MIRA INFORM REPORT

Report Date :

18.01.2014

IDENTIFICATION DETAILS

Name :	HOME SHOPPING EUROPE GMBH
Registered Office :	Munchener, Strasse 101h Ismaning, 85737
Country :	Germany
Financials (as on) :	31.03.2010
Date of Incorporation :	2005
Com. Reg. No.:	HRB159494
Legal Form :	Partnership Subsidiary
Line of Business :	Subject engaged in retail sale of any kind of product by mail order.
No. of Employees :	560

RATING & COMMENTS

MIRA’s Rating :

B

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

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 – March 31^st, 2013

Country Name	Previous Rating (31.12.2012)	Current Rating (31.03.2013)
Germany	A1	A1

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

GERMANY - ECONOMIC OVERVIEW

The German economy - the fifth largest economy in the world in PPP terms and Europe's largest - is a leading exporter of machinery, vehicles, chemicals, and household equipment and benefits from a highly skilled labor force. Like its Western European neighbors, Germany faces significant demographic challenges to sustained long-term growth. Low fertility rates and declining net immigration are increasing pressure on the country's social welfare system and necessitate structural reforms. Reforms launched by the government of Chancellor Gerhard SCHROEDER (1998-2005), deemed necessary to address chronically high unemployment and low average growth, contributed to strong growth in 2006 and 2007 and falling unemployment. These advances, as well as a government subsidized, reduced working hour scheme, help explain the relatively modest increase in unemployment during the 2008-09 recession - the deepest since World War II - and its decrease to 6.5% in 2012. GDP contracted 5.1% in 2009 but grew by 4.2% in 2010, and 3.0% in 2011, before dipping to 0.7% in 2012 - a reflection of low investment spending due to crisis-induced uncertainty and the decreased demand for German exports from recession-stricken periphery countries. Stimulus and stabilization efforts initiated in 2008 and 2009 and tax cuts introduced in Chancellor Angela MERKEL's second term increased Germany's total budget deficit - including federal, state, and municipal - to 4.1% in 2010, but slower spending and higher tax revenues reduced the deficit to 0.8% in 2011. In 2012 Germany reached a budget surplus of 0.1%. A constitutional amendment approved in 2009 limits the federal government to structural deficits of no more than 0.35% of GDP per annum as of 2016 though the target was already reached in 2012. By 2014, the federal government wants to balance its budget. Following the March 2011 Fukushima nuclear disaster, Chancellor Angela Merkel announced in May 2011 that eight of the country's 17 nuclear reactors would be shut down immediately and the remaining plants would close by 2022. Germany hopes to replace nuclear power with renewable energy. Before the shutdown of the eight reactors, Germany relied on nuclear power for 23% of its electricity generating capacity and 46% of its base-load electricity production.

Source : CIA

Company name & address

HOME SHOPPING EUROPE GMBH

Munchener Strasse 101h

Ismaning, 85737

Germany

Tel: 49 (89) 9 60 60-0

Fax: 49 (89) 9 60 60-1 1

synthesis

Employees: 560

Company Type: Partnership Subsidiary

Corporate Family: 60 Companies

Ultimate Parent: Mediaset SpA

Incorporation Date: 2005

Financials in: USD (mil)

Fiscal Year End: 31-Mar-2010

Reporting Currency: Euro

Annual Sales: 311.8

Total Assets: 162.9

Business Description

Home Shopping Europe GmbH is primarily engaged in retail sale of any kind of product by mail order. Goods are sent to the buyer, who made his choice on the basis of advertisements, catalogues, models or any other means of advertising This class also includes: direct sale via television, radio, telephone and internet (retail).

Industry

Industry Non-store Retail

ANZSIC 2006: 4310 - Non-Store Retailing

ISIC Rev 4: 4791 - Retail sale via mail order houses or via Internet

NACE Rev 2: 4791 - Retail sale via mail order houses or via Internet

NAICS 2012: 454113 - Mail-Order Houses

UK SIC 2007: 4791 - Retail sale via mail order houses or via Internet

US SIC 1987: 5961 - Catalog and Mail-order Houses

 Key Executives

Name	Title
Richard Reitzner	Managing director

Registered No.(Other):HRB159494

Parent Registered No.(UK):DEU

1 - Profit & Loss Item Exchange Rate: USD 1 = EUR 0.7086099
2 - Balance Sheet Item Exchange Rate: USD 1 = EUR 0.7390437

