MIRA INFORM REPORT

Report Date :

03.05.2014

IDENTIFICATION DETAILS

Name :	GE MEDICAL SYSTEMs (CHINA) Co., Ltd.
Registered Office :	No. 19, Changjiang Road, Wuxi National Hi-Tech Industrial Development Zone, Jiangsu Province, 214028 PR
Country :	China
Date of Incorporation :	24.06.1996
Com. Reg. No.:	320200400007755
Legal Form :	Wholly Foreign-Owned Enterprise
Line of Business :	Subject is engaged in researching, developing, manufacturing and selling medical machinery
No. of Employees	600

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)
China	A2	A2

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

CHINA ECONOMIC OVERVIEW

Since the late 1970s China has moved from a closed, centrally planned system to a more market-oriented one that plays a major global role - in 2010 China became the world's largest exporter. Reforms began with the phasing out of collectivized agriculture, and expanded to include the gradual liberalization of prices, fiscal decentralization, increased autonomy for state enterprises, growth of the private sector, development of stock markets and a modern banking system, and opening to foreign trade and investment. China has implemented reforms in a gradualist fashion. In recent years, China has renewed its support for state-owned enterprises in sectors considered important to "economic security," explicitly looking to foster globally competitive industries. After keeping its currency tightly linked to the US dollar for years, in July 2005 China moved to an exchange rate system that references a basket of currencies. From mid 2005 to late 2008 cumulative appreciation of the renminbi against the US dollar was more than 20%, but the exchange rate remained virtually pegged to the dollar from the onset of the global financial crisis until June 2010, when Beijing allowed resumption of a gradual appreciation and expanded the daily trading band within which the RMB is permitted to fluctuate. The restructuring of the economy and resulting efficiency gains have contributed to a more than tenfold increase in GDP since 1978. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, China in 2013 stood as the second-largest economy in the world after the US, having surpassed Japan in 2001. The dollar values of China's agricultural and industrial output each exceed those of the US; China is second to the US in the value of services it produces. Still, per capita income is below the world average. The Chinese government faces numerous economic challenges, including: (a) reducing its high domestic savings rate and correspondingly low domestic consumption; (b) facilitating higher-wage job opportunities for the aspiring middle class, including rural migrants and increasing numbers of college graduates; (c) reducing corruption and other economic crimes; and (d) containing environmental damage and social strife related to the economy's rapid transformation. Economic development has progressed further in coastal provinces than in the interior, and by 2011 more than 250 million migrant workers and their dependents had relocated to urban areas to find work. One consequence of population control policy is that China is now one of the most rapidly aging countries in the world. Deterioration in the environment - notably air pollution, soil erosion, and the steady fall of the water table, especially in the North - is another long-term problem. China continues to lose arable land because of erosion and economic development. The Chinese government is seeking to add energy production capacity from sources other than coal and oil, focusing on nuclear and alternative energy development. Several factors are converging to slow China's growth, including debt overhang from its credit-fueled stimulus program, industrial overcapacity, inefficient allocation of capital by state-owned banks, and the slow recovery of China's trading partners. The government's 12th Five-Year Plan, adopted in March 2011 and reiterated at the Communist Party's "Third Plenum" meeting in November 2013, emphasizes continued economic reforms and the need to increase domestic consumption in order to make the economy less dependent in the future on fixed investments, exports, and heavy industry. However, China has made only marginal progress toward these rebalancing goals. The new government of President XI Jinping has signaled a greater willingness to undertake reforms that focus on China's long-term economic health, including giving the market a more decisive role in allocating resources

Source : CIA

Company name and address

GE MEDICAL SYSTEMs (CHINA) Co., Ltd.

no. 19, changjiang road,

Wuxi National Hi-Tech Industrial Development Zone,

jiangsu PROVINCE, 214028 PR CHINA

TEL: 86 (0) 510-85225888

FAX: 86 (0) 510-85226891

EXECUTIVE SUMMARY

INCORPORATION DATE : june 24, 1996

REGISTRATION NO. : 320200400007755

REGISTERED LEGAL FORM : WHOLLY FOREIGN-OWNED enterprise

CHIEF EXECUTIVE : Ms. duan xiaoying (CHAIRMAN)

STAFF STRENGTH : 600

REGISTERED CAPITAL : usd 24,900,000

BUSINESS LINE : researching, developing, MANUFACTURING and trading

TURNOVER : N/A

EQUITIES : N/A

PAYMENT : AVERAGE

MARKET CONDITION : COMPETITIVE

FINANCIAL CONDITION : N/A

OPERATIONAL TREND : STEADY

GENERAL REPUTATION : well-known

EXCHANGE RATE : CNY 6.2581 = USD 1

Adopted abbreviations:

ANS - amount not stated

NS - not stated

SC - subject company (the company inquired by you)

NA - not available

CNY - China Yuan Renminbi

Note: SC’s correct name should be the heading one.

SC was registered as a wholly foreign-owned enterprise at local Administration for industry & commerce (AIC - the official body of issuing and renewing business license) on June 24, 1996.

