MIRA INFORM REPORT

Report Date :

24.01.2014

IDENTIFICATION DETAILS

Name :	AGTRAC MACHINERY SDN. BHD.
Registered Office :	18-1, 18-2, 18-3, Jalan 4/18, Taman Mastiara, Batu 5 1/2, Jalan Ipoh, 51200 Kuala Lumpur, Wilayah Persekutuan
Country :	Malaysia
Financials (as on) :	31.10.2012
Date of Incorporation :	13.10.2003
Com. Reg. No.:	631201-A
Legal Form :	Private Limited Company
Line of Business :	· Dealer and retailer of machinery spare parts. Subject sells spare parts for machineries.
No. of Employees :	Not Available

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 30, 2013

Country Name	Previous Rating (30.06.2013)	Current Rating (30.09.2013)
Malaysia	A2	A2

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

MAlaysia ECONOMIC OVERVIEW

Malaysia, a middle-income country, has transformed itself since the 1970s from a producer of raw materials into an emerging multi-sector economy. Under current Prime Minister NAJIB, Malaysia is attempting to achieve high-income status by 2020 and to move farther up the value-added production chain by attracting investments in Islamic finance, high technology industries, biotechnology, and services. NAJIB's Economic Transformation Program (ETP) is a series of projects and policy measures intended to accelerate the country's economic growth. The government has also taken steps to liberalize some services sub-sectors. The NAJIB administration also is continuing efforts to boost domestic demand and reduce the economy''s dependence on exports. Nevertheless, exports - particularly of electronics, oil and gas, palm oil and rubber - remain a significant driver of the economy. As an oil and gas exporter, Malaysia has profited from higher world energy prices, although the rising cost of domestic gasoline and diesel fuel, combined with strained government finances, has forced Kuala Lumpur to begin to reduce government subsidies. The government is also trying to lessen its dependence on state oil producer Petronas. The oil and gas sector supplies about 35% of government revenue in 2011. Bank Negera Malaysia (central bank) maintains healthy foreign exchange reserves, and a well-developed regulatory regime has limited Malaysia''s exposure to riskier financial instruments and the global financial crisis. Nevertheless, Malaysia could be vulnerable to a fall in commodity prices or a general slowdown in global economic activity because exports are a major component of GDP. In order to attract increased investment, NAJIB has raised possible revisions to the special economic and social preferences accorded to ethnic Malays under the New Economic Policy of 1970, but he has encountered significant opposition, especially from Malay nationalists and other vested interests.

Source : CIA

* Adopted abbreviations :	SC - Subject Company (the company enquired by you)
	N/A - Not Applicable

EXECUTIVE SUMMARY

REGISTRATION NO.

:

631201-A

COMPANY NAME

:

AGTRAC MACHINERY SDN. BHD.

FORMER NAME

:

N/A

INCORPORATION DATE

:

13/10/2003

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED

LISTED STATUS

:

NO

REGISTERED ADDRESS

:

18-1, 18-2, 18-3, JALAN 4/18, TAMAN MASTIARA, BATU 5 1/2, JALAN IPOH, 51200 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

BUSINESS ADDRESS

:

18-1, 18-2, 18-3, JALAN 4/18A, TAMAN MASTIARA, BATU 5 1/2, JALAN IPOH, 51200 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

TEL.NO.

:

03-62529873

FAX.NO.

:

03-62527873

CONTACT PERSON

:

CHEN CHEE CHONG ( DIRECTOR )

INDUSTRY CODE

:

465

PRINCIPAL ACTIVITY

:

DEALER AND RETAILER OF MACHINERY SPARE PARTS.

AUTHORISED CAPITAL

:

MYR 500,000.00 DIVIDED INTO 
ORDINARY SHARE 500,000.00 OF MYR 1.00 EACH.

ISSUED AND PAID UP CAPITAL

:

MYR 500,000.00 DIVIDED INTO 
ORDINARY SHARES 500,000 CASH OF MYR 1.00 EACH.