Corporate Overview

Location
Munchener Strasse 101h
Ismaning, 85737
Germany

Tel:	49 (89) 9 60 60-0
Fax:	49 (89) 9 60 60-1 1

Sales EUR(mil):	221.0
Assets EUR(mil):	120.4
Employees:	560
Fiscal Year End:	31-Mar-2010

Industry:	Retail (Catalog and Mail Order)

Incorporation Date:	2005
Company Type:	Partnership Subsidiary
Quoted Status:	Not Quoted
Registered No.():	HRB159494
Parent Registered No.(UK):	DEU

Managing director:	Richard Reitzner

Industry Codes

ANZSIC 2006 Codes:
4310	-	Non-Store Retailing

ISIC Rev 4 Codes:
4791	-	Retail sale via mail order houses or via Internet

NACE Rev 2 Codes:
4791	-	Retail sale via mail order houses or via Internet

NAICS 2012 Codes:
454113	-	Mail-Order Houses

US SIC 1987:
5961	-	Catalog and Mail-order Houses

UK SIC 2007:
4791	-	Retail sale via mail order houses or via Internet

Business Description

Sale of goods and services via independent 24 hour television programme, 16 hours live

More Business Descriptions

Home Shopping Europe GmbH is primarily engaged in retail sale of any kind of product by mail order. Goods are sent to the buyer, who made his choice on the basis of advertisements, catalogues, models or any other means of advertising This class also includes: direct sale via television, radio, telephone and internet (retail).

Electronic Shopping, Mail-Order Houses

Financial Data

Financials in:	EUR(mil)
Revenue:	221.0
Assets:	120.4
Current Assets:	90.1
Total Liabilities:	120.4
Issued Capital:	0.0
Net Worth:	48.7
Date of Financial Data:	31-Mar-2010

1 Year Growth

-40.9%

NA

Key Corporate Relationships

Bank:	Commerzbank Munchen AG, ING BHF Bank Munchen

CORPORATE FAMILY	CORPORATE STRUCTURE NEWS:
	Mediaset SpA Home Shopping Europe GmbH
Home Shopping Europe GmbH Total Corporate Family Members: 60

