MIRA INFORM REPORT

Report Date :

22.02.2014

IDENTIFICATION DETAILS

Name :	NEXIS FIBERS A.S.
Formerly Known As :	Slovakia Fibres a.s.
Registered Office :	Chemlonská 1, , 066 12 Humenné
Country :	Slovakia
Financials (as on) :	31.12.2012
Date of Incorporation :	25.01.2007
Com. Reg. No.:	Sro 10340/P
Legal Form :	Company limited by shares
Line of Business :	· Engaged in manufacturing and sale of industrial fibers sister company to produce fibers in Latvia · Manufacturer of man-made fibres
No. of Employees	412 (2014)

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 :	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 – december 01, 2013

Country Name	Previous Rating (30.09.2013)	Current Rating (01.12.2013)
Slovakia	A2	A2

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

Slovakia ECONOMIC OVERVIEW

Slovakia has made significant economic reforms since its separation from the Czech Republic in 1993. Reforms to the taxation, healthcare, pension, and social welfare systems helped Slovakia consolidate its budget and get on track to join the EU in 2004 after a period of relative stagnation in the early and mid 1990s and to adopt the euro in January 2009. Major privatizations are nearly complete, the banking sector is almost entirely in foreign hands, and the government has helped facilitate a foreign investment boom with business friendly policies. Slovakia's economic growth exceeded expectations in 2001-08 despite a general European slowdown. Foreign direct investment (FDI), especially in the automotive and electronic sectors, fueled much of the growth until 2008. Cheap and skilled labor, low taxes, no dividend taxes, a relatively liberal labor code, and a favorable geographical location are Slovakia's main advantages for foreign investors. The economy contracted 5% in 2009 primarily as a result of smaller inflows of FDI and reduced demand for Slovakia''s exports before rebounding in 2010-11, but growth slowed in 2012 due to weakening external demand. The government of Prime Minister Robert FICO in 2012 implemented tax increases on higher-earning individuals and corporations, effectively scrapping Slovakia''s flat tax to help meet budget deficit targets of 4.9% of GDP in 2012 and 3% of GDP in 2013.

Source : CIA

Company name & address

Nexis Fibers a.s.

Chemlonská 1, 
066 12 Humenné 
Phone: 057/771 3430
Phone: 057/7713130
Phone: 057/7713224
Telefax: 057/7722650
E-Mail: nexisinfo.hum@nexis-fibers.com
Web: www.nexisfibers.com

Company summary

Legal form

Company limited by shares

Established on	25/01/2007 - Company limited by shares
	Last entry in Business register

	21.12.2013
Registered on	25/01/2007, Okresný súd Prešov, RegNr.: Sro 10340/P Tax number: SK2022311962 Statistical number: 36729680

Registered capital	EUR	6 800 000,00
	EUR	6 725 000,00

25/01/2007	EUR	25 000,00
18/09/2007	EUR	6 725 000,00

		divided into 6.800 shares with a nominal value off EUR 1.000,--
Shareholder	Industrial Yarns Holding AG Gerliswilstrasse 19, Emmenbrucke, Switzerland

Management	Ing. Ivo Bezloja Výzkumní 717/7, 644 00 Brno - Sever, Czech Republic chairman authorized to sign alone
	Ing. Štefan Borc 151, 067 32 Rovné  vice-chairman authorized to collective sign

	Marco Marchetti Grabenstrasse 9, 6300 Zug, Switzerland Member authorized to collective sign
Supervisory Board	Ing. Iveta Zgaburová 434, 066 01 Jasenov

Ing. Jozef Sabol
Šmidkého 1967/36, 066 01 Humenné

Ing. Martin Řeřicha
SNP 2512/32, 066 01 Humenné

General data		Manufacture and sale of industrial fibers sister company to produce fibers in Latvia
	Main activity: Manufacture of man-made fibres

Commercial name
Nexis Fibres a.s.
Beginning of validity: 01.01.2008

Former name
Slovakia Fibres a.s.
Beginning of validity: 25.01.2007
End of validity: 31.12.2007