SALES

:

MYR 4,565,859 [2012]

NET WORTH

:

MYR 1,465,545 [2012]

STAFF STRENGTH

:

N/A

BANKER (S)

:

RHB BANK BHD PUBLIC BANK BHD

LITIGATION

:

CLEAR

DEFAULTER CHECK

:

CLEAR

FINANCIAL CONDITION

:

STRONG

PAYMENT

:

GOOD

MANAGEMENT CAPABILITY

:

AVERAGE

COMMERCIAL RISK

:

MODERATE

CURRENCY EXPOSURE

:

N/A

GENERAL REPUTATION

:

SATISFACTORY

INDUSTRY OUTLOOK

:

AVERAGE 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, 1965 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) dealer and retailer of machinery spare parts..

The Subject is not listed on Bursa Malaysia (Malaysia Stock Exchange).

Share Capital History

Date	Authorised Shared Capital	Issue & Paid Up Capital
15/02/2013	MYR 500,000.00	MYR 500,000.00

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

Name	Address	IC/PP/Loc No	Shareholding	(%)
MR. CHEN CHEE CHONG +	C-141K, KAMPUNG BARU, 26300 KUANTAN, PAHANG, MALAYSIA.	601016-08-5701 6043997	125,000.00	25.00
MR. LIM WAY YONG +	18, HALA TASEK TIMUR 36, TAMAN PUSAR BERCHAM, 31400 IPOH, PERAK, MALAYSIA.	681028-08-6261	125,000.00	25.00
MR. GOH CHANG TECK +	21, JALAN BESAR, 36700 LANGKAP, PERAK, MALAYSIA.	740212-08-5493 A2709804	125,000.00	25.00
MR. CHUAH KOK WEI +	353, PERSIARAN BUNTONG JAYA 7, KG. TERSUSUN, HULU BUNTONG, 30100 IPOH, PERAK, MALAYSIA.	700508-08-6667	125,000.00	25.00
			---------------	------
			500,000.00	100.00
			============	=====

+ Also Director

DIRECTORS

DIRECTOR 1

Name Of Subject	:	MR. CHEN CHEE CHONG
Address	:	C-141K, KAMPUNG BARU, 26300 KUANTAN, PAHANG, MALAYSIA.
IC / PP No	:	6043997
New IC No	:	601016-08-5701
Date of Birth	:	16/10/1960
Nationality	:	MALAYSIAN
Date of Appointment	:	16/05/2011

DIRECTOR 2

Name Of Subject	:	MR. LIM WAY YONG
Address	:	18, HALA TASEK TIMUR 36, TAMAN PUSAR BERCHAM, 31400 IPOH, PERAK, MALAYSIA.
New IC No	:	681028-08-6261
Date of Birth	:	28/10/1968
Nationality	:	MALAYSIAN
Date of Appointment	:	03/10/2003

DIRECTOR 3

Name Of Subject	:	MR. GOH CHANG TECK
Address	:	21, JALAN BESAR, 36700 LANGKAP, PERAK, MALAYSIA.
IC / PP No	:	A2709804
New IC No	:	740212-08-5493
Date of Birth	:	12/02/1974
Nationality	:	MALAYSIAN
Date of Appointment	:	07/06/2004

DIRECTOR 4

Name Of Subject	:	MR. CHUAH KOK WEI
Address	:	353, PERSIARAN BUNTONG JAYA 7, KG. TERSUSUN, HULU BUNTONG, 30100 IPOH, PERAK, MALAYSIA.
New IC No	:	700508-08-6667
Date of Birth	:	08/05/1970
Nationality	:	MALAYSIAN
Date of Appointment	:	03/10/2003

MANAGEMENT

1)	Name of Subject	:	CHEN CHEE CHONG
	Position	:	DIRECTOR

AUDITOR

Auditor	:	WONG KAM MENG & CO.
Auditor' Address	:	95B, KONG WAH BUILDING, JALAN C.M.YUSOFF, 30250 IPOH, PERAK, MALAYSIA.

