MIRA INFORM REPORT

Report Date :

13.05.2014

IDENTIFICATION DETAILS

Name :	AGROCORP INTERNATIONAL PTE LTD
Registered Office :	10, Anson Road, 34-04-06, International Plaza, 079903,
Country :	Singapore
Financials (as on) :	31.03.2012
Date of Incorporation :	27.10.1990
Com. Reg. No.:	199005306-N
Legal Form :	Exempt Private
Line of Business :	Trading of commodity and agricultural products.
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 :	Slow but correct
Litigation :	Exist

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)
Singapore	A1	A1

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

SINGAPORE - ECONOMIC OVERVIEW

Singapore has a highly developed and successful free-market economy. It enjoys a remarkably open and corruption-free environment, stable prices, and a per capita GDP higher than that of most developed countries. The economy depends heavily on exports, particularly in consumer electronics, information technology products, pharmaceuticals, and on a growing financial services sector. Real GDP growth averaged 8.6% between 2004 and 2007. The economy contracted 0.8% in 2009 as a result of the global financial crisis, but rebounded 14.8% in 2010, on the strength of renewed exports, before slowing to 5.2% in 2011 and 1.3% in 2012, largely a result of soft demand for exports during the second European recession. Over the longer term, the government hopes to establish a new growth path that focuses on raising productivity, which has sunk to an average of about 1.0% in the last decade. Singapore has attracted major investments in pharmaceuticals and medical technology production and will continue efforts to establish Singapore as Southeast Asia's financial and high-tech hub

Source : CIA

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

EXECUTIVE SUMMARY

REGISTRATION NO.

:

199005306-N

COMPANY NAME

:

AGROCORP INTERNATIONAL PTE LTD

FORMER NAME

:

N/A

INCORPORATION DATE

:

27/10/1990

COMPANY STATUS

:

EXIST

LEGAL FORM

:

EXEMPT PRIVATE

LISTED STATUS

:

NO

REGISTERED ADDRESS

:

10, ANSON ROAD, 34-04-06, INTERNATIONAL PLAZA, 079903, SINGAPORE.

BUSINESS ADDRESS

:

10 ANSON ROAD, 34-04/05/06, INTERNATIONAL PLAZA, 079903, SINGAPORE.

TEL.NO.

:

65-65787110

FAX.NO.

:

65-65341426

WEB SITE

:

WWW.AGROCORP.COM.SG

CONTACT PERSON

:

IYENGAR VIJAYAKUMAR GOPALAN ( MANAGING DIRECTOR )

PRINCIPAL ACTIVITY

:

TRADING OF COMMODITY AND AGRICULTURAL PRODUCTS

ISSUED AND PAID UP CAPITAL

:

4,000,000.00 ORDINARY SHARE, OF A VALUE OF SGD 4,000,000.00

SALES

:

USD 1,247,251,973 [2012]

NET WORTH

:

USD 35,822,655 [2012]

STAFF STRENGTH

:

N/A

BANKER (S)

:

THE HONGKONG AND SHANGHAI BANKING CORPORATION LTD INDIAN BANK UCO BANK RAIFFEISEN BANK INTERNATIONAL AG DBS BANK LTD RAIFFEISEN ZENTRALBANK OESTERREICH AKTIENGESELLSCHAFT AUSTRALIA AND NEW ZEALAND BANKING GROUP LTD NATIXIS OVERSEA-CHINESE BANKING CORPORATION LTD BNP PARIBAS THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED CITIBANK N.A. BNP PARIBAS (SUISSE) SA SOCIETE GENERALE STANDARD CHARTERED BANK UNITED OVERSEAS BANK LIMITED

LITIGATION

:

TRACED

FINANCIAL CONDITION

:

LIMITED

PAYMENT

:

AVERAGE

MANAGEMENT CAPABILITY

:

AVERAGE

COMMERCIAL RISK

:

LOW

CURRENCY EXPOSURE

:

MODERATE

GENERAL REPUTATION

:

SATISFACTORY

INDUSTRY OUTLOOK

:

AVERAGE GROWTH

HISTORY / BACKGROUND

The SC is an exempt private company whose shares are not held by any corporate body and has no more than 20 shareholders who are all natural persons. An exempt company is a type of private limited company. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the SC is capable of owning assets, entering into contracts, suing or be sued by other companies. An exempt private company with an annual turnover of less than SGD5 million are exempted from statutory auditing requirements. Instead of filing audited annual accounts, the SC has to file in a document duly signed by its director in charge of its finance and the company secretary stating that the SC is able to meet all its obligations as and when they fall due. The SC is not required to have their accounts audited. However, the SC will prepare unaudited accounts for purposes of AGMs and filing with Registry Office if it is unable to meet all its obligations as and when they fall due .