General contacts:
Phone:
057/771 3430
057/7713224
Telefax:
057/7720675
E-Mail:
nexisinfo.hum@nexis-fibers.com
Web:
www.nexisfibers.com

Residence address:
Chemlonská 1, 066 12 Humenné

Employees	2009	384 employees
	2013	about 350 employees

		2014	412 employees
Annual turnover	2007			Enterprise turnover	EUR	0,-

2008	Enterprise turnover	EUR	83 924 086,-
2009	Enterprise turnover	EUR	43 508 254,-

2010	Enterprise turnover	EUR	77 088 287,-
2011	Enterprise turnover	EUR	99 442 940,-

	2012		Enterprise turnover	EUR	93 858 418,-
Remarks		Numerical data originated from public resources.

Bank relations		ČSOB a.s.:
Company development	Company development positive

Business course	good
Terms of payment	Mostly no complaints, but occasional delays / reminders

Business connection

Credits are not rejected. The establishing of the business connection may be allowed.

Balance sheets

The enclosed balance of 2012 is originated from official source, it is authenticated by the auditor. (31.12.2012 - 1 EUR) The enclosed balance of 2011 is originated from official source, it is authenticated by the auditor. (31.12.2011 - 1 EUR) The enclosed balance of 2010 is originated from official source, it is authenticated by the auditor. (31.12.2010 - 1 EUR) The enclosed balance of 2009 is originated from official source, it is authenticated by the auditor. (31.12.2009 - 1 EUR)

The enclosed profit/loss account of 2012 is originated from official source, it is authenticated by the auditor. (31.12.2012 - 1 EUR) The enclosed profit/loss account of 2011 is originated from official source, it is authenticated by the auditor. (31.12.2011 - 1 EUR) The enclosed profit/loss account of 2010 is originated from official source, it is authenticated by the auditor. (31.12.2010 - 1 EUR) The enclosed profit/loss account of 2009 is originated from official source, it is authenticated by the auditor. (31.12.2009 - 1 EUR)

A. The enclosed balance of 2009 is originated from official source, it is authenticated by the auditor. (31.12.2009 - 1 EUR)
B. The enclosed balance of 2010 is originated from official source, it is authenticated by the auditor. (31.12.2010 - 1 EUR)
C. The enclosed balance of 2011 is originated from official source, it is authenticated by the auditor. (31.12.2011 - 1 EUR)
D. The enclosed balance of 2012 is originated from official source, it is authenticated by the auditor. (31.12.2012 - 1 EUR)