COMPANY SECRETARIES

1)	Company Secretary	:	MS. TAN SWEE YEE
	IC / PP No	:	A2046312
	New IC No	:	710911-10-5628
	Address	:	NO. 5, JALAN AITKEN 1, CANNING GARDEN, 31400 IPOH, PERAK, MALAYSIA.

BANKING

Banking relations are maintained principally with :

1)

Name

:

RHB BANK BHD

2)

Name

:

PUBLIC BANK BHD

ENCUMBRANCE (S)

Charge No	Creation Date	Charge Description	Chargee Name	Total Charge	Status
1	20/04/2007	N/A	PUBLIC BANK BHD	MYR 225,000.00	Unsatisfied
2	13/07/2011	N/A	RHB BANK BHD	MYR 1,100,000.00	Unsatisfied

LEGAL CHECK AGAINST SUBJECT

* A check has been conducted in our databank against the Subject whether the subject has been involved in any litigation. Our databank consists of 99% of the wound up companies in Malaysia.

No legal action was found in our databank. 

No winding up petition was found in our databank. 

DEFAULTER CHECK AGAINST SUBJECT

* We have checked through the Subject in our defaulters' database which comprised of debtors that have been blacklisted by our customers and debtors that have been placed or assigned to us for collection since 1990. Information was provided by third party where the debt amount can be disputed. Please check with creditors for confirmation as alleged debts may have been paid since recorded or are being disputed. 

No blacklisted record & debt collection case was found in our defaulters' databank. 

PAYMENT RECORD

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

The Subject refused to disclose its suppliers. 

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	Percentage	:	100%
Domestic Markets	:	MALAYSIA
Overseas	:	NO
Credit Term	:	N/A
Payment Mode	:	CHEQUES

OPERATIONS

Goods Traded

:

MACHINERY SPARE PARTS.

Branch

:

NO

Other Information:

The Subject is principally engaged in the (as a / as an) dealer and retailer of machinery spare parts.. 

The Subject sells spare parts for machineries. 

CURRENT INVESTIGATION

Latest fresh investigations carried out on the Subject indicated that :

Telephone Number Provided By Client	:	N/A
Current Telephone Number	:	03-62529873
Match	:	N/A
Address Provided by Client	:	18, JALAN 4/18A TAMAN MASTIARA BATU S 1/2 KUALA LUMPUR
Current Address	:	18-1, 18-2, 18-3, JALAN 4/18A, TAMAN MASTIARA, BATU 5 1/2, JALAN IPOH, 51200 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
Match	:	NO
Latest Financial Accounts	:	YES

Other Investigations

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

The address provided is incomplete.

She refused to disclose the number of employees.

FINANCIAL ANALYSIS

Profitability
Turnover	:	Increased	[	2008 - 2012	]
Profit/(Loss) Before Tax	:	Increased	[	2008 - 2012	]
Return on Shareholder Funds	:	Acceptable	[	16.85%	]
Return on Net Assets	:	Acceptable	[	21.11%	]
The Subject's turnover increased steadily as the demand for its products / services increased due to the goodwill built up over the years.The higher profit could be attributed to the increase in turnover. The Subject's management had generated acceptable return for its shareholders using its assets.
Working Capital Control
Stock Ratio	:	Unfavourable	[	73 Days	]
Debtor Ratio	:	Unfavourable	[	112 Days	]
Creditors Ratio	:	Favourable	[	41 Days	]
The Subject could be incurring higher holding cost. As its capital was tied up in stocks, it could face liquidity problems. The Subject's debtors ratio was high. The Subject should tighten its credit control and improve its collection period. 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	:	Favourable	[	1.32 Times	]
Current Ratio	:	Unfavourable	[	1.85 Times	]
A minimum liquid ratio of 1 should be maintained by the Subject in order to assure its creditors of its ability to meet short term obligations and the Subject was in a good liquidity position. Thus, we believe the Subject is able to meet all its short term obligations as and when they fall due.
Solvency
Interest Cover	:	Acceptable	[	7.66 Times	]
Gearing Ratio	:	Favourable	[	0.37 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 :
Generally, the Subject's performance has improved with higher turnover and profit. The Subject was in good liquidity position with its total current liabilities well covered by its total current assets. With its current net assets, the Subject should be able to repay 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 : STRONG