The SC is principally engaged in the (as a / as an) trading of commodity and agricultural products.

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

Name	Address	IC/PP/Loc No	Shareholding	(%)
IYENGAR VIJAYKUMAR GOPALAN +	65, CORONATION ROAD, 269464, SINGAPORE.	S2592639J	2,742,857.00	68.57
RAGHAVAN RAVI +	99, MEYER ROAD 26-01, SOVEREIGN, THE, 437920, SINGAPORE.	S2656911G	994,286.00	24.86
AKILA VIJAY IYENGAR +	65, CORONATION ROAD, 269464, SINGAPORE.	S2592640D	262,857.00	6.57
			---------------	------
			4,000,000.00	100.00
			============	=====

+ Also Director

The SC interest in other companies (Subsidiaries/Associates) are shown as follow :

Local No	Country	Company	(%)	As At
0186276	CANADA	AGROCORP INTERNATIONAL INC	100.00	31/03/2012
198305753H	SINGAPORE	INTRA BUSINESS PTE LTD	100.00	02/09/2013
011108	INDIA	CRESCENDO PROPERTIES PRIVATE LIMITED	100.00	31/03/2012
011107	INDIA	AGRITRADE SERVICES (INDIA) PRIVATE LIMITED	100.00	31/03/2012
011173	INDONESIA	PT AGRI BUSINESS INDONESIA	80.00	31/03/2012

DIRECTORS

DIRECTOR 1

Name Of Subject	:	AKILA VIJAY IYENGAR
Address	:	65, CORONATION ROAD, 269464, SINGAPORE.
IC / PP No	:	S2592640D
Nationality	:	SINGAPOREAN
Date of Appointment	:	17/07/1997

DIRECTOR 2

Name Of Subject	:	RAGHAVAN RAVI
Address	:	99, MEYER ROAD 26-01, SOVEREIGN, THE, 437920, SINGAPORE.
IC / PP No	:	S2656911G
Nationality	:	SINGAPOREAN
Date of Appointment	:	27/04/1994

DIRECTOR 3

Name Of Subject	:	IYENGAR VIJAYKUMAR GOPALAN
Address	:	65, CORONATION ROAD, 269464, SINGAPORE.
IC / PP No	:	S2592639J
Nationality	:	SINGAPOREAN
Date of Appointment	:	16/11/1990

MANAGEMENT

1)	Name of Subject	:	IYENGAR VIJAYAKUMAR GOPALAN
	Position	:	MANAGING DIRECTOR

AUDITOR

Auditor	:	BAKER TILLY TFW LLP
Auditor' Address	:	N/A

COMPANY SECRETARIES

1)	Company Secretary	:	HUANG XIUYING @ NG SIEW ENG
	IC / PP No	:	S7818021H
	Address	:	425, CLEMENTI AVENUE 1, 05-289, 120425, SINGAPORE.

BANKING

Banking relations are maintained principally with :

1)

Name

:

THE HONGKONG AND SHANGHAI BANKING CORPORATION LTD

2)

Name

:

INDIAN BANK

3)

Name

:

UCO BANK

4)

Name

:

RAIFFEISEN BANK INTERNATIONAL AG

5)

Name

:

DBS BANK LTD

6)

Name

:

RAIFFEISEN ZENTRALBANK OESTERREICH AKTIENGESELLSCHAFT

7)

Name

:

AUSTRALIA AND NEW ZEALAND BANKING GROUP LTD

8)

Name

:

NATIXIS

9)

Name

:

OVERSEA-CHINESE BANKING CORPORATION LTD

10)

Name

:

BNP PARIBAS

11)

Name

:

THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED

12)

Name

:

CITIBANK N.A.