Balance	A 31.12.2009	B 31.12.2010	C 31.12.2011	D 31.12.2012
Total assets	30 424 374	45 192 927	64 150 330	77 057 446
Non-current assets	17 052 536	21 478 427	35 361 796	42 717 284
Intangible fixed assets	243 885	433 260	645 767	958 231
Incorporation expenses	0	0
Development expenses	190 256	144 058	313 787	871 263
Software	31 523	18 807	7 826	1 877
Valuable rights	0	0	0	0
Goodwill	0	0	0	0
Other intangible fixed assets	0	0	0	0
Acquisition of intangible fixed assets	22 106	270 395	324 154	85 091
Advance payments for intangible fixed assets	0	0	0	0
Tangible fixed assets – total	16 808 651	21 045 167	29 780 195	36 788 893
Lands	4 481	0	0	0
Constructions	4 098 750	6 059 712	5 972 047	2 688 163
Separate movable assets and sets of movable assets	12 617 430	11 896 455	14 386 634	23 574 662
Perennial crops	0	0	0	0
Breeding and draught animals	0	0	0	0
Other tangible fixed assets	1 638	3 108	3 108	3 108
Acquisition of tangible fixed assets	86 352	3 085 892	6 094 873	7 789 960
Advance payments for tangible fixed assets	0	0	3 323 533	2 733 000
Adjustment to acquired assets	0	0	0	0
Long-term financial investments	0	0	4 935 834	4 970 160
Shares and ownership interests with control influence in enterprises	0	0	0	0
Shares and ownership interests with substantial influence of enterprises	0	0	4 935 834	4 970 160
Other long-term shares and ownership interests	0	0	0	0
Intercompany loans	0	0	0	0
Other long-term financial investments	0	0	0	0
Loans with maturity up to one year	0	0	0	0
Acquisition of long-term financial investments	0	0	0	0
Advance payments for long-term assets	0	0	0	0
Current assets	13 326 309	23 609 168	28 667 678	34 134 023
Inventory - total	6 210 544	8 328 988	7 736 903	10 233 337
Material	1 607 234	2 662 752	2 278 133	2 676 277
Work-in-progress and semi-finished goods	661 692	628 229	695 933	1 019 008
Construction contracts where the expected time of completion exceeds one year		0
Finished products	3 938 554	5 038 007	4 762 837	6 538 052
Animals	0	0	0	0
Merchandise	3 064	0	0	0
Advance payments made for inventory	0	0	0	0
Long-term receivables – total	0	906 885	2 008 405	2 701 528
Trade receivables	0	0	0	0
Net value of contract			0	0
Receivables from a controlled entity and a controlling entity	0	0	0	0
Other intercompany receivables	0	0	0	0
Receivables from participants, members and association	0	0	0	0
Other receivables	0	0	0	0
Deffered tax asset	0	906 885	2 008 405	2 701 528
Short - term receivables – total	6 686 418	14 227 499	18 885 485	21 088 749
Trade receivables	6 462 851	13 887 071	18 137 181	20 210 465
Net value of contract			0	0
Receivables from a controlled entity and a controlling entity	0	0	0	0
Other intercompany receivables	0	0	0	0
Receivables from participants, members and association	64	0	0	0
Social security	0	0	0	0
Taxation and subsidies	194 610	340 428	747 299	878 267
Other receivables	28 893	0	1 005	17
Financial accounts – total	429 347	145 796	36 885	110 409
Cash	4 801	9 349	18 932	8 740
Bank accounts	424 546	136 447	17 953	101 669
Bank accounts with notice period exceeding one year	0	0	0	0
Short-term financial assets	0	0	0	0
Acquisition of short-term financial assets	0	0	0	0
Prepayments	45 529	105 332	120 856	206 139
Deferred expenses long term	0	105 332	0	95 370
Deferred expenses short term	17 629	0	120 856	110 769
Accrued revenues long term	0	0	0	0
Accrued revenues short term	27 900	0	0	0
Total capital and liabilities	30 424 374	45 192 927	64 150 330	77 057 446
Capital	24 259 402	25 120 911	27 311 069	31 982 649
Registered capital - total	6 725 000	6 725 000	6 725 000	6 725 000
Registered capital – total	6 725 000	6 725 000	6 725 000	6 725 000
Own shares and own business shares	0	0	0	0
Change in registered capital	0	0	0	0
Receivables for subscriptions (for own equity capital)	0	0	0	0
Capital funds – total	63 204 168	17 531 499	17 531 499	17 531 499
Share premium	0	0	0	0
Other capital funds	63 204 168	17 531 499	17 531 499	17 531 499
Legal reserve fund (Non-distributable fund) from capital contributions	0	0	0	0
Gains or losses from revaluation of assets and liabilities	0	0	0	0
Gains or losses from investments	0	0	0	0
Gain or losses from revaluation from join and divesting	0	0	0	0
Funds created from profit – total	2 903	2 903	89 054	308 070
Legal reserve fund	2 903	2 903	89 054	308 070
Indivisible funds	0	0	0	0
Statutory funds and other funds	0	0	0	0
Retained profit or loss from previous years	-13 810 737	0	775 358	2 746 499
Retained earnings from previous years	0	0	775 358	2 746 499
Retained earnings from previous years	-13 810 737	0	0	0
Profit or loss for the accounting period	-31 861 932	861 509	2 190 158	4 671 581
Liabilities	6 141 510	20 029 657	36 776 555	45 039 920
Reserves – total	1 366 805	789 785	943 126	969 902
Legal reserves long term	0	0	0	0
Legal reserves short term	1 230 329	284 023	202 068	224 442
Other long-term reserves	136 476	136 476	136 476	136 476
Other short-term reserves	0	369 286	604 582	608 984
Long-term liabilities - total	10 224	5 297	1 006 542	4 552 105
Long-term trade liabilities – total	0	0	0	0
Net value of contract			0	0
Uninvoiced long-term supplies	0	0	0	0
Long-term liabilities to a controlled entity and a controlling entity	0	0	0	0
Other intercompany long-term liabilities	0	0	0	0
Long-term advances received	0	0	0	0
Long-term bills of exchange to a paid	0	0	0	0
Bonds issued	0	0	0	0
Liabilities from social fund	10 224	5 297	6 542	478
Other long-term liabilities	0	0	1 000 000	4 551 627
Deffered tax liability	0	0	0	0
Short-term liabilities - total	4 764 481	10 526 586	14 449 272	22 750 694
Trade liabilities	4 231 663	9 843 345	13 827 417	21 409 411
Net values of contract			0	0
Uninvoiced supplies	80 570	156 781	43 546	395 958
Liabilities to a controlled entity and a controlling entity	0	0	0	0
Other intercompany liabilities	0	0	0	0
Liabilities to partners and participants in association	0	0	0	0
Liabilities to employees	259 493	285 679	258 824	228 967
Social security liabilities	142 241	176 802	165 786	154 462
Taxation and subsidies	38 425	49 744	38 551	34 234
Other liabilities	12 089	14 235	115 148	527 662
Short-term financial assistance	0	0	0	0
Bank loans	0	8 707 989	20 377 615	16 767 219
Long-term bank loans	0	1 017 448	3 528 448	1 854 448
Current bank loans	0	7 690 541	16 849 167	14 912 771
Prepayments - total	23 462	42 359	62 706	34 877
Accrued expenses long term	0	21 242	0	0
Accrued expenses short term	1 888	0	42 269	14 961
Deferred revenues long term	0	0	0	0
Deferred revenues short term	21 574	21 117	20 437	19 916
A. The enclosed profit/loss account of 2009 is originated from official source, it is authenticated by the auditor. (31.12.2009 - 1 EUR) B. The enclosed profit/loss account of 2010 is originated from official source, it is authenticated by the auditor. (31.12.2010 - 1 EUR) C. The enclosed profit/loss account of 2011 is originated from official source, it is authenticated by the auditor. (31.12.2011 - 1 EUR) D. The enclosed profit/loss account of 2012 is originated from official source, it is authenticated by the auditor. (31.12.2012 - 1 EUR)