Company Name	Company Type	Location	Country	Industry	Sales (USD mil)	Employees
Mediaset SpA	Parent	Milano	Italy	Broadcasting and Media	4,780.9	5,828
Reti Televisive Italiane SpA	Subsidiary	Cologno Monzese, MI	Italy	Movies	2,926.4	2,779
Video Time SpA	Subsidiary	Cologno Monzese, MI	Italy	Movies	237.8	1,006
Taodue S.r.l.	Subsidiary	Rome	Italy	Movies	91.8	708
Home Shopping Europe GmbH	Subsidiary	Ismaning, Bayern	Germany	Non-store Retail	311.8	560
Medusa Film SpA	Subsidiary	Roma, Roma	Italy	Movies	234.2	40
Media Shopping SpA	Subsidiary	Cologno Monzese, Milano	Italy	Non-store Retail	39.5	33
Elettronica Industriale SpA	Subsidiary	Cologno Monzese, MI	Italy	Communications Equipment Manufacturing	282.0	18
Ei Towers SpA	Subsidiary	Lissone	Italy	Wireless Telecommunications Carriers	299.4	590
Towertel SpA	Subsidiary	Lissone, Monza E Brianza	Italy	Holding Companies	71.8	53
Towertel S.p.A.	Subsidiary	Lissone, MB	Italy	Communications Equipment Manufacturing
BOING S.p.A.	Subsidiary	Cologno Monzese, MI	Italy	Broadcasting and Media	31.2	8
Mediaset Espana Comunicacion SA	Affiliates	Alcobendas	Spain	Broadcasting and Media	1,139.4	1,328
Publiespaña Sa	Subsidiary	Madrid	Spain	Advertising Services	1,200.9	211
Bigbang Media Sl	Subsidiary	Madrid	Spain	Movies	20.6	126
Conecta 5 Telecinco Sa	Subsidiary	Madrid	Spain	Non-store Retail	6.5	28
Cinematext Media Sa	Subsidiary	Madrid	Spain	Movies	3.2	26
Telecinco Cinema Sa	Subsidiary	Madrid	Spain	Broadcasting and Media	24.7	9
Publitalia 80 Concessionaria Pubblicità SpA	Subsidiary	Segrate, MI	Italy	Advertising Services	2,447.9	656
Digitalia '08 S.r.l.	Subsidiary	Segrate	Italy	Broadcasting and Media	103.4	68
Publieurope Ltd.	Subsidiary	London	United Kingdom	Miscellaneous Professional Services	28.2	26
Mediaset Investment Sarl	Subsidiary	Luxembourg	Luxembourg	Holding Companies
R.T.I. S.p.A.	Subsidiary	Rome	Italy	Broadcasting and Media
Videotime S.p.A.	Subsidiary	Rome	Italy	Broadcasting and Media
Endemol BV	Subsidiary	Duivendrecht	Netherlands	Promoters and Agents
Endemol UK Ltd.	Subsidiary	London	United Kingdom	Broadcasting and Media	159.3	112
Brighter Pictures Ltd.	Subsidiary	London	United Kingdom	Broadcasting and Media	0.1	200
Darlow Smithson Productions Ltd.	Subsidiary	London	United Kingdom	Broadcasting and Media	28.9	58
Zeppotron Ltd.	Subsidiary	London	United Kingdom	Broadcasting and Media	38.8	13
Endemol Games Ltd	Subsidiary	London	United Kingdom	Miscellaneous Amusement and Recreation	1.0
Bazal Productions Ltd.	Subsidiary	London	United Kingdom	Broadcasting and Media
Tiger Aspect Holdings Ltd.	Subsidiary	London	United Kingdom	Broadcasting and Media
Tiger Aspect Productions Ltd.	Subsidiary	London	United Kingdom	Broadcasting and Media	60.9	69
Tiger Aspect Pictures Ltd.	Subsidiary	London	United Kingdom	Broadcasting and Media	0.8
Tiger Aspect Films Ltd.	Subsidiary	London	United Kingdom	Broadcasting and Media	0.6
Tiger Aspect Pictures (Dog Eat Dog) Ltd.	Subsidiary	West Kensington	United Kingdom	Broadcasting and Media
Tiger Aspect Pictures (Tosspot) Ltd.	Subsidiary	West Kensington	United Kingdom	Broadcasting and Media
Tiger Aspect Pictures (Royston Vasey) Ltd.	Subsidiary	West Kensington	United Kingdom	Broadcasting and Media
The Boys Are Back In Town Ltd.	Subsidiary	West Kensington	United Kingdom	Broadcasting and Media
Tiger Aspect Assets Ltd.	Subsidiary	West Kensington	United Kingdom	Broadcasting and Media
Izenda Productions Ltd.	Subsidiary	London	United Kingdom	Broadcasting and Media
Tigress Productions Ltd.	Subsidiary	London	United Kingdom	Broadcasting and Media	9.1	13
Tiger Aspect Scotland Ltd.	Subsidiary	Glasgow	United Kingdom	Broadcasting and Media	7.2	1
Tiger Television Ltd.	Subsidiary	London	United Kingdom	Broadcasting and Media
Tronpipe Ltd.	Subsidiary	West Kensington	United Kingdom	Broadcasting and Media
Broadcast News Ltd.	Subsidiary	London	United Kingdom	Broadcasting and Media
Mediaset Investment S.a.r.l.	Subsidiary	Luxembourg	Luxembourg	Broadcasting and Media
Endemol Investment Holding BV	Subsidiary
Endemol N.V.	Subsidiary	Hilversum	Netherlands	Holding Companies		5,000
Endemol Deutschland Holding GmbH	Subsidiary	Köln, Nordrhein-Westfalen	Germany	Holding Companies		42
Endemol Nederland BV	Subsidiary	Duivendrecht	Netherlands	Promoters and Agents		300
Gestmusic Endemol Sa	Subsidiary	Barcelona	Spain	Movies	59.1	179
Endemol Deutschland GmbH	Subsidiary	Köln, Nordrhein-Westfalen	Germany	Performing Arts	87.2	129
Endemol USA Inc.	Subsidiary	West Hollywood, CA	United States	Holding Companies	4.8	30
True Entertainment LLC	Subsidiary	New York, NY	United States	Movies	25.1	60
Authentic Entertainment, Inc.	Subsidiary	Burbank, CA	United States	Movies	17.8	20
Endemol Belgie Nv	Subsidiary	Mechelen	Belgium	Broadcasting and Media	11.3	26
Endemol UK Holding Ltd.	Subsidiary	London	United Kingdom	Broadcasting and Media
Endemol International Ltd.	Subsidiary	London	United Kingdom	Broadcasting and Media	2.8	21
Edam Slb Ltd.	Subsidiary	West Kensington	United Kingdom	Broadcasting and Media

Executives Report

Executives

Name	Title	Function
Richard Reitzner	Managing director	Managing Director
Education: Ludwig Maximilian University, university (Business Administration)