13)

Name

:

BNP PARIBAS (SUISSE) SA

14)

Name

:

SOCIETE GENERALE

15)

Name

:

STANDARD CHARTERED BANK

16)

Name

:

UNITED OVERSEAS BANK LIMITED

ENCUMBRANCE (S)

Charge No	Creation Date	Charge Description	Chargee Name	Total Charge	Status
1	0000-00-00	N/A	INDIAN BANK	USD 80,000.00	Unsatisfied
2	0000-00-00	N/A	INDIAN BANK	USD 85,000.00	Unsatisfied
3	0000-00-00	N/A	INDIAN BANK	USD 120,946.09	Unsatisfied
4	0000-00-00	N/A	INDIAN BANK	SGD 330,000.00	Unsatisfied
9605976	01/10/1996	N/A	INDIAN BANK	N/A	Unsatisfied
9607483	12/12/1996	N/A	INDIAN BANK	N/A	Unsatisfied
199800318	16/01/1998	N/A	INDIAN BANK	N/A	Unsatisfied
199800698	07/02/1998	N/A	INDIAN BANK	N/A	Unsatisfied
199900770	05/03/1999	N/A	COOPERATIEVE CENTRALE RAIFFEISEN-BOERENLEENBANK B A (RABOBANK NEDERLAND)	N/A	Unsatisfied
200101478	30/03/2001	N/A	INDIAN BANK	N/A	Unsatisfied
C200400603	04/02/2004	N/A	STANDARD CHARTERED BANK	N/A	Unsatisfied
C200401678	01/04/2004	N/A	NATIXIS	N/A	Unsatisfied
C200503701	29/06/2005	N/A	RAIFFEISEN ZENTRALBANK OESTERREICH AKTIENGESELLSCHAFT	N/A	Unsatisfied
C200600369	16/01/2006	N/A	DBS BANK LTD	N/A	Unsatisfied
C200600370	16/01/2006	N/A	DBS BANK LTD	N/A	Unsatisfied
C200710964	12/12/2007	N/A	UCO BANK	N/A	Unsatisfied
C200900104	05/01/2009	N/A	STANDARD CHARTERED BANK	N/A	Unsatisfied
C200900106	05/01/2009	N/A	STANDARD CHARTERED BANK	N/A	Unsatisfied
C200903223	01/06/2009	N/A	COOPERATIEVE CENTRALE RAIFFEISEN-BOERENLEENBANK B A (RABOBANK NEDERLAND)	N/A	Unsatisfied
C200906871	27/10/2009	N/A	THE HONGKONG AND SHANGHAI BANKING CORPORATION LTD	N/A	Unsatisfied
C201004380	26/05/2010	N/A	DBS BANK LTD	N/A	Unsatisfied
C201007105	13/08/2010	N/A	BNP PARIBAS	N/A	Unsatisfied
C201009476	14/10/2010	N/A	OVERSEA-CHINESE BANKING CORPORATION LTD	N/A	Unsatisfied
C201011235	24/11/2010	N/A	AUSTRALIA AND NEW ZEALAND BANKING GROUP LTD	N/A	Unsatisfied
C201011510	29/11/2010	N/A	STANDARD CHARTERED BANK	N/A	Unsatisfied
C201012446	22/12/2010	N/A	INDIAN BANK	N/A	Unsatisfied
C201103374	18/03/2011	N/A	THE HONGKONG AND SHANGHAI BANKING CORPORATION LTD	N/A	Unsatisfied
C201104043	01/04/2011	N/A	KBC BANK N V	N/A	Unsatisfied
C201105608	10/05/2011	N/A	RAIFFEISEN BANK INTERNATIONAL AG	N/A	Unsatisfied
C201200779	17/01/2012	N/A	INDIAN BANK	N/A	Unsatisfied
C201201346	03/02/2012	N/A	THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED	N/A	Unsatisfied
C201204736	30/04/2012	N/A	CITIBANK N.A.	N/A	Unsatisfied
C201208392	26/07/2012	N/A	BNP PARIBAS (SUISSE) SA	N/A	Unsatisfied
C201210855	24/09/2012	N/A	SOCIETE GENERALE	N/A	Unsatisfied
C201210856	24/09/2012	N/A	SOCIETE GENERALE	N/A	Unsatisfied
C201313264	30/09/2013	N/A	UNITED OVERSEAS BANK LIMITED	N/A	Unsatisfied
C201313303	01/10/2013	N/A	UNITED OVERSEAS BANK LIMITED	N/A	Unsatisfied

LEGAL CHECK AGAINST SC

* A check has been conducted in our databank against the SC whether the subject has been involved in any litigation.