profit/loss account	A 31.12.2009	B 31.12.2010	C 31.12.2011	D 31.12.2012
Revenue from the sale of merchandise	566 613	153 127	505 305	2 159 042
Cost of merchandise sold	404 241	53 828	456 203	1 959 246
Trade margin	162 372	99 299	49 102	199 796
Production	43 033 236	78 618 880	99 539 935	95 032 922
Revenue from the sale of own products and services	42 941 641	76 935 160	98 937 635	91 699 376
Change in inventory	-25 176	987 402	-238 091	2 098 290
Own work capitalized	116 771	696 318	840 391	1 235 256
Purchased consumables and services	40 017 542	73 024 569	91 548 136	84 814 738
Consumed raw materials, energy consumption and consumption of other non-inventory supplies	33 523 568	62 239 158	80 576 372	73 410 678
Services	6 493 974	10 785 411	10 971 764	11 404 060
Added value	3 178 066	5 693 610	8 040 901	10 417 980
Personnel expenses - total	5 189 963	4 741 009	5 425 315	5 632 873
Wages and salaries	3 831 648	3 403 452	3 952 430	4 048 468
Remuneration of board members	0	0	0	0
Social security expenses	1 314 406	1 166 434	1 338 891	1 406 520
Social expenses	43 909	171 123	133 994	177 885
Taxes and fees	12 738	12 670	45 176	46 547
Depreciation expense of intangible and tangible fixed assets	28 627 256	991 721	1 195 406	-84 848
Revenues from sales of fixed assets and sales of materials	75 591	157 217	61 035	2 610 170
Net book value of fixed assets sold and material sold	131 010	138 527	21 067	2 571 634
Additions to and reversals of impairment losses	986 202	-332 720	-559 261	57 400
Other operating revenues	89 337	81 742	282 083	155 782
Other operating expenses	65 774	85 817	415 511	368 572
Transfer of operating revenues	0	0	0	0
Transfer of operating expenses	0	0	0	0
Profit or loss from operations	-31 669 949	295 545	1 840 805	4 591 754
Revenues from sales of shares and ownership	0	0	0	0
Shares and ownership interests sold	0	0	0	0
Revenues from long-term financial assest	0	0	0	0
Revenues from ownership interests with control influence in enterprises and ownership interests with substantial influence of enterprises	0	0	0	0
Revenues from other long-term ownership and shares	0	0	0	0
Revenues from other long-term financial assest	0	0	0	0
Revenues from short-term financial assest	0	0	0	0
Expenses for short-term financial assets	0	0	0	0
Revenues from revaluation of securities and revenues from derivative operations	0	0	0	0
Expenses for revaluation of securities and expenses for derivative operations	0	0	0	0
Reversal and creation of value adjustments for financial assets	0	0	0	0
Interest income	1 984	172	10	550
Interest expense	3 050 414	144 446	526 868	483 266
Exchange rate gains	239 793	732 258	725 589	552 070
Exchanges rate losses	223 749	677 954	873 314	591 209
Other financial revenues	0	0	0	0
Other financial expenses	287 159	250 951	77 582	91 337
Transfer of financial revenues	0	0	0	0
Transfer of financial expenses	0	0	0	0
Profit or loss from financial activities	-3 319 545	-340 921	-752 165	-613 192
Profit or loss from ordinary activities before tax	-34 989 494	-45 376	1 088 640	3 978 562
Income tax on ordinary activities	-3 127 562	-906 885	-1 101 518	-693 019
- current	0	0	2	104
- deferred	-3 127 562	-906 885	-1 101 520	-693 123
Profit or loss from ordinary activities after tax	-31 861 932	861 509	2 190 158	4 671 581
Extraordinary revenues	0	0	0	0
Extraordinary expenses	0	0	0	0
Profit or loss from extraordinary activities before tax	0	0	0	0
Income tax on extraordinary activities	0	0	0	0
- current	0	0	0	0
- deferred	0	0	0	0
Profit or loss from extraordinary activities after tax	0	0	0	0
Profit or loss of the accounting period before tax	-34 989 494	-45 376	1 088 640	3 978 562
Transfer of profit or loss to partners	0	0	0	0
Profit or loss of the accounting period after tax	-31 861 932	861 509	2 190 158	4 671 581

