MIRA INFORM REPORT

Report Date :

21.07.2014

IDENTIFICATION DETAILS

Name :	NOIDUE SILK PRODUCTION AND EXPORT COOP
Registered Office :	Dinh Ca - Noi Due, Tien Du Dist, Bac Ninh
Country :	Vietnam
Financials (as on) :	December, 2011
Date of Incorporation :	27.07.2000
Legal Form :	Cooperative
Line of Business :	Manufacturer of Textiles & Raw Material
No. of Employees	145

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 :	Unknown
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, 2014

Country Name	Previous Rating (31.12.2013)	Current Rating (31.03.2014)
Vietnam	B1	B1

Risk Category	ECGC Classification
Insignificant	A1
Low Risk	A2
Moderately Low Risk	B1
Moderate Risk	B2
Moderately High Risk	C1
High Risk	C2
Very High Risk	D

VIETNAM - ECONOMIC OVERVIEW

Vietnam is a densely-populated developing country that has been transitioning from the rigidities of a centrally-planned economy since 1986. Vietnamese authorities have reaffirmed their commitment to economic modernization in recent years. Vietnam joined the World Trade Organization in January 2007, which has promoted more competitive, export-driven industries. Vietnam became an official negotiating partner in the Trans-Pacific Partnership trade agreement in 2010. Agriculture's share of economic output has continued to shrink from about 25% in 2000 to less than 20% in 2013, while industry's share increased from 36% to more than 42% in the same period. State-owned enterprises account for about 40% of GDP. Poverty has declined significantly, and Vietnam is working to create jobs to meet the challenge of a labor force that is growing by more than one million people every year. The global recession hurt Vietnam's export-oriented economy, with GDP in 2013 growing at 5%, the slowest rate of growth since 1999. In 2013, however, exports increased by more than 12%, year-on-year; several administrative actions brought the trade deficit back into balance. Between 2008 and 2011, Vietnam's managed currency, the dong, was devalued in excess of 20%, but its value remained relatively stable in 2013. Hanoi has oscillated between promoting growth and emphasizing macroeconomic stability in recent years. In February 2011, the government shifted from policies aimed at achieving a high rate of economic growth, which had stoked inflation, to those aimed at stabilizing the economy, through tighter monetary and fiscal control. Although Vietnam unveiled a broad, "three pillar" economic reform program in early 2012, proposing the restructuring of public investment, state-owned enterprises, and the banking sector, little perceptible progress has been made. Vietnam's economy continues to face challenges from an undercapitalized banking sector. Non-performing loans weigh heavily on banks and businesses.

Source : CIA

REGISTERED NAME & COMPANY SUMMARY

Company Details
Organization Name	:	NOIDUE SILK PRODUCTION AND EXPORT COOP
Address	:	Rm 504, 18T1 Bldg Le Van Luong St, Thanh Xuan, Hanoi
Country	:	Vietnam
Phone (S)	:	[+84] 241-3837302
Primary Business Activity	:	Manufacturer
Key Industry	:	Textiles & Raw Material

DIRECTORS/MANAGEMENT

COMPANY MANAGEMENT

Management Listings

	Name	Nationality	Job Description	Dept. / Division
1	Mr. Nguyen Ngoc Cuong	Vietnamese	Vice Manager	-
2	Ms. Nguyen Thi Ngung	Vietnamese	Manager	-
3	Mr. Nguyen Ngoc Thu	Vietnamese	Vice Manager	-

Management Details - 1

Personal Unique Identifier	:	MI03714693
Name	:	Mr. Nguyen Ngoc Cuong
Date of Birth	:	1983

Management Details - 2

Personal Unique Identifier	:	MI03714665
Name	:	Ms. Nguyen Thi Ngung
Date of Birth	:	1954

Management Details - 3

Personal Unique Identifier	:	MI03714692
Name	:	Mr. Nguyen Ngoc Thu
Date of Birth	:	1977

COMPANY DIRECTORS

Not applicable - According to the corporate statutory laws for this type of Legal Form - Category (Cooperative) in Vietnam, there is no requirement for Directors.

NEGATIVE INFORMATION

REPUTATION

Reference checking for the purpose of establishing the NOIDUE SILK PRODUCTION AND EXPORT COOP's reputation within the respective industry failed to reveal any adverse information.

NEGA-SCAN - ADVERSE DATA MONITORING

DISHONORED CHECKS

No Record Found

DEBT	No Record Found

LITIGATION

No Record Found

PERFORMANCE DEFAULTS

No Record Found

ADVERSE LOCAL MEDIA COVERAGE / ADVERSE FILING HISTORY

No Record Found

SHARE & SHARE CAPITAL INFORMATION

Capital

:

US$ 284,495

CAPITAL (Currency: VND - Vietnam Dong)

Authorized Capital

:

₫ 6,000,000,000

SHAREHOLDERS

Not applicable - According to the corporate statutory laws for this type of Legal Form - Category (Cooperative) in Vietnam, there is no requirement for Shareholders.