MALAYSIA ECONOMIC / INDUSTRY OUTLOOK

Major Economic Indicators:	2009	2010	2011	2012*	2013**
Population ( Million)	28.13	28.35	28.70	29.30	29.80
Gross Domestic Products ( % )	(0.5)	7.2	5.1	5.6	5.3
Domestic Demand ( % )	2.9	6.3	8.2	9.4	5.6
Private Expenditure ( % )	(2.7)	8.1	8.2	8.0	7.4
Consumption ( % )	0.7	6.7	7.1	1.0	5.7
Investment ( % )	(17.2)	17.7	12.2	11.7	13.3
Public Expenditure ( % )	5.2	3.8	8.4	13.3	1.2
Consumption ( % )	3.1	0.2	16.1	11.3	(1.2)
Investment ( % )	8.0	2.8	(0.3)	15.9	4.2
Balance of Trade ( MYR Million )	89,650	118,356	116,058	106,300	110,700
Government Finance ( MYR Million )	(28,450)	(40,482)	(45,511)	(42,297)	(39,993)
Government Finance to GDP / Fiscal Deficit ( % )	(4.8)	(5.6)	(5.4)	(4.5)	(4.0)
Inflation ( % Change in Composite CPI)	(5.2)	5.1	3.1	1.6	2.5
Unemployment Rate	4.5	3.9	3.3	3.2	3.0
Net International Reserves ( MYR Billion )	331	329	415	427	-
Average Risk-Weighted Capital Adequacy Ratio ( % )	2.87	2.20	3.50	2.20	-
Average 3 Months of Non-performing Loans ( % )	11.08	15.30	14.80	14.70	-
Average Base Lending Rate ( % )	5.53	6.30	6.60	6.53	-
Business Loans Disbursed( % )	10.5	14.7	15.3	32.2	-
Foreign Investment ( MYR Million )	22,156.8	22,517.9	23,546.1	26,230.4	-
Consumer Loans ( % )	-	-	-	-	-
Registration of New Companies ( No. )	41,578	44,148	45,455	45,441	-
Registration of New Companies ( % )	(0.1)	6.2	3.0	(0.0)	-
Liquidation of Companies ( No. )	39,075	25,585	132,476	-	-
Liquidation of Companies ( % )	39.6	(34.5)	417.8	-	-
Registration of New Business ( No. )	312,581	271,414	284,598	324,761	-
Registration of New Business ( % )	-	-	-	-	-
Business Dissolved ( No. )	19,345	19,738	20,121	-	-
Business Dissolved ( % )	2.4	2.0	1.9	-	-
Sales of New Passenger Cars (' 000 Unit )	486.3	543.6	535.1	552.2	-
Cellular Phone Subscribers ( Million )	30.1	32.8	35.3	38.5	-
Tourist Arrival ( Million Persons )	23.6	24.6	24.7	25.0	-
Hotel Occupancy Rate ( % )	58.0	63.0	60.6	62.4	-
Credit Cards Spending ( % )	12.8	14.1	15.6	12.6	-
Bad Cheque Offenders (No.)	36,667	33,568	32,627	26,982	-
Individual Bankruptcy ( No.)	16,228	18,119	19,167	19,575	-
Individual Bankruptcy ( % )	16.7	11.7	5.8	2.1	-
