MIRA INFORM REPORT

Report Date :

12.05.2014

IDENTIFICATION DETAILS

Name :	MARPELPHARMA GUATEMALA SA
Registered Office :	3 Calle A No.4-24, Zona 10 Interior Ciudad de
Country :	Guatemala
Financials (as on) :	31.12.2013
Date of Incorporation :	13.10.2009
Legal Form :	Stock Company
Line of Business :	Subject is the distribution of medicines, biomedical equipment and raw materials for the pharmaceutical industry
No. of Employees :	28

RATING & COMMENTS

MIRA’s Rating :

Ba (With Financials)

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 – March 31, 2014

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

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

GUATEMALA ECONOMIC OVERVIEW

Guatemala is the most populous country in Central America with a GDP per capita roughly one-half that of the average for Latin America and the Caribbean. The agricultural sector accounts for 13.5% of GDP and 38% of the labor force; key agricultural exports include coffee, sugar, bananas, and vegetables. The 1996 peace accords, which ended 36 years of civil war, removed a major obstacle to foreign investment, and since then Guatemala has pursued important reforms and macroeconomic stabilization. The Dominican Republic-Central American Free Trade Agreement (CAFTA-DR) entered into force in July 2006 spurring increased investment and diversification of exports, with the largest increases in ethanol and non-traditional agricultural exports. While CAFTA-DR has helped improve the investment climate, concerns over security, the lack of skilled workers and poor infrastructure continue to hamper foreign direct investment. The distribution of income remains highly unequal with the richest 20% of the population accounting for more than 51% of Guatemala's overall consumption. More than half of the population is below the national poverty line and 13% of the population lives in extreme poverty. Poverty among indigenous groups, which make up about 40% of the population, averages 73% and extreme poverty rises to 28%. Nearly one-half of Guatemala's children under age five are chronically malnourished, one of the highest malnutrition rates in the world. Given Guatemala's large expatriate community in the United States, it is the top remittance recipient in Central America, with inflows serving as a primary source of foreign income equivalent to nearly two-fifths of exports or one-tenth of GDP

Source : CIA

Company name and address

REGISTERED NAME & COMPANY SUMMARY

IDENTIFICATION
COMPANY NAME	MARPELPHARMA GUATEMALA SA
TRADE NAME	MARPELPHARMA GUATEMALA
TAX ID TYPE	NIT
TAX ID NUMBER	6768089-5
CURRENT STATUS	Active
MAIN ADDRESS	3 Calle A No.4-24, Zona 10 Interior
CITY/PROVINCE/STATE	Ciudad de Guatemala
PHONE NUMBER(S)	(502) 2360.8484
FAX NUMBER	(502) 2360.8484
E-MAIL	m.ramazzini@marpelpharma.com
WEB SITE	www.marpelpharma.com
PAYMENT HISTORY	PAYMENTS USUALLY PROMPT
COMMENTS OF IDENTIFICATION.-	Another Phone: (502)4018.8096 (mobile phone) Other e-mail addresses: - m.ramirez@marpelpharma.com This report was ordered as MARPEL PHARMA GUATEMALA S A. Please be noted that the complete and correct company name of the subject is as shown above. Likewise, this report was ordered with address: 3a Calle A 4-24 2dna 10 Interiur, Guatemala. Please be noted that the complete and correct address of the subject is as shown above.

LEGAL ASPECTS
LEGAL STATUS	Stock Company
INCORPORATION DATE	13/10/2009
REGISTERED IN	Guatemala City
DURATION	Unlimited
NOTARY OFFICE	Jose Andres Fuxep
REGISTRATION	No. 85004, Deed No.113
COMMENTS RELATED COMPANIES
The Parent company of the Subject is MARPELPHARMA SA, headquartered in Costa Rica, which has 10 years of experience in its sector and with presence in Mexico, Guatemala, India, China, El Salvador, Honduras, Argentina, agreements in Panama and soon in Colombia
COMMENTS ON LEGAL ASPECTS .-
On 10/11/2009, it was temporally subscribed at the Mercantile of Guatemala, at the same date, the Subject was subscribed at the Superintendency of Tax Administration - SAT On 07/12/2009, This company was subscribed permanently at the Mercantile of Guatemala The Subject is registered at the Contracts and Acquisition System of Guatemalan Government

DIRECTORS/MANAGEMENT

BOARD OF DIRECTORS-EXECUTIVES-SHAREHOLDERS
NAME	JOB TITLE	% STAKE
RAMAZZINI MENENDEZ, ESTUARDO MATEO	General Manager/Legal Rep.	33.33%
RAMIREZ LOPEZ, MARIO ALFREDO	Administrative & Finance Manager
REGALDO DE AGUILA, BEATRIZ	Manager of Registration of Trademarks
UNGER, PHILIP	Shareholder	33.33%
JOHNA, SANI	Shareholder	33.34%

WHO IS WHO?