Annual Profit & Loss

	31-Mar-2010	30-Sep-2009	30-Sep-2008
Period Length	6 Months	12 Months	12 Months
Filed Currency	EUR	EUR	EUR
Exchange Rate (Period Average)	0.70861	0.73971	0.666382
Consolidated	No	No	No
Total income	311.8	505.8	525.8
Raw materials and services	-	-	260.2
Net sales	311.8	505.8	525.8
Own work capitalised	-	-	0.4
Other operating income	7.8	6.9	9.8
Raw materials and consumables employed	-	-	260.2
Cost of goods sold	145.7	245.0	260.2
Cost of raw materials	145.7	245.0	260.2
Taxes and social security costs	3.5	6.6	8.4
Total payroll costs	25.5	46.2	51.6
Fixed asset depreciation and amortisation	5.2	9.0	10.2
Other operating costs	103.4	178.4	183.3
Net operating income	39.9	34.0	30.7
Other income	0.4	4.1	2.2
Interest payable on loans	0.0	0.3	0.2
Total expenses	-0.4	-3.9	-2.0
Profit before tax	40.3	37.9	32.7
Provisions	51.5	51.0	24.5
Extraordinary expenses	-	63.1	-
Extraordinary result	-	-63.1	-
Other taxes	0.5	2.8	-
Total taxation	11.3	10.2	-0.4
Profit distributed to shareholders	-	-	-32.5
Net profit	28.4	-	0.6
Net loss	-	-38.3	-

Annual Balance Sheet

Financials in: USD (mil)

	31-Mar-2010	30-Sep-2009	30-Sep-2008
Filed Currency	EUR	EUR	EUR
Exchange Rate	0.739044	0.684135	0.711921
Consolidated	No	No	No
Issued capital	0.1	0.1	0.1
Capital reserves	76.9	83.1	217.2
Total reserves	-	-	20.8
Profits for the year	-11.1	-41.4	-
Total stockholders equity	65.9	41.8	238.0
Deferred taxation	8.4	11.5	5.4
Other provisions	41.0	-	2.6
Provisions and allowances	49.4	55.2	22.9
Other debentures	-	-	0.8
Total long-term liabilities	-	-	0.8
Trade creditors	37.2	48.0	61.7
Other loans	-	-	0.3
Taxation and social security	8.5	4.7	15.1
Due to group companies	-	11.9	-
Total current liabilities	45.7	64.6	107.6
Regularisation account	0.8	0.9	0.8
Total liabilities (including net worth)	162.9	162.5	370.2
Patents	14.0	17.1	-
Goodwill	15.7	18.7	-
Intangibles	32.2	37.0	206.5
Land and buildings	1.3	-	-
Fixtures and equipment	1.3	-	-
Fixed assets under construction	0.3	-	-
Total tangible fixed assets	6.5	7.2	8.3
Total non-current assets	38.7	44.1	214.8
Finished goods	58.5	69.0	-
Net stocks and work in progress	58.5	69.0	51.6
Trade debtors	10.5	11.3	38.8
Other receivables	8.3	9.9	49.3
Total receivables	18.8	21.4	88.1
Owing from associated companies	0.0	0.3	-
Cash and liquid assets	44.5	22.5	9.9
Total current assets	121.9	112.9	149.6
Prepaid expenses and deferred costs	2.4	5.6	5.7
Total assets	162.9	162.5	370.2

Annual Ratios

Financials in: USD (mil)

	31-Mar-2010	30-Sep-2009	30-Sep-2008
Period Length	6 Months	12 Months	12 Months
Filed Currency	EUR	EUR	EUR
Exchange Rate	0.739044	0.684135	0.711921
Consolidated	No	No	No
Current ratio	26.68	17.47	13.91
Acid test ratio	13.87	6.80	9.11
Total liabilities to net worth	0.07%	0.15%	0.05%
Net worth to total assets	0.04%	0.03%	0.06%
Current liabilities to net worth	0.07%	0.15%	0.05%
Current liabilities to stock	0.08%	0.09%	0.21%
Fixed assets to net worth	0.06%	0.11%	0.09%
Collection period	63.00	77.00	288.00
Stock turnover rate	1.96	1.26	1.05
Profit margin	0.01%	-0.01%	0.01%
Return on assets	0.02%	-0.03%	0.01%
Shareholders' return	0.04%	-0.10%	0.01%
Sales per employee	39.89	69.68	-
Profit per employee	3.64	3.42	-
Average wage per employee	3.26	6.36	-
Net worth	65.9	41.8	238.0
Number of employees	554	537	-

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.35
UK Pound	1	Rs.100.21
Euro	1	Rs.83.52

INFORMATION DETAILS

Report Prepared by :

NNA

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.