INDUSTRIES ( % of Growth ):	2009	2010	2011	2012*	2013**
Agriculture	0.4	2.1	5.9	0.6	2.4
Palm Oil	(1.1)	(3.4)	10.8	(2.8)	-
Rubber	(19.8)	9.9	6.1	(0.6)	-
Forestry & Logging	(5.9)	(3.3)	(7.6)	(2.2)	-
Fishing	5.5	5.6	2.1	(0.7)	-
Other Agriculture	9.0	7.9	7.1	6.4	-
Industry Non-Performing Loans ( MYR Million )	413.7	508.4	634.1	-	-
% of Industry Non-Performing Loans	1.3	2.1	3.2	-	-
Mining	(3.8)	0.2	(5.7)	1.5	2.7
Oil & Gas	2.1	0.5	(1.7)	-	-
Other Mining	-	-	-	-	-
Industry Non-performing Loans ( MYR Million )	44.2	49.7	46.5	-	-
% of Industry Non-performing Loans	0.1	0.1	0.1	-	-
Manufacturing #	(9.4)	11.4	4.7	4.2	4.9
Exported-oriented Industries	(19.0)	12.1	2.8	4.1	-
Electrical & Electronics	(30.3)	28.4	(4.9)	1.6	-
Rubber Products	(10.1)	25.3	15.4	3.6	-
Wood Products	(24.1)	20.1	(4.9)	4.6	-
Textiles & Apparel	(19.5)	(0.4)	14.8	(7.1)	-
Domestic-oriented Industries	(9.8)	16.3	6.5	8.6	-
Food, Beverages & Tobacco	0.2	3.0	4.2	-	-
Chemical & Chemical Products	(7.7)	16.2	5.5	9.9	-
Plastic Products	(9.1)	2.4	3.8	-	-
Iron & Steel	(32.7)	29.3	2.4	-	-
Fabricated Metal Products	(2.5)	14.9	25.2	-	-
Non-metallic Mineral	(15.5)	20.2	27.1	6.6	-
Transport Equipment	(13.5)	36.5	(10.4)	13.7	-
Paper & Paper Products	(5.0)	18.7	14.8	(7.8)	-
Crude Oil Refineries	0.2	(11.4)	9.3	-	-
Industry Non-Performing Loans ( MYR Million )	6,007.3	6,217.5	6,537.2	-	-
% of Industry Non-Performing Loans	18.3	23.8	25.7	-	-
Construction	5.8	5.1	4.4	15.5	11.2
Industry Non-Performing Loans ( MYR Million )	3,241.8	4,038.5	3,856.9	-	-
% of Industry Non-Performing Loans	9.9	10.7	10.2	-	-
Services	2.6	6.5	6.4	5.5	5.6
Electric, Gas & Water	0.4	8.5	5.6	4.8	-
Transport, Storage & Communication	1.6	7.7	6.5	7.3	-
Wholesale, Retail, Hotel & Restaurant	2.8	4.7	5.2	6.9	-
Finance, Insurance & Real Estate	3.8	6.1	6.3	6.5	-
Government Services	2.0	6.7	7.6	5.6	-
Other Services	4.4	4.2	5.4	5.7	-
Industry Non-Performing Loans ( MYR Million )	6,631.3	7,384.6	6,825.2	-	-
% of Industry Non-Performing Loans	20.2	25.7	23.4	-	-
* Estimate / Preliminary
** Forecast
# Based On Manufacturing Production Index  (Source : Department of Statistics / Economic Report / Bank Negara Report)