RAMAZZINI MENENDEZ, ESTUARDO MATEO

Guatemalean, NIT, 331343-3, .

RAMIREZ LOPEZ, MARIO ALFREDO

Guatemalean, NIT, 2896579-5 , .

NEGATIVE INFORMATION

LITIGATIONS

No detrimental records have been found against the subject.

SHARE & SHARE CAPITAL INFORMATION

INITIAL CAPITAL	Q.35,000.00 Quetzales
PAID-UP CAPITAL	Q.35,000.00 Quetzales
LAST CAPITAL INCREASE	No increase has been made
NET WORTH	Q.350,000.00 Quetazales (as of 31/12/2013)
LISTED AT STOCK EXCHANGE	NO

PAYMENT INFORMATION

PAYMENTS
TRADE REFERENCES
TYPE OF SUPPLIER	NATIONAL
CREDIT FACILITIES	No current operations limit
SUPPLIER FROM	2011
MONTHLY AVERAGE	US$7,000.00
DEADLINES	at 60 days
PRODUCTS SOLD	Courrier
RATING	PROMPT
COMMENTS.-	Last purchase: April 2014
TYPE OF SUPPLIER	NATIONAL
CREDIT FACILITIES	No current operations limit
SUPPLIER FROM	2012
MONTHLY AVERAGE	US$8,000.00
DEADLINES	at 45 days
PRODUCTS SOLD	Freight services.
RATING	PROMPT
COMMENTS.-	Last purchase: April 2014
TYPE OF SUPPLIER	NATIONAL
CREDIT FACILITIES	In cash
SUPPLIER FROM	2012
PRODUCTS SOLD	Cars
RATING	WITHOUT CREDIT EXPERIENCE
COMMENTS.-	Last purchase: March 2013 for US$20,000.00 Dollars
CREDIT FILES
Local suppliers do not report subject as user of credit facilities. Since its purchases come from abroad.
% CASH SALES/PAYMENT METHOD	20%
% CREDIT SALES/TERMS	80% (Terms at 30 days)

GROUP STRUCTURE & AFFILIATED COMPANIES

Na

FINANCIAL INFORMATION

FINANCIAL INFORMATION

CONTENT.-

During our investigation, we interviewed Mr. Mario Ramirez (Administrative and Finance Manager) who supplied business and basic information regarding the subject including its General Balance Sheet as of 31/12/2013 (12 months) expressed in Quetzales as follows:

GENERAL BALANCE SHEET
Balance Date	31/12/2013
Currency	Quetzal
Exchange Rate	7.85
.Current Total	10,839,013.55
.Net Fixed	607,002.70
.Other Assets	279,786.00
.Total Assets	11,725,802.25
.Total Current Liabilities	9,675,703.17
.Long Term Accounts	1,700,099.08
Total Liabilities	11,375,802.25
Total Equity	350,000.00
Total Liabilities and Equity	11,725,802.25

PROFIT AND LOSS ACCOUNT
Balance Date	31/12/2013
Currency	Quetzal
Exchange Rate	7.85
Net Sales	24,000,000.00
Net Income(Net Loss)	1,597,842.44