LEGAL ACTION
Code No	:	99	Case No	:	18822
Year	:	2006	Place	:	SINGAPORE
Court	:	MAGISTRATE COURT
Date Filed	:	04/08/2006
Solicitor	:	WEE EE MING GERALD MARTIN
Solicitor Ref	:	SD/GMW/2001-001564/S
Solicitor Firm	:	BOGAARS & DIN
Plaintiff	:	INTER-PREMIUM GROUP SERVICES PTE LTD
Defendants	:	AGROCORP INTERNATIONAL PTE LTD (199005306) 10 ANSON ROAD, 34-04-06 INTERNATIONAL PLAZA, 079903, SINGAPORE.
Amount Claimed	:	6366
Nature of Claim	:	SGD
Remark	:	OTHERS / MISCELLANEOUS

NOTE:

Please check with creditors for confirmation as alleged debts may have been paid since recorded or are being disputed. The person wo has been sued has the same name as the subject. However, we are unable to determine whether the person sued is the one and the same person.

No winding up petition was found in our databank

PAYMENT RECORD

SOURCES OF RAW MATERIALS:
Local	:	YES
Overseas	:	YES

The SC 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	[	]	Average 61-90 Days	[	X	]
Fair 91-120 Days	[	]	Poor >120 Days	[	]

CLIENTELE

Local	:	YES
Domestic Markets	:	SINGAPORE
Overseas	:	YES
Export Market	:	ASIA PACIFIC MIDDLE EAST
Credit Term	:	AS AGREED
Payment Mode	:	CHEQUES TELEGRAPHIC TRANSFER (TT)

OPERATIONS

Goods Traded

:

COMMODITY AND AGRICULTURAL PRODUCTS

Total Number of Employees:
YEAR	2012	2011
GROUP	N/A	N/A
COMPANY	38	35

Branch

:

NO

Other Information:

The SC is principally engaged in the (as a / as an) trading of commodity and agricultural products.

The SC is an international commodity trading company with a footprint across the globe.

The SC handles volumes of more than 2.5 million mt of commodities including 1.5 million mt grains such as Wheat, Rice etc, 400,000 mt Sugar, 200,000 mt Oilseeds and 300,000 mt Pulses to clients in India, Bangladesh, Pakistan, Sri Lanka, Indonesia, Vietnam, Malaysia, China and the Middle East.

The SC 's products are:

- wheat
- rice
- sugar
- oil-seeds
- pulses
- non-agro products
- cotton
- edible nuts

CURRENT INVESTIGATION

Latest fresh investigations carried out on the SC indicated that :

Telephone Number Provided By Client	:	N/A
Current Telephone Number	:	65-65787110
Match	:	N/A
Address Provided by Client	:	10 ANSON ROAD HEX 34-04/05/06 INTERNATIONAL PLAZA SINGAPORE 079903
Current Address	:	10 ANSON ROAD, 34-04/05/06, INTERNATIONAL PLAZA, 079903, SINGAPORE.
Match	:	YES

Other Investigations

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

The SC refused to disclose its number of employees.