Company Status: Wholly foreign-owned enterprise

This form of business in PR China is defined as a legal person. It is a limited co. established within the territories of PR China with capital provided totally by the foreign investors. More than one foreign investor may jointly invest in a wholly foreign-owned enterprise. The investing party/parties solely exercise management, reap profit and bear risks and liabilities by themselves. This form of companies usually have a limited duration is extendible upon approval of Examination and Approval Authorities.

SC’s registered business scope includes researching, developing and manufacturing middle-high grade medical diagnosis products, X-ray computer tomography equipment, magnetic resonance imaging equipment, monitor products, breathing anesthesia machine, electrocardiograph diagnostics products, bone density instrument and software products; selling medical products manufactured by GE Company invested enterprises in China. Providing repair and renovation services, technology services and consulting services; providing maintenance technology services and consulting training services for GE Company invested enterprises in China.

SC is mainly engaged in researching, developing, manufacturing and selling medical machinery.

Ms. Duan Xiaoying is legal representative and chairman of SC at present.

SC is known to have approx. 600 employees at present.

SC is currently operating at the above stated address, and this address houses its operating office and factory in the industrial development zone of Wuxi. Our checks reveal that SC owns the total premise, but the gross area of the premise is unspecific.

SC is not known to host website of its own at present.

Changes of its registered information are as follows:

Date of change	Item	Before the change	After the change
Unknown	Legal rep.	Wu Tao 吴涛	Present one

Organization code: 607920372

MAIN SHAREHOLDERS:

Name % of Shareholding

GE (China) Co., Ltd. 100

Incorporation date: Dec. 20, 1994

Registration no.: 310000400102265

Registered capital: USD 100,000,000

Legal rep.: Mark Hutchinson

Legal form: Wholly foreign-owned enterprise

Tel: 021-38777888

Web: http://www.ge.com/cn/

Legal Representative and Chairman:

Ms. Duan Xiaoying is currently responsible for the overall management of SC.

Working Experience(s):

At present Working in SC as legal representative and chairman.

General manager:

Mr. Chen Guohua born in 1943. He is currently responsible for the daily management of SC.

Working Experience(s):

At present Working in SC as general manager.

Director:

Huang Furong

Supervisor:

Chen Zhongliang

SC is mainly engaged in researching, developing, manufacturing and selling medical machinery.

SC’s products mainly include medical machinery.

SC sources its materials 40% from domestic market, and 60% from overseas market, mainly U.S.A. and Europe. SC sells 20% of its products in domestic market, and 80% to overseas market, mainly U.S.A., Europe and Asian.

The buying terms of SC include Check, T/T, L/C and Credit of 30-60 days. The payment terms of SC include Check, T/T, L/C and Credit of 30-60 days.

Note: SC refused to release its major clients and suppliers.

GE Medical Systems Trade & Development (Shanghai) Co., Ltd.

============================================

Incorporation date: Jan. 27, 1995

Registration no.: 310115400025750

Registered capital: USD 1,100,000

Legal rep.: Xia Xuejun 夏学军

Legal form: Wholly foreign-owned enterprise

GE Sensing & Inspection (Changzhou) Co., Ltd.

===================================

Incorporation Date : Nov. 1, 2007

Registration No. : 320400400022809

Registered Legal Form : Wholly foreign-owned enterprise

Chief Executive : Mr. Xu Xiao (Legal representative)

Registered Capital : USD 8,000,000

Add: Bldg. 10, Jintong International Industry Park, No. 8, Xihu Road, Wujin Hi-tech Industrial Development Zone, Jiangsu Province

Phone: 86 (0) 519- 88318080

Fax: 86 (0) 519- 88312590

GE Drivetrain Technologies (Shenyang) Co., Ltd.

======================================

Incorporation Date : Jul. 22, 2009

Registration No. : 210100402004373

Registered Legal Form : Chinese-Foreign Equity Joint Venture Enterprise

Chief Executive : Mr. Li Shaobin (Legal Representative)

Registered Capital : CNY 137,000,000

Etc.

Overall payment appraisal:

( ) Excellent ( ) Good (X) Average ( ) Fair ( ) Poor ( ) Not yet determined

The appraisal serves as a reference to reveal SC's payments habits and ability to pay. It is based on the 3 weighed factors: Trade payment experience (through current enquiry with SC's suppliers), our delinquent payment and our debt collection record concerning SC.

Trade payment experience: SC did not provide any name of trade/service suppliers and we have no other sources to conduct the enquiry at present.

Delinquent payment record: None in our database.

Debt collection record: No overdue amount owed by SC was placed to us for collection within the last 6 years.

China Construction Bank Wuxi National Hi-Tech Industrial Development Zone Sub-branch

AC#：32001615436050017711

Relationship: Normal

SC’s management declined to release any financial information.

SC is considered medium-sized in its line with a development history of 18 years. Taking into consideration of SC’s general performance, reputation as well as market conditions we would rate SC as an average credit risk company. Credit up to moderate amount may be considered.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.60.23
UK Pound	1	Rs.101.68
Euro	1	Rs.83.46

INFORMATION DETAILS

Analysis Done by :	DIV
Report Prepared by :	NIS

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.