RATIOS FINANCIAL
PERIOD	2,013.00
.NET WORKING CAPITAL	1,163,310.38
.LIQUIDITY RATIO	1.12
.CONTENTS OF THE ACID TEST	0.00
.INDEBTEDNESS	1.03
.LIABILITIES, CAPITAL	0.00
.TOTAL ASSET TURNOVER	2.05
.RETURN ON EQUITY	0.00
.NET RETURN ON SALES	0.00
FINANCIAL COMMENTS.-
Its net sales as of 30/11/2013 was not disclosed as the company is in process of closing the balance sheet. According to the Contracts and Acquisitions System of the State, subject reports bids for the following amounts: - In 2014: Q. 373,138.97 - In 2013: Q. 7,716,858.32 - In 2012: Q. 1,871,386.47 - In 2011: Q. 256,323.61 - In 2010: Q. 320,738.88 The Subject is a trading company incorporated in 2009 and which operations seem to be carried out without major irregularities COUNTRY CONTEXT - GUATEMALA: The below information has been obtained from a highly regarded public source that issues comments on all of worlds? countries. Taxes: · Guatemalan income tax: 5% on the net profit-business: · Alphabetic currency code for every country by the International Organization for Standardization (ISO) 4217:Quetzal (GTQ). Main economic indicators: · External debt: US$17.67 billion (31 December 2013 est.) · International net reserves: US $7.118 billion (31 December 2013 est.) · Inflation rate : 4.4% (2013 est.) · GDP real growth rate: 3.3% (2013 est.) · Annual GDP per capita: US$5,300 (2013 est.) GDP - composition, by sector of origin: agriculture: 13.5% industry: 23.8% services: 62.7% (2013 est.) · Labour force of 4.465 million people (2013 est.) divided by: agriculture: 38% industry: 14% services: 48% Unemployment rate: 4.1% (2011 est.) (last available) Productivity sectors: Agriculture - products: sugarcane, corn, bananas, coffee, beans, cardamom; cattle, sheep, pigs, chickens Industries: sugar, textiles and clothing, furniture, chemicals, petroleum, metals, rubber, tourism Foreign trade: Exports: US$10.29 billion (2013 est.) country comparison to the world: 93 US$10.11 billion (2012 est.) Exports - commodities: coffee, sugar, petroleum, apparel, bananas, fruits and vegetables, cardamom Exports - partners: US 40.2%, El Salvador 11.1%, Honduras 8%, Mexico 5.5%, Nicaragua 4.7%, Costa Rica 4.3% Imports: US$16.7 billion (2013 est.) country comparison to the world: 83 US$15.84 billion (2012 est.) Imports - commodities: fuels, machinery and transport equipment, construction materials, grain, fertilizers, electricity, mineral products, chemical products, plastic materials and products Imports - partners: US 38%, Mexico 11.3%, China 7.4%, El Salvador 4.6% Country risks: Commercial Country Risk: MEDIUM Political Country Risk: LOW
DETAILS OF FIXED ASSETS.-
Main assets include: - (02) cars - (03) light trucks - Computer equipment - Furniture and office equipment.
INSURANCE.-
It holds an insurance policy with SEGUROS EL ROBLE SA. Policy is valid until December 2014 Coverage: - Fire and theft: US$150,000.00 Dollars - Transport and social insurance: US$15,000.00 Dollars.

FOREIGN EXCHANGE RATES

RATE OF EXCHANGE

US$1.00 = Q.7.70 (as of report date)

ADDITIONAL INFORMATION

OPERATIONS
SECTOR	2.-TRADE (WHOLESALE)
ACTIVITY	PHARMACEUTICAL PRODUCTS
ISIC CATEGORY	G-WHOLESALE AND/OR RETAIL SALE
MAIN ACTIVITY	Te core business of Subject is the distribution of medicines, biomedical equipment and raw materials for the pharmaceutical industry
TERRITORY OF SALES	100% (domestic market)
% LOCAL PURCHASING	20%
% FOREIGN PURCHASING	80%
N. OF EMPLOYEES	28

LOCATION

TAX ADDRESS, OFFICES and WAREHOUSE: Located at the above stated address in a commercial zone of easy access. Two-story premise which is rented on grounds of 700sq.m. Facilities are kept in good repair. Monthly rent amount: 2,200.00 Dollars. No branches were reported.

COMMENTS OF OPERATIONS.-

Purchases are settled 10% in cash and 90% on credit at 30, 90, 120 days All of sales of subject are carried out directly. Sales are conducted on wholesale and retail basis. It has a portfolio of approximately 800 clients, some of them are: - CORPORACION DE HOSPITALES - MINISTERIO DE SALUD DE GUATEMALA Opening hours: Monday from 19:30h to 17:00h The Subject imports from India, China, Mexico, Argentina and USA No export sales were reported

LOCAL SUPPLIERS
Name	Contact	Telephone
DHL SA	Gustavo Leche	(502) 2379.1111
FEDEX TRANSPORTES EXPRESOS (GUATEMALA) LTDA.	Jimmy Valenzuela	(502) 2411.2100
CENTRAL MOTRIZ	Rosa Maria Diaz	(502) 2277.8249

FOREIGN SUPPLIERS
Name	Contact	Telephone/fax	Country
KARNATAKA ANTIBIOTICS & PHARMACEUTICALS LTD.			INDIA
MEDICAL ACTION INDUSTRIES INC			U.S.A.
LABORATORIO PABLO CASSARA S.R.L			ARGENTINA
UNIQUE PHARMACEUTICAL LABORATORIES LTD.			INDIA
PROBIOMED SA DE CV			MEXICO

BANKERS / REFERENCE
Bank Name	Account Number	Account Officer	Telephone	Country
BANCO PROMERICA SA				GUATEMALA
BANCO DE DESARROLLO RURAL SA (BANRURAL)	No. 3445074598			GUATEMALA
BANCO AGROMERCANTIL DE GUATEMALA SA				GUATEMALA
BANCO INDUSTRIAL SA				GUATEMALA
BANK COMENTS
The above banks consulted do not provide references by preserving confidentiality of bank-client information.

NOTES & COMMENTS

COMMENTS: The subject is a company with 4 years in business which is estimated to be operating normally. Besides, it reports good reputation in the market and holds good trade relations.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.60.05
UK Pound	1	Rs.101.65
Euro	1	Rs.83.07

INFORMATION DETAILS

Analysis Done by :	SUB
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.