FINANCIAL ANALYSIS

Profitability
Turnover	:	Decreased	[	7.29%	]
Profit/(Loss) Before Tax	:	Decreased	[	123.05%	]
Return on Shareholder Funds	:	Unfavourable	[	<9.85%>	]
Return on Net Assets	:	Unfavourable	[	<4.80%>	]
The lower turnover could be due to the unfavourable market conditions.The SC incurred losses during the year due to the inefficient control of its operating costs. The SC's unfavourable returns on shareholders' funds indicate the management's inefficiency in utilising its assets to generate returns.
Working Capital Control
Stock Ratio	:	Favourable	[	6 Days	]
Debtor Ratio	:	Favourable	[	27 Days	]
Creditors Ratio	:	Favourable	[	14 Days	]
The SC's stocks were moving fast thus reducing its holding cost. This had reduced funds being tied up in stocks. The favourable debtors' days could be due to the good credit control measures implemented by the SC. The SC had a favourable creditors' ratio where the SC could be taking advantage of the cash discounts and also wanting to maintain goodwill with its creditors.
Liquidity
Liquid Ratio	:	Favourable	[	1.08 Times	]
Current Ratio	:	Unfavourable	[	1.28 Times	]
A minimum liquid ratio of 1 should be maintained by the SC in order to assure its creditors of its ability to meet short term obligations and the SC was in a good liquidity position. Thus, we believe the SC is able to meet all its short term obligations as and when they fall due.
Solvency
Interest Cover	:	Unfavourable	[	<0.94 Times>	]
Gearing Ratio	:	Favourable	[	0.24 Times	]
The SC incurred losses in the year. It did not generate sufficient income to service its interest. If the situation does not improve, the SC may be vulnerable to default in servicing the interest. The SC was lowly geared thus it had a low financial risk. The SC was mainly financed by its shareholders' funds and internally generated funds. In times of economic slowdown / downturn, the SC being a lowly geared company, will be able to compete better than those companies which are highly geared in the same industry.
Overall Assessment :
The SC's losses could be attributed to the lower turnover which in turn could be the result of unfavourable market conditions. The SC was in good liquidity position with its total current liabilities well covered by its total current assets. With its current net assets, the SC should be able to repay its short term obligations. The SC's interest cover was negative, indicating that it did not generate sufficient income to service its interest. If its result does not show impressive improvements or succeed obtaining short term financing or capital injection, it may not be able to service its interest and repay the loans. The SC 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 SC : LIMITED

SINGAPORE ECONOMIC / INDUSTRY OUTLOOK

Major Economic Indicators :	2008	2009	2010	2011	2012
Population (Million)	4.84	4.98	5.08	5.18	5.31
Gross Domestic Products ( % )	1.5	<0.8>	14.5	4.9	1.3
Consumer Price Index	6.6	0.6	2.8	5.2	4.6
Total Imports (Million)	450,892.6	356,299.3	423,221.8	459,655.1	474,554.0
Total Exports (Million)	476,762.2	391,118.1	478,840.7	514,741.2	510,329.0
Unemployment Rate (%)	2.2	3.2	2.2	2.1	2.0
Tourist Arrival (Million)	10.12	9.68	11.64	13.17	14.37
Hotel Occupancy Rate (%)	81.0	75.8	85.6	86.5	86.4
Cellular Phone Subscriber (Million)	1.31	1.37	1.43	1.50	1.52
Registration of New Companies (No.)	25,327	26,414	29,798	32,317	31,892
Registration of New Companies (%)	<2.2>	4.3	12.8	8.5	<1.3>
Liquidation of Companies (No.)	10,493	22,393	15,126	19,005	17,218
Liquidation of Companies (%)	13.7	113.4	<32.5>	25.6	9.4
Registration of New Businesses (No.)	24,850	26,876	23,978	23,494	24,788
Registration of New Businesses (%)	0.36	8.15	<10.78>	2.02	5.51
Liquidation of Businesses (No.)	21,150	23,552	24,211	23,005	22,489
Liquidation of Businesses (%)	<0.8>	11.4	2.8	<5>	<2.2>
Bankruptcy Orders (No.)	2,326	2,058	1,537	1,527	1,748
Bankruptcy Orders (%)	<15.9>	<11.5>	<25.3>	<0.7>	14.5
Bankruptcy Discharges (No.)	1,500	3,056	2,252	1,391	1,881
Bankruptcy Discharges (%)	<7.7>	103.7	<26.3>	<38.2>	35.2
INDUSTRIES ( % of Growth ) :
Agriculture
Production of Principal Crops	<0.32>	3.25	<0.48>	4.25	3.64
Fish Supply & Wholesale	<6.31>	<1.93>	<10.5>	12.10	<0.5>
Manufacturing *	74.6	71.5	92.8	100.0	100.3
Food, Beverages & Tobacco	94.8	90.4	96.4	100.0	103.5
Textiles	180.1	145.9	122.1	100.0	104.0
Wearing Apparel	334.6	211.0	123.3	100.0	92.1
Leather Products & Footwear	128.2	79.5	81.8	100.0	98.6
Wood & Wood Products	132.0	101.4	104.0	100.0	95.5
Paper & Paper Products	101.0	95.4	106.1	100.0	97.4
Printing & Media	118.2	100.9	103.5	100.0	93.0
Crude Oil Refineries	113.1	96.4	95.6	100.0	99.4
Chemical & Chemical Products	84.5	80.3	97.6	100.0	100.5
Pharmaceutical Products	43.7	49.1	75.3	100.0	109.7
Rubber & Plastic Products	120.1	101.2	112.3	100.0	96.5
Non-metallic Mineral	96.5	91.9	92.5	100.0	98.2
Basic Metals	109.8	92.6	102.2	100.0	90.6
Fabricated Metal Products	101.3	90.8	103.6	100.0	104.3
Machinery & Equipment	65.0	57.3	78.5	100.0	112.9
Electrical Machinery	81.7	86.8	124.1	100.0	99.3
Electronic Components	93.1	85.2	113.6	100.0	90.6
Transport Equipment	102.0	96.0	94.0	100.0	106.3
Construction	45.90	<36.9>	14.20	20.50	28.70
Real Estate	<11.2>	1.4	21.3	25.4	31.9
Services
Electricity, Gas & Water	<1.3>	1.70	4.00	7.00	6.30
Transport, Storage & Communication	11.60	3.90	12.80	7.40	5.30
Finance & Insurance	<5.9>	<16.4>	<0.4>	8.90	0.50
Government Services	17.40	4.50	9.70	6.90	6.00
Education Services	0.50	0.10	<0.9>	<1.4>	0.30
* Based on Index of Industrial Production (2011 = 100)