INDUSTRY ANALYSIS

MSIC CODE
465 : Wholesale of machinery, equipment and supplies
INDUSTRY :	MACHINERY
Malaysia is presently the leading manufacturer of automation machinery and equipment (M&E) for the electrical and electronics (E&E) industry in the ASEAN region with a total of 22 companies in production. The machinery and equipment industry has expanded and produce a diverse range of machinery which give importance to the overall industrial development of the country, due to its cross cutting linkages with all industrial sectors.
Malaysia implemented Industrial Master Plan 3 (IMP3, 2006-2020), which the machinery and equipment industry has been established as one of the key areas for growth and development. The implementation focused on the manufacture of high value-added and high technology machinery and equipment (M&E). Under this plan, M&E will positioned Malaysia as the regional production hub for high technology and specialized M&E in the ASEAN region for 2012.
Furthemore for the year 2012, Malaysia is the largest manufacturing hub of boilers in the Southeast Asia region. The exports are mainly directed to the neighboring countries such as Indonesia, Philippines, Thailand and Cambodia. Exports of machinery and equipment registered a double-digit growth of 12.6% in the frst seven month of 2012 mainly driven by general industrial machinery and equipment as well as specialised machinery for specific industries.
For enhance the machinery and equipment (M&E), the government has introduced two major tax incentives for companies investing in the manufacturing sector where the pioneer status and the investment tax allowance. The tax incentives would remain to be a competitive industry within ASEAN.
OVERALL INDUSTRY OUTLOOK : Average Growth

CREDIT RISK EVALUATION & RECOMMENDATION

Incorporated in 2003, the Subject is a Private Limited company, focusing on dealer and retailer of machinery spare parts.. Having been in the industry for over a decade, the Subject has achieved a certain market share and has built up a satisfactory reputation in the market. It should have received supports from its regular customers. Presently, issued and paid up capital of the Subject stand at MYR500,000. 

Over the years, the Subject should have build up its clientele base and received supports from its regular customers. Investigation revealed that the Subject's interest lies mostly in the local market. Thus, any adverse changes to the local economy might have a negative impact on the Subject's business performance. 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. 

We noted that both the turnover and profits have increased compared to the previous year. The higher profit could be due to increase in turnover and better control over its operating costs. 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 is in good liquidity position with its current liabilities well covered by it current assets. Hence, it has sufficient working capital to meet its short term 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 MYR 1,465,545, 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 shows an upward trend and this trend is very likely to sustain in the near terms. Hence, the Subject is expected to benefit from the favourable outlook of the industry. 

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 MALAYSIAN FINANCIAL REPORTING STANDARDS(FRS)

AGTRAC MACHINERY SDN. BHD.

Financial Year End	2012-10-31	2011-10-31	2010-10-31	2009-10-31	2008-10-31
Months	12	12	12	12	12
Consolidated Account	Company	Company	Company	Company	Company
Audited Account	YES	YES	YES	YES	YES
Unqualified Auditor's Report (Clean Opinion)	YES	YES	YES	YES	YES
Financial Type	FULL	FULL	FULL	FULL	FULL
Currency	MYR	MYR	MYR	MYR	MYR
TURNOVER	4,565,859	4,127,393	3,975,685	4,134,417	4,035,505
	----------------	----------------	----------------	----------------	----------------
Total Turnover	4,565,859	4,127,393	3,975,685	4,134,417	4,035,505
Costs of Goods Sold	(3,050,034)	(2,905,537)	(2,880,784)	(3,104,836)	(3,174,417)
	----------------	----------------	----------------	----------------	----------------
Gross Profit	1,515,825	1,221,856	1,094,901	1,029,581	861,088
	----------------	----------------	----------------	----------------	----------------
PROFIT/(LOSS) FROM OPERATIONS	318,839	191,913	117,337	152,618	202,213
	----------------	----------------	----------------	----------------	----------------
PROFIT/(LOSS) BEFORE TAXATION	318,839	191,913	117,337	152,618	202,213
Taxation	(71,844)	(53,401)	(33,533)	(41,227)	(42,429)
	----------------	----------------	----------------	----------------	----------------
PROFIT/(LOSS) AFTER TAXATION	246,995	138,512	83,804	111,391	159,784
	----------------	----------------	----------------	----------------	----------------
RETAINED PROFIT/(LOSS) BROUGHT FORWARD
As previously reported	718,550	580,038	496,234	384,843	225,059
	----------------	----------------	----------------	----------------	----------------
As restated	718,550	580,038	496,234	384,843	225,059
	----------------	----------------	----------------	----------------	----------------
PROFIT AVAILABLE FOR APPROPRIATIONS	965,545	718,550	580,038	496,234	384,843
	----------------	----------------	----------------	----------------	----------------
RETAINED PROFIT/(LOSS) CARRIED FORWARD	965,545	718,550	580,038	496,234	384,843
	=============	=============	=============	=============	=============
INTEREST EXPENSE (as per notes to P&L)
Bank overdraft	11,949	3,089	-	-	-
Bankers' acceptance	10,215	4,992	-	-	-
Hire purchase	17,313	9,994	-	-	-
Term loan / Borrowing	8,218	11,137	-	-	-
Others	148	9,741	-	-	-
	----------------	----------------	----------------	----------------	----------------
	47,843	38,953	-	-	-
	=============	=============