Ratios

2009

2010

2011

2012

Return on total assets ROA (in %)	-104,72	1,91	3,41	6,06
Return on equity ROE (in %)	-131,34	3,43	8,02	14,61

Rentabilität der Einnahmen ROS (in %)	-73,23	1,12	2,2	4,98
Turnover of receivables (in days)	54,22	65,75	66,57	78,6

Turnover of liabilities (in days)	35,5	46,61	50,75	83,26
Turnover of inventories (days)	52,1	39,44	28,4	39,8

Net working capital	8561828	5392041	-2630761	-3529442
Ratio of accounts payable to accounts receivable	140	144	135	87,13

Ratio of profit/loss to tangible assets (in%)	39,19	27,86	35,56	45,51
Current ratio	2,8	1,25	0,85	0,83

Quick ratio	1,49	0,79	0,6	0,56
Cash ratio	0,09	0,01	0	0

Debt ratio I (in %)	20,26	44,41	57,43	58,5
Debt ratio II (in %)	20,19	44,32	57,33	58,45

Copyright:

This information is addressed exclusively to addresse. We don't assume responsibility for negligence referring to the content of this information.__On behalf of the objective information, please inform us if you have different observations.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.62.16
UK Pound	1	Rs.103.44
Euro	1	Rs.85.27

INFORMATION DETAILS

Report Prepared by :

MNL

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.