INDUSTRY ANALYSIS

INDUSTRY :	TRADING
The wholesale and retail trade sector contracted by 1.5% in the fourth quarter of 2012, extending the 0.2% decline in the preceding quarter. For the whole of 2012, the sector declined by 0.7%, reversing the 1.6% growth in 2011. The sector was weighed down primarily by the wholesale trade segment. In 2012, the wholesale trade segment contracted by 1.0%, a reversal from the 1.4% growth in 2011. Growth of the retail trade segment also moderated to 2.0%, from 3.2% in the year 2011.
The domestic wholesale trade index grew by 1.2% in the fourth quarter of 2012, an improvement from the 5.4% decline in the third quarter. This was partly due to an increase in the sales of chemicals & chemical products and ship chandlers & bunkering. For the full year of 2012, the domestic wholesale trade index contracted by 2.2%, extending the 1.7% decline in 2011. The foreign wholesale trade index grew by 8.6% in the fourth quarter, an increase from the 6.6% growth in the third quarter. The expansion was partly due to resilient sales of petroleum & petroleum products. For the whole of 2012, the foreign wholesale trade index expanded by 9.1%, faster than the 4.3% increase in 2011.
In the fourth quarter of 2012, retail sales volume declined by 2.0%, extending the 0.3% decline in the third quarter. Excluding motor vehicles, retail sales volume grew by 0.4%, a slight moderation compared to the 1.5% gain in the third quarter of 2012. The sales volume of motor vehicles fell by 11% in the fourth quarter of 2012, after contracting by 6.1% in the third quarter. The sales of several discretionary items also declined in the fourth quarter. Besides, the sales of optical goods & books in 2012 fell by 3.6%, while the sales of telecommunications apparatus & computers declined by 1.4%.
For 2012 as a whole, retail sales volume grew by 1.3%, compared to the 2.0% expansion in 2011. Excluding motor vehicle sales, the increase in retail sales volume also moderated from 5.4% in 2011 to 1.7% in 2012. Medical goods & toiletries registered the largest increase (9.3%) in sales, followed by telecommunications apparatus & computers (6.9%). By contrast, the sales of watches & jewellery (-2.2%) and optical goods & books (-3.6%) declined.
OVERALL INDUSTRY OUTLOOK : AVERAGE GROWTH

CREDIT RISK EVALUATION & RECOMMENDATION

Incorporated in 1990, the SC is a Exempt Private company, focusing on trading of commodity and agricultural products. With over 2 decades of experience in the business, the SC has fairly rich experiences in the business and has achieved a certain market share.The capital standing of the SC is fair. With an adequate share capital, the SC has the potential of expanding its business in future.