BALANCE SHEET

AGTRAC MACHINERY SDN. BHD.

ASSETS EMPLOYED:
FIXED ASSETS	251,600	345,366	97,831	97,516	131,872
LONG TERM INVESTMENTS/OTHER ASSETS
Deferred assets	18,280	11,303	11,074	9,519	8,634
	----------------	----------------	----------------	----------------	----------------
TOTAL LONG TERM INVESTMENTS/OTHER ASSETS	18,280	11,303	11,074	9,519	8,634
	----------------	----------------	----------------	----------------	----------------
TOTAL LONG TERM ASSETS	269,880	356,669	108,905	107,035	140,506
CURRENT ASSETS
Stocks	918,075	880,591	872,789	736,237	875,610
Trade debtors	1,399,268	1,258,973	1,396,420	1,365,903	1,358,693
Other debtors, deposits & prepayments	23,853	16,670	19,025	29,667	17,940
Short term deposits	491,104	475,936	168,066	165,338	159,015
Amount due from director	150,000	-	-	-	-
Cash & bank balances	206,029	170,401	251,757	324,817	269,750
Others	-	-	3,388	-	-
	----------------	----------------	----------------	----------------	----------------
TOTAL CURRENT ASSETS	3,188,329	2,802,571	2,711,445	2,621,962	2,681,008
	----------------	----------------	----------------	----------------	----------------
TOTAL ASSET	3,458,209	3,159,240	2,820,350	2,728,997	2,821,514
	=============	=============	=============	=============	=============
CURRENT LIABILITIES
Trade creditors	345,722	409,273	615,944	759,436	1,222,510
Other creditors & accruals	1,060,682	891,282	683,878	498,044	263,815
Hire purchase & lease creditors	62,943	60,615	29,659	22,423	22,769
Bank overdraft	88,008	137,590	-	-	-
Short term borrowings/Term loans	47,868	47,868	47,868	47,868	110,332
Bill & acceptances payable	79,000	-	144,000	112,000	74,000
Amounts owing to director	-	6,133	47,434	81,404	142,000
Provision for taxation	36,980	13,877	-	3,013	13,967
	----------------	----------------	----------------	----------------	----------------
TOTAL CURRENT LIABILITIES	1,721,203	1,566,638	1,568,783	1,524,188	1,849,393
	----------------	----------------	----------------	----------------	----------------
NET CURRENT ASSETS/(LIABILITIES)	1,467,126	1,235,933	1,142,662	1,097,774	831,615
	----------------	----------------	----------------	----------------	----------------
TOTAL NET ASSETS	1,737,006	1,592,602	1,251,567	1,204,809	972,121
	=============	=============	=============	=============	=============
SHARE CAPITAL
Ordinary share capital	500,000	500,000	500,000	500,000	500,000
	----------------	----------------	----------------	----------------	----------------
TOTAL SHARE CAPITAL	500,000	500,000	500,000	500,000	500,000
RESERVES
Retained profit/(loss) carried forward	965,545	718,550	580,038	496,234	384,843
	----------------	----------------	----------------	----------------	----------------
TOTAL RESERVES	965,545	718,550	580,038	496,234	384,843
	----------------	----------------	----------------	----------------	----------------
SHAREHOLDERS' FUNDS/EQUITY	1,465,545	1,218,550	1,080,038	996,234	884,843
LONG TERM LIABILITIES
Long term loans	32,576	72,225	-	-	-
Hire purchase creditors	238,885	301,827	-	-	-
Others	-	-	171,529	208,575	87,278
	----------------	----------------	----------------	----------------	----------------
TOTAL LONG TERM LIABILITIES	271,461	374,052	171,529	208,575	87,278
	----------------	----------------	----------------	----------------	----------------
	1,737,006	1,592,602	1,251,567	1,204,809	972,121
	=============	=============	=============	=============	=============