PAYMENT INFORMATION

DOMESTIC SALES & PURCHASES

Annual Sales Analysis	Percentage
Domestic Sales	60%
International Sales (Export)	40%

Annual Purchases Analysis	Percentage
Local Purchases	100%

PAYMENT TERMS

Selling

Type	Terms
Local	Cash on delivery (COD) Credit - Unsecured 30~60 days
Export	Letter of Credit (At-sight) Telegraphic Transfer (T/T) - Received at time of transaction

Purchasing

Type	Terms
Local	Cash on delivery (COD) Credit - Unsecured 30~60 days

GROUP STRUCTURE & AFFILIATED COMPANIES

N/a

FINANCIAL INFORMATION

Financials - Summary  (Currency: USD - US Dollar)

Year	Sales	Assets	Net Income
2010 Annual	2,585,582	1,111,750	95,741
2011 Annual (*)	2,259,193	1,046,663	66,731

Sales Trend – Analysis

2002	2003	2004	2005	2006	2007	2008	2009	2010	2011
-	-	-	-	-	-	-	-	-

Note: (*)

Financials listed are the most recent available for this company.

FINANCIAL STATEMENT - DETAILED

Balance Sheet

Currency	:	VND
Denomination	:	1
Financial Year Ending	:	December

Financial Highlights	2010 Annual	2011 Annual
Current Assets	19,753,000,000	14,794,000,000
Non Current Assets	1,915,000,000	7,008,000,000
Share Capital	14,977,000,000	17,477,000,000
Other long term assets
Total Assets	21,668,000,000	21,802,000,000
Total Liabilities	4,710,000,000	2,153,000,000
Current Liabilities	4,710,000,000	2,153,000,000
Long term liabilities
Shareholders Funds	16,958,000,000	19,649,000,000
Current assets & short term investments	19,753,000,000	14,794,000,000
Cash & cash equivalents	5,485,000,000	4,684,000,000
Cash	5,485,000,000	4,684,000,000
Accounts receivable	6,015,000,000	4,456,000,000
Accounts receivable trade	6,015,000,000	4,456,000,000
i. Inventories	8,227,000,000	5,629,000,000
ii. Inventories	8,227,000,000	5,629,000,000
Other short term asset	26,000,000	25,000,000
VAT deductible	26,000,000	25,000,000
Long term assets	1,915,000,000	7,008,000,000
Fixed assets	1,915,000,000	7,008,000,000
Tangible fixed assets	1,915,000,000	7,008,000,000
Cost	6,100,000,000	11,699,000,000
Accumulated depreciation	4,185,000,000	4,691,000,000
Total assets	21,668,000,000	21,802,000,000
Liabilities	4,710,000,000	2,153,000,000
Current liabilities	4,710,000,000	2,153,000,000
Short term borrowings	500,000,000	-
Accounts payables-trade	4,210,000,000	1,689,000,000
Taxes and payable to state budget	-	464,000,000
i. Owner's equity	16,958,000,000	19,649,000,000
ii. Owner's equity	16,690,000,000	19,371,000,000
Business capital	14,977,000,000	17,477,000,000
Retained earnings	1,713,000,000	1,894,000,000
Budget sources	268,000,000	278,000,000
Bonus and welfare funds	268,000,000	278,000,000
Total resources	21,668,000,000	21,802,000,000

Income Statement

Currency	:	VND
Denomination	:	1
Financial Year Ending	:	December

Financial Highlights	2010 Annual	2011 Annual
Turnover	50,393,000,000	47,059,000,000
Profit (Loss) Before Tax	2,487,000,000	1,854,000,000
Profit After Tax attributable to Shareholders	1,866,000,000	1,390,000,000
Gross sales	50,393,000,000	47,059,000,000
Net income	50,393,000,000	47,059,000,000
Cost of goods sold	47,145,000,000	43,847,000,000
Gross margin	3,248,000,000	3,212,000,000
Income from financial activities	791,000,000	246,000,000
Expenses from financial activities	405,000,000	659,000,000
In which: Interest expenses	12,000,000	268,000,000
General & administration expenses	1,147,000,000	945,000,000
Net income from operating activities	2,487,000,000	1,854,000,000
Net profit before tax	2,487,000,000	1,854,000,000
Income tax	621,000,000	464,000,000
Net profit after tax	1,866,000,000	1,390,000,000

Financial Ratios

Financial Highlights	2010 Annual	2011 Annual
Growth %
Year-on-Year Growth	-	(6.62)
Profitability
Profit Margin (%)	3.70	2.95
Return on Equity (%)	11.00	7.07
Return on Assets (%)	8.61	6.38
Leverage
Total Debt Equity (Times)	0.28	0.11
Current Debt Equity (Times)	0.28	0.11
Total Asset To Total Equity	1.28	1.11
Asset Management
Total Assets Turnover (Times)	2.33	2.16
Fixed Assets Turnover (Times)	26.31	6.72
Liquidity
Current Ratio	4.19	6.87

Due to the nature of this entity, there are no financials available. Although basic financials were obtained for reference.