Over the years, the SC has penetrated into both the local and overseas market. The SC has positioned itself in the global market and is competing in the industry. Its stable clientele base will enable the SC to further enhance its business in the near term. Overall, we regard that the SC's management capability is average.

Due to the challenging market conditions, the SC's business performance seems to be deteriorating and losses incurred. The SC has generated an unfavourable return on shareholders' funds indicating that the management was inefficient in utilising its funds to generate return. The SC 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 SC 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 USD 35,822,655, the SC should be able to maintain its business in the near terms.

Having a strong assets backing, the SC possesses latent assets as collateral for further financial extension. Hence, it has good chance of getting loans if the needs arises. The SC's supplier are from both the local and overseas countries. This will eliminates the risk of dependency on deliveries from a number of key suppliers and insufficient quantities of its raw materials. Overall the SC has a good control over its resources.

The SC's payment habit is average. With its adequate working capital, the SC should be able to pay its short term debts.

The industry shows an upward trend and this trend is very likely to sustain in the near terms. Hence, the SC is expected to benefit from the favourable outlook of the industry.

Based on the above condition, we recommend credit be granted to the SC normally.

PROFIT AND LOSS ACCOUNT

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH SINGAPORE FINANCIAL REPORTING STANDARDS.

AGROCORP INTERNATIONAL PTE LTD

Financial Year End	2012-03-31	2011-03-31
Months	12	12
Consolidated Account	GROUP	GROUP
Audited Account	YES	YES
Unqualified Auditor's Report (Clean Opinion)	YES	YES
Financial Type	FULL	FULL
Currency	USD	USD
TURNOVER	1,247,251,973	1,345,336,528
Other Income	1,287,206	981,311
	----------------	----------------
Total Turnover	1,248,539,179	1,346,317,839
	----------------	----------------
PROFIT/(LOSS) FROM OPERATIONS	<3,781,596>	16,403,986
	----------------	----------------
PROFIT/(LOSS) BEFORE TAXATION	<3,781,596>	16,403,986
Taxation	247,224	<1,964,392>
	----------------	----------------
PROFIT/(LOSS) AFTER TAXATION	<3,534,372>	14,439,594
Minority interests	6,976	33,094
	----------------	----------------
PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS	<3,527,396>	14,472,688
	----------------	----------------
PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS	<3,527,396>	14,472,688
RETAINED PROFIT/(LOSS) BROUGHT FORWARD
As previously reported	34,390,487	22,917,799
	----------------	----------------
As restated	34,390,487	22,917,799
	----------------	----------------
PROFIT AVAILABLE FOR APPROPRIATIONS	30,863,091	37,390,487
DIVIDENDS - Ordinary (paid & proposed)	<800,000>	<3,000,000>
	----------------	----------------
RETAINED PROFIT/(LOSS) CARRIED FORWARD	30,063,091	34,390,487
	=============	=============
INTEREST EXPENSE (as per notes to P&L)
Term loan / Borrowing	43,252	52,055
Trust receipts	1,311,845	979,961
Others	598,882	552,228
	----------------	----------------
	1,953,979	1,584,244
	=============	=============