FINANCIAL RATIO

AGTRAC MACHINERY SDN. BHD.

TYPES OF FUNDS
Cash	697,133	646,337	419,823	490,155	428,765
Net Liquid Funds	530,125	508,747	275,823	378,155	354,765
Net Liquid Assets	549,051	355,342	269,873	361,537	(43,995)
Net Current Assets/(Liabilities)	1,467,126	1,235,933	1,142,662	1,097,774	831,615
Net Tangible Assets	1,737,006	1,592,602	1,251,567	1,204,809	972,121
Net Monetary Assets	277,590	(18,710)	98,344	152,962	(131,273)
BALANCE SHEET ITEMS
Total Borrowings	549,280	620,125	221,527	182,291	207,101
Total Liabilities	1,992,664	1,940,690	1,740,312	1,732,763	1,936,671
Total Assets	3,458,209	3,159,240	2,820,350	2,728,997	2,821,514
Net Assets	1,737,006	1,592,602	1,251,567	1,204,809	972,121
Net Assets Backing	1,465,545	1,218,550	1,080,038	996,234	884,843
Shareholders' Funds	1,465,545	1,218,550	1,080,038	996,234	884,843
Total Share Capital	500,000	500,000	500,000	500,000	500,000
Total Reserves	965,545	718,550	580,038	496,234	384,843
LIQUIDITY (Times)
Cash Ratio	0.41	0.41	0.27	0.32	0.23
Liquid Ratio	1.32	1.23	1.17	1.24	0.98
Current Ratio	1.85	1.79	1.73	1.72	1.45
WORKING CAPITAL CONTROL (Days)
Stock Ratio	73	78	80	65	79
Debtors Ratio	112	111	128	121	123
Creditors Ratio	41	51	78	89	141
SOLVENCY RATIOS (Times)
Gearing Ratio	0.37	0.51	0.21	0.18	0.23
Liabilities Ratio	1.36	1.59	1.61	1.74	2.19
Times Interest Earned Ratio	7.66	5.93	0.00	0.00	0.00
Assets Backing Ratio	3.47	3.19	2.50	2.41	1.94
PERFORMANCE RATIO (%)
Operating Profit Margin	6.98	4.65	2.95	3.69	5.01
Net Profit Margin	5.41	3.36	2.11	2.69	3.96
Return On Net Assets	21.11	14.50	9.38	12.67	20.80
Return On Capital Employed	19.42	12.89	9.16	12.44	20.33
Return On Shareholders' Funds/Equity	16.85	11.37	7.76	11.18	18.06
Dividend Pay Out Ratio (Times)	0.00	0.00	0.00	0.00	0.00
NOTES TO ACCOUNTS
Contingent Liabilities	0	0	0	0	0

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.99
UK Pound	1	Rs.102.67
Euro	1	Rs.83.98

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.