FOREIGN EXCHANGE RATES

N/a

ADDITIONAL INFORMATION

Key Facts
Registered Legal Address	:	Dinh Ca - Noi Due, Tien Du Dist, Bac Ninh
Operational Address	:	Rm 504, 18T1 Bldg Le Van Luong St, Thanh Xuan, Hanoi
Issuing Authority	:	PEOPLE'S COMMITTEE OF TIEN DU DISTRICT - Tien du Dist
License Number	:	03/DK–TD
License Status	:	License exists - Normal.
Legal Form - Category	:	Cooperative
Legal Form	:	Not Applicable
Legal Form - Abbreviation	:	Not Applicable
Operational Status of Business	:	Normal
Date of Registration	:	27 Jul, 2000
Employees	:	145

Report Details
Country	:	Vietnam
Business Entity Name	:	NOIDUE SILK PRODUCTION AND EXPORT COOP
Primary Business Activity	:	Manufacturer
Primary Industry	:	Textiles & Raw Material
Office Contact Details
Operating Address	:	Rm 504, 18T1 Bldg Le Van Luong St, Thanh Xuan, Hanoi
Tel	:	[+84] 241-3837302
	:	[+84] 4-66582525
Factory Contact Details
Address	:	Dinh Ca - Noi Due, Tien Du Dist, Bac Ninh
Tax / VAT Details
Tax Issuing Authority	:	Ministry of Finance
Local Name Used	:	Gia Trj Gia Tang (Value Added Tax)
Acronym	:	GTGT / VAT
GTGT / VAT Number	:	2300201695

 Primary Products

Products / Materials / Services Description	Activity
Silk	Manufacturing, Exporting
Silk yarns	Manufacturing, Exporting

SIC PRODUCT CLASSIFICATION & ACTIVITY

Product/Service Description	Code	Activity
Broad woven fabrics, manmade fibers and silk	2221	Manufacturing, Exporting
Yarn, spun, of cotton, man-made fibers, and silk	2281	Manufacturing, Exporting

HARMONIZED PRODUCT CLASSIFICATION & ACTIVITY

Product/Service Description	Code	Activity
Silk, inc. yarns & woven fabrics thereof	5000	Manufacturing, Exporting
Textile products etc. for specific tech uses	5911	Manufacturing, Exporting

CORE BUSINESS DESCRIPTION

Core Business

The primary business focus of NOIDUE SILK PRODUCTION AND EXPORT COOP is Manufacturing - Finished products.

Key products include:

Silk

Silk yarns

An integral part of the core business includes:

Distribution

Supplementary Business

In addition to the core business, NOIDUE SILK PRODUCTION AND EXPORT COOP also is engaged in the following areas of business:

Exporting

Exporting - Finished products

BANK DETAILS

Bank Name	:	JOINT STOCK COMMERCIAL BANK FOR FOREIGN TRADE OF VIETNAM
Global Identifier	:	P1072025
Branch	:	Hanoi
Branch Address	:	JOINT STOCK COMMERCIAL BANK FOR FOREIGN TRADE OF VIETNAM - BAC NINH
SWIFT Code	:	BFTVVNVX

INTERNATIONAL TRADE - Activity & Markets
Country / Region	Estimated level of importance	Trading Activity
Europe	Medium	Exporting
Middle-East	Medium	Exporting

FACTORIES, SIZE, & LOCATIONS

The following information relates to the Business Entity's factory as listed above:

Address

:

Dinh Ca - Noi Due, Tien Du Dist, Bac Ninh

REAL ESTATE OWNERSHIP

The following property / ies are owned by NOIDUE SILK PRODUCTION AND EXPORT COOP:

Property Name	:	NOIDUE SILK PRODUCTION AND EXPORT COOP - THANH XUAN, HANOI
Type of Property	:	Office & Administration
Address	:	Rm 504, 18T1 Bldg Le Van Luong St, Thanh Xuan, Hanoi
Office Size	:	1,500 Square meters

NOTES & COMMENTS

N/a

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.60.33
UK Pound	1	Rs.103.18
Euro	1	Rs.81.58

INFORMATION DETAILS

Report Prepared by :

TPT

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.