BALANCE SHEET

AGROCORP INTERNATIONAL PTE LTD

ASSETS EMPLOYED:
FIXED ASSETS	6,615,250	3,515,354
LONG TERM INVESTMENTS/OTHER ASSETS
Investment properties	2,425,148	2,438,060
Deferred assets	-	19,619
Others	463,070	290,041
	----------------	----------------
TOTAL LONG TERM INVESTMENTS/OTHER ASSETS	2,888,218	2,747,720
	----------------	----------------
TOTAL LONG TERM ASSETS	9,503,468	6,263,074
CURRENT ASSETS
Stocks	20,016,954	6,201,184
Trade debtors	92,976,098	137,815,075
Other debtors, deposits & prepayments	3,261,610	3,381,799
Short term deposits	9,351,748	14,485,775
Amount due from related companies	509,275	-
Amount due from director	242,168	-
Cash & bank balances	4,317,228	18,459,335
Others	45,214	-
	----------------	----------------
TOTAL CURRENT ASSETS	130,720,295	180,343,168
	----------------	----------------
TOTAL ASSET	140,223,763	186,606,242
	=============	=============
CURRENT LIABILITIES
Trade creditors	48,702,988	36,692,947
Other creditors & accruals	5,981,739	10,212,938
Bank overdraft	86,338	-
Short term borrowings/Term loans	189,219	7,261,211
Bill & acceptances payable	5,959,070	9,146,982
Amounts owing to related companies	79,079	120,591
Amounts owing to director	-	647,940
Provision for taxation	16,454	2,095,225
Other liabilities	41,112,618	81,212,188
	----------------	----------------
TOTAL CURRENT LIABILITIES	102,127,505	147,390,022
	----------------	----------------
NET CURRENT ASSETS/(LIABILITIES)	28,592,790	32,953,146
	----------------	----------------
TOTAL NET ASSETS	38,096,258	39,216,220
	=============	=============
SHARE CAPITAL
Ordinary share capital	2,564,776	2,564,776
	----------------	----------------
TOTAL SHARE CAPITAL	2,564,776	2,564,776
RESERVES
Capital reserve	31,117	31,117
Revaluation reserve	3,441,084	-
Exchange equalisation/fluctuation reserve	<57,139>	135,469
Retained profit/(loss) carried forward	30,063,091	34,390,487
Others	<180,584>	<234,362>
	----------------	----------------
TOTAL RESERVES	33,297,569	34,322,711
MINORITY INTEREST	<39,690>	<33,094>
	----------------	----------------
SHAREHOLDERS' FUNDS/EQUITY	35,822,655	36,854,393
LONG TERM LIABILITIES
Long term loans	2,272,480	2,361,279
Deferred taxation	1,123	548
	----------------	----------------
TOTAL LONG TERM LIABILITIES	2,273,603	2,361,827
	----------------	----------------
	38,096,258	39,216,220
	=============	=============

FINANCIAL RATIO

AGROCORP INTERNATIONAL PTE LTD

TYPES OF FUNDS
Cash	13,668,976	32,945,110
Net Liquid Funds	7,623,568	23,798,128
Net Liquid Assets	8,575,836	26,751,962
Net Current Assets/(Liabilities)	28,592,790	32,953,146
Net Tangible Assets	38,096,258	39,216,220
Net Monetary Assets	6,302,233	24,390,135
BALANCE SHEET ITEMS
Total Borrowings	8,507,107	18,769,472
Total Liabilities	104,401,108	149,751,849
Total Assets	140,223,763	186,606,242
Net Assets	38,096,258	39,216,220
Net Assets Backing	35,822,655	36,854,393
Shareholders' Funds	35,822,655	36,854,393
Total Share Capital	2,564,776	2,564,776
Total Reserves	33,297,569	34,322,711
LIQUIDITY (Times)
Cash Ratio	0.13	0.22
Liquid Ratio	1.08	1.18
Current Ratio	1.28	1.22
WORKING CAPITAL CONTROL (Days)
Stock Ratio	6	2
Debtors Ratio	27	37
Creditors Ratio	14	10
SOLVENCY RATIOS (Times)
Gearing Ratio	0.24	0.51
Liabilities Ratio	2.91	4.06
Times Interest Earned Ratio	<0.94>	11.35
Assets Backing Ratio	14.85	15.29
PERFORMANCE RATIO (%)
Operating Profit Margin	<0.30>	1.22
Net Profit Margin	<0.28>	1.08
Return On Net Assets	<4.80>	45.87
Return On Capital Employed	<4.79>	45.91
Return On Shareholders' Funds/Equity	<9.85>	39.27
Dividend Pay Out Ratio (Times)	0.23	0.21
NOTES TO ACCOUNTS
Contingent Liabilities	0	0

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.59.73
UK Pound	1	Rs.100.82
Euro	1	Rs.82.22

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%)

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.