000
Other creditors & accruals	52,192,000	40,901,000	27,335,000
Bank overdraft	149,736,000	68,134,000	50,341,000
Short term borrowings/Term loans	113,458,000	152,065,000	178,621,000
Provision for taxation	8,532,000	3,096,000	1,525,000
Other liabilities	1,074,000	935,000	794,000
	----------------	----------------	----------------
TOTAL CURRENT LIABILITIES	865,400,000	987,983,000	572,613,000
	----------------	----------------	----------------
NET CURRENT ASSETS/(LIABILITIES)	47,419,000	160,373,000	58,453,000
	----------------	----------------	----------------
TOTAL NET ASSETS	577,339,000	591,699,000	399,825,000
	=============	=============	=============
SHARE CAPITAL
Ordinary share capital	225,101,000	225,101,000	154,319,000
	----------------	----------------	----------------
TOTAL SHARE CAPITAL	225,101,000	225,101,000	154,319,000
RESERVES
Capital reserve	103,095,000	103,095,000	80,837,000
Retained profit/(loss) carried forward	126,796,000	74,461,000	33,466,000
Others	28,999,000	32,303,000	12,443,000
	----------------	----------------	----------------
TOTAL RESERVES	258,890,000	209,859,000	126,746,000
MINORITY INTEREST	2,306,000	1,422,000	673,000
	----------------	----------------	----------------
SHAREHOLDERS' FUNDS/EQUITY	486,297,000	436,382,000	281,738,000
LONG TERM LIABILITIES
Long term loans	38,983,000	102,527,000	67,966,000
Other long term borrowings	47,666,000	47,454,000	42,072,000
Deferred taxation	4,393,000	5,336,000	8,049,000
	----------------	----------------	----------------
TOTAL LONG TERM LIABILITIES	91,042,000	155,317,000	118,087,000
	----------------	----------------	----------------
	577,339,000	591,699,000	399,825,000
	=============	=============	=============

FINANCIAL RATIO

MITSUI & CO. (ASIA PACIFIC) PTE. LTD.

TYPES OF FUNDS
Cash	87,155,000	81,460,000	24,129,000
Net Liquid Funds	<62,581,000>	13,326,000	<26,212,000>
Net Liquid Assets	<38,690,000>	47,551,000	<4,315,000>
Net Current Assets/(Liabilities)	47,419,000	160,373,000	58,453,000
Net Tangible Assets	577,339,000	591,699,000	399,825,000
Net Monetary Assets	<129,732,000>	<107,766,000>	<122,402,000>
BALANCE SHEET ITEMS
Total Borrowings	349,843,000	370,180,000	339,000,000
Total Liabilities	956,442,000	1,143,300,000	690,700,000
Total Assets	1,442,739,000	1,579,682,000	972,438,000
Net Assets	577,339,000	591,699,000	399,825,000
Net Assets Backing	486,297,000	436,382,000	281,738,000
Shareholders' Funds	486,297,000	436,382,000	281,738,000
Total Share Capital	225,101,000	225,101,000	154,319,000
Total Reserves	258,890,000	209,859,000	126,746,000
LIQUIDITY (Times)
Cash Ratio	0.10	0.08	0.04
Liquid Ratio	0.96	1.05	0.99
Current Ratio	1.05	1.16	1.10
WORKING CAPITAL CONTROL (Days)
Stock Ratio	7	9	10
Debtors Ratio	43	53	50
Creditors Ratio	46	59	48
SOLVENCY RATIOS (Times)
Gearing Ratio	0.72	0.85	1.20
Liabilities Ratio	1.97	2.62	2.45
Times Interest Earned Ratio	9.85	30.72	10.74
Assets Backing Ratio	2.56	2.63	2.59
PERFORMANCE RATIO (%)
Operating Profit Margin	1.41	4.20	1.54
Net Profit Margin	1.16	4.08	1.36
Return On Net Assets	12.31	32.55	10.12
Return On Capital Employed	9.75	29.13	8.98
Return On Shareholders' Funds/Equity	10.76	41.48	11.56
Dividend Pay Out Ratio (Times)	0.00	0.77	0.00
NOTES TO ACCOUNTS
Contingent Liabilities	0	0	0

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.95
UK Pound	1	Rs.104.02
Euro	1	Rs.84.95

INFORMATION DETAILS

